Rumble Resources (ASX:RTR) has received binding commitments from professional and sophisticated investors to raise circa $1.07 million via a placement of shares at $0.03 each.
The capital raising further strengthens Rumble’s balance sheet and is expected to allow the company to complete all five stages of exploration at the Braeside project in Western Australia’s East Pilbara region.
The Braeside project consists of multiple high grade zinc, lead, copper and silver deposits and occurrences over a strike of at least 60 kilometres.
The historical mines at Braeside were operative up until 1959.
The poly-metallic mineralisation has not been tested by detailed geophysics, geochemistry and has very limited historical drilling with only 10 known drill holes.
Recent litho-geochemistry completed by Rumble suggests the potential for a volcanogenic massive sulphide (VMS) system capable of hosting a large base metal deposit.
Rumble’s technical team will systematically explore the Braeside project with the intention to generate first order VMS feeder pipe targets, using modern exploration techniques.
The company is expected to complete drill testing of any first order targets generated as a result of the exploration work prior to the end of 2017.
Funds raised from the placement will also be utilised by Rumble to support the ongoing review of its current assets and new opportunities.
The company’s share price increased more than 80% since the start of 2017, last trading at $0.033.