Cannindah Resources (CAE), a mineral exploration company focused on copper and gold projects in Queensland, has announced a fully underwritten non-renounceable pro-rata entitlement offer to raise $4.5 million. The funds raised will be primarily used to accelerate drilling at the Mt Cannindah copper-gold deposit and to explore two previously underexplored Tier-1 porphyry copper-gold targets. The entitlement offer is on a 1 for 2.4 basis, with new shares offered at $0.015 each, and includes one free attaching unquoted option for every two new shares subscribed.
Major shareholder Aquis has committed to subscribe for its full pro-rata 34% share of the entitlement offer, representing a commitment of $1.55 million. Several directors have also committed to sub-underwrite a portion of the offer, demonstrating confidence in the company’s exploration growth strategy. According to Cannindah, existing long-term shareholders are also participating in sub-underwriting, reinforcing confidence in the company’s exploration growth strategy and Tier-1 discovery potential.
The proceeds from the entitlement offer will be directed towards immediate reverse circulation drilling to expand the existing mineral resource estimate of 14.5Mt at 1.09% copper equivalent at the Mt Cannindah deposit, along strike to the north and south and at depth. The company also plans to test two potentially Tier-1 porphyry copper-gold prospects, the Southern and Eastern Targets, identified by anomalous historical drilling results.
The offer is fully underwritten by Canaccord Genuity (Australia) Pty Ltd, which will receive a corporate advisory fee, management and underwriting fees, and 10 million options. The entitlement offer is open to eligible shareholders as of 4pm (AEST) on Wednesday, 27 August 2025, and is expected to close on Tuesday, 23 September 2025, with new shares expected to be quoted on or around Tuesday, 30 September 2025.
