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- Cohiba Minerals (CHK) has received binding commitments to undertake a $2.29 million capital raise
- The capital raise will be completed through the issue of more than 143 million fully paid shares to sophisticated and professional investors at a price of 1.6 cents each
- Cohiba will also be issuing one free attaching option for every two shares applied for with just over 71.5 million options to be issued
- Further, Cohiba has received firm commitments from Directors to raise an additional $292,000, however, this is subject to shareholder approval
- The company also announced today that the field team has arrived on site and drilling has begun at Horse Well in South Australia
- Drilling will be targeting a deep magnetotelluric conductive feature and the Tapley Hill Formation identified in May 2020
- Cohiba is up a steady 12.5 per cent on the market and shares are trading for 1.8 cents each
Cohiba Minerals (CHK) has received binding commitments to undertake a $2.29 million capital raise.
The company entered two consecutive trading halts at the beginning of the week but did not state how much it would be raising or what the funds will be used for.
The capital raise will be completed through the issue of 143,125,000 fully paid ordinary shares to sophisticated and professional investors at 1.6 cents each.
Cohiba will also be issuing one free attaching option for every two shares applied for, with 71,562,500 options to be issued.
The money will be used for exploration activities and working capital requirements.
Further, Cohiba has received firm commitments from directors to raise an additional $292,000, however, this is subject to shareholder approval.
“We are pleased with the strong level of support and demand for this capital raising from existing and new shareholders which provides further evidence of the positive sentiment behind our current exploration strategy,” CEO Andrew Graham said.
“The board would like to thank all existing and new shareholders for their participation in the placement. The company has sufficient funding available for our exploration programs and project development,” he added.
Cohiba has also announced today that the field team has arrived on site and drilling has begun at Horse Well in South Australia.
Drilling will be targeting a deep magnetotelluric conductive feature and the Tapley Hill Formation identified in May 2020.
Work will begin with reverse circulation drilling for the first 400 to 450 metres then change to diamond drilling for an estimated depth of 1300 metres.
Once completed, Cohiba will investigate targets at the Pernatty C prospect with reverse circulation drilling expected to be completed to a depth of 300 metres.
“We are very pleased to announce the company has commenced drilling on the Horse Well project. A huge number of man-hours have been expended in achieving this milestone and we look forward to reporting on progress in the near future,” Andrew stated.
Cohiba is up a steady 12.5 per cent and shares are trading for 1.8 cents each at 1:01 pm AEST.
