Maximus Resources raises $1.5 million to accelerate nickel and gold exploration

Maximus Resources Ltd (ASX:MXR) has completed a strongly supported bookbuild to raise approximately $1.5 million via the placement of 18,273,545 fully paid ordinary shares to institutional, sophisticated and existing shareholders. Funds raised from the strongly supported placement will allow the company to accelerate nickel exploration programs at high-priority targets across its Spargoville tenements and allow it to continue progressing resource growth at the Wattle Dam gold projects. Placement funds raised will also be used to complete the studies required for mining approvals at the company’s Larkinville and Eagles Nest deposits. “Delighted with strong support” Maximus’ managing director Tim Wither said: “The board is delighted with the strong support that has been shown by existing shareholders and welcomes all the new shareholders to the company. “The placement represents an ongoing endorsement for Maximus’ projects, the management team’s technical capabilities and importantly the clear strategy of generating and drill testing a pipeline of gold and nickel targets capable of realising high-grade world-class discoveries.” Support systematic exploration Completion of the strategic placement provides funds to support a systematic exploration program in Australia’s premier gold and nickel region. The company has identified multiple gold and nickel exploration targets across a significant land holding highly prospective for Kambalda-style komatiite-hosted nickel sulphide mineralisation and which have been relatively under-explored. Wither said: “We are excited by the opportunities the new capital provides in allowing us to accelerate our nickel exploration, in conjunction with developing and growing the current gold resources at Wattle Dam.” Nickel prospectivity Maximus Resources’ Spargoville tenement package is highly prospective for Kambalda-style nickel sulphide mineralisation. A near contiguous belt of nickel deposits extends from Mincor Resources NL’s (ASX:MCR) Cassini Nickel deposit, south of the Widgiemooltha Dome, through to the northern extent of the Maximus tenement package. The company will deploy modern high-powered ground-based electromagnetic (EM) geophysics to vector toward mineralised positions for potential drill-testing. A downhole-electromagnetic survey will thereafter facilitate higher detail for drill-hole targeting and assessment. These ground-based geophysical programs will be guided by assessment of untested geochemical and geophysical anomalies at Hilditch, 1A North, Central, 1A West and Highway Placement details Placement shares will be issued at a price of 8 cents per share, which represents a 17% discount to the 15-trading day volume-weighted average price (VWAP). The placement includes one for three options exercisable at 11 cents per share on or before January 6, 2023. These options will be subject to the shareholders’ approval at the next general meeting of the company. GTT Ventures acted as lead manager to the placement. The company will also seek shareholder approval at the next annual general meeting to offer current MXROD option holders a priority offer, by way of a rights issue on a 1 for 1 basis at 0.3 cents per security to subscribe for options with a strike price of 11 cents and expiry of January 6, 2023. Director commitments As part of the placement, directors have committed to subscribe for an aggregate of $50,000 worth of shares via the issue of an additional 625,000 shares at a price of 8 cents per share. The issue of shares to directors will be subject to the company obtaining shareholder approval at the next general meeting.