Resource Mining Corporation Ltd (ASX:RMI) has completed its $1 million dollar placement, sending out 20 million new fully paid ordinary shares at $0.05 per share to existing shareholders and new sophisticated investors.
The placement received strong support and funds will go towards:
- diamond drilling campaign at Liparamba Nickel Project in Tanzania,
- fieldwork and initial drilling at Kola Lithium Project in Finland,
- further exploration in Tanzania and Finland,
- general working capital, and
- payment of placement and entitlement offer costs.
Executive chairman Asimwe Kabunga said: “We are delighted with the strong support we received for the placement from our existing and new shareholders. We thank existing shareholders for their continued support and welcome our new shareholders.
”The capital raisings ensure the company is in a strong position to complete the exciting exploration programs currently in progress targeting sulphide nickel in Tanzania and lithium in Finland."
Entitlement offer
RMI will also undertake a partially underwritten non-renounceable entitlement offer to eligible shareholders to raise up to another $1 million.
The entitlement will consist of one fully paid ordinary share for every 27.29 fully paid ordinary shares held at an offer price of $0.05 per new share.
RMI will issue a maximum aggregate of 20 million new shares.
Executive chairman and major shareholder Asimwe Kabunga is partially underwriting 50% of the entitlement offer for a total of $500,000.
Proposed timeline
RMC expects that the entitlement offer will be conducted according to the following timetable:
