- Mithril Resources (MTH) receives firm commitments from sophisticated and professional investors to raise $3.5 million through a share placement
- The placement delivers 350 million new Mithril shares to participants at an issue price of one cent each
- The issue price represents a 9.1 per cent discount to Mithril’s last trading price of 1.1 cents on April 8 and a 12 per cent discount to the five-day volume-weighted average price of 1.4 cents
- Participants will also receive one free attaching option for every two shares subscribed for, exercisable at 1.5 cents each with an expiry date two years from issue
- Mithril says the new capital raise funds will be used to continue diamond core drilling in the Copalquin District in Mexico to expand the high-grade mineral resource estimate for its El Refugio gold-silver deposit and test targets along strike
- MTH shares down 4.35 per cent to 1.1 cents
Mithril Resources (MTH) has received firm commitments from sophisticated and professional investors to raise $3.5 million through a share placement.
The placement will deliver 350 million new Mithril shares to participants at an issue price of one cent each.
The issue price represents a 9.1 per cent discount to Mithril’s last trading price of 1.1 cents on April 8 and a 12 per cent discount to the five-day volume-weighted average price of 1.4 cents.
Participants will also receive one free attaching option for every two shares subscribed for, exercisable at 1.5 cents each with an expiry date two years from issue.
Mithril said the new capital raise funds would be predominantly used to continue diamond core drilling in the Copalquin District in Mexico to expand the high-grade mineral resource estimate (MRE) for its El Refugio gold-silver deposit and test targets along strike.
The company recently released its maiden El Refugio MRE, which also incorporates the La Soledad deposit.
It currently stands at an indicated and inferred 2.4 million tonnes at 4.8 grams per tonne gold and 141 g/t silver for 373,000 ounces of contained gold and 10.9 million ounces of contained silver.
“Following on from the excellent high-grade maiden JORC resource at El Refugio, dry season work has expanded drill targets along strike from El Refugio and in other parts of the district,” CEO and Managing Director John Skeet said.
“Diamond core drilling will focus on the expansion of the El Refugio resource, which is open at depth and to the west as well as testing targets further along strike.”
MTH shares were down 4.35 per cent to 1.1 cents at 1:43 pm AEST.