JOHANNESBURG ( – TSX- and Aim-listed Dalradian Resourceson Tuesday announced that it had raised C$84.75-million from two respected miningfinance groups, which have signed up to participate in the advancement of the Curraghinalt gold project, in Northern Ireland.

Orion Mine Finance II has agreed to make an investment of C$50-million and Osisko Gold Royalties an investment of CC$28.25-million into the company by way of a nonbrokered private placement. In addition, Osisko will exercise 6.25-million warrants at $1.04 each, bringing the total funding to C$84.75-million.

“This is a strong vote of confidence in both the Curraghinalt gold project and Northern Ireland as an investment destination by two highly respected mining finance groups,” said Dalradian CEO Patrick Anderson.

Upon closing of the private placement, Orion will own about 9.75% of Dalradian’s issued and outstanding common shares and Osisko will own about 9.1% of Dalradian’s issued and outstanding common shares.

In August, BlackRock increased its stake in Dalradian to 11.3%, on a strong conviction that the Curraghinalt projectwill be a financial success.

Osisko chairperson and CEO Sean Roosen said that the group was keen to participate in the advancement of “one of the world’s top undeveloped gold projects in a new emerging golddistrict”.

The placement, together with the recent warrant exercises, will provide the company with additional equity funding of more than C$110-million, which means that Dalradian is well funded to move the high-grade project through permitting.

Dalradian is working on an updated feasibility study for the Curraghinalt project to include the use of ore sorting technology, which separates high-grade gold from waste. A bulk sample of mineralised material was recently tested in Germany and delivered good results.

A December feasibility study has calculated an after-tax net present value, at a 5% discount rate, of $301-million, and an internal rate of return of 24.4% at an assumed gold price of $1 250/oz.

The feasibility study is based on Curraghinalt’s proven and probable reserves of 1.44-million ounces of gold and 660 000 oz of silver, held in 5.24-million tonnes grading 8.54 g/t goldand 3.9 g/t silver. Measured and indicated resources stand at 2.1-million ounces gold contained in 5.61-million tonnes grading 11.61 g/t gold. The feasibility assessment excluded the significant inferred resource of 2.31-million ounces gold, contained in a further 7.13-million tonnes grading 10.06 g/t gold.

Over the initial ten-and-a-half years life-of-mine (LoM), Dalradian expects to produce 1.36-million ounces of gold and 380 000 oz silver, using an average overall gold recovery of 94.3%. The operation will produce gold at a rate of 130 000 oz/y in the first ten years, with an average LoM total cash cost of $556/oz and a LoM all-in sustaining cash cost of $674/oz.