Tinka Resources (TSX-V:TK) has upscaled its private placement to raise a total of C$14 million ($15.27 million) through a previously reported placement for central Peru exploration.
On 9 September, the company announced its intention to raise C$11 million, bolstering the company’s market capitalisation to fund exploration programs across central Peru.
Tinka will use proceeds to kick off an initial drill program at the Silva Project, as well as conducting a resource expansion program at the Ayawilca Project.
Under pre-consolidation, the company will issue 254.54 million units at C$0.055 per unit, otherwise 50.91 million units at C$0.275 per unit post-consolidation.
Each unit comprises one share and half of one purchase warrant, which entitles holders to acquire one additional share at $0.08 for a three year period per warrant held.
Tinka directors’ intend to participate in the placement, along with potential interest from shareholders Nexa Resources and Compañia de Minas Buenaventura to maintain pro-rata interest in the company.
If the shareholders choose to elect pre-emptive rights in full, Tinka may allocate an additional 167.75 million shares in pre-consolidation to raise around C$9.22 million.
Tinka Resources is a mineral explorer with a portfolio of assets spanning Peru and Saudi Arabia.
Write to Maddison Elliott at Mining.com.au
Images: Tinka Resources
