- Ora Banda Mining (OBM) has entered a trading halt ahead of a capital raise
- On June 30, the company completed a definitive feasibility study for its Davyhurst Gold Project in WA
- The miner will fund the first phase of development activities from existing cash reserves
- However, it hopes to fund the remaining pre-production capital, totalling roughly $45 million, through a $55 million capital raise
- Whether Ora Banda will be able to raise the full amount is not yet known
- Company shares last traded for 25.5 cents each on July 2
Ora Banda Mining (OBM) has entered a trading halt ahead of a capital raise.
Unless the ASX decides otherwise, Ora Banda’s securities will remain in a trading halt until on or before normal trading commences on Tuesday, July 7 or when the announcement is released to the market.
Just a few days ago, the company completed its definitive feasibility study (DFS) for its wholly-owned Davyhurst Gold Project in the Eastern Goldfields of Western Australia.
The Davyhurst Gold Project, including Mt Ida, has a total mineral resource of 23.7 million tonnes at 2.8g/t gold for 2.1 million ounces of contained gold.
The announcement outlined that Ora Banda will fund the first phase of development activities from its current cash reserves.
However, the miner also stated it will consider financing the remaining pre-production capital, an expected $45 million, through an equity capital raising of up to $55 million. The money raised will also cover exploration costs.
Ora Banda is continuing to undertake drilling programs along its 1350 square kilometre landholdings, which covers 200 kilometres of strike.
Company shares last traded for 25.5 cents each on July 2.