NickelSearch opens $10M IPO

MEDALLION Metals spin-off NickelSearch has formally opened its initial public offering, which seeks to raise up to A$10 million.
NickelSearch opens $10M IPO NickelSearch opens $10M IPO NickelSearch opens $10M IPO NickelSearch opens $10M IPO NickelSearch opens $10M IPO

The Carlingup project

The company is offering 35 million shares at 20c each to raise $7 million, but will accept oversubscriptions up to a further $3 million.

Discovery Capital Partners is acting as lead manager to the offer, which opened yesterday.

NickelSearch holds the Carlingup project, adjacent to First Quantum Minerals' Ravensthorpe nickel operation.

The project comprises eight granted mining licenses and seven exploration licenses covering more than 15km of strike.

Carlingup has a resource of 171,000 tonnes of nickel at 0.58%.

The Rav-8 deposit historically produced 16,100t at 3.45% nickel, including 9600t of nickel at 5.83%.

The John Ellis laterite deposit has early production potential, given it is contiguous with FQM's Nidibillup deposit.

NickelSearch is aiming to start drilling at Carlingup in the December quarter, following the company's ASX listing in early October.

Geologists David Royle and Craig Moulton are chairman and managing director, respectively.

Corporate advisor Norm Taylor, former Perenti executive Donald James and mining engineer Paul Bennett are on the board, with the latter the representative of Medallion.

Medallion expects to hold 15.1-17.6% of NickelSearch.