GCIAlba Mineral Resources raises £1.2m to accelerate gold exploration
has raised £1.2m at 0.375p in order to accelerate value-enhancing activities across its portfolio, including at the Clogau-St David's Gold Mine.
“We are very pleased to have received this ongoing support from investors at a price which is significantly above the last placing price,” said George Frangeskides, Executive Chairman.
He said the raise is “a validation” both of the strength of Alba’s mining portfolio and of the value-added work it has completed following the end of the first Coronavirus lockdown.
The proceeds from today’s placing will be used at the Clogau-St David's Gold Mine in Wales in order to advance Phase 2 of the Company's underground drilling bulk sampling and pilot processing programme, as well as to advance Phase 3 of its surface drilling programme.
The funds will also enable the watering of the Llechfraith mine area to allow for underground exploration and development and will allow formal impact assessments to commence which will form part of the planning application for the reopening of the mine.
The proceeds will also be used to advance the Dolgellau Gold Exploration Project in Wales to advance the project to its next phase of surface trenching, targeting some of the 10 regional gold targets discovered by Alba in a 2019 regional soil sampling programme.
At the Gwynfynydd Gold Mine in Wales, Alba will use the funds to survey site expeditions over the mine area, reinterpret historical data, and seek extensions to the Mine workings.
In relation to Alba’s Greenland assets, Alba will focus on signing contracts and making down-payments to secure the key service providers who will be engaged to carry out its planned drilling programmes at Thule Black Sands (TBS) Ilmenite and Amitsoq Graphite.
Further process engineering and laboratory testwork will also be undertaken in order to refine the saleable products from both Thule Black Sands Ilmenite and Amitsoq Graphite.
The company believes TBS Ilmenite is “an integral part of the emerging world-class ilmenite province of north-west Greenland” while it believes Amitsoq Graphite is “very well placed to benefit from the exponential growth in the electric vehicle sector in the coming years."
"We will put this funding to very good use as we look to push forward with our ambitious plans...”, said George Frangeskides, Executive Chairman of Alba Mineral Resources.
Shares in Alba Mineral Resources have increased by over 200% since the beginning of September 2020 to open at 0.48p, almost 30% above the placing price.
Reasons to Follow Alba Resources
Alba Mineral Resources is a well-diversified mineral exploration and development company which owns and operates mining projects in Greenland, Wales and Ireland. Its strategy is to identify and secure undervalued assets with a diversified commodity mix where there is potential for discovering further unexploited resources alongside the existing mine site.
Positive Assays and pending JORC Resource newsflow
Despite losing field time to the ongoing COVID-19 pandemic, Alba said it is in a position to execute one of the most significant underground work programmes seen for several decades at its Clogau gold mine in Wales, just as the commodity is reaching all-time highs in value.
Alba will now move into the formal assaying of all the drilled and sampled material at Clogau, the start of its first phase of regional surface trenching programme and preparations for the surface drilling campaign.
Alba said its mining projects remain on ‘a sound footing’, with JORC resources at both Thule Black Sands and Melville Bay, and plans to drill a maiden JORC resource at Amitsoq in 2021.
Alba said it does not expect the campaign at Clogau to be affected by Welsh Government coronavirus restrictions which were implemented from 23 October to 9 November 2020.
Transition from Exploration to Production in Greenland and Wales
Other ‘significant’ progress has also been made in recent years towards Alba’s ultimate goal of achieving commercial production at one or more of its sites, including at the Thule Black Sands in Greenland, the Amitsoq project in Greenland and the Horse Hill well in Surrey.
Yesterday, the company announced that surface trenching activities will kick-start this week over the first of the group’s 10 regional gold targets over the Dolgellau Gold Field (DGF).
The trenching is scheduled to commence this week and will target the first of 10 separate new gold targets over the Dolgellau Gold Field which have previously been identified by Alba.
Alba said up to eight trenches have been planned in this first phase, each varying in length from 40-90m for a total of 575m, with each trench being 1m wide and up to 2m deep.
Once exposed, the quartz veining and other structures from the trenches, those of which are pictured below, will be sampled, and those samples sent to a laboratory for assaying.
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