Resource Base raised A$5.5 million at 20c via an oversubscribed IPO to pursue the Black Range volcanic-hosted massive sulphide system position that it secured from Navarre Minerals for shares.
The selling pressure was immediate, with the stock opening at 16.5c, and trading in a tight range, of 16.5-17.5c, before closing at 17c. Some 2.2 million shares were sold during the session.
Executive chairman Shannon Green said the company was now focused on its ambition to generate an inferred resource and exploration target by the end of the year.
"The company now intends to procced to test the potential of a 4km strike of the defined volcanic graben with an initial aircore drilling campaign planned for the second half of 2021 with reverse circulation and diamond drilling proposed for the first quarter of 2022," Green said.
Resource Base is the latest company targeting the copper on the ASX, initially at the Eclipse prospect, and its 100km of untested volcanics along Victoria's Stavely Arc, to the north of Stavely Minerals' emerging Thursday Gossan project.
Eclipse has a supergene blanket with grades up to 3% copper and 2.95 grams per tonne gold, above widespread copper, gold, and zinc mineralisation, interpreted to be associated with a potential VHMS source.
Historically there has been only limited exploration in the area due to the presence of cover, although small windows of basement exposure have led to the discovery of a number of copper and gold prospects
There is also the potential to make discoveries within the most prospective stratigraphic level, dubbed the Holy Host, which offers similarities to the host mineralisation such as Rosebery, Que, Hellyer and Mt Lyell deposits in Tasmania.
Navarre is the largest shareholder at the recapitalised company, with 17.4%, while former major shareholder ASIPAC Group converted $2.6 million of debt into new shares to own 7.3%.
The top 20 shareholders own 44.7%.
Navarre wants to focus on its Victorian gold projects, and considered Black Range as non-core.
Resource Base was previously focused on gold in New South Wales, primarily the Broula King mine, and was delisted in 2020.
