- S2 Resources (S2R) enters a trading halt while it finalises the details of an upcoming capital raising
- The company will remain in the halt until August 23 or when an announcement is released, whichever occurs first
- S2R’s Finnish subsidiary, Sakumpu Exploration Oy, recently entered a farm-in deal with Rupert Resources who may earn a 70 per cent stake in two of S2R’s licences
- In terms of its financial position S2R ended the June quarter with over $7.31 million in total funding, representing 5.78 quarters of estimated funding left
- Shares in S2R last traded at 14 cents on August 17
S2 Resources (S2R) has entered a trading halt while it finalises the details of an upcoming capital raising.
The company will remain in the halt until August 23 or when an announcement is released, whichever occurs first.
S2R is yet to disclose how much it intends to raise or what it will use the funds for once they’re received.
A few days ago, S2R’s Finnish subsidiary, Sakumpu Exploration Oy, entered a binding farm-in agreement with Rupert Resources.
Under the agreement, Rupert can spend up to €3.4 million (A$5.5 million) to earn a 70 per cent interest in S2R’s Sikavaara East and Sikavaara West licences in northern Finland.
These licences have intersected up to 6.1 grams of gold per tonne (g/t).
In its June quarterly, S2R revealed it had burnt through $1.26 million with the majority going towards exploration and evaluation.
The company also invested $20,000 in property, plant and equipment.
S2R ended the quarter with more than $7.31 million in total available funding, representing 5.78 quarters of use if spending levels remain the same.
Shares in S2R last traded at 14 cents on August 18. The company has a $44.08 million market cap.