The SPP will offer shareholders in Australia, South Africa and New Zealand the opportunity to participate in a capital raising on the same terms as the company’s recent $6.4 million placement.
Proceeds from the capital raisings will primarily be used to complete optimisation studies for a bankable feasibility study (BFS) and early-stage works for the flagship Prieska Copper-Zinc Project in South Africa.
Funds will also be allocated to exploration on tenements in South Africa's Northern Cape region and for general working capital.
Details of the SPP
The SPP opened today and is expected to close on November 29.
Under the SPP each eligible shareholder will be entitled to apply for parcels of new shares from as little as $2,000 up to a maximum of $30,000 without incurring brokerage or transaction costs.
The issue price will be 2.5 cents per share for a maximum of 80 million SPP shares, which represents a 7.4% discount to the volume-weighted average price of Orion’s shares on the ASX during the five trading days prior to October 24.
All SPP shares will be quoted on either the ASX or JSE and will rank equally with other fully paid ordinary shares on issue.