Idaho Champion (CSE:ITKO, OTCQB:GLDRF) Gold Mines Canada Inc has closed the final tranche of an oversubscribed previously announced private placing for gross proceeds of $165,250, resulting in total proceeds of C$1.666 million gross from the financing.
On May 25 this year, the gold-focused explorer announced a non-brokered private placement of up to 10 million units at C$0.15 each for gross proceeds of up to C$1.5 million.
READ: Idaho Champion Gold Mines Canada brings in C$1.5M after closing second tranche of placing
In this final tranche, the company issued 1,101,666 units for gross proceeds of $165,250. In the first tranche, the firm issued 4.68 million units, raising C$703,000 gross.
In the second tranche, Idaho Champion issued 5,312,333 units. Both those tranches combined raised C$1,499.850 gross.
Each unit in the placing consisted of one common share and one non-transferable purchase warrant. Each warrant entitles the holder to buy one further share for C$0.25 for 48 months from the date of issue and will be subject to an acceleration clause whereby the company may force exercise of the warrant any time before the end of the 48-month period if the Idaho Champion share price trades over C$0.40 per share for 20 consecutive days.
The proceeds of the financing will be used for an exploration program at its wholly-owned Champagne gold project in Idaho, US, and for general working capital.
In July this year, Idaho revealed that it had received the necessary permit from the Bureau of Land Management (BLM) to extend 2021 drilling onto its 100%-controlled Federal Mining claims at its Champagne gold project in Idaho.
The drill permit grants the company nine drill pad locations as part of the "fence" drilling designed to drill test the induced polarization (IP) anomaly at the project.
The company's Champagne deposit contains epigenetic style gold and silver mineralization that occurs in strongly altered tertiary volcanic tuffs and flows of acid to intermediate composition. The property has had no deep drilling or significant modern exploration since the mine closure in early 1992.
Contact the author at giles@proactiveinvestors.com