Cavalier’s portfolio consists of three projects within proven gold and nickel regions in Western Australia. Pic: Mark Liddell/ Getty Images
IPO Watch: Near-term gold and nickel producer Cavalier Resources heads for ASX with $7m IPO
Mining
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- Cavalier’s IPO opened on April 11 and closes May 20, with listing anticipated for June 10
- Collectively, the management team have more than 60 years’ mining experience
- Under the ticker CVR, the company plans to self fund exploration on three main projects within two years of listing
The same management team that successfully launched Panther Metals (ASX:PNT) on the ASX late last year is now steering gold and nickel newcomer Cavalier Resources towards a June debut.
Cavalier has launched a $5-$7m IPO with the issue of up to 35mn shares at 20c each, which will give the company a market capitalisation of $10-$12mn upon listing.
Collectively, the management team have more than 60 years’ mining experience with executive chairman Ranko Matic and technical director Daniel Tuffin on board, both whom were responsible for the successful listing of Panther Metals.
Cavalier’s got it all
Speaking to Stockhead, Tuffin said the emerging ASX nickel-gold play has been constructed to provide self-funded exploration on three main project areas within two years of listing.
“The aim is not having to carry out any capital raising on market, and therefore keep shareholder dilution to a minimum well into the future,” he said.
Cavalier’s portfolio consists of three projects within proven gold and nickel regions in Western Australia – the Leonora Project which holds 101,000oz gold ounces at the Crawford Gold Project 25km east of St Barbara’s gold mill, the Gambier Lass North Project to the north of the Crawford Gold Project, Hidden Jewel and Ella’s Rock Nickel-Gold Project.
All three projects are close to several mills, which potentially provides the company with the opportunity for near-term production once feasibility studies are complete.
“Our IPO has the full package,” Tuffin adds.
“From near-term mining at Crawford and targeted infill drilling at Gambier Lass North through to advanced exploration at Hidden Jewell and potential new greenfields nickel and gold discoveries at Ella’s Rock, all potentially self-funded over what may be multiple mining cycles resulting from the Crawford Gold Project.”
The company’s Crawford Gold Project is part of the greater Leonora Gold Project, which is near mine-ready, and it is with this project that Cavalier plans to generate future funds.
“These funds will then be used to explore our other exciting projects, while continuing to expand the resource, potential reserve and additional pit stages at the Crawford Gold Project itself,” Tuffin explained.
Like the board did with Panther, plans are in place to hit the ground running post-listing with drilling to begin immediately to move the Crawford Prospect at its Leonora Gold Project to a mining phase within 18 months.
“We intend to be drilling QA/QC and extensional holes at the Crawford Gold Project whilst finalising a review on the viability of commencing a Pre-Feasibility Study on the same project,” he said.
Perfectly placed to grab the nickel bull
Nickel is the hot topic right now, and Cavalier Resources is perfectly placed to grab the bull by its horns.
“The nickel aspects of this IPO are extremely exciting,” Tuffin said.
“Cavalier’s Ella’s Rock project was brought to us by doctors David Groves and Kerim Sener, both experts in orogenic systems.
“The area is largely untested, with several greenstone targets to investigate in an area that is known for its prolific nickel and gold resources.
“Put simply, this project has massive potential for new discoveries and I cannot wait to start exploration.”
Cavalier’s IPO opened on April 11 and closes May 20, with listing anticipated for June 10.
For more info on nickel, check out our latest story in a series called ‘So You Think You Can Drill’.
Stockhead’s Josh Chiat recently spoke to one of Australia’s preeminent experts in nickel and copper exploration to tell us what to look out for when you want to know if your investment is onto a winner.
