Belararox Raises A$8.5M at 15% Discount to Accelerate Copper Exploration

Capital Raise to Fuel Exploration Momentum

Belararox Limited (ASX, BRX) has successfully secured firm commitments to raise approximately A$8.5 million through a two-tranche placement aimed at accelerating copper exploration activities across its flagship projects in Botswana and Argentina. The placement involves issuing 94.44 million new shares at A$0.09 each, accompanied by free attaching options exercisable at A$0.15 within three years. This capital injection comes at a 15% discount to the company’s recent share price, reflecting strong investor appetite for exposure to Belararox’s copper assets.

Targeting Tier-1 Copper Projects

The funds will underpin ongoing drilling in the prolific Kalahari Copper Belt in Botswana, where Belararox has already commenced a 10-hole drilling program. This region is renowned for its world-class copper deposits, and the company’s exploration is led by an experienced team including Quintin Hills, who played a key role in nearby discoveries for MMG. Concurrently, geophysical surveys are set to begin in October at the Toro-Malambo-Tambo (TMT) project in Argentina’s San Juan Province, an area strategically positioned between two major mineral belts. These surveys will guide a planned December drilling campaign targeting high-potential copper zones.

Strategic Shareholder Participation and Governance

Notably, the placement includes participation from Belararox’s directors and management, signaling confidence from insiders in the company’s exploration strategy and prospects. However, this participation, along with the tranche 2 shares and options, remains subject to shareholder approval at an upcoming meeting, tentatively scheduled for November. The first tranche of shares is expected to settle and commence trading imminently, ensuring immediate funding for exploration activities.

Unlocking Value Through Exploration

Managing Director Arvind Misra highlighted the significance of this capital raise, describing it as a pivotal step that positions Belararox to unlock discoveries capable of delivering substantial value. The company’s focus on two potentially transformative targets in Botswana and Argentina could lead to a major re-rating if exploration results confirm the presence of significant copper resources. With rigs turning and geophysics imminent, shareholders can anticipate a steady flow of news and results in the coming months.

Looking Ahead

Belararox’s ability to maintain momentum in its exploration programs while managing capital efficiently will be critical as it seeks to convert promising targets into tangible resources. The successful placement underscores market confidence but also raises expectations for upcoming drilling outcomes that could reshape the company’s valuation trajectory.