This article is 8 years old. Images might not display.
The company was seeking to raise around $A10 million, but the offer was several times oversubscribed due to high demand from institutions, resulting in it being upsized to $12.4 million.
The issue price was 50c, a 10% discount to the five-day volume-weighted average price of Breaker shares.
Breaker managing director Tom Sanders told MNN the company had received very strong interest in the raising, which was managed by Patersons Securities.
“It’s a big vote of confidence,” he said.
Shares in Breaker surged by around 56% to an all-time high of 65c in just four sessions over the past week as Sanders promoted the company on the East Coast.
The latest results from the Bombora and Bombora North discoveries at the Lake Roe project outside Kalgoorlie included 26m at 2.55 grams per tonne gold, including 9m at 4.45gpt; 12m at 4.41gpt gold, including 9m at 5.7gpt and 3m at 12.15gpt; and 4m at 10.08gpt gold from shallow depths.
The company had $1.8 million at the end of June after several small raisings throughout the year, but Sanders said the placement would allow it to step up activities.
“It’s been a long haul but it looks very exciting out there,” he said.
Drilling is continuing at Bombora and Bombora North with Breaker seeing the potential to link the two prospects.
Resource definition drilling will begin in the next eight weeks.
The discoveries sit in the southern half of a potential 4.4km strike length and a second reverse circulation rig will start testing the northern portion.
“The really interesting thing is that we’re getting good indicators in the 2.2km to the north,” Sanders said.
“It’s open in all dimensions – there’s lots of things to play with there.
“We simply don’t know if that’s the limit.”
Breaker believes it has discovered a major gold system at Lake Roe with significant open pit and underground mining potential.
It looks like investors agree, with the stock jumping by another 6% this morning to a new all-time high of 69c.
