Genesis Minerals (ASX: GMD) is raising $1.33 million via share placement at $0.017 to sophisticated investors, and a further US$250,000 placement to Teck Resources (NYSE:TCK) for its Las Opeñas precious and base-metal epithermal project in Argentina.
Subject to the completion of the placements, Genesis will commit to the completion of a minimum of 2,400 metres of drilling at Las Opeñas by September 30th.
During this period Genesis will retain its 100% interest in the Las Opeñas Project while Teck will retain its right to earn back-in.
Teck has also offered Genesis the opportunity to explore a number of early stage gold projects in Argentina held by Teck Argentina, whereby Genesis will have an option to earn up to a 100% interest in these Alliance Projects.
Exploration of the Alliance Projects in the coming months will focus on mapping, geochemical sampling and geophysical surveying, including at the Espota Project which hosts an untested, strike extensive vein system.
In addition, Genesis will test of a series of high-grade vein targets and surface gold anomalies at the 49 square kilometre Beaker Prospect, within its Viking Project in Western Australia.
Teck is capped at over $12 billion, and its decision to invest in Genesis validates the company's belief that Las Opeñas has potential to deliver a significant deposit.
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