Regency Silver Corp. (TSX-V:RSMX, OTCQB:RSMXF) said it has arranged, subject to regulatory approval, a private placement of 10 million common shares at a price of $0.20 per share for net proceeds of C$2 million.
The company said closing of the non-brokered private placement is anticipated to take place on or before December 16, 2022. There are no commissions or finders fees payable, it added.
Regency noted that the placement proceeds will be used for work programs on its properties including drilling and geophysics in early 2023 on its flagship Dios Padre property, for property payments on other properties of the company and for general working capital.
READ: Regency Silver shares surge as it makes new gold-copper-silver discovery at flagship Dios Padre project
The drill program is scheduled to commence in early January 2023. An additional Induced Polarization survey is also planned for early 2023.
Regency anticipates drilling a minimum 2,500 metres as an initial follow-up to the successful drilling program completed in August 2022.
That drill program - the company's first since its IPO - included hole REG-22-01 which yielded an intercept of 4.7 grams per ton (g/t) gold, 0.67% copper and 23 g/t silver over 53.8 metres, and included 35.8 metres of 6.84 g/t gold, 0.88% copper and 21.82 g/t silver, starting at 420 metres depth downhole along with 13.97 g/t gold, 50.25 g/t silver and 1.11 % copper over 9.8 metres starting at 460.5 metres downhole.
Regency said 2023 drilling will focus on expanding this intersection both up and down dip as well as along strike to the east and west as the intersected mineralization is unconstrained in all directions.
Regency is a gold-copper-silver exploration company focused on the Americas. It is led by a team of experienced professionals with expertise in both exploration and production. The company's flagship project is the Dios Padre gold-copper-silver project in Sonora, Mexico.
Contact the author at jon.hopkins@proactiveinvestors.com