- Jadar Resources (JDR) receives firm commitments to undertake a $3.5 million placement
- A total of 116.7 million ordinary shares will be issued to sophisticated and institutional investors at 3 cents each
- Participants will also receive one free attaching option for every two shares subscribed for, exercisable at 4.5 cents with expiry on August 31, 2024
- Once received, Jadar will use the money to fund the acquisitions of the Mt Wells and Khartoum tin projects
- Jadar ended the day 12.5 per cent in the red with shares trading at 2.8 cents
Jadar Resources (JDR) has received firm commitments to undertake a $3.5 million placement.
The company entered a trading halt on August 17 but did not disclose how much it intended to raise or how it would use the funds.
A total of 116.7 million ordinary shares will be issued to sophisticated and institutional investors at 3 cents.
Participants will also receive one free attaching option for every two shares subscribed for, exercisable at 4.5 cents with expiry on August 31, 2024.
Jadar will use the money to fund the acquisitions of the Mt Wells and Khartoum tin projects.
The Mt Wells Project is set to be acquired from Outback Metals in tandem with the Maranboy Project.
It was a historically significant tin producer, however there has been no meaningful mining since 1929.
Once the project has been acquired, Jadar will evaluate and convert the non-JORC compliant resources into JORC-compliant resources.
The Khartoum Project lies 100 kilometres southwest of Cairns and is prospective for tin, silver and tungsten mineralisation.
It is being acquired from Jervois Mining (JRV) with the companies signing a sale and purchase agreement to purchase it for $165,000.
Executive Director Adrian Paul commented on the outcome of the placement.
“With the additional capital raise via this placement we are extremely well positioned to progress with our acquisitions at both the Mt Wells and Khartoum Tin projects,” Mr Paul said.
“I would like to take this opportunity to welcome our new shareholders to the register and thank our exisiting shareholders for their continued support.”
Jadar ended the day 12.5 per cent in the red with shares trading at 2.8 cents.