Rincon Resources raises A$5.6M from oversubscribed placement for West Arunta drilling

Rincon Resources Ltd (ASX: RCR) has secured firm commitments for an over-subscribed capital raising of A$5.6 million.

The placement of shares to institutional, professional and sophisticated investors, and existing shareholders is at A$0.10 per share.

The new funds will primarily be used to fast-track exploration programs at the West Arunta Project in Western Australia.

Drilling at West Arunta

Rincon will drill Nb-REE (niobium-rare earth element) and IOCG (iron oxide copper-gold) targets in the next 12-18 months including:

  • Diamond (DD) and reverse circulation (RC) drill testing of the new Avalon Nb-REE / IOCG mineral target;
  • RC drill testing of the new Sheoak, K1 and K2 gravity targets; and
  • Expanded follow-up DD and RC drilling programs at the Pokali Prospect.

“Funds raised will be pivotal”

 Rincon Managing Director Gary Harvey said: “This significant support from our existing shareholders and new investors, underscores their confidence in Rincon Resources and our exploration strategy.

“The funds raised will be pivotal in advancing our West Arunta Project, enabling us to expand and implement our systematic exploration programs beyond the first phase of drilling at the exciting new Avalon NbREE/IOCG target.

“We can now push on with planned drilling programs to test the new Sheoak, K1 and K2 targets, as well as any immediate follow-up programs at Pokali.”

Read: Rincon Resources’ Drilling Confirms IOCG-Style Mineralisation at West Arunta; Assays Pending

Pokali drilling

Recent drilling at the Pokali prospect intersected multiple zones of magnetite alteration with quartz and sulphide mineral veining.

This contains copper sulphide and other minerals comprising chalcopyrite, bornite, chalcocite, native copper and rare visible gold.

Assays are expected in late June or early July, with results from the first hole anticipated in late May 2024.

 

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