Provenance Gold (CSE:PAU) has announced an increase to its non-brokered private placement, raising it from C$1 million to C$2 million (A$2.23 million). The funds will be primarily allocated to advancing exploration efforts at the Eldorado Project, located in the United States. Provenance Gold is a precious metals exploration company focused on gold and silver projects within North America. The company aims to create shareholder value through the systematic exploration and development of its mineral properties.
The private placement consists of 10 million units priced at C$0.20 per unit. Each unit includes one common share and one-half of one transferable common share purchase warrant. These warrants allow the holder to purchase an additional common share at a price of C$0.25 per share within a three-year period from the issue date.
The raised capital is earmarked for a systematic reverse circulation (RC) drilling program currently underway at the Eldorado Project. This program is designed to test down-dip and lateral extensions of the mineralised structures, utilising step-outs of approximately 50 metres to assess continuity and expansion potential. A portion of the funds will also be used for general working capital purposes. The placement is expected to close within the next two weeks.
At Eldorado, Provenance is focused on expanding the known mineralisation and improving interpretations of key structures within the mineralised system. The Eldorado Project, situated roughly 60km northwest of Vale in Malheur County, Oregon, contains a pre-NI-43-101 non-compliant resource estimate of 1.98 million ounces at 0.753 grams per tonne gold.
