Erdene Resource Development Corp. has closed a private placement of USD 1.7 million of nearly 4.3 million shares at USD 0.40 a share with Mongolian investors. The offering was lead by Mongolian International Capital Corporation (MICC).

“We are tremendously pleased to receive the support of Mongolian shareholders, providing them with an opportunity to share in the excitement of what we believe is a significant new gold discovery at Altan Nar,” said Peter Akerley, President and Chief Executive Officer. “This project is an important addition to our cornerstone Donkin Coal and Zuun Mod Molybdenum-copper projects.”

Exploration expenditures will primarily be directed to the Altan Nar epithermal gold project. Initial drilling results from this discovery, announced on 12 October, included traces of gold and silver. Remaining drilling will test targets south from the discovery.