Junior miner South Harz Potash Ltd., which is developing potash assets in Germany, reported that it has secured binding commitments for a placement of A$1.03 million ($670,000), with a further A$2.97 million proposed through a rights issue.
The combined equity raise of up to A$4 million is aimed at advancing the development of the company’s brownfield Ohmgebirge potash project and the acquisition of the Sollstedt mine in Germany. The placement includes an investment by South Harz directors, with a total of 40,116,690 shares allocated to them.
The placement terms stipulate the issuance of 103,000,000 shares at A$0.01 each, amounting to A$1.03m before costs. Of these, 40,116,690 shares are director placement shares, pending shareholder approval, and the remaining 62,883,310 shares were issued under the company’s existing Australian Securities Exchange Listing Rule 7.1A placement capacity on Aug. 8.