Proceeds will enable the acceleration of lithium and gold exploration drilling; Warrawoona ramp-up on track with nameplate capacity set to be reached this quarter


Calidus Secures $20M to Fund Growth Projects. (Credit: Khusen Rustamov from Pixabay)

Calidus Resources Limited (ASX:CAI) is pleased to announce the Company has received firm commitments to raise $20 million (before costs) via a share placement (“Placement”) to professional and sophisticated investors through the issue of 29,850,747 shares (“Placement Shares”) at a price of $0.67 per share.

The Placement received strong demand from existing institutional and sophisticated shareholders. Calidus is pleased to welcome a number of new institutional shareholders onto the register as well. Alkane Resources Limited (ASX:ALK), the Company’s largest shareholder, has subscribed for $3.0 million in support of Calidus’ strategy.

Managing Director Dave Reeves said: “I would like to thank existing shareholders for their continued support and welcome some new, high-quality institutions to our register. Operations at Warrawoona continue to ramp up well with nameplate production due during this quarter.”

But with the initial cashflow committed to reducing debt, this additional capital will allow us to immediately accelerate our strategy to unlock our growth projects, which have potential to generate significant returns for shareholders.

“These growth projects include plans for drilling at lithium and gold prospects, commencing early works at Blue Spec and expanding the throughput of the Warrawoona Mill to treat fresh material at 20% above nameplate capacity.”

Source: Company Press Release