Ironbark Zinc Ltd (ASX:IBG) has now completed a bookbuild to raise A$1.5 million from institutional and professional investors at $0.032, with the issue of 47 million shares.
Ironbark has also launched a Share Purchase Plan at the same price, which will raise up to another $500,000. Shareholders can apply for up to another $15,000 worth of shares.
The directors of Ironbark who are eligible shareholders intend to participate.
Funds will be used for continued permitting and application activities required to secure a mining license for the Citronen Project in the short term, further work to enhance the Citronen Feasibility Studies by China Nonferrous and general working capital purposes.
Citronen, located in Greenland, is one of the largest undeveloped zinc projects in the world.
The project boasts a high grade zone of 29.9 million tonnes at 7.1% zinc and 0.5% lead, which is within a larger resource of 132 million tonnes at 4.0% zinc and 0.4% lead.
The Citronen resource remains open ended in every direction, conceivably significantly extending the current life of mine of 14 years.
Zinc price looks promising
The outlook for the zinc price is looking up as final production of zinc concentrate has been shipped from both the Lisheen mine in Ireland and the Century mine in Australia, following the closure of the mines due to exhaustion of their ore bodies.
Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.