OnMarket | R3D Resources Ltd | ASX: R3D
The Company has advised that the offer has been well supported, and they have received firm commitments to cover the offer. The offer will be closing early via OnMarket.
All applications and payments must be submitted by Wednesday 3 March 2021, 5:00pm (AEDT)
R3D Resources Limited (ASX: R3D) is acquiring Tartana Resources, a company which was established in 2007 and which has aggregated a portfolio of copper-gold exploration and mining assets in the Chillagoe Region in north Queensland. The objective of the acquisition is to grow R3D Resources into a significant copper-zinc producer through exploring and developing these assets. Tartana’s projects vary in maturity with most advanced being the Tartana mining leases which contain an existing heap leach – solvent extraction – crystallisation plant being held in care and maintenance. Work has been progressing to restart this plant to provide future cash flow through the sale of copper sulphate.
R3D Resources Limited is conducting a reverse takeover of Tartana Resources and at the same time is conducting a capital raising through a prospectus to raise $4.25 million via the issue of 21.25 million shares under the Offer at an offer price of $0.20. The company is also offering Options on a 1 for 5 basis, exercisable at $0.40 within 5 years from the date of issue. The company will have an indicative market capitalisation of approximately $21.41 million on completion of the offer.
R3D Resources Ltd (ASX: R3D) is an ASX listed company. On 2 March 2020, the Company’s securities were suspended from trading on the Official List of the ASX. In February, the company commenced a formal takeover of Tartana Resources Ltd. As a result of the Company’s proposed acquisition of Tartana Resources, the Company obtained Shareholder approval for a change of nature and scale of activities and is required to comply with Chapters 1 and 2 of the ASX Listing Rules for re-admission to the Official List.
R3D Resources has a mission to become a significant copper, gold and zinc company through development and exploration of projects acquired with the takeover of Tartana Resources Limited. Tartana’s project portfolio has taken a number of years to assemble and provides an exciting base for future growth.
Key attractions of the takeover included the potential for two projects (Tartana copper sulphate project and the Tasmanian zinc project) to generate a cash flow while the overall portfolio offered a high level of prospectivity on projects which have scale and focused around copper as a commodity.
Some of the important exploration projects include:
R3D believes that these projects offer exciting exploration potential with most projects having evidence of historically drilling mineralisation which requires follow up exploration.
Heap leach pads and Solvent Extraction plant. Accommodation village in the background
R3D Resources will be led by a Board which has substantial financial, technical and management experience in the resources industry. At the Completion of the takeover and ASX re-admission, the Board will comprise of:
Dr Stephen Bartrop Executive Chairman
Steve’s professional experience spans more than 30 years covering periods in both the mining industry and financial sector. With a geology background, Steve has worked in exploration, feasibility and evaluation studies and mining in a range of commodities and in different parts of the world. In the financial sector, Steve has been involved in research, corporate transactions and IPOs spanning a period of more than 20 years, including senior roles at JPMorgan, Bankers Trust and Macquarie Equities.
Bruce Hills Executive Director and Joint Company Secretary
Bruce is an accountant and is currently an Executive Director of Breakaway Investment Group Pty Limited which operates the Breakaway Private Equity Emerging Resources Fund. Bruce is a Director of a number of unlisted companies in the mining and financial services sectors including The Risk Board and Stibium Australia. Bruce has 35 years’ experience in the financial sector including 20 years in the banking industry primarily in the areas of strategy, finance and risk.
Robert Waring Non-Executive Director
Robert Waring has over 40 years’ experience in financial accounting and company secretarial roles, principally in the resources industry. He is involved as Company Secretary of a number of public companies listed on the Australian Securities Exchange.
Michael Thirnbeck Non-Executive Director
Mr Thirnbeck is an experienced geologist with over 25 years in managing numerous mineral development projects in Papua New Guinea, Indonesia and Australia. He has been a Member of the Australasian Institute of Mining and Metallurgy since 1989 and holds B.Sc. (Hons.) degree from University of Queensland.
Mr Wayne (Tom) Saunders Technical Exploration Manager (to be appointed)
Tom has 40 years’ experience in the mining and exploration industries in Australia and Asia Pacific rising to Chief Geologist of a public company before becoming a consultant. He also spent 12 years in DNRME Mining Tenure Unit rising to Director. Tom has a number of significant discoveries under his belt, as well as a reputation for progressing projects through from exploration to feasibility and then development and mining phases. Tom has put the discovery drill holes into multiple deposits in Queensland including the King Vol zinc deposit, Beaverbrook, Monte Video and the Tartana Heap Leach copper oxide.
Mr Geoff Reed Consultant Resource Geologist
Geoff’s experience spans 20 years with a significant focus on GIS and 3D technical work within the Exploration and Mining Industries. Geoff has experience in underground and open cut metalliferous mining and various metalliferous exploration and resource projects. Geoff has undertaken geological and resource management roles Cobar NSW, Mt Isa QLD, Broken Hill NSW, Townsville QLD, and Sydney.
Funds raised from the Offer will be applied as follows:
You are encouraged to read the Prospectus carefully as it contains detailed information about the Company and the Offer. Like all investments, an investment in the Company carries risk. As set out in Section 4 of the prospectus, R3D Resources Limited is subject to a range of risks, including but not limited to re-quotation of shares on ASX, competition risk, capital structure, reliance on key personnel, exploration and development, development and acquisition opportunities and Tenements, Native Title and Land access and environmental risks.
Section 734(6) disclosure: The issuer of the securities is R3D Resources Limited ACN 111 398 040. The securities to be issued are ordinary shares. The disclosure document for the offer can be obtained by clicking on the link above. The offers of the securities are made in, or accompanied by, a copy of the disclosure document. Investors should consider the disclosure document in deciding whether to acquire the securities. Anyone who wants to acquire the securities will need to complete the application form that will be in or will accompany the disclosure document (which can be done via the electronic application form which will become available by clicking the bid button above).
OnMarket has a limited allocation. The offer may close early and the 'Pay By' dates may change. Bids over $10,000 may be scaled back more heavily. Duplicate bids under the same investment profile, investor name or residential address may be cancelled.