DGO takes interest in De Grey
PERTH (miningweekly.com) – ASX-listed DGO Gold has taken a 7% stake in fellow-listed De Grey Mining.
Under the investment agreement, announced on Tuesday, DGO would subscribe for 25-million ordinary shares in De Grey, priced at 20c each, for a total investment of A$5-million.
In addition, DGO would receive 12.5-million unlisted options, exercisable at 25c each on, or before, the end of November 2019, and a further 12.5-million unlisted options, exercisable at 30c each, on, or before, the end of May 2021.
Assuming that DGO exercised all its options, its shareholding in De Grey would increase to 10%.
DGO executive chairperson Eduard Eshuys said that the decision to invest in De Grey came after an extensive review of opportunities for DGO to participate in brownfield exploration and discovery of gold resources in Western Australia.
“Multiple existing gold deposits aggregating over 1.2-million resource ounces, more than 40 geochemical anomalies, very little drilling below 100 m and over 200 km of grossly under explored shear zones positions De Grey as a standout world class gold exploration play,” Eshuys said.
“We believe De Grey’s structural gold mineralisation and associated large exploration upside has the potential to host aggregate gold resources sufficient to support a medium- to large-scale production operation.”
He noted that DGO also supported De Grey’s planned acceleration in exploration activities, and was expecting significant resource growth at an attractive discovery cost per ounce.
De Grey chairperson Simon Lil welcomed the DGO investment, saying that the junior would use the funds raised to expand its current exploration programme across Western Australia.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation