Krakatoa aims to raise $3 m to purchase gold project in RI
Friday, November 2 2012 - 02:52 AM WIB
ASX-listed Krakatoa Resources Limited offered 15 million shares at price of $0.20 per share to raise $3 million as the company entered a binding heads of agreement with an Indonesian private corporation PT Dana Ramakala (DR).
The closing date of this offer is November 9, 2012.
The statement to the ASX said that the Krakatoa agreed to purchase, an exclusive option to acquire DR Shareholder?s 80% interest in the issued capital of DR which holds one project comprising of one granted exploration IUP license in northwest of Palu and within a few kilometers of the west coast of the Donggala Peninsula in the Central Sulawesi Province.
?While the company?s (Krakatoa) primary exploration focus will be on gold, the company will also review the potential for economic mineralization of various other commodities, including other precious metals,? it said.
The Donggala Project covers a total area of 7,200 hectares and is in close proximity to existing gold projects with JORC Code compliant resources.
Editing by Adianto P. Simamora