Placement to Advance Cannon & Drilling at Penny's Find
Perth, Mar 30, 2023 AEST (ABN Newswire) - Horizon Minerals Limited (
ASX:HRZ) is pleased to advise that it has received firm bids to place approximately 74.1 million fully paid ordinary shares in the Company at $0.045 per share to raise approximately $3.34 million.
Funds from the Placement will be used to advance the proposed high-grade Cannon underground mine scheduled for development in H2 CY2023. 1 The mine is now fully permitted with final mining contract / JV negotiations underway and a milling allocation in place at FMR's 1Mtpa Greenfields Mill.
Drilling will also commence at Penny's Find in the June Quarter 2023 testing both strike and depth extensions and infilling a second mineralised domain enabling updated resource modelling and reserve studies.
In addition, the Company will continue the resource growth and new discovery gold exploration program across core assets including Rose Hill, Brilliant North, Binduli and the greater Cannon Golden Ridge project areas.
Commenting on the successful capital raising, Horizon Managing Director Mr Jon Price said:
"At a time of record A$ gold prices, our focus is now on advancing the high-grade Cannon underground mine into production in the second half of 2023. The mine is now fully permitted and we look forward to updating you further in coming weeks. Accelerating the drilling at the Penny's Find gold mine will enable updated resource modelling and reserve studies to be completed to have the mine ready for development in sequence."
"We thank our existing shareholders for their continued support and welcome several new Australian and international shareholders to the register. We now look forward to providing increased news flow on mining developments, drilling results and updated resources and reserves in coming months."
Details of the Placement
The Placement consists of approximately 74.1 million new fully paid ordinary shares to be issued at a price of $0.045 per share to raise a total of approximately $3.34 million before costs utilising the Company's existing placement capacity under Listing Rules 7.1.
The Issue Price of $0.045 a share represents a:
- 4.4% discount to the last trading price of $0.047
- 0.0% discount to the 10-day VWAP of $0.045
New shares issued under the Placement will rank equally with existing ordinary shares on issue.
For more information on the Company, we refer you to the presentation entitled "Growth Strategy Investor Presentation March 2023" released to the ASX on 28 March 2023.
About Horizon Minerals Limited
Horizon Minerals Limited (ASX:HRZ) is a gold exploration and mining company focussed on the Kalgoorlie and Menzies areas of Western Australia which are host to some of Australia's richest gold deposits. The Company is developing a mining pipeline of projects to generate cash and self-fund aggressive exploration, mine developments and further acquisitions. The Teal gold mine has been recently completed.
Horizon is aiming to significantly grow its JORC-Compliant Mineral Resources, complete definitive feasibility studies on core high grade open cut and underground projects and build a sustainable development pipeline.
Horizon has a number of joint ventures in place across multiple commodities and regions of Australia providing exposure to Vanadium, Copper, PGE's, Gold and Nickel/Cobalt. Our quality joint venture partners are earning in to our project areas by spending over $20 million over 5 years enabling focus on the gold business while maintaining upside leverage.
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