11/03/2019 - 11:51

Miners to raise up to $26.4m

11/03/2019 - 11:51

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Panoramic Resources has announced its intention to raise $22.4 million via two share placements and an entitlement offer, while juniors Black Rock Mining and Kibaran Resources are also involved in capital raisings.

Miners to raise up to $26.4m
Panoramic is seeking better loan repayments in relation to its Savannah project.

Panoramic Resources has announced its intention to raise $22.4 million via two share placements and an entitlement offer, while juniors Black Rock Mining and Kibaran Resources are also involved in capital raisings.

Panoramic said it had received commitments for an initial placement to raise $5 million, with a second tranche placement to its largest shareholder, Zeta Resources, to raise up to approximately $2.6 million.

The placement to Zeta is subject to shareholder approval, and it may be scaled back to ensure Zeta’s voting power does not exceed 33.15 per cent and infringe upon creep provisions under the Corporations Act.

Zeta will not be entitled to vote on the placement.

Panoramic will also offer a full underwritten one-for-13 pro-rata renounceable entitlement offer to raise approximately $14.8 million.

The entitlement offer will be underwritten by Hartleys.

Both of the share placements and the entitlement offers have an issue price of 38 cents per share, which represents a 17.3 per cent discount to its 10-day volume weighted average price prior to the announcement of the plan.

Last week it was announced Macquarie Bank wanted Panoramic Resources to tap shareholders for at least $19 million, in return for favourable loan repayments on its Savannah nickel-copper-cobalt project.

Today two Tanzania-focused graphite juniors also announced capital raisings.

Black Rock Mining said it had raised $3 million, with the funds set to finance final engineering activities to make its Mahenge graphite project in Tanzania construction ready.

The placement was completed at 6.5 cents per share, which represents a 9.7 per cent discount to its previous closing price.

Black Rock chief executive John de Vries said the placement would allow Mahenge to become a fully permitted project.

“We have already demonstrated industry leading concentrate grade and likely lowest cost into the supply chain, given our grade, strip ratio, grid electricity and logistics solution,” he said.

“In addition, we have secured up to 205,000 tonnes per annum of off-take to credible graphite industry participants.”

Kibaran Resources said it intended to raise up to $1 million via a share purchase plan.

Under the plan, the company said shareholders could purchase up to $15,000 worth of shares at 10 cents each, which represents an 8 per cent discount to its five-day volume-weighted average price prior to the announcement of the plan.

In February, the company raised $1.1 million via a share placement, also at 10 cents per share.

Kibaran said the $2.1 million in total raised would be used to advance its Epanko graphite project in Tanzania, and its EcoGraf graphite processing business.

Shares in Panoramic were down 11.96 per cent to trade at 41 cents each at 1.15pm AEDT.

Shares in Black Rock were down 2.78 per cent to trade at 7 cents each at 2.20pm AEDT.

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