- Canada Silver Cobalt Works (TSXV:CCW) has completed a flow-through private placement with strategic investors for gross proceeds of C$1.2 million
- The company issued a total of two million units at a price of 60 cents each, consisting of one flow-through common share and half of one share purchase warrant
- The proceeds will be used to ramp-up drilling efforts at the company’s wholly owned Castle East discovery
- Starting today, two drill holes will target extensions of a high-grade vein identified below the site’s Robinson Zone
- Canada Silver Cobalt Works (CCW) is currently up 1.92 per cent and is trading at 53 cents per share
Canada Silver Cobalt Works (TSXV:CCW) has completed a flow-through private placement with strategic investors for gross proceeds of C$1.2 million.
Under the terms of the placement, the Coquitlam, British Columbia-based company issued a total of two million units a price of 60 cents each. The units were comprised of one flow-through common share and half of one share purchase warrant.
Each whole warrant will entitle the holder to acquire an additional common share at a price of 70 cents, exercisable over a period of two years from the date of issuance.
In connection with the placement, Canada Silver Cobalt Works has paid a finder’s fee to a third party of $94,000 in cash and 156,665 finder warrants, which are also exercisable at a price of 70 cents over a period of two years.
The proceeds raised under the placement will be used to ramp-up drilling and exploration activities at the company’s wholly owned Castle East silver discovery in northern Ontario.
Previous work at the property extended the original Robinson Zone to a depth of 47 metres up-dip. The company’s geologists are now working to resume a wedge hole strategy which first delineated the Robinson Zone last year, and subsequently led to a maiden inferred resource estimate.
From today, two initial wedge holes will be drilled to target extensions of the Robinson Zone vein that were not included in the prior resource estimate.
Matt Halliday, Vice President of Exploration at Canada Silver Cobalt Works, noted that the work so far appears to have identified the first two trunks of the vein system.
“Based on district geology we expect to find branches off these trunks and a possible connection between these trunks through a network of veins.
“We have a very large area that has never been systematically drill tested, so the scale potential is very significant,” he said.
Canada Silver Cobalt Works (CCW) is currently up 1.92 per cent and is trading at 53 cents per share at 3:40pm EDT.
