Pacgold reports successful funds raising effort

There’s been a strong demonstration of support for Cape York miner Pacgold. Pacgold voluntarily suspended its shares from trade earlier in the week. Main image: Exploration activity on Pacgold's Alice River. The company has secured funding for the next round of drilling This morning (22Sep23), the company reported to the ASX firm commitments for a $3.2 million placement of new shares to institutional and sophisticated investors at $0.19 per share. That’s about 16.7 million shares. It’ll be invested in a 4,000m drilling programme set to commence in early October on priority targets along the 30km Alice River fault zone. This initial phase drill programme will include 2,500m RC and 1,500m aircore drilling. Related: Support for Sunshine Metals capital raising It’s been a good outcome for the company said Pacgold managing director Tony Schreck. “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,” Mr Schreck said. 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.” Placement Options are exercisable at $0.30 and will expire on 30 September 2026. The offer price represents a 9.5 percent discount to the last closing price of $0.21 on 19 September 2023 and a 11.3 percent discount to the 5-day VWAP of $0.214 on 19 September 2023. Other capital raising Meanwhile, Cannindah Resources yesterday issued 6,500,000 fully paid shares for a total consideration of $650,000. Cannindah has exploration leases 100km from Gladstone Port. The company described itself as having a large gold portfolio with the Piccadilly project west of Townsville. In critical minerals, lower Cape York Mt Carbine tungsten producer EQ Resources has today (22 Sept) issued 25,000,000 fully paid ordinary shares upon exercise of unlisted options in the Company at an exercise price of $0.065 (6.5 cents) per share. Pacgold's Alice River leases - Regional setting showing IP geophysics and prospective target structures

Pacgold reports successful funds raising effort

Industry Queensland

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