Business
Metallic Minerals Announces $6.3 Million Strategic Equity Investment by Newcrest Mining
VANCOUVER, BC / ACCESSWIRE / May 10, 2023 / Metallic Minerals Corp. (TSX.V:MMG)(OTCQB:MMNGF) ("M...
About this update from Metallic Minerals Corp.
[{"type":"text","content":"Metallic Minerals Announces $6.3 Million Strategic Equity Investment by Newcrest MiningVANCOUVER, BC / ACCESSWIRE / May 10, 2023 / Metallic Minerals Corp. (TSX.V:MMG)(OTCQB:MMNGF) (\"Metallic Minerals\" or the \"Company\") is pleased to announce a strategic equity investment by a wholly-owned subsidiary of Newcrest Mining Limited (\"Newcrest\") in the form of a non-brokered private placement, with the goal of advancing the Company's La Plata copper-silver-gold-platinum group element alkalic porphyry project in Colorado, USA.Pursuant to the private placement, Newcrest will complete a financing of $6.34 million, consisting of 15,838,593 units of Metallic Minerals at a price of $0.40 per unit, with each unit comprising one common share and 0.75 of a common share purchase warrant. This represents a 13% premium to the 20-day volume weighted average price of Metallic Minerals' shares on the TSX-V on May 9, 2023. Each full warrant shall entitle Newcrest to purchase one common share at an exercise price of $0.55, providing $6.5 million in additional funding, if exercised. The warrants shall be exercisable for three years from the date of issue and contain a customary acceleration provision, which shall be effective if the common shares trade for a period of 20 consecutive trading days at or above $0.825 on the TSX-V.Following closing of the investment, Newcrest will hold 9.5% of the issued and outstanding common shares of Metallic Minerals on a non-diluted basis and, including the warrants, 15.5% of the issued and outstanding common shares on a partially diluted basis.Metallic Minerals CEO and Chairman, Greg Johnson, stated, \"As an industry leader with extensive expertise in precious metals rich, alkalic porphyry systems, Newcrest was quick to recognize the geologic significance of the drill results from our 2022 campaign at La Plata. We are very pleased to welcome them as a new major shareholder. Newcrest's investment is a strong endorsement of the technical merits and potential of the project and a vote of confidence in our experienced team. This funding will enable us to fast-track our planned expansion drilling to follow-up the success from 2022. This year is shaping up to be one of the most exciting in our company's history, with an updated resource estimate in progress at La Plata and an inaugural resource at our Keno Silver proj...