logo-loader
viewNelson Resources Ltd

Nelson Resources well-funded to undertake gold exploration strategy after completing rights issue

A total of 52,821,762 shares and 26,410,881 new options, exercisable at 8 cents and expiring on July 7, 2022, have been issued.

Nelson Resources Ltd - Nelson Resources well-funded to undertake its exploration strategy after completing rights issue
The issue will fund exploration at the Woodline Project in WA

Nelson Resources Ltd (ASX:NES) has completed the issue of all entitlement securities offered under the renounceable rights issue announced on June 9, 2020.

The rights issue closed oversubscribed and raised $2 million with a total of 52,821,762 shares and 26,410,881 new options, exercisable at 8 cents and expiring on July 7, 2022, issued.

Supplementary prospectus

Nelson is considering alternatives to accommodate the excess demand under the rights issue and as a result, has today lodged a supplementary prospectus leaving the rights issue prospectus open.

As a result of the rights issue and in accordance with the listing rules, the exercise price of the unlisted options on issue, with an expiry date of November 20, 2020, are reduced from 20 cents to 19.03 cents.

Mahe Capital Pty Ltd advised Nelson on the rights issue and acted as lead manager to the capital raising.

Nelson has welcomed the new shareholders, including institutional shareholders introduced by Mahe Capital, to the register.

Funding exploration

The key focus for the company is its 828 square kilometre Woodline Project which lies on the boundary of the Albany Fraser Oregon and the Norseman-Wiluna Greenstone belt in Western Australia.

The Woodline Project contains:

  • 45 kilometres of the Cundeelee Shear Zone which already consists of a known more than 20-kilometre gold geochemical and bedrock anomaly, hosted in the same geological structural setting as the 7.7-million-ounce Tropicana Gold mine;
  • 30 kilometres of significantly unexplored greenstones along the Norseman-Wiluna greenstone belt;
  • A significant and unique holding within the confluence of the Keith-Kilkenny Fault/the Claypan Shear Zone and the Cundeelee Shear Zone, which have hosted many of the largest gold projects in Western Australia; and
  • Historical exploration of $14 million by the company, Sipa Resources Limited (ASX:SRI) and Newmont Corporation (NYSE:NEM).

Quick facts: Nelson Resources Ltd

Price: 0.068 AUD

ASX:NES
Market: ASX
Market Cap: $7.18 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Nelson Resources Ltd named herein, including the promotion by the Company of Nelson Resources Ltd in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Nelson Resources rapidly exploring Goldfields ground with aim to define gold...

Nelson Resources Ltd (ASX:NES) managing director Adam Schofield speaks to Proactive Investors about the recently-listed mineral explorer’s portfolio of gold projects in Western Australia. “The Yarrie project is three tenements which are all historic mining operations from the early 1920s...

on 18/1/19

2 min read