Reach Resources

Rights Issue and Shortfall

Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) is pleased to announce it has received $822,595 from the recently completed non-renounceable rights issue.


As announced on 21 February 2024, eligible shareholders who participated will receive 1 fully paid ordinary share in the capital of the Company (“Share”) for every 3 Shares held, at an issue price of $0.002 per Share (pre-consolidation) (or $0.01 on a post-consolidation basis), together with 1 free attaching option to acquire a Share (“Option”) for every 2 Shares subscribed for and issued (“Rights Issue”).

Each Option issued under the Rights Issue will be exercisable within 3 years from the date of issue with an exercise price of $0.003 (pre-consolidation) (or $0.015 on a post-consolidation basis) (“New Options”). Participants in the Rights Issue will be issued Shares and New Options prior to 10am AWST, this morning.

In addition to the Rights Issue, the Company will be offering eligible holders of the existing RR1O listed Options (“RR1O Options”) a non-renounceable priority offer to subscribe for 1 New Option for every 1 RR1O held at an issue price of $0.0002 (pre-consolidation) or $0.001 (post-consolidation) per New Option, to raise up to approximately a further $0.26 million (“Priority Offer”). The issue of the New Options under the Priority Offer is subject to shareholder approval at the meeting to be held at 9:30 am AWST on the date of this announcement.

The Company intends to apply for the quotation of the New Options to be issued under the Rights Issue and the Priority Offer (together, the “Offers”).

Funds raised under the Offers will be allocated towards funding the exploration of the Company’s projects and for general working capital purposes.

The Company engaged Westar Capital Limited (AFSL 255789) (“Westar”) to act as lead manager for the Offers. In consultation with the Company, Westar has the exclusive right to the placement of any shortfall under the Rights Issue (ASX Announcement 14 March 2024 – Entitlement Issue Prospectus) (“Shortfall Offer”). Westar have been advised of the shortfall and the Company looks forward to providing an update to shareholders regarding the placement of the shortfall, in the short term.

Consolidation

Subject to receipt of shareholder approval at this morning’s General Meeting, the Company plans to consolidate its issued capital on a 1 for 5 basis (“Consolidation”).

The Consolidation will apply equally to all shareholders, individual shareholdings will be reduced in the same ratio as the total number of shares (subject to rounding of fractions). The Consolidation will have no material effect on the percentage interest in the Company of each shareholder from a pre- consolidation basis to a post-consolidation basis.


Click here for the full ASX Release

This article includes content from Reach Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

RR1:AU
The Conversation (0)
Reach Resources

Quarterly Activities/Appendix 5B Cash Flow Report

Reach Resources Limited (ASX: RR1) (“Reach” or “the Company”) provides its activities report for the quarter ended 30 June 2023.

Keep reading...Show less
Reach Resources

Outcropping Copper Gossan Delivers 33% Cu Assays At Morrissey Hill Project, Yinnetharra

Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) is pleased to announce that it has received high grade copper, gold and silver results up to 33% copper, 0.2g/t gold and 142g/t silver from its recently completed rock chip sampling program at the Company’s Morrissey Hill Project, Yinnetharra, W. A (Refer to Figure 4).

Keep reading...Show less
Reach Resources

Reach Resources’ Strategic Position Between Two of WA’s Mining Heavyweights

Reach Resources’ (ASX:RR1) strategic position with its Morrissey Hill project has placed the critical mineral explorer on the radar of two of Western Australia’s mining giants Delta Lithium (ASX:DLI) and Minerals 260 (ASX:MI6), according to an article published in The West Australian.

Keep reading...Show less
Reach Resources

Multiple New Lithium (LCT) Pegmatite Targets Confirmed

Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) engaged globally renowned geological consultants RSC Consultants Limited (RSC) to assess the potential of the Company’s Gascoyne projects for:

  • Lithium (Li): hard rock, high grade LCT Pegmatites
  • Rare Earth Elements, Heavy and Light (HREE; LREE): clay/hard rock hosted
  • Manganese (Mn): high grade strata bound, supergene, and• Precious and base metals (Au; Ag; Cu-Pb-Zn)
Keep reading...Show less
Stock chart.

Robert Sinn: How to Build a Mining Stock Portfolio and When to Sell

While many investors build and maintain their portfolios with the help of an investment advisor or company, others choose to go it alone in whole or in part, taking on greater risk be it for fun, profit or both.

This is no truer than in the resource sector, where risky plays come with the promise of potentially enormous returns.

Speaking at this month's Metals Investor Forum in Vancouver, BC, Robert Sinn, senior content creator at Goldfinger Capital, spoke about the pitfalls junior mining investors face and shared advice to help mitigate risk and improve returns.

Keep reading...Show less
Utah in focus on a US map.

Fraser Institute Crowns Utah as Most Attractive Mining Investment Jurisdiction

Canada’s Fraser Institute has released its annual list of the world's top mining jurisdictions, awarding the top three spots for investment attractiveness to Utah, Nevada and Saskatchewan.

Western Australia and Québec round out the top five. All top 10 spots went to areas in Canada, the US and Australia.

“A sound regulatory regime coupled with competitive taxes make a jurisdiction attractive to investors,” said Elmira Aliakbari, director of the Fraser Institute’s Center for Natural Resource Studies and co-author of the report. “Policymakers across the globe should understand that mineral deposits alone are not enough to attract investment.”

Keep reading...Show less
Iron ore sitting on Australia flag.

Australia’s 5 Most Valuable Mineral Exports (Updated 2024)

Australia’s economy is largely based on its natural resources, with the minerals sector making the greatest contribution to the nation’s exports at 62.5 percent. What are the top 5 natural resources in Australia in terms of export value?

Five of Australia’s states and territories rank in the top 20 mining jurisdictions in the world for investment attractiveness, according to the Fraser Institute’s latest annual survey of mining companies: Western Australia (fourth), Northern Territory (8th), Queensland (13th) and Southern Australia (19th).

These mining jurisdictions demonstrate a high level of investment attractiveness mainly due to their mineral-rich geology, solid infrastructure, stellar economic environment and government support for the resources industry at both the federal and state level.

Keep reading...Show less
West Cobar Metals Limited

Drilling Commenced at Salazar

West Cobar Metals Limited (ASX:WC1) (“West Cobar”, “the Company”) is pleased to announce drilling has commenced at the Company’s 100%- owned Salazar Project, 120 km north-east of Esperance in southern Western Australia.

Keep reading...Show less
Altiplano Begins Mining Operations at the 326 m Level at Farellon

Altiplano Begins Mining Operations at the 326 m Level at Farellon

Altiplano Metals Inc. (TSXV: APN) (WKN: A2JNFG) ("Altiplano" or the "Company") is pleased to report that a new production area has been established at the 326 m mining level at the Farellon copper-gold mine located near La Serena, Chile. Access to the 326 m level is part of the ongoing underground development of the Hugo Decline, used to access and extract copper-gold and iron material from Farellon.

Intersection of the 326 m mining level has been achieved through the advance of the Hugo Tunnel. This new level will provide opportunity to develop two new mining areas in the NE and SW directions where mining on the iron oxide copper gold vein structure has begun in these sub drift areas. This new access point will also provide opportunity mine the floors and roofs above on the 336 m and 344 m levels as part of the ongoing mining plan.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
Firebird Metals

Substantial Low-Cost Financial Support for Battery Grade Manganese Sulphate Plant

Firebird Metals Limited (ASX: FRB, “Firebird” or “the Company”) is pleased to announce an update on the financing of its Stage 1 Battery Grade Manganese Sulphate Plant in China, which will utilise third party manganese ore to produce high-purity manganese sulphate.

Keep reading...Show less

Latest Press Releases

Related News

×