Copper Mountain closes C$30m financing
TORONTO (miningweekly.com) – Vancouver-based Copper Mountain Mining on Tuesday announced that it had successfully closed its C$30-million bought deal financing announced on November 11.
The company issued 17.7-million shares in connection with the offering at C$1.70 a share, resulting in C$30.09-million in gross proceeds to the company.
Copper Mountain said it planned to use the net proceeds of the financing for the construction of a secondary crusher to increase production at the Copper Mountain mine, in British Columbia, and for general corporate purposes.
National Bank Financial led the syndicate of underwriters, which also included Canaccord Genuity Corp, Scotia Capital, CIBC World Markets and Raymond James.
The underwriters also have the option to increase the size of the offering by 2.66-million shares at any time until January 2, 2014, for additional gross proceeds of C$4.51-million.
“I am extremely pleased with the market support to strengthen our financial position to ensure our ability to maximize future production. With this financing complete, the company is well positioned to build the new secondary crusher in an expeditious fashion and enable the mine to reach its designed capacity on a consistent basis by late next summer,” CEO James O'Rourke said.
Meanwhille, the company also reported that it had completed repairs on the failed transformer as planned and had the second ball mill back in operation on Saturday.
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