TSX-V-listed Pure Gold Mining has enlarged its capital raising to $45.5-million, following additional nonbrokered financing of about $13.04-million from South Africa-headquartered gold major AngloGold Ashanti and an institutional investor.
The issue of 23.7-million units at $0.55 each to AngloGold Ashanti and the institutional investor will be concurrent with the $32.5-million bought-deal private placement, led by Sprott Capital Partners, that Pure Gold announced last month.
The net proceeds of the transaction would be used for the company’s exploration and development activities, as well as for general corporate purposes, Pure Gold, which also trades on the LSE, said in a statement on Tuesday.
Pure Gold owns the Madsen Red Lake gold project, in Red Lake, Ontario,