It yesterday announced it had placed over 30 million shares at 48c each to existing institutional and new professional investors via Austock Corporate Finance. The pricing of the share placement is the lowest point the stock reached in the past twelve months in May of last year.
The company did not outline any specific plans for the funds and managing director Ugo Cario did not return MiningNews.net’ phone calls.
Last month the company downgraded its profit expectations for the current fiscal year as problems associated with the commissioning of Tahmoor North continued. It advised that revenue would be inline with the first half of 2004-05 of a loss of $9.5 million.
In November the mine produced 163,999 tonnes compared to October’s figures of 237,000t. It said the lower production was caused by continuing equipment malfunction and geotechnical issues with the mining of one of the longwall panels.
Shares in the company reached a high of 63c before closing at 58c yesterday.
