Vancouver-based Gladiator Metals (TSX-V:GLAD) has increased the targeted amount in its non-brokered private placement to C$12 million ($13.1 million) following strong demand from investors.
The company had been aiming for C$10 million originally via the issue of flow-through shares at C$0.61 each.
Gladiator will now issue 17 million charity flow-through shares at C$0.61 each and around 4.1 million non-flow-through shares at C$0.41 each.
Canada-listed companies can issue flow-through shares that allow investors to claim tax credits for the amount they invest. Shares offered under this mechanism are usually issued at a premium to the price of a company’s shares at the time.
The cash raised will be used to continue exploration at the Whitehorse Copper Project in the Yukon, including diamond drilling of advanced prospects Cowley Park and Chief’s Trend with the aim of defining a maiden inferred resource.
New exploration drilling will also be undertaken over potential high-grade copper targets along the Whitehorse Copper Belt defined from historical drilling and aeromagnetic surveying.
The placement is set to close on or around 21 June 2024.
The Whitehorse Copper Project was the site of historic copper production by Hudbay Minerals (TSX:HBM). Over 10 million tonnes @ 1.5% copper was produced along with gold and silver byproducts.
The open pit operated from 1967 to 1971 and the underground mine was active between 1972 and 1982.
Gladiator says there are 30 known deposits and prospects within a 35km by 5km area. No modern exploration had been undertaken since 1982, when an economic downturn and depressed copper prices forced the operation to close.
Write to Angela East at Mining.com.au
Images: Gladiator Metals
