Poseidon Nickel secures funds for exploration drilling at Australian projects

Map: Poseidon Nickel

Poseidon Nickel Limited announces that it has received firm commitments  for a placement of A$6 million at A$0.02 per share (Placement) to sophisticated and professional investors.

Funds raised from the Placement will primarily be applied to exploration drilling at both Black Swan and Lake  Johnston and further confirmatory metallurgical test work on the open pit disseminated ore for the Black Swan  restart. The funds will also be used for various activities relating to the restart including offtake and debt financing  negotiations, securing accommodation in Kalgoorlie, completion of the prefeasibility study on the Expansion project, remediation work on the Lake Johnston tailings facility (dust management) and care and maintenance  costs as we progress towards the Black Swan restart.

Drill rigs have been secured for both the exploration program on Target 5 near the Silver Swan Decline and to obtain drill core for the metallurgical testwork program. Both rigs are scheduled to arrive on site during August 2023.

Petra Capital Pty Limited and Morgans Corporate Limited acted as Joint Lead Managers and Joint Bookrunners to the Placement.

Peter Harold, Managing Director and CEO commented; “We are pleased with the support for the Placement and welcome a number of new institutional investors to the register. We look forward to drill testing the EM target near the Silver Swan decline and the Western Ultramafic at Lake

Johnston and continuing the workstreams relating to the restart of Black Swan.”

Poseidon Nickel Limited is a nickel sulphide exploration and development company with three projects located within a radius of 300km from Kalgoorlie in the Goldfields region of Western Australia and a resource base of over 420,000 tonnes of nickel and 180,000 ounces of gold.

Poseidon owns the Windarra, Black Swan and the Lake Johnston Nickel Projects. In addition to the mines and infrastructure including concentrators at Black Swan and Lake Johnston, these projects have significant exploration opportunities demonstrated by the discovery of the Golden Swan high-grade resource at Black Swan in 2020 and the recent nickel intersections along the Western Ultramafic at Lake Johnston.