KEFI Minerals (LON:KEFI) unveiled plans to raise £625,000 as managing director Jeffrey Rayner gave a particularly bullish assessment of the company's prospects in Saudi Arabia. The company is expecting the first of twenty-one exploration licenses it has applied for to be granted imminently.
The new funds will be used to quickly progress exploration on the licence to identify targets and starting drilling.
Five more licenses are said to be at advanced stages and they are expected to be granted in the near future.
"KEFI Minerals believes that the Kingdom of Saudi Arabia will have a central role in the company's future,” Rayner said.
“The potential for the discovery of large one million ounce gold deposits in this region has been proven”.
“We believe that by applying our expert knowledge and modern exploration techniques we are in a strong position to quickly advance the prospects we have identified”, Reyner added.
KEFI expects to begin on the ground immediately after the first license is granted.
The company arranged the fundraising with Optiva Securities and WH Ireland. KEFI will issue 50 million new shares at 1.25p each to raise £625,000.
KEFI Minerals has had people in Saudi Arabia for almost 2 years and they have already identified prospects which the group believes have potential for significant gold discoveries.
The company lodged twenty-one Exploration Licence Applications (ELAs), covering approximately 2,100km2, earlier this year. Representatives if the Ministry for Mineral Resources have completed site visits at six of the 21 ELAs to date.