Metal Tiger buys chunk of ASX-listed Southern Gold

4th Jan 2021 09:02

(Sharecast News) - Natural resources investor Metal Tiger has purchased 1,225,000 shares in the ASX-listed Southern Gold at an average price before costs of 11.93 Australian cents per share, for a total consideration of AUD 0.15m (£0.09m).
The AIM-traded firm said that, following the investment, it would be interested in 37,794,000 Southern Gold shares, representing around 17.72% of its issued share capital, and 7,284,500 two-year AUD 0.18 warrants.

"Southern Gold owns 100% of a substantial portfolio of high-grade gold projects in South Korea that are largely greenfield epithermal gold-silver targets in the south-west of the country," the Metal Tiger board said in its statement.

"Backed by a first-class technical team, Southern Gold's aim is to find tier one epithermal gold-silver deposits in a jurisdiction that has seen very little modern exploration."

For the year ended 30 June, Southern Gold reported a loss before tax of AUD 4.17m and net assets of AUD 10.53m.

Michael McNeilly, Metal Tiger's chief executive officer, is a non-executive director of Southern Gold.

At 0841 GMT, shares in Metal Tiger were down 1.08% at 23p.