Sherwin Iron undertakes $8.5m placement

Sherwin Iron Limited has undertaken an $8.5 million share placement at 16 cents a share to accelerate the drilling and development of its Roper River Iron Ore Project in the Northern Territory.

The company has also offered a share purchase plan to eligible shareholders to apply for up to $10,000 of shares.

Sherwin Iron said it intended to use the proceeds from the placement to accelerate the exploration program at the Roper River Iron Ore Project, progress its ongoing project feasibility study and Gulf of Carpentaria scoping study, and provide general working capital.

Sherwin Iron managing director Greg Bittar said the raising reflected strong support for the project from existing and new investors.

"The proceeds will enable Sherwin Iron to advance the project to the next stage with an expedited drilling program having already resumed and also allowing us to push ahead with the feasibility study," he said.