6th Aug 2008 11:03
For immediate release
6 August 2008
Allied Gold Limited
("Allied Gold" or the "Company")
Placement of Shares
Further to the announcement made on 5 August 2008, the Board of Allied Gold announces it has completed the placement of 33,988,551 new Ordinary Shares at AUD$0.31 to raise AUD$10,536,451 before expenses.
The placement, representing approximately 9.00% of the shares in issue prior to the placement, has been made to sophisticated investors, mostly institutional clients of UK based Mirabaud Securities Limited, and also to a wholly owned subsidiary of the Company's Joint Venture partner, Barrick Gold Corporation. The placement falls within the company's 15% placement capacity as set out in ASX Listing Rule 7.1.
The placement was undertaken to fund the initiatives highlighted in the Company's recent June quarter activities report, namely:
Augment the scoping activities surrounding the potential for a significant expansion of the Oxide plant (current capacity 2.2mtpa).
Commencement of various plant modifications to immediately optimise the existing configuration as well as potentially ready the facility for future expansion initiatives.
Assess a number of additional equipment requirements relating to earth moving and logistical activities.
Continue its exploration efforts throughout the September 2008 Quarter.
Retire additional bank debt existing under the current project financing facility as well as providing working capital to the group.
The new Ordinary Shares, which will rank pari passu with the existing Ordinary Shares, have been issued and application has been made for the shares to be admitted to trading on AIM and the ASX which is expected to commence on 12 August 2008.
ENDS
For further information, please contact:
|
Mark Caruso Managing Director |
Tel: +61 8 93533638 |
|
Roland Cornish Beaumont Cornish Limited |
Tel: 0207 628 3396 |
|
Rory Scott Mirabaud Securities |
Tel: 0207 321 2508 |
Related Shares:
ALD.L