"The gold and base metals explorer with projects in WA soared in early trade after a successful share placement for $1.48m from sophisticated and professional investors. The capital raising is for the development of the company’s Wongan Hills gold and base metals and Barlee gold projects in WA. Cullen Resources also has the rights to two iron ore royalties in WA’s West Pilbara region for which it is entitled to 1-1.5 per cent of the free-on-board price of any ore shipped. One royalty is with AMCI-Posco and China’s Baosteel and Australia’s Aurizon (ASX:AZJ) in the Australian Premium Iron Ore Venture for the development of a 40 million tonne per year project. Another royalty is with Fortescue Metals Group (ASX:FMG) in the Wyloo project, part of the iron ore miner’s Eliwana project that started up last year.Cullen Resources has two iron ore tenements 25km south of Paraburdoo in WA for which Fortescue can earn an 80 per cent interest under a joint venture arrangement".
$7m market cap is ridiculous for CUL. Look for a big re-rate here. Today is probably the beginning of a run, just looking at the volume seems that many are getting set. DYOR.
CUL Price at posting:
2.8¢ Sentiment: Buy Disclosure: Held
