The ASX has granted the company a trading halt which will extend until Wednesday, July 31, 2019, or when the announcement is released to the market, whichever occurs earliest.
Mako Gold’s 1 for 4 non-renounceable entitlement offer to existing shareholders closed at 5pm on Thursday, June 20, 2019, with acceptances received for more than 4.82 million new shares from 102 shareholders.
This left a net shortfall of more than 13 million shares at the offer price of 8.5 cents with a value in excess of $1.114 million.
The company has recently completed earning a 51% interest in the Napié Gold Project in Côte d’lvoire and is on its way to earn up to 75% by completing a definitive feasibility study (DFS).
This forms part of a farm-in joint venture agreement with Occidental Gold SARL, a subsidiary of Perseus Mining Limited (ASX:PRU).
Under the terms of the agreement, Mako had up to three years to spend US$1.5 million on exploration on Napié to reach its first milestone and earn-in 51%.
Exploration has been fast-tracked and Mako has reached that milestone in under two years.
Results from a 24-hole reverse circulation drilling program for 3,664 metres at the Tchaga prospect of Napié have doubled the length of a gold mineralised zone to 1-kilometre.
This zone is along a 17-kilometre-long shear.