Moho Resources Ltd (ASX:MOH) has completed a $2.5 million placement to advance exploration at East Sampson gold prospect within the Silver Swan North Project and the Burracoppin JV with IGO Ltd (ASX:IGO).
Following shareholder approval at a general meeting held on February 15, 2021, the company has today issued the 9,374,483 tranche-2 fully paid ordinary shares and 14,055,558 free attaching unlisted options for tranche-1 and tranche-2 (free attaching options).
An additional 10,000,000 unlisted options were issued to nominees of Euroz Hartleys Limited for corporate advisory and lead manager services.
The free attaching options and broker options are exercisable at $0.12 and expire on February 21, 2024.
Funding exploration
Proceeds from the placement will be applied towards:
- Progressing East Sampson Dam gold prospect through scoping study, considering early development potential via toll treatment arrangements under investigation;
- Reverse circulation (RC) drilling (3,800 metres) at East Sampson Dam;
- Aircore (AC) drilling along strike of East Sampson Dam;
- Diamond drilling (600 metres) and RC drilling (2,500 metres) at the Burracoppin Gold Project; and
- General working capital purposes.
RC drilling at Burracoppin
The company recently completed a maiden RC drilling program at Burracoppin, drilling 32 RC holes (3,108 metres) in total to test lateral and vertical extensions of previously drilled shallow bedrock gold and silver mineralisation at the Crossroads prospect.
The Crossroads Prospect drilling was supported by a co-funded drilling grant under the WA Government's Exploration Incentive Scheme (EIS).
The assays are expected in March or April, after which the company will undertake diamond drilling – also co-funded under the EIS scheme.
East Sampson prospect
The company is collating phase-2 RC drill assays with downhole density and structural data at the East Sampson prospect where 45 holes for 3,850 metres of drilling were completed in January.
Moho aims to complete metallurgical sighter test-work with master composite analysis during 2021 - along with a review of downhole logging and diamond drill data to define structural controls on gold mineralisation.
Other key activities include reviewing the geotechnical report on ESD diamond core, undertake AC drilling on historic auger gold anomalies and define a resource model and mineral resource estimate.