LaFleur Minerals (CSE:LFLR) is raising up to C$7 million ($7.62 million) to cover the restart of the Beacon Gold Mill near Val d’Or in Québec.
The brokered private placement will raise a minimum of C$4 million up to the maximum through notes, which can be converted into common share exercisable at C$0.80.
Notes bear interest at 12% annually to mature on or around 30 November 2028.
FMI Securities is acting as the lead agent and sole bookrunner for this financing offer.
LaFleur will pay a premium based on the gold premium on each principal payment date.
Meanwhile, the company has begun drilling at the Swanson gold deposit, also in Québec.
The current program intends to streamline a preliminary economic assessment (PEA) to restart the Beacon Gold Mill, conducted by Environmental Resources Management (ERM).
LaFleur will conduct 10 holes of twinned drilling, targeting historical results, while also proving the geological model and supplying core for ore-sorting and metallurgical testing, as reported by Mining.com.au.
Historical work at Swanson totals for over 36,000m and 232 holes. Intervals returned include 69.3m @ 3.03 grams per tonne gold and 51m at 3.46g/t gold.
CEO Paul Teniere says the restart of gold production at the Beacon Gold Mill offers “amazing economic potential” amid the rising gold price.
“We are well under way to completing a comprehensive PEA for the restart of the Beacon Gold Mill and at the suggestion of ERM, we are nearing completion of twinning historical holes that form the basis of the mineral resource at our Swanson gold deposit, with the intention to supply mineralized material from Swanson to the Beacon Gold Mill,” Teniere says.
“We aim to have the PEA completed as soon as assay results on the twinned holes are received in the coming weeks.”
LaFleur Minerals is a near-term gold producer focused on producing from its Beacon Gold Mill in 2026.
Write to Maddison Elliott at Mining.com.au
Images: LaFleur Minerals
