PERTH (miningweekly.com) – Gold explorer Matador Mining has completed an A$8.7-million capital raise to fund exploration at the Cape Ray gold project, in Newfoundland.
The company placed 21.4-million shares, at a price of 40.5c each, under its existing placement capacity.
The placement price represented a 28.5% premium to Matador’s last closing price on July 1 and a 44.5% premium to the company’s 15-day volume weighted average share price. The shares will be issued as Canadian charity flow-through shares.
A 12 000 m drill programme is planned at Cape Ray, along with a major greenfield exploration programme later this month.
Matador told shareholders that with the company’s existing cash, the anticipated proceeds from the exercise of listed options and the completion of the share placement, the company would be fully funded to complete the 2020 and 2021 exploration programmes.