Swick raises $20m for drill rig

South Guildford-based Swick Mining Services has raised $20 million through a placement, funding the company's drill rig program for its underground diamond drilling division, the company announced today.

The full text of a company announcement is pasted below

Swick Mining Services Ltd (ASX Code: SWK) is pleased to announce that it today completed a $20 million share placement to institutional and sophisticated investor clients of Euroz Securities Limited that will fund the Company's significant drill rig build program over the next 18 months.

The Company today settled the second and final tranche of the share placement through the issue of 9.41 million shares at 84 cents each to raise $7.9 million, following on from the earlier issue of 14.4 million shares that raised $12.1 million in mid May 2007.

The capital raised through the placement will be used to assist in funding the significant build program for the underground diamond drilling division, with an additional 30 underground diamond drill rigs scheduled to be built over the next 18 months to the end of CY2008, and to strengthen the Company's balance sheet.