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- Peel Mining (PEX) is set to undertake a $23 million equity raising consisting of a $21 million placement and a $2 million share purchase plan (SPP)
- The company states it will use the money to continue the growth of the high-grade South Cobar Copper Project and pay for permitting
- More than 116.66 million shares will be issued under the placement at 18 cents each, while the SPP will allow eligible shareholders to subscribe for up to $30,000 worth of shares
- Peel also announced some board appointments, with Mark Okeby to be appointed Chairman and Jim Simpson to be appointed CEO and Managing Director
- Peel ended yesterday 15 per cent in the green with shares trading at 23 cents
Peel Mining (PEX) is set to undertake a $23 million equity raising consisting of a $21 million placement and a $2 million share purchase plan (SPP).
The company has stated it will use the money from both the placement and SPP to continue the growth of the high-grade copper resources at the South Cobar Copper Project and pay for permitting.
Placement
Peel has already received binding commitments for the placement, with more than 116.66 million shares to be on issue at a price of 18 cents.
This price represents a 10 per cent discount to Peel’s last trading price of 20 cents on February 22 and an 11 per cent discount to the five-day volume-weighted average price.
Subject to shareholder approval, CEO and Managing Director Jim Simpson will be subscribing for $500,000, Non-Executive Directors Graham Hardie and Simon Hadfield will subscribe for $250,000 and $100,000, respectively.
SPP
The SPP will aim to raise up to $2 million, with eligible shareholders able to subscribe for up to $30,000 worth of shares priced at 18 cents.
Peel’s board has the right to close the offer early once at least $2 million in subscriptions have been received.
The SPP will open on March 3 and close on March 16 with shares to be issued on March 21.
Board appointments
Peel has also announced some board appointments, with Mark Okeby to be appointed Chairman and Jim Simpson to be appointed CEO and Managing Director.
Rob Tyson will transition from Managing Director to Executive Director – Technical and Simon Hadfield will transition from Chairman to Non-Executive Director.
Mr Simpson has been Executive Director – Technical of Peel since September 2019 and brings a wealth of experience into the CEO and Managing Director roles.
He has extensive experience in developing and operating underground base metal and gold mines as well as significant mining company board and management experience.
Prior to joining Peel, Mr Simpson was the CEO and Managing Director of Aurelia Metals (AMI) from 2016 to 2019, during which time the company acquired the Peak gold mine and made the Federation and Dominion discoveries.
Mr Okeby has more than 30 years of experience as a director of ASX-listed mining and exploration companies, beginning his career in the resources industry in the 1980s.
Currently, he is a Director of Capricorn Metals (CMM) and Red Hill Iron (RHI).
Mr Okeby has helped transform Capricorn from a small gold developer to one of Australia’s newest gold producers.
He has a deep knowledge of the Australian resources landscape and regulatory hurdles surrounding mine development and operation.
Peel has ended the day yesterday 15 per cent in the green with shares trading at 23 cents in a $96.16 million market cap.
