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Titan Minerals (ASX:TTM) set to raise $14M for Ecuadorian gold projects

Mining
ASX:TTM      MCAP $52.47M
02 June 2020 06:00 (AEST)

Titan Minerals (TTM) has received firm commitments for a $12 million placement and will use the money to speed-up its Ecuadorian gold projects.

A total of 185,376,923 new shares will be issued under the placement to institutional investors at a price of $0.065 per share.

This price represents a 17.7 per cent discount to Titan’s last closing price of $0.079 per share on May 27, and a 14.5 per cent discount to the 15-day volume weighted average price.

Shares are expected settle on June 4.

As well as this placement, Titan is planning on offering eligible shareholders the opportunity to participate in a share purchase plan to raise an additional $2 million.

Shareholders will be able to purchase up to $30,000 worth of shares at a price of $0.065 per share.

The share purchase plan will open on June 9, close on June 25, and shares will be allocated on July 27.

The money raised from both the placement and share purchase plan will be used to fully fund exploration activities at the Dynasty Gold and Copper Duke projects, as well as general working capital.

“We are pleased with the string support that we received from Australian and global institutions. We are ready to commence a high impact drilling campaign on our Dynasty Gold Project in Ecuador as soon as possible,” Managing Director Laurie Marsland stated.

“Coupled with our ongoing logging and sampling program, this drilling should enable us to quickly convert the substantial NI 43-101 resource to a JORC Code compliant resource,” he said.

“We also intend to deploy funds raised to commence exploration activities at the exciting Copper Duke Project, including airborne geophysical surveys for high resolution magnetic coverage and surface sampling programs,” he added.

Titan has ended the day 5.06 per cent in the red with shares trading for 7.5 cents each in a $63.78 million market cap.

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