Sunridge Gold to raise up to $10 mln for Asmara project
9:46 am by
<
http://www.proactiveinvestors.com/pages/the_team#Deborah%20Bacal> Deborah
Bacal
28/09/2012
The proceeds of the financing, which remains subject to regulatory approval,
will be used to fund Sunridge's work programs at the Asmara project in
Eritrea, as well as for general corporate purposes, it said.
Vancouver-based
<
http://www.proactiveinvestors.com/companies/overview/650/Sunridge+Gold>
Sunridge Gold Corp (
<
http://www.proactiveinvestors.com/companies/overview/650/sunridge-gold-0650
.html> CVE:SGC) (OTCQX:SGCNF) says it plans to raise up to $10 million
through a non-brokered private placement financing.
The offering is planned to consist of up to 45.45 million units at 22 cents
each, with every unit holding one common share and one half of one share
purchase warrant.
Each whole warrant allows the holder to buy one additional share of the
company at 35 cents for a period of five years from the closing date.
The mineral explorer said late Thursday it reserves the right to increase
the size of the placement or modify the type or price of the units.
The proceeds of the financing, which remains subject to regulatory approval,
will be used to fund Sunridge's work programs at the Asmara project in
Eritrea, as well as for general corporate purposes, it said.
The Asmara project consists of four mineral deposits, the Emba Derho,
Debarwa and Adi Nefas copper-zinc-gold and silver deposits, and the Gupo
gold deposit, all located within 40 kilometres of the capital city of
Asmara.
The results of a preliminary feasibility study that considered all deposits
being processed at a central mill was announced in May, and showed
production of 365,000 tonnes of copper, 812,000 tonnes of zinc, 415,000
ounces of gold and 11 million ounces of silver over a 15.25 year mine life.
The report also projected a pre-tax net present value of $555 million at a
10 per cent discount rate and an initial capital cost of $489 million.
Sunridge is now completing a feasibility study on the project, which is
planned for completion in 2013, subject to financing. Application for a
mining license and permitting will follow this study.
In late August, Sunridge said that the Eritrean government planned to
acquire a 30 per cent paid interest in the Asmara project. The 30 per cent
interest owned by the Eritrean National Mining Corp (ENAMCO) would be in
addition to the government's existing right to get a 10 per cent
non-assessable stake that will be carried to production by participating
partners.
The terms of the acquisition had not yet been established at the time,
Sunridge said, and would be determined through negotiations.
The mineral exploration and development company also has exploration
properties in Madagascar.
Received on Fri Sep 28 2012 - 22:58:55 EDT
