Snowline Gold Corp. (TSXV: SGD | OTCQB: SNWGF) has completed its previously announced private placement of 2.2M flow-through shares at C$7.50 each for total proceeds of C$16.5M, including C$1.5M from the exercise of the underwriters’ option. The company will use the funds for its exploration campaigns in the Yukon Territory.
Snowline is a Canadian gold exploration company with eight projects covering over 333,000ha, focused on its flagship Rogue gold project in the Tintina Gold Province of the Yukon. Existing shareholder, B2Gold Corp., participated in the financing to maintain its 9.9% interest in the company.
“We are encouraged by the strong support shown for this financing, both from existing shareholders, including B2Gold and from a number of new, high-quality institutional shareholders,” said Scott Berdahl, CEO & Director of Snowline.
“Our strengthened treasury allows us to advance exploration on the Rogue project’s Valley discovery and on other targets and generative programmes across our highly prospective gold portfolio. The funds provide certainty, and they open the door to greater flexibility as we move forward.”
The offering was made through a syndicate of underwriters led by Cormark Securities Inc. and including SCP Resource Finance LP. The underwriters received a cash commission equal to 5% of the gross proceeds of the offering (other than on certain orders on which a cash commission of 2.5% was paid).
All securities issued in connection are subject to a hold period of four months and one day from the closing, in accordance with applicable Canadian securities laws, expiring on 7 January 2024.
For further information, please visit: www.snowlinegold.com
To read more articles like this, please visit: www.theassay.com
