Silver Tiger Closes Major Financing Deal
Silver Tiger Metals Inc. (TSXV:SLVR) recently finalized a significant financing agreement valued at C$40,004,000. The company successfully concluded a bought deal offering, allowing them to sell a total of 54,800,000 common shares at a price of C$0.73 each. This funding is crucial for further exploration and development of their key asset, the El Tigre Project, located in Mexico.
Funding Allocation for Exploration and Development
The proceeds from this offering will strategically be used to advance exploration activities at the El Tigre Project, along with addressing general corporate expenses. This funding will enable Silver Tiger to further investigate and potentially expand its resource base in this historic mining district.
Underwriters and Commission Details
The financing was facilitated through a consortium of underwriters led by BMO Capital Markets and Stifel Nicolaus Canada Inc., with additional support from Canaccord Genuity Corp., Desjardins Securities Inc., and Ventum Financial Corp. They received a commission of 5.5% on the gross proceeds, creating a lucrative partnership to support Silver Tiger's growth ambitions.
Strategic Project Development at El Tigre
Since commencing operations in 2017, Silver Tiger has focused on the El Tigre Project, investing over 150,000 meters of drilling. This extensive drilling program has yielded significant results, contributing to the company’s Mineral Resource Estimates (MRE) with updates succeeding its maiden estimate, showcasing their ongoing commitment to delineate valuable mineral resources.
El Tigre's Financial Viability and Economic Potential
Recent assessments, including a Preliminary Economic Assessment (PEA) released in November 2023, underscore the promising financial returns of the El Tigre open pit project. The PEA indicates a robust After-Tax Net Present Value (NPV) of US$222 million at a discount rate of 5%, highlighting an impressive After-Tax Internal Rate of Return (IRR) of 40% and an estimated payback period of only two years. These figures reinforce Silver Tiger's positioning and potential within the mining sector.
Virtual Reality Exploration Tools
To enhance investor communications, Silver Tiger utilizes the VRIFY platform which showcases 3D models and virtual tours of their mining assets. This interactive technology helps provide a transparent view of their developments, allowing stakeholders to engage more effectively with the company’s operations.
Commitment to Sustainable Practices
Silver Tiger places a strong emphasis on environmental and social governance. As they advance their projects, they remain committed to sustainable practices that prioritize the welfare of local communities and the health of the environment.
Experienced Leadership Driving Success
Silver Tiger is guided by seasoned leadership, with over 27 years of experience in the mining sector. David R. Duncan, the VP of Exploration, plays a crucial role in validating the scientific and technical information presented by the company, ensuring high standards of integrity in their operations.
Company Contact Information
If you require further information regarding Silver Tiger or their projects, Glenn Jessome, President and CEO, is available for inquiries at 902 492 0298 or via email.
Frequently Asked Questions
What is the purpose of the recent financing by Silver Tiger?
The funds will be used to advance exploration and development at the El Tigre Project, along with general corporate needs.
Who are the underwriters involved in this financing?
The financing was led by BMO Capital Markets and Stifel Nicolaus Canada Inc., with support from several other investment firms.
What significant metrics were reported in the PEA for El Tigre?
The PEA exhibited an After-Tax NPV of US$222 million and an After-Tax IRR of 40%, with a payback period of two years.
How does Silver Tiger leverage technology for investor engagement?
The company uses the VRIFY platform to provide 3D presentations and virtual tours, enhancing transparency with investors.
Who should investors contact for more information?
Investors can reach out to Glenn Jessome, the President and CEO, for any inquiries related to the company.
