The directors of Minotaur Exploration announced the company will launch a share purchase plan (SPP) complementary to an oversubscribed A$4 million placement. The SPP, which is not underwritten, will be on the same terms as the completed placement to raise approximately A$1 million.
The issue price of A$0.05 per share is the same price as the placement issue price. The right to participate in the SPP is available to Minotaur shareholders registered as holders of ordinary shares in the company as of 25 August 2020 and whose registered address is in Australia or New Zealand.
“Directors are pleased to provide our existing shareholders an opportunity to acquire additional shares via an SPP,” said Minotaur Managing Director Andrew Woskett.
"The success of the company’s oversubscribed placement represents a strong endorsement of Minotaur’s asset portfolio and potential value upside. We are motivated to deliver the work programmes across our various wholly owned and JV projects. Combined proceeds from the SPP and placement ensure that Minotaur is well capitalised to advance its projects and consider new opportunities as they may arise."
Proceeds from the placement and SPP will be used primarily to fund Minotaur’s suite of wholly owned Australian projects:
- Windsor Project, south of Charters Towers, Queensland – prospective for VMS style base metals and gold mineralisation.
- Pyramid Project, south of Townsville, Queensland – prospective for gold (subject to satisfaction of its due diligence investigations and purchase completion).
- Peake & Denison, north of Adelaide, South Australia – prospective for base metal minerals systems.
Joint venture projects within the Cloncurry Alliance stable, being fully funded by OZ Minerals Ltd, are under way with drilling on the Seer and Big Foot targets.
Minotaur plans to fund its 25% JV share of pre-development expenditure into the Great White Kaolin Project, western Eyre Peninsula, South Australia, (formerly known as the Poochera Kaolin project) once Andromeda Metals attains its 75% earn-in ceiling (anticipated to occur in the fourth quarter of 2020).