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Gold & silver

Galantas Gold raises C$2.45mln to advance Omagh gold mine

The funds will be used for working capital and to start development of the underground mine

Galantas Gold Corp (LON:GAL, CVE:GAL) says it’s set to raise around C$2.45mln (£1.48mln) in a placing, which will finance the start of development of an underground mine at Omagh in Northern Ireland.

It has received subscriptions to the value of that amount, having said last week it would bring in up to C$2.54mln through a placing of shares at C$0.0725 - or 4.5p a share.

The placing price represented a discount of around 18.2% to the closing price on AIM the previous day and around 23.7% to the closing price on the Toronto venture exchange the previous day.

"The net proceeds to be raised by the placing are intended to be used for working capital purposes and to commence development of an underground mine on the Omagh property," it said in a statement.

Shares in London added over 6% to stand at 6.90p at the time of writing.

--UPDATES FOR SHARE PRICE--

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