Black Dragon Gold plans $6m IPO

UK-based Black Dragon Gold Corporation has announced plans for a $6 million initial public offering and listing on the Australian Securities Exchange.

Lead manager Hartleys will start the process of raising between $4 million and $6 million for the Paul Cronin-run mineral exploration company.

In April, Mr Cronin oversaw the listing of Adriatic Metals.

A maxium of 30 million shares will be issued at an offer price of 20 cents per share.

The company will lodge its prospectus on July 11 after a pathfinder book build commencing today.

Black Dragon Gold is listed on the Canadian TSX Venture Exchange but has targeted an ASX listing by  August 6 in order to gain better access to Australian investors.

The company’s primary venture is the Salave gold project in northern Spain, of which it owns 100 per cent.

In a statement, Black Dragon said Salave was one of Europe largest undeveloped gold projects.

“Salave has a measured and indicated resources of 6.5 million tonnes grading 4.5 grams per tonne for 944,000 ounces,” the statement said.

A resource update is expected later this quarter.