OceanaGold has raised Can$10.7 million to develop its Didipio gold-copper project in northern Luzon in the Philippines.

The funds were raised by underwriters from an over-allotment option following a public offering of shares completed in July. The syndicate of underwriters was led by BMO Capital Markets and included Austock Corporate Finance, Haywood Securities and Westwind Partners.

The proceeds will be used for the development of the Didipio Gold-Copper Project in northern Luzon, Philippines and for general corporate and working capital purposes.

OceanaGold operates in the South Island of New Zealand and in the Philippines. Assets include New Zealand's largest gold mine at Macraes, a new mine in the Reefton Goldfield, and two development projects; the Frasers Underground Mine, scheduled for commissioning in the first quarter of 2008, and Didipio in the Philippines, scheduled for completion in early 2009.

The company expects to achieve gold production of about 500,000 gold equivalent ounces by 2009.