Panthera Resources plc (LON:PAT), the diversified gold exploration and development company with assets in West Africa and India, has announced that its partner, Moydow Holdings Limited (Moydow) has arranged an equity capital raising of US$1 million from existing and new investors (Financing). The proceeds from the Financing are in addition to the $1,500,000* already secured pursuant to the Moydow Transaction as announced on 1 September 2020. The proceeds from Moydow’s equity capital raising will be applied to Moydow’s planned work programmes in West Africa, including:
· in support of a JORC resource estimation at Labola;
· drilling at the Paimasa project in Nigeria; and
· geophysics surveys at Kalaka.
The ongoing work programme by Moydow at Labola will seek to confirm the historical drilling with a view to delivering a JORC compliant mineral resource estimate. Furthermore, the proposed infill and step-out drilling has the potential to materially increase the overall resource base.
Moydow is also earning an interest in two projects, the Paimasa and Dagma projects, prospective for gold at the southern end of the Kushaka Schist Belt in Nigeria. A drilling programme at Moydow’s Paimasa project is anticipated to commence shortly.
At Kalaka, previous drilling has identified a very large-scale gold system. Moydow intends to undertake additional IP surveying and subsequently to drill test the best anomalies identified by this work, along with a 1,000m by 150m zone of intense artisanal mining activity that is currently undrilled, with the aim of defining higher grade parts of the mineralisation.
Following the completion of the equity capital raising, Panthera’s interest in Moydow’s ordinary shares will decrease from 54.5% to 46.2%.
Further information on the planned work programmes at the Company’s Bido and Bassala projects will also be provided in due course.
Mark Bolton, Managing Director of Panthera, commented:
“The strong investor support for Moydow’s equity capital raising reaffirms Panthera’s belief that our interest in Moydow will deliver strong returns for Panthera shareholders.
The Moydow funding underwrites an intensive work programme in the near term, with Panthera shareholders benefiting from an exciting flow of results from Moydow’s highly prospective portfolio of gold assets in West Africa.
In addition to the activity conducted by Moydow, the Company continues to propel its West African projects forward at Bassala and Bido and we look forward to releasing further detail of these work programmes in due course.”
Footnotes
* US$1 million from an equity subscription and US$0.5 million in drilling services
