VR Resources Ltd (CVE:VRR) (OTCQB:VRRCF) has closed a C$1.5 million financing to fund exploration on its Ontario and Nevada mineral projects, it reported over the weekend.
The company issued just over 5.1 million units priced at $0.30 each for gross proceeds of $1,540,480, with each unit consisting of one share and one-half of one warrant exercisable at $0.45 per share for an 18-month period.
In a statement, CEO Michael Gunning told shareholders that the company was “grateful” for the interest in the private placement, particularly out of Europe towards the lead order and anchor for the financing. Several core institutional shareholders and two directors provided additional support, Gunning added.
READ: VR Resources prepares to start drilling at its Reveille silver-copper project in Nevada
According to the CEO, VR’s existing $2 million treasury was sufficient for general and administrative expenses through 2021 and for the first pass drilling of the Amsel gold target planned for this summer. The additional $1.5 million will allow the company to advance the Reveille silver-copper project to first pass drilling in 2021 as well.
“The targets are ready subsequent to nearly-continuous exploration since last June, and our planning is well underway for a state-of-the art 3D DCIP geophysical survey and Phase I of a two-phase RC drill program which we intend to start next month, in mid-February,” Gunning said in a statement.
“We are excited to pursue the upside potential of this drilling in the near term, as we await our drill permit and drilling planned for this summer at Amsel.”
VR’s focus will now turn to planned IP geophysics and drilling at Reveille next month.
The company paid cash fees of $68,578.79 to certain finders.
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