Pacgold (ASX:PGO) has successfully completed a $5.6 million placement, designated to advance its exploration efforts at the Alice River Gold Project in North Queensland. The project, wholly owned by Pacgold, is strategically located 300km northwest of Cairns. Euroz Hartleys, Bell Potter Securities, and SCP Resource Finance acted as the joint lead managers for this equity raise. The newly acquired funds will be strategically allocated across multiple drilling programs, including 12,000 meters of reverse circulation drilling, 3,000 meters of diamond drilling, and 5,000 meters of aircore drilling. Furthermore, the funding will support regional geophysical and geochemical programs, alongside general working capital requirements.
The Alice River Gold Project has recently increased its resource inventory to 12.2 million tonnes at 1.2 grams per tonne, totaling 474,000 ounces of gold, within a global resource of 26.7 million tonnes at 1.01g/t for 854,000 ounces of gold. The placement involves the issuance of 93.3 million shares at a price of $0.06 per share, conducted in two tranches. According to Managing Director Matthew Boyes, the backing from both new and existing shareholders underscores the value of the Alice River Project. He added that with exploration programs now underway and a skilled team in place, Pacgold anticipates an exciting period as it expands its exploration footprint along the Alice River Project. Pacgold currently has a market capitalization of $9.33 million.
