The Australian Securities Exchange (ASX) saw a range of mining companies raising capital at the start of the trading week yesterday (21 July), including Horizon Gold (ASX:HRN).
Horizon received commitments to raise $5 million from investors in a placement, as a part of its greater $12 million equity raise.
The placement will issue 10.32 million shares at a price of $0.48 per share, representing a 7.7% discount to its last closing price of $0.52 and 10.3% to the 10-day volume weighted average price (VWAP) of $0.53 per share.
Funds collated in this placement will be used to progress a Feasibility Study at the Gum Creek Gold Project, which is targeting an open pit, free milling ore that the company expects will be low-cost with a high return.
Meanwhile, an entitlement offer intends to raise the remaining $7 million on a one for 10 basis, with shareholder Zeta Resources (ASX:ZER) and directors of Horizon subscribing for around $5.5 million.
The offer is expected to open on 29 July before closing 12 August.
To commence drilling and exploration at the Carlow Gold and Copper Project, Titan targets, and Cassowary intrusion, Artemis Resources (ASX:ARV) has received $4.75 million worth of commitments from investors.
The company will issue 1.187 billion shares at $0.004 per share, representing a 27% discount to the 15-day VWAP, under two tranches.
CPS Capital and Zeus Capital are acting as the lead managers of this placement.
The first tranche will see 330 million shares issued, before shareholders approve of the remaining 857.5 million shares at an upcoming general meeting.
After returning funds, Artemis intends to commence a 5,000m diamond drilling program at the Carlow Project to test for extensions of the gold and copper lode system, as well as a reverse circulation drilling at the Titan targets to follow up four confirmed gravity anomalies.
The company will also explore the Cassowary intrusion with a gravity survey in search of potential iron oxide copper-gold mineralisation.
The area is still awaiting its environmental licence, which Artemis expects to be granted in Q3.
Prodigy Gold (ASX:PRX) has received $4.45 million worth in applications for its entitlement offer, offering shares at a price of $0.002 for 2.22 billion shares.
APAC Resources (HKG:1104) is a large shareholder of the company, agreeing to partially underwrite the entitlement offer for full entitlement and shares under the shortfall offer.
APAC will still remain under the 3% creep exemption.
Privately held Plutus Prospecting will also partially underwrite the offer for 949.88 million shares, with the right to increase its holdings to 19.9% for 75 days from closing with a subsequent placement at the same issue price.
Prodigy Gold is a mineral explorer focused on the development of its Tanami North Project, with upcoming work to better understand the prospectivity of the Tanami West Project.
North Stawell Minerals (ASX:NSM) has retained the remaining $500,000 of its greater placement to raise $1.5 million to drive exploration at its Darlington Wildwood and other projects.
The company delegated another 16.66 million shares at $0.03 per share, after previously issuing 33.33 million shares at the same issue price on 23 June.
The issue price represents a 6.25% discount to its last closing price, listed at $0.032 on 5 June, and a 14.1% discount to the 15-day VWAP of $0.035 from the same closing day.
North Stawell is also raising another $2.1 million from a pro rata entitlement offer on a two for nine basis under the issue price conditions for a total of 71.93 million shares.
GBA Capital is acting as the lead manager for the offer, which is expected to close on 25 July after a period extension, as reported by Mining.com.au.
North Stawell intends to use $2.75 million of the total funds solely for exploration and drilling of Darlington and Lubeck Tip, as well as an external review of Wildwood.
Remaining funds will be allocated to general working capital and raising costs.
Write to Maddison Elliott at Mining.com.au
Images: Horizon Gold
