Sarama Completes A$2M Equity Placement and ASX Cleansing Notice
Sarama Resources Ltd., a West-Africa focused gold explorer and developer, recently announced the successful completion of an A$2 million equity placement in a move to strengthen its financial position. The company issued 40 million new fully paid ordinary shares to institutional and sophisticated investors at an issue price of 5 cents per share. This placement will be utilized to advance the exploration and development activities at Sarama’s flagship South Houndé Project in Burkina Faso, as well as for general working capital purposes.
Sarama Resources Ltd. Chairman and CEO, Ian K. Perkes, expressed his satisfaction with the completion of the placement, emphasizing the company’s strategy to accelerate exploration efforts in the highly prospective Houndé Belt. This funding injection will allow Sarama to further enhance its geological understanding of the South Houndé Project and test high-priority targets in the area, with the ultimate goal of increasing the mineral resource base.
Moreover, Sarama also released an ASX cleansing notice in conjunction with the equity placement to address the requirements of ASX Listing Rule 7.1A. The purpose of this notice is to ensure that any shortfall that may arise from the failure to obtain shareholder approval for the placement is rectified within a set period. The company is taking proactive steps to comply with regulatory standards and maintain transparency in its operations.
The successful completion of the A$2 million equity placement highlights the confidence of investors in Sarama’s growth potential and the quality of its assets in Burkina Faso. This additional capital injection will enable the company to expand its exploration activities, boost its resource base, and unlock further value for its shareholders. With a strong focus on responsible and sustainable mining practices, Sarama is well-positioned to capitalize on the abundant mineral resources in West Africa and drive long-term growth and value creation.
In conclusion, Sarama Resources Ltd.’s recent A$2 million equity placement and ASX cleansing notice signify a significant milestone in the company’s journey towards unlocking the full potential of its flagship South Houndé Project. By securing additional funding, Sarama is poised to accelerate its exploration efforts, strengthen its resource base, and deliver long-term value for its stakeholders amidst the highly prospective gold mining landscape in West Africa.