Finders completes $10m placement

By Romel S. Gurky

ASX-listed copper producer Finders Resources Limited announced Thursday the successful completion of a US$10 million institutional and sophisticated investor placement.

The company said in a statement this would be followed by a fully underwritten 1 for 15 non-renounceable entitlement issue to raise approximately $5.3 million.

?The capital raising will raise gross proceeds of approximately $15.3 million and will be used to complete funding for the expansion of the company?s Wetar copper project as well as fund further exploration and working capital,? the statement said.

The placement received strong support from both existing and new investors. The entitlement offer has been fully underwritten by the Joint Lead Managers, Morgans Corporate Limited and Blackswan Corporate Pty Ltd, it added.

Finders? Non Executive Chairman, Gary Comb, said ?We are delighted with the strong support from investors in the placement and are pleased to provide our shareholders with the opportunity to participate in the equity raisin g on the same terms through the entitlement offer. The capital raising will provide the Company with funding to complete the expansion of the Wetar copper project and take us through to first production at full capacity.?

Finders, which started copper production from Wetar in Maluku Province on 31 March 2014, plans to expand the copper cathode smelter project from the current capacity of 3,000 tons per annum to 28,000 tpa. The company was expected to start construction of the project expansion works in June 2014. Production from the expanded plant is scheduled to come online in the second half of 2015.

Editing by Reiner Simanjuntak