Peninsula Energy Ltd (ASX:PEN, OTCQB:PENMF) has kicked off a share purchase plan (SPP) capital raise to generate $3 million in funds, intended to support the development of the company’s Lance in-situ recovery (ISR) uranium projects.
Peninsula is offering up to $30,000 worth of shares at a price of $0.131 each to eligible shareholders, representing a 20% discount to the five-day volume weighted average price (VWAP).
The SPP follows on from the first portion of this capital raise – a share placement intended to raise $32 million for a total of $35 million in funds.
Read: Peninsula Energy raises $32M to restart Lance Uranium Project
Use of funds
Peninsula will use the additional $35 million to:
- complete the ongoing works program of transitioning the Lance Projects to the low-pH ISR process;
- to restart production operations within the Ross Production Area; and
- to advance the Kendrick Production Area.
“The placement is an important catalyst for the company following the board making a positive FID to restart uranium production operations at the company’s flagship Lance projects.”