Asante Gold Corporation, which has agreed to form a 50:50 Joint Venture with BXC Company Ghana Limited to develop the Kubi Mining Leases in Ghana as a potential near-term underground mine, has announced that it has closed the third and final tranche of a private placement originally announced on September 22, 2016.
Asante raised a total of $1,250,006 by the issuance of 6,944,477 Units at $0.18 per Unit.
A statement issued on 2 March 2017 by Douglas R. MacQuarrie, President and CEO of Asante Gold, on behalf of the board, said each unit consists of one common share and one-half of a share purchase warrant.
“Each whole share purchase warrant is exercisable to acquire an additional common share for a two-year period from the date of issuance at a price of $0.25 per share,” the miner said, adding: “The company paid total finders’ fees of $18,210 and issued 112,055 broker warrants, carrying the same terms and conditions as the warrant comprising the units.”
Proceeds from the private placement, according to Asante, will be used for general working capital, including drilling and other work programmes on the company’s Keyhole, Betenase, Fahiakoba and Kubi projects in Ghana.
Asante said all securities purchased under this offering will be subject to a four-month and one-day hold period.
Asante is currently exploring the Keyhole, Fahiakoba and Betenase concessions, all adjoining or along strike of major gold mines near the centre of Ghana’s Golden Triangle.
Asante Gold Corporation (CSE:ASE/FRANKFURT:1A9) is a Vancouver, Canada-based gold exploration company. Its current focus is Ghana, West Africa where it has announced a $19.5 million joint venture on the Kubi Gold Mine Project, pending final closing and governmental approvals.
Kubi adjoins to the south of AngloGold Ashanti’s 66 million ounce Obuasi Gold Mine concessions, one of the World’s greatest orebodies.
Asante Gold also hold an option to earn up to 100% of the Keyhole concessions from Sikasante Mining Company Limited and the Betenase concession from Perseus Mining (Ghana) Limited; 100% of the Fahiakoba Concession located 9 kilometres west of Kubi and adjoining to the north of Perseus’ 6.6 million ounce Edikan Mine; and a 2% NSR royalty on NSS Resources Seneca volcanogenic massive sulfide copper/zinc/gold project in British Columbia, Canada.