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Pioneer Resources Mulls Funding Option For Western Australia Drilling Program

Pioneer Resources (ASX: PIO) has advised that while it is indeed considering a convertible note to bring forward major current and deferred payments, the proposal is still being evaluated.

The company stressed that while it continues to assess a number of potential funding options, it has not made a decision on any specific funding or capital management initiative.

Such a note, if it proceeds, would effectively bring forward the $2.3 million in payments due to the company from KalNorth Gold Mines (ASX: KGM) in March 2014 and 2015.

"The company is about to embark on a drilling program at the Golden Ridge Nickel and Acra Gold Projects; and additional funds secured at this time would enable the Company to fast‐track its exploration programs, whilst ensuring a strong underlying cash position," managing director David Crook said.

Pioneer had cash reserves of $2.49 million as of 30 June 2013.

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