Turaco Raises A$60M at 44 Cents to Boost 3.6Moz Afema Resource
Turaco Gold has raised A$60 million through a strongly supported placement, positioning the company to fast-track growth and exploration at its flagship Afema gold project.
- A$60 million placement at 44 cents per share oversubscribed
- Funds earmarked for expanding 3.6Moz Afema Mineral Resource Estimate
- Targeted drilling along +30km Afema Shear and regional exploration
- Share Purchase Plan to raise up to A$4 million at placement price
- Proforma cash position exceeds A$83 million post-placement
Strong Institutional Backing for Growth
Turaco Gold Limited has successfully secured approximately A$60 million through a placement priced at 44 cents per share, attracting bids well beyond the targeted amount. The placement drew interest from top-tier international and domestic institutional investors, alongside strong support from existing shareholders, underscoring confidence in Turaco’s flagship Afema Project.
Funding the Next Phase of Afema Development
The capital raised will be strategically deployed to advance multiple facets of the Afema Project. Key priorities include ongoing resource drilling aimed at expanding and upgrading the current 3.6 million ounce gold Mineral Resource Estimate (MRE), as well as exploration along the extensive +30km Afema Shear to identify new prospects. Additionally, the funds will accelerate regional exploration across the under-explored 1,600 square kilometre project area and support critical feasibility study work streams.
Share Purchase Plan Offers Further Participation
Complementing the placement, Turaco plans to offer a Share Purchase Plan (SPP) to eligible shareholders, targeting an additional A$4 million at the same issue price. This initiative provides existing investors an opportunity to increase their holdings on favourable terms, potentially enhancing shareholder alignment as the project progresses.
Robust Financial Position to Drive Momentum
Upon completion of the placement, Turaco’s proforma cash balance is expected to exceed A$83 million, significantly bolstering its financial capacity to execute a multi-rig drilling program and advance feasibility studies. Managing Director Justin Tremain highlighted the strong demand as a testament to the project’s rapid growth and the quality of participating global institutions, reinforcing Turaco’s position to accelerate development.
Looking Ahead
With a strengthened balance sheet and a clear roadmap for exploration and development, Turaco is well positioned to unlock further value from the Afema Project. Market watchers will be keenly observing upcoming drilling results and the progress of feasibility studies, which will be pivotal in shaping the company’s next growth chapter.
Bottom Line?
Turaco’s substantial capital raise sets the stage for accelerated exploration and development, but the market will await drilling outcomes to validate growth prospects.
Questions in the middle?
- How will upcoming drilling results impact the Afema Mineral Resource Estimate?
- What are the key milestones and timelines for the feasibility study work streams?
- How will the Share Purchase Plan uptake influence Turaco’s shareholder base and liquidity?
