Predictive Discovery Ltd (ASX:PDI) has extended its Share Purchase Plan by a week to Tuesday 27th September 2016, which will raise up to A$0.8 million.
The extension will ensure that all eligible shareholders have ample time to submit their applications and are able to participate.
Predictive's capital raising program will collect up to $4 million, and includes a placement.
The company has signed a non-binding term sheet to raise A$1-2 million from the Sprott Group of companies.
Commitments for A$1.2 million have been sourced from other sophisticated and institutional investors.
Predictive’s two largest shareholders, Aurora Minerals Limited (ASX: ARM) and the Lowell Resources Fund have committed to invest a combined value of A$850,000. The raising is priced at $0.01 per share.
Sprott involvement
Sprott is a large and well known North-American based asset management firm with a strong record in identifying and funding successful early stage resource companies.
The Sprott part of the capital raising is subject to shareholder approval, completion by Sprott of satisfactory due diligence and execution of a finders agreement.
Funds raised will be placed into escrow on the closing date and released to the company following shareholder approval.
A shareholder meeting to approve the raising will be held in late September or early October, 2016.
Use of funds
The funds will be employed to support the Toro Gold joint venture in Cote D’Ivoire, Bobossa joint venture in Cote D’Ivoire and Burkina Faso permits.
Predictive is in joint venture able to earn up to 65% with the UK-based Toro Gold Limited on six granted permits and two permit applications.
News flow
The company is still awaiting results from 15 holes from a program of 92 holes by Toro.
The program was designed to test a two kilometre long zone of strong and coherent gold-in-soil anomalies.
Highlights from drilling to date include 20 metres at 10.5 g/t gold and 28 metres at 4.0 g/t gold.
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