26/10/2020 - 15:30

Troy raises $15m for South America

26/10/2020 - 15:30

Bookmark

Save articles for future reference.

Goldminer Troy Resources has secured exploration funding for its South American project, with the Perth-based company targeting a maiden ore reserve this year.

Troy raises $15m for South America
Troy Resources is targeting a maiden ore reserve for Smarts Underground in the current quarter. Photo: Ivan Bandura

Goldminer Troy Resources has secured exploration funding for its South American project, with the Perth-based company targeting a maiden ore reserve this year.

Troy, which has been operating in South America since 2002, will use the proceeds from a $15 million share placement to expand a current drilling campaign at the Smarts Underground prospect, as part of the company’s Karouni operations in Guyana.

Troy recently announced drill intersections at Smarts that included 11 metres at 131.93 grams per tonne of gold.

The company is due to complete a mining study and deliver a maiden ore reserve in the current September quarter.

Troy is also planning a 30,000-metre, reserve definition drilling campaign across its Ohio Creek and Gold Star prospects, which are both shallow, open-pit resources located about 10 kilometres form the company’s Karouni mill.

Further, Troy has planned a regional exploration campaign to test multiple, high-priority targets.

Managing director Ken Nilsson said it was an exciting time for the company.

“Following the recent high grade intercepts, we are excited to be progressing towards a maiden ore reserve at Smarts Underground later this year and uncover the enormous exploration potential, which the recent drill results have confirmed,” he said.

Troy will issue about 125 million new shares priced at 12 cents under two tranches, with the placement being led by Canaccord Genuity. Azure Capital is acting as corporate adviser.

Shares in Troy closed down 13 per cent to trade at 13 cents.

Meanwhile, Cyprium Metals has locked in $5 million to fast-track copper and gold exploration in Western Australia.

Cyprium is planning resource drilling, metallurgical testwork and a scoping study for its Cue and Nanadie Well gold and copper projects in the Murchison.

The placement was heavily oversubscribed, executive director Barry Cahill said.

“The company is now well funded to advance the potential development of our Cue and Nanadie Well copper-gold projects by commencing geophysics and drilling campaigns to target extensions to the existing resources, while also testing other high priority targets,” he said.

“With the injection of new capital and strong copper fundamentals, we are excited for what is to come.”

Cyprium is issuing about 33 million shares priced at 15 cents each to raise $5 million, with the placement being led by Westar Capital and Foster Stockbroking.

Cyprium will seek a further $200,000 under a share purchase plan, priced on the same terms as the placement.

Its shares closed up 9 per cent to trade at 18 cents.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options