The company is aiming to raise between £1.5 million to £2m via a proposed subscription and an Open Offer to shareholders at 15p per share. This funding will be used to procure a resolution definition drill rig and for additional working capital as Cononish continues towards full production.

Several directors and shareholders have already committed to a subscription agreement, securing a minimum of £1 million.

Phil Day, CEO of Scotgold, said: “Long hole stoping at Cononish is performing well. With the previous optimisation initiatives completed in 2022 in the underground mine and processing plant, we are now removing ore from the mine and producing gold concentrate through the processing plant in line with our mine plan.

“The additional funds raised will allow us to purchase a more advanced resolution definition drill rig, to further improve development of the underground mine and our grade control modelling. This will be invaluable as we progress towards full production at Cononish and for future development of its current 8-year mine life.”