Majuba Hill Copper Corp (CSE:JUBA) said it has closed a non-brokered private placement financing for total gross proceeds of $2.1 million.
The company said it will use the proceeds from the placement towards exploration on its Majuba Hill Property and general working capital.
It has allotted and issued 10,500,000 units at a price of $0.20 per unit. Each unit is comprised of one common share and one transferable warrant. Each warrant will entitle the holder to purchase one additional common share for a period of 12 months at a price of $0.25 per share, subject to accelerated expiry.
READ: Majuba Hill Copper begins deep core program at its flagship porphyry copper project in Nevada
In the event that the company's common shares trade at a closing price at or greater than $0.45 per share for a period of five consecutive trading days, the company may accelerate the expiry date of the warrants by giving notice to the holders, and in such case, the warrants will expire on the 30th day after the date on which such notice is given by the company.
The company said its CEO, David Greenway, purchased an aggregate 3,850,000 of the units sold in the offering.
All securities issued are subject to a four-month-and-one-day hold period expiring on November 23, 2022.
Majuba Hill Copper is engaged in the identification, review and acquisition of latter-stage copper and copper/silver/gold assets. This is in direct response to the growing worldwide demand and lack of supply for precious metals fueled by the Green New Deal in the US and most other developed nations with similar programs aimed at addressing climate change.
The flagship project is the Majuba Hill copper, silver and gold district located 156 miles outside Reno, Nevada, USA. Management has been mandated to focus on safe, mining-friendly jurisdictions where government regulations are supportive of mining operations.
Contact the author at jon.hopkins@proactiveinvestors.com