Equity financing provides financial flexibility. Allegiant Gold raised gross proceeds of C$5.0 million with the issuance of 12,500,000 units in a bought deal that is expected to close on August 17. Net proceeds amount to C$4.7 million after deducting the underwriters' fee but before deducting expenses of the offering which are estimated to be C$300 thousand and will be paid from proceeds of the offering. The underwriters have an option to purchase an additional 1,875,000 units up to 30 days following the closing of the offering. Each unit consists of one common share and one-half of one common share purchase warrant.Inferred gold resources increase 41%. Allegiant released an updated resource estimate and NI 43-101 technical report for the Eastside and Castle properties in Nevada. Eastside inferred gold resources total 1,090,000 gold ounces and 8,700,000 silver ounces, while Castle inferred resources total 314,000 gold ounces. Inferred gold resources increased 41% compared to the previous NI 43-101 which estimated an inferred resource of 996 thousand gold ounces and 7.8 million silver ounces. The updated resource estimate is a significant step toward the company's goal of achieving a multi-million ounce gold resource. The recent financing will go a long way towards funding that goal.Near-term goals. Allegiant’s business objectives for the next 12 months include expanding the resource at Eastside through exploration and development. Management expects to drill approximately 18,000 meters of targets located within the existing resource pit shell as well as exploration targets. It is anticipated that approximately 50 to 60 holes will be drilled though the final number may depend on the availability of rigs, permitting, and drilling conditions. With additional drilling, particularly core, the inferred resources could be upgraded to Measured or Indicated.Rating is Outperform. In our opinion, Eastside represents significant upside potential for investors as the company expands the resource base and proves its economics. The updated mineral resource estimate was an excellent outcome of the company's recent exploration and drilling activities. Read More >>