Hexagon seeks $6m raising

Graphite-focused Hexagon Resources is seeking to raise up to $6 million to progress the company’s McIntosh project in the Kimberley.

The company said it would place 32 million shares at 19 cents each, with Foster Stockbroking acting as lead manager.

The offer is being made to institutional and sophisticated investors, with the company having already secured cornerstone support for the placement.

The company said the funds would be used to advance downstream graphite processing opportunities.

Hexagon recently entered into an agreement with Mineral Resources, whereby MinRes will fully fund the development costs for a 51 per cent stake in the project.

The company released a pre-feasibility study on its McIntosh project last year, which detailed a development capex of $148 million.

Hexagon shares last traded hands at 20 cents each.