Walkabout Resources directors show confidence in graphite strategy with share purchases
Wednesday, 14 November 2018 Walkabout Resources Ltd (ASX:WKT) directors have demonstrated their confidence in the company’s strategy centred on graphite by participating in a recent share purchase plan (SPP) that raised $3 million. Executive chairman Trevor Benson, executive director Alan Mulligan and non-executive directors Andrew Cunningham and Tom Murrell participated in the SPP. They all purchased shares on November 9 priced at 9 cents each. READ: Walkabout Resources completes SPP raising $3 million, resource update pending Funds will be used to fast-track the Lindi Jumbo Flake Graphite Project in Tanzania, which is the highest-grade graphite project in East Africa. A resource estimate update is being compiled and is expected to be released in the coming weeks. Benson purchased 166,667 shares and now holds more than 2,886 million shares. Cunningham bought 111,112 shares and now holds more than 1.203 million shares in three direct and indirect interests. Mulligan purchased a total of 166,668 shares through direct and indirect interests, which now hold more than 6.075 million shares. Murrell acquired 333,334 shares through direct and indirect interests, which now hold more than 3.354 million shares. Funding discussions Following the SPP, the company intends to implement the funding required for construction of the Lindi Jumbo project. Walkabout is well advanced in discussions regarding funding and the board hopes to make an announcement on the matter in due course. The capital required to finalise mine construction is US$29.7 million. Lindi Jumbo is forecast to produce 40,000 tonnes per annum of graphite concentrate grading 95-98% total graphitic content (TGC). READ: Walkabout Resources assays 300-metre graphite extension The board intends to fast-track construction in order to be a first-mover within the Tanzanian graphite sector. Results from a recent drill and trench program confirm the high-grade nature of the deposit and the resource update is expected to give Walkabout additional flexibility and significantly reduce start-up risk.