Canterra Minerals Secures C$2 Million for Gold Exploration
Canterra Minerals Raises C$2 Million for Future Gold Projects
Canterra Minerals Corporation (TSXV:CTM) (OTCQB:CTMCF) (FSE:DXZB) is thrilled to reveal a significant private placement totaling C$2 million. This round, primarily backed by key strategic investors, including the notable Michael Gentile, will bolster Canterra's gold exploration initiatives in Newfoundland.
Exploring Opportunities in Newfoundland
The funding generated from this private placement is earmarked for projects within the central Newfoundland Mining District, specifically targeting the Wilding Gold Project. This site is exceptionally promising as it borders Equinox Gold’s Valentine Gold Mine. Recent explorations in this area have revealed high-grade gold samples, with concentrations reaching up to 535 grams of gold per ton, igniting enthusiasm for further investigation.
Focus on Gold Exploration
Chris Pennimpede, Canterra's President and CEO, expressed gratitude for the unwavering support from long-standing strategic investors. He emphasized the company's eagerness to capitalize on the recent high-grade findings from the Wilding Gold Project, aiming to mobilize a drilling rig promptly to explore these lucrative new targets.
Details of the Private Placement
This private placement is set to involve the issuance of approximately 16.6 million units, priced at $0.12 each, culminating in gross proceeds of C$2 million. Each unit will comprise one common share and one-half of a share purchase warrant, with the latter permitting the acquisition of additional shares at an exercise price of $0.20 for one year post-closing of the placement.
Investment and Future Plans
The Company intends to allocate the net proceeds from this placement towards advancing its exploration projects in Newfoundland, including significant developments at Wilding Lake Gold Project, while also considering general working capital needs. Notably, no finders’ fees will be disbursed in relation to this placement.
Anticipated Timeline and Conditions
Subject to necessary approvals, the closing of the private placement is projected to occur around the end of October. The shares acquired will face a hold period lasting four months and a day after the closing date, in line with Canadian securities legislation.
Overview of Canterra Minerals
Canterra Minerals is carving out its place in the mining sector as a diversified minerals exploration firm. The company's gold and critical minerals endeavors in central Newfoundland include a portfolio of six mineral deposits situated near historically significant production sites such as the Buchans Mine and Teck Resources’ Duck Pond Mine. These past operations are renowned for their copper, zinc, lead, silver, and gold yields.
Canterra is strategically positioned along the geological trend of Equinox Gold’s Valentine mine, lying along a 55 km corridor known for mineralization conducive to gold extraction. Notably, prior drilling activities have unveiled multiple occurrences of orogenic-style gold mineralization across the expansive underexplored territory.
Qualified Expertise
Chris Pennimpede, P.Geo., stands as a Qualified Person under National Instrument 43-101. He has meticulously reviewed and sanctioned the technical aspects highlighted in this release.
Frequently Asked Questions
What is the significance of the C$2 million private placement?
The C$2 million raised will significantly enhance Canterra’s gold exploration capabilities, particularly at the promising Wilding Gold Project.
Who are the key investors involved in this funding round?
The private placement is led by notable strategic investor Michael Gentile along with other strategic investors, highlighting strong confidence in Canterra's potential.
Where is Canterra Minerals focusing its exploration efforts?
Canterra is actively pursuing gold exploration in central Newfoundland, especially in areas adjacent to Equinox Gold’s Valentine Gold Mine.
How will the funds be utilized?
Funds will support exploration activities as well as serve general working capital needs, facilitating Canterra's strategic objectives in mineral exploration.
When is the expected closure for the private placement?
The private placement is anticipated to close on or around the end of October, pending required approvals.
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