Pangolin Diamonds on Monday closed a nonbrokered private placement financing for aggregated gross proceeds of $848 860.
The proceeds will be used to continue exploration at the company’s wholly owned exploration projects in Botswana, including the Phase 1 drilling programme at MSC, the company’s advanced-stage exploration project.
Drilling is set to begin in quarter four of this year to test multiple priority targets recently identified through a combination of soil sampling and high-density ground-magnetic surveys.
A portion of the funds will be allocated toward further evaluation of the diamondiferous AK10 kimberlite pipe, on which the company holds the option to earn up to 75% interest.
CFO Graham Warren subscribed for 600 000 units, valued at about $30 000.
Pangolin extended its option to enter into a formal joint venture on the diamondiferous AK10 kimberlite pipe to June 30, 2020. Pangolin can earn 51% of the project on producing 500 ct of diamonds and 75% of the project on completing a bankable feasibility study.