Bligh to raise funds for exploration, names new MD and CEO-elect

JOHANNESBURG (miningweekly.com) – Gold developer Bligh Resources on Friday announced an underwritten capital raising of $1.7-million to fund exploration opportunities in the Leonora area of Western Australia.

The Sydney-based company appointed Somers & Partners to underwrite the capital raising, the proceeds of which will be used for exploration near the Bundarra joint venture gold project, in Leonora.

The capital raising will comprise a two-tranche placement of 57.9-million fully-paid ordinary shares in Bligh to raise $1.45-million and a share purchase plan (SPP) to raise a further $250 000.

Both issues will be at 2.5c a share, which is in line with Bligh’s 30-day volume-weighted average price.

The first tranche of the placement comprises 7.9-million shares, aimed at raising $200 000, while the second tranche of 50-million shares is subject to shareholder approval, with a general meeting of shareholders to be held in early September.

The shares under the SPP will be offered to registered shareholders as at the close of business on July 21.

Meanwhile, the company also announced the appointment of gold industry executive Gino Vitale as nonexecutive director and MD and CEO-elect.

Vitale will initially be a nonexecutive director, but will assume the position of MD and CEO of the company at the completion of the second tranche of the capital raising. 

Bligh detailed Vitale’s achievements in the gold sector as the acquisition, construction and operation of the 50 000 oz/y McKinnons Gold project in Cobar, New South Wales, the execution of numerous gold project financing transactions as a project finance specialist with Standard Chartered Bank group and senior executive responsibilities with the Normandy Mining group prior to its acquisition by Newmont Mining.