Western Yilgarn raises funds to accelerate WA exploration

Western Yilgarn (WYX) has secured binding commitments from investors for a $1.15 million capital raise priced at $0.08 per share.

Each investor in the placement will receive free attaching options, each exercisable at $0.14 and expiring three years from the date of issue on the basis of one placement option for every two placement shares subscribed for.

The placement was supported by commitments from non-executive director John Traicos ($20,000) and substantial shareholders Oceanic Capital and St Barnabas Investments, together with a commonly controlled entity Payzone Pty Ltd ($128,000).

Securities issued to such parties are subject to shareholder approval.

The initial 12.6 million shares from the placement are expected to be issued on March 1, with shares subject to shareholder approval set to be issued following a general meeting in late April.

“Western Yilgarn is delighted to receive such strong support for the company and its exploration strategy at the Ida Holmes Junction and Julimar West projects,” Western Yilgarn chair Peter Lewis said.

“Our projects and operating mantra have been validated by investor support in a challenging investment environment.”

Lewis said funds from the placement would support exploration activities at the Ida Holmes Junction project, as well as the commencement of work at the Julimar West project.

Boasting geological similarities to BHP’s Tier-1 West Musgrave asset, the Ida Holmes Junction project is located at the intersection of the Holmes Dyke and Ida Fault.

The Holmes Dyke gabbro is the same rock type as the West Musgrave nickel-copper-platinum group elements (PGE) project, which has a mineral resource of 390 million tonnes at 0.31 per cent nickel and 0.33 per cent copper.

In late-January, Western Yilgarn entered into a joint venture (JV) agreement with Fleet Street Holdings, enabling WYX the opportunity to earn-in between a 51 per cent and 80 per cent interest in four tenements along the Holmes Dyke and Ida Fault.

Western Yilgarn’s Julimar West project is located adjacent to Chalice Mining’s Tier-1 Julimar nickel-copper-PGE project.