The NT Independent is providing you with an update of resource news from across the Northern Territory. This week, Oceana set ASX entry for May, Elmore shares are up, and Emmerson raises fund for copper-gold exploration. All this and more.

Oceana set to boost NT Nappery project after IPO, sets ASX entry next month

Lithium mining company Oceana Lithium Ltd. hopes to raise a total of $6 million on its offering in the primary market before its listing on the ASX on May 27. Earnings from the IPO will be used for the company’s major exploration projects in the Northern Territory and in Brazil.

The NT Nappery Project is the first lithium ore development in the region. It is expected to be in operation by this year’s end. Nappery has more than 1,160 square kilometres of mining rights. The mining area is 1,195 kilometres away from Darwin Port.

Oceana said around $1 million will be allocated for the project.

Oceana could release up to 30 million in common shares with an estimate of 20 cents apiece, which along with other assessment inputs puts the company’s value at $12.7 million. It expects to complete its public offering this week.

Peko State 1 operations boost Elmore shares

Shares of Elmore Ltd. (ELE) skyrocketed by as much as 66.7 per cent in last week’s trading after the company announced the start of business manufacturing at its Peko State 1 Magnetite Processing Plant in the Northern Territory.

ELE is escalating manufacturing with a goal of 350,000 tonnes annually—the rail capacity constraint and began transporting magnate product to the Darwin Port.

The company is promoting magnetite from the plant and intends to add copper, cobalt, and gold to the combination. It could get $200(US) per tonne for the magnetite—based on the current pricing of the China Metal 65% Magnetite Focus Index.

ELE has a current market capitalization of $27 million. The company’s share worth has rocketed 121 per cent within 12 months.

Emmerson aims to raise $6.5-M for copper-gold exploration

Emmerson Resources (ERM) will raise a total of $6.5 million to hasten its copper-gold explorations by combining a $1.5 million share purchase plan (SPP) with a $5 million institutional placement.

The SPP which ends on May 16, with the results announcement on May 23, permits shareholders to obtain up to $30,000 of new shares at 1.15 cents apiece.

The capital raise will hasten exploration of the copper and gold in Tennant Creek in Northern Territory (NT) and the Macquarie Arc in New South Wales.

ERM is a gold and copper explorer with a collection of projects straddling 1,706 square kilometres in the NT and 659 square kilometres in the Macquarie Arc belt of New South Wales.

Managing Director Rob Bills said the funding puts ERM in a strong financial position.

North Star to divest Australian gold assets to Black Cat

Northern Star Resources (NST) has agreed to divest its Paulsens Gold Operations in Western Australia, and Western Tanami Gold Project in Northern Territory to Black Cat Syndicate (BC8) for $44.5 million.

The deal, expected to be completed in June this year, is subject to certain conditions such as BC8 raising a minimum of $25 million through the issuance of shares by June 15. Shareholders’ approval is also required for BC8 shares issuance to NST.

The deal is a combination of cash, scrip and contingent cash payment, which will incorporate $14.5 million to be paid on sale completion, 8.3 million BC8 shares at 60 cents each, $15 million to be paid on Jun 30 next year, and $10 million cash in a progression of contingent instalments.

Both the Paulsens and Western Tanami projects are presently in care and maintenance.