Nico Resources Ltd (ASX:NC1) is the latest resources stock to join the ASX under the ticker ‘NC1’.
The mineral exploration and development company completed a heavily oversubscribed initial public offering (IPO) in December, raising $12 million by issuing 60 million shares at $0.20 each.
Investors were eager to join the NC1 registrar on debut, with shares up 77.5% to 35.5 cents in intraday trade on Wednesday.
Nico is out to develop a portfolio of mineral resource projects throughout WA and South Australia, mainly its cornerstone Central Musgrave Project.
In a bid to further expand its portfolio, the explorer recently acquired a 100% interest in fellow ASX-lister Metals X Ltd’s nickel properties, including the Wingellina (WA) and Claude Hills (SA) assets.
Completing the acquisition on January 7, Nico bought all of the securities in MLX’s Metals Exploration subsidiary under a share sale agreement.
NC1 by the numbers
Nico set out to raise between $10 and $12 million under its pre-market capital raise.
Now, just more than 91 million shares are on the NC1 register after the IPO raised the maximum amount.
Thanks to the cash injection, Nico plans to undertake a series of exploration programs over the next two years to best determine how to exploit high-grade nickel, cobalt and scandium mineralisation.
The Nico team
Nico is helmed by executive director and CEO Rod Corps, with non-executive chair Warren Hallam and non-executive director Brett Smith rounding out the leadership team.
Speaking to Nico’s listing, Corps said: “On behalf of the Nico board, I would like to welcome our new shareholders and thank everyone involved for their support and assistance in the completion of the IPO and listing on the ASX, including Metals X Ltd, Blue Ocean Equities, Marketech, Mining Corporate and Blackwell Legal.
“To complete the IPO and listing and acquisition in the timeframe has been a credit to the whole team.
“Wingellina is one of the largest undeveloped nickel deposits and the board believes that with the increasing demand for both nickel and cobalt associated with the battery minerals sector requires a substantial increase in environmentally and ethically sustainable nickel production.
“Nico Resources is well placed to be able to partner with some of the largest end-users in the world to create a long term supply option for the rapidly growing electric vehicle sector.”