JOHANNESBURG (miningweekly.com) – Junior mine developer Barkerville Gold Mines has amended its agreement with financial services firm Canaccord Genuity in relation to its previously announced ‘bought deal’ private placement of 25-million common shares, which will qualify as flow-through shares at a price of $1.12 per flow-through share.
The offering has been amended to include an additional 8.75-million Barkerville common shares at a price of $0.80 per common share for additional gross proceeds of $7-million. The terms of the previously announced private placement financing of flow-through shares remain unchanged.
Barkerville’s offering is expected to close on or about September 28 and is subject to certain closing conditions including, but not limited to, the receipt of all necessary approvals, including the conditional listing approval of the TSX Venture Exchange (TSX-V) and the applicable securities regulatory authorities.
The offering is being made by way of private placement in Canada and pursuant to available exemptions under applicable securities laws in such other jurisdictions as may be agreed between Barkerville and the underwriters. The securities issued under the offering will be subject to a hold period expiring four months and one day from the closing date of the offering. The offering is subject to final acceptance of the TSX-V.
Barkerville is focused on developing its extensive land package in the historical Cariboo mining district of central British Columbia. Barkerville's mineral tenures cover 2 110 km2 along a strike length of 67 km, which includes several past producing hard rock mines of the historic Barkerville gold mining camp near the town of Wells, British Columbia.
The QR Project, located about 110 km by highway and all-weather road from Wells, was acquired by Barkerville in 2010 and boasts a fully permitted 900 t/d gold milling and tailings facility. Test mining of the Bonanza Ledge openpit was completed in March 2015, with 91 489 t of material milled, producing 25 464 oz gold.
The corporation has completed several drilling and exploration programmes over the past 20 years and has compiled this data with all historical information to develop geologic models that are assisting management in defining new deposits in the Cariboo gold project. An extensive drilling programme is currently under way, with the goal of delineating additional high-grade gold mineralisation.