Junior mineral exploration outfit Colt Resources (CNSX:GTP, OTCQX:COLTF) confirmed that it was planning to place 10 million units at a price of 35 cents per unit to drive its development ambitions in Portugal.
The placing will raise gross proceeds of CAD$3.5 million, and each unit will consist of one common share and one-half share purchase warrant with an exercise price of 45 cents that can be exercised up to February 25th, 2012.
“The Company will use the proceeds of this financing to accelerate work currently underway on its concessions in Portugal where Colt is the second largest holder of mineral claims, and for general working capital purposes,” Colt explained to investors.
Colt is offering an 8% finder’s fee and 8% non-transferable compensation warrants in the non-brokered placement. The company also confirmed that it expected the placement to close “within a few days” after strong interest from both North American and European based investors.
The company accounted the strong interest to its recent acquisition of the Montemor Gold Project in southern Portugal. Among the company`s other projects are the Tabuaco tungsten project and Penedono gold project.