Oriole Resources raises £245,000 in a private placement
announced on Monday that it raised £245,000 before expenses through a private placement of 70 million shares priced at 0.35p and 35 million warrants priced at 0.60p.
The West African focused miner said the funds would be used to support its exploration at the Bibemi project in Cameroon as well as for general working capital purposes.
Oriole told investors it plans to start drill mobilisation later in the year.
In February, the AIM-listed firm sold 12.27% of its holding in Tembo Gold for £172,000 in order to help fund its exploration in Cameroon.
Shares were trading 6.5% higher at 0.325p during Monday trading
Oriole Resources CEO, Tim Livesey, said: "In January 2020 we confirmed the extension of gold mineralisation at the Bakassi zone at Bibemi to over 5.0 kilometres with focused rock-chip sampling returning up to 35.86 grammes per tonne gold. The recent results have validated our exploration model and evidence of sub-horizontal 'stacked' veins have highlighted the potential for enhanced volumes of near-surface gold towards the northern end of the trend.”
He added: "We are delighted with the support shown for the Company by the incoming investors for this limited private placement in such difficult market conditions and it is a testament to the hard work of the management team and quality of the assets that the placing has been agreed at this price and not at a discount.”
"The funds, collectively, from the Placing and the sale of shares in Tembo will be used to further develop our understanding of the structural setting through continued exploration of the northern Bakassi zone. This will allow us to identify further targets for our drill campaign, which we expect to commence later in the year.”
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