Hamelin Gold (ASX:HMG) received firm commitments to raise AU$2.8 million via a share placement, according to a Monday filing with the Australian bourse.
New shares will be issued at a price of AU$0.07 each, representing a 13% discount to the 10-day volume-weighted average share price of the company's shares.
Major shareholder Gold Fields pledged AU$815,000, equivalent to over 11.6 million shares, bringing its interest in Hamelin to 17.7%.
Proceeds are earmarked for exploration programs at Hamelin Gold's Western Australian projects, the filing stated.
The gold explorer's shares were down 6% in recent Monday trade.
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