Copper explorer Resource Base (ASX: RBX) will start trading on the ASX from today following the completion of its oversubscribed $5.5 million initial public offering (IPO).
The company now plans to kick off an exploration program targeting the Eclipse prospect at its Black Range base metals project in northwest Victoria.
A total of 27.5 million shares priced at $0.20 each were issued under the offer and a total of 10.15 million shares and 9.69 million options were issued in accordance to secondary offers.
Candour Advisory acted as lead manager to the IPO while Steinepreis Paganin were the legal advisors.
Resource Base executive chairman Shannon Green said the company will now begin an exploration program at Black Range, its flagship project being acquired from Navarre Minerals (ASX: NML).
“The company now intends to proceed to test the potential of a 4km strike of the defined volcanic graben with an initial air core drilling campaign planned for the second half of 2021 with reverse circulation and diamond drilling proposed for the first quarter of 2022,” he said.
“We are targeting an initial inferred JORC 2012 resource from existing geological data by the end of the calendar year,” Mr Green added.
In today’s announcement to the market, Resource Base also said planning for a large-scale geophysics program is at an advanced stage.
Proceeds from the IPO are expected to finalise the company’s acquisition of the Black Range from Navarre.
Black Range project
The 124sq km Black Range project in Victoria includes multiple, largely untested targets over about 100km of Stavely Arc volcanics including the Eclipse, Lexington, Glenlyle and Pollockdale prospects.
The Stavely Arc is recognised as a series of volcanic rocks deposited within a continental margin arc setting, similar to the South American Andes, and is host to some of the world’s largest known porphyry copper deposits.
Historic work programs completed by previous owner Navarre concluded that a 4km long volcanic basin in the region has the potential for copper-gold and base metal sulphide mineralisation.
The project’s main prospect is Eclipse, where a supergene blanket of enriched copper (chalcocite) mineralisation is believed to be developed above widespread copper, gold and zinc mineralisation, and is interpreted to be associated with a potential volcanic-hosted massive sulphide source.