Mako Gold Ltd (ASX:MKG) has obtained binding comittments to raise $2 million through a share placement at $0.01 per share with funds to support the company's gold and battery metal portfolio of assets, and potentially further acquisitions.
Cornerstone investor Goldridge Resources Pty Ltd committed to subscribe to 50 million new shares, representing $500,000 in funding.
The company also received strong support from existing major shareholder Dundee Corporation, which maintained its 9.9% holding in Mako.
To complement the placement, Mako also intends to offer a share purchase plan (SPP) to eligible Mako shareholders to raise up to an additional $500,000.
The extra funding will allow Mako to advance exploration at the Napié Gold Project as well as the Korhogo Manganese Project and a pending lithium-prospective 400-square-kilometre lithium application.
Exclusivity agreement with Goldridge
Aside from a cornerstone investment in MKG's placement, Goldridge Resources has also entered into a binding exclusivity agreement with Mako, with the goal of creating a district-size gold play with multi-million-ounce potential and target in-country opportunities in the gold and battery metal space.
Goldrige is backed by the founders of Tietto Minerals, which recently transitioned to production at the 3.8-million-ounce Abujar Gold Project and is currently subject to a $650 million takeover offer.
Mako has proposed two new appointments subject to the completion of the Goldridge transaction:
- Jeremy Clark – proposed non-executive director, a geologist with more than 20 years' mining and exploration experience, previously part of the RPM Global management team with extensive West African gold experience.
- Dr Caigen Wang – proposed strategic advisor, a mining engineer with more than 25 years of experience and a PhD in Geotechnical Engineering, founder and ex-managing director of Tietto Minerals.