PERTH (miningweekly.com) – Gold miner Beadell Resources will raise some A$11.8-million through a share placement to international institutional and sophisticated investors to fund the ongoing mill expansion at the Tucano project, in Brazil.
The ASX-listed company will issue some 218.3-million fully paid ordinary shares, at a price of 5.4c each to raise the funds. The shares will be issued under Beadell’s placement capacity, and will not require shareholder approval.
“We are pleased to have the continued support of a number of international institutional investors, including our major shareholders,” said Beadell MD and CEO Nicole Adshead-Bell.
“This financing enables the company to remain focused on the core goal of improving the financial performance of Tucano. This will, in turn, provide the platform to advance our exploration effort, with the primary aim of defining the magnitude of multiple in-mine and near-mine gold discoveries that are not in a resource category.”
In addition to footing the completion of the Tucano plant upgrade, 30% of the net proceeds from the raising will be applied to the outstanding loan to service provider MACA under the terms of a loan agreement announced in June.