Pacgold (ASX:PGO) raises $3.2m for Alice River drilling

• Pacgold (PGO) raises $3.2 million from an entitlement offer to help fund exploration activities at its Alice River gold project in Queensland
• The money will add to the $7.8 million already raised from a placement and will allow the company to accelerate drilling on the F1a high-grade gold zone
• Eligible shareholders subscribed for 2.7 million new shares at 63 cents each, raising $1.3 million
• As the offer was fully underwritten, a shortfall of 2.4 million will be placed with underwriters to make up the difference
• Shares are trading 9.24 per cent higher today at 65 cents each

Pacgold (PGO) has raised $3.2 million from an entitlement offer to help fund exploration activities at its Alice River gold project in Queensland.

The money will add to the $7.8 million already raised from a placement and will allow the company to accelerate step-out and expansion drilling on the F1a high-grade gold zone.

Eligible shareholders subscribed for 2.7 million new shares at 63 cents each, raising $1.3 million.

As the offer was fully underwritten, a shortfall of 2.4 million will be placed with underwriters to make up the difference.

The new shares will begin trading on Tuesday, next week.

“The combined placement and entitlement offer of $11 million (before costs) will allow Pacgold to continue to build on the rapid discovery driven growth achieved in less than 12 months since IPO,” Managing Director Tony Schreck said.

Shares were trading 9.24 per cent higher today at 65 cents each at 1:43 pm AEST.