Maximus makes multi-million investment milestone

17 August 2021 14:47

Maximus Resources Limited will turbocharge plans to develop gold and nickel targets near Kambalda, receiving a $12 million placement from a seasoned campaigner.

Pantoro Limited, which owns and operates a gold mine in Halls Creek and a half-stake in another project south of Kalgoorlie, will bring its extensive knowledge to the table, claiming an almost 20 per cent stake in the company and its Spargoville tenements near BHP’s nickel refinery.

Maximus holds 48 square kilometres of tenements across the fertile Spargoville Shear Zone hosting the very high-grade Wattle Dam gold mine, developing several small high-grade operations across the tenement portfolio, whilst actively exploring for the next Wattle Dam.

“We welcome Pantoro as a strategic investor, not just as a cornerstone shareholder, but as a successful high-grade gold producer with a wealth of knowledge and skills to support Maximus’ strategy,” managing director Tim Wither said.

“We also welcome a number of highly regarded investors as new Maximus shareholders and thank our existing shareholders for their continued support.”

“Both companies recognise the potential synergies between Maximus and Pantoro’s Norseman operations, including tenements having similar geological settings.”

Maximus has put together a proven team ahead of Pantoro taking the lead with detailed exploration and development activities.

“Pantoro is confident that Maximus, now properly funded, will continue its success in the definition of substantial resources within its tenements,” Pantoro managing director Paul Cmrlec said.

“We look forward to assisting Maximus to achieve its goals and ultimately realising the synergies that exist between our projects for the benefit of shareholders of both companies”.


The $12m placement will be completed over two tranches at 68c per share.

The first tranche shares will be issued pursuant to the Company’s existing capacity under Listing rule 7.1A (12,182,343 shares raising $0.8m).

The second tranche will be issued following shareholder approval at the next General Meeting of the Company, which is expected to take place in early October.

In addition, 10 million broker options at an exercise price of 85c per share, will be issued subject to shareholder approval.

The issue price for the placement is at a 10.5 per cent discount to the last close of MXR shares on 13 August 2021 of 76c, and an 11.2pc discount to the 30-trading day volume weighted average price.

Following shareholder approval at the next general meeting, Pantoro will have the right to nominate one director to the Maximus board.

Petra Capital was appointed as the sole lead manager and sole bookrunner to the placement, which included the ongoing support of GTT Ventures.

The company’s Australian Stock Exchange-listed shares had lifted 5.56pc in early trade, trading at 8c (2:32 GMT +8 hours).

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