ActivEX (ASX: AIV) will receive close to $480,000 through a private placement of 23.9 million shares at $0.02 to cornerstone investor ASF Group (ASX: AFA).
ASF Group will move to a 19.9% stake in ActivEX, with the deal transacted at a significant premium as ActivEX closed at $0.016 yesterday.
ASF Group will also be entitled to nominate one additional director to the board of ActivEX.
ActivEX will use the funds to advance exploration at the company's Barambah high grade gold-silver deposit which is located north-west on Gympie, and to also advance work at the Selwyn East project in the Cloncurry district.
Barambah is a joint venture (ActivEX 75%) with Norton Gold Fields (ASX: NGF) holding 25%, with drilling in the next two months to test the southern plunge of the main ore shoot (extending the mineralisation a further 100 metres down plunge), the northern extension of the main vein and the parallel vein system 500m east of the Barambah vein.
At Selwyn East, soil sampling and mapping activities are planned at the Heathrow Gossan area in coming months, while rotary-air-blast drilling of anomalous areas.
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