JACKSON Gold has entered into an underwriting agreement for
the exercise of 22 million listed options that expire on January 31 with an exercise
price of 20 cents each to raise about $4.4 million.
The issue has been fully underwritten by ABN AMRO Morgans
Corporate Limited with support from a range of domestic and international
investors including Trojan Investment Management, Patersons Securities Limited
and Peter Schmidlin.
ABN AMRO Morgans will gain a 3.5 per cent commission of the
total underwritten amount.
The underwriter will also gain a placement fee of 6.5 per
cent on any shortfall it is required to take up.
The funds will be used for a drilling campaign on the
Wallbrook Project and the surrounding South Laverton Tectonic Zone Project with
the objective of significantly expanding the existing resource base, commencing
in early 2005.