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DGO Gold (ASX:DGO) begins week in trading halt

The Market Online Deal Room
ASX:DGO
14 December 2020 15:30 (AEST)

DGO Gold (DGO) has begun the week in a trading halt in regards to an upcoming capital raise.

The company will remain in the halt until December 16 or when an announcement is made, whichever occurs first.

In late November, DGO announced it was about to start two major drilling programs in Western Australia to follow-up on initial exploration.

23 holes have been planned for Yerrida to test geochemical targets defined from reverse circulation (RC) drilling in August.

14 RC holes will then be drilled at Black Flag to test the intersections of northeast mineralising structures.

Work was planned to start in the second week of December and results are expected to be available in late January.

DGO last entered a trading halt in mid-September in regards to a $28.5 million placement.

More than 8.2 million shares were issued to institutional and private shareholders at $3.45 each, representing a 9.1 per cent discount to the 10-day volume-weighted average price.

Of the $28.5 million, DGO stated it would invest $12 million into De Grey Mining’s (DEG) $100 million placement for its Hemi Discovery.

Up to $8 million went to ongoing greenfield exploration at DGO’s own assets, with $2 million set aside for investment in the Yilgarn Exploration Venture.

Shares in DGO last traded at $2.95 on December 11.

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