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Newcore Gold (TSXV:NCAU) raises $15M for exploration in Ghana

Mining
CDX:NCAU
04 November 2020 11:21 (EDT)
Newcore Gold - President and CEO, Luke Alexander

Newcore Gold (NCAU) has raised C$15 million to fund exploration and development work at its Enchi Gold Project in southwest Ghana.

Under the terms of the offering, which was announced on October 13 and upsized the following day, the Vancouver-based company issued a total of 18.75 million common shares at a price of $0.80 each, which were offered by way of a short-form prospectus to investors in British Columbia, Alberta and Ontario.

Haywood Securities and Stifel GMP acted as co-lead underwriters and joint bookrunners on behalf of a syndicate that also included Cormack Securities, Raymond James and Sprott Capital Partners.

A number of directors and senior management figures within Newcore Gold also participated in the offering for a total of 525,000 shares.

Luke Alexander, President and CEO of Newcore Gold, welcomed the company’s new shareholders and thanked existing holders for their continued support in funding the progress of the Enchi Project.

“Newcore is well positioned to continue to unlock the value of Enchi given its strong institutional support, along with shareholder alignment through management and insiders’ 32 per cent equity ownership.

“This funding will allow us to accelerate development of Enchi by expanding and accelerating the drilling program on the property, focused on both near-resource growth, exploration of identified targets across the broader property and drilling targets at depth,” he added.

Late last month, Newcore revealed a number of significant results from ongoing exploration work at the Enchi Project, including 0.73 grams per tonne of gold over 62 metres.

These results were primarily collected from the Boin deposit, and point to a significant potential for near-surface resource expansion.

Newcore Gold (NCAU) is currently steady at $0.75 per share, as of 10:30am EST.

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