- Montem Resources (MR1) has raised $5.2 million as it looks to progress its steelmaking coal projects in western Canada
- The company issued just over 30.39 million shares to sophisticated and institutional investors at 17 cents each
- A scoping study at its Chinook Project is currently underway, as is the permitting process for the restart of the Tent Mountain Mine
- The mining licence application and permit amendments for Tent Mountain are expected to be submitted in mid-2021
- Montem Resources is down 5 per cent to $0.19 per share
Montem Resources (MR1) has raised $5.2 million as it looks to progress its steelmaking coal projects in western Canada.
Under the terms of the offering, the development company issued just over 30.39 million shares to sophisticated and institutional investors at 17 cents each.
Included in Montem’s portfolio in the Crowsnest Pass region is the Chinook Project, for which a scoping study is currently underway, and the Tent Mountain Mine, which is engaged in the permitting process for the restart of operations.
Initial findings from the scoping study show the Chinook Project as an economic and technically viable asset, which Montem said justifies its progression to the pre-feasibility stage.
Submission of the mining licence application and permit amendments for the Test Mountain Mine are currently on track for the middle of this year, with the restart of production targeted for early 2023.
Peter Doyle, Managing Director and CEO of Montem Resources, said he is delighted with the support for the placement and welcomed a number of “highly credentialed” institutional investors to the company’s register.
“The company is fortunate to have an exciting portfolio of hard coking coal assets, with both Tent Mountain and Chinook located on favourable category four land.”
“The placement affirms our belief in the potential of our projects and provides a clear signal that the investment community understands the opportunity and differentiation Montem presents in the region,” he added.
Montem Resources is down 5 per cent to $0.19 per share at 1:23 pm AEDT.