Cantex Mine Development Corp Secures $5.28 Million Funding
Cantex Mine Development Corp Secures $5.28 Million Funding
Cantex Mine Development Corp is excited to share the successful closing of an oversubscribed private placement, raising an impressive $5.28 million. This funding is a significant boost for the company as it plans to enhance its exploration programs at the North Rackla Project.
Details of the Private Placement
The recently closed non-brokered private placement consisted of 21,333,332 charity flow-through units priced at $0.21 each and 5,731,372 hard units priced at $0.14 each. This equates to total gross proceeds of $5,282,391.80 for the company. Each charity flow-through unit includes one flow-through share combined with a non-flow-through warrant, while one hard unit consists of a common share and a non-flow-through warrant, both allowing buyers to acquire additional shares at predetermined prices for a three-year term.
Investor Participation
Cantex is proud to announce increased investments from notable participants such as Crescat Capital and Rob McEwen, founder of Goldcorp and McEwen Mining. Their participation underscores the strong interest in the company's strategic direction and growth potential.
Use of Funds
With the raised funds, Cantex is set to advance its summer drilling program at the North Rackla Project, which has now commenced. The focus will remain on expanding mineralization in the zinc-lead-silver-germanium massive sulphide project. The company is also looking to explore new targets at the Copper project, where previous drilling revealed exciting intersections of copper content up to 7.32%.
Financial Arrangements
As part of this financial maneuver, Cantex has allocated $151,969 in finder’s fees and issued 1,067,996 non-transferable finder's warrants to finders who assisted with the charity flow-through offering. This strategy has positioned the company well for future endeavors.
Project Overview
Cantex's North Rackla Project spans over 20,000 hectares and is strategically located northeast of Mayo in the Yukon Territory, Canada. The project has yielded significant findings with high-grade silver-lead-zinc-germanium mineralization identified over 2.65 kilometers of strike length and a depth of at least 700 meters. This impressive mineralization remains open both along strike and to depth, indicating considerable potential for further discoveries.
Leadership Team
The company is led by Dr. Charles Fipke, a notable figure with a history of success, including the establishment of Canada’s first diamond mine, Ekati. His experience and insight guide Cantex as it navigates its growth journey.
Regulatory Information
The securities issued through this offering are subject to a four-month hold period, which is expected to expire smoothly, allowing investors time to evaluate their decisions. The company is dedicated to transparent communication with its investors and stakeholders.
Conclusion
As Cantex Mine Development Corp moves forward with its plans bolstered by this recent funding, the market eagerly anticipates new developments from the North Rackla Project. This latest funding not only strengthens the company’s financial standing but also its exploration capabilities in some of Canada’s most promising mineral-rich territories.
Frequently Asked Questions
What is the purpose of the $5.28 million raised by Cantex?
The funds will be used primarily for the summer drilling program at the North Rackla Project, aiming to expand mineralization and explore new targets.
Who are some notable investors participating in this placement?
Notable investors include Crescat Capital and Rob McEwen, who have increased their investment in the company.
What specific projects will be targeted with this funding?
The focus will be on the North Rackla Project and new targets at the Copper project where significant copper was previously detected.
How many units were sold in the private placement?
21,333,332 charity flow-through units and 5,731,372 hard units were sold in the private placement.
What is the leadership background of Cantex?
Cantex is led by Dr. Charles Fipke, recognized for founding Canada’s first diamond mine and bringing extensive expertise to the company.
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