Lydian International raises C$40 mln for continued development of Amulsar gold project
Armenia focused gold mine developer Lydian International (TSE:LYD) today unveiled plans for a C$40 million funding.
It has signed an agreement with a syndicate of underwriters for a share placing.
The new money is being earmarked for the continued development of the Amulsar project. It will help fund the company as it moves towards the completion of a bankable feasibility study.
Money will also be spent on exploration at the Zoti project in Georgia as well as for working capital, Lydian said.
The syndicate is led by GMP Securities and Scotiabank. Just over 15.5 million shares will be issued to investors priced at C$2.56 each.
The underwriters also have an option to issue an additional 2.3 million shares to raise an additional C$6 million, as part of the over-allotment arrangements.
Last month Lydian reported a major resource upgrade at the project. It gave Amulsar a further 700,000 ounces of gold and took total resources to 3.2 million ounces.
The report followed 35,000 metres of drilling. And it is made up of mineralisation from Amulsar's three most advanced deposits - Tigranes, Artavasdes and Erato.
The deposits at Amulsar remain open in all directions despite over 90,000 metres of drilling, Lydian says.
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