Raiden Resources (ASX:RDN) has entered into an At-the-Market (ATM) financing deed with privately held 8 Equity for up to $2 million of standby equity capital over the coming 3-year term.
As part of the facility, Raiden retains full control over all aspects of the facility having sole discretion whether to use it or not. During the term, the company may issue one or more finance requests specifying the amount it would like to raise or the number of shares it would like to sell; the floor price it wishes to raise funds at; and the period over which it wishes the request to be filled.
An ATM offering gives the issuing company the ability to raise capital as needed. If the company is not satisfied with the available price of shares on a given day, it can opt to not offering them, saving the new shares for another day and at a better price.
“The establishment of the ATM facility provides Raiden with diversification of funding tools available to fund exploration and development activities”
Addressing the ATM facility, Raiden Managing Director Dusko Ljubojevic says: “The establishment of the ATM facility provides Raiden with diversification of funding tools available to fund exploration and development activities.”
Meanwhile, the $26.71 million market capitalisation company has also entered into a transaction for an option to either earn into an 85% position or purchase 100% of the lithium-caesium-tantalum rights on the Arrow Project.
The Arrow project (E47/3476 and E47/3478) total 223km-square. The company owns 100% of the two tenements but the Li-Cs-Ta rights are currently owned by Arrow Minerals Limited (ASX:AMD). Historic exploration in the area has identified fertile and fractionated granitic intrusions, which could produce mineralised Li-Cs-Ta bearing (LCT) pegmatites. The rock chipping and field observations confirmed that the Satirist Granite was a potential source rock for LCT bearing pegmatites.
Write to Adam Orlando at Mining.com.au
Images: Raiden Resources Ltd
