- Sabre Resources (SBR) raises $4.9 million to accelerate its nickel sulphide projects, primarily the Sherlock Bay project in Western Australia’s Pilbara
- Under the placement, approximately 754 million new shares will be issued at a price of 0.65 cents with an equal number of options as shares exercisable at 0.6 cents, expiring April 30, 2024
- CEO Jon Dugdale says the funds allow the company to expand the drilling program to test the multiple targets along strike
- SBR shares hold steady at 0.7 cents
Sabre Resources (SBR) has received firm commitments from its “heavily oversubscribed” placement, raising $4.9 million to accelerate its nickel sulphide projects, including the Sherlock Bay nickel-copper-cobalt sulphide project in the Pilbara region of Western Australia.
The placement funds will also be used to explore other projects and developments, the company said.
Under the placement, approximately 754 million new shares will be issued at a price of 0.65 cents with an equal number of options exercisable at 0.6 cents, expiring April 30, 2024.
Funds raised will primarily go to nickel sulphide exploration at Sherlock Bay, in which Sabre holds 70 per cent interest.
“We will soon commence our diamond drilling program testing for massive nickel sulphides at the Sherlock Bay nickel project and this funding will allow us to expand that drilling program to test the multiple targets along strike from the Sherlock Bay resource,” said CEO Jon Dugdale.
“This funding will also allow us to aggressively explore our other nickel sulphide and gold projects in WA as well as our uranium and copper-gold projects in the Northern Territory.”
The planned diamond drilling will identify potential to increase high-grade nickel
sulphide resources and enhance the economic viability of Sherlock Bay.
The project is 12 kilometres off the North West Coastal Highway, 40 kilometres east of Roebourne and includes a JORC 2012 Mineral Resource of 24.6 million tonnes at 0.40 per cent nickel, 0.09 per cent copper, 0.022 per cent cobalt, containing 99,200 tonnes of nickel, 21,700 tonnes copper and 5,400 tonnes cobalt.
The company recently completed an extensive scoping study on the project that highlighted the cashflow potential of the project at current and projected nickel prices and upside potential for higher-grade nickel sulphides at depth, that Sabre is looking to test with deeper drilling planned.
SBR shares held steady at 0.7 cents as of 10:45 am AEST.