TORONTO (miningweekly.com) – Toronto-based BacTech Mining plans to raise up to C$2-million in a private placement, the firm said on Thursday.

The company will sell up to 26,66-million units, each comprising one share and one share-purchase warrant, at 7,5 Canadian cents a unit.

BacTech said it has received commitments for about C$1,8-million of the financing.

“Of the commitments received to date, Yamana Gold has confirmed its intention to subscribe for 13 333 333 units or $1-million of the financing,” the company added.

Yamana has conducted studies on BacTech's proprietary bioleach processing technology, which is one of a number of processing technologies being considered for Yamana's majority-owned Jeronimo gold project in Chile.

BacTech had planned to split its business into two companies – one which would focus on mining operations amenable to bioleaching, and the other would look for reclamation and remediation projects where the firm's bioleaching technology could be employed.

However, the firm said in June that it had decided to delay the restructuring, after receiving interest from a third party looking at investing in the company.

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