Ozz Resources has become the latest explorer to list on the ASX, with its search for gold to begin this month using some of the proceeds from its $5 million IPO.
Ozz Resources has become the latest explorer to list on the ASX, with its search for gold to begin this month using some of the proceeds from its $5 million initial public offering.
The company completed its IPO in May, which was priced at 20 cents per share and jointly led by CPS Capital Group and Melbourne-based Cadmon Advisory.
Shares in Ozz reached a high of 18 cents on Monday before closing at 16 cents – down 20 per cent on its issue price.
The company will soon begin a 5,000-metre reverse circulation drilling program at its recently acquired Maguires Reward project, located in Western Australia’s Murchison region.
Ozz is putting $830,000 of its IPO proceeds towards drilling, which will focus on three prospects identified through previous exploration.
Its portfolio of WA projects also includes interests in the Mt Davis, Peterwangy, Rabbit Bore, and Wardarbie South projects.
“We have been able to assemble a fantastic portfolio of exploration assets across some of WA’s best mining addresses and we are really looking forward to what we can deliver with the drill rig over the next few months,” Mr Lockett said on Monday.
He was the founder and former managing director of Olympia Resources, as well as the previous chairman of ASX-listed Northern Minerals.
Meanwhile, Mr Lea was the former boss of Radar Iron and principal geologist at Rio Tinto.
Ozz’s leadership team also includes director Brian McNab.
“We have a very active exploration programme in front of us, and it’s particularly pleasing to be able to announce that drilling is planned to start in the next few weeks at Maguires Reward,” Mr Lea said.
“[S]hareholders can look forward to a diligent, focused and systematic exploration campaign across our key projects, with regular news-flow and a commitment to quickly evaluate and add value to our key assets while maintaining strong financial discipline and cost control.”
Ozz plans to direct $660,000 of its IPO proceeds towards the Mt Davis project, which sits close to Red 5’s King of the Hills goldmine, currently under development near Leonora.
The largest sum of its IPO proceeds, being $1.4 million, will go towards working capital and administration costs.
Its investors include joint venture partners Gelignite Resources and Diversified Asset Holdings.