KGL to raise $12.4M for exploration program

Company News

by David Murdoch

KGL Resources (ASX:KGL) has set out to raise $12.4 million in equity to continue its Jervois copper exploration program.

The resources company will release approximately 22.8 million new shares and expects to raise approximately $6.9 million at 30 cents per share.

In addition, a pro-rate entitlement offer of 1 new share for every 11 shares is offered to eligible shareholders to raise up to $5.5 million.

KGL’s executive chairman Denis Wood has provided a binding agreement for $1.2 million subject to shareholder approval.

Shares in KGL Resources (ASX:KGL) are trading down 5.88 per cent to 32 cents.