Raisebook

Projects Located Among World-class Mineral Discoveries and Boast Exciting Walk-up Drill Targets
Norwest Minerals
Norwest Minerals
ASX:NWM
  • The company is led by CEO, Charles Schaus, who has extensive experience as a manager in the resource industry, including the founding of Aurox Resources Limited, which he successfully merged with Atlas Iron Limited (ASX: AGO) in 2010.
  • The company has received binding firm commitments from sophisticated investors to subscribe for $4M under a Cornerstone Offer, $3M of which is from certain Directors or entities controlled by them.
  • Upon successful listing on ASX, Norwest's strategy is to focus on delineating an economically viable resource capable of transforming the company from an explorer into a mineral producer.
  • Raisebook is accepting bids of between $2,000 and $10,000 per entity.
Raise Amount
$6,600,000
Offer Price
$0.2000
Closes
Nov 12, 2018

Norwest Minerals was formed to allow the spin-off of Australian Mines Limited (ASX: AUZ)’s portfolio of prospective gold and base-metal properties in Western Australia.

Norwest's projects are located among world-class mineral discoveries and boast exciting walk-up drill targets identified by historic drilling and recent surface geochemistry and geophysical programmes.

The company is led by CEO, Charles Schaus, who has extensive experience as a manager in the resource industry, including the founding of Aurox Resources Limited, which he successfully merged with Atlas Iron Limited (ASX: AGO) in 2010.

The company has received binding firm commitments from sophisticated investors to subscribe for $4M under a Cornerstone Offer, $3M of which is from certain Directors or entities controlled by them.

$2.6M will be offered in priority to eligible Australian Mines (ASX: AUZ) shareholders under the offer.

The company plans to increase the exploration activities on its projects using the funds raised from the offer to, amongst other things, continue to explore and drill the identified walk-up drill targets, complete further geophysical programmes and upgrade the current Inferred Mineral Resource estimate at the Marriotts Project.

The company will also assess strategic opportunities that may have the potential to create additional value for shareholders.

The Offer

Norwest Minerals (ACN 622 979 275) is offering up to 33,000,000 shares at $0.20 each to raise $6.6M.

CPS Capital is the Lead Manager for the offer, and Terrain Capital is the Company's Corporate Advisor.

Raisebook is accepting bids of between $2,000 (minimum) and $10,000 (maximum) per entity registered with Raisebook.

The offer of the securities are made in, or accompanied by, a copy of the disclosure document which can be obtained by clicking on the "ACCESS DISCLOSURE DOCUMENT" button on this page.

Anyone who wants to acquire the securities will need to complete the application form that will be in or will accompany the Disclosure Document.

Before making an investment decision, potential investors should read the Disclosure Documents entirely, and seek professional financial advice.

Mineral exploration, development and mining activities are high-risk undertakings. There can be no assurance that exploration of exploration licences, or any other licences that may be acquired in the future, will result in the discovery of an economic ore deposit. Even if an apparently viable deposit is identified, there is no guarantee that it can be economically exploited.

Key Offer Details

FULL SUBSCRIPTION
Price per Share $0.20
Shares offered 33,000,000
Total amount to be raised under the Offer (before costs) $6,600,000
Amount to be subscribed by Cornerstone Investors under the Offer $4,000,000
Amount to be offered in priority to Eligible Australian Mines shareholders under the Offer $2,600,000
Total Shares on issue as at the date of this Prospectus 29,880,000
Total Shares on issue on completion of the Offer 62,880,000
Implied Market Cap on Completion of the Offer $12.6 million

Capital Structure

SHARES
Shares currently on issue 29,880,000
Shares to be issued under the Offer 33,000,000
Total Shares post-Offer 62,880,000
OPTIONS
Options currently on issue 4,769,000
Total Options post-Offer 4,769,000

Indicative Timetable

Closing Date 15 November 2018
Despatch of holding statements 22 November 2018
Expected Official Quotation date 29 November 2018

* The above dates are indicative only and may change without notice.

The Projects

Norwest Minerals gold and base-metal projects are prospective for gold and/or base metals and make up a total package of 19 tenements (all granted) covering over 1,800 square kilometres.

The Bali Project

  • The Bali Project is a copper and base metals exploration licence, located approximately 250 kilometres west of Newman in the Ashburton region of Western Australia.
  • Exploration will initially focus on the Bali Shear Zone, which appears prospective for copper and silver.
  • Recent rock chip assays returned 33 samples of more than 5% copper and highest recorded samples assaying at 34% and 36.8% copper.
  • Previous historic shallow drilling also returned:
    1. 9 metres @ 2.14% Copper & 9.8 g/t silver;
    2. 3 metres @ 3.75% Copper & 18.3 g/t silver from 5 metres downhole; and
    3. 6 metres @ 7.17% Copper & 27.3 g/t silver from 17 metres downhole.
  • The Company plans to undertake high resolution modern geophysics to seek to identify potential subsurface sulphide mineralisation and assist with future drill hole planning along the Bali Shear Zone.

The Warriedar Project

  • A gold project located approximately 420 kilometres northeast of Perth and has a number of drill-ready gold targets including the project's historic Reid's Ridge Gold Mine and the Mount Laws mineralised trend.
  • The Company will be conducting RC drilling to test potential gold mineralisation extending below the old Reid’s Ridge gold mine workings and gold mineralisation at the Mt Laws mineralised trend where previous drilling encountered 9m @1.6g/t Au and 3m @2.0 g/t Au with additional intercepts of 4m @2.6g/t Au and 4m @2.3g/t Au 225m west along the Mount Laws mineralised trend.

The Arunta West Project

  • An Iron Oxide Copper-Gold (IOCG) project located 600 kilometres west of Alice Springs.
  • The Arunta West Project features an ovoid co-incident magnetic and gravity anomaly known as the North Dovers prospect.
  • The Company is planning to drill four deep diamond drill holes at North Dovers are planned to test the Iron Oxide Copper-Gold (IOCG) target and other styles of economic mineralisation.

The Marymia Project

  • A gold and copper project located approximately 900 kilometres north of Perth and is targeting orogenic-gold and Volcanogenic Massive Sulphide (VMS) copper/base metal mineralisation.
  • Several walk-up drill targets comprising both gold and VMS style mineralisation are scheduled for testing prior to the end of the 2018 calendar year.
  • The company plans to drill test two high-priority targets.
  • The first high-priority target is an untested 400m by 200m magnetic anomaly that has a similar magnetic intensity as the Dixon prospect contained in the same project, where the discovery hole MMRC016, intersected 10m @ 8.79 g/t, and is potentially coincident with the mafic-felsic volcanoclastic contact.
  • The second high-priority drill target was identified following a tightly spaced geochemical sampling program that identified potential Volcanogenic Massive Sulphide (VMS) base metal mineralisation.

The Marriotts Project

  • A nickel project located approximately 70 kilometers south of Leinster and 80 kilometres north of Leonora.
  • The project has an established Inferred Mineral Resource of 662,000 tonnes @1.3% nickel for 8,700 tonnes of contained nickel.
  • Remodelling of the deposit will be undertaken in order to seek to reclassify part of the resource from Inferred into the Indicated category.
  • The company will also conduct a small study into sale or toll treating options of the resource.

Business Model and Strategy

Norwest's business model is to focus on increasing shareholder value, directing funds raised by the offer as efficiently as possible into in-ground exploration, and project development to:

  • Systematically explore the gold and base-metal projects for commercial quantities of copper, gold and other minerals;
  • If an economic discovery is made, endeavour to develop the gold and base-metal projects and bring them into commercial production;
  • Assess and secure additional mineral projects only if they are demonstrably value accretive in order to avoid unnecessary expense and dilution, and
  • Maintain a strong focus on the health and safety of employees and contractors, building a strong partnership with government and relationship with communities, and working to best practice environmental standards.

Following completion of the Offer and listing on ASX, the Company intends to focus on exploring the Gold and Base-Metal Projects to seek to delineate an economically viable resource capable of rapidly transforming the Company from an explorer into a mineral producer.

This deal closed on November 12, 2018