THE secondary listing of Southern Palladium on the Johannesburg Stock Exchange (JSE) had been delayed after the firm said it was waiting for a revised date from the Australian Stock Exchange (ASX) where it will have a primary listing.
“A further announcement confirming the date of commencement of trading of the shares on the ASX and on the JSE will be published in due course,” the company said in an announcement to the JSE.
Southern Palladium said on May 19 that it had raised A$19m (R212m) in an initial public offering which it will put towards its Bengwenyama project on the eastern limb of South Africa’s Bushveld Complex.
Some 38 million shares in the company were issued at a price of 50 Australian cents per share valuing the company at A$45m (R504m). The IPO was “heavily over-subscribed”, the company said.
Bengwenyama is rich in palladium and rhodium and is located south of the Modikwa PGM mine which is jointly owned by African Rainbow Minerals and Anglo American Platinum. Southern Palladium has a 70% stake in the Bengwenyama project with the balance held by Bengwenyama-ya-Maswazi, the local community.
According to a Southern Palladium announcement today, the company’s near term operational target is to convert the 15 million to 34 million ounce exploration target from an inferred resource to an indicated resource.
Once achieved, Southern Palladium plans to run a prefeasibility study over a two million oz reserve. It intends to apply for a mining licence about two years of the IPO.