Proceeds slated for RC drilling program at Koro, Ibi Palga projects
By Toni Weeks
San Diego, May 23 - Volta Mining Ltd. said it will raise A$2.3 million through a private placement of shares via lead manager Indian Ocean Capital.
The company will sell 9.2 million shares at A$0.25 per share. Investors will also receive one free attaching option for every two shares purchased. The options are exercisable at A$0.20 by June 30, 2014.
The share price is a 3.85% discount to the closing share price of A$0.26 on May 16, the last day that the company's shares were traded. The strike price is a 23.08% discount to that price.
The placement will occur in two tranches, with 2.37 million shares and 1,185,000 options sold in the first tranche for proceeds of A$592,500 under the company's 15% annual placement capacity and 6.83 million shares and 3,415,000 options sold in the second tranche for proceeds of A$1,707,500. The shares and options from the second tranche as well as the options from the first tranche are subject to shareholder approval at a general meeting to be held in late June.
Proceeds will be used to begin an RC drilling program at Volta's Koro and Ibi Palga Gold projects.
West Perth, Australia-based Volta Mining acquires, explores and develops iron ore and gold assets in Africa.
| Issuer: | Volta Mining Ltd.
|
| Issue: | Shares
|
| Amount: | A$2.3 million
|
| Shares: | 9.2 million
|
| Price: | A$0.25
|
| Options: | One option for every two shares
|
| Option expiration: | June 30, 2014
|
| Option strike price: | A$0.20
|
| Manager: | Indian Ocean Capital
|
| Pricing date: | May 23, 2012
|
| Stock symbol: | Australia: VTM
|
| Stock price: | A$0.26 at close May 16
|
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