Oklo Resources Limited (ASX:OKU) is raising $15 million on the back of commitments from sophisticated and institutional investors to subscribe for a placement of about 39.5 million shares.
The issue price of 38 cents is a good indication of demand for the stock given that it only represents a marginal discount to the last traded price of 39.5 cents.
The raising was oversubscribed with strong demand from existing shareholders and new institutional investors.
The proceeds from the placement will primarily be used to accelerate exploration activities over the company’s Mali gold projects and for general working capital purposes.
Oklo seeks out multi-million-ounce gold deposit
Oklo’s Dandoko project in Mali is close to some of Africa’s largest mining deposits.
Managing director Simon Taylor recently said: “Oklo’s prime strategy is to discover and develop the next multi-million-ounce gold deposit within the company’s highly prospective and relatively underexplored project portfolio in Mali.”
Limited early-stage drilling has intersected broad high-grade mineralisation such as 79 metres at 2.17 g/t gold and 42 metres at 6.14 g/t gold.