Pacgold Ltd (ASX:PGO) commenced trading on the ASX on Thursday following a fully subscribed initial public offer (IPO) which raised $6 million at 25 cents a pop.
The IPO was supported by a strong mix of institutional investors, resource-focused funds, sophisticated investors and retail investors.
Pacgold is focused on progressing its key asset, the Alice River Gold Project in North Queensland.
The company will use the funds raised from the IPO to progress an exploration and drilling program at Alice River, initially focusing on three priority targets covering 7 kilometres of the gold-bearing shear zone.
Alice River Gold Project, Queensland
Pacgold managing director Tony Schreck said: “The listing of Pacgold on the ASX today is a significant milestone for our management team, employees and shareholders.
“We are excited about progressing the Alice River Gold Project in North Queensland and commencing drilling in the short-term.
“We wish to thank our team of advisers who have assisted us in achieving our successful ASX listing and our shareholders, for their continued support.”
Compelling high-grade gold targets
Alice River comprises a portfolio of eight mining leases and five exploration permits in a highly prospective gold terrain that has been historically underexplored.
These mining leases and exploration permits include new compelling high-grade gold targets along a 30-kilometre corridor centred on a historical producing goldfield.
Recent application of the latest IRGS (intrusion‐related gold system) exploration models and modern reprocessing of historical geophysical data has created new opportunities and targets at Alice River.
Drilling plan
Pacgold’s initial focus is on three priority targets covering 7 kilometres of the gold-bearing shear zone:
- Central Target: Strong geophysical targets along strike from an open-pit mine and down-plunge extensions to high-grade gold mineralisation. First phase drilling of 2,000 metres RC (reverse circulation) + 200 metres DD (diamond drilling) is planned.
- Southern Target: Broad untested gold surface geochemical anomalies 1.7 kilometres x 200 metres in area. First phase drilling of 1,500 metres RC is planned.
- Northern Target: 2 kilometre-long interpreted vein system under shallow cover; not previously recognised. First phase drilling of 500 metres RC is planned.