- Siren Gold (SNG) is raising $2.6 million through a share placement to further explore the Reefton and Sams Creek goldfields in New Zealand
- The company plans to issue 17.3 million shares to investors at 15 cents per share
- Siren directors have committed to investing a further $180,000 into the business on top of the placement, subject to shareholder approval
- The money raised will go towards drilling and field activities at Siren’s Big River, Lyell, Auld Creek and Sams Creek projects
- Siren says it will use the money to keep growing its global resource base, which recently hit just under one million ounces of gold
- SNG shares are down 5.71 per cent to trade at 16.5 cents at 3:07 pm AEDT
Siren Gold (SNG) has received firm commitments to raise $2.6 million through a share placement to further explore the Reefton and Sams Creek goldfields in New Zealand.
The company will issue around 17.3 million shares at 15 cents per share to institutional, professional and sophisticated investors to raise the funds.
Siren directors have committed to investing a further $180,000 into the business on top of the placement, subject to shareholder approval.
The gold explorer plans to use the funds to define a mineral resource at its Big River project and carry out drilling, mapping and trenching at the Lyell and Auld Creek prospects.
The company will also use the funds for reconnaissance drilling, mapping and sampling at Sams Creek, where a mineral resource estimate was recently updated to 9.1 million tonnes at 2.8 grams per tonne (g/t) gold for 824,000 ounces.
The funds will also support working capital and placement costs.
Managing Director Brian Rodan said he was pleased with the “strong support” the placement received.
“Siren Gold’s project hosts significant gold resources, which have been defined and grown through the efforts of the company,” Mr Rodan said.
He said the company looked forward to applying the funds to continue growing its global resource base, which had almost hit one million ounces of gold.
SNG shares were down 5.71 per cent to trade at 16.5 cents at 3:07 pm AEDT.