Larvotto Resources secures funding

Larvotto Resources (ASX:LRV) has secured $4.5 million through an Underwriting Agreement. This funding supports its exploration and development activities at the Hillgrove gold-antimony project in New South Wales. The agreement involves the exercise of ASX-listed options, ensuring the company remains well-funded.

Key details and strategic outlook

Larvotto Resources has implemented a strategic funding plan through an Underwriting Agreement to support the Hillgrove project. With a focus on gold and antimony, the project boasts a substantial reserve and resource base. The company is also exploring additional funding methods, including traditional debt and potential government financing, to enhance its capital structure. The underwriting, managed by Aitken Mount Partners, Blue Ocean Equities, and Canaccord Genuity, guarantees cash inflows from outstanding options. This move aligns with Larvotto's goal to complete feasibility studies and expand its resource base, positioning it for potential development in 2025. The underwriting process includes a 5% fee for underwriters and standard termination conditions. Larvotto is also advancing other projects across Australia and New Zealand, reinforcing its commitment to growth in the mineral exploration sector.

Executive commentary on funding strategy

The underwriting aligns with the company’s strategic capital management as it advances the Hillgrove project, which includes completing a feasibility study and conducting exploration drilling to potentially expand resources and extend the mine life.