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- Tesoro Resources (TSO) closes its share purchase plan after raising just over $211,000 — a fraction of the $3 million sought from the raise
- Eligible shareholders could subscribe for up to $30,000 worth of shares at a price of $0.085, with shares due to be issued on December 13
- The SPP follows a share placement which raised $4.3 million through the issue of over 51 million shares
- The company says it’s well-funded to deliver an expanded mineral resource estimate in early 2022 to support a scoping study at the El Zorro Gold Project in Chile
- Tesoro Resources is up 6.67 per cent and trading at 8 cents at 2:18 pm AEDT
Tesoro Resources (TSO) has closed its share purchase plan after receiving subscriptions for just over $211,000 — a fraction of the $3 million sought from the raise.
Under the SPP, each eligible shareholder was able to subscribe for up to $30,000 worth of new fully paid ordinary shares at an issue price of $0.085 each.
The company received valid applications for a total of 2,487,695 new shares, totalling $211,454.08. The company was planning to issue over 35 million shares to raise $3 million, according to an October ASX announcement.
Now, Tesoro will look to place the remaining SPP shares under a shortfall offer that will remain open until March 6, 2022.
The SPP follows a share placement which raised around $4.3 million through the issue of 51,000,011 shares at the same price as the SPP.
Tesoro said new shares will be issued on December 13.
Still, with these placement and purchase plan funds combined, plus existing cash reserves, the company said it’s well-funded to deliver an expanded mineral resource estimate in early 2022 to support a scoping study at the El Zorro Gold Project in Chile.
The fundraising comes after Tesoro Resources recently extended its Ternera deposit by 400 metres following step-out drilling. Assays for eight diamond drill holes completed as part of a current extensional and infill drilling program at El Zorro showed a continuity of gold mineralisation along the Ternera East trend.
Results included 5.5 metres at 13.22 grams per tonne (g/t) gold from 122 metres and 2 metres at 2.30 g/t gold from 427 metres.
Assays are still pending for 40 diamond drill holes, with results to be announced once received.
Tesoro Resources was up 5.33 per cent and trading at 7.9 cents at 1:20 pm AEDT.
