Adelong Gold (ASX:ADG) plans to complete a field reconnaissance program of the Brazilian Lithium Project area in the following quarter.
The program will be an initial step in its evaluation and proposed exploration of the tenement package and management of its on ground Brazilian team.
The company also plans on progressing a planned drill program at Adelong which was deferred from final quarter 2023 due to the retirement of its Managing Director Peter Mitchell in order that its new geologist Geoff Muers may oversee the program.
Adelong Gold has also started the process of evaluating development options to progress reopening the mine at Adelong and getting the mine back into production. The company will shortly issue a notice of meeting to seek shareholder approval for the share participation by Directors on the same terms as the placement and to refresh it placement capacity.
Adelong Gold has received firm commitments from professional and sophisticated investors to raise $500,000 through a share placement. Directors have committed to contribute up to a further $110,000 on the same terms subject to shareholder approval.
The placement was conducted by GBA Capital.
Adelong Gold Executive Chairman Ian Hastings says with recent changes to the board and acquisition of several licenses in Brazil prospective for lithium, the company will now progress the opportunities before it.
“The company expects funds raised from this placement to be used to initiate exploration activity at its Brazilian lithium projects, and to commence work on development options assessing production pathways for its existing Adelong gold mine.”
Adelong Gold is a minerals explorer targeting high value commodities with a particular focus on gold and owns the Adelong Goldfield in New South Wales.
In May 2020, the company took control of the Adelong Goldfield, comprising the old Adelong Gold Project situated in southern NSW located some 20km from Tumut and 80km from Gundagai. The project now carries a JORC (2012) resource, following the resource upgrade in the announcement 31 October 2022 of 188,000oz of gold as well as 17 freehold properties with all mining and processing plant equipment onsite.
Write to Adam Orlando at Mining.com.au
Images: Adelong
