Valor Resources Ltd’s (ASX:VAL) largest shareholder SSR Mining Ltd has agreed to extend the end date of a minimum capital raising by Valor.
Valor had settled the acquisition of the Berenguela Copper-Silver Project in Peru from SSR Mining in May 2017.
READ: Valor Resources builds value at flagship Peru copper project
As part of the terms of the acquisition, it was agreed that Valor would raise a minimum of US$8 million by 13 February 2018 to adequately fund the initial phases of the project.
Due to the success of Valor’s recent exploration program at Berenguela, as well as Valor successfully raising circa US$4.8 million in the past 12 months, SSR and Valor have agreed to extend the end raising date until 13 November 2018.
Valor will proceed with the vendor payment, as scheduled, on 13 February 2018.
Increasing confidence in the copper-silver project
Valor recently achieved a number of important milestones, including the completion of a successful drill program delivering the highest grade results ever seen at the project.
The total resource increased 80% to 45.9 million tonnes grading 1.27% copper equivalent.
READ: Valor Resources' measured resource adds confidence to copper silver project
Mark Sumner, chairman, said: “We are obviously very pleased with this vote of confidence from our largest shareholder, SSR Mining.
“SSR originally set the capital raising minimum to ensure that VAL would properly fund the exploration and development of the Berenguela project.
“VAL has delivered extraordinary results over the 2017 field season, which has resulted in a massive overall increase in the JORC Resource estimate.
“SSR has recognised this effort by agreeing to the extension of the minimum raising date.
“VAL has delivered excellent results at Berenguela since May of 2017 and we believe there is still a lot of value to unlock from here.”