The Conversation (0)
The Company made significant inroads during and subsequent to the quarter which included the completion of the release of the results from the initial JORC compliant mineral resource estimate for the Santa Teresa High Grade Gold Project in Baja California, Mexico.
Highlights:
- Completion of Santa Teresa Gold Project acquisition
- Successful completion of a share placement to raise $2 million and initiation of a Share Purchase Plan (SPP) which raised $1 million (subsequent to quarter end)
- Executed binding documents with Raptor Capital International Limited (Raptor) for a streaming facility to provide a minimum of US$6m and up to US$20m in funding for development of the Santa Teresa Gold Project
- Barraba Copper Project field visit completed allowing for planning of drill-hole locations for the initial drilling program
- Excellent graphite grades achieved from initial metallurgical test work – final optimised flotation results achieved a total carbon (TC) grade of 96.9%
Post Quarter End
- Santa Teresa Gold Project initial JORC compliant Inferred Mineral Resource estimate of 88.6koz at 7.47 g/t gold. Knowledge gained to be used to assist in planning for Comet’s upcoming drilling program
- Appointment of Interminco Services as Project Manager of the Santa Teresa Gold Project in Mexico
- Access gained to commence exploration activities at the Barraba Copper Project
Comet Resources Limited (Comet or the Company) (ASX:CRL), is pleased provide the Quarterly Activities Report and Appendix 5B for the quarter ending 30 September 2020. The Company made significant inroads during and subsequent to the quarter which included the completion of the release of the results from the initial JORC compliant mineral resource estimate for the Santa Teresa High Grade Gold Project in Baja California, Mexico.
Matthew O’Kane, Managing Director of Comet Resources, commented “The September quarter has been a very busy one again for Comet, with the completion of the acquisition of the Santa Teresa Gold Project, as well as finalisation of the streaming agreement with Raptor to provide development capital for the project. We also got onto the ground for the first field visit to the Barraba Copper Project, which post quarter end we have now gained access to for exploration activities which will commence in November, and of course we had a very successful placement and SPP. We are now well funded and are looking forward to pressing ahead and advancing our projects further in Q4.”
Corporate Activities
On 23 September 2020, Comet announced the completion of the first tranche of its placement of 100,000,000 fully paid ordinary shares (Shares)(Placement) at a price of $0.02 per share to raise $2,000,000 before costs.
The Company issued 98,500,000 Shares under the Placement to raise $1,970,000 pursuant to its placement capacity under ASX Listing Rules 7.1 (59,100,000 Shares) and 7.1A (39,400,000 Shares). The remaining 1,500,000 fully paid ordinary shares from the placement were issued on 16 October 2020.
On 5 October 2020, the Company announced that it had received applications from existing shareholders for $2.3 million at an offer price of $0.02 per share under its Share Purchase Plan (SPP), which closed on Thursday 1 October 2020. Due to the strong demand from shareholders for the SPP offer, with oversubscriptions of $1.8 million being received, the Company decided to accept over subscriptions of $500,000 meaning the SPP raised a total of $1,000,000 before costs of the offer.
Pursuant to Section 6 of the Appendix 5B, the Company paid $75,056 in director fees, superannuation and wages to the board of Comet Resources Limited. The Company confirms that Mr Matthew O’Kane (Managing Director) will receive a salary of $275,000 pa, exclusive of superannuation, from 1 November 2020.
Expenditure incurred from operating and investing activities during the quarter ended 30 September 2020 relates to legal and technical due diligence in regard to project acquisitions, exploration costs and for general working capital purposes.
This announcement has been authorised by the Board of Comet Resources Limited.