South Harz raises equity to advance Ohmgebirge potash project
ASX-listed South Harz has announced new equity raisings of up to A$4-million to advance the brownfield Ohmgebirge potash development, in Germany.
The company has received binding commitments for a placement of A$1.03-million through the issue of 103-million fully paid ordinary shares. Up to A$2.97-million in additional funds is proposed to be raised through a one-for-three pro-rata nonrenounceable rights issue to eligible shareholders.
“This additional funding will assist us in completing detailed due diligence activities and executing targeted binding agreements for the transformational Sollstedt mine acquisition, while undertaking internal value engineering and optimisation studies for the brownfield Ohmgebirge potash development,” said chairperson Len Jubber.
Following the recent favourable spatial planning assessment, South Harz is well positioned to advance Ohmgebirge in a cost-effective manner, optimising its potential into a strengthening potash market.
The South Harz project hosts a globally large scale potash resource estimate of 5.1-billion tonnes at 10.6% potassium oxide (K2O) of inferred resources and 258-million tonnes at 13.2% K2O of indicated resources across four wholly-owned project areas located favourably within central Europe.
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