West Perth-based explorer Globe Metals and Mining has raised $5.2 million, giving a boost to its aim of becoming one of the world's largest supplier of ferro-nobium.
The announcement is below:
Globe Metals & Mining Limited is pleased to announce the placement of 20 million shares at $0.26 per share to raise A$5.2 million.
The placement was keenly sought by both professional and sophisticated investors in Australia, Asia and Europe. Helmsec Global Capital Limited acted as Lead Manager for the placement. The shares are to be issued in accordance with shareholder approval obtained on 17 July 2009. The Company's cash position upon completion of the placement will be ~A$6.7 million.
Globe's Managing Director, Mr. Mark Sumich, said "the quality of the institutional investors joining our share register in this share placement is testament to the quality of our team's work to date on the Kanyika Niobium Project in Malawi."
"With the funding for the BFS and Globe's planned activities for 2010 secured, Globe is continuing down the track of becoming the world's 4th major supplier of ferro-niobium, with production commencing in 2012."
Globe recently announced that Thuthuka Group Limited (Thuthuka), a South African world class multidisciplinary engineering company, entered into a formal joint venture agreement to invest US$10.6 million into the Kanyika Niobium Project to earn a 25% interest in the Project (as opposed to equity in the ASX-listed parent company). The US$10.6 million investment by Thuthuka will fund ~85% of the estimated cost of the bankable feasibility study into the Project, which has now commenced.
