OAR Resources has received a firm commitment for short-term funding via an unsecured loan to be advanced in a single drawdown.
The company acquired 100% interest in Gemsbok (EPL9725) and Oryx (EPL9652) projects in the Erongo Region in April 2024.
OAR Resources has entered into a loan agreement with Corporate Mining Pty Ltd as trustee for confident, sophisticated, and professional investors to raise US$750,000 (before costs).
The company continued to evaluate funding options and concluded that short-term loans were the most favourable method of raising funds.
The loan provides OAR with immediate working capital to enable the company to continue its exploration, focusing on uranium projects in Brazil and Namibia while evaluating new opportunities aligning with its growth strategy to create, grow, and maximise shareholder value.
The unsecured loan will be advanced in a single drawdown on or about October 23, 2024.
The loan has a term of up to 5 months, with 1% monthly interest payable at maturity.
The company has engaged GBA Capital Pty Ltd as lead manager for fundraising.
The company has agreed to pay GBA Capital a capital raising fee equal to 6% of the amount raised in consideration for its services.
Subject to receipt of shareholder approval at the upcoming AGM, GBA Capital or its nominees will also be issued 200 million options exercisable at $0.003 each, expiring on May 27, 2027.
