Capricorn Metals intends to use the $200 million raised through institutional placement for the development of the Karlawinda Expansion Project (KEP) and to accelerate exploration at the Mt Gibson Gold Project (MGGP).
The company said that it received firm commitments for an institutional placement of new fully paid shares at an issue price of $6 per share.
The placement was strongly supported by existing institutional shareholders and new high-quality Australian and international institutional investors.
The placement proceeds, together with current cash reserves and the expected future free cash flow generated from Karlawinda, are expected to fully fund the development of the KEP and MGGP.
This underpins Capricorn’s clear development pathway to become a 300,000oz per annum gold producer. This growth is underpinned by Capricorn’s 3.3Moz reserve base at the two quality projects. Both projects have long mine lives (ten years) and are in the tier one location of Western Australia.
