Mining News: News Nuggets: Freegold seeks C$10M in capital

Freegold Ventures Ltd. May 2 said it has filed a preliminary short form prospectus in connection with plans to raise at least C$3 million. The offering will be conducted on a best-effort basis through Paradigm Capital Inc., acting as agent. The company is offering between 16.67 million and 55.56 million units at C18 cents each. This will raise a minimum of C$3 million and up to C$10 million, if the maximum offering is completed. Each unit consists of one Freegold share and one-half of a purchase warrant. Each warrant entitles the holder to purchase one additional Freegold share at C25 cents for a period of three years. Freegold said it intends to spend net proceeds of the offering on exploration and metallurgical work to be completed at its Golden Summit and Shorty Creek projects in Interior Alaska and for general working capital purposes.

- Shane Lasley