John Hancock cornerstones White Cliff Minerals (ASX:WCN) $5 million premium placement

John Hancock cornerstones White Cliff Minerals (ASX:WCN) $5 million premium placement

October 9, 2024 Off By MarketOpen

In a climate where capital raising is often met with hesitation, White Cliff Minerals (ASX:WCN) has achieved something remarkable—a $5 million placement secured at a premium to the market price.

The company, cornerstoned by strategic advisor John Hancock, has attracted robust backing from institutional and high-net-worth investors, signalling a vote of confidence in its ambitious plans for the Rae Copper Project and Great Bear Project in Canada.

White Cliff Minerals has raised $5 million through the issue of 200 million shares at $0.025 per share, representing a 4% premium to the last traded price and an 8.5% premium to the 15-day volume-weighted average price (VWAP). This is no small feat in today’s market, where discounts are often the norm.

The placement, structured to include a free-attaching option exercisable at $0.04, also benefits investors with long-term potential upside.

Managing Director Troy Whittaker stated, “This funding demonstrates global acknowledgement of both our strategy and the quality of our assets, and achieving a premium to market of 8.5% confirms demand for the issue.” This sentiment reflects the market’s belief in White Cliff’s copper-focused ambitions in North America, an increasingly strategic region for critical minerals.

John Hancock, the cornerstone investor, brought not just capital but credibility to the table, contributing $2.5 million to the raise and further underlining his confidence in the company.

Hancock noted, “I’m very pleased that the Company now has a clear runway ahead of an exciting period of further exploration. The capital raise has reduced uncertainty for existing shareholders, and I welcome some close friends as new holders.”

What sets this placement apart is not just the premium pricing but the clarity of purpose behind it. The funds are earmarked to propel two of White Cliff’s flagship projects: Rae Copper and Great Bear.

The Rae Copper Project, with its copper and silver potential, is scheduled for a maiden drilling campaign in Q1 2025. The timing is critical as the global focus on copper—considered the ‘metal of electrification’—has never been stronger.

Investors are also eyeing the Great Bear Project, with its multi-commodity potential spanning copper, gold, silver, and uranium. White Cliff’s plans to launch a multi-rig exploration campaign here later in the season underscore the project’s scale and ambition.

The company is positioning itself to benefit from both the short-term copper supply squeeze and the long-term demand for electrification.

In a resource sector where many juniors struggle to raise funds, White Cliff’s ability to secure a premium placement speaks volumes.

The company is well-capitalised to execute its exploration plans and has garnered the support of not just investors, but market veterans like Hancock.

As White Cliff Minerals gears up for what promises to be an eventful 2025, this capital raise sets the stage for potential discoveries that could reshape the company’s trajectory—and, perhaps, redefine the copper landscape in North America.

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