Eagle Eye Metals completes A$3.4m funding campaign for West African gold exploration

Eagle Eye Metals (ASX: EYE) has now completed the final leg of a A$3.4 million capital raising program to explore the company's highly prospective gold projects in West Africa.

Eagle Eye has now completed the placement of the shortfall to the underwritten renounceable rights issue which raised $2.3 million, a $593,000 placement and a $500,000 corner stone investment from Macquarie Group (ASX: MQG).

Investor interest in the now chased up Eagle Eye is due to the company recently acquiring two gold prospects in Mali, with the area having historically produced 250 million ounces of gold.

Inaugural drilling and soil sampling programs at the Dankassa Gold Project are already underway, with results anticipated in the near term.

Exploration started at the Kourouba prospect with 2500 metres of reverse circulation drilling targeting a coherent gold in soil geochemistry anomaly, which extends over more than 5000 metres of strike.

Gold is known to occur within the prospect, with historical results including; 10 metres at 5.75 grams per tonne (g/t) gold, and 20 metres at 2.17g/t gold.

Around 58 holes were drilled at the prospect before the Eagle Eye acquisition, with the area providing exploration potential as mineralisation remains open in all directions.

Dankassa is within 200 kilometres of the Morila 7 million ounce project, (a joint venture with Randgold Resources (LON: RRS) (40%), AngloGold Ashanti Ltd (JNB: ANG) (40%), and the State of Mali (20%)), and the Siguiri 5 million ounce project.

The company believes there is considerable potential to discover additional gold mineralisation with infill, extensional and deeper drilling.

Dankassa is located 110 kilometres south of Bamako, the capital of Mali, and is readily accessible by a sealed highway and gravel roads.

Adding to the infrastructure is that high voltage power passes within 5 kilometres of the project, and a town that services a hydro-electric power scheme 40 kilometres to the south.

Eagle Eye also holds an 8.87% stake in Aphrodite Gold (ASX: AQQ) which has a plus one million gold ounce resource base, providing Eagle Eye with gold exposure in Australia.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/17669/eagle-eye-metals-completes-a34m-funding-campaign-for-west-african-gold-exploration-17669.html