Chase Mining directors participate in SPP to fast-track Canadian drilling programs

Chase Mining Corporation Ltd (ASX:CML) directors have participated in the company’s share purchase plan (SPP) to allow for additional drilling at its highly prospective Canadian projects. Executive chairman Dr Leon Pretorius acquired 2.4 million shares on June 22 worth $30,000 in a direct interest, increasing the number of securities held to 18.4 million. Non-executive director Martin Kavanagh purchased 480,000 shares in a direct interest, increasing the amount of securities held in the company to 1.18 million. Non-executive director Charles Thomas acquired 1.44 million shares in an indirect interest for a total of $18,000, increasing the number of securities held to 9.44 million shares. Applications scaled back The company raised $750,000 through the SPP with the strong interest received requiring applications to be scaled back. Eligible shareholders were entitled to be issued up to $30,000 worth of shares at the SPP issue price of 1.25 cents per share. The SPP offer was made to 903 eligible shareholders with valid applications received from 69 eligible shareholders for a total value of $1.032 million and an average application amount of around $15,000. To comply with the Listing Rules, the SPP was scaled back, resulted in the top 40 shareholders receiving their full applications while remaining applicants receive 480,000 SPP shares totalling $6,000. Additional drilling plans Although CML has sufficient funds for budgeted drilling at Zeus prospect within the Alotta project and for working capital requirements, the board believes it is wise to have extra funds for additional drilling. Positive market fundamentals for gold and PGEs, including strong prices, support this view. As such, the board aims to allocate the additional funds for further drilling at the Lorraine and/or Alotta projects in Quebec, pending positive results.