An underwritten entitlement offer is pricing new shares at 34c, a 12-17% discount based on recent share trading levels.

Panoramic’s feasibility study for restarting the Savannah project in Western Australia last year outlined an attractive investment proposition at commodity price and foreign exchange rates similar to current levels, including an internal rate of return of 100%.

Panoramic used a nickel price of US$5.50/lb and a US exchange rate of 0.78 in its feasibility work.

Nickel is currently at more than $5.80/lb while the US exchange rate is 0.8.

Nickel has risen from levels around $3.80/lb in March 2016.

The current copper price is also very similar to that used by Panoramic in its feasibility work.

Estimated capex for the restart was put A$36 million, with the operation expected to have sustaining cash costs of US$3.50/lb of payable nickel.

Earlier this week Panoramic said updated financing proposals had been received from a range of potential financiers including offtake partners, traditional resources banks and other resource financing organisations.

Prior to current raising Panoramic had about A$12 million cash.

It plans to use up to $17 million at Savannah, including up to $4 million on exploration and studies looking at alternative technologies potentially applicable at the operation.

Shares in were off 1.3% to 38c in early trade, capitalising the company at $163 million.

The stock was at levels around 21c in mid-2017.