Blencowe Resources raises £1 million for Orom-Cross, launches £100,000 retail offer
Blencowe Resources () has raised gross proceeds of £1 million through the issue of just over 3.3 million shares at 3p.
The proceeds will primarily be used to complete the ongoing 6,750 metre drilling programme and to advance the final stages of the definitive feasibility study for the Orom-Cross graphite project.
Placees will be issued one warrant for each placing share, exercisable at 4.5p. These will be valid for two years from the date of admission. These warrants, if exercised in full, would result in the company raising an additional £1.5 million.
The company's chief operating officer, Iain Wearing, has subscribed for £50,000 in the placing demonstrating his continued confidence in the project and company.
"We are pleased to secure this funding to maintain momentum as we complete the 6,750 metre drilling programme and finalise the DFS, both critical for unlocking project-level financing,” said Blencowe’s executive chairman Cameron Pearce.
“Our recent high-margin purified graphite offtake deals with international buyers mark a major commercial milestone, and discussions with multiple parties to broaden our offtake pipeline further remain active. In parallel, we are progressing several strategic funding discussions with tier-one partners, including the DFC and AFC. The DFS will provide the platform to finalise these discussions and move forward to develop Orom-Cross as a globally significant graphite project.”
Blencowe will also launch a separate retail offer via the BookBuild platform to raise up to £100,000 at the placing price.
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It’s not easy to raise £1 million in the current market, so it’s testament to the quality of Orom-Cross that that the company was able to get this away. With financing talks already well underway, there’s a lot to like here, although the DFS will give us more of the details.
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