AUS
NZ
UK
CA
USA
IND
Highlights:
- Underwriting Agreement Secured: Titan Minerals Ltd (ASX:TTM) has signed an underwriting agreement with CPS Capital Group Pty Ltd for the exercise of listed options at $0.35 each, expiring on January 31, 2025.
- Potential Capital Raise: CPS will underwrite up to 5 million listed options and 3 million unlisted options, representing an underwriting amount of up to $2.8 million.
- Exploration Funding: Proceeds from the shortfall placement will be allocated toward exploration activities at the Dynasty Gold Project, where resource expansion and a scoping study are in progress.
Titan Minerals Ltd (ASX:TTM) has entered into an underwriting agreement with CPS Capital Group Pty Ltd, securing the underwriting of the exercise of listed options priced at $0.35 each. These options are set to expire on January 31, 2025, at 5:00 PM AWST. The agreement ensures that CPS Capital will underwrite up to 5 million listed options and an additional 3 million unlisted options that remain unexercised at the expiry date, potentially generating up to $2.8 million in funding.
The capital raised from this shortfall placement is earmarked for exploration initiatives at the Dynasty Gold Project, a flagship asset where ongoing drilling efforts aim to define an expanded mineral resource. This aligns with Titan’s broader strategy to enhance project viability ahead of a planned scoping study in 2025.
Bonus Options Allocation
In conjunction with the underwriting agreement, Titan Minerals will issue bonus options to CPS Capital. For every two shortfall securities subscribed for and issued, CPS will receive one option with an exercise price of $0.70, expiring on January 31, 2027. These options will have identical terms to those previously issued to holders of unlisted options and bonus options.
Underwriting and Management Fees
CPS Capital is set to receive underwriting and management fees based on the number of shortfall securities allocated. Under the agreement:
- CPS will earn an underwriting fee calculated as 3% of the number of shortfall securities multiplied by $0.35, reflecting the per-security price.
- A management fee of 2% of the number of shortfall securities multiplied by $0.35 will also be paid to CPS.
- Subject to shareholder approval, CPS (and/or its nominee(s)) will be issued 4,000,000 options, each with an exercise price of $0.70 and an expiration date of January 31, 2027.
Exploration Updates at Dynasty Gold Project
Titan Minerals is advancing its exploration efforts at the Dynasty Gold Project, where four diamond drilling rigs are currently operating at the Cerro Verde and Iguana prospects. These activities are targeting an updated mineral resource estimate to enhance the project’s long-term potential.
As drilling progresses, the company remains focused on expanding its resource base and evaluating economic feasibility. The upcoming scoping study, planned for 2025, is expected to outline potential development pathways for the Dynasty Gold Project, strengthening Titan’s position in the gold exploration sector.
