Cobalt aspirant Galileo Mining will start trading on the Australian Securities Exchange (ASX) tomorrow after raising $15 million through an initial public offering (IPO).
Western Australian prospector Mark Creasy, who holds a 31 per cent share in the company, founded Galileo.
The company’s investors also include ASX-listed miner Independence Group and Mineral Resources managing director Chris Ellison.
Based on the 20 cent a share offer price, Galileo will have a market capitalisation of $24 million.
Galileo holds interests in tenements near Norseman and the Fraser Range in Western Australia.
The Norseman cobalt-nickel project, in which Galileo hold a 100 per cent stake, has a JORC compliant indicated and inferred resource of more than 22,000t of cobalt and 106,000t of nickel.
Galileo managing director Brad Underwood was pleased with the significant interest in the company’s IPO.
“Our attention post listing will immediately turn to on-ground work programs at our Norseman and Fraser Range projects,” Underwood said.
“We are confident that our projects are highly prospective for additional cobalt resources as well as new discoveries.”
Galileo will accelerate exploration at the Norseman project, with drilling on key targets aimed at increasing this resource.
The company will also launch development studies with metallurgical drilling as it advances towards a scoping study.
At the Fraser Range project, Galileo plans to review and interpret previous exploration to define prospective areas of follow-up work, including drilling and ground geophysics.
Galileo will officially acquire its ownership in the Fraser Range project, which includes the Dunstan tenements and the Great Southern nickel tenement, once it has listed.
The company’s subsidiary, FSZ Resources, entered into joint venture agreement with Mark Creasy and Dunstan Holdings to acquire a 67 per cent interest in Dunstan’s Fraser Range tenements during January.
Also in January, Galileo’s other subsidiary, NSZ Resources, entered into a JV agreement with Mark Creasy and Great Southern Nickel to acquire a 67 per cent interest in one of latter’s Fraser Range tenements.