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Ashburton Minerals In Pre Open Pending Capital Raising Announcement

Ashburton Minerals (ASX: ATN) has been granted a trading halt by the ASX pending the release of an announcement relating to a capital raising.

The company has not given any indication of where the funds raised will be utilised.

Ashburton has previously touted plans to commence field work at the Mt Webb Project in Western Australia in the March or June quarters this year.

In the December quarter of 2011, Ashburton secured $60,000 in funding from the state government's Exploration Incentive Scheme under the Royalties for Regions initiative.

The money will provide up to half of all direct drilling costs required to test a copper target at the Pokali prospect.

Ashburton is also planning to begin field work at the Spring Valley Zinc Lead Project in New South Wales and reconnaissance drilling at the Capricorn joint venture this year.

Capricorn is a 50:50 joint venture between Ashburton and project manager Resource Mining Corporation.

An initial helicopter assisted reconnaissance program of soil and vegetation sampling indicated a coincident molybdenum-silver-gold-copper geochemical anomaly traversing more than 2 kilometres.

The securities of Ashburton will remain in pre open until the earlier of an announcement being released to the market or the commencement of normal trading on Thursday March 29.