Pasofino announces capital raise

Aim-listed Hummingbird Resources’ subsidiary Pasofino Gold has launched a private placement to raise $2.5-million for advancing the Dugbe gold project, in Liberia.

The company will also use some of the proceeds for working capital purposes.

The placement involves the issue of up to 4.8-million shares at a price of $0.52 apiece.

Each unit will comprise one common share and one half of a common share purchase warrant, with each full warrant allowing the purchase of a share at C$0.90 within 18 months.

Pasofino expects the private placement to close in October.

Hummingbird says it does not intend to participate in the fundraise but will still retain its majority shareholding, albeit at a reduced stake of 50.4%, compared with 53% currently.

The Dugbe project has a 2.7-million-ounce reserve that can be mined over a 14-year mine life at a low cost profile.

Meanwhile, Pasofino has appointed Brett Richards as a nonexecutive director to the board. He currently holds other board roles at Nickel 28 Capital Corporation, Goldshore Resources and Midnight Sun Mining.