Orion Minerals informed its shareholders yesterday that its Share Purchase Plan (SPP), which closed on Friday, raised $1.35 million (R22m).
Under the SPP, eligible shareholders could subscribe for new ordinary shares in parcels starting from $2 000, up to a maximum of $30 000, about R330 000, at an issue price of 2 US cents, or 22 SA cents per share, without incurring brokerage or transaction costs.
Orion managing director and chief executive Errol Smart said: “I would like to sincerely thank all shareholders who participated in the capital raising. The SPP received particularly strong support from our South African shareholder base, which was a great result and reflects Orion’s positive standing in the local community.”
He said Orion was continuing to progress discussions for the Tranche 3 placement and was in advanced discussions with other potential funding partners, strategic investors, and development finance agencies to continue progressing in Orion’s base metals development strategy in South Africa.
The SPP forms part of a broader capital raising to advance the company’s early production strategy at its South African base metal projects.
In May 2022, Orion took a step towards the development of its fully permitted flagship Prieska Copper-Zinc Mine (PCZM) in the Northern Cape after signing non-binding term sheets with TF R&S Canada and Triple Flag International, for an $87m secured funding package.
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