Marimaca announces $17.7m placement to advance Chile project
TSX- and ASX-listed Marimaca Copper has announced a non-brokered private placement to raise about $17.7-million, or C$24.43-million, to fund exploration and development activities at its namesake copper project in northern Chile.
The company will issue 5.31-million common shares at a price of C$4.60 apiece. The placement will be subscribed for by existing shareholders Assore International Holdings (AIH) and Ithaki, each contributing C$10.35-million, with the remaining shares to be subscribed for by an institutional investor and its affiliates.
Proceeds from the placement will be used to advance the Marimaca project, continue exploration in the Antofagasta region and for general corporate purposes. The transaction is expected to close around June 6, subject to regulatory approvals including conditional approval from the TSX.
“We are very pleased to have the continued support from two of our cornerstone shareholders, AIH and Ithaki, and welcome new blue chip funds, as we continue to explore and advance the Marimaca project toward development,” said Marimaca CEO Hayden Locke. “Their commitments reflect their confidence in the long-term potential of the Marimaca project and our ability to deliver sustained value for our shareholders.”
The Marimaca project hosts the IOCG-type Marimaca oxide deposit and is currently undergoing a definitive feasibility study led by Ausenco Chile.
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