Yesterday (10 June), several mining companies announced capital raises, including Firefly Metals (ASX:FFM), who raised $135 million to accelerate an exploration campaign at its Green Bay Copper-Gold Project in Canada.
The company has raised up to $95 million to issue 94.7 million shares, with a charity flow-through placement raising $11.2 million at a price of $1.49 per share, as well as an institutional placement raising $54.9 million at the offer price of $0.96 per share.
The charity flow-through placement represents a 44.6% premium to the last closing price, where the institutional placement offers a 6.8% discount to the closing price and a 7.2% discount to the company’s 10-day volume weighted average price.
Another $28.8 million is returned from the fully underwritten bought deal with BMO Capital Markets.
Canaccord Genuity acted as the sole lead manager and bookrunner for the placement, with Euroz Hartleys and Argonaut Securities acting as co-managers.
Firefly plans to use the proceeds for the capital raise and share purchase plan to conduct underground development, resource extension and infill drilling, regional and near mine exploration and drill testing at its Green Bay Copper-Gold Project, as well as funding towards pre-construction and study works.
Caravel Minerals (ASX:CVV) has secured $15 million through a loan facility from Regal Funds Management’s Regal Resources Royalties Fund to complete a Bankable Feasibility Study (BFS) of its namesake copper project.
Lasting 18 months from drawdown (any date on or before 31 July 2025), Caravel will compound an interest rate of 10% per annum quarterly and capitalised to load maturity.
The company can elect to repay the outstanding amount at any time within the term or convert royalty interest in the project at a rate of 0.75% of the net smelter return.
At any point in or after the term, Regal is granted an enduring first right to participate in any royalty or stream financing.
Following the completion of metallurgical testwork at the Caravel Copper Project, Caravel believes a Feasibility Study will deliver certainty of the project’s prospects while also helping the company to secure partners and financers.
Prodigy Gold (ASX:PRX) will undertake an underwritten entitlement offer to raise $6.35 million at a price of $0.002 per share to advance exploration across its key projects.
APAC Resources has agreed to partially underwrite the offer for up to $1.88 million with $381,000 worth in shares under the shortfall offer.
Plutus Prospecting will also partially underwrite the offer for an amount equal to the greater of $1.87 million worth in shares, so long as the company does not excess 19.90% of shares.
Ignite Equity will act as the lead manager to the entitlement offer.
Along with the development of the Tanami North Project, Tanami West Projects, and surrounding brownfield targets, Prodigy looks to progress its Hyperion Mineral Lease application, as well as assessing options to recommence mining at the Old Pirate Deposit.
On the tail of its acquisition of the Errolls Gold Project, Breakthrough Minerals (ASX:BTM) has completed a raising of $1.2 million to issue up to 16.55 million shares at a price of $0.07 per share.
The company also allocated an additional 857,143 shares to directors at a price of $0.07 per share.
Canaccord Genuity acted as the lead manager for this placement.
Breakthrough intends to use funds to prepare the project for a maiden drill program, targeting shallow gold mineralisation identified in previous reverse circulation drilling.
Aguia Resources (ASX:AGR) has secured commitments from investors to raise $750,000 via the issue of convertible notes.
Convertible notes are listed at a price of $0.045, to expire 12 months from the date of issue with potential to extend another 12 months, subject to shareholder approval at an upcoming general meeting.
Notes are payable bi-annually and will accrue interest at 10% per annum.
Firefly Metals will be attending the Noosa Mining Investor Conference, held between 23-25 July, at the Peppers Noosa Resort.
Mining.com.au is an official media partner of this year’s conference.
Write to Maddison Elliott at Mining.com.au
Images: Aguia & Firefly
