28/06/2019 - 11:11

Ora Banda relists on ASX

28/06/2019 - 11:11

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Eastern Goldfields has been officially reborn, after Ora Banda Mining listed on the ASX today with $15 million cash and no debt.

Ora Banda relists on ASX
The Davyhurst gold project is located 120km north-west of Kalgoorlie.

Eastern Goldfields has been officially reborn, after Ora Banda Mining listed on the ASX today with $15 million cash and no debt.

Ora told the ASX it would use the cash to aggressively progress drilling, a definitive feasibility study and regional exploration programs amid a gold price that is near record highs.

The company said it expected to receive results in the coming weeks from drilling from the Waihi deposit at the Davyhurst gold project, which is located approximately 120 kilometres north-west of Kalgoorlie.

Ora Banda managing director David Quinlivan said the company had emerged from its recap process in a significantly stronger position.

“We are now well-funded to complete the work that our asset base needs before going back into production,” he said.

In May, Ora Banda raised $30 million to recaptialise, after in November its predecessor Eastern Goldfields went into administration after a $75 million recapitalisation deal fell through.

In April, Ora Banda also flagged $15 million of improvements to the 1.2 million tonnes per annum Davyhurst Mill, which it identified as a key asset, and said it has defined a pathway to undertake a definitive feasibility study to realise the value of its gold deposits.

It said historically, insufficient time and expense was devoted to the development of a robust mine plan and converting the resources to mining reserves.

Shares in Ora Banda opened trade at 15 cents, at 11.40am AEST they were up 6.7 per cent to trade at 16 cents each.

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