Far East Gold has successfully raised over $4 million through the combination of a share purchase plan (SPP) and an institutional placement.
The funds will be used to advance exploration activities across the company’s portfolio of future Tier 1 assets in Indonesia.
The SPP raised $1.75 million at $0.136 per share, resulting in the issue of almost 13 million new shares. It comes off the back of a $2.3 million placement completed in late-July, bringing the total raised to over $4 million.
Far East Gold chair Justin Werner said the extra financing will support exploration across the company portfolio.
“The over $4 million raised from both the recent placement and the SPP will enable us to fuel exploration efforts across our portfolio of potential Tier 1 assets and to capitalise on the extraordinary opportunities presented to Far East Gold in Indonesia,” Werner said.
“We sincerely thank shareholders and new investors coming onto the registry for their strong support and we remain actively committed to continuing to generate value for shareholders in what is expected to be a pivotal next six months.”
Far East Gold is focused on progressing key exploration activities at the Trenggalek, Idenburg, and Woyla projects, with particular emphasis on a Woyla maiden resource, Trenggalek Phase 1 drilling, and Idenburg’s JORC resource upgrade.
Additionally, the funds will help cover the costs of the offers and provide general working capital.
Reach Markets acted as the sole lead manager for both the SPP and the placement. Shares from the SPP are expected to be allotted on August 27, with the new shares ranking equally with existing Far East Gold ordinary shares.
Subscribe to Australian Resources & Investment and receive the latest news on commodity prices, resource developments, executive movements and more.