The Perth-based junior told the market this morning it had entered into a bond subscription agreement with capital provider DB Zwirn Mauritius Trading No. 3, which would see Central raise up to $80 million by issuing convertible zero coupon bonds over up to five years, in $1 million tranches.

Central proposed to use the funds to pay for its exploration program, possible development and infrastructure, as well as the potential purchase of a drilling rig.

Managing director John Heugh said the company was working towards formalising farm-out agreements with several partners, in addition to the previously announced farm-out agreement with He Nuclear.

“But the bond subscription agreement with DBZ, subject to shareholder approval, ushers in a new era of potential funding for the company as it gears up to explore the biggest acreage package of operated ground in Australia,” he said.

“The terms of the proposed facility may enable the company to raise meaningful capital on a rolling basis on terms considered to be quite favourable compared with the traditional capital-raising avenue of placements.”