- Oklo Resources (OKU) has received firm commitments from sophisticated and institutional investors for a $12.5 million placement
- This amount exceeds the original $10 million target
- More than 59 million shares will be issued at a price of 21 cents per share
- The company will use the money to continue exploration activities at its projects in Mali and as general working capital
- Oklo is currently down 23.9 per cent and shares are trading for 18 cents apiece
Oklo Resources (OKU) has received firm commitments from sophisticated and institutional investors for a $12.5 million placement.
A total of 59,523,811 fully paid shares will be issued at 21 cents per share to raise the funds.
Oklo received strong support for the placement, exceeding the original target amount of $10 million.
All shares will be issued in a single phase and will not require shareholder approval.
Canaccord Genuity acted as Lead Manager while finance companies, Taylor Collison and Bridge Street Capital Partners acted as Co-Managers.
Money raised will be primarily used to continue exploration activities over Oklo’s existing projects in west Mali, which includes an expanded drill program at SK1, and as general working capital.
“The company is once again delighted with the strong support shown in this placement by new and existing institutional investors,” Managing Director Simon Taylor commented.
“Oklo is now well placed to accelerate the drill-out of the exciting SK1 North discovery in advance of our maiden mineral resource estimate backed by a cash position of circa $18 million,” he added.
SK1 is located within Oklo’s 134 square kilometre Dandoko Project in West Mali.
Previous drilling has returned high-grade results such as seven metres at 10.09g/t gold from 38 metres including two metres at 25.25g/t gold from 40 metres, and seven metres at 13.11g/t gold from 21 metres including one metre at 65.40g/t gold from 26 metres.
These results confirm that mineralisation at SK1 remains open at depth and along strike.
The Board has approved an expanded 10,000 metre reverse circulation and 2000 metre diamond drilling program.
Oklo is currently down 23.9 per cent with shares trading for 18 cents apiece at 11:46 am AEDT.