Black Rock Mining raises $3 million to progress graphite project to construction-ready stage
Friday, 16 August 2019 Black Rock Mining Ltd (ASX:BKT) has raised $3 million in an oversubscribed placement of more than 42.8 million shares at 7 cents per shares to professional and institutional investors. Placement proceeds will support financing and final permitting activities to progress the Mahenge Graphite Project in Tanzania to construction-ready. This progression is supported by the company's debt advisors, Ironstone partners and completion of commercial and permitting activities for the project. Black Rock progressing Mahenge Graphite Project to construction Black Rock chief executive officer John de Vries said: “We are delighted with the support we have received from our cornerstone investors and from our board. “This placement of $3 million enables Black Rock to progress financing activities with a view to being construction ready for delivery of the Mahenge Graphite Project on resolution of the Tanzanian Government’s participation in the project. “Our strategy so far has been to focus on delivery of project development milestones. “In achieving our development milestones, we have progressed our financing objectives by de-risking the project and enhancing our market entry strategy. “With the completion of our technical work program, we can now confidently focus on completing our financing and commercial activities and completing document structure of the Tanzanian Government participation in the project.” Placement details The company’s directors and management have subscribed for almost 6 million shares totalling $414,299 on the same terms as the placement. Shareholder approval will be sought at a general meeting for the director allotment, with the shareholder meeting to be held shortly. Paterson Securities Ltd acted as sole lead manager to the placement.