Junior Western Australian explorer Miramar Resources has had a golden start to the ASX listing process, having raised a targeted maximum subscription of $8 million just 24 hours after launching its initial public offer (IPO).
The gold-focused company opened and closed its offer on the same day due to unexpected demand, accepting an initial 25 million subscriptions at $0.20 each and agreeing to another 15 million in oversubscriptions.
Miramar Resources plans to list on the ASX next month using the ticker ‘M2R’.
Headed by ex-Doray Minerals founder
The rush could be attributed to news that Miramar will be headed by WA mining identity and start-up entrepreneur Allan Kelly, who has had a colourful career since establishing gold and copper producer Doray Minerals in mid-2009.
Six months after opening its doors, Mr Kelly managed Doray through a $4.6 million IPO, followed soon after by the discovery, funding, permitting, construction, commissioning and operation of the high-grade Andy Well gold project.
By the time he vacated the hot seat in 2016, Doray had grown from a greenfields mineral explorer with projects in WA and South Australia to an ASX300 gold producer that had funded and built two high-grade gold operations within four years and directly employed 150 staff.
In April 2019, Doray de-listed from the ASX following a $421 million merger with rival gold producer Silver Lake Resources (ASX: SLR).
Now the man behind the inception of Doray and more recently, Alaska-focused explorer Riversgold (ASX: RGL), has his eyes on a new venture and investors seem to be clamouring to get a slice of the action.
With Miramar, Mr Kelly and his team have compiled a portfolio of highly-prospective exploration opportunities in WA’s goldfields, Murchison and Gascoyne regions, with tenure under application prospective for nickel, copper and platinum group elements in the state’s Ashburton region.
The company aims to discover a potentially-economic mineral deposit worth developing, focusing primarily on exploration of the Gidji and Glandore projects in the eastern goldfields.
It has entered into an agreement to acquire 100% of the tenements around Glandore (including the Whaleshark, Bangemall, Garden Gully, Lakeside, Lang Well and Randalls projects), as well as an 80% interest in tenements comprising Gidji.
“Our priority after listing will be to explore these projects which are located near a number of existing mining operations and processing plants in the gold mining centre of Kalgoorlie-Boulder,” Mr Kelly said.
“They have a number of exciting drill-ready targets we intend to systematically test with the aim of creating value for our shareholders by discovering an economic gold deposit, which has potential to be developed either by Miramar or another company,” he added.
Proceeds from the IPO will be used to fund the tenement acquisitions and advance its exploration activities in its regions of interest.