Amaroq Minerals Ltd (TSX-V:AMRQ, AIM:AMRQ) announced that it intends to conduct a placing and subscription of new company common shares to raise proceeds of about £30 million (C$46.4 million), in addition to the £18 million (C$27.9 million) raised in relation to the ACAM, LP (ACAM) Joint investment.
The Greenland-focused independent mining firm said net proceeds from the fundraising will be used to expand and delineate the resource base at the company's cornerstone Nalunaq gold project in Greenland and progress the asset towards mine construction, and provide funding to accelerate exploration across the company's significant portfolio of gold assets, as well as other corporate purposes.
“This fundraising will be instrumental to driving growth throughout our exciting portfolio in Greenland, where we occupy a leading position in what is one of the last frontiers for Western governments and companies to secure the strategic minerals that will prove vital in the coming decades,” Amaroq Minerals CEO Eldur Olafsson said in a statement.
READ: Amaroq Minerals boosts resource base and catapults Nalunaq into top 2% in terms of global reported gold grades
“On completion of the fundraising, the funds raised will enable us to progress the development of our flagship Nalunaq gold project, one of the highest-grade gold deposits in the world, whilst accelerating exploration of our strategic minerals assets to provide raw materials needed for the energy transition,” Olafsson added.
Amaroq also noted it has now executed final documentation in relation to the ACAM joint venture, with closing and receipt of the initial £18 million funding now only subject to certain regulatory conditions precedent.
As well, the company said it is applying for listing of the Icelandic depository receipts, representing the Icelandic Placing Shares, on the Nasdaq First North Growth Market in Iceland, a multilateral trading facility, with admission to Icelandic Exchange expected to become effective on November 1, 2022, subject to completion of the fundraising and obtaining the necessary approvals from the TSX Venture Exchange.
Amaroq Minerals' principal business objectives are the identification, acquisition, exploration, and development of gold and strategic metal properties in Greenland. The company's principal asset is a 100% interest in the Nalunaq project, an advanced exploration stage property with an exploitation license including the previously-operating Nalunaq gold mine.
The company has a portfolio of gold and strategic metal assets covering 7,615.85 square kilometres, the largest mineral portfolio in southern Greenland covering the two known gold belts in the region.
Contact Sean at sean@proactiveinvestors.com