The new stake includes 300 million Blackham shares acquired by Delphi Unternehmensberatung Aktiengesellschaft (AG) for $3 million by participating in Blackham’s recent share placement.
Share placement and share purchase plan
The company is raising up to $7 million to provide funding for key mine development work programs that will underpin its FY20 production, including pre-production activities at the Williamson open pit, a new tailings storage facility and rod mill refurbishment.
Blackham has already successfully raised $4 million via the share placement at 1 cent per share, supported by a small number of international and domestic institutional and professional investors.
The company has also opened a share purchase plan (SPP) today for eligible shareholders seeking to raise up to $3 million which will be used for key mine development work programs that will underpin Blackham’s FY20 production.
The SPP closes on 4 October 2019 with shares expected to be issued on 8 October 2019
Blackham is focused on its flagship Matilda-Wiluna Gold Operations in Western Australia.
The company has guided to production of between 70,000 and 80,000 ounces of gold at an all-in sustaining cost of A$1,550-$1,750 per ounce in FY2020.
This represents annual production growth of 7-22% on FY19 which produced 65,406 ounces of gold at an AISC of A$1,760 per ounce.