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Sarama Resources Closes C$5.9 Million Private Placement
Not for Distribution to a United States Newswire or for Dissemination in the United States ...
About this update from Sarama Resources Ltd.
[{"type":"text","content":"Sarama Resources Closes C$5.9 Million Private PlacementNot for Distribution to a United States Newswire or for Dissemination in the United StatesVANCOUVER, CANADA / ACCESSWIRE / April 30, 2019 / Sarama Resources Limited (\"Sarama\" or the \"Company\") is pleased to announce that it has closed its previously announced private placement offering of 68,949,585 common shares at a price of C$0.085 per common share for aggregate gross proceeds to the Company of C$5,860,714.73 (the \"Private Placement\"). ASX listed mid-tier gold producer, Silver Lake Resources Limited will become a cornerstone investor in Sarama by investing C$2,509,965 representing an interest of 11.78% in the Company.Andrew Dinning, Sarama Resources CEO commented: \"We are pleased with the interest and support shown in this capital raising and welcome Silver Lake Resources as a new cornerstone investor. We intend to use proceeds from this raise to accelerate the growth of our oxide and free-milling mineral resource base which will in turn allow us to more rapidly define the development opportunity that we have in the southern Houndé belt.\" Figure 1- Sarama Resources' Exploration and Development Projects in South-West Burkina FasoThe proceeds of the Private Placement will be used to fund payments to regain 100% ownership of the South Houndé Project (news release dated 27 November 2018), exploration activities and to meet working capital requirements of the Company. Sarama intends to start framing up potential project development options and undertake a resource development program to firm-up and expand existing oxide and free-milling mineral resources on the South Houndé and ThreeBee Projects. The South Houndé Project hosts an inferred mineral resource of 2.1Moz Au(1), including an oxide and transition component of 611koz Au(1). The ThreeBee Project hosts the Bondi Deposit which has a historical mineral resource(1) of 282koz Au measured and indicated; and 150koz Au inferred. Together, these projects form the foundation for possible development in the region.Exploration drilling in 2018 has identified extensions to the Bondi Deposit and new zones of high potential. The ThreeBee Project also hosts the Bamako Property where a +3km-long gold-quartz vein system has been identified that has returned rock-chip assays up to 18.9g/t Au and gold-in-soil va...