- Kula Gold (KGD) has entered a trading halt for the purpose of considering, planning and executing a capital raising
- The company will remain in the halt until March 5 or when an announcement is made, whichever occurs first
- In February, Kula Gold applied for four new exploration licences around Ramelius Resources’ (RMS) Edna May gold mine in Western Australia
- These new tenements cover a combined area of roughly 357 square kilometres, and Kula Gold will start exploring them in March or April
- The acquisition builds the company’s strategy of drilling in areas which neighbour already operating gold mines
- Shares in Kula Gold last traded at 4.4 cents on March 2
Kula Gold (KGD) has entered a trading halt for the purpose of considering, planning and executing a capital raising.
The company will remain in the halt until March 5 or when an announcement is made, whichever occurs first.
Kula Gold is yet to disclose how much it intends to raise or what it will do with the funds once received.
In February, Kula Gold applied for four new exploration licences around the Edna May gold mine in Western Australia.
Owned by Ramelius Resources (RMS), the Edna May mine is a significant gold-producing asset.
These new tenements cover a combined area of roughly 357 square kilometres, and Kula Gold will start exploring them in March or April.
The acquisition forms part of KGD’s strategy of drilling in areas which neighbour already operating gold mines.
This enables the company to develop and mine a discovery much quicker and at a lower cost.
Shares in Kula Gold last traded at 4.4 cents on March 2. The company has a $6.855 million market cap.