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- Aurumin (AUN) signs a drill-for-equity agreement with Topdrill, which will complete drilling at AUN’s Sandstone operations in Western Australia
- Aurumin will be able to pay up to 50 per cent of the drilling costs using shares, up to a maximum amount of $1 million worth of shares
- The drilling program will focus on recently-defined geochemical and structural targets at Sandstone and will begin early next year
- Aurumin shares are up 0.69 per cent to trade at 7.25 cents at 1:37 pm AEDT
Aurumin (AUN) has signed a drill-for-equity agreement with Topdrill, which will complete drilling at AUN’s Sandstone operations in Western Australia.
Under the agreement, Aurumin will be allowed to pay up to 50 per cent of the drilling costs with shares instead of cash. However, this will be capped at $1 million worth of AUN shares.
The issue price of these shares will be determined by the company’s five-day volume-weighted average price immediately before each Topdrill invoice.
Aurumin Managing Director Brad Valiukas said this was great support from “one of the best drilling contractors in WA” for both the company and its projects.
“The next drill program at Sandstone will commence on the recently-defined geochemical and structural targets on the mining leases, and this agreement will assist us to commence drilling those targets early in the new year,” Mr Valiukas said.
The company laid out plans for this upcoming drilling program in November when it announced a $3.1 million capital raise to fund the drilling of geochemical and structural targets.
Target generation is ongoing, and the drilling program will start in early 2023.
Aurumin shares were up 0.69 per cent to trade at 7.25 cents at 1:37 pm AEDT.
