Hillgrove Resources Limited (ASX:HGO) Raises $18 Million in Oversubscribed Equity Offering
Equity Raising Success
Hillgrove Resources Limited (ASX:HGO) announced it has successfully raised $18.0 million through a strongly supported equity offering. The funds were raised via a Share Purchase Plan (SPP) of $5.0 million and a Placement of $13.0 million. The SPP was heavily oversubscribed, with $8.2 million in subscriptions received, leading to a scaled-back offering of $5.0 million.
Use of Funds
The capital raised will be utilised to accelerate exploration activities, including greenfield targets at both Kanappa and the Southeast tenements. This includes advancing the development of Nugent and expanding exploration targets alongside the planned 60,000 metres on the Kanmantoo Mining Lease.
Executive Comments
Bob Fulker, CEO and Managing Director of Hillgrove, stated, “We appreciate the overwhelming support we received from our existing Shareholders for the SPP. With demand being well in excess of the targeted amount for both the Placement as well as this SPP, it highlights the strong endorsement of the Company’s strategy to accelerate the development at Nugent to increase the overall annual copper production as well as increase the efficiency and provide greater flexibility at our operations in Kanmantoo. With the additional $2.0 million raised above the target of $3.0 million, the Company will be utilising these funds to accelerate exploration programmes at the highly prospective Kanappa prospect as well as the extensive tenements in the South East. These areas are fundamental to the Company growth pipeline and offer great opportunities to expand the Company’s Exploration Targets alongside the 60,000 metres planned on the Kanmantoo Mining Lease already. We look forward to updating the market on a regular basis on the status of this exploration, along with the progress of the accelerated Nugent development.”
Motley Fool contributor Kiarra Jackson has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.
