Raisebook

WA Silica Sand & Kaolin Project Acquisitions | Both Ideally Suited for Product Export
Suvo Strategic Minerals Limited
Suvo Strategic Minerals Limited
Unlisted
  • The company will obtain ownership of the Eneabba Sands Project and the Mt Marshall Kaolin Project.
  • The Eneabba Sands Project is located on the Gin Gin Scarp in Western Australia, and is prospective for silica sand and construction sand.
  • High-grade silica sand is a key raw material in the industrial development of the world.
  • Unlike construction sands, which are used for their physical properties alone, high grade silica sands are valued for a combination of chemical and physical properties.
  • Ongoing economic and infrastructure development in the Asia/Pacific region is expected to drive growth.
  • Two drill programs are planned at Eneabba Sands Project totalling 5,520m which follow on and extend the historic drilling undertaken in the area.
  • Mt Marshall is prospective for kaolin and is ideally situated for transport of product through Fremantle port.
  • Mt Marshall has a Inferred Mineral Resource estimated at 13.4 Mt of white kaolin averaging an ISO brightness of 80.3% and a yield of < 45 micron size.
  • Both projects are considered to be low cost exploration projects with potential production opportunities in an active market.
  • Market Cap post listing (fully diluted), will be $12.6M with minimum subscription raised.
Raise Amount
$4,000,000
Offer Price
$0.0200
Closes
Jun 30, 2020

In connection with the acquisitions set out below and in the Prospectus, Ultracharge Limited (ASX: UTR), proposes changing its name to “Suvo Strategic Minerals Limited” and its ASX ticker code to “SUV”.

As announced on 29 October 2019, the Company has entered into share sale agreements, pursuant to which the Company will acquire 100% of the issued capital in each of Watershed Enterprise Solutions Pty Ltd and Mt Marshall Kaolin Pty Ltd.

Watershed is the holder of the Eneabba Sands Project located on the Gin Gin Scarp in Western Australia, which is prospective for silica sand and construction sand.

The Eneabba Sands Project is made up of one granted exploration licence and three exploration licence applications.

It is adjacent to rail connections to Geraldton Port with the potential to be a low capital expenditure and low environmental impact mining operation.

Mt Marshall is the holder of the Mt Marshall Kaolin Project located on the Yilgarn Craton in Western Australia, which is potentially a high-grade kaolin deposit substantially located on private land.

The Mt Marshall Kaolin Project is made up of one granted exploration licence held by Mt Marshall and two applications for exploration licences, which are in the name of Watershed.

The Mt Marshall Kaolin Project is ideally situated for transport of product for export through Fremantle Port.

Watershed has also applied for an exploration licence 50km West of the Mt Marshall Kaolin Project, which will form a new project, the Cadoux South Kaolin Project, if granted.

The Company believes the Cadoux South Kaolin Project is prospective for kaolin.

The Offer

UltraCharge Ltd to be renamed Suvo Strategic Minerals Ltd (Proposed ASX:SUV) is offering 200,000,000 Shares at an issue price of $0.02 per Share to raise a minimum of $4,000,000, with over subscriptions of up to a further 50,000,000 Shares at an issue price of $0.02 per Share to raise up to a further $1,000,000.

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.

Investors should be aware that there are risks associated with an investment in this Company.

The key risks related to an investment in the Company include various operational risks associated with the ongoing and proposed processing of gold ore and/or silver oxide material (either onsite or by the Company’s contractors), precious metals and input price volatility and risks associated with the Company’s significant financial indebtedness.

A complete set of risks associated with an investment in the Company is included in Section 7 of the Disclosure Document. Investors should consider those risks carefully in deciding whether to invest in the Company.

Key Offer Statistics

Minimum Subscription $4,000,000 Maximum Subscription $5,000,000
Offer Price per Share $0.02 $0.02
Shares currently on issue 112,338,245 112,338,245
Cancellation of ETV Shares (3,000,000) (3,000,000)
Shares to be issued under the Watershed Acquisition 75,000,000 75,000,000
Shares to be issued under the Mt Marshall Acquisition 75,000,000 75,000,000
Proposed Director Shares 7,480,000 7,480,000
Mt Marshall Loan Shares 8,750,000 8,750,000
Shares to be issued under the Public Offer 200,000,000 250,000,000
Gross Proceeds of the Offers $4,000,000 $5,000,000
Shares on issue Post-Listing (undiluted) 475,568,245 525,568,245
Market Capitalisation Post Listing (undiluted) $9,511,365 $10,511,365
Options currently on issue 15,166,670 15,166,670
Performance Rights on issue Nil Nil
Director Options to be issued 11,250,000 11,250,000
Performance Rights to be issued 40,000,000 40,000,000
Lead Manager Options to be issued 45,616,903 45,616,903
Advisor Options to be issued 45,000,000 45,000,000
Shares on issue Post-Listing (fully diluted) 632,601,818 682,601,818
Market Capitalisation Post Listing (fully diluted) $12,652,036 $13,652,036

Indicative Timetable

Event Date
Second General Meeting 7 July 2020
Closing Date 15 July 2020
Issue of Securities under the Offers & Despatch of holding statements 28 July 2020
Expected date for re-quotation on ASX 31 July 2020
This deal closed on June 30, 2020