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- Greenvale Mining (GRV) is looking to net $3 million via a share purchase plan (SPP) for work at its Alpha Torbanite Project in Central Queensland
- Last week the company announced plans to complete a $1.5 million drilling program to underpin a resource estimate and pre-feasibility study
- Under the SPP, shares will be offered at 13 cents each, which represents a discount of nearly 20 per cent to the average price over the last five trading days
- GRV shares have been down 15.2 per cent at 14 cents
Greenvale Mining (GRV) is looking to net $3 million from shareholders for work at its Alpha Torbanite Project in Central Queensland.
Last week the company announced its plans to complete a $1.5 million drilling program at the project to underpin resource and reserve estimation and a pre-feasibility study (PFS) due by the end of June.
Greenvale is looking to raise the new cash via a share purchase plan at 13 cents per new share. That issue price represents a 19.63 per cent discount to the five-day volume weighted average price.
“We are very pleased to offer our supportive shareholder base the opportunity to increase their investment in the Company at this exciting stage of its development through this SPP,” said Managing Director Neil Biddle.
“We believe that Greenvale is about to move quickly up the value curve as we execute our plans at the Alpha Torbanite Project.”
The funds will add to the company’s cash reserves which totalled $3.8 million at the end of the December quarter.
“The proceeds will put us in a very strong position to complete the PFS, engage with customers, secure off-take agreements and move rapidly to Final Investment Decision on what we believe will be an exceptional development opportunity with low capital intensity and outstanding financial and economic returns,” Neil added.
The record date for the SPP has been set as February 18, 2021. The offer will open on February 26 and close on March 15.
GRV shares have been trading 15.2 per cent lower at 14 cents at 12:01 pm AEDT.
