Fireweed Zinc Ltd (CVE:FWZ) has closed a non-brokered private placement of C$5 million to help advance it flagship Macmillan Pass zinc project in Yukon, Canada.
The financing consisted of 6,250,000 shares of the Vancouver-based company priced at $0.80 per share with a single strategic investor, according to a statement.
Proceeds will be used for general working capital purposes, cash reserves for future development, and exploration and development of Macmillan Pass.
READ: Fireweed Zinc announces start of metallurgical and sorting work at Boundary prospect in Yukon
Fireweed Zinc is building a district-scale zinc deposit in Canada's Yukon Territory. The Macmillan Pass property is host to the Tom, Jason, Boundary Zone, and End Zone zinc-lead-silver deposits.
Tom and Jason already comprise a combined 11.21 million tonnes (Mt) of higher confidence Indicated resources at 9.61% zinc equivalent (ZnEq) consisting of 6.59% zinc, 2.48% lead, 21.33 grams per tonne (g/t) silver.
The Boundary zone, Tom North zone, and End zone have significant zinc-lead-silver mineralization drilled but are not yet classified as mineral resources. Notably, an existing camp, road access, and a government airstrip are already in place.
Closing of the financing remains subject to acceptance by the TSX Venture Exchange. All shares issued under the financing will be subject to a statutory hold period of four months plus a day following the date of closing.
Contact Angela at angela@proactiveinvestors.com
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