Midas Minerals (ASX:MM1) secured firm commitments for a $28 million capital raising to advance its flagship Otavi Copper-Silver-Gold Project in Namibia.
The placement, which saw robust participation from a diverse mix of domestic and international institutional investors, involves the issuance of approximately 37.3 million new shares at $0.75 each.
The price reflects a modest 3.8% discount to the company’s last closing price, signalling strong market confidence in the high-grade potential of the Otavi region.
The injection of capital strengthens the company’s balance sheet, bringing its post-completion cash reserves to an estimated $33 million.
The funds are earmarked for a multi-pronged exploration strategy, including expanded resource definition and diamond drilling at the high-grade T-13 copper-silver deposit, as well as reverse circulation drilling at the Spaatzu prospect.
Beyond exploration, Midas intends to initiate critical feasibility studies and metallurgical test work to further de-risk the project.
Managing Director Mark Calderwood expressed optimism regarding the progress made to date, noting that the new funding provides the necessary runway to scale operations across several key deposits. Settlement of the new shares is expected to occur on April 21.
At the time of reporting, Midas Minerals' share price was $0.16.