On October 5th, 2009 Golden Goliath Resources announced that the Company has arranged the placement of up to 20,000,000 units at a price of $0.20 per unit for gross proceeds of up to $4,000,000. Each unit of the financing consists of one common share and one half of one non-transferable share purchase warrant exercisable for a period of two years at a price of $0.30 for each whole warrant.
Golden Goliath has earmarked the proceeds of this financing to be used primarily for the expansion of the mineral resource at the Company’s Las Bolas property, a highly mineralized property that was covered extensively in a press release out on September 29, 2009, wherein the Company announced the findings of a recently commissioned NI 43-101 mineral inventory study. The study, prepared by Mr. Victor Jaramillo, M.Sc.A., P. Geo. of Discover Geological Consultants using DataMine software estimated the upper range resource potential at 16,362,000 tonnes @ 213 g/t holding the potential of 112 million silver equivalent ounces.
The exploration program is being designed to expand the existing inferred resource and test the potential target. The program will include underground development, surface and underground drilling and continued rehabilitation of old underground workings.
The release also reported that a portion of the proceeds of the financing will be earmarked for working capital and to continue advancing the mineral potential of various other targets within the Company’s extensive claim holdings covering the historic Uruachic mining camp in the Sierra Madre mountain range of northwestern Mexico.
This is great news for Golden Goliath, and once completed will give the Company a healthy war chest of capital to continue to materially advance the known mineralized value for several primary prospect areas of the their district sized Uruachic Camp property.
The full press release can be viewed here