Bannerman Energy Ltd (ASX:BMN, OTCQX:BNNLF, NSX:BMN) is pleased to announce that it has received firm commitments for a two-tranche placement of approximately 25.8 million new fully paid ordinary shares to new and existing institutional and sophisticated investors at an issue price of A$3.30 per New Share to raise gross proceeds of approximately A$85.0 million.
HIGHLIGHTS
- Firm commitments received for A$85.0 million two-tranche Placement at A$3.30 per share.
- The Placement was supported by both new and existing domestic and international institutional and sophisticated investors.
- Funds raised from the Offer to be applied towards development of the Etango-8 Project, including detailed design, early works (including construction infrastructure, earth works and selected long-lead items) and general working capital.
- Upon completion of the Placement, the Company expects to have cash reserves of approximately A$100 million (after costs).
“Proceeds from this Placement will enable us to further progress our Etango-8 Project, following positive outcomes from the recently announced Front End Engineering and Design (FEED) and Control Budget Estimates (CBE) processes, which confirmed the high quality of technical evaluation and design from the December 2022 Definitive Feasibility Study (DFS). We have commenced detailed design work and early works construction, and the Placement will enable us to advance further works including the procurement and manufacturing of select long-lead items, product marketing and project financing activities. These activities are all directed towards advancing Etango to a targeted positive Final Investment Decision (FID) during H2 2024. We are excited by the support that we have received from investors for both our Etango-8 development pathway and the approach the Company has taken to stewarding this asset into the rapidly strengthening uranium market environment. I would also like to welcome our new shareholders through the raising and look forward to building a strong relationship with them.”
Brandon Munro - Executive Chairman, Bannerman Energy Tweet
The full announcement, including a timetable of the two-tranche Placement can be downloaded here.