Tier One Silver (TSX-V:TSLV) has engaged 3L Capital as the lead agent for a private placement to raise between C$12 million ($12.19 million) to C$17 million.
The company is offering equity units priced at C$0.07 each, with each unit comprising one common share and one full common share purchase warrant exerciseable at C$0.15 for three years.
The agents hold an over-allotment option for an additional C$8.5 million worth of units, potentially bringing the total raise to C$25.5 million.
Tier One intends to use US$1.8 million ($2.54 million) of the minimum net proceeds to fund the initial purchase payment for its 70% control share purchase option of the Compañía Minera Ruta de Cobre Copper-Molybdenum Project in Ecuador. The letter of intent for the acquisition was announced on 29 June 2026.
Located in Azuay Province, Ruta de Cobre represents one of South America’s largest greenfield mineral projects. The project covers three mineral concessions and has previously been explored, with 135,162m of diamond core drilling completed between 2014 and 2021.
Tier One will use the remaining net proceeds to establish Ecuadorian exploration operations, commence phase one exploration at Ruta de Cobre, and provide working capital.
Securities issued will be subject to a four-month and one-day hold period in Canada from closing. The offering likewise remains conditional on concurrent execution and closing of the Ruta de Cobre share purchase, alongside customary closing conditions including TSX-V approval.
The company aims to complete the raise in early September 2026, with any funds raised above the C$12 million minimum used to accelerate exploration activities and provide additional working capital.
Tier One Silver is an explorer focused on discovering silver, gold, and base metal deposits in South America.
Write to Paula Fabe at Mining.com.au
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