Extension to Diamond Drilling at Oracle Ridge Funded by Placement & Early Exercise of Options

Jane Morgan Management


Eagle Mountain Mining has received firm commitments to raise gross proceeds of $1.5
million via a share Placement
Placement strongly supported by Australian and European institutional investors
Silver Mountain Nominee Pty Ltd, an entity associated with Managing Director, Charles
Bass, has exercised 4.5 million options contributing $1.35 million
The funds will be used to primarily extend the drilling program at the high-grade Oracle
Ridge Copper Mine in Arizona and continue near mine exploration.
Placement to Raise $1.5 Million
Eagle Mountain Mining Limited (ASX:EM2) (“Eagle Mountain” or “the Company”) is pleased to
announce that it has received firm commitments from qualified, institutional and professional
investors to raise $1.5 million (before costs) through the issue of 5,000,000 fully paid ordinary
shares in the Company (Shares) at an issue price of $0.30 per Share (Placement).
PAC Partners and Taylor Collison acted as Joint Lead Managers (“JLM”) to the placement.
Early Exercise of 4.5 million unlisted options
The Company has received a valid exercise notice from Silver Mountain Nominee Pty Ltd for
the conversion of 4.5 million options into ordinary shares by payment of $1.35 million. Silver
Mountain Nominee is an entity controlled by Managing Director, Charles Bass. The options
formed part of the initial vend-in of the Silver Mountain Project and were not due for expiry
until December 2020.
Eagle Mountain’s Managing Director, Charles Bass said:
“Eagle Mountain is encouraged by the strong support shown for the Placement and is delighted
to welcome several new institutional and sophisticated investors to the Eagle Mountain share
register. The diamond drilling program at Oracle Ridge is progressing well and we are keen to
keep the Boart Longyear team onsite beyond this current drill program. The Placement
together with my decision to early exercise options will allow us to do just that.
I am excited about not only the potential for increasing the existing mine resource base, but
also adding further resources in the near-mine area. We look forward to updating the market
as results from the drilling campaign are received.”
The Company intends to use the funds to extend the current surface diamond drilling program
at the Company’s high-grade Oracle Ridge Copper Mine Project (“Oracle Ridge”), to enable the
potential acquisition of prospective ground in the vicinity, to further explore this near-mine
vicinity and to provide additional working capital for the Company.
Oracle Ridge Copper Mine (80% Owned)
The Oracle Ridge Copper Mine is located just north of Tucson, Arizona, less than two hours on
sealed and well maintained gravel roads from Eagle Mountain’s field office.
After a short scheduled one-week break, the drillers returned to site on 1st October. Boart
Longyear’s drill crew work on a 24/7 basis for three weeks before having a break. This ensures that Eagle Mountain maintains their “A-Team” and this placement and early exercise of options
will allow the Company to keep the drill rig and teams in place.
Figure 2 illustrates a solid piece of core over two metre in length in unmineralised marble. The
lack of fracturing is a favourable condition for drilling and, importantly, for underground
development. When altered to skarn, fractured and mineralised, the rock is not as competent
and lends itself to easy mining.
/Public Release.