Western Australian nickel hopeful Nickelore Ltd has revised the terms of its rights issue, offering shareholders one new share for every existing share held at an issue price of 25 cents, down from its previous offer in December of 30 cents per share.
The new rights offer, which replaces the previous offer, will lower the amount raised by the issue from $21.9 million to $18.3 million.
Subscribers will also receive one free attaching unlisted option for every two shares subscribed for with an exercise price of 30 cents each, also less than the exercise price of the initial announcement of 34 cents.
West Perth-based Nickelore, which changed its name from Halcyon Group Ltd in early December, is looking to raise funds for the development of its Canegrass Nickel Cobalt project in the north eastern Goldfields, in addition to providing working capital.
The project will include a heap leach extraction plant, with the scoping study currently underway and expected to be completed by the end of the first quarter 2008.
Nickelore acquired the mineral rights to 140,000 tonnes of nickel metal in laterite nickel products from the Canegrass project, formerly part of the Siberia nickel venture, last August from Wingstar Investments.
The project leases cover an area of just more than 15 square kilometers, adjoining the Heron Resources' tenements and the Norilsk Nickel Cawse Laterite Nickel Mine.
