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St George Mining (ASX:SGQ) completes $3.6M placement

Mining
ASX:SGQ      MCAP $18.78M
15 May 2020 12:45 (AEST)
St George Mining (ASX:SGQ) - Executive Chairman, John Prineas

Source: St George Mining

Nickel miner St George Mining (SGQ) has completed its $3.6 million private placement.

A total of 45,277,814 shares were issued at $0.08 per share to raise $3,622,225, following very strong interest from institutional and high net worth resources investors.

When the company first launched the placement on May 7, it stated the funds would be used for the Mt Alexander nickel-copper sulphide project in Western Australia.

Less than one week later, St George launched a share purchase plan to raise up to $1.6 million. Eligible shareholders are invited to also acquire company shares at $0.08 per share until the offer closes on May 29 2020.

“The support received in the Placement – and in the SPP to date – has been very strong and we thank all investors for the backing they have shown the company,” Executive Chairman John Prineas said.

Specifically, funds from the placement and share purchase plan will go towards a drilling program at Mt Alexander.

This drilling is expected to begin next week and will target potential new high‐grade nickel‐copper sulphides as well as targets to confirm the extension of known mineralisation.

“The shallow nickel‐copper sulphide deposits already discovered in the Cathedrals Belt have confirmed the presence of exceptional high‐grade nickel, copper, cobalt and platinum group metals over a strike of 5.5 kilometres,” John added.

St George is confident that upcoming drilling will uncover further mineralisation at the up and coming Mt Alexander project.

St George is up 6.33 per cent and shares are trading for 8.4 cents each at 11:54 am AEST.

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