The shortfall shares were placed to eligible existing and new institutional and sophisticated investors at the entitlement offer price of 1.6 cents a share.
Kingston managing director Andrew Corbett said the capital raising was a great result, meaning the explorer was well-funded to accelerate exploration at its Misima and Livingstone projects.
Corbett added that Kingston remained focused on delivering near-surface ounces outside the main Umuna resource at Misima.
He said: “As part of this step-up in activity, we expect to activate the second diamond drill rig which is currently on the island being prepared for commissioning.”
Drilling to expand next quarter
The second diamond drill rig will be put into operation next quarter, focused on resource extension and infill drilling.
Having a second drill rig means Kingston will have one focused mainly on resource development and another targeting more greenfields areas with the potential for new discoveries.
Work has also started on data collection for the project’s environmental baseline.
Corbett continued: “Meanwhile, the drilling program currently underway at Livingstone is progressing to schedule.
“We expect to report further drilling results from both Misima and Livingstone over the balance of the current quarter.”
More than $5 million already raised
Kingston's rights issue in May raised $938,670 to underpin ongoing exploration activities at the company’s two projects.
An earlier placement of 276 million shares to institutional and sophisticated investors raised net proceeds of $4.3 million.
The company restarted drilling at its 75%-owned Livingstone project targeting the Kingsley prospect, where aircore drilling in 2018 defined a near-surface zone of mineralisation more than 800 metres long.
Through a reverse circulation drilling program, the company aims to infill the Kingsley area providing data to potentially estimate a maiden JORC resource later this year.
Drilling will also test for primary mineralisation at depth, beneath the shallower oxide zone.