KGL Resources (ASX:KGL) has completed a conditional institutional placement bookbuild, securing firm commitments to raise approximately $180 million.
The company will issue roughly 902 million new shares at $0.20 per share, subject to shareholder approval at an extraordinary general meeting expected on 30 July 2026.
The placement forms part of KGL’s broader $300 million equity raising announced on 25 June, which also features a $120 million pro-rata non-renounceable entitlement offer opening on 3 July 2026.
The offer price of $0.20 per new share represents a 25.2% discount to KGL’s last traded price of $0.2675 on 24 June 2026.
Under the entitlement offer, eligible shareholders who hold shares on the record date of 30 June can acquire one new share for every 1.29 existing shares at the offer price.
Eligible shareholders taking up their full entitlement can also apply for up to an additional 100% of their pro-rata allotment via a top-up facility.
The company says the conditional placement bookbuild saw demand from leading global investor groups and support from existing shareholders, including its largest shareholder and streaming partner, Wheaton Precious Metals (NYSE:WPM)
Proceeds from the equity raising, combined with the Wheaton Precious Metals stream and existing cash, will fully fund the development and construction of the Jervois Copper Project into production, alongside exploration, drilling, and corporate costs.
Chairman Jeff Gerard says the capital raise marks a transition for the company.
“This equity raising is a major step in transforming KGL from an exploration company into a copper mine developer and operator,” Gerard says.
CEO Sam Strohmayr says the company is now focused on execution.
“Our plan has construction starting this year and open pit mining commencing next year,” Strohmayr says.
The entitlement offer is fully underwritten, excluding the KMP entitlement and roughly $17 million in commitments from existing institutional shareholders.
KGL expects the offer booklet will be lodged in the ASX and dispatched on 3 July 2026, and the entitlement offer is expected to close at 5:00pm Sydney time on 22 July 2026.
KGL Resources is a mineral explorer and developer focused on its Jervois Copper–Silver–Gold Project in the Northern Territory, Australia.
Write to Paula Fabe at Mining.com.au
Images: KGL Resources
