IronClad Mining (ASX: IFE) continues to attract the investors with its share price up 11.77% to A$0.95 in intra-day trade today on the exchange of 133,243 shares.
Investors are obviously seeing the value in this company as it prepares to become the second smaller mining company to move into production in South Australia.
Reinforcing the value of IronClad's advanced iron ore project in South Australia, Wilcherry Hill, is the recent $3 million backing the company received to fund the project's development.
The funds were raised from the placement of 3.5 million shares at $0.85 each to a number of sophisticated Australian investors to contribute to the payment of a $5.8 million environmental bond to the South Australian Government.
Importantly, IronClad could also be in line for a further $11 million at the end of March, with options in the company likely to be exercised.
Stage One of the Wilcherry Hill project is on target to begin maiden production in the current March quarter, with inaugural exports to be achieved in the June quarter of this year.
IronClad is expecting to secure debt financing through Australian and international financial institutions over the next few months.
The significance of nearing production at Wilcherry Hill is cashflows from the project will be able to support Feasibility Studies on IronClad's massive Hercules project, situated about 15 kilometres east of Wilcherry Hill.