Black Dragon Gold Raises €2.64m from Spanish Investors at AUD$0.059 per CDI
Black Dragon Gold has completed a €2.64 million placement to Spanish high-net-worth investors, strengthening local ties and funding key engineering work for its Salave Gold Project in Asturias.
- €2.64 million equity placement to Spanish and Asturian investors
- 79.9 million CDIs issued at AUD$0.059 each, at a discount to VWAP
- Spanish investors now represent 29% of Black Dragon’s shareholder base
- Funds earmarked for detailed engineering and community engagement
- Placement aligns investor interests with Salave Gold Project objectives
Strategic Placement Strengthens Local Investor Base
Black Dragon Gold Corp (ASX, BDG) has successfully completed a €2.64 million equity placement to a select group of high-net-worth investors from Spain, particularly the Asturias region. This move not only injects fresh capital into the company but also deepens its connection with local stakeholders, a critical factor for advancing its flagship Salave Gold Project.
The placement involved issuing nearly 80 million CHESS Depositary Interests (CDIs) at AUD$0.059 each, representing a modest discount to recent trading averages. This pricing strategy likely aimed to attract committed investors while balancing dilution concerns for existing shareholders.
Investor Alignment with Regional Development
Executive Chairman Dominic Roberts highlighted the significance of welcoming established entrepreneurs from Asturias to the shareholder register. These investors bring not only capital but also a proven track record of fostering economic growth and employment in the region. Their involvement now accounts for 29% of Black Dragon’s shareholder base, signaling strong local endorsement of the company’s vision.
Such alignment is particularly important given the project's location in northern Spain. The company plans to leverage this investor confidence to enhance its visibility and engagement within the host community, which could smooth regulatory pathways and foster goodwill.
Funding Focused on Engineering and Community Outreach
The proceeds from the placement will be directed towards refining the detailed engineering of the Salave Gold Project. This step follows feedback from Asturian authorities and represents a critical phase in moving the project closer to development. Additionally, Black Dragon intends to significantly increase its presence and outreach efforts within the local municipality, reinforcing its commitment to responsible development.
Salave remains one of Europe’s largest undeveloped gold projects, with a substantial measured and indicated resource base. The company’s disciplined financial approach during the permitting process has positioned it well to capitalize on this latest funding round.
Looking Ahead
With the placement now complete and funds expected to settle by early December, Black Dragon is poised to accelerate its engineering work and community programs. The involvement of local investors could prove pivotal in navigating the complex permitting landscape and advancing Salave towards production.
Bottom Line?
Black Dragon’s strengthened local investor base and fresh capital set the stage for critical engineering progress and deeper community ties at Salave.
Questions in the middle?
- How will the new Spanish investors influence Black Dragon’s strategic decisions moving forward?
- What specific engineering milestones are targeted with the placement funds, and on what timeline?
- Can enhanced community engagement translate into smoother regulatory approvals for Salave?
