Asante Gold (CSE:ASE) has announced it has started a drill program at the Betanase gold project in Ghana. The drill program is designed to follow up on the earlier exploration results generated by Perseus Mining (ASX:PRU) at the property. The company plans to drill 4-6 holes for a total of 750 meters at Betanase, which is located directly south of the Obusasi mining lease owned by AngloGold Ashanti (AU) and Randgold Resources (GOLD) claims.

Asante Gold had a negative working capital position of minus C$2.3M as of at the end of July of this year, and we would expect the company to raise some cash on the back of potentially positive exploration results as the recently announced C$1.5M capital raise will be applied towards drilling Betanase and won’t be sufficient to cover the working capital deficit.

> Click here to go to Asante’s website

Disclosure: The author holds no position in any of the stocks mentioned in this article. Please see our disclaimer for current positions.

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