Uranium explorer Alligator Energy (ASX:AGE) has tapped the market for $3.26 million as part of its share purchase plan (SPP) that closed on 17 October 2023.
The $182.38 million market capitalisation company says applications under the SPP exceeded the target of $3 million and has decided to accept oversubscriptions of $260,000.
As part of the SPP Alligator will issue over 62.692 million shares at an issue price of $0.052,as per the SPP timetable on 23 October 2023.
Alligator will also offer SPP participants one option exercisable at $0.078 for every 2 shares subscribed under the SPP, subject to shareholder approval at the Annual General Meeting (AGM) scheduled for 24 November this year.
Completion of this SPP follows a $25.5 million placement announced in September to advance its South Australian Samphire Project towards in-situ recovery (ISR) uranium production in 2024.
Under the placement, Alligator issued about 491 million shares at $0.052, a 23.5% discount to the company’s last closing price on 15 September 2023 and a 11.5% discount to its 10-day volume weighted average price (VWAP).
Funds are expected to be used for a feasibility study and mining lease application at Samphire, where the company is currently conducting a resource drilling and geophysics program.
The company reports funds will also be utilised to conduct exploration on targets Nabarlek North, within its Alligator Rivers (ARUP) Project in the Northern Territory, and follow-up drilling at its Big Lake Project in South Australia.
Alligator is scheduled to exhibit at the upcoming International Mining and Resources Conference (IMARC) held in Sydney from 31 October to 2 November 2023. Mining.com.au is an official media partner of IMARC, which will showcase 500-plus mining leaders and resource experts throughout 7 concurrent conferences.
The company’s portfolio comprises uranium projects located in South Australia and the Northern Territory, as well as its Piedmont nickel-cobalt-copper-gold-platinum group elements Project in Italy.
Write to Adam Drought at Mining.com.au
Images: Alligator Energy
