Woomera Mining (ASX:WML) has launched a share placement to sophisticated investors and company directors to raise up to $2.3 million.
Under the capital raise, Woomera plans to issue 233 million shares at $0.009 each to private investors to raise $2.1 million. Further to this share issue and subject to shareholder approval, Woomera directors plan to participate on the same terms as the placement to raise an additional $220,000.
The $8.61 million market capitalisation company says the allotment of the placement to investors will take place on 8 November 2023.
Proceeds from the placement will be primarily used to fund reverse circulation (RC) drilling and geochemical sampling programs at Woomera’s Ravensthorpe lithium projects, namely the Mt Cattlin and Mt Short projects.
The company anticipates drilling to begin at both projects later this month, with the programs to comprise 1,500m of RC drilling each.
In parallel, Woomera will complete additional geochemical sampling over both projects to define further lithium anomalies for follow-up drilling next year.
Subsequent to today’s announcement, Woomera’s share price has increased by 11.11% at $0.011 as of 1:00pm AEDT.
Both projects are located in the Ravensthorpe lithium district, east-southeast of Perth in Western Australia.
Woomera Mining is an Adelaide-based explorer with ‘high-quality’ exploration assets prospective for precious metals and battery metals throughout Western Australia and South Australia.
Write to Aaliyah Rogan at Mining.com.au
Images: Woomera Mining
