Adelong Gold Limited (ASX:ADG) has announced that it has secured additional binding commitments for $400,000 following its previous capital raising of $1.173 million. This brings the total amount raised to $1.573 million before costs.
The placement involves issuing 95,238,095 shares at $0.0042 per share to sophisticated and professional investors. Participants will also receive one free-attaching option (ASX:ADGOA) for every two shares subscribed, with an exercise price of $0.008 and an expiry date of 1 May 2029. The issuance of these securities is subject to shareholder approval.
The company stated that the funds will be used to expand exploration drilling at the Adelong Gold Project, specifically targeting the Challenger, Currajong, and Caledonian deposits. Funds will also be allocated to advancing the farm-in agreement with Great Divide Mining (ASX:GDM), progressing lithium exploration in Brazil’s ‘Lithium Valley’ and the Paraiba Province, evaluating new project opportunities, and general working capital.
Adelong Gold has also agreed, subject to shareholder approval, to issue 150,000,000 options to Bullseye Analytics Pte Ltd for digital marketing services. These options will have an exercise price of $0.008 and an expiry date of 1 May 2029. The agreement is structured to enhance investor awareness and engagement through digital marketing, investor outreach, and promotional activities over a two-year period.
Managing director Ian Holland said that the additional funding strengthens the company’s financial position, supporting exploration and development across its projects. “We are pleased to see strong investor demand and additional support from both existing shareholders and new investors. The additional funds raised under the placement will further strengthen our financial position, allowing us to accelerate our exploration drilling and project development activities at the Adelong Gold Project, as well as advancing our Brazilian lithium portfolio. This demonstrates continued confidence in our strategy to transition Adelong into production, and we look forward to providing ongoing updates to our shareholders.”
A general meeting will be convened in late March 2025 to seek shareholder approval for the placement and options issuance.
