The placement is priced at $0.004 with a 1:1 attaching listed option with a 3 year expiry and a $0.01 strike price. The effective entry price for investors is $0.003 given the Black-Scholes valuation is $0.001.
Riversgold Limited (ASX:RGL)
RGL
Lead Manager
Offer Price
A$0.0040
per share
Offer Size
A$500,000
Key Offer Details
Issue Price (Per Share)
A$0.0040
Discount
-33.33%
Offer Size
A$500,000
Shares Available
125,000,000
Investment Overview
Riversgold Ltd is an Australian exploration company focused on copper and gold. Their diverse portfolio includes copper, gold, lithium, uranium, and iron ore prospects in Western Australia's Pilbara and Yilgarn regions, with key assets in Tambourah, Northern Zone, Andover, and Onslow South. Riversgold has entered into an agreement to acquire the Saint John IOCG/Porphyr Deposit in New Brunswick Canada. The project is highly prospective for Antimony with up to 10.8% rock chip grades along with 70g/t for Gold and 17%+ grades for copper. The asset is in a tier 1 mining jurisdiction with outstanding infrastructure and surrounded by multiple million ounce + gold projects. Antimony prices have surged recently along with the share price of ASX antimony juniors , the share prices of Trigg mining ASX:TMG and Octava minerals ASX:OCT have more than doubled in recent weeks.
Antimony is classified as a critical mineral, it is essential to military & defence industrial production as well as multiple high-tech applications due to its flame retardant properties, it is scarce in nature and the global supply is dominated by China ~48% of global supply, who have recently moved to restrict the export of the product (announced Sep 15). Riversgold has also had major drill success recently with its Northern Zone Gold project located just 24km away from Kalgoorlie, significant shallow intercepts include:
- 7m at3.90g/t Au from 35m (NZAC055)
- 4m at3.97g/t Au from 32m (NZAC061)
- 4m at6.92 g/t Au from 57m (NZAC061)
- 5m at12.27g/t Au from 32m (NZAC062)(inc. 1m at58.09 g/t Au from 34m)
Use of Funds
- Acquisition of Saint John Project and initial fieldwork
- Expedited Drill campaign for Northern Zone
- General Working Capital
Indicative Timetable
*The above dates are indicative only and are subject to change without notice , Eli Capital and Riversgold Ltd Reserve the right to extend or shorten any dates within the timeline.
RLG Placed in Trading Halt
Monday October 7th
Placement Offer Opens
Monday October 7th
Placement Offer Closes
Tuesday October 8th 4pm AEST
Offer letters
Tuesday October 8th 4pm AEST
SGQ Recommences Trading
Wednesday October 9th
Settlement of Placement Shares
Monday October 14th
Allotment of Placement
Tuesday October 15th
Documents & Downloads
Board & Management
David Lenigas
Executive Chairman
Mr Lenigas is a qualified mining engineer with a Western Australian First Class Mine Managers Certificate. He has extensive corporate experience at chairman and chief executive officer level on many of the world’s leading stock exchanges overseeing multiple business sectors. His specific knowledge of the lithium industry will benefit Riversgold as it carries out lithium exploration in the Pilbara, having been an early funder and shareholder in corporate entities of both the Cinovec Lithium Project in the Czech Republic and the Sonora Lithium Project in Mexico. He served as a director of Bacanora Minerals, owner of Sonora, in its formative years and was key in negotiating a lithium supply contract with a major US electric car manufacturer.
Simon Andrews
Non-Executive Director
Mr Andrew has over 20 years’ experience in financial markets in Asia and Australia. Previously he has held senior management positions at various global investment banks. These roles included leading the equity sales desk for BNP Paribas for the ASEAN region and heading the Refining and Petrochemicals sector research team at Deutsche Bank in Asia. Upon returning to Perth in 2012, Mr Andrew spent 5 years as a research analyst at Hartley’s covering the oil and gas and industrial sectors.
Mr Andrew was a founding Director of Emmerson Resources (ERM:ASX) and spent 8 years as a Non-Executive Director. He was responsible for securing the financing for the purchase of the Tennant Creek assets for Emmerson and arranging the IPO in 2007. He is currently a Non-Executive Director of Mamba Exploration Limited (ASX: M24).
Edward Mead
Non-Executive Director
Mr Mead is a geologist with over 25 years’ experience in gold and base metals exploration, mine development and mine production.
He also has significant experience in iron ore, coal, manganese, lithium, potash and uranium and has worked in most of Western Australia’s recognised mineral provinces including the Pilbara, Yilgarn and Murchison.
He holds a Bachelor of Science (Geology) from Canterbury University in New Zealand and is a member of the Australasian Institute of Mining and Metallurgy.
Oonagh Malone
Company Secretary
Ms Oonagh Malone is a principal of a corporate advisory firm which provides company secretarial and administrative services. Ms Malone has over 10 years’ experience in company secretarial roles for ASX-listed companies and is a member of the Governance Institute of Australia.
