Golden Rim Resources Ltd (ASX:GMR) will raise approximately A$2.2 million from existing and new sophisticated and institutional investors in the shortfall placement component of its entitlement offer.
The company will issue 74,021,585 new fully paid ordinary shares at a price of $0.03 per share.
Through the entitlement offer and recent placement, GMR has now raised A$8.3 million, before costs, with funds to go towards exploration drilling and work programs at its flagship Kada Gold Project in eastern Guinea and general working capital.
Fundraising completed
The shortfall placement will settle on Thursday, February 9, 2023, with shares allotted and expected to start trading on the ASX on Friday, February 10, 2023.
The shortfall placement shares to be issued will rank equally with existing ordinary shares on issue.
Assays imminent
“We are extremely pleased to complete such a successful fundraising. The significant demand from investors underpins the quality of the Kada project, which has the potential to be Guinea’s, and West Africa’s, next big gold discovery,” GMR CEO Tim Strong said.
“The fundraise allows us to build on the existing 930,000-ounce gold resource at the Massan prospect, to establish the potential resource at the Bereko prospect, as well as initial exploration on additional early-stage targets.
“RC drilling at both Massan and Bereko has progressed very well and our first assays are imminent.
"A second rig for diamond drilling is expected to commence in the next few weeks.
"The team and I are excited for what will be a transformational year ahead.”