LONDON (ShareCast) - (Sharecast News) - IronRidge Resources has conditionally raised ?4.75m before expenses through a placing of, and subscription for, 67,857,571 new ordinary shares at a price of 7p each, it announced on Monday.
The AIM-traded company said it will use the funds for an accelerated drilling programme at the Zaranou Gold Project in C?te d'Ivoire, and advancing its remaining suite of gold assets in C?te d'Ivoire and Chad, and its lithium projects in Ghana.

It said the phased drilling programme, of which 9,000 metres was currently underway at Zaranou, was designed to test mineralisation continuity and grade over an initial three kilometre strike, followed by an "aggressive" infill drilling campaign of about 30,000 metres, targeting a maiden mineral resource estimate.

Ongoing development of its pipeline of gold projects in C?te d'Ivoire and Chad would include reconnaissance drilling programmes across its "highly prospective" gold portfolios, the board said.

Further low-cost value-adding initiatives at the Cape Coast Lithium Portfolio in Ghana, meanwhile, was designed to fast-track development timelines.

IronRidge said the funds would also be used for ongoing working capital, including costs associated with the fundraise.

"We have resumed drilling at our Zaranou Gold Project through a phased drilling campaign designed to assess mineralisation continuity and targeting a maiden mineral resource estimate," said chief executive officer Vincent Mascolo.

"We continue to advance our remaining suite of gold assets in C?te d'Ivoire and Chad, along with low-cost value adding initiatives across our Cape Coast Lithium Portfolio in Ghana.

"We would like to thank our existing shareholders for their continued support and would like to welcome our new shareholders to the register. In addition, the significant support of the board and Assore Limited is a resounding endorsement of our diversified portfolio and ability to deliver new discoveries as we continue transitioning from explorer to developer."

Mascolo said the company had made "considerable progress" over the course of 2019 and into 2020.

"Despite the global pandemic backdrop, we are focused on accelerating drilling at the Zaranou Gold Project and we remain on track to deliver on multiple milestones."

At 0911 BST, shares in IronRidge Resources were down 16.32% at 7.95p.

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