Argentina-focused explorer Galan Lithium (ASX: GLN) has converted a swag of listed options, netting the company funds to advance its maiden drilling campaign at Hombre Muerto lithium project.
Under the terms of the original entitlement offer, Galan’s 16.45 million listed options – exercisable at 14c – expired on 31st December 2018.
A total of 16.27 million options were exercised by the closing date with the shortfall of 180,891 options underwritten by Barclay Wells Limited.
In total, Galan raised around $2.3 million from the listed option conversion to fund maiden drilling campaign at its Hombre Muerto lithium project located in Catamarca Province, Argentina.
Drilling is anticipated to begin this month with the initial drillhole to test the geophysical model and provide detailed data on the stratigraphy within the Candelas channel to over 400 metres deep.
The results from this initial hole will also assist in the planning of subsequent drilling. This maiden drill programme will comprise five holes to be drilled over ~12‐15km along the extent of the Candelas channel.
Last month, Galan received permits from the Argentinean government to conduct its maiden drill programme at the Candelas lithium brine project located on the Hombre Muerto salar in Argentina.
Shares in Galan were trading on Monday at 28c.