Multi-commodity explorer Peninsula Mines Ltd (ASX:PSM) has received strong investor support for its company strategy, highlighted by an over-subscribed placement of $1.6 million to institutional and sophisticated investors.
Peninsula has received commitments for 76 million shares at $0.021, with major shareholder Aurora Minerals Ltd (ASX:ARM) to invest $250,000, subject to shareholder approval.
Directors and executives of Peninsula will invest $35,000, subject to approval.
Funds raised will accelerate exploration on Peninsula’s projects in South Korea, and drill test key graphite, lithium, gold-silver and zinc-silver targets
Jon Dugdale, CEO, commented:
"We are extremely pleased with the strong demand from both new and existing shareholders and the support shown by institutional and sophisticated investors for this placement.
"We now plan to accelerate exploration of our highly-prospective graphite, lithium, gold-silver and zinc-silver projects, with the objective of defining multiple targets for drilling."
Portfolio
- Wolmyeong (graphite), Daewon (graphite), Yongwon (graphite);
- Daehyeon (lithium), Dongsugok (lithium);
- Osu (gold-silver); and
- Ubeong (zinc-silver).
Graphite projects
Sampling of the company’s key graphite projects has continued to generate high total graphitic carbon (TGS) grades, in particular from:
- Wolmyeong: up to 76% TGC;
- Daewon: up to 24.8% TGC; and
- Yongwon: up to 18% TGC.
Yongwon’s graphite schist has been traced over a 300 metre strike with widths up to 20 metres. The majority of the graphite flakes observed are large, with some very large, jumbo sized flakes observed.
Daewon’s graphite schist has been traced over a 350 metre strike with widths up to 10 metres. Sampled graphite occurs as regularly disseminated, highly oriented graphite flakes including some large flakes.
Wolmyeong’s graphite schist has been traced over a 9 kilometre strike with testing indicating predominantly amorphous fine-grained type graphite.
Analysis
News flow is set to increase for Peninsula, with follow up sampling currently in progress at its lithium and zinc-silver projects.
The objective of the sampling is to define drilling targets.
Metallurgical testing is also being finalised to determine saleable concentrate grades for key graphite projects.
Preparations are well advanced to commence drilling of the high-grade gold-silver target at the Osu Project.
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