Gold Fields subsidiary plans to buy stock in Peru-focused mining company

20th May 2022 By: Marleny Arnoldi - Creamer Media Online Writer

TSX-V-listed Chakana Copper Corporation has announced a private placement of up to 63-million units of the company at a price of C$0.11 apiece, for gross proceeds of up to C$7-million.

Each unit will comprise one common share in the capital of the company and one-half of one common share purchase warrant.

Each warrant entitles the holder to buy an additional share at a price of C$0.20 apiece, for two years from the closing of the private placement.

An indirect subsidiary of South Africa-headquartered gold miner Gold Fields, Gold Fields Nazca Holdings, has stated its intention to participate in the financing.

Chakana will use the proceeds for exploration and development activity on the copper/gold/silver Soledad project, located in the Ancash region of Peru, as well as for working capital purposes.

As of January 11, the project had an inferred resource hosting 191 000 oz of gold, 11.7-million ounces of silver and 130-million pounds of copper in seven tourmaline breccia pipes.