QMines Ltd will accelerate copper and gold exploration at its projects in central Queensland after receiving firm subscriptions for $6 million before costs in a strongly supported two-tranche placement.
The placement received strong demand from new and existing shareholders, demonstrating confidence in the company and its strategy to realise commercial value from the assets.
Well-funded
These funds will see the company well-funded to accelerate exploration and development at the Mt Chalmers and Develin Creek projects within 90 kilometres of Rockhampton.
QMines will issue up to 133,333,336 fully paid ordinary shares at $0.045 per share with the second tranche being subject to shareholder approval.
Strong demand
Executive chairman Andrew Sparke said: “It is pleasing to see such strong demand for the placement which demonstrates the quality of QMines copper and gold projects and the company’s aggressive growth strategy.
"I want to sincerely thank new and existing shareholders for their support of our company as we continue to demonstrate the scale and development potential of the Mt Chalmers and Develin Creek projects. We wish to also thank our brokers, Wilsons Advisory and Canaccord for their support.
"The company will shortly commence a large drilling program at its Develin Creek Project where the company has three high-grade copper-zinc deposits that has potential to grow the scale of a potential mining operation at Mt Chalmers."
Placement details
There will be 85,197,743 tranche one shares issued within the company’s existing 15% placement capacity under ASX Listing Rule 7.1 and 10% placement capacity under ASX Listing Rule 7.1A with 50,885,512 and 34,312,231 shares respectively.
It is expected that the tranche one shares will be issued on April 1, 2025.
The company plans to issue 48,135,594 tranche two shares subject to shareholder approval.
Wilsons Corporate Finance Limited and Canaccord Genuity (Australia) Limited (Canaccord) acted as joint lead managers to the raising.
The Mt Chalmers and Develin Creek projects have a measured, indicated and inferred JORC 2012-compliant resource of 15.1 million tonnes at 1.3% copper equivalent for 195,800 tonnes of copper equivalent metal.