Business
Sarama Resources Increases Previously Announced Private Placement to C$5.9 Million
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About this update from Sarama Resources Ltd.
[{"type":"text","content":"\nSarama Resources Increases Previously Announced Private Placement to C$5.9 MillionNot for Distribution to a United States Newswire or for Dissemination in the United StatesVANCOUVER, BC / ACCESSWIRE / April 26, 2019 / Sarama Resources Limited (\"Sarama\" or the \"Company\") is pleased to announce that further to its press release issued April 9, 2019 in relation to the Company's proposed private placement, due to strong support from existing shareholders and new investors, the Company has increased its offering to up to 69,411,765 common shares at a price of C$0.085 per common share to raise gross proceeds of up to C$5,900,000 (the \"Private Placement\"). All other terms of the Private Placement remain the same.Andrew Dinning, Sarama Resources CEO commented: \"We are pleased with the interest and support shown in this capital raising and have decided to take the additional funds on offer. The additional proceeds will be used 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 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 values of up to 13.6g/t Au and historical...