West Cobar Metals Limited (ASX:WC1) has successfully secured firm commitments for a two-tranche placement, raising gross proceeds of $450,000 before costs. The placement, comprising 28,125,000 fully paid ordinary shares, garnered strong support from professional and sophisticated investors. Shares were issued at $0.016 each, representing a 6% discount to the last closing price on February 28, 2025, and a 13% discount to the 5-day VWAP.
The placement will occur in two tranches. The first tranche, consisting of 3,244,125 shares, will be issued around March 12, 2025, raising $51,906 before costs. The second tranche, involving 24,880,875 shares, is subject to shareholder approval at the next general meeting in April 2025 and aims to raise $398,094 before costs.
Proceeds from the placement are earmarked for advancing the Bulla Park copper-antimony project, general working capital, and progressing the gold exploration project acquisition recently announced. Xcel Capital Pty Ltd served as the lead manager for the placement, receiving a fee of up to 6% of the gross proceeds and 3,000,000 unlisted options (exercise price of $0.03, 3-year expiry), subject to shareholder approval.
Additionally, directors’ fees accrued since October 2024 will be addressed via the issuance of 3,342,083 shares (at $0.016 per share) in lieu of cash payment for 50% of the accrued fees, totaling $53,473 up to the end of March 2025. This is also contingent upon shareholder approval at the upcoming general meeting.
Matt Szwedzicki, Managing Director, expressed excitement about progressing Bulla Park, citing positive metallurgical testwork and leaching results demonstrating a simple copper-antimony separation process. He also highlighted the strategic gold exploration project in WA’s Fraser Range, noting its potential for large-scale gold mineralization.
