Gold explorer Kentor Gold Ltd
(ASX:KGL) has raised $28 million to fund the acquisition of the Andash Gold-Copper Project in the Kyrgyz Republic.
The capital raising comprised of a placement of 215 million new shares at 13 cents a share to raise gross proceeds of $28 million.
The company says the placement was keenly sought and oversubscribed by both professional and sophisticated investors in Australia, Asia and Europe.
Kentor plans to use the funds to acquire 80% of the Andash project, a mining and construction fleet of equipment, update the project’s bankable feasibility study and commence early stage of development of the project.
Kentor Gold says in light of the company’s commitment to the Andash project, the board of KGL is considering a range of options for its Savoyardy project.
Kentor Gold posted a loss for calendar 2008.
