- Battery Mineral (BMR) is in the final stages of financing its agreement to acquire the Punitaqui Mining Complex
- The copper-gold mine is located in the Coquimbo region of Chile
- Battery Mineral will acquire from Bluequest Resources AG in the proejct
- Battery also announced the company is commencing a brokered, private placement equity financing of up to C$15,000,000 in common shares
- Battery Mineral Resources is up 9.68 per cent on the day, with shares trading at C$0.68 at 2:07 pm ET
Battery Mineral (BMR) is in the final stages of financing its agreement to acquire the Punitaqui Mining Complex.
The Punitaqui Mining Complex is a copper-gold mine located in the Coquimbo region of Chile.
The company, and its wholly-owned subsidiary Minera BMR, has entered into an agreement with Minera Altos de Punitaqui Limitada, a wholly-owned subsidiary of Xiana Mining, to acquire the Punitaqui mining complex.
Battery Mineral will acquire from Bluequest Resources AG all of Bluequest’s interest in secured loan obligations with a principal amount of US$10,000,000 owed by Xiana to Bluequest and all associated rights, including Bluequest’s security interest in Minera Altos de Punitaqui and the Punitaqui Mine Complex.
Battery also announced the company is commencing a brokered, private placement equity financing of up to C$15,000,000 in common shares of the company at a price of C$0.65 per share.
Battery intends to use the proceeds of the private placement to partially finance the Punitaqui Acquisition through the settlement of outstanding obligations due to certain secured and unsecured creditors. It will also use it to fund exploration, development and restart activities at Minera Altos de Punitaqui and to fund exploration activities at the company’s Canadian cobalt-silver projects as well as for working capital and general corporate purposes.
Completion of the deal is subject to a number of closing conditions, including approval of the TSX Venture Exchange and the completion of the private placement.
“We are pleased with the interest from the market and the progress towards finalizing the equity financing. This financing enables Battery to fund the acquisition and to diversify its shareholder base. The Punitaqui Mine Complex has significant upside potential as a sustainable, mid-size copper producing asset in the near term and is an important step in the Company’s goal to build a premier battery mineral resources company,” said Battery CEO Martin Kostuik.
Battery Mineral Resources is up 9.68 per cent on the day, with shares trading at C$0.68 at 2:07 pm ET.