Resource Mining Corporation Ltd (ASX:RMI) will progress its Tanzanian copper-gold projects and Finnish lithium project after raising $1 million in a placement to existing shareholders and new sophisticated investors.
The company has received firm commitments from professional and sophisticated investors for the placement at $0.02 per share with 50 million shares to be issued.
Executive chairman Asimwe Kabunga said: “I am very pleased with the level of support from existing shareholders and new investors, who share our excitement and bold strategic vision for the company as we progress with exploration activities on our copper-gold projects and lithium projects within RMC’s diversified and high-quality project portfolio.”
Use of funds
Funds raised through the issue of the placement shares will be used towards:
- Copper-gold exploration at Mpanda and Mbozi projects in Tanzania, including soil geochemical, geophysical surveys and RC drilling programs;
- Initial ground-disturbing exploration at the Kola Lithium Project in Finland;
- Follow up exploration activities in Tanzania and Finland following the above programs;
- General working capital; and
- Payment of placement costs.
Placement shares will be issued in line with RMC’s available capacity under ASX Listing 7.1A capacity with the securities expected to be issued within five business days.
"I welcome all new shareholders and look forward to providing further updates on our progress in due course,” Kabunga added.
Investors have welcomed the funds boost with RMI shares trading 9.52% higher at $0.023.
About RMC
RMC is exploring for battery minerals, namely nickel and lithium, in Tanzania and Finland. The company has four projects in Tanzania focusing on nickel occurrences in sulphides within known and prolific mafic and ultramafic intrusions.
In Finland, RMC has three projects, two are focusing on the exploration of lithium and the remaining project is targeting nickel.
The board has strong ties to Tanzania, chaired by Asimwe Kabunga, a Tanzanian-born Australian entrepreneur who was instrumental in establishing the Tanzania Community of Western Australia Inc. and served as its first president.