Moho Resources Ltd (ASX:MOH) has secured $778,733 in funding through an oversubscribed placement that enables the company to advance its exploration projects across multiple mineral prospects, including rare earth elements (REE), nickel, copper, platinum group elements (PGE) and gold.
Buoyed by the investor confidence, Moho now aims to accelerate exploration efforts aimed at unlocking the potential of its mineral assets.
Placement details
The placement at an issue price of $0.015 was oversubscribed with strong demand from sophisticated and professional investors.
This represents a 21% discount to the last trading price of $0.019 on May 22, 2023, and a discount of 19% to the 15-day volume weighted average price of the company’s shares traded on ASX of $0.0185.
Participants in the placement will also receive one free attaching option for every two shares subscribed for and issued, subject to shareholder approval.
The placement options will be exercisable at A$0.03 with an expiry date of August 1, 2025.
Support for exploration efforts
The company thinks the addition to the war chest will play a crucial role in supporting its exploration efforts across several projects.
“Moho has had a very positive market response to its oversubscribed capital raising,” managing director Ralph Winter said.
“The growth and development of Moho’s critical minerals strategy will be well supported by this injection of capital into the company, placing the company in a great position within this rapidly developing space.”
The company has identified several key areas of focus:
Whistlepipe critical minerals projects - Moho plans to leverage the minerals expertise that led to the discovery of nickel-copper-cobalt-PGE-gold mineralisation at Julimar.
An upcoming drilling program aims to follow up on the discovery of significant clay-hosted REE mineralisation and potential carbonatite at Peak Charles. Moreover, the assessment of soil sampling and airborne geophysical survey data will facilitate the identification of follow-up drill targets at Tambellup.
In addition, reconnaissance exploration, including soil and geophysical surveys, will be conducted at Weld Range North, Stirling Range North and Manjimup.
Silver Swan North Project - Building on the results of the electromagnetic survey at Dukes Nickel prospect, Moho will commence reverse circulation (RC) drilling as part of an extended exploration program across the Silver Swan North tenements, with a focus on nickel and gold.
Burracoppin - Pending aircore drilling assay results, Moho plans to expand its exploration program for rare earth elements (REE) and gold. Geochemical sampling will be conducted to further investigate the initial REE sampling program.
EverBlu Capital Corporate Pty Ltd served as lead manager to the placement.
Entitlement offer
In addition to the placement, Moho will undertake a pro-rata non-renounceable entitlement issue.
Eligible shareholders will have the right to apply for one share for every three shares held at the record date at an issue price of $0.015 together with one free attaching quoted option for every two shares subscribed for and issued.
The free attaching options to be issued under the entitlement issue will be issued on identical terms to the placement options.