Tigers Realm cashed up as it presses ahead with feasibility study at East Russian coal projects
Tiger’s Realm Coal (ASX: TIG) has closed its latest round of fundraising designed to pay for a feasability study at its Project F mining development in East Russia.
TIG offered its shareholders the chance to purchase up to $15,000 in shares, for $0.165 each, with ten million new shares available on the ASX. The deal has now closed and TIG says it will press ahead with its plans to use the funds to drive Project F forward.
SPP comes after TIG’s $62M fund drive
At the end of 2013, TIG was successful in raising $62M through BV Mining Holding Limited, which committed $36.2M, and Russian Direct Investment Fund, which bought shares for a total of $16.3M.
Added to this, TIG was also able to raise a further $9.5M from a placement to existing and new shareholders, as well as through a share purchase plan.
Plans for the new funds
The results from this latest funding round will be put towards a feasibility study that is to be carried out at TIG’s Project F mining development in East Russia.
The funds will also go towards further drilling at Russia’s Amaam and Amaam North and the beginning of the development and construction of another area of Project F once the feasibility study has been completed to show that it’s safe to drill.
Coal drilling progress
After TIG’s previous $62M funding round, the company announced in late March 2014 that it had received ‘excellent results’ from winter drilling at its two key projects in East Russia, the aforementioned Amaam North and Amaam.
The strike at Amaam North, at Project F, has been extended from 3km to more than 11km, with 6,000m of drilling carried out. The thickest coal intersections so far have been discovered in this area — of up to 21.4m — and new coal has also been discovered in the northern part of the area.
At Amaam, TIG reported that more than 6,000m of drilling has been completed, with one area having discovered more than 8m of cumulative coal. These new coal seams have been identified as having a strike length of 2.2km.
The first phase of Project F’s drilling is now nearly complete but studies on oxidation, waste dump, infrastructure sterilisation, geotechnology and hydrogeology are continuing.
At Amaam there is still around 3,000m of drilling that needs to be completed.
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