West Africa focused Sarama Resources (ASX:SRR) has received binding commitments for a A$2M equity placement to advance development studies for its wholly-owned Sanutura Gold Project in Burkina Faso.
Highlights:
- Strong demand for placement from existing and new institutional, professional and sophisticated investors.
- The funds raised will be used to complete a PEA evaluating an accelerated, multi-stage development of the Sanutura Project and for general working capital purposes.
- The placement will comprise the issue of 20,000,000 Chess Depository Instruments (CDIs) at an issue price of A$0.10 per CDI.
The Sanutura Project is located within the prolific Houndé Greenstone Belt in southwest Burkina Faso and hosts a combined resource of 0.6Moz gold (Indicated) plus 2.3Moz gold (Inferred).
“We are very pleased with the strong support received for the placement from our existing shareholders and look forward to welcoming a number of new institutional, professional and sophisticated investors to the company’s share register,” Managing Director, Andrew Dinning, said.
“The funds raised from the placement will be used to evaluate an accelerated multi-stage development at the Sanutura Project which we believe has the potential to generate a very compelling investment case based on the extensive oxide resource and related grade and cost profile.”
Use of Proceeds
Funds raised from the Placement will be used to complete a preliminary economic assessment to evaluate an accelerated multi-stage development at the Sanutura Project and to fund administration and general working capital costs.
Euroz Hartleys Limited acted as Sole Lead Manager and Bookrunner to the Placement.
For further information please visit: https://saramaresources.com/
