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Gold/Mining/Energy : Mining News of Note -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (32188)	2/4/2009 2:21:42 PM
From: LoneClone	Read Replies (1) \| Respond to of 194043

Australia's Newcrest raises more than market anticipated The Australian share market was today shown just what value is now being placed on Australasian gold projects when Newcrest Mining Ltd - the only large domestically-owned miner - raised $A750 million ($US476 M) - 50% more than initially proposed. Author: Ross Louthean Posted: Tuesday , 03 Feb 2009 PERTH - mineweb.com Newcrest Mining Ltd (ASX: NCM) said when its initial placement size of $A500 M ($US317.8 M) was significantly oversubscribed it decided to increase the size of the offer to $A750 M. This was an institutional placement at $A27 ($US17.20) a share which represented a 12.9% discount to Newcrest's closing price on January 30. The shares resumed trading today at $A30/share ($US19), down $A1. Newcrest is now the envy of the Australian bourse, achieving a massive capital raising with ease and at a solid price. Based on the added number of shares Mineweb estimates that its market capitalization today was above $A13.7 billion ($US B). The company said the capital raised will pay off some debts and would reduce the company's gearing to a range of between 5-10%. Some of the new capital will be applied to accelerated expansion at the Cadia East project in the Cadia Valley of New South Wales and one of the new high-grade mines at the Gosowong project in Indonesia's Halmahera Islands. Newcrest is also mooted as a contender for OZ Minerals Ltd's (ASX: OZL) planned sale of the now mothballed Martabe gold project in Indonesia, and may also be one of the contenders for the Prominent Hill copper-gold project in OZ Minerals' fire sale. Newcrest also announced today that it would offer shareholders the opportunity of participating in a non-underwritten share purchase plan. Eligible shareholders could subscribe for up to $A5,000 worth of Newcrest shares. Under this proposal shareholders would be paying no more than $A27/share.