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Galantas raises £4M for Omagh

Ireland-focused gold producer and explorer Galantas Gold (TSXV:GAL) has raised £4 million (US$5.12 million) in a private placement.
Galantas raises £4M for Omagh Galantas raises £4M for Omagh Galantas raises £4M for Omagh Galantas raises £4M for Omagh Galantas raises £4M for Omagh

Galantas is moving Omagh to full development

Staff reporter

The cash will go towards ramping operations at the Omagh gold operation. 

Galantas, which is also listed on AIM, said it had received subscription agreements for the maximum amount of 80 million common shares to raise the £4 million.

CEOP Roland Phelps intends to exchange 10 million common shares for £500,000 in debt owed to him personally.

The other agreements came from 19.18% shareholder Melquart for an additional 22 million shares for £1.1 million, Milton Asset management for 50 million shares for £2.5 million and director Róisín Magee for 500,000 shares.

After the common shares are issued, Melquart will have a 20.76% shareholding, Milton Asset Management 16.68% and Magee 0.17%.

The private placement and arrangement are subject to TSXV and regulatory approvals.

Galantas announced first delivery of gold and silver concentrate from its Omagh mine in early November and aims to reach output of 30,000 ounces per annum of gold.

In London trading, the company's shares were steady Friday morning at 6.5p.