Myanmar $7m raising for Bawdwin

Myanmar Metals has announced a $7 million capital raising that will allow the company to extend the option over its Bawdwin project until May next year and fund ongoing expenses.

The Perth-based miner will issue 100 million shares at 7 cents per share, a 16 per cent discount, with demand from a solid base of Asian and Australian investors.

Myanmar is backed by Western Australian prospector Mark Creasy through Yandal Investments.  

The company has had an eventful 2017, with a name change from Top End, a move of headquarters from Melbourne to Perth, a new chairman and two new directors.

The funds raised give the company enough cash to extend its option for an 85 per cent interest in the Bawdwin lead, zinc, silver and copper lease in Myanmar.

Chief executive John Lamb said the Bawdwin project had unlocked potential.

“We are grateful to new and existing shareholders for their support for this placement,” he said.

“The pricing of the placement, which represents a 16 per cent discount to the five-day VWAP, is reasonable for such a raising and the level of demand received is a strong vote of confidence in the company’s strategy and the potential that investors see in the Bawdwin asset.

“Bawdwin is a world-class asset with enormous unlocked value. Over recent months we have completed an initial JORC resource on remnant and adjacent, lower grade ‘halo’ mineralisation and commenced a scoping study through our key consultants CSA Global.

“Corporately, we have secured a cornerstone shareholder in Mark Creasy’s Yandal Investments and have secured an experienced and industrious executive team.

“We intend to continue the rapid pace of development demonstrated by your new board since we took over in June 2017.”

Completion of the raising is predicted to be complete by November 17.