What's Happening?
Yari Minerals has successfully secured $1.5 million through a placement to fund its inaugural drilling campaign at the South Rolleston Coal Project in Queensland's Bowen Basin. The company plans to issue 150 million shares at $0.01 per share, with a significant investment of $500,000 from Copulos Group. CPS Capital Group is managing the placement, with shares expected to settle by September 22. The drilling campaign aims to test high-priority targets to potentially upgrade the current JORC-compliant resource from 190 million tonnes in the inferred category to indicated. Additionally, the program will focus on confirming the quality of semi-soft metallurgical coal through testing and geotechnical drilling. Managing Director Anthony Italiano expressed confidence in the campaign's potential to enhance shareholder value, citing strong investor support.
Why It's Important?
The funding and subsequent drilling campaign at South Rolleston are crucial for Yari Minerals as they seek to expand their resource base and confirm the quality of coal deposits. This development is significant for the coal industry, particularly in Queensland, as it could lead to increased production and improved resource classification. The successful execution of this campaign may bolster investor confidence and potentially increase the company's market value. Furthermore, the focus on high-quality semi-soft metallurgical coal is important for industries reliant on this resource, potentially impacting supply chains and pricing in the metallurgical coal market.
What's Next?
Yari Minerals is in the process of finalizing regulatory approvals to commence drilling at South Rolleston. Once approvals are secured, the company will begin testing high-priority targets and conducting geotechnical drilling. The results of these activities will be crucial in determining the next steps for resource development and potential expansion. Stakeholders, including investors and industry partners, will be closely monitoring the outcomes of the drilling campaign, which could influence future investment decisions and strategic planning for Yari Minerals.
