Exploration company Solaris Gold, which owns a property in Ecuador, has completed a non-brokered private placement financing raising gross proceeds of C$20-million.
Solaris issued 25-million units at C$0.80 a unit, with each unit consisting of one common share and one common share purchase warrant. Each warrant entitles the holder to acquire one common share at a price of C$1.20 for a period of three years.
The private placement was fully subscribed by senior management, including executive chairperson Richard Warke, president and CEO Daniel Earle and strategic partner Equinox Gold.
The proceeds from the placement will be used to advance exploration efforts at the company's properties, including a comprehensive geophysical survey and expanded drilling programme at Warintza, and for general and working capital purposes.
"We greatly appreciate the steadfast support of our largest shareholders amidst the market turmoil brought on by the Covid-19 pandemic. With approximately C$25-million of cash on hand, the company is well financed to responsibly resume exploration at Warintza, and to accelerate our drilling programme, with strict protocols in place to protect the health and safety of our workers and partner communities,” says Earle.
Solaris Gold was spun out of TSX-listed Equinox Gold last year.