News: Blackgold International Holdings in options issue

China focused coal miner Blackgold International Holdings (ASX:BGG) has released a prospectus for an options entitlement offer.

The issue is not underwritten and is a non-renounceable pro-rata entitlement offer of 1 new option for every 10 existing shares held by eligible shareholders at an issue price of $0.001 per option.

The new options will have a strike price of $0.08 an approximate 10% discount to the current market price, with an expiry of 31 July 2016.

The offer if fully taken up would raise up to $7.1 million upon exercise of the options for the acquisition of new mines and general working capital.