- Duke Exploration (DEX) secures $8 million dollars to fund exploration at its Bundarra Copper Project in Queensland
- The company has completed the bookbuild for a placement to raise the funds and is looking to net a further $3 million through a share purchase plan
- New shares under both components of the capital raise will be issued at 36 cents each
- The cash will underpin works at the project including a resource upgrade, and metallurgical and mining studies at the Mt Flora deposit
- It will also support exploration drilling at Prairie Creek and a resource estimate for the Quorn prospect
- DEX shares closed 8.75 per cent lower at 36.5 cents
Duke Exploration (DEX) has secured $8 million dollars to fund upcoming exploration and development activities at its Bundarra Copper Project.
The project is located in the Central Queensland coal fields and comprises the Bundarra, Duania and Waitara tenements.
The capital raise
Duke has completed the bookbuild for a two-tranche placement to raise the $8 million through the issue of 22.2 million shares at an issue price of 36 cents.
The first tranche falls under the company's existing placement capacity, whereas the second tranche of 11 million shares will require shareholder approval.
Duke is also looking to secure up to $3 million from eligible shareholders through a share purchase plan at the same issue price as the placement.
The new cash will underpin resource development and exploration drilling at priority targets as Managing Director and CEO Philip Condon explained.
"We are very confident that the advanced geochemical and geophysical techniques that were trialled and refined at Mt Flora can directly detect copper and silver mineralisation around the contact and within the Bundarra pluton from the surface to a depth of 300 metres.
"We expect to rapidly add to the 103 targets mapped to date as we generate these regional datasets over the 50 square kilometres area of the Bundarra pluton. The top 20 targets have been mapped and prioritised for exploration that will potentially lead to development of additional resource at Bundarra."
The work will include exploration and infill drilling at Mt Flora to upgrade the resource as well as metallurgical and mining studies at the deposit.
Additionally, Duke is planning exploration drilling at Prairie Creek and preparing to deliver a resource estimate for the Quorn prospect.
DEX shares closed 8.75 per cent lower at 36.5 cents.