- Compass Gold Corporation (CVB) has closed its non-brokered private placement for gross proceeds of approximately $1.1 million
- The company issued a total of 7,298,668 units of the company at a price of $0.15 per unit
- The proceeds of this financing will initially be used on the Moribala permit to follow up on the highly encouraging drill results reported in March 2022
- Compass holds gold exploration permits located in Mali that comprise the Sikasso Property
- Compass Gold Corporation remained unchanged at $0.13 at the opening of the market
Compass Gold Corporation (CVB) has completed its previously announced non-brokered private placement for gross proceeds of approximately $1.1 million.
The company issued a total of 7,298,668 units of the company at a price of $0.15 per unit.
“The completion of this private placement, despite the challenging market conditions, will allow our exploration team to commence the initial 1000 metres of RC drilling on our highest priority target zones within the Moribala Permit area,” noted Larry Phillips, Compass Gold’s President and CEO.
“We believe that the target zones we have identified along the fault zones at Moribala hold tremendous potential for a significant discovery and that the drilling planned between now and the end of the year will be an important step towards that objective,” he added.
The proceeds of this financing will initially be used on the Moribala permit to follow up on the highly encouraging drill results reported in March 2022, where a 21 m interval containing 0.5 grams per tonne (g/t) gold (Au) was identified on a blind target.
This June, the company said that it plans to test four one-kilometre segments associated with the six-kilometre long Moribala and Tarabala faults through a 1,000-m reverse circulation (RC) drilling program.
This drilling is aimed to further identify and determine the depth extent of near-surface gold mineralization along the broad target zones.
While the drilling takes place, two additional Gradient IP geophysical surveys will be carried out on the Moribala fault to precisely locate the site of additional AC drilling planned for the fourth quarter.
Each unit issued in line with the offering consists of one common share of the company and one common share purchase warrant, with each warrant entitling the holder to purchase one additional common share at a price of $0.30 for a period of three years from the date of issuance.
Through the 2017 acquisition of MGE and Malian subsidiaries, Compass holds gold exploration permits located in Mali that comprise the Sikasso Property.
Compass Gold Corporation opened trading at $0.13.
