Doré Copper Mining Corp. (TSX-V:DCMC, OTCQX:DRCMF) has closed a previously announced private placement for gross proceeds of more than $5.7 million.
The Toronto-based company sold 7.6 million common shares at a price of $0.30 each, for proceeds of $2.3 million, along with 9.5 million flow-through shares at a price of $0.36 each, for proceeds of $3.4 million.
The net proceeds from the sale of common shares will be used for exploration and development activities and for working capital and general corporate purposes, the company said.
READ: Doré Copper Mining reveals drilling plans for Joe Mann gold mine and Doré Ramp gold-copper deposit in Quebec
Meanwhile, the company will use an amount equal to the gross proceeds received from the sale of the flow-through shares (roughly $3.4 million) to incur eligible "Canadian exploration expenses" related to its projects in Quebec by the end of 2023.
Joseph de la Plante, a director of the company, and funds managed by Equinox Partners Investment Management, LLC, an insider, subscribed for 135,000 flow-through shares and 3.4 million offered common shares, respectively.
Dore Copper aims to be the next copper producer in Quebec with an initial production target of 50-million-plus pounds of copper equivalent annually by implementing a hub and spoke operation model with multiple high-grade copper-gold assets feeding its centralized Copper Rand mill.
The company has consolidated a large land package in the prolific Lac Dore/Chibougamau and Joe Mann mining camps that have historically produced 1.6 billion pounds of copper and 4.4 million ounces of gold. The land package includes 13 former producing mines, deposits and resource target areas within a 60-kilometer radius of its Copper Rand mill.
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