Rackla Metals (TSX-V:RAK) has raised C$3.44 million ($3.47 million) in a non-brokered private placement to fund Canadian exploration at its portfolio of assets in the western Northwest Territories and Yukon.
The company will issue 16 million charity flow-through units at C$0.215 each, with each unit comprising one charity flow-through share and one-half of a common share purchase warrant.
Each whole warrant held entitles the holder to acquire one non-flow-through share at C$0.20 per warrant share for a 12-month period.
Rackla intends to use proceeds primarily for exploration and drilling at the Lentung Tungsten Property in the Tombstone Gold Belt in the western Northwest Territories.
As reported by Mining.com.au, the company obtained a five-year land-use permit from the Sahtu Land and Water Board for Lentung last week, making it fully permitted for the 2026 exploration season.
With the permit and funds, Rackla will conduct 4,000m of diamond drilling by twinning 27 holes to confirm Union Carbide Exploration’s historical results and bring the findings to a modern standard.
The company will also conduct 6,000m of reverse circulation drilling to further define known occurrences and surface trenching to expose ‘shallowly’ buried tungsten bodies.
The Lentung Property is proximal to the Cantung Mine in the Northwest Territories. The Cantung Mine began producing tungsten in 1962 and operated intermittently before it was shut down in 2015 due to low tungsten prices.
Rackla says Lentung supply of ‘high-grade’ tungsten could contribute to the re-establishment of tungsten mining in the region if Cantung restarts.
Headquartered in Vancouver, Canada, Rackla Metals is a junior explorer focused on uncovering tungsten, gold, and rare earth minerals in the southeastern part of the Tombstone gold-tungsten belt in eastern Yukon and western Northwest Territories.
Write to Maddison Elliott at Mining.com.au
Images: Rackla Metals
