Celsius Resources Limited (ASX:CLA) has received firm commitments for a A$6 million placement to institutional and sophisticated investors to support its growing mining portfolio in the Philippines.
The Placement was heavily supported by a number of new, high-quality domestic and international institutions, in addition to the company’s existing shareholders.
Ironside Capital Pty Ltd acted as Lead Manager and Bookrunner to the Placement.
Celsius’ Executive Director – Corporate, Blair Sergeant, said the funds raised from the Placement will be used to:
- Complete a Scoping Study for the MCB Project;
Complete and expand the current MCB maiden drill programme;
- Renew the relevant Permit covering the Sagay Project; and
- Fund general working capital.
The Placement was extremely well supported, reflecting a shared view that Celsius’ recently acquired portfolio of copper-gold assets represent incredible value and the potential for material upside as we move the assets up the development curve,” Mr Sergeant said.
“This coincides with very strong copper prices that have risen by over 90 per cent during the past 12 months, coupled with an even more bullish outlook, reflecting the world’s stated ambitions of achieving net zero carbon as soon as possible.”
Celsius’ Non-Executive Director and Chairman of the Board, Martin Buckingham, said the Placement allows the company to continue developing the MCB Project through local subsidiary Makilala Mining Corp Inc, including completing the current 4,000m drill programme and Scoping Study, both of which are well underway
“Our starting position is the Tier 1, MCB Copper-Gold project with a JORC compliant Indicated (>90%) Resource of 313mt @ 0.48% Cu & 0.15 g/t Au for 1.5mt contained Cu and 1.47m oz Au, including a high-grade core of 93.7mt @ 0.8% Cu & .28 g/t Au for 664kt Cu and 780k oz Au,” Mr Buckingham said.
“The recent Decree (EO 130) issued by Philippine President Rodrigo Duterte is a very encouraging development and paves the way for new mining leases to be granted and clarification of other aspects of mining regulations. CLA applauds the President’s emphasis on enhanced environmental and safety standards of all mining operations, thereby protecting affected and host communities.
“I’d like to welcome all new shareholders to the register and thank those who have and continue to support the company in its pursuit of developing our portfolio of Copper-Gold assets.”