R3D Resources secures funding and extends Rights Issue

R3D Resources Limited (ASX: $R3D) has secured a commitment from an Investor to participate in a $480,000 Convertible Note and extended the Rights Issue open period until 27 March 2024. The $480,000 has been received from an investor introduced to the Company by directors Dr Alistair Lewis and Dr Stephen Bartrop in a cash advance, pending the issue of a Convertible Note on terms to be finalized. The Rights Issue, which is raising up to $1.5 million at $0.05 per share, will be extended by a further week.

Executive Commentary on Funding and Rights Issue Extension

The Company has secured a commitment from an Investor to participate in a Convertible Note raising totaling $480,000, converting at $0.05 per Share. The $480,000 has been advanced to the Company prior to finalizing terms of the Convertible Note and execution of formal documentation. In the time between the receipt of the funds and the issue of the Convertible Note, the Company has agreed to treat the funds as an unsecured loan on ordinary commercial terms. The Rights Issue, a 1 for 5 pro rata entitlement offer of New Shares in the Company at an issue price of $0.05 per New Share, as well as 1 attaching Option exercisable at $0.10 expiring 31 December 2025 for each 2 New Shares subscribed for, will be extended until 27 March 2024. The Company intends to further extend the Rights Issue offer open period until 27 March 2024 citing the impending completion of negotiations with certain parties who will commit to an underwriting of the Rights Issue. Should any of the current negotiations progress into a binding agreement, the Company will release a further announcement at this time.

Summary of R3D Resources Announcement

R3D Resources Limited (ASX: $R3D) has secured a commitment from an Investor to participate in a $480,000 Convertible Note and extended the Rights Issue open period until 27 March 2024. The Company has received $480,000 from an investor introduced by directors Dr Alistair Lewis and Dr Stephen Bartrop in a cash advance, pending the issue of a Convertible Note on terms to be finalized. The Rights Issue, raising up to $1.5 million at $0.05 per share, will be extended by a further week. The Company is in confidential, incomplete discussions with prospective underwriters for the Rights Issue, including a related party underwriter. The Company intends to release a further announcement if the current negotiations progress into a binding agreement. R3D Resources is a significant copper, gold, silver, and zinc explorer and developer in the Chillagoe Region of Far North Queensland, owning several projects of varying maturity, with the most advanced being the Tartana mining leases.