Gold Mountain (ASX:GMN) has secured $2.8 million in funding commitments to fast-track the completion of a maiden JORC resource at the Crown Ridge Gold Project in Papua New Guinea.
The funds are being raised from new sophisticated investors as part of a share placement at $0.10 per share with an attaching unlisted option for every two shares issued.
The funding illustrates the growing appeal of the Crown Ridge Gold Project among new investors and is a significant vote of confidence in the project and its unlocked value.
Gold Mountain now has the necessary financial flexibility to undertake two important activities in parallel:
- fast track the completion and publishing of a JORC resource statement; and
- continue bulk sampling initiatives which to date have recovered significant amounts of free gold in the Crown Ridge soils.
It is worth noting that 37.6 grams of gold and 4 grams of platinum were already recovered from the initial stage of the phase 2 bulk sampling program.
Notably, the coarse grain gold and platinum contents were amenable to recovery using gravity (non-chemical) processes.
The company will now focus on the phase 2 bulk sampling program which is set to recommence in the near term.