Tuesday 23 July 2019

Conroy Gold raises €556,000 to further develop Monaghan deposit

Stock photo: Reuters
Stock photo: Reuters
Ellie Donnelly

Ellie Donnelly

Natural resource exploration company Conroy Gold has raised £500,000 (€556,545) in a share placing.

The proceeds from the placing will be used to advance the company’s gold assets, in particular the development of its Clontibert deposit in County Monaghan.

Funds will also be used fund exploration at the company’s gold prospects within 65km of the Armagh-Monaghan-Cavan gold belt and for working capital generally, the company said in a statement.

"I am pleased to report that this placing will allow the momentum achieved from the excellent drilling results that we recently reported to be continued over the coming months," Professor Richard Conroy, chairman of Conroy Gold, said.

The company placed 3,636,365 ordinary shares of €0.001 in the capital of the company (the "placing shares") at a price of 13.75 pence per placing share.

The placing is conditional on admission of the placing shares to trading on AIM.

The newly placed shares will have equal rank with the existing issued ordinary shares of €0.001 in the capital of Conroy Gold.

Application has been made to AIM for the placing shares to be admitted to trading. It is expected that admission will become effective on 31 August 2018.

Following the issue of the placing shares, the company's total issued share capital on admission will consist of 23,693,039 ordinary shares.

Last year, the company found itself embroiled in legal proceedings after Patrick O'Sullivan, a minority shareholder, claimed that he and his two nominees had been wrongfully stopped from becoming members of the board of directors at the company's EGM in August.

Conroy Gold was successful against Mr O'Sullivan in the proceedings and costs were awarded to the company, with a stay on that order pending any appeal.

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