Landore Resources Ltd (LON:LND) confirmed overnight that it has raised £3.5mln of cash to complete further drilling at the BAM Gold project in Ontario and undertake further studies.
The placing has been secured at a price of 30p per share with new and existing institutional investors, a discount of 10% to the closing price on Tuesday.
Landore Resources said the cash will allow it to complete 9,000 metres of follow-up drilling on identified targets and infill soil sampling and ground geophysics from Felix Lake to the BAM project.
The new funds will also enable the AIM-listed company to undertake further studies and commission a refreshed preliminary economic assessment (PEA) and resource report, it said, as well as providing enough working capital to last the year.
Directors said they will continue to evaluate “all options to maximise shareholder value”, including potentially identifying a strategic investor or alternative corporate transaction.
From metres below the frozen surface cores are extracted then logged before sending to the lab for processing.
Our experienced geology team and contractors working in the Ontario Winter! pic.twitter.com/EGKY4WvyQO
— ʟᴀɴᴅᴏʀᴇ ʀᴇꜱᴏᴜʀᴄᴇꜱ ᴘʟᴄ (@landore_plc) February 3, 2021