- Aura Resources (AUU) has closed its private placement, raising approximately C$1.54 million for exploration work in Nevada and Arizona, USA
- The company issued approximately 25.6 million units at a price of six cents each, which consist of one common share and half of one common share purchase warrant
- The proceeds will be used to fund exploration work at the Gold Chain project in Arizona, and its Jefferson Canyon and Tip Top Gold projects in Nevada
- Separately, Aura Resources has also closed its acquisition of Territory Metals, which owns the Tip Top Gold project
- Aura Resources (AUU) is currently down 6.67 per cent and is trading at seven cents per share
Aura Resources (AUU) has closed its private placement, raising approximately C$1.54 million for exploration work in Nevada and Arizona, USA.
Following what the company called significant investor demand, Aura issued approximately 25.6 million units at a price of six cents each. The units are comprised of one common share and half of one common share purchase warrant, with each whole warrant exercisable at a price of 10 cents per share until July 24, 2022.
In connection with the placement, Aura Resources paid a finder’s fee to certain parties worth $19,320 in cash and 202,000 warrants, each of which is also exercisable at a price of 10 cents until July 24, 2022.
Under the offering, Robert Johansing, President and CEO of the company, and John McNeice, CFO, participated for a total of 1.67 million units at an aggregate price of $100,400.
The proceeds raised under the placement will be used to fund exploration work at Aura’s Gold Chain project in Arizona, and its Jefferson Canyon and Tip Top Gold projects in Nevada.
Separately, Aura Resources announced its completed acquisition of Territory Metals, which owns the Tip Top Gold project.
According to an original announcement dated June 4 this year, the company’s wholly owned subsidiary, 1251498 BC Ltd., and Territory Metals amalgamated to become a wholly owned subsidiary of Aura Resources.
The Tip Top Gold project is subject to a purchase agreement, under which Territory Metals has the right to acquire a 100 per cent interest in the property.
Aura Resources completed the amalgamation by acquiring all of Territory Metals’ outstanding common shares through the issuance of 26,581,400 common shares in Aura Resources.
Aura Resources (AUU) is down 6.67 per cent and is trading at seven cents per share at 3:28pm EDT.