Electric Royalties Ltd (TSX-V:ELEC, OTC:ELECF) has struck an agreement to raise up to C$4 million to fund its acquisition of a royalty tied to a Chilean copper mine.
The placement involves the sale of around 22.2 units at a price of C$0.18 per unit, the Vancouver-based company said.
Each unit comprises one common share and one share purchase warrant. The warrants will allow holders to purchase additional shares at C$0.25 apiece over two years following the offering’s close.
Electric Royalties plans to use the proceeds to acquire a 0.75% gross revenue royalty on the Punitaqui copper mine in Chile and for general corporate purposes.
The offering is expected to close around December 20, subject to regulatory approvals.
The company focuses on royalty investments in clean energy metals used in battery storage, electric vehicles, and renewable energy technologies.