AngloGold Ashanti and European Investor Back G2 Goldfields’ Capital Raise for Oko Project
Gold mining major AngloGold Ashanti and a new European investor have supported Canadian junior G2 Goldfields’ latest capital raise for its Oko project in Guyana.
The TSX-V-listed exploration company announced a non-brokered private placement of 28.97 million shares at C$1.45 per share, yielding gross proceeds of C$42 million.
A single European investor has agreed to purchase 20 million shares, while AngloGold Ashanti will acquire the remaining shares. Upon closing, AngloGold will hold approximately 15% of G2’s common shares, up from its current 12.8%.
The offering is expected to close in early August.
“We are grateful for the considerable support from both AngloGold Ashanti and our significant new European investor,” said G2 executive chairperson Patrick Sheridan.
Upon closing, G2 will have approximately C$55 million in working capital. This strengthened financial position will allow the company to accelerate and expand its current exploration program in the OKO-AREMU district.
The Oko property’s main zone has a combined open-pit and underground resource of 495,000 oz in the inferred category and 686,000 oz in the indicated category. The Ghanie zone has an inferred resource of 604,000 oz and an indicated resource of 236,000 oz.
G2 plans to issue an updated resource estimate in the first quarter of 2025.
The Oko district has been a prolific alluvial goldfield since its initial discovery in the 1870s, and G2 believes that modern exploration techniques continue to reveal the considerable potential of the district.
