Copper-focused Cobre5 Aug 2022 10:22
Copper-focused Cobre raises for Kalahari acceleration
Cobre, which is moving to 100% ownership in Ngami, has completed three 1km step-out holes over the past 10 days, extending the mineralised strike to over 3km, and a fourth step-out about to be drilled.
Cobre shares have soared from around 5c at the time of the first hole to a peak of 25c in recent days.
To accelerate exploration within the Kalahari Copper Belt, Cobre has announced an equity raising to raise some A$7 million over two tranches from new and existing investors, including its largest shareholder and Ngami partner, Metal Tiger, its drilling contractor and one of its directors.
The raising is priced at 15c, a 6% discount to its 15-day trading average.
Subject to shareholder approval, Metal Tiger will seek to maintain its 21% shareholding in Cobre with a further $1.5 million investment, and director Andrew Sissian wants the nod to subscribe for $300,000 of shares.
Canaccord Genuity organised the placement.
ASX-listed Mitchell Services, which undertakes Cobre's drilling in Botswana, will also subscribe for US$300,000 under separate deal that will be set-off against drilling services.
It also gains exclusive rights as drilling contractor.
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