Larvotto Resources (ASX:LRV) has raised $10 million through a share purchase plan, not long after returning $60 million through an institutional placement for greater development activities at the Hillgrove Project in New South Wales.
The company will issue 14.7 million shares under this share purchase plan with an offer price of $0.68, which represents a 13.5% discount to the five-day volume weighted average price.
Proceeds will go directly towards pre-production capital, ongoing infill and expansionary drilling from underground and surface at Hillgrove, early site works ahead of the mill expansion, and recruitment of a team.
The company is currently completing a 20% pro-rata scale back on subscriptions, with refunds to be processed on allotment, after the board accepted a total subscription of $10 million.
Managing Director Ron Heeks says the completion of this purchase plan has allowed the company to strengthen its balance sheet.
“The funds from the share purchase plan, together with the recently completed $60 million placement, places the company in a strong financial position as we continue the development of the Hillgrove Mine in readiness for mining to commence followed by first production, expected in Q2 2026,” Heeks says.
“Whilst we are busy with pre-production development, our exploration program and the expansion of our team continue.”
As reported by Mining.com.au, Larvotto originally intended to raise $5 million for the mine, after already returning $60 million.
Larvotto Resources is an Australian explorer, focused on furthering its portfolio of assets in Australia and New Zealand.
Write to Maddison Elliott at Mining.com.au
Images: Larvotto Resources
