Funds will be deployed to investigate recently acquired Coolyia Creek gold project, 40km South West of Marble Bar and to increasing interests in the region
Geological team to commence preliminary assessment this week
Castle Minerals Limited (ASX:CDT)(‘Castle’ or ‘Company’) advises that it has raised $1,225,000 (before costs) through a keenly sought placement in which Pilbara gold and copper-cobalt explorer, Artemis Resources Limited (ASX:ARV), participated and will now hold a 4.8% stake in the Company.
The funds raised will be directed towards Castle’s recently acquired Coolyia Creek gold project in the Pilbara region of Western Australia, identifying opportunities to acquire additional interests in licences prospective for conglomerate-hosted gold, maintaining activities at the Company’s Ghanaian gold interests and general working capital (refer ASX release dated 10 October 2017).
“The high demand for this placement plus the participation of Artemis Resources Limited provide a strong endorsement for Castle’s broadening of its gold interests to now include the Coolyia Creek conglomerate gold project” said Castle Managing Director, Stephen Stone.
“Castle’s management and geologists will this week travel to site to undertake a first- pass reconnaissance evaluation of the project including rock-chip sampling, metal detecting and mapping”.
The Company will issue 35,000,000 new ordinary shares at $0.035 each pursuant to its 15% placement capacity under ASX Listing Rule 7.1 (18,000,000 shares) and 10% placement capacity under ASX Listing Rule 7.1A (17,000,000 shares). The price of $0.035 meets the requirements of LR 7.1A.3 in being greater than 75% of the 15-day VWAP.
The ‘book build’ was managed by Perth based, D.J. Carmichael Pty Ltd with Industrie Capital Pty Ltd assisting as corporate adviser.
Background Note
Castle recently secured the rights to acquire an 80% interest in two adjacent exploration licence applications encompassing the prospective basal conglomerate horizon of the Hardey Formation and its unconformable contact with the underlying Mt. Roe Basalt as mapped by the Geological Survey of Western Australia.
The applications comprise a total of four blocks (12.8km2) at Coolyia Creek, 40km southwest of and easily accessed from Marble Bar in the East Pilbara region of Western Australia (ELAs 45/4965 and 4975) (Coolyia Creek Project).
Stephen Stone
Managing Director [email protected] +61 (0) 41
