Specialist mining investment company Lion Selection Group (ASX:LSX) will invest $2 million as part of a $6.75 million capital raising announced by Antipa Minerals (ASX:AZY).
Lion is expected to hold about 4% of Antipa’s shares after the raising.
Antipa has a large established gold resource and series of quality joint ventures in the Paterson province of Western Australia.
Lion says the company has a strong track record of success in a region that is home to Newmont’s (NYSE:NEM) world-class Telfer mine and some of the world’s more recent large gold-copper discoveries including Rio Tinto’s (ASX:RIO) Winu and Newmont-Greatland Gold’s Havieron.
Exploration has led to the discovery of several major mineral deposits on Antipa’s ground including the Minyari Dome Gold-Copper Project, which currently hosts a 1.8 million ounce gold resource (at 1.6 g/t). A Scoping Study at Minyari in August 2022 indicates the potential for a sizeable initial development with upside.
Lion Chairman Robin Widdup says Antipa ticks all the boxes that Lion seeks when adding companies to its portfolio.
“The 1.8Moz Minyari project is development opportunity within a 5,100km2 strategically located land package, with a quality team to advance it. Antipa’s regional joint ventures provide added attraction, with first rate partners in an incredibly prospective part of Australia,” Widdup says.
The capital raise is set to fund Antipa’s drilling program this year targeting growth to the existing resources at Minyari Dome to further enhance the existing development opportunity.
The 900 km2 Minyari Dome Project is complemented by three large-scale growth projects covering a total of 4,200 km2 which have attracted major listed miners to agree multi-million-dollar farm-in and joint venture arrangements.
Lion Selection Group is a listed, specialist mining investment company, which invests in the high growth early stage mining development space.
It was founded in 1997 to invest in the extremely broad but poorly researched sub-sector of mining – junior resources companies. Since 1997, Lion has generated returns in excess of 340 cents per share.
Lion’s unaudited net tangible asset backing of Lion as 31 May 2024 was 64.6cps (before tax) and 64.1cps (after tax). This excludes $1.2 million in contingent liabilities relating to Lion’s acquisition of investments from African Lion.
Write to Adam Orlando at Mining.com.au
Images: Antipa
