Hillgrove raises $4.1M from SPP and placement February 9, 2009

Hillgrove Resources Limited (ASX:HGO) has agreed to place 18.2 million fully paid ordinary shares at 11 cents per share to a number of sophisticated investors, managed by Bell Potter Securities. The Company’s Trading Halt has been lifted.

The funds raised from the placement will be used to:

1. meet the ongoing costs of Hillgrove’s recently announced gold and copper exploration programmes in Indonesia;

2. carry out continuing pre-mine development activities on the Kanmantoo Mine project, including the acquisition of long lead time equipment and activities associated with the final stages of statutory approvals and

3. meet other corporate and offer costs and to provide additional general working capital.

Hillgrove recently announced the successful raising of $2.1 million at 11 cents per share in the Share Purchase Plan which closed on 30 January 2009 bringing the total new equity raised to $4.1 million.

Click here to read the full announcement.

For further information, please contact:

Mr David Archer
Managing Director
Tel: +61 2 8221 0404
Mobile: 0414 737 767

Mr Russell Middleton
Chief Financial Officer
Tel: +61 2 8221 0404
Mobile: 0418 497 678