$5 Million to Fund Development of Isabel Nickel Project
Brisbane, July 28, 2015 AEST (ABN Newswire) - Axiom Mining Limited (
ASX:AVQ) is pleased to advise $5 million has been raised through a private placement ('Placement') of shares to fund the ongoing development of Isabel Nickel Project in Solomon Islands.
The Placement raised $5 million at a price of $0.37 per ordinary share from institutional, sophisticated and professional investors.
Discussions with industry participants interested in providing structured finance are ongoing, and the Company hopes to be in a position to make an announcement soon.
Axiom also has potential funding that can be achieved on the conversion of $9.4 million of options that are currently in the money with the vast majority due in the next eight weeks. A further $5 million dollars of funding is immediately available from the award of court costs if the Company receives a favourable ruling in the Court of Appeal hearing that concluded in June.
Axiom CEO Mr Ryan Mount said, "Today's funding, plus the award of $5m in court costs along with $9m due from the exercise of options, puts Axiom in an enviable financial position. We now have 50% of our mine development capital expenditure covered and expect the balance of funding to come from potential customers, this will see us through to production and a positive cash flow position."
Resource drilling and camp upgrade activities are underway as Axiom moves towards the target of establishing a Direct Shipping of Ore (DSO) operation by late 2015.
This announcement ends the trading halt of the Company's securities on the ASX.
About Axiom Mining Limited
Axiom Mining Limited (ASX:AVQ) focuses on tapping into the resource potential within the ore-rich Pacific Rim. Through dedication to forging strong bonds and relationships with the local communities and governments where we operate, Axiom Mining has built a diversified portfolio of exploration tenements in the Asia-Pacific region. This includes a majority interest in part of the Isabel Nickel Project in the Solomon Islands and highly prospective gold, silver and copper tenements in Solomon Islands and North Queensland, Australia. Axiom Mining is listed on the ASX.
For more information on Axiom Mining, please visit www.axiom-mining.com
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