South Australian gold explorer Barton Gold (ASX:BGD) has officially banked $1.233 million from an oversubscribed share purchase plan (SPP).
The company, which has a $48.54 million market capitalisation, says it originally planned to raise $1 million from the SPP, but it was so ‘strongly’ supported that the company will now issue more than 4.9 million shares at $0.25 for $1.233 million.
This SPP has been completed ahead of Barton Gold Managing Director Alex Scanlon’s presentation at the Noosa Mining Investors Conference today (19 July 2023). This conference is being held from today until Friday (21 July 2023).
Following the issuance of the new shares, Barton’s capital structure will comprise 195,286,326 million fully paid ordinary shares.
The company notes the SPP was opened on 27 June 2023 and offered all eligible shareholders the opportunity to acquire new Barton shares at the same price as its recent institutional placement.
Barton Gold’s cash balance currently stands at more than $11 million after the $3.5 million institutional placement and SPP. This cash balance is set to be further boosted by pending gold sales (current $3.4 million gold in concentrates).
With the SPP now complete, Barton Gold announces it will move forward with its ‘large-scale’ FY24 fieldwork programs shortly. These activities include seismic work and drilling.
Commenting on the final SPP results, Scanlon says: “We are honoured to receive positive feedback and broad support from our existing shareholders, who join several new high-quality institutional investors to advance our regional development strategy in South Australia.
“WE ARE HONOURED TO RECEIVE POSITIVE FEEDBACK AND BROAD SUPPORT FROM OUR EXISTING SHAREHOLDERS”
Together with pending gold concentrates proceeds, Barton has a strong treasury position which will continue to be responsibly managed as we target regional growth and potential ‘Stage One’ development pathways. Major FY24 field programs, including seismic surveys and resource growth drilling, will start in the coming weeks.”
Barton Gold is a publicly listed gold explorer with a total attributable 1.3-million-ounce gold JORC mineral resources endowment (40.6 million tonnes @ 1g/t Au), as well as a pipeline of advanced exploration projects and brownfield mines.
The company is also the 100% owner of the only regional gold mill in the central Gawler Craton of South Australia.
