PERTH (miningweekly.com) – Gold miner Evolution Mining will subscribe for A$2.5-million in the upcoming initial public offering (IPO) of gold explorer Riversgold.
Riversgold, which is led by Doray Minerals founder Allan Kelly and former Sirius Resources executive director Jeff Foster, is looking to build a portfolio of mineral projects through exploration and acquisition.
Initial projects in the portfolio include properties in Western Australia, South Australia and Alaska, as well as mineral licence applications in Cambodia.
Evolution VP for discovery Glen Masterman said on Friday that forming a partnership with exploration companies that had a strong technical team and strategy, aligned with Evolution in an important part of the company’s discovery programme.
“Evolution’s investment in Riversgold is consistent with this objective,” he said.
Riversgold is hoping to raise a minimum of A$5-million and up to A$8-million through its IPO, and was expected to list on the ASX in the December quarter.
Depending on the actual amount raised, Evolution will hold between 13.6% and 16.2% of the company’s total issued share capital following the IPO.