London - Irish exploration promoter, John Teeling, is set to raise Euro 1.1 million (Dlrs 1.3 m) for his Persian Gold venture within the next few weeks when it is listed on the Alternative Investment Market (AIM) in London. Persian Gold recently completed early exploration work on an 1,800-sq-m site in Iran, and Teeling is seeking further funding in the company, which is being capitalized at over Euro 17 m, to move to the second-stage.
The next stage involves intensive mapping, sampling and possibly drilling the clusters. The company has explored for licences on three areas of 40 sq km each and expects to apply for three more. According to the Irish Independent, Teeling describes Persian Gold as a "grass roots gold exploration venture." Despite the fact that it has located a potential gold deposit, he insists it is a "high-risk, early stage project".
The gold being targeted is hosted in deposits of the mineral alunite, commonly found in the region, and which has thrown up a number of major gold mines of the type best known in South America.
The first year's development work was said to have been financed by the principal investors, together with a small amount raised through a placing with private investors. The company has fulfilled the required of signing up with Iranian investors and was reported to have little problem in recruiting necessary technical local staff for the large open cast low-grade prospect. It is expected that more than 3,000 samples will have been taken by the end of this month to be analysed in Loughrea, western Ireland.
It is understood that traces of gold have so far been found in about 200 and that a number of gold clusters have emerged. Teeling already controls five AIM-listed companies in London, but unlike many of his other companies, Persian Gold is said to be tightly held by the Irish explorer and about 100 other investors.
© IRNA 2005
