Platina Resources Ltd (ASX:PGM) has confirmed the allotment of 22.36 million shares to new Canadian resource focused merchant bank Palisades Goldcorp and another major shareholder, for total proceeds of A$894,400.
Funds raised from the placement will be used to further advance Platina’s portfolio of assets including the new Challa Gold Project and Munni Munni Planum Group Metals Project in Western Australia.
Platina is also planning to expand its portfolio of gold projects and is reviewing a number of new opportunities in Australia.
Non-brokered private placement
The company received commitments for the $894,400 non-brokered private placement to Palisades Goldcorp and another major shareholder on July 29.
Palisades Goldcorp, Canada’s new resource focused merchant bank, committed to 19.97 million shares at 4 cents per share with the other major shareholder committing to 2.39 million shares.
In addition, 22.36 million options with a strike price of 10 cents expiring three years from the date of issue will be granted to the placement participants, subject to shareholder approval scheduled to occur at a shareholder meeting in September 2020.
"Reviewing new opportunities"
Platina managing director Corey Nolan previously said: “Funds raised from the placement will be applied to advancing Platina’s portfolio of assets including the new Challa Gold Project where the tenements were recently granted and the Munni Munni Platinum Group Metals Project in Western Australia.
“Platina is also planning to expand its portfolio of gold projects and is reviewing a number of new opportunities in world-class gold districts in Australia.
“PGM’s portfolio of assets provides investors with significant exposure to gold and palladium with prices having increased by 37% to US$1,958 per ounce and 46% to US$2,280 per ounce respectively, in the last 12 months."