Altamira Gold Corp (CVE:ALTA) (FRA:T6UP) (OTCPINK:EQTRF) has closed an oversubscribed placing, raising C$4 million to explore its Cajueiro, Apiacas and Santa Helena projects within the prolific Juruena gold belt of Brazil.
Asset management group Crescat took part in the placing, ordering units worth C$1.5 million, becoming a significant shareholder in the resource firm.
READ: Altamira Gold receives C$500,000 from Mineracao do Para following completion of the Crepori gold project title transfer
Altamira issued 20 million units at C$0.20 each for gross proceeds of C$4 million, which represents an oversubscription of C$300,000 from the originally announced offering at the end of January this year.
"Altamira have three high-quality near-drill ready gold projects in the Alta Floresta belt, Mato Grosso state, Brazil. These include: 1) a robust gold soil anomaly at the Maria Bonita target, part of the Cajueiro project, 2) the intriguing large intrusive gold system at Apiacas, and 3) the recently discovered high-grade vein system at Santa Helena," said Dr Quinton Hennigh, geologic advisor to Crescat, in the statement on Monday.
"Usually we invest in companies with just one good project, but in this case, and with the commitment from Altamira management to drill test all three of these virgin targets over the coming year, we see a compelling case for significant discovery."
CEO of Altamira Michael Bennett added: "We are extremely pleased to welcome Crescat, an award-winning global macro asset management firm, as a significant shareholder of the company as we continue to unlock the mineral potential of the Alta Floresta belt.
"The confidence Crescat and its world-renowned technical advisor, Dr. Quinton Hennigh, have shown in Altamira is a vindication of our belief that the belt has world-class potential. This financing will allow us to advance exploration at our three most prospective projects which cover 162,206 hectares of this prolific gold belt."
Shares gained 10.42% in Toronto to stand at C$0.26 each.
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Contact the author at giles@proactiveinvestors.com