KNB
Koonenberry Gold Limited
ASX
Rights Issue Results and Revised Timetable
Sentiment:
Rights Issue Results and Revised Timetable
19 April 2024 4:14 AM
Koonenberry Gold has successfully raised $759,524.35 through a rights issue and is set to raise an additional $700,000 via a placement, with funds aimed at accelerating exploration activities.
Delay expected
The issue and settlement of Rights Issue shares has been revised from the timetable previously announced to the ASX on 8 March 2024.
Summary
- Koonenberry Gold has completed a rights issue, raising a total of $759,524.35.
- The rights issue resulted in the issue of 54,251,672 shares and 27,125,883 options.
- There was a shortfall of 63,786,714 shares and 31,893,310 options which will be issued to the Joint Underwriters and sub-underwriters.
- The company also secured firm subscriptions for a $700,000 placement to professional and sophisticated investors.
- Tranche 1 of the placement shares was issued on 12 March 2024 under ASX Listing Rule 7.1.
- Tranche 1 of the placement options, together with Tranche 2 of the placement shares and options, are subject to shareholder approval at the General Meeting on 22 April 2024.
- The rights issue and placement securities are scheduled to be issued on 26 April 2024, with quotation of shares expected on 29 April 2024.
- Following completion of the rights issue and placement, the company expects to raise approximately $2.35 million before costs.
- The funds will be used to accelerate exploration and drilling activities at the Atlantis Cu-Au Prospect and Bellagio Au Prospect.
Sentiment
Score: 7
Explanation: The sentiment is positive as the company successfully raised funds for exploration. However, the shortfall in the rights issue and the need for shareholder approval for part of the placement temper the overall sentiment.
Positives
- The company successfully raised funds through a rights issue and placement.
- The funds raised will enable the company to accelerate exploration and drilling activities at key prospects.
- The rights issue was fully underwritten, ensuring the company received the intended funds.
- The company has secured additional funding through a placement to sophisticated investors.
Negatives
- There was a shortfall in the rights issue, requiring the underwriters to take up the remaining shares and options.
Risks
- Shareholder approval is required for Tranche 2 of the placement, which could impact the timing and amount of funds raised.
- Exploration activities are inherently risky, and there is no guarantee of discovering commercially viable deposits.
Future Outlook
The company plans to use the raised funds to accelerate exploration and drilling activities at its Atlantis Cu-Au Prospect and Bellagio Au Prospect.
Management Comments
- The Managing Director, Daniel Power, authorised the ASX release.
Industry Context
This announcement is typical for junior mining companies seeking to raise capital for exploration activities. Rights issues and placements are common methods for funding these activities.
Comparison to Industry Standards
- Junior mining companies often use rights issues and placements to fund exploration, similar to Koonenberry Gold's approach.
- The amount raised, $2.35 million, is a relatively small amount compared to capital raises by larger mining companies, but is typical for a company of Koonenberry Gold's size and stage of development.
- Companies like Chalice Mining or De Grey Mining, which have made significant discoveries, have raised much larger sums to advance their projects.
Stakeholder Impact
- Shareholders: Existing shareholders who participated in the rights issue will maintain their ownership percentage; those who didn't may experience dilution.
- Employees: The raised funds will support ongoing exploration activities, potentially leading to job security and growth.
- Investors: New investors participating in the placement will gain exposure to the company's exploration prospects.
- Creditors: The increased financial stability may improve the company's creditworthiness.
Next Steps
- Issue the Rights Issue securities and Placement securities on 26 April 2024.
- Seek shareholder approval for Tranche 2 of the Placement at the General Meeting on 22 April 2024.
- Commence accelerated exploration and drilling activities at the Atlantis Cu-Au Prospect and Bellagio Au Prospect.
Key Dates
- 4 March 2024: Company announced it received firm subscriptions to raise $700,000 via a placement.
- 8 March 2024: Previous announcement to the ASX regarding the timetable for the issue and settlement of Rights Issue shares.
- 12 March 2024: Tranche 1 of the Placement Shares issued under the Company's existing placement capacity.
- 19 March 2024: Lodgement of Prospectus with the ASIC and ASX.
- 21 March 2024: Ex date.
- 22 March 2024: Rights Issue Record Date.
- 16 April 2024: Offer closes at 5pm.
- 22 April 2024: Company's upcoming General Meeting to approve Tranche 2 of the Placement.
- 26 April 2024: Date of issue of the Rights Issue securities, including the shortfall securities, as well as the Placement securities.
- 29 April 2024: Expected date of quotation of Rights Issue shares.
Keywords
KNB
Koonenberry Gold Limited
ASX
Sector: Materials
Filings with Classifications
Better than expected
21 May 2025 9:08 PM
Investment Announcement
- Koonenberry's drilling results at Enmore exceeded expectations, leading to Lion's increased investment.
Delay expected
19 May 2025 6:24 PM
Exploration Update
- The Phase I drilling campaign is now finished due to extremely wet conditions on site with 10 holes for 3,232.6m completed of a planned 3,000m.
Better than expected
28 April 2025 7:18 PM
Exploration Update
- The drill results indicate a potentially wide structural corridor with significant gold intercepts, exceeding initial expectations for the area away from the granite-sediment contact.
Better than expected
15 April 2025 7:34 PM
Quarterly Report
- The drill results at Enmore Gold Project are better than expected, demonstrating potential for both bulk tonnage and high-grade gold mineralization.
Better than expected
13 April 2025 6:49 PM
Exploration Update
- The second drillhole returned a higher gram metre interval (357.9) than the first drillhole (297.5), indicating improved potential.
Better than expected
6 April 2025 6:22 PM
Investor Presentation
- The intercept of 170m @ 1.75g/t gold incl. 18.3m at 9.95g/t gold from first drillhole at Enmore Gold Project, NSW is better than expected.
Better than expected
3 April 2025 12:51 AM
Investor Presentation Announcement
- The assay results of 170m @ 1.75g/t gold from 77m, including 18.3m at 9.95g/t gold from 172.9m are considered better than expected.
Better than expected
1 April 2025 6:57 PM
Exploration Update
- The assay results from the first drillhole exceeded expectations due to the high-grade intercept and broad zone of gold mineralisation.
- The results validate historical drill results, indicating potential for broad and high-grade gold zones.
Delay expected
16 March 2025 6:42 PM
Exploration Update
- The drilling program has been paused for up to one week due to heavy rains associated with ex-Tropical Cyclone Alfred.
Worse than expected
12 March 2025 1:35 AM
Half Year Financial Report
- The company reported a loss of $925,922 for the half-year ended December 31, 2024, indicating worse than expected financial performance.
Capital raise
12 March 2025 1:35 AM
Half Year Financial Report
- The company's ability to continue as a going concern is dependent on raising additional funding either through debt or equity to meet its planned exploration programme.
- The company will be required to raise funds for working capital from debt or equity sources if the above matters are not achieved.
Better than expected
2 February 2025 4:27 PM
Investor Presentation
- The document highlights significant exploration results, including broad, high-grade gold intercepts at Sunnyside, suggesting better than expected potential.
- The commencement of drilling at multiple projects and the joint venture with Newmont indicate a positive outlook and better than expected progress.
Better than expected
23 January 2025 6:03 PM
Quarterly Report
- The company has made transformational acquisitions that have significantly increased the size and potential of its portfolio.
- The company has reported high grade drilling results at the Enmore project.
- The company has completed a capital raise and is well funded.
Better than expected
19 January 2025 4:19 PM
Exploration Update
- The identification of a 4km gold trend and high-grade sampling results are better than expected for an early-stage exploration project.
Better than expected
6 January 2025 5:28 PM
Exploration Update
- The rock chip results are better than expected, with high grades of gold and copper, confirming the potential for significant mineralization.
Capital raise
29 November 2024 12:31 AM
Securities Quotation Application
- An additional 450,000,000 shares are to be issued on December 5, 2024.
Capital raise
28 November 2024 11:47 PM
Annual General Meeting Results
- Approval was granted for a 10% placement capacity.
- Approvals were given to issue shares related to Enmore, Lachlan, and director placements.
Delay expected
28 November 2024 6:42 PM
Investor Presentation
- Planned discovery activity is subject to changes due to various factors including regulatory approvals and inclement weather.
Better than expected
28 November 2024 5:22 PM
Annual General Meeting Report
- The successful acquisition of the Enmore and Lachlan projects significantly expands Koonenberry Gold's exploration portfolio and increases its potential for major discoveries.
Delay expected
26 November 2024 8:41 PM
Securities Issue Update
- The issue date of the Placement Shares was delayed by one day, from December 4th to December 5th, 2024.
Worse than expected
17 November 2024 6:17 PM
Exploration Update
- The second phase of drilling at the Atlantis prospect did not yield significant copper or gold intersections, despite the presence of trace amounts of sulphides, indicating that the targeted mineralisation may be located further from the drillholes or at greater depth than initially anticipated.
Delay expected
17 November 2024 6:17 PM
Exploration Update
- The first phase of air core drilling at Atlantis was terminated early due to limitations in the rig configuration and air pressure, preventing the testing of three identified EM conductors and limiting the extent of the surveyed area.
Capital raise
28 October 2024 7:44 PM
Notice of Annual General Meeting
- A $4.5 million capital raising (before costs) is planned through a placement of shares.
- Directors have committed to subscribing for up to $200,000 of the placement.
Capital raise
16 October 2024 7:55 PM
Investment Announcement
- Koonenberry Gold is undertaking a \$4.5 million capital raising.
Capital raise
16 October 2024 7:20 PM
Investor Presentation
- A capital raising of at least A$2,000,000 is planned, with commitments already secured for A$4,500,000.
- The capital raising will fund the acquisition of the Enmore Gold Project and Lachlan Projects.
Capital raise
16 October 2024 6:54 PM
Acquisition Announcement
- A $4.5 million capital raise via a placement of 450 million new ordinary shares at $0.010 per share.
- The placement was supported by major shareholder Lion Selection Group and new investor Lowell Resources Fund.
- Funds will be used for exploration, capital raising costs, and working capital.
Capital raise
14 October 2024 6:49 PM
Trading Halt Announcement
- A capital raising is planned in association with a material acquisition.
Capital raise
12 September 2024 4:15 AM
Annual Report
- A share placement and fully underwritten entitlement offer raised $2,352,537 before costs in April 2024.
Delay expected
12 September 2024 4:15 AM
Annual Report
- Drilling at the Atlantis Prospect was unable to penetrate to planned depths due to hard and silicified ground, resulting in an early termination of the program.
Worse than expected
3 September 2024 7:59 PM
Exploration Update
- The drilling program was significantly shorter than planned due to unforeseen weather conditions, resulting in fewer drill holes and less data than anticipated.
Delay expected
3 September 2024 7:59 PM
Exploration Update
- A significant rain event forced an early termination of the drill program at Atlantis, resulting in a compromised program with only 6 holes completed instead of the planned 16.
Delay expected
30 July 2024 7:16 PM
Exploration Update
- The drill program in June was terminated early due to a significant rain event.
Delay expected
23 July 2024 8:01 PM
Quarterly Report
- A significant rain event occurred after the reporting period, resulting in demobilisation of equipment and crew, delaying further exploration.
Better than expected
12 June 2024 7:55 PM
Exploration Update
- The gold zone has been extended to the east and 200m to the south, expanding the gold footprint to over 500m x 400m.
Delay expected
27 May 2024 7:18 PM
Exploration Update
- The initial drilling program was terminated early due to rig limitations, preventing the testing of the three EM conductors.
Worse than expected
21 April 2024 7:02 PM
Project Update
- The drilling at Atlantis did not reach the target depth due to difficult ground conditions, which is worse than expected.
Delay expected
21 April 2024 7:02 PM
Project Update
- Drilling at Atlantis was delayed due to unexpected difficult drilling conditions (hard ground).
Delay expected
19 April 2024 4:14 AM
Rights Issue Results and Revised Timetable
- The issue and settlement of Rights Issue shares has been revised from the timetable previously announced to the ASX on 8 March 2024.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.