Eldorado Gold Invests $14.6 Million in Integra Gold

Integra Gold (TSXV:ICG) reported that Eldorado Gold (TSX:ELD) has invested $14.6 million in Integra by way of a private placement for a 15 percent stake in the company.
As quoted in the press release:

Under the terms of the share purchase agreement, Eldorado will purchase a total of 52,058,200 common shares of Integra (the “Common Shares”) at a price of $0.28 per share (the “Subscription Price”) for gross proceeds of $14,576,296. The Subscription Price represents a 5.7% premium to the closing price and 11.0% premium to the 20-day volume weighted average price of Integra on the TSX Venture Exchange as of August 17, 2015.

Integra Gold president and CEO Stephen de Jong said:

Recent drill results from the Lamaque Project, and specifically the Triangle Zone, continue to demonstrate the excellent upside potential of the deposit, which is situated in the world-class gold district of Val-d’Or, Quebec. The Eldorado investment allows us to substantially increase our current program with the objective of enhancing our confidence in existing mineral resources and adding to an already substantial gold resource base. With five drill rigs operational by the end of the month and almost 100,000 metres of planned drilling in 2015, this investment provides us with the financial resources to more rapidly move forward with an active fall and winter drill program which is anticipated to include ten operating drills at the project. Eldorado is a leading gold producer with excellent technical expertise and proven capabilities in developing mines across the globe, and their investment in Integra represents a major endorsement of the Lamaque Project and the team behind it. This investment brings the Company’s cash balance to $27 million which enables us to continue to execute on our exploration and development plans as we build value for our shareholders.

Click here for the full press release.