Junior explorers raise $13m

Junior explorers Black Mountain Resources and Australian Vanadium have announced $3 million capital raisings, while gold-focused Crusader Resources is tapping investors for $6.5 million as part of its initial public offering on the London AIM.

Perth-based Crusader has conditionally raised the money from markets in London and Australia after issuing 118 million shares at 2.99 pence (5.5 cents) each.

The company has also issued 59 million warrants on a two-for-one basis, with interest from institutional investors and other investors.

Chairman Stephen Copulos, managing director Marcus Engelbrecht and proposed chairman Andrew Vickerman have combined to take up 7 million shares in the offer.

The company is expected to be admitted to trading on AIM on April 16.

Crusader said the proceeds would be used at the company’s Brazilian gold assets and a bankable feasibility study at its Borborema project.

“We are pleased to have completed the llacing with support from institutional and private investors in both Australia and London,” Mr Engelbrecht said.

“The proceeds from the placing will allow us to take a significant step towards achieving our primary objective of moving towards production at our Borborema Gold Project through completion of a BFS.

“This is an exciting time for Crusader Resources as we approach the company’s admission to AIM.”

Shares in Crusader were flat at 5.9 cents each at 12pm AEDT.

Meanwhile, Black Mountain is seeking to raise up to $3.2 million via a one-for-one non-renounceable entitlement offer at an issue price of 2 cents per share.

The offer includes one free attaching option for every two shares subscribed for.

The company said the fund would be used for exploration drilling, due diligence on its lithium projects and restructuring costs.

Shares in Black Mountain were up 4.3 per cent at 4.8 cents each at 12pm AEDT

Australian Vanadium also announced a $3 million capital raising, with the company issuing 75 million shares at 4 cents each to two institutional investors.

Foster Stockbroking acted as the sole lead manager to the placement.

Managing director Vincent Algar said the placement put the company in a strong position financially and that securing institutional investors confirmed the strength of AV’s plans.

Shares in AV were off 9.6 per cent at 4.7 cents each.