Sarama to raise C$3m

13th July 2020 By: Tasneem Bulbulia - Senior Contributing Editor Online

Gold explorer and developer Sarama Resources has launched a private placement to raise up to C$3-million.

The proceeds will be used to undertake a variety of work, including a mineral resource update on the South Houndé project, in Burkina Faso, high-value oxide focused exploration drilling and general technical work to support framing up of development options.

The company says this work is important, as it will allow Sarama to demonstrate the intrinsic value of its projects and set out the preferred path for development.

“We are seeing an increased interest in and consolidation of gold assets and companies in West Africa and, at the current gold price, there are multiple paths that Sarama is exploring to significantly increase the value of our assets.”

The private placement is priced at C$0.11 a share and is being conducted on a nonbrokered basis to accredited investors, closing on or about July 24.