PERTH (miningweekly.com) – ASX-listed junior NTM Gold will raise A$3.86-million to accelerate the exploration on its Redcliffe gold project, in Western Australia.
The company on Monday announced that it would issue some 100-million shares, at a price of 3.25c each, to institutional and sophisticated investors. The share placement will be conducted under NTM’s existing capacity and will not require shareholder approval.
NTM’s largest shareholder DGO Gold has agreed to support the capital raising, and contributed A$469 000 on the same terms as the placement, while directors Andrew Muir and Edward van Heemst will also subscribe for 4.46-million shares under the same terms, raising a further A$145 000.
The placement to Muir, Van Heemst and DGO will be subject to shareholder approval.
“The placement funds, combined with the contributions from our directors and DGI, puts NTM in a very healthy position to continue exploration on the Redcliffe project,” said Muir, who is also company MD.
“With 70% of funds being used for exploration, the company intends to continue its history of efficient and effective exploration.”