Wia Gold Limited says it has successfully raised N$346 million (A$30 million) through a new share placement to accelerate the Kokoseb Gold Project in Namibia.
The financing, involving the issue of 200 million new fully paid ordinary shares at N$1.73 (A$0.15) per share, will support Wia’s efforts to fast-track the development of the Kokoseb gold discovery in Namibia.
“The placement is an important step in the transition of Wia into Namibia’s leading gold exploration company, but also accelerates the development of Kokoseb into Namibia’s next gold mine,” the company’s Executive Chairman Josef El-Raghy said.
A portion of the funds will support increased drilling activity to expand Kokoseb’s mineral resource estimate and conduct a scoping study.
Additional drilling in Côte d’Ivoire is also planned, with funds allocated for working capital and corporate expenses.
Directors of Wia Gold have committed N$13 million (A$1.1 million) to the placement, pending shareholder approval at an upcoming General Meeting. Following the placement, Wia will have a total of 1,357,684,369 shares in circulation.
“The progress made at the Kokoseb gold discovery over the past year has been exceptional and has been recognised by existing and new shareholders as a new gold district within Namibia, a highly regarded jurisdiction by the global mining industry,” he said.
The N$1.73 (A$0.15) placement price represents a slight discount of 3.2% to Wia’s last traded share price of A$0.155 on the ASX and a 1.1% discount to the 15-day volume-weighted average price.
Petra Capital Pty Limited served as the sole lead manager and bookrunner, with Tamesis Partners LLP and Argonaut Securities Pty Ltd acting as co-lead managers.
Settlement of the placement is scheduled for 12 November with allotment on or around 13 November 2024.
