Resource Star (ASX: RSL) has interests in uranium exploration assets in the Northern Territory, Western Australia and Malawi.
The company's main projects include joint ventures with Globe Metals and Mining on the Livingstonia Uranium Project and Machinga Rare Earths Project in Malawi, the 100%-owned Edith River Uranium Project in the Northern Territory and the Spinifex joint venture with Thundelarra Resources in Western Australia.
Resource Star (ASX: RSL) has successfully raised A$1.14 million to begin a new round of exploration at the Livingstonia uranium project in Malawi, as well as continue exploration at the company’s Australian projects.
The money was raised through a one for one non-renounceable entitlement issue of about 56.9 million shares at $0.02 each.
About 42%, or 23.8 million shares, was subscribed for by shareholders, and a further 15 million was allocated to an existing substantial shareholder under a shortfall placement due to be completed on 24 April.
The remaining 18.1 million shares were placed with Red Rock Resources, which agreed to underwrite the first $500,000 of any shortfall.
Part of the funds will be used to repay funding that was made available to Resource Star by Red Rock pending completion of the issue.
Resource Star is earning up to an 80% stake in Livingstonia from joint venture partner Globe Metals and Mining (ASX: GBE).
In November 2011 an extension to the northern boundary of one tenement at the project was granted, boosting the project’s exploration potential.
The additional 400 metres of land lies to the north of the Chombe prospect’s existing Inferred JORC Resource of 8.3 million tonnes at 325 parts per million uranium oxide equivalent for a contained 6 million pounds of uranium oxide.
Resource Star is also advancing its other exploration projects, which include the Machinga Joint Venture and Ilomba Hill Joint Venture in Malawi as well as the Spinifex Joint Venture and the Edith River Project in Australia.