Perth-based Ausgold has tapped investors for $2.4 million to fund continued exploration work at the company’s Katanning project.
Perth-based Ausgold has tapped investors for $2.4 million to fund continued exploration work at its Katanning project.
Under the placement, Ausgold will issue 80 million shares at 3 cents each, representing a 7 per cent premium from its last trading price.
The placement was made to sophisticated and professional investors.
Managing director Matthew Greentree said the proceeds would be used to advance exploration at Katanning and to provide additional working capital.
“Through recent exploration on the project, Ausgold has demonstrated the presence of extensive mineralisation that will add to the global resource,” he said.
“In addition, work is continuing to delineate high-grade shoots with a number of significant gold targets ready for drilling.
“The company also continues to develop its geological understanding of the region, which will aid in new discoveries within the regional tenement package.”
Shares in Ausgold finished up 7 per cent at 3 cents each.