Latest News

Argonaut congratulates Gold Road Resources on Capital Raising

Argonaut as Joint Lead Manager has been successful in a heavily oversubscribed raising of A$74 million for Gold Road Resources Limited (ASX: GOR) (“Gold Road”) to new and existing institutional investors both in Australia and overseas including cornerstone investment by three high quality North American investors and a retail entitlement offer at an issue price of A$0.44 per share, together with Macquarie Capital (Australia) Limited.

Proceeds from the placement will ensure Gold Road is fully funded to complete the Gruyere Project Feasibility Study, purchase long lead capital items, commence early works and FEED and ensure flexibility to fund possible drilling Gruyere open pit depth extensions, as well as regional exploration programs.

Commenting on the Placement, Gold Road’s Executive Chairman, Ian Murray said “This Equity Raising follows the release of the detailed Pre-Feasibility Study confirming the Gruyere Project as one of Australia’s best undeveloped gold deposits. The findings indicate a technically sound and financially viable project, which is anticipated to support strong margins and cash flow. The decision to raise additional equity now is a strong signal of Gold Road’s commitment to developing the Gruyere Project. It also highlights significant investor interest in supporting Gold Road in this endeavour. This Equity Raising will enable Gold Road to de-risk and to de-bottleneck the Gruyere Project and to expedite its development, through the purchase of long lead time capital items and commencement of early works and FEED, in parallel with the completion of the Feasibility Study and a continued focus on exploiting priority exploration targets across the Yamarna Greenstone Belt.

We are encouraged by the strong support we have received from both existing and new institutional shareholders, as demonstrated through the high level of participation in the Entitlement Offer and Placement. Further, we are delighted by the enhanced breadth of the share register as a result of the introduction of new, high calibre global institutions, including the three North American cornerstones. We remain focused on completing the Feasibility Study on schedule and look forward to updating the market on the significant progress being made during the current quarter.”

Argonaut is delighted to provide continuing support to Gold Road and looks forward to working with the company as it develops the Gruyere project and continues to explore the very prospective Yamarna Belt.

Additional information regarding Gold Road and the Capital Raising can be found on the company’s website at www.goldroad.com.au.