- Antilles Gold (AAU) announces a placement to professional and sophisticated investors, aiming to raise almost $2.3 million
- Eligible shareholders will also have the chance to participate in an SPP to raise an additional $2 million
- Funds will drive progress in the company’s Cuba projects
- Antilles Gold anticipates potential awards in November 2023 from an arbitration case against the Dominican Republic Government
- AAU is down 20.7 per cent, trading at 2.3 cents at 12:05 pm AEST
Antilles Gold (AAU) has announced a placement to professional and sophisticated investors, aiming to raise almost $2.3 million.
This placement is part of a broader capital-raising effort, with the company planning to launch a share purchase plan (SPP) under the same terms as the placement, with the goal of raising an additional $2 million.
Moonstar Investments, a trustee company associated with AAU’s Executive Chair, has expressed interest in acquiring 10 million shares as part of the placement. However, shareholder approval is required before these shares can be issued.
The funds raised through the placement and the SPP will go towards advancing an initial drilling program on the El Pilar porphyry intrusive and completing the ongoing drilling program on the El Pilar oxide deposit.
Additionally, the funds will be used to complete a definitive feasibility study and obtain permits for the La Demajagua mine.
Furthermore, the raised capital will cover the costs associated with the placement and SPP, while also providing general working capital.
“The funds raised from the placement and SPP will enable the company to maintain the momentum of its projects in Cuba which are progressing well, with its assets growing in value and soon able to be monetised,” AAU Executive Chair Brian Johnson said
The company also noted that potential awards resulting from a recent arbitration case against the Dominican Republic Government, involving $45 million in contractual claims, could potentially eliminate the need for further capital raises in the near future.
AAU shares were down 20.7 per cent, trading at 2.3 cents at 12:05 pm AEST.