Proactive Investors - Run By Investors For Investors

Alkane Resources invests $2.16 million in Calidus Resources to fund Warrawoona drilling

Calidus is completing the pre-feasibility study on its Warrawoona Gold Project.
This drilling is being done in parallel with the PFS

Alkane Resources Ltd (ASX:ALK) has subscribed to 80 million shares of Calidus Resources Ltd (ASX:CAI) at an issue price of 2.7 cents a share, for a total investment of $2.16 million.

Proceeds of the placement, together with the company’s existing cash will ensure that Calidus has sufficient funding to complete the pre-feasibility study (PFS) on its Warrawoona Gold Project in the Pilbara and conduct further drilling of regional targets and resource infill and extensional areas.

The new shares are priced at a 13% premium to Calidus’ last closing price of 2.4 cents on April 29, 2019.

Calidus managing director Dave Reeves said: “This strategic placement to Alkane means that Calidus can extend the existing drilling program to target new and additional regional and near-resource areas.

“This drilling is being done in parallel with the PFS to help ensure that we not only grow the gold inventory, but we also achieve our target of showing the market the strong financial returns we believe will be associated with the Warrawoona Gold Project.”

View full ALK profile View Profile

Alkane Resources Ltd Timeline

Related Articles

February 22 2019
A reinvigorated African Battery Metals is about to embark on the next phase of its story
beta hunt stone
June 10 2019
The company's Beta Hunt gold mine housed bonanza gold nuggets unlike anything most miners have seen in their lifetime, but it's RNC's nickel asset that could be the real game-changer
Blackrock gold mine
December 06 2018
The high-grade gold and silver project in north-central Nevada is adjacent to Hecla's Hollister Mine

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use