Diatreme Resources (ASX:DRX) has executed agreements for two placements of 27.7 million shares and 50 million shares to one existing shareholder and one new shareholder.
The first placement is priced at $0.011, raising $304,700, and the second is priced at $0.012, raising $600,000.
Shares from the second placement will also have 25 million attaching options which are exercisable at $0.02 and expiring on 30 June 2016.
The above placements will be applied to the company’s project activities and for working capital.
In addition, Diatreme has received firm commitments from Ms Lai You, who is a related party of a company director, to place 34 million shares at $0.012 with 17,000,000 attaching options exercisable at $0.02 and expiring 30 June 2016.
Diatreme is valued at $6 million, and its flagship asset is the Cyclone Zircon heavy mineral sands project in Western Australia.
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