Fireweed Zinc (TSXV:FWZ) proposes $2M capital raise for exploration in Yukon

• Fireweed Zinc (FWZ) is planning to raise C$2 million in a private placement to fund exploration and development work in Yukon
• The company intends to issue up to 3,174,603 common shares at a price of $0.63 each with a half two-year warrant exercisable at a price of $0.95 per share
• Proceeds raised through the placement will be used to fund ongoing work at the company’s Macmillan Pass Project
• The placement comes after a separate financing that was completed earlier this month, which raised a total of approximately $5.2 million
• Fireweed Zinc (FWZ) is currently down 1.43 per cent and is trading at 69 cents per share

Fireweed Zinc (FWZ) is planning to raise C$2 million in a private placement to fund exploration and development work in Yukon.

According to the terms of the placement, the company intends to issue up to 3,174,603 common shares at a price of $0.63 each with a half two-year warrant exercisable at a price of $0.95 per share.

All of the securities issued under the placement will be subject to a statutory holding period of four months and one day from the date of closing. Completion of the offering also remains subject to a number of condition, including regulatory approval from the TSX Venture Exchange.

The proceeds raised will be used to fund exploration and development work at Fireweed Zinc’s Macmillan Pass Project in Yukon, which hosts large zinc, lead and silver deposits, as well as for general working capital purposes.

Brandon Macdonald, CEO of Fireweed Zinc, commented on the proposed financing.

“We welcome the additional demand from strong investors and are glad to add more to our already healthy cash position.

“These additional funds give us the flexibility to expand this summer’s program, pursue additional engineering studies, or engage in any manner of items on our wish-list, while also adding a comfortable cash surplus in volatile times,” he added.

Located in the southeast of the province, the Macmillan Pass Project sits approximately 372 kilometres east of the capital Whitehorse and hosts the Macmillan Pass Airstrip.

The proposed private placement follows a separate financing that was completed on August 5 this year, in which Fireweed Zinc raised a total of approximately $5.2 million.

Fireweed Zinc (FWZ) is currently down 1.43 per cent and is trading at 69 cents per share at 2:28pm EDT.