Predictive Discovery Ltd (ASX:PDI) has completed a capital raising in excess of $3 million to fund its gold exploration activities in West Africa.
The company received shareholder approval to issue 75 million shares to its major shareholder Aurora Minerals Ltd (ASX:ARM) and 101.9 million shares to Sprott Global Resource Investments to raise $1.76 million.
This will be in addition to the funds raised from the initial share purchase plan and placement totaling $1.28 million.
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 funds raised will be used for exploration activities including:
- To meet Predictive’s 35% share of exploration costs in the Toro Gold Joint Venture once Toro Gold achieves its 65% equity by spending US$2.5 million - this will include funding of the Boundiali project in northern Cote D’Ivoire;
- Exploration of the Bobosso Project in Eastern Cote D‘Ivoire;
- Funding for ongoing exploration and evaluation of the company’s Bonsiega Project in Burkina Faso, if a joint venture with a third party is not concluded on satisfactory terms; and
- New project generation in West Africa.
Predictive’s focus at the Bonsiega Project will be the Bongou gold deposit, with the objective of advancing the project towards a feasibility study.
The company’s share price has more than quadrupled since the beginning of 2016, last trading at $0.013.
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