Copper pit coming,sandfire eagerly watching this little minnow
Horseshoe Metals: Small cap. specialists Investmet Limited stake increases to 14.6%
Friday, June 22, 2012 by John Phillips
Horseshoe Metals' (ASX: HOR) recent discoveries of up to 15% visible copper mineralisation at Kumarina have not gone unnoticed by the investment community - with continued interest from Investmet Limited which has the proven ability to pick some small cap. winners.
Why it's so important to be able to secure funding from the likes of Investmet, is that the group has taken strategic positions in companies such as Northern Star Resources (ASX: NST) in recent years - which is currently trading at around $0.90, more than thirty times higher than the $0.03 from two years earlier.
In regards to Horseshoe Metals, Investmet has now paid Horseshoe $2.75 million as part of a placement recently approved by shareholders, which included 10 million shares at $0.275.
The placement was originally announced on the 21st February 2012, and the closing share price on that day was $0.28.
Investmet now holds a 14.6% stake in Horseshoe.
In addition to receiving the 10 million shares, Investmet has been issued, for no consideration, around: 3.3 million options exercisable at $0.35 expiring on 25 May 2013; 3.3 million options exercisable at $0.45 expiring on 25 May 2014; and 3.3 million options exercisable at $0.60 expiring on 25 May 2015.
Action a plenty for Horseshoe at Kumarina
Recent highlights from Kumarina include; 14 metres at 4.4% copper from 33 metres, including 4 metres at 9% and 1 metre at 15.2%, with the DMP approval for next drilling program due in July 2012.
Across at Horseshoe Lights, a diamond drilling program covering nine holes has been completed which covered 1,782 metres in 3 different zones. Highlight to date include; 11 metres at 1.4% copper from 226 metres, including 2 metres at 3.1% copper.
Assays for the last five holes are still pending.
Major discoveries in the area
The region in which Horseshoe is currently operating continues to emerge as a major copper district in Australia, highlighted by the fact that Sandfire Resources’ (ASX: SFR) massive DeGrussa Copper-Gold mine is less than 100 kilometres away.
Add to the mix the location 90 kilometres north of Ventnor Resources' (ASX: VRX) Thaduna Copper Project, which recently announced some stellar results including: 37 metres at 2.61% copper from 111 metres, including 10 metres at 7.53% copper; and 62 metres at 2.19% copper from 125 metres, including 32 metres at 3.1% copper.
Kumarina is also 35 kilometres southwest of Montezuma Mining Company’s (ASX: MZM) Butcherbird Copper project.
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