Impact Minerals (ASX:IPT) will open a share purchase plan (SPP) to current shareholders that aims to raise up to $4 million for a major upcoming drilling program.
In 2016 Impact made a high grade gold-silver discovery at the Silica Hill Prospect within its 100% owned Commonwealth gold-silver-base metal project located in New South Wales.
Drilling at Silica Hill has discovered gold and silver grading up to 3,600 g/t silver and 23 g/t gold over an area of 200 metres by 100 metres down to a depth of 120 metres below surface.
Numerous targets along trend, at depth and in the surrounding area require drill testing.
Funds raised will be used towards a drill program of up to 3,000 metres of reverse circulation and diamond drilling to test these targets as well as drilling at the high grade Broken Hill copper-nickel-platinum group metals project also located in New South Wales near Broken Hill.
Dr Mike Jones, managing director, commented
“This is a significant opportunity for existing shareholders to increase their participation in upcoming drill programs at the company’s emerging Commonwealth project, where we will start drilling in June, as well as at our Broken Hill copper-nickel-PGM project.
“Both projects have already delivered exceptional high grade drill results that require follow up work as well as numerous new drill targets from our ongoing work.
“I believe the targets we are going to drill have exceptional merit and I will be taking up my full allocation of shares.”
SPP details
The SPP will raise up to $4 million through the offer of 222.3 million shares priced at $0.018 and 3:2 attaching options exercisable at $0.04 and expiring June 15, 2020.
Eligible shareholders will be able to subscribe for up to $15,000 of new shares in the SPP.
Any shares and attaching options not subscribed for under the SPP will be offered under a shortfall offer.
Key dates include:
10 May 2017: Record date
15 May 2017: Lodgement of prospectus
19 May 2017: Opening of SPP and shortfall offer
9 June 2017: Closing of SPP
16 June 2017: Closing of shortfall offer