Great Southern Copper PLC has raised £1.57 million for its exploration activities in Chile. This includes £1.04 million in equity investment and £522,000 in a convertible loan. The funding will support further exploration at the Mostaza Mine, following promising results from initial drilling.
Great Southern Copper PLC has successfully secured £1.57 million in new investment aimed at enhancing its copper-gold exploration initiatives in Chile. This funding comprises a £1.04 million equity investment from an institutional investor and a £522,000 convertible loan from existing shareholder Foreign Dimensions. These funds will facilitate the ensuing phase of drilling and exploration activities at the Mostaza Mine, Cerro Negro, encompassing diamond drilling, metallurgical testing, and landholding expenses.
The recent funding drive follows a completed drill programme that yielded an impressive assay result from the initial drill hole, with results from an additional eight holes still awaited. The equity funding was obtained via a subscription for 36 million new ordinary shares priced at 2.9p per share, while the convertible loan is also priced at 2.90p per share. This fundraising rate reflects a premium over the five-day volume-weighted average share price of 2.49p.
Great Southern Copper is concentrating on capitalizing on the potential of its Chilean assets against a backdrop of increasing global demand for copper. Company CEO Sam Garrett expressed optimism about the development: “This is a very exciting moment for the company and we look forward to updating the market on our progress.”
In summary, Great Southern Copper has effectively raised £1.57 million to bolster its exploration efforts in Chile, an essential area for copper and gold. The funds will support further drilling and testing at the Mostaza Mine, while the favorable financing terms demonstrate investor confidence in the project’s potential amidst rising demand for copper.
Original Source: www.proactiveinvestors.co.uk
