West Perth-based explorer Iron Road says it has secured $11.5 million in funding necessary to continue feasibility studies for its Central Eyre iron ore project in South Australia.
The funds were raised via a placement priced at 55 cents per share, Iron Road said.
The company said its definitive feasibility study for Central Eyre was under way, targeting production of 12.4 million tonnes annually.
Iron Road managing director Andrew Stocks said the raising was well supported by institutional investors including The Sentient Group and endowment funds associated with US-based Columbia and Duke Universities.
“At every stage of developing the Central Eyre Iron project we have consistently demonstrated its commercial viability with increasing confidence,” Mr Stocks said in a statement.
“These funds will allow us to continue the journey to development and take the project to the next stage.
“Our economics and development rationale are now well understood and it is up to us to deliver on that underlying promise.”
At close of trade today Iron Road stocks had risen 5.2 per cent, trading at 60 cents.
