The share purchase plan (SPP) will offer shares to eligible shareholders at an issue price of $0.006.
The funds raised from the SPP will be used to compliment the funds raised from the placement in advancing the company’s exploration projects, in particular, Argonaut’s interest in the Higginsville and Torrens projects.
Torrens (Argonaut 30%, Aeris Resources 70%) is located in South Australia and is a large iron-oxide, copper, gold (IOCG) project.
With the native title hurdle cleared, drilling is expected to proceed later in 2017.
Higginsville is located in Western Australia, and Argonaut recently signed a definitive earn-in agreement for a package of 14 tenements.
The project is prospective for gold with historical drilling delivering:
- 8 metres at 2.07g/t gold from 26 metres;
- 5 metres at 4.03g/t gold from 21 metres; and
- 8 metres at 3.27g/t gold from 17 metres.
The proposed SPP timetable is as follows:
Record date: 11 July 2017;
Offer opens: 17 July 2017; and
Offer closes: 28 July 2017.