Kalamazoo Resources (ASX:KZR) has opened a share purchase plan (SPP), in which shareholders can purchase up to $30,000 worth of shares at $0.17, to raise $2 million.
The issue price represents a 16.4% discount to the 10-day volume weighted average price of the company’s share price prior to announcing the SPP. The SPP is scheduled to close on 30 January 2025.
This news comes after Kalamazoo conducted a $8 million private placement at the same issue price which is anticipated to close on 23 January.
Kalamazoo will use the funds to conduct exploration and a Prefeasibility Study (PFS) at the Mt Olympus deposit within the Ashburton Gold Project in Western Australia.
Executive Chairman Luke Reinehr says the company is pleased with the support from both new and existing investors for this financing offer.
“Funds raised from the placement and share purchase plan will allow us to continue to advance our resource and exploration drilling campaigns, progress the Mt Olympus PFS along with exploration and working capital,” Reinehr says.
A diamond drilling program is currently being undertaken at the Ashburton Project in order to streamline the PFS. The company has appointed Adam Garczynski from Project Delivery International as the Mt Olympus PFS Manager.
Kalamazoo Resources is an Australian gold and antimony explorer and developer focused on advancing its portfolio of assets located in Western Australia and Victoria.
Write to Aaliyah Rogan at Mining.com.au
Images: Kalamazoo Resources
