Bulletin secures funds for WA gold project

Bulletin Resources is raising $3.63 million from a rights issue and placements to fund continued exploration at its flagship Lake Rebecca gold project.

The company has received commitments of $2.69 million for nearly 60 million new shares at a price of 4.5 cents per share, representing a 26 percent discount on the 10-day volume-weighted average price.

It will also conduct a placement of 20 million new shares and 6.67 million new options following the completion of the rights issue to raise up to $940,000.

Bulletin chair Paul Poli said the funds would create more opportunities at Lake Rebecca - located 150 kilometres north-east of Kalgoorlie - and any future projects.

“The board has come to the conclusion that a stronger balance sheet would enable Bulletin to both progress exploration at the Lake Rebecca gold project where exploration has so far given us confidence in the project but also to act on new opportunities that may arise from time to time,” he said.

Bulletin will also use the funds to complete sampling at its Chifley and Ravensthorpe projects.

Westar Capital is acting as lead manger and underwriter to the raise.

Shares in Bulletin were down 10.8 per cent at 2:26pm AEST to trade at 5.8 cents each.