GTI raising $1.35m to explore new Wyoming uranium project
GTI Energy is looking to raise up to $1.35m through a fully underwritten non-renounceable rights offer to fund development and exploration of its recently acquired Lo Herma project.
The company is offering existing shareholders the right to acquire shares priced at 0.9c at a rate of one new share for every 10 shares held.
It includes one free attaching option exercisable at $0.03 each which expire on 20 October 2024 for every two shares acquired.
Any shortfall will be covered by underwriters CPS Capital Group.
Lo Herma is located within about 80km of five permitted In Situ Recovery (ISR) production facilities, including Cameco’s Smith Ranch-Highland ISR facilities which are just 16km away and is the largest uranium production site in the state.
GTI Energy (ASX:GTR) recently acquired historical data worth about $15m which places drill logs for 1,445 holes – representing about seven times the number of holes it has drilled to date in the entire state – at its fingertips, a coup that is expected to help with the definition of an Inferred Resource within the next few months.
It has already received firm commitments from investors for a placement of 260 million shares priced at 0.9c to raise $2.34m.
The company is currently in the process of converting the acquired data into a modern electronic database while correlating geophysical logs with lithological information to separate the 1/2 foot data into correlatable mineralised horizons.
It plans to carry out field verification by surveying a representative number of the drill holes before carrying out a drill verification program, including coring and analyses to determine disequilibrium conditions.
This program is also expected to incorporate a hydrological investigation of the project focusing on the hydrostatic head available for each mineralized horizon plus an airborne geophysical survey.
This article was developed in collaboration with GTI Energy, 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.