- Minaurum Gold (TSXV:MGG) has completed of a brokered private placement for gross proceeds of C$5 million
- The company issued 12.5 million units to a syndicate of agents led by Clarus Securities, Agentis Capital Markets Canada and Eight Capital
- Each unit was sold at a price of 40 cents and consists of one common share and one common share purchase warrants
- The proceeds will be used to further exploration and development of its Alamos Silver Project
- Minaurum Gold (MGG) is up 3.41 per cent and is currently trading at 46 cents per share, with a market cap of $143.02 million
Minaurum Gold (TSXV:MGG) has completed a brokered private placement with a syndicate of agents for gross proceeds of C$5 million.
Headquartered in Vancouver, the company is currently focused on developing the high-grade Alamos Silver Project in southern Sonora, Mexico. The project was optioned to the company in September 2016 and covers a total of 37,317 hectares.
Under the terms of the placement, Minaurum issued a total of 12.5 million shares at a price of 40 cents each to a syndicate of agents led by Clarus Securities, Agentis Capital Markets and Eight Capital.
These units consist of one common share in the company and one common share purchase warrant. The warrants entitle the holder to acquire an additional common share at a price of 60 cents for a period of 24 months from the date of issuance.
In exchange for services, Clarus Securities, Agentis Capital Markets and Eight Capital have each received a cash payment of $254,700, as well as 636,750 broker warrants.
These warrants are exercisable at a price of 40 cents, also for a period of 24 months from the date of issuance.
Today’s announcement noted that Darrell Rader, President and CEO of Minaurum Gold, was a participant in the placement, acquiring 25,000 units through a related party transaction.
The proceeds raised under the placement will be used to fund further exploration and development activities at the Alamos Silver Project, as well as for working capital purposes.
All shares issued under the placement are subject to a four-month holding period from the date of closing.
Minaurum Gold (MGG) is up 3.41 per cent and is currently trading at 46 cents per share at 2:07pm EDT.