The dual-listed, Fremantle-based company has entered into a deal with a syndicate of underwriters who have agreed to buy, on a “bought deal” basis, a total of 56.25 million common shares at $1.60 per share.

The syndicate of underwriters is led by BMO Capital Markets and includes CIBC World Markets, Paradigm Capital, RBC Capital Markets, Thomas Weisel Partners, UBS Securities, Haywood Securities and Dundee Capital Markets.

“This financing opens up a new chapter in the Andean story, where we commit to expanding the high-grade resource through increased exploration, and to developing one of the best undeveloped projects in South America,” Andean’s chief executive officer Wayne Hubert said.

The offering is expected to close on or about July 15, and is subject to Andean receiving all necessary regulatory approvals.

Andean investor relations Geoff Gilmour told MiningNews.net that Andean had come along way from its days as gold minnow.

“It’s been a progression of events with Andean going from a small explorer to continually having excellent results from the Cerro Negro project,” he said.

“The consensus is that it is one of the better world-class projects now in the market and the culmination of that is this fund raising where we can go out and raise $100 million with the top few brokering houses around the world.”

Earlier this month, Andean announced Cerro Negro was close to hitting a 3 million ounce gold equivalent resource following an upgrade at its Eureka West deposit.

Cerro Negro’s total resource currently stands at 2.9Moz of gold equivalent, up from 2.6Moz, following a 38% jump in the indicated resources at Eureka West to 1.4Moz of gold, up from 1.03Moz in April 2008.

The new total mineral resource for the Eureka West deposit now stands at 1.7Moz of gold and 23.2Moz of silver at an assumed cut-off grade of 3gpt gold equivalent.

Shares in Andean were last trading at $1.77 prior to entering a trading halt.