Argonaut as Lead Manager has been successful in raising A$53 million for Paringa Resources Limited (ASX: PNL) (“Paringa”) from institutional investors via a Placement of 102 million new ordinary shares at an issue price of A$0.52 per share, with Curran & Co and Hartleys Limited acting as Co-Managers to the Placement.
Proceeds from the capital raising complete the funding required for the development of Poplar Grove Mine and, together with the announced US$20 million debt facility from Macquarie Bank Limited and existing cash reserves, the Company is fully funded to develop the Poplar Grove Mine.
Paringa’s Deputy Chairman, Mr. Todd Hannigan, said: “This successful capital raising completes the funding required for the development of the Poplar Grove Coal Mine starting July 2017. We now have a strong financial position to deliver on our plan to become a 6.6 Mtpa Illinois Basin producer – starting with construction of the low cost and high margin Poplar Grove Mine and then followed by the fully permitted, high margin Cypress Mine.”
Argonaut is delighted to continue to provide support to Paringa and looks forward to our ongoing work with the company.
Additional information regarding Paringa and the Capital Raising can be found on the company’s website at www.paringaresources.com.