- Rox Resources (RXL) has closed its oversubscribed share purchase plan, raising $4 million for exploration at its West Australian gold and nickel assets
- Through the plan, the company has issued roughly 166.67 million shares at 2.4 cents each
- The proceeds will be combined with the $8.74 million raised through Rox’s recent institutional placement
- The company will use to proceed to advance exploration at its Youanmi Gold Project and the Mt Fisher Nickel Project
- Rox is up 45.8 per cent on the market today, trading for 3.5 cents per share
Rox Resources (RXL) has closed its oversubscribed share purchase plan, raising $4 million for exploration at its West Australian gold and nickel assets.
The company closed the plan oversubscribed at $5.3 million, though the company scaled back the applicants to the $4 million level.
Through the plan, the company has issued roughly 166.67 million shares at 2.4 cents each.
The proceeds will be combined with the $8.74 million raised through Rox’s recent institutional placement. Rox will use the proceeds to advance its Youanmi Gold Project and the Mt Fisher Nickel Project in Western Australia.
Rox recently acquired a further 20 per cent interest in the Youanmi Gold Project, through the existing option agreement with Venus Metals. To gain the additional interest the company paid Venus Metals $2 million in cash and issued $1 million in shares.
Rox now owns a 70 per cent interest in the property, with Venus retaining the remaining 30 per cent.
The company also hopes to accelerate drilling and other exploration activities at Youanmi and fund nickel exploration at Mt Fisher East, which it expects to begin shortly.
Rox’s Managing Director Alex Passmore commented on the placement closing.
“It is a very pleasing result to receive such strong support from our shareholders. We thank all of those who participated. We look forward to rewarding this support by continuing to add, and also to demonstrate, the value of the company’s portfolio via active exploration on our high-quality projects,” he said.
Rox is up 45.8 per cent on the market today, trading for 3.5 cents per share at 11:10 am AEST.