IronRidge Resources Limited has announced that it has successfully raised £12 million from listed shares on the stock market. The Company hinted that the funds raised are geared towards investments in its lithium and gold projects in Ghana, Cote d’Ivoire and Chad.
Per the sale, the Company placed in aggregate, 60,000,000 new ordinary shares in the Company at a price of 20 pence per share.
Vincent Mascolo, the Chief Executive Officer of IronRidge commented that:
“We are delighted by the interest shown in IronRidge by the international equity capital markets and I would like to thank shareholders for their participation in this oversubscribed fundraise.
“With the modern world embarking on a race towards electrification and de-carbonisation, demand for lithium, due to its use in the stored energy space, is skyrocketing. Concurrently, the global pandemic, and its effect on global economies, has provided a bullish backdrop for gold.
“We believe that there is no better time to be a diversified explorer and developer with an advanced high-grade lithium pegmatite project heading towards production in Ghana and a portfolio of prospective gold projects in Cote d’Ivoire and Chad. We look forward to a transformational year ahead with significant news flow.”
Vincent Mascolo, Chief Executive Officer of IronRidge
Share oversubscription
The Company noted that subscribers showed binding commitments to a total of 14,950,000 new ordinary shares at the above mentioned issue price. Among the subscribers include the company’s largest shareholder, Assore Limited, Vincent Mascolo, Company’s chief Executive, Neil Herbert, Company’s Non-Executive Chairman and other subscribers.
Following this subscription, the Company again placed 45,050,000 new ordinary shares at the issue price with a number of subscribers.
According to the mining firm, proceeds from the sale have some priority areas where they will be channelled. This include delivering an updated Scoping Study and pre-feasibility study for the Ewoyaa project in Ghana. Additionally, the company seeks to 30,000m of resource and exploration drilling, metallurgical test work, engineering studies and environmental and social studies.
“Today’s news demonstrates, yet again, belief and confidence in the Board’s strategy to advance further the Company’s gold and lithium portfolio, with a strong focus on the Ewoyaa Lithium Project in Ghana, which we consider to be an industry-leading asset, and the Zaranou Gold Project in Côte d’Ivoire.
“The £12m raised puts IronRidge in a strong financial position to capitalise upon the opportunities that it has created itself, particularly as the Company assesses its options to fast track Ewoyaa to production.”
Vincent Mascolo, the Chief Executive Officer of IronRidge
Furthermore, the company seeks to use proceeds on an all-new mineral resource estimate and drill testing of exploration targets at the Zaranou Gold Project in Cote d’Ivoire. Also, funds will be channelled towards the development of the company’s pipeline of gold projects in Cote d’Ivoire and Chad, including exploration and drilling programmes.
Meanwhile, the company is also seeking to develop the prospective gold projects in Cote d’Ivoire and Chad, including exploration drilling programmes. Furthermore, the funds are also to contribute to the company’s working capital including costs with the raising of funds.
READ ALSO: 7,000 health workers have since died from COVID, 136 million at risk – ILO
