Crusader raises $16.2m for Borborema

Crusader Resources says it has raised $16.2 million in funds which will allow it to fast-track development at its Borborema gold project in Brazil.

Crusader said the share placement, at $1.20 per share, was made to institutional and sophisticated investors both in Australia and overseas and closed oversubscribed.

The funds will provide for expanded exploration programs and will fund a definitive feasibility study for Borborema, should one be commissioned.

“The demand from the market has been overwhelming,” managing director Rob Smakman said.

“The fund raising allows Crusader to confidently fast-track Borborema well into 2012 and will be directed at further resource drilling to increase the current 1.86M ounce indicated and inferred mineral resource, sterilisation drilling, accerlerate regional exploration and positions the company to make investment decisions for long lead time equipment.”

 At 10:39 AM(WST) Crusader’s stock had gained 1.5 per cent, to trade at $1.31.