Goldrush closes $3.4m private placement financing

Goldrush Resources (CVE:GOD), a junior mineral exploration company, on Wednesday said that it has closed the previously announced $3.4 million non-brokered private placement financing.
The company sold 21.2 million units at a purchase price of $0.16 per unit.
Each unit consists of one common share and half of one non-transferable share purchase warrant. Each full warrant gives the holder the right to purchase an additional common share at a price of $0.21 for the duration of 18 months from closing.
The private placement was fully subscribed, the company said.
Net proceeds will fund continued drilling and development at the company’s 249,000 ounce Ronguen gold deposit in Burkina Faso, West Africa, and go toward financing other high priority projects.
The profits will also be used to acquire more properties and for working capital purposes.
Finder’s fees and warrants have already been paid in connection with part of the financing.
Separately, the gold explorer also said that its 10,300 meter reverse circulation (RC) drill program in Burkina Faso was completed this month, and awaits results from 84 holes drilled on the Kongoussi, Tikare, Liki and the Nakiambouri and Gonaba Est permits.
As follow-up work, Goldrush has entered into contracts to drill a further 10,000 meters of RC drilling and 8,000 meters of core drilling during the third quarter.