Yari Minerals (ASX:YAR) has returned firm commitments to raise $1.5 million through a placement to fund an inaugural drilling campaign at its wholly owned South Rolleston Coal Project in the Bowen Basin, Queensland.
The company will issue 150 million shares at $0.01 per share, which incorporates a cornerstone investment from Copulos Group for $500,000.
CPS Capital Group is acting as the lead manager for this placement, with shares expected to settle on 22 September.
On the return of funds, Yari intends to commence drilling at the project to test ‘high-priority’ targets that hold potential to boost the current JORC-compliant resource of 190 million tonnes from the inferred category to indicated.
This program also intends to confirm the quality of semi-soft metallurgical coal through testing and the commencement of geotechnical drilling.
Managing Director Anthony Italiano says the board is thrilled to launch its inaugural drilling program at the project following “strong support” from investors.
“The campaign aims to expand the existing resource, upgrade its clarification, and confirm the presence of high-quality semi-soft metallurgical coal through test-work,” Italiano says.
“The board is confident that the insights gained will significantly enhance shareholder value.”
The company is currently finalising regulatory approvals to commence drilling at South Rolleston shortly.
Yari Minerals is a coal explorer focused on building “significant” resource across Queensland projects.
Write to Maddison Elliott at Mining.com.au
Images: Yari Minerals
