Canyon to raise $2.2m for gold exploration

Canyon Resources has announced a $2.2 million capital raising to fund exploration programs at its Tao and PInarello gold projects in Burkina Faso.

Canyon announced today it would raise $1.2 million through a placement priced at 13 cents, and up to $1 million through a share purchase plan for eligible shareholders, at the same price.

Stockbroker Hartleys is acting as lead broker to both the placement and purchase plan.

Managing director Phil Gallagher said the company was eager to commence drilling as soon as possible following the successful raising.

At close of trade today Canyon shares were down 6.6 per cent, at 14 cents.