ASX-listed Queensland Pacific Metals (QPM) has successfully completed a A$0.38-a-share placement raising A$19.1-million to drive growth initiatives.
The placement, QPM said on Thursday, was oversubscribed and strongly supported by new institutional and sophisticated investors.
QPM plans to use A$5-million of the funds raised for an economic feasibility study on the establishment of a new power generation project in Moranbah of up to 300 MW using mine waste gas.
About A$6-million will be used for production growth initiatives, including facilitating the collection and beneficial use of mine waste gas and collecting additional third-party gas supply from nearby underground coal mining clients.
“We are excited at the growth opportunities for the Moranbah gas project and the funds received from this placement will allow us to act on those opportunities ahead of us and generate strong value for shareholders,” said MD David Wrench.