Benchmark Metals Inc. (TSX-V:BNCH, OTCQX:BNCHF) said it has closed the second and final tranche of the brokered offering for proceeds of C$1,999,968.
When added to the gross proceeds from the first closing, the company said it has raised total gross proceeds of C$20.6 million.
Benchmark Metals CEO John Williamson said the capital came from existing and new funds.
READ: Benchmark Metals raises C$18.6M in first tranche of its private placement
“The financial support shows strength and support to develop Canada's next gold-silver mine. The funds will enable work to add more gold and silver ounces and to advance the project towards a mining decision,” Williamson said in a statement.
The offering was led by PI Financial Corp on behalf of a syndicate of agents including 3L Capital, Clarus Securities, Cormark Securities, Raymond James (NYSE:RJF), and Sprott Capital Partners, according to Edmonton-based Benchmark.
After the second closing, Benchmark issued 4,166,600 flow-through (FT) units at C$0.48 each, including 3,059,300 FT units in connection with the partial exercise of the agents' option to increase the size of the offering by 20%.
Each FT unit consists of one common share and one-half of one transferable common share purchase warrant, to be issued on a non-flow-through basis. Each warrant shall be exercisable to acquire one additional common share until October 14, 2024, at an price of C$0.65. The FT units are subject to a four month and a day hold period until February 15, 2023, the company said.
Proceeds from the offering will be used before 2024 for Canadian exploration expenses, according to the company.
In connection with closing the second tranche, the syndicate of agents received 6% of the total gross proceeds of the offering, and were issued 249,996 compensation options, each of which is exercisable to acquire one common share until October 14, 2024, at C$0.42 per share, according to Benchmark.
Benchmark Metals is a Canada-based gold and silver company with its 100% owned Lawyers gold-silver project in the prolific Golden Horseshoe of northern British Columbia.
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