Lode Resources (ASX:LDR) to raise $4.44m for drilling at NSW projects

• Lode Resources (LDR) is raising $4.44 million to fund drilling at its Webbs Consol and Uralla projects in NSW
• The company will issue 14.8 million shares to institutional and sophisticated investors at 30 cents per share to raise the funds
• Investors will also get one option for every three shares subscribed for, which they can exercise at 24 cents before August 25, 2024
• Managing Director Ted Leschke says he’s “very excited” to continue drilling at Webbs Consol after receiving some strong recent drill results
• Company shares are soaring 23.88 per cent to trade at 41.5 cents at 12:18 pm AEDT.

Lode Resources (LDR) has received firm commitments to raise $4.44 million through a share placement.

All up, the company will issue 14.8 million shares to institutional and sophisticated investors at 30 cents per share. The issue price represents a 10.45 per cent discount to the company’s last trading price and a 3.4 per cent premium to its 15-day volume-weighted average price of 29 cents.

In addition, investors will receive one option for every three shares subscribed for. The options can be exercised at 24 cents and will expire on August 25, 2024.

LDR shares exploded last week when the company announced an “outstanding” drill intercept at its Webbs Consol silver project, with silver grades reaching as high as 3300 grams per tonne.

Lode Resources said it would use the new funds to conduct drilling at its Webbs Consol and Uralla projects in New South Wales.

Lode Managing Director Ted Leschke said he was “very excited” to continue drilling at the Webbs Consol project.

“The recently reported high-grade and thick WCS045 drill intercept demonstrates the strong vertical continuity of the Tangoa West Lode mineralisation and rapidly increasing the mineral endowment with depth,” he said.

“After this placement, the company remains fully funded for the upcoming high-impact drilling programs and beyond!”

DealAccess, which is acting as Lead Manager to the placement, will receive 2.5 million unlisted options which it can exercise at 40 cents within two years of issue.

Company shares were soaring 23.88 per cent to trade at 41.5 cents at 12:18 pm AEDT.