Iron ore, gold and uranium explorer Western Desert Resources Ltd
(ASX:WDR) has announced a rights issue to raise $8.33 million.
The offer price is 40 cents a share, a 32 per cent discount to the volume weighted average price of the company’s shares during the five trading day period before this announcement.
The rights issue will only be made available for eligible shareholders with a registered address in Australia or New Zealand.
The company says proceeds from the raising will be used to fund its aggressive exploration program including further exploration of its 100 per cent owned Mountain Creek Iron Ore Project and the Rover Gold/Copper Project.
Funds will also be used for internal assessments of the Roper Bay Iron Ore Project and the potential expansion of the company’s iron ore and base metals asset portfolio.
Western Desert Resources is yet to post a net profit.
