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Elmore (ASX:ELE) to raise $1M to progress NT project
Source: Elmore
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  • Elmore (ELE) is looking to raise $1 million as it progresses its Peko Iron Ore and Gold Project in the Northern Territory
  • Under the placement, the company will issue 50 million at 2 cents per share
  • Funds from the raise will be used towards purchasing plant and equipment the company needs to purchase and build as it progresses through its next stage of development
  • Additionally, Twynam has opted to convert its outstanding interest, $167,000 in convertible notes, to shares
  • On the market today, Elmore is down 8.33 per cent and is trading at 2.2 cents per share

Elmore (ELE) is looking to raise $1 million as it progresses its Peko Iron Ore and Gold Project in the Northern Territory.

The company will raise the funds through a placement, where it will issue 50 million at 2 cents per share.

Funds from the raise will be used towards purchasing plant and equipment the company needs to purchase and build as it progresses through its next stage of development.

Additionally, Twynam has opted to convert its outstanding interest, $167,000 in convertible notes, into shares.

Under the agreement, principal and interest was convertible to shares at a 20 per cent discount to the last capital raise, meaning a conversion price of 1.6 cents and over 10 million shares issued.

Managing Director David Mendelawitz says after two years of suspension and an enormous amount of hard work is delighted that the company is back trading on the ASX.

"Whilst I know that no shareholder ever wants to see further dilution, the opportunity to have a fund such as Regal on the register and the chance to
strengthen the balance sheet is something that we believe is ultimately in everyone’s best interest as we build the company," he said.

"Furthermore, we are delighted to see the continued support of Twynam and feel that their support over the last few years has been fundamental in allowing the company to survive long enough to get to the point that we have arrived at," he added.

On the market today, Elmore is down 8.33 per cent and is trading at 2.2 cents per share at 12:22 pm AEST.

ELE by the numbers
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