PNX Metals directors participate in rights issue to support exploration and project development

PNX Metals Ltd (ASX:PNX) (FRA:4P1) directors have participated in the company’s recent rights issue which raised $3.167 million at 0.06 cents per share. Chairman Graham Ascough acquired 2,766,634 shares on 24-December, bringing the total number of shares held by him to 13,833,166. Non-executive director Paul John Dowd also acquired 5,338,660 shares on that date, which increased his total holding to 27,193,298 shares. In addition, non-executive director Peter James Watson purchased 4,078,322 shares to bring his total holding to 20,391,607. Use of funds Combined with the recent placement, the $3.167 million rights issue takes the company’s recent capital raising efforts to more than $5.437 million. Capital raising proceeds will be used to accelerate activities at the 100%-owned Fountain Head and Hayes Creek projects, including feasibility work and government and environmental approvals submission. Near-mine and regional gold exploration will also re-commence to test new exploration targets with the potential to host additional gold resources. These were identified during a recent geological review of the company’s exploration portfolio about 170 kilometres south of Darwin in the Pine Creek region of the Northern Territory. To “rapidly advance” exploration PNX managing director James Fox recently said:  “This funding together with the placement will enable the company to progress its 100%-owned Fountain Head gold and Hayes Creek zinc-gold-silver projects and will see the company through a significant period of project development and gold exploration activity over the next 12 months, including finalising the acquisition of the Glencoe gold deposit. “Exploration will be rapidly advanced, with near-mine drilling to test newly identified target areas at Fountain Head commencing as early as February, subject to government approvals. “We look forward to delivering on the potential for the projects to create significant value for the company’s shareholders.”