Glass Earth has already raised more than $2 million of the $4.2 million and chief executive Simon Henderson is confident the balance will be raised during the next two weeks.
"We have five good targets in mind, one in the North Island and four in the South," he said.
The $4.2 million would be used for exploration drilling at one site in Te Puke in the North Island and four others in Central Otago, including a hard-rock target in Ophir.
Craigs Investment Partners broker Peter McIntyre said the placement was timely for Glass Earth, considering the amount of cash poured into the past three years' exploration.
"Their [financial] situation is looking a lot more promising than it was 12 months ago.
They have been whittling away [cash reserves] but some of that exploration work is taking shape and showing good potential," Mr McIntyre said.
Separately, in mid-March Glass Earth went into partnership with Placer Gold International Corp, with the pair holding permits for adjacent prospects in the Manuherikia Valley, near Alexandra.
Placer Gold is expected to fund initial development costs up to $250,000, for a 30% stake in the targets, and has an option to put $500,000 in for plant and equipment to gain a total 50% stake.
Mr Henderson yesterday said access was still being negotiated for the Manuherikia targets, and if that was finalised soon, exploration work could possibly begin by the end of the month.
Glass Earth's cash in hand had fallen below $1 million by December last year, the company having spent more than $24 million since dual-listing on the Toronto and New Zealand stock exchanges in October 2006, focusing mainly on exploration around Otago.
To create cash flow it is processing ore, recovering "modest" amounts of gold from its McAdies Ida Valley permit, and expects to cover the year's expenses.
Mr Henderson said the results from bulk testing at Ophir were sent to a Canadian company to determine recovery rates and assist in designing a bigger gold-recovery plant.
He expected the report to be released soon.
• In early December, Glass Earth posted a third-quarter loss of $218,000, leaving working capital of $934,000.
A month earlier, it completed a Canadian private placement, raising $640,000.
In the previous full year to December 2008, Glass Earth spent $4.1 million on exploration and booked a $1.3 million loss, having a year earlier recorded a $2.68 million loss.
