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Great Southern Mining (ASX:GSN) to raise $3.15M for Cox’s Find exploration

Mining
ASX:GSN      MCAP $16.35M
08 May 2020 12:45 (AEST)

Great Southern Mining (GSN) has received firm commitments to raise $3.15 million to fund exploration at the Cox’s Find Gold Project in Western Australia.

The funds will be raised through a placement of 70 million fully paid ordinary shares at 4.5 cents each. The placement price represents a 6.25 per cent discount to the last closing price and a 1.69 per cent discount to the 15-day volume-weighted average price.

“The success of this capital raising is a testament to the hard work of the Executive team in putting together the company’s portfolio of quality gold projects over the last two years,” Executive Chairman John Terpu said.

“I also want to thank our advisers, Shaw and Partners for their support and efforts with this capital raising, particularly given the current economic climate,” John added.

Great Southern purchased the historic Cox’s Find Gold Mine last year, seeing it as an exceptional opportunity for exploration and resource growth.

Since then, it has undertaken several exploration programs which have all returned high-grade and promising results.

Particular stand-outs include five metres at 14.54 g/t gold from 140 metres including two metres at 28.85 g/t from 140 metres; eight metres at 6.61 g/t gold from 128 metres including two metres at 19.92 g/t from 134 metres; five metres at 31.23 g/t gold from 134 metres including one metre at 143.0 g/t gold from 135 metres.

“The company is now in a strong position to unlock value for shareholders with two brownfields drill out opportunities in highly endowed gold districts in Western Australia in Cox’s Find and Mon Ami as well as additional greenfields discovery potential at Edinburgh Park in North Queensland,” John commented.

A portion of the money raised will also go towards beginning drill-out programs at the Mon Ami Gold Project in Western Australia, and to continue targeting and field mapping programs at Edinburgh Park in North Queensland following the successful and highly encouraging Hyperspectral Survey.

Great Southern Mining is up 4.17 per cent and shares are trading for five cents each at 11:51 am AEST.

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