Gold Road Resources Limited (ASX: GOR) advises that it has been allocated 25,987,000 De Grey Mining Ltd (ASX:DEG) shares at a price of $1 each as part of De Grey’s institutional placement to raise $130 million.
This allocation maintains Gold Road’s 19.99% relevant interest in De Grey.
De Grey has told investors that the proceeds of the institutional placement and a proposed $20 million share purchase plan will be applied towards activities such as completion of the definitive feasibility study for the Mallina gold project in preparation for a subsequent final investment decision, discovery and extension drilling at Mallina including targeting new discoveries, and increased project resources and pre-development activities.
