Join our daily newsletter At The Bell to receive exclusive market insights
- Asra Minerals (ASR) raises $2.5 million to advance its Mt Stirling project in Western Australia
- The company issued 2.5 million convertible notes to sophisticated and professional investors, who’ll also receive 12 free-attaching listed options for each dollar invested
- The options can be exercised at 3.5 cents until November 30, 2023
- Asra Minerals is using the funds for drilling and other exploration activities at Mt Stirling, with work scheduled to begin in the first quarter of 2023
- Company shares are up 17.65 per cent to trade at 2 cents at 3:49 pm AEDT
Asra Minerals (ASR) has raised $2.5 million to advance its Mt Stirling project in Western Australia’s Eastern Goldfields.
The company completed a capital raise through the issue of 2.5 million unsecured convertible notes to both new and existing sophisticated and professional investors.
The convertible note holders will also receive 12 free-attaching listed options for each dollar invested. These options can be exercised at 3.5 cents each and will expire on November 30, 2023.
If the noteholders convert the options into shares, Asra Minerals could potentially receive $1.05 million in additional funding.
GBA Capital acted as Lead Manager to the capital raise and will be issued 17 million listed
options as part of the lead manager fee.
All up, Asra plans to issue over 47 million options.
Asra Minerals will primarily use the funds for exploration at the Yttria and Wishbone clay-hosted rare earth element (REE) discovery areas at Mt Stirling.
Specific activities the company has planned include the definition of the near-surface regolith REE profile, resource definition drilling along the 30-kilometre strike at Mt Stirling, and the evaluation of critical minerals distribution and intrusive targets.
Asra Minerals is currently designing drilling programs scheduled to begin in the first quarter of 2023. It will also carry out geological mapping and geophysical programs at the Mt Stirling project.
Company shares were up 17.65 per cent to trade at 2 cents at 3:49 pm AEDT.
