Peel Mining raises $6m in capital for Wagga Tank

Results are out for Peel’s capital raising venture following a brief voluntary suspension of trading on the ASX.

The company has successfully placed 15 million shares at 40 cents each, resulting in $6 million in funding for the company’s in-progress Wagga Tank project in New South Wales.

Peel’s share price was previously up to 45 cents per share following positive results from the prospective zinc project at the end of October.

In mid-October, just before the release of Wagga Tank drilling results, Peel’s share price stood at $0.33, a jump of 44 per cent for that month. The current 50 cent share price represents an 11.1 per cent discount from the previous trade price.

The company now plans to prioritise its Souther Nights prospect, which has shown high-grade zinc-lead-silver mineralisation in assay results, including 31.02 per cent zinc over 21 metres; 258 and 1.43 grams per tonne of silver and gold over 194 metres; and 12.05 per cent lead at 21 metres.

Rob Tyson, managing director of Peel, was pleased with the interest shown in the project so far from both shareholders and new investors.

“Early indications are that the project has the potential to host a major mineralised system,” he said.

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