Manuka Resources (ASX:MKR) is conducting a fully underwritten non-renounceable entitlement offer to raise $8 million, which will fund the company’s Cobar Basin production plan.
Under the offer, which is underwritten by Claymore Capital, shares will be issued at $0.043 per share, representing a 2.5% discount to the last closing price on 2 July 2025.
The funds will be used to progress several workstreams relating to restarting the Wonawinta processing plant and for the start of the production plan. The capital will also help repay debt.
Executive Director Dennis Karp says being fully underwritten at a small discount by two investors, the equity raise is a clear testament to the quality of the company’s assets.
“As well as confidence in our near-term precious metals production plan, something Manuka is very excited about,” Karp says.
Manuka is targeting the restart of silver and gold production early Q1 2026.
The Wonawinta mine was originally developed by Cobar Consolidated Resources in 2011-12 as a shallow silver oxide project.
Manuka acquired the asset in late 2016 and initiated a thorough review of operational history and uncovered various improvements which could be introduced at the site leading to a proposed restart of operations in early 2020.
Manuka Resources is a precious metals-focused mining company that owns the Wonawinta and Mt Boppy projects in the Cobar Basin.
The Cobar Basin hosts some of Australia’s oldest and deepest operating mines and has long been an established mining region with support services and infrastructure to hand.
Write toAaliyah Rogan at Mining.com.au
Images: Manuka
