Fortescue puts more into Candente Copper
Toronto-listed Candente Copper has raised C$4-million in a private placement agreement with Australian mining major Fortescue Metals to advance its flagship project in Peru.
Candente will issue Fortescue subsidiary Nascent Exploration 22 222 222 common shares at C$0.18 a share.
“We are very pleased to announce a premium to market equity financing, which will provide working capital to further advance the Cañariaco project, inclusive of community engagement and permits that will allow drilling of several high priority targets in 2023,” said Candente executive chairperson Giulio Bonifacio.
He added that the private placement was a further strategic endorsement by Fortescue for the Cañariaco copper project, one of the top ten undeveloped copper resources in the world of which most is classified as measured and indicated
The price a share of C$0.18 represents a premium of 26% to the five-day value weighted average price of the shares ending the trading day before the subscription agreement in respect of the private placement was executed.
The company's stock closed at C$0.14 a share on Wednesday.
The placement will increase Fortescue’s holding in Candente from 19.4% on a nondiluted basis to 25.4%.
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