MGX Minerals Inc (CSE:XMG) (OTCMKTS:MGXMF) (FRA:1MG) announced plans over the weekend to complete a non-brokered private placement to raise up to C$1.2 million to help advance its British Columbia mineral portfolio.
Proceeds from the financing will be used to develop mining properties in the province, including its Heino-Money gold deposit and Tillicum Claims, as well as the construction of a laboratory to support the production of custom lithium batteries, according to a statement.
In other news, Vancouver-based MGX said that it had appointed Andris Kikauka as its new CEO following the resignation of Patrick Power.
READ: MGX Minerals reveals results of up to 75 ounces per tonne silver from samples taken at its Tillicum Claims
CFO Neil Foran was added to the board of directors as well.
In a statement, the company said it “remains focussed on the advancement of the Heino Gold project, including discussions with potential partners.”
MGX added that it “continues to develop and negotiate licensing of the company's Lithium Silicon battery and Zinc Oxygen battery technologies” and continues to discuss partnerships to advance its Driftwood magnesium project.
The offering consists of up to 20 million units priced at C$0.06, with each unit comprising one share and one warrant exercisable at C$0.10 for a two-year period.
Each warrant is callable by MGX if its shares trade on the Canadian Securities Exchange at a 10-day volume-weighted average price equal to or greater than $0.20, the company added.
Additional proceeds will go towards general working capital, according to MGX.
The offering is expected to close by April 16.
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