No, not the American heavy metal band, but the Australian resource and commodities company Metallica Minerals Ltd.
Metallica has announced plans for a rights issue to raise $4.9 million to develop is Tri-metal Project.
Metallica’s Tri-Metal Project operates in the Townsville area. Also it is running a Weipan zircon / rutile mineral sands project on the Cape York Peninsula in the Far North Queensland region.
This news has led to a rally in share price with a rise of 5.8% today to 36.5 cents.
Terms of the Metallica Rights Issue
For every 10 shares currently held shareholders may elect to take up 1 new share in Metallica Minerals and 2 shares in Planet Metals Ltd. at a cost of 42 cents. This represents a discount as Metallica was trading at close at 34.5 cents and Planet Metals is trading at 9.5 cents, so the combined cost to buy the 3 shares in the open market is 53.5 cents.
Who Are Metallica Minerals?
Minerals and commodities are in high demand at the moment which is why Metallica is keen to develop its projects. Metallica current specialise in extraction of these minerals:
- Coal Energy
On the 3rd June 2011 it announced that it had positive tests from its recent surveys in the Tri-metal project zone.
Find out more about their operations on their website: www.metallicaminerals.com.au