- Mineral Commodities (MRC) has received firm commitments to undertake a $6.58 million placement
- 32.9 million shares will be issued to sophisticated and professional investors at 20 cents each
- MRC will use the money to continue exploration at the Tormin Mineral Sands Operation in South Africa and for working capital requirements
- Company shares are steady on the market today and are currently trading for 24 cents each
Mineral Commodities (MRC) has received firm commitments to undertake a $6.58 million placement.
Under the raise, 32.9 million shares will be issued to sophisticated and professional investors at 20 cents each.
This price represents a 13 per cent discount to the 15-day volume-weighted average price, and a 15 per cent discount to the 30-day volume-weighted average price up to, and including, June 26.
MRC will use the money to continue exploration at the Tormin Mineral Sands Operation in South Africa and working capital requirements.
Tormin is located 360 kilometres north of Cape Town and hosts some of the riches grades of zircon, rutile, magnetite, garnet, and ilmenite in the world.
Mineral Commodities recently announced a maiden JORC resource estimate for Tormin, totalling 2.5 million tonnes at 23.5 per cent total heavy minerals.
The project is unique due to the speed at which the mineralisation is replenished. The heavy minerals are generally replaced by new sediments from deeper waters, most of which have derived from the erosion of historical deposits.
Since operations began, more than 12.3 million tonnes of ore have been mined from Tormin.
MRC is steady on the market today and shares are trading for 24 cents each at 2:34 pm AEST.