Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Galileo Resources completes placing to fund next stage of Star Zinc project

The AIM-listed miner said the 50mln new shares, with a placing price of 1.1p or a 20% discount on the 11 April 2018 mid-market close of 1.375p, would be admitted to trading on AIM at or around 17 April 2018
British pounds
The group also granted warrants to subscribe for 50mln shares at an exercise price of 2p per share

Galileo Resources PLC (LON:GLR) said it has completed a placing to raise £550,000 of working capital for the next stage of its Star Zinc project.

The AIM-listed miner said the 50mln new shares, with a placing price of 1.1p or a 20% discount on the 11 April 2018 mid-market close of 1.375p, would be admitted to trading on AIM at or around 17 April 2018.

READ: Galileo Resources intercepts exceptionally high zinc grades at Star zinc project in Zambia

In connection with the placing, the group also granted warrants to subscribe for 50mln shares at an exercise price of 2p per share. The warrants may be exercised at any time in the period expiring on the second anniversary of admission on the placing shares.

In an additional comment, the company said it had decided against a pre-emptive issue of shares, saying the placing funds would not have been available on the terms offered and in the timescale envisaged if combined with a pre-emptive offering.

The new capital would be put to work at Galileo’s Star Zinc project in Zambia, where on 10 April 2018 it announced it had intercepted exceptionally high zinc grades of between 41.51% and 46.58% across three holes drilled, indicating a large zone of high-grade zinc mineralisation.

Colin Bird, chairman of Galileo Resources, said: "Following the positive drill results announced on April 10 2018 the Company has immediately completed a placing to enable the Company to do all things necessary including geophysics, modelling and other pre-drilling work in order to fast track the next programme of drilling, which should add further value to what is undoubtedly a significant discovery."

View full GLR profile View Profile

Galileo Resources PLC Timeline

Related Articles

Golden Arrow Resources continuing towards production in Argentina
October 03 2017
In May, the group formed a joint venture, which combines the Chinchillas project with Silver Standard's producing Pirquitas operation in Argentina
reverse circulation drill rig
Thu
Drilling underway is targeting maiden resources at the Lydia and Crown Prince prospects.
copper mine
October 17 2017
With heavyweight supporters, the best ground in country and new cash in the bank, Kincora looks very well positioned

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use