Bellamel closes IPO for Croesus project acquisition

West Perth-based gold company Bellamel Mining Ltd has closed its initial public offer, which aimed to raise $2 million to complete its acquisition of Croesus Mining NL's Kalgoorlie West project.

The company, which issued 20 million shares at 10 cents each, plans to spend $1.6 million of the funds raised on providing replacement environmental bonds to the Department of Industry and Resources to complete the acquisition.

Bellamel, which does not plan to list for quotation on the Australian Securities Exchange, has also provided for oversubscriptions of $500,000.

The offer is not underwritten.

Bellamel is chaired by Black Range Minerals Ltd and Signature Brands Ltd director Matthew Wood, with Overland Resources chairman Michael Haynes and Steinepreis Paganin partner Jonathan Murray also serving on the board. Signature Brands director Timothy Flavel will serve as Company Secretary.

Messrs Wood and Haynes also serve on the board of Iberian Resources Ltd.