Bryah Resources Ltd (ASX:BYH) has obtained firm commitments for a capital raising of $2 million at 6 cents per share to follow up high priority gold and copper-gold prospects at the Bryah Basin and Gabanintha projects in WA.
The board of directors collectively committed by subscribing to $150,000 worth of shares at the same price as the placement, subject to shareholder approval.
Follow-up reverse circulation (RC) drilling is planned to begin in late September at the Gabanintha Project where previous drilling has intersected up to 18 g/t gold and 0.36% copper.
Well-funded for exploration
Bryah Resources managing director Neil Marston said: “The successful completion of this placement will see the company well-funded with $2 million raised for renewed exploration efforts on the company’s excellent gold and copper-gold targets.
“In addition, we have access to a further $2 million of exploration funding from OMM under stage-two of our joint venture to advance our manganese exploration activities.
“We look forward to a busy program of gold and copper-gold exploration in the Bryah Basin and at Gabanintha over the coming months.”
The placement funds will be used to:
- Advance exploration for gold and copper-gold deposits in the Bryah Basin with a focus on drill testing the Windalah, Wongawar and other prospects;
- Undertake sufficient drilling at the Gabanintha Gold Project to allow for an initial mineral resource estimate; and
- For general working capital.
Bryah has been notified by OMM of the earn-in option exercise which has, in turn, formed the joint venture.
The exercise fee is expected to be received by August 30, at which point this condition will be satisfied.