Freegold Ventures Ltd. August 25 said it has
closed its second tranche of $2 million in financing. This
financing has been provided by Toronto-based Tiomin Resources
Inc. and has the same terms as the first tranche of $2 million,
which closed on July 31, bringing the total proceeds under this
financing to $4 million. Tiomin Resources Inc. is a mining
company with three main assets: $23.7 million in cash, 49
percent interest in the Pukaqaqa copper and gold project in Peru
and currently 100 percent interest in the Kwale titanium project
in Kenya.
In explaining why the company is investing in Freegold,
Tiomin President and CEO Robert Jackson and director of
Freegold, said, "The market's current lack of development
capital positions Tiomin to develop strategic partnerships with
good quality juniors that may lead to further debt and equity
investments. The risk-adjusted return to Tiomin is attractive
and this secured investment is only a small portion of our cash
balance. Freegold has a highly prospective exploration portfolio
in the United States and an experienced management."
Tiomin is not the only mining company interested in Freegold.
When asked about Freegold in a recent interview with The Gold
Report, Rob McEwen, founder and former chairman and CEO of
Goldcorp, described the junior as, "some very good explorers
with good experienced management.
"They market it well. They've got some interesting
projects up in Alaska --- one project I bid on myself, trying to
joint-venture it. It had some very high-grade assay results,
which they're going to be drilling this summer. And they have
two other properties they're putting into production as well.
It's a good team, and they have the investor very much at
heart," McEwen said.
