Fireweed Metals Corp (TSX-V:FWZ, OTCQB:FWEDF). has announced a non-brokered private placement with existing investors to raise up to C$16.8 million to expand its drill program.
The critical minerals explorer said it will place 8.75 million flow-through common shares of the company at a price of C$1.92 each with key shareholders, including the Lundin family, Larry Childress, and others.
The Lundin family has indicated that it will subscribe for any offer shares that are not allocated, Fireweed said, adding that there are no plans to increase the offering.
The company has three projects located in Canada: Macmillan Pass (zinc-lead-silver), Mactung (tungsten), and the Gayna River project (zinc-lead-gallium-germanium).
It said the fresh funds will enable it to “significantly expand” its large 2023 drill program and lay the groundwork for an even larger 2024.
“Our 2023 drill program is well underway and ahead of schedule,” CEO Brandon Macdonald, said in a statement.
“With expanded and winterized capacity in place at our Macmillan Pass camp, and five drills on site, we are seizing the opportunity to expand our program by as much as 50% or more. This will not only mean a substantial increase in drill results, but also result in improved data to support future resource updates and economic studies.
“It is a huge vote of confidence in our Geology and Operations teams that our key shareholders will back them to expand an already large program,” Macdonald concluded.