Paringa Resources raising a$5.1M amid slow ramp-up at Poplar Grove mine

摘要

Paringa Resources aims to raise roughly A$5.1 million from a nonrenounceable pro rata entitlement offer priced at 5 Australian cents per new share, with closing expected November 8, said the company Monday. The Australian-based company is offering eligible shareholders one new share for every five existing shares held, with the offer fully underwritten by Argonaut Capital Ltd. Paringa will use the proceeds to fund an ongoing ramp-up at its Poplar Grove coal mine in Western Kentucky, to satisfy a US$5 million equity raising condition under a proposed US$9 million royalty financing from Tribeca Global Resources Credit Ltd. and loan amendments with Tribeca Global Resources Credit Pty. Ltd., and for general working capital purposes.