- Pasofino Gold Limited (VEIN) has announced a US$5.5 million private placement
- Of that $5.5 million, Turkish mining company ESAN has subscribed for approximately $4.5 million
- ESAN has been granted the right to nominate one director to Pasofino’s board
- The private placement is expected to close in December 2021
- Pasofino Gold is a Canadian-based gold exploration company
- Shares in Pasofino Gold (VEIN) are steady, trading at $0.70 per share
Pasofino Gold Limited (VEIN) has announced a US$5.5 million private placement on the heels of an updated MRE for the Dugbe gold project.
The non-brokered private placement will consist of issued shares at US$0.55 ($0.70) per share for gross proceeds of up to $5.5 million.
Of that $5.5 million, Turkish mining company ESAN has subscribed for approximately $4.5 million or 8,225,092 shares.
In return for participating in the private placement, ESAN has been granted the right to nominate one director to Pasofino’s board and the right to maintain its shareholding interest in the company should the company raise additional funds in the future.
Ian Stalker, CEO of Pasofino Gold, commented on the transaction.
“This strategic investment further confirms our view that the Dugbe project is high quality and has the potential to become a major gold producer within the industry,” he said.
Proceeds from the private placement will be used to complete a feasibility study (FS) for the Dugbe project.
“We look forward to the completion of the FS,” said Mr. Stalker, “which will highlight the significant upside that exists at Dugbe given the close proximity to port, the large land package, the high-grade zones, and continued positive relationships with stakeholders in Liberia.”
With the updated Mineral Resource Estimate just completed, Pasofino is well on track to deliver a strong FS in the second quarter of 2022. The study will include scheduling the mine plan to optimize the economics of the project by taking advantage of higher-grade zones.
The private placement is expected to close in December 2021 and is subject to closing conditions including the approval of the TSX Venture Exchange.
Pasofino Gold is a Canadian-based gold exploration company engaged in the acquisition, exploration, and development of mineral properties.
Its Dugbe Project is located in southern Liberia within the southwestmost part of the Birimian Supergroup, which is host to the majority of West African gold deposits.
Shares in Pasofino Gold (VEIN) are steady, trading at $0.70 per share as of 10:51 am EST.