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The Markets
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Mining

Mustang Resources directors buy $128,000 worth of shares

A number of the company's board have participated in the recent rights issue.

Mustang Resources Ltd (ASX:MUS) has had two more key members of its board and management buy shares in the company.

Christiaan Jordaan and Cobus van Wyk have interests in Regius Resources Group Ltd which subscribed for $128,000 worth of shares in the recent rights issue.

Jordaan is a non-executive director of Mustang's board while van Wyk is the company’s chief operating officer and director of the board.

Regius Resources is a major shareholder in Mustang now with a 7.43% interest.

Mustang’s chairman also participated in the rights issue

Mustang’s chairman Ian Daymond also acquired 500,000 shares as part of the rights issue.

The share purchases were a result of the recent rights issue in which the company secured $2.45 million.

WATCH: Mustang Resources funded and fast tracking graphite and vanadium projects

Funding will go towards the company’s two flagship projects, the Montepuez Ruby Project and Caula Graphite and Vanadium Project, both in Mozambique.

Mustang recently concluded from a strategic review that its Caula Graphite Vanadium Project in Mozambique could achieve first production by mid-2019.

The review’s key recommendation was to establish trial mining and processing operations for completion during the June quarter of 2019, which the board accepted.

READ: Mustang Resources secures $2.45 million from rights issue, multiple catalysts upcoming

While the recent rights issue secured $2.45 million, an additional $1.97 million can be raised through the placement of shortfall shares.

Should all the shortfall be placed, the total funds raised will total $4.4 million.

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