Full-steam ahead for Si6 Metals exploration with $2mn raising

Special Report: Si6 Metals has announced plans to raise $2 million, while updating shareholders on its suite of prospective projects at market this morning.

Si6 Metals (ASX:SI6) recently commenced diamond drilling at its Maibele North nickel-copper-cobalt-platinum group elements (PGE) project in Botswana, with a hole around 500m designed to test for nickel sulphide mineralisation and expected to be completed within two weeks.

Mineralisation at Maibele North is said to be related to ultramafic intrusions within mobile rock belts – broadly similar to discoveries such as Nova-Bollinger (ASX:IGO) and Julimar (ASX:CHN). Good company to keep.

A program of reverse circulation drill holes will also kick off shortly, designed to test any targets identified in ongoing gradient-array IP geophysical surveying at the Airstrip and Dibete prospects at the project.

Meanwhile, a program of work at the Monument gold project has been approved by the state’s Department of Mines, Industry and Safety.

The approval will allow SI6 to start drilling the project – over which it recently entered into an option agreement to acquire – in the next quarter.

The project sits in the world-class Laverton techtonic zone, which has produced more than 30 million ounces of gold and yielded some of Australia’s best-known gold mines to date.

To further its exploration activities, SI6 has also announced a $2 million share placement at 1.7c each – a 7% premium to the company’s 20-day volume-weighted average price.

SI6 chairman Patrick Holywell said recent developments were exciting for the company’s shareholders.

“With our ongoing drilling program at Botswana underway and our POW approved to commence drilling at the Monument Gold Project in WA, we are thrilled that some of our existing shareholders are participating in a capital raising which will provide funding to continue and expand on these programs,” he said.

“We find ourselves in an enviable position with key projects in two geographical regions – a fantastic project in WA that we have just been given the green light to commence drilling at early in 2021 and at the same time as our drilling is continuing in Botswana.

“We are witnessing continued commitment for exploration and mining in Botswana from companies including Sandfire Resources which only strengthens our belief that the country remains a highly prospective exploration jurisdiction.”

This article was developed in collaboration with Six Sigma Metals, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.