Business
GBP8.4m Raised to Advance Kre
GBP8.4m Raised to Advance Kre.
About this update from Arc Minerals Limited
[{"type":"text","content":"\n\n Ortac Resources Limited 09 February 2011 \n \n\nOrtac Resources Limited / Epic: OTC / Market: AIM / Sector: Mining & Exploration\n9 February 2011\nOrtac Resources Limited ('Ortac' or 'the Company')\n£8.4 Million Raised to Advance the Development of the \nKremnica Gold Project in Slovakia\n \nOrtac Resources Limited (AIM: OTC), the AIM listed exploration and development company focussed on precious metal projects in Europe, announces that it has raised £8,421,053 before expenses via a placing ('the Placing'), which was oversubscribed, of 561,403,533 new ordinary shares ('the Placing Shares') at a price of 1.5 pence per ordinary share. The money raised will be mainly used to advance the development of the Kremnica Gold Project ('Kremnica' or 'the Project') in Slovakia. \n \nAnthony Balme, Ortac's Chairman, has participated in the Placing through the acquisition of 3,333,333 shares and now holds 157,373,463 shares representing 6.9% of the Company.\n \nBackground to the Fundraising\n \nThe Company's strategy is to delineate further resources into JORC categories, whilst at the same time advancing the Company's flagship asset, Kremnica, towards production. In line with this, the Company recently announced the completion of the updated JORC Code compliant resource estimate for the Project of 1.1 million ounces of gold equivalent of which over half is in the measured and indicated categories. Ortac now intends to carry out additional drilling to target areas of the Project that have been estimated but not classified and to convert further ounces into the higher confidence categories.\n \nSimultaneously, the Company intends to advance the various studies required for the satisfactory completion of a bankable feasibility study that would lead to project finance and re-starting of mining at Kremnica.\n \nAdditionally, some funds will be made available to unlocking value in the Company's extensive portfolio of exploration license areas as well as for assessing other advanced stage projects in the region.\n \nOrtac CEO Vassilios Carellas said, \"We are delighted with the strong appetite that this Placing has received, particularly the support from some of the larger institutions in the City. This round of funding will enable the Company to further...