A$3m Share Placement
On 12 November 2010, Groote Resources Limited (formerly Western Uranium Limited) announced the acquisition of Reflective Minerals Pty Ltd and a capital raising of up to A$2.5 million comprising of a share placement of up to 25 million ordinary shares at an issue price of A$0.10. Azure was appointed Lead Manager to the placement.
Capital raised pursuant to the placement was to be used to fund:
- the cash component of the Reflective acquisition;
- surface sampling, mapping and sonar profiling of Groote manganese tenements;
- on-going exploration of the Mt Alexander Project;
- the costs of the share placement;
- working capital
Groote’s projects include a significant portfolio of manganese exploration licenses surrounding the Groote Eylandt (GEMCO) deposit, plus Winchelsea and Connexion Islands in the Northern Territory and an exploration lease at the Mt Alexander Uranium Project, located approximately 120km south of Onslow in Western Australia.