- Carbine Resources (CRB) has signed a binding term sheet agreement to acquire Australian United Silica Corporation (Ausco)
- Ausco holds 100 per cent of the Muchea West Silica Sands Project in Western Australia
- Recent aircore drilling of 82 holes at Muchea defined a 100-square-kilometre target area
- Significant drill results include intersections of nine metres at 99.8 per cent silicon dioxide (SiO2) from one metre, returned from both Aus011 and Aus013
- Pursuant to a public offer under a prospectus — Carbine is targeting a capital raise up to $3 million, before costs, through
- Carbine will appoint Peter Main as non-executive chairman and Peter Batten as managing director while Evan Cranston is to remain on the board as a non-executive director
- Carbine Resources has been in a trading halt since May 2019and last traded at 4.2 cents
Carbine Resources (CRB) has signed a binding term sheet agreement to acquire Australian United Silica Corporation (Ausco).
Ausco holds 100 per cent of the highly prospective Muchea West Silica Sands Project in Western Australia.
CRB, through the deal, is set to acquire Muchea, where recent exploration has defined a target area spanning 100 square kilometres.
The activities included air core drilling of 82 holes, which returned several significant assays.
These included intersections of nine metres at 99.8 per cent silicon dioxide (SiO2) from one metre from both Aus011 and Aus013.
Another drill hole, Aus014, returned nine metres at 99.8 per cent SiO2 from one metre.
In fact, according to Carbine, all 82 holes returned white sand profiles of greater than 99 per cent SiO2.
Only 16 holes returned profiles with silica contents less than 99.6 per cent.
Off the back of the transaction — and pursuant to a public offer under a prospectus — Carbine is targeting a capital raise of at least $2.5 million and up to $3 million, before costs.
Subject to shareholder approval, the company is poised to issue a minimum of 83.3 million fully paid ordinary shares and a maximum of 100 million shares priced at 3 cents.
Proposed appointment of directors
Further, effective from the settlement date, Carbine will appoint Peter Main as its Non-Executive Chairman and Peter Batten as Managing Director.
Evan Cranston will remain on the board as a non-executive director while directors Matthew O’Hara and Oonagh Malone will step down. Oonagh, however, will remain as secretary.
CRB will allocate the capital raised to an exploration program at the Muchea project.
Carbine has been in a trading halt since May 2019 with shares last trading at 4.2 cents.