This article is 2 years old. Images might not display.
777老虎机
Laneway, which announced a deal to acquire Georgetown in northern Queensland in February, has announced a A$15 million funding push, with its largest shareholder, a company associated with chair Stephen Bizzell pledging $3.25 million.
听
Entities related to other directors have also committed to subscribe for up to $250,000 worth of shares in the raising, subject to shareholder approval.
听
All told, Laneway has received binding commitments for over $13 million of the financing program, which comprises a $12.5-14 million convertible note issue priced at 0.7c, and a $2.5 million equity raising at 0.5c per share.
听
The notes will attract interest of 12% per annum, and will mature in September 2025.
听
The cash will help it meet payments for Georgetown, and cover the costs of the ongoing plant refurbishment, and some near-mine exploration.
听
Laneway has paid $1.95 million to date, and $4 million is due on September 2.
听
A further $10.9 million of deferred payments, plus 200 million shares and options are due by January 2023. Royalties of $5 million will also be payable from production.
听
Georgetown comes with 119,000oz of resources grading 3.9gpt, a "barely used" 200,000-300,000tpa carbon in pulp plant, and 515sq.km of leases.听
听
Some 9000t of ore has been trucked 100km from Laneway's 471,000oz Agate Creek operation, and is being crushed with the aim of commissioning the mill, with processing expected this month.
听
Announcing the deal earlier this year, Laneway managing director Brad Gordon said securing a position within the Etheridge gold field was critical to the company's plans to develop two processing hubs capable of treating both oxide and sulphide material within five years.
听
Gordon expects the sulphide circuit can be added at Georgetown at a cost of $2 million.
听
The company previously hauled its ore some 700km for processing at the Black Jack mill.
听
Georgetown will help fund a proposed 750,000tpa oxide mill at the high-grade Agate Creek, with Laneway seeing indications of more exploration success, including potential for Kidston-style mineralisation.
听
Laneway shares were last traded at 0.5c, valuing it at $32 million.
听
It has about $4.6 million in cash remaining.
听
The stock has traded at 0.3-0.7c over the past year.
听
A 40-for-one share consolidation is being planned.
听
