St George Mining (ASX: SGQ) has engaged Perth based RM Capital as broker a placement to Sophisticated Investors of 15 million fully paid ordinary shares at $0.11 share to raise up to A$1.65 million.
The funds are to be applied to an ongoing Electromagnetic (“EM”) survey and drilling at the Company’s 100% owned Stella Range Project in the North-East Yilgarn (WA). BHP recently spent A$3.0 million in the search for Nickel Sulphides and subsequently withdrew from the project.
St George Mining has 100% of the 2000km2 Stella Range Project (East Laverton. Western Australia).
Exploration to date has demonstrated the right rock types, depositional environment and geochemistry for the formation of nickel sulphide deposits.
The Company is due to recommence drilling in early October targeting EM conductors that may represent massive nickel sulphides.