(MENAFN- ProactiveInvestors - Australia) Lithex Resources (ASX: LTX) has completed a share placement raising A$349,350 to fund exploration on the 11 graphite tenements it is acquiring in Australia.
The share placement, which was managed by CPS Securities, comprised the issue of nearly 7 million shares at $0.05 per share with a one for two free attaching option exercisable at $0.08 on or before 31 December 2015.
The placement is the first part of a $1.69 million capital raising.
A second component to the capital raising is a non-renounceable pro-rata Entitlement Issue, fully underwritten by CPS Securities to raise a further $1.34 million, at the same price as the placement and including the same option entitlement.
Lithex recently announced plans to acquire the graphite tenements via the acquisition of Far North Minerals, which owns the rights to 100% of the tenements.
The graphite tenement package covers 533 square kilometres across four Australian states.
Three tenements make up the Munglinup Project in Western Australia, one comprises the Eyre Point Project in South Australia, five cover various historical showings located in New South Wales, one covers the Furniss East Project in Western Australia, and one covers the Emu Plain Project located in Queensland.
The projects are located in the main known graphite provinces in Australia, including the Munglinup Region of Western Australia and the Eyre Peninsula of South Australia. The tenements are considered highly prospective for occurrences of graphite.
No recent or systematic exploration program has been carried out for the exploration of graphite on any of the acquired tenements.
Lithex has already pinpointed the Munglinup Project as its flagship project, which is located along strike and contiguous with the eastern and southern sides of Graphite Australia's Munglinup Deposit, which is anticipated to be Western Australia's first commercial graphite mine.
There is believed to be the potential for similar mineralisation to the Munglinup Deposit to occur within the Munglinup Project that Lithex is acquiring.
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