Canadian mining companies announced to be closing or conducting capital raisings yesterday, including GoviEx Uranium’s (TSX-V:GXU) private placement raising C$10.47 million ($11.73 million) as well as Talisker Resources (TSX:TSK), Greenland Resources (FSE:M0LY) and Latin Metals (TSX-V:LMS).
GoviEx will use the funds to finance continued exploration and development activities across the company’s project portfolio, general working capital and general corporate purposes.
The company has the 12-year mine life Muntanga Project in Zambia which has a post-tax net present value of US$243 million and an internal rate of return of 20.8%.
The project is expected to produce an average of 2.2 million pounds of triuranium octoxide per year.
Under the placement, 209.412 million units were issued at C$0.05 per unit. Each unit comprises one common share and one common share purchase warrant at $0.051 with a two year expiry date.
A privately held Zambian investment firm anchored the financing.
Talisker Resources has also closed a private placement which raised C$8 million to fund activities at the Bralorne Gold Project in British Columbia, Canada.
To date, 150,000m of drilling has been completed at Bralorne, with 63 veins open along strike and at depth. The project has a resource of 1.7 million ounces @ 6.4 grams per tonne gold.
Under the placement, 16 million units at C$0.15 were issued. Each unit comprises one common share and half of a common share purchase warrant, exercisable at C$0.75 within three years.
Red Cloud Securities acted as the sole agent and bookrunner in connection with the offering.
Greenland Resources is conducting a non-brokered private placement for C$3 million to conduct activities at the Malmbjerg Project in Greenland.
Each unit, which has an issue price of C$0.85 per unit, will comprise one common share and half of a common share purchase warrant exercisable at C$1 for a 24-month period.
The funds will allow Greenland to continue detailed engineering studies and magnesium metallurgical studies for the project, as well as fund capital expenditure and offtaking negotiations. The funds will also be used for general corporate and working capital purposes.
The Malmbjerg Project is an open-pit pure molybdenum asset located in east central Greenland. The project has mineral reserves of 245 million tones @ 0.176% molybdenum disulphide and an average annual life of mine production of 24.1 million pounds over 21 years.
Latin Metals is also conducting a private placement to raise C$1 million to fund exploration and generative work across its assets.
Under the non-brokered placement, 9.1 million units will be issued at C$0.11 per unit. Each unit comprises one common share and one common share purchase warrant exercisable at C$0.20 per share for a 36-month period.
Latin Metals owns a diversified mineral portfolio of projects in Argentina and Peru which includes 18 exploration licences.
Write to Aaliyah Rogan at Mining.com.au
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