- MacDonald Mines Exploration (BMK) has completed its private placement, raising approximately C$4.2 million for exploration work in Ontario
- The company issued a total of 9.33 million charity flow-through units at a price of 13.5 cents each and 29.9 million regular flow-through units at a price of 10 cents
- Each unit is comprised of one common share and half of one common share purchase warrant, exercisable at a price of 20 cents per share over a period of 24 months
- The proceeds raised under the offering will be used to fund exploration and drilling activities at the company’s SPJ gold project in Ontario
- MacDonald Mines Exploration (BMK) is currently up 4.17 per cent and is trading at 12 cents per share
MacDonald Mines Exploration (BMK) has completed its private placement, raising approximately C$4.2 million for exploration work in Ontario.
Under the terms of the placement, the company issued a total of 9.33 millon charity flow-through units at a price of 13.5 cents each and 29.9 million regular flow-through units at a price of 10 cents.
These units are comprised of one common share in the company and half of one common share purchase warrant. Each whole warrant will entitle the holder to acquire an additional common share at a price of $0.20, exercisable over a period of 24 months from the date of issuance.
However, should MacDonald Mines’ shares trade at or above a price of 35 cents for a period of ten consecutive trading days, the expiry date of the warrants may be brought forward.
The proceeds raised under the offering will be used to fund exploration and drilling activities at MacDonald Mines’ 18,340-hectare SPJ gold project located 20 kilometres northeast of Sudbury, Ontario.
The SPJ project hosts the past-producing Scadding Gold Mine, which previously generated 914 kilograms of gold from 127,000 tonnes of material grading 7.2 grams per tonne of gold.
MacDonald Mines’ assessment of geological material at the Scadding Deposit, combined with exploration results to date, suggest that the SPJ project could host a significant gold-rich deposit.
Quentin Yarie, CEO of MacDonald Mines Exploration, thanked both existing and new shareholders for their support of the company’s exploration work.
“The strong demand for this private placement is a verification of the quality of the SPJ Project and the land package we have assembled over the last two years. We will have a continually active exploration program on the ground, with multiple drills turning, ground geophysics as well as mapping and prospecting for the foreseeable future.
“This equity raise has provided us with a strong cash position for such an aggressive exploration plan which we will provide additional details on shortly,” he added.
MacDonald Mines Exploration (BMK) is up 4.17 per cent and is trading at 12 cents per share at 1:37pm EDT.
