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Silver City (ASX:SCI) completes placement for tenement acquisition from Syndicate Minerals

Mining
ASX:SCI
19 March 2020 13:00 (AEST)

Base and precious metals explorer Silver City Minerals (SCI) has completed a placement as part of its tenement acquisition from Syndicate Minerals.

The placement raised $250,000; more than the required $200,000 as set out in the option agreement for the exploration package in New South Wales.

Silver City executed the deal on March 10 to acquire the 200 square kilometre tenement which lies within the Wellington Project in the Lachlan Fold Belt.

The placement consisted of 25 million shares, issued at a price of 1 cent per share. Subject to shareholder approval, each subscribed share will come with an attaching option, exercisable for 2 cents each until October 31, 2022.

In addition, both parties have agreed to extend the option period to acquire the exploration package to allow for due diligence on the deal to be completed. This extends the initial 14 days to 30 days and pushes the end of the period back until April 25.

Shares in Silver City dropped 14.3 per cent today and closed 0.6 cents apiece.

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