Unico Silver (ASX:USL) has received firm commitments from domestic and offshore institutional investors to raise $40 million for drilling, metallurgical, and geotechnical programs at the Joaquin Project in Santa Cruz, Argentina.
The company will issue 72.7 million shares at $0.55 each, representing a 3.1% discount to the 10-day volume weighted average price.
Canaccord Genuity is acting as the lead manager and bookrunner for this placement with SCP Resource Finance acting as co-manager.
Shares are expected to settle on or around 21 November 2025.
In conjunction with this placement, Unico is running a non-underwritten share purchase plan (SPP) for eligible existing shareholders to raise another $5 million at the same offer price.
The SPP is expected to close on 17 December 2025.
Unico, which has a market capitalisation of $347.19 million, will use the proceeds raised to increase Joaquin’s current rig deployment from three to five.
The company intends to fast-track the completion of an extensional and infill drill campaign to convert the La Morocha SE and La Negra SE discoveries to the indicated category ahead of a Feasibility Study.
Mineral resource updates are expected to be delivered in December 2025 and Q1 2026, before a Prefeasibility Study in H1 2026.
Funds will be also allocated to metallurgical and geotechnical activities, including 4,000m of drilling for long-lead items related to the Prefeasibility Study, and regional exploration targeting new discoveries over 20,000m.
Managing Director Todd Williams says Unico has elected to advance workstreams for a Scoping Study internally, moving directly towards a Prefeasibility Study given the “evolving nature of the La Negra SE and La Morocha SE mineral resources”.
“The revised work program includes a dedicated drill rig to fast-track metallurgical and geotechnical drilling required to support project design and development decisions, ensuring critical PFS inputs are delivered on schedule and allowing us to bring forward key study workstreams,” Williams says.
“In parallel, the capital raise is a major de-risking step for the qualification under Argentina’s RIGI investment regime (Incentive Regime for Large Investments), which would materially improve future project economics and fiscal stability.
“With drilling, resource conversion and feasibility workstreams now fully funded for CY2026, we are well positioned to advance Joaquin on an accelerated schedule and deliver on the company’s BEYOND 300 and PLUS 150 exploration and development strategies.”
Unico Silver is a silver and gold explorer focused on developing its portfolio of assets in Santa Cruz, Argentina.
Write to Maddison Elliott at Mining.com.au
Images: Unico Silver
