Ashton finances drilling

Diamond-hunter Ashton Mining of Canada (ACA-T) has closed a $1.3-million private placement, with proceeds targeted for winter drilling in Alberta, the Northwest Territories and Nunavut.

The financing consists of 910,000 flow-through shares priced at 55 per share. Ashton has also issued 1.4 million non-flow-through shares to its Australian-based parent, Ashton Mining Ltd., at 57 per share. As a result, the parent will maintain its 61.17% interest in Ashton of Canada.

Most of the proceeds will be used to drill the Buffalo Hills and Cayo Lands properties in northern Alberta. Other priorities include the Ric property in Nunavut and the Star, Cross and Roundrock properties in the Northwest Territories.

Buffalo Hills is jointly owned by Ashton, with 45%, Alberta Energy (AEC-T), also with 45%, and Pure Gold Minerals (pug-t), with 10%.

On the surrounding Cayo land package, Ashton and Alberta Energy each hold 35%, with Pure Gold holding the remainder.

The Cross property is part of the Lupin joint venture, in which Ashton stands to earn a 51% interest from Pure Gold Minerals and Tenajon Resources (TJS-V).Ashton also owns 56% of the Star property; Pure Gold has 24% and Tenajon 20%.

Ashton holds 51% of the Roundrock property; Pure Gold and Tahera (TAH-T) hold the remainder.

In Nunavut, Ashton has an 81.2% interest in the Ric land package, with the remainder held by Pure Gold.