Pacgold Limited (ASX: PGO) has received firm commitments to raise A$3.2M through an underwritten placement for the issue of approximately 16.7M new fully paid ordinary shares at an offer price of A$0.19 per share to institutional and sophisticated investors.
The placement proceeds will be applied to accelerate exploration at the company’s Alice River Gold Project, 300km northwest of Cairns, North Queensland. An initial phase of drilling is planned to commence in early October targeting high-priority IP geophysical targets at several prospects along the 30km Alice River fault zone. This initial phase drill programme will include 2,500m RC and 1,500m aircore.
Commenting on the placement, Pacgold’s managing director Tony Schreck said: “Achieving an oversubscribed placement with strong support from existing and new institutions is an outstanding outcome and endorsement for the Alice River Project.” “Recent drilling success targeting IP geophysics now provides Pacgold with superior confidence in identifying new priority targets concealed by shallow cover, along the prospective 30km Alice River fault zone. While Pacgold’s drilling focus to date has been on step-out drilling to expand the high-grade gold systems at both the Central and Southern Targets, our forward strategy will concentrate on the district-scale potential with high-priority targets identified and drilling set to recommence in early October.”
The company has raised A$3.2M through the issue of approximately 16.7M new shares via an underwritten placement at an offer price of A$0.19 per share with one free attaching option to be issued for every two placement shares subscribed for and issued. Placement options are exercisable at A$0.30 and will expire on 30 September 2026.
To read more about this, please visit www.pacgold.com.au
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