The $2.64 million to be raised by White Cliff Minerals in an oversubscribed placement will be primarily used to fund the exploration and further drilling of the Aucu Gold Project in the Kyrgyz Republic.
The placement of 440 million new shares was made to professional and sophisticated investors through Hartleys. There will be one attaching unlisted option exercisable at $0.015 on or before 15 December 2016 for every four shares subscribed.
Significant surface expressions of visible gold have been discovered along strike from the existing Aucu gold resource of 1.15 million tonnes grading 4.2 grams/tonne (g/t) gold for 156,000 ounces of contained gold above a cut-off grade of 1.0 g/t.
Results from drilling carried out along strike in 2015 included 8 metres at 55.2 g/t gold and 4 metres at 59.9 g/t.
White Cliff’s managing director Todd Hibberd said, “The strong demand from new and existing shareholders demonstrates the growing awareness of the high grade gold potential at the Aucu project.
“Funds raised pursuant to the placement will provide White Cliff with the funding required to complete its planned drill program of the high grade eastern upper gold zone at the Aucu gold discovery.
“We remain very excited by the potential of the Aucu gold project, with the 2016 field season expected to deliver further significant drill results, demonstrating the exceptional scale potential of the project.”