|Share Placement to Fund Drilling at Maronan Project, Qld|
The Board of Red Metal Limited is pleased to announce that it has received firm commitments for a placement of 30 million ordinary fully paid shares at a price of A$0.17 per share to raise A$5.1 million to selected Australian institutions and professional investors.
The placement which is being managed by Veritas Securities Limited was oversubscribed and brings several resources focused institutions on to the Company’s share register. After costs and together with existing cash reserves this successful capital raising will put the company in a strong financial position with in excess of $6.4 million in available funds.
The proceeds of the placement will primarily be used to fund the step-out drill program at Red Metal’s exciting 100% owned, Maronan silver-lead project which is expected to start next week.
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