Silver City Minerals Ltd (ASX:SCI), a base and precious metals explorer, has entered a trading halt pending the release of details regarding an equity funding transaction.
The trading halt is requested until the earlier of the release of an announcement regarding a proposed raising, or the commencement of trading on February 28, 2018.
Exploration results prompt accelerated drilling campaign
An injection of capital could assist the company in establishing a resource estimate at its Copper Blow Copper-Gold Project located in the Broken Hill region of New South Wales.
Silver City released exploration results as recently as last week when it outlined an extensive drilling campaign was about to be undertaken at the Copper Blow project.
READ: Silver City Minerals’ drilling reveals further copper potential at Copper Blow
Funding could assist in establishing initial resource estimate
The style of mineralisation at the North Zone area of the deposit suggests that it may be amenable to extraction by open pit mining methods.
Higher grade narrower zones in the South Zone may be better suited to underground mining.
Management expects that up to 5,000 metres of drilling should lead to an initial resource estimate.