Mincor in $55m capital raise

Mincor Resources is on track to receive $55 million to advance development at its nickel operations.

The nickel has been raising money to accelerate underground development at its Northern Operations site and underground exploration and diamond drilling at its new Cassini Operation.

New company shares were on offer to institutional, professional and sophisticated investors at a 7.3 per cent discount of $1.39 per share.

An additional $5 million is anticipated through a share purchase plan.

Mincor said remaining proceeds would be used to strengthen the company’s balance sheet during FY23 ahead of full-scale production at its Kambalda Nickel Operations site.

Newly appointed managing director Gabrielle Iwanow said Mincor was focused on delivering its guidance for FY23 and set the company up for the future.

“We are pleased with the strong support shown by our existing shareholders in this capital raising as well as the opportunity to welcome new investors to the Mincor story,” Ms Iwanow said.

“This placement provides a platform for Mincor to accelerate both mine development and exploration activities over the remainder of FY2023, bringing forward exciting opportunities within our portfolio as ramp-up to full-scale production continues.”

Mincor said it expected to issue new shares on December 20.

The lead manager of the Mincor placement was Euroz Hartleys.

On the market, Mincor shares last traded at $1.50.