Salt Lake Potash placement raises more than £4m

24th Mar 2016 14:14

(ShareCast News) - Salt Lake Potash had a bit more cash in its back pocket than it expected on Thursday, having received enough subscriptions to increase its Australian placement announced on Wednesday to AUD 8.38m (£4.46m), from AUD 5.2m.The AIM-traded firm said proceeds from the placement would be used to accelerate the company's planned development initiatives at its flagship Lake Wells Sulphate of Potash project.Its board said that included further drilling to improve the geological and hydrological model at Lake Wells, including pump testing of three aquifer units and measuring the hydraulic properties of the aquifers hosting the brine.It would also entail field evaporation trials on bulk brine samples, a scoping study, ongoing heritage, environmental, marketing and other studies, reconnaissance sampling at Lake Irwin, and staffing and corporate costs."This is an excellent outcome for the company and the strong support received both domestically and from overseas underlines the quality of the Lake Wells Project and the exciting potential of salt lake SOP production in Australia," said director Matt Syme."Once completed, the funds raised will allow Salt Lake Potash to continue its aggressive exploration program, testwork activities and to complete important technical and commercial studies".