Predictive drums up capital for Bankan

The West Perth-based advanced junior tapped institutional, sophisticated and professional investors for the funds in exchange for 305.6 million shares at 18 cents apiece.

The offer price marked a 10 per cent discount on Predictive’s last trade price and a 9.5 per cent discount on its five-day volume-weighted average price.

Predictive says it has received firm commitments to the tune of $55 million from the placement.

Existing investors will get a chance to take up discounted shares via an accompanying share purchase plan under the same terms, which is hoped to garner an additional $5 million.

New capital will go towards a number of pursuits, including expanding the 3.65 million ounce resource at Predictive’s Bankan gold project in Guinea, West Africa.

It will also support a 60,000 metre drill programme already under way at the site, which the company says will double historic drilling undertaken at Bankan thus far.

Predictive hopes to deliver a scoping study to the Government of Guinea by the end of 2023 and complete baseline environmental studies.

Predictive Discovery managing director Andrew Pardey said demand for the placement underpinned the quality of the company’s flagship.

“The funds raised will allow Predictive to accelerate its comprehensive drilling programme and build further on the 3.65 million ounces already discovered, as well as deliver a scoping study which will include our baseline and environmental study results in late 2023,” Mr Pardey said.

“Bankan is potentially one of many significant gold deposits and marks the beginning of our journey in developing Guinea’s Siguiri basin into one of the most exciting new gold addresses in West Africa.”

Predictive raised $27 million for the project this time last year.

Argonaut Securities and Sprott Capital Partners are joint lead managers to the current placement, with Canaccord Genuity and Euroz Hartleys acting as co-managers.