Alicanto to raise $1.5 million

Alicanto Minerals has today announced it has received firm commitments for a placement of 10 million shares to raise $1.5 million, and will be offering an additional $300,000 share purchase plan to eligible shareholders.

The company will use the funds to advance exploration activities at its Arakaka gold project located in the North West Guyana Shield greenstone belt in Guyana.

The placement will be completed in two tranches, with $595,000 issued under the 15 per cent placement capacity and a further $904,000 subject to shareholder approval at a meeting to be held in the next two months.

Perth-based Alicanto listed in 2012, raising $2.4 million at 20 cents per share, while unlisted company Javelin Minerals purchased a 6.6 per cent stake in June this year.

“We are extremely pleased with the strong support that Alicanto has received for the placement from both existing and new shareholders,’’ Alicanto said.

“Our maiden exploration program intercepted broad zones of gold mineralisation, identified a number of new targets and confirmed our geological model.

“The funds raised will allow us to continue exploration and drilling at the Arakaka Gold Project which we believe has the potential to become a significant regional scale project.”

Alicanto was unchanged at 19 cents per share at the time of writing.