Business
Oversubscribed Placing to Raise USD7 million
Oversubscribed Placing to Raise USD7 million.
About this update from Empire Metals Limited
[{"type":"text","content":"\n \nRNS Number : 9004F Georgian Mining Corporation 23 May 2017 \n\n23 May 2017\nGeorgian Mining Corporation\nOversubscribed placing and subscription to raise $7 million\n \nGeorgian Mining Corporation ('GEO' or the 'Company') is pleased to announce that it has raised US$7 million (£5,463,942) by way of a significantly oversubscribed placing and subscription of 34,149,638 new ordinary shares of no par value in the capital of the Company ('the Placing Shares'), with new and existing shareholders in the Company, at a price of 16 pence per Placing Share ('the Placing'). \n \nThe net proceeds of the Placing will be primarily used to expand the resource development at the Kvemo Bolnisi copper and gold project in Georgia ('KB' or 'the Project') beyond the existing JORC estimate of 2.22 Mt @ 0.8% Cu and 0.1 g/t Au as well as to advance regional exploration. The Project is located on the Tethyan Belt, which is host to multiple high grade copper-gold deposits and producing mines in Turkey, Armenia, Serbia and Georgia. The Company believes KB has the potential to host one large epithermal copper/gold deposit and a three phase resource development programme is underway to reach the Company's 50Mt exploration target for KB, which is just one of 14 target areas identified within the Company's 860 sq km licence area.\n \nHaving achieved and exceeded its stage 1 target of 1-2Mt of combined copper-gold sulphide and gold oxide mineralisation, GEO is currently undertaking drilling to realise its stage two resource target of 3-5 Mt in 2017. Results to date have delivered exceptional copper and gold grades, including 16m @ 15.4% Cu from 47m, including 4.95m@ 40.50% Cu. In tandem with its resource development work, the Company is also working to deliver proof of concept copper and gold production using its JV Partner's processing infrastructure, which has excess capacity and is located in close proximity to KB. This will de-risk the project by defining the processing route for the ore, provide cash flow to contribute towards further exploration and strengthen the relationship with the Company's partner. Discussions with the Company's JV partner are ongoing and further updates will be made on completion. \n \nGEO's Managing Director, Greg Kuenzel said, \"KB continues to de...