Western Gold Resources (ASX:WGR) raises fresh funds to accelerate gold production assessment

• Western Gold Resources (WGR) raises fresh funds to accelerate gold production assessment and project generation in WA
• The company plans to issue just over 12 million shares at 4.5 cents per share to raise roughly $550,000
• The placement’s issue price represents a 13 per cent discount to WGR’s last trading price of 5.1 cents per share and a 25 per cent discount to its 15-day volume weighted average price (VWAP) of 5.6 cents per share
• Western Gold says it will focus on “future-facing” commodities such as lithium, copper, rare earth elements (REE), graphite and nickel
• Shares in WGR last traded at 5.1 cents on February 27

Western Gold Resources (WGR) has received firm commitments to raise roughly $550,000 to accelerate gold production assessment and project generation.

Under the share placement, WGR will issue 12,206,250 new shares at 4.5 cents per share.

It represents a 13 per cent discount to the company’s last trading price of 5.1 cents per share and a 25 per cent discount to its 15-day volume weighted average price (VWAP) of 5.6 cents per share.

Western Gold Managing Director Warren Thorne said the company would look to explore “future-facing” commodities.

“After an aggressive exploration program at our Gold Duke project, the focus has now turned to assessing the potential for meaningful and profitable production in this buoyant gold market,” Mr Thorne said.

“The placement funds will allow us to accelerate the assessment of gold production.

“The company will also look to identify new assets with a focus, in addition to gold, on future-facing commodities, targeting lithium, copper, REE, graphite and nickel.”

Western Gold said the placement was well supported by new and existing sophisticated and professional investors.

Company directors Gary Lyons, Teck Wong and Patrick Burke have also made commitments to subscribe for up to 833,333 new shares at the same issue price as the placement.

The settlement of the placement is excepted to occur on March 13 2023.

Shares in WGR last traded at 5.1 cents on February 27.