Canada Silver Cobalt Works Inc. (TSX-V:CCW) has announced that, further to its news release dated October 18, 2022, the company has closed a fully subscribed non-brokered private placement raising gross proceeds of $1,805,000.
The company said it issued 13,681,819 Quebec flow-through (QFT) units at a price of $0.11 each and also issued 3,000,000 flow-through (FT) units at a price of $0.10 each raising gross proceeds of $300,000.
The proceeds of the FT private placement will be used for ongoing drilling of the company's Eby-Otto property located near Kirkland Lake, Ontario. The proceeds of the QFT private placement will be used for the company's Lowney-Lac Edouard property, located in central Quebec.
READ: Canada Silver Cobalt plans to raise $1.8M in private placement
Each QFT and FT unit is comprised of one flow-through common share of the company and one-half of one share purchase warrant. Each whole warrant will entitle the holder to purchase one additional common share of the company at an exercise price of $0.15 per share, for a period of two years from closing, subject to final approval of the TSX Venture Exchange.
GloRes Securities Inc, the lead finder for the financing, was paid $102,350 in cash and 938,637 finder's warrants. An additional $42,000 cash and 400,409 finder warrants were also paid to Qwest Investment Fund Management Ltd. The finder's warrants are at an exercise price of $0.11 per share, for a period of two years from closing. The finder's fees paid in connection with the private placement are subject to exchange approval.
All securities issued in connection with the private placement will be subject to a four-month and a day hold period expiring on February 20, 2023, in accordance with applicable Canadian Securities Laws.
Canada Silver Cobalt Works has released the first-ever resource in the Gowganda Camp and greater Cobalt Camp. The Castle Property is 15 kilometres (km) east of Aris Gold Corp's Juby gold deposit, 30 km due south of Alamos Gold's Young-Davidson mine, 75 km southwest of Kirkland Lake Gold's Macassa Complex, and 100 km southeast of new gold discoveries in the Timmins West area.
Canada Silver Cobalt's flagship Castle mine and 78 square km Castle Property features strong exploration upside for silver, cobalt, nickel, gold and copper in the prolific past-producing Gowganda high-grade Silver District of Northern Ontario. With underground access at Castle, a pilot plant to produce cobalt-rich gravity concentrates on site, a processing facility (TTL Laboratories) in the town of Cobalt, and a proprietary hydrometallurgical process known as Re-2Ox for the creation of technical grade cobalt sulphate as well as nickel-manganese-cobalt (NMC) formulations, Canada Silver Cobalt is strategically positioned to become a Canadian leader in the silver-cobalt space.
Contact the author at jon.hopkins@proactiveinvestors.com