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PepinNini Minerals (ASX:PNN) prepares for share placement

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ASX:PNN      MCAP $10.18M
14 December 2021 16:11 (AEST)

Kappinie licence area. Source: PepinNini Minerals

PepinNini Minerals (PNN) has entered a trading halt prior to raising some capital.

The materials stock hasn’t given any details on how much it expects to raise nor how it will spend the money. It did however say the capital raise will be in the form of a share placement.

Yesterday, the company announced it will commence a phase one drilling program next month at the Eyre Peninsula kaolin-halloysite project in South Australia.

The project comprises three exploration licences covering 1413 square kilometres and is located adjacent to Andromeda Metals’ (ADN) kaolin-halloysite project areas.

PepinNini expects to complete up to 130 holes, for 7800 metres, of aircore drilling across all three tenements to follow up on targets defined by geophysics and test the depth, strike extent and mineralogy of known kaolin occurrences.

The miner already engaged a drilling contractor and hopes to start drilling in January 2022, subject to receiving the relevant approvals.

Following the first-phase program and subject to the results, PNN expects to undertake phase two drilling to further expand the kaolin footprint and drill test new targets.

Whether or not the capital raise will support exploration efforts is not known for sure, but details will be released by Thursday, December 16 which is when the company expects to come out of the halt.

Shares last traded at 46 cents on Monday, December 13.

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