Growth-focused nickel company St George Mining (ASX: SGQ) expects to resume drilling at its high-grade Mt Alexander nickel-sulphide project in the Goldfields this week after completing a $3.3 million institutional-led share placement. The latest raising was done at 10c per share. A diamond drill rig has arrived at Mt Alexander and is getting set to drill a large number of electromagnetic. “It’s an exciting time to be expanding exploration activities at Mt Alexander with heightened investor interest in the nickel sulphide market,” executive chairman John Prineas said.
Institutional‐led placement completed with the allotment of new shares
New funding will support an expansion of exploration programmes at the Mt Alexander Project
Diamond drilling of high‐grade nickel‐copper sulphide targets is scheduled to commence this week
Growth‐focused nickel company St George Mining Limited (ASX: SGQ) (“St George” or “the Company”) is pleased to confirm that, further to the ASX Release dated 19 July 2019, it has completed an institutional‐ led placement that has raised additional funding for its high‐grade nickel‐copper sulphide project at Mt Alexander located in the north‐eastern Goldfields of Western Australia.
The Company has issued 33,000,000 fully paid ordinary shares at $0.10 per share to raise $3,300,000 (the “Placement”).
John Prineas, St George Mining’s Executive Chairman said:
“We appreciate the backing of new and existing shareholders for our upcoming exploration programmes at Mt Alexander – programmes which have the potential to be significant near‐term value drivers.
“A diamond drill rig has arrived at Mt Alexander and drilling of a large number of electromagnetic (EM) conductors will start this week. We are confident that this major drill programme will identify additional high‐grade mineralisation that could significantly increase the resource potential at our advanced prospects in the Cathedrals Belt.
“Exploration at earlier stage targets will also be accelerated – with a focus on the Fish Hook Prospect in the underexplored eastern extension of the Cathedrals Belt and the West End Prospect near the Ida Fault – both of which offer excellent potential for a new greenfields discovery.
“It’s an exciting time to be expanding exploration activities at Mt Alexander with heightened investor interest in the nickel sulphide market.” After the issue of the above securities, the Company has the following listed securities on issue:
Fully Paid Ordinary Shares 368,307,665
Listed Options exercisable at $0.20 on or before 30 September 2019 24,579,714
The shares issued under the Placement were issued pursuant to the Company’s 15% placement capacity under ASX Listing Rule 7.1, and were placed pursuant to Section 708 of the Corporations Act 2001 (“the Act”).