Celsius Resources Ltd (ASX:CLA) has executed an agreement with New York-based Lind Global Fund II, LP, a fund managed by The Lind Partners, for an investment of up to $2.8 million in a private share placement.
The placement will include an initial investment of $1.3 million by Lind for placements of ordinary fully paid shares and unlisted options exercisable at $0.025 each, and an optional $1.5 million in cash funding subject to a mutual agreement between the two parties.
New capital to fund project development
Celsius intends to use the new funds to develop the Maalinao-CaigutanBiyog (MCB) Copper-Gold Project in the Philippines, which hosts a JORC-compliant mineral resource of 338 million tonnes at 0.47% copper and 0.12 g/t gold.
CLA has already completed a scoping study for the project, which highlights a 25-year mine life, metallurgical recoveries of 94% copper and 79% gold, and an optimised underground mine plan.
The company sees this private placement as a step toward obtaining other longer-term credit facilities, which Celsius is considering and negotiating. Any finalised details will be announced to the ASX.
“This private placement provides the company with an infusion of resources to lock in near-term opportunities and finance the development of the MCB project,” Celsius Resources executive director Peter Hume said.