Major Precious Metals Corp said it has closed the final tranche of its C$10 million private placing aimed at supporting the large diamond drilling campaign at its Skaergaard project in Greenland.
On July 6, the firm closed a tranche for over 24.2 million company units, at C$0.35 each for gross proceeds of C$8.5 million. In the final tranche, announced today, the explorer said it had issued around 4.2 million at C$0.35 each for C$1.5 million.
Each unit of the placement consisted of one common share of the company plus one-half of one transferable common share purchase warrant, which entitles the holder to purchase one additional common share for a period of two years at a price of $0.70 per share.
The company may accelerate the expiry date of the warrants, should its common shares trade at a price of $1.20 or greater for a period of 10 consecutive trading days at any time from the closing of the private placement.
The drilling program is expected to begin within the next few weeks, the company told investors, and mobilization is well underway with personnel already stationed in Greenland.
Drilling crew, equipment and logistical support is in place and a large commercial support vessel will soon be on station to provide housing and a base for a helicopter, it added.
At Skaergaard, the company is developing a globally significant precious metal deposit (palladium, platinum, and gold) with 5.51 million ounces (Moz) contained palladium equivalent ounces in the indicated resource category and 14.4 Moz contained palladium equivalent ounces in the inferred resource category.
The Skaergaard project also contains other critical metals, such as vanadium and titanium, which will be evaluated for their economic potential as part of the upcoming summer exploration program, an updated mineral resource estimate and a preliminary economic assessment.
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