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- Jadar Resources (JDR) enters a trading halt pending an upcoming capital raising
- The company will remain in the halt until August 19 or when an announcement is made, whichever occurs first
- On August 9, Jadar revealed it had signed a term sheet with Outback Metals to purchase the Mt Wells and Maranboy projects in the Northern Territory
- The projects host several tin, copper, gold, silver, tungsten and iron-manganese prospects which are significantly underexplored
- Shares in Jadar last traded at 3.2 cents on August 16
Jadar Resources (JDR) has entered a trading halt pending an upcoming capital raising.
The company will remain in the halt until August 19 or when an announcement is made, whichever occurs first.
Jadar is yet to disclose how much it intends to raise or what it will use the funds for once they’re received.
On August 9, Jadar revealed it had signed a term sheet with Outback Metals to purchase the Mt Wells and Maranboy projects in the Northern Territory.
Total consideration involves a $6.5 million cash payment and the issue of 20 million options.
The projects consist of 32 granted mining leases, one mining lease application, two granted exploration licences and one exploration licence application.
The Mt Wells and Maranboy projects consist of several tin, copper, gold, silver, tungsten and iron-manganese prospects which are significantly underexplored.
Once the term sheet has been executed, Jadar has 30 days to complete due diligence with the option to extend for a further 30.
The company said it expects to fund the purchase price through a $3 million convertible note and through an existing finance facility.
As of June 30, JDR had $1.67 million in cash and an estimated 3.09 quarters left of available funding.
Shares in Jadar last traded at 3.2 cents on August 16. The company has a $22.79 million market cap.
