Northern Mining to raise $2.2m for exploration

South Perth-based Northern Mining Ltd will raise $2.2 million through a non-renounceable rights issue to raise funds for exploration and drilling programs, the company has announced.

The full text of a company announcement is pasted below

Northern Mining Limited is pleased to announce a Renounceable Rights Issue (Rights Issue) to raise approximately $2.2 million before costs. The Rights Issue is fully underwritten by Patersons Securities Limited and offers one (1) New Share and one (1) free attaching Option for every three (3) Shares held at an application price of 14 cents per share.

The New Options will be in the same class as those already listed under the ASX code NMIO. The Company will apply for the quotation of New Shares and New Options on ASX.

The Company will use the funds to:
(i) Carry out follow-up drilling programs on the Szklary Nickel Project, Poland and Blair Nickel Project;
(ii) To further explore the East Kalgoorlie and Durack Range Projects;
(iii) Exploration programs will also commence in the Northern Territory; and
(iv) Remaining funds will be allocated to working capital.