- Latin Metals (LMS) is announcing a private placement for proceeds up to $1 million and providing a corporate update
- The company is signing a prospect generators deal with Barrick Gold and AngloGold Ashanti
- AngloGold starts exploration at the Organullo project in Salta Province, Argentina
- Barrick’s exploration is ongoing at Cerro Bayo in Santa Cruz Province, Argentina
- Libero Copper and Gold is submitting a request for exploration at the Esperanza copper-gold project
- Latin Metals (LMS) is a mineral exploration company acquiring a diversified portfolio of assets in South America
- Latin Metals (LMS) is unchanged today, trading at C$0.09 at 12:29 pm ET
Latin Metals (LMS) is announcing a private placement for proceeds up to $1 million and providing a corporate update.
Certain directors and officers of the company are expected to subscribe for approximately 4,475,000 units for gross proceeds of $475,000.
The proceeds will fund ongoing exploration at the company’s mineral projects in Argentina and Peru and general working capital.
The company may pay finder’s fees as part of the deal. The cash commission is up to 7% of the total gross proceeds raised. All securities will be subject to a hold period of 4 months.
The company is signing a prospect generators deal with Barrick Gold and AngloGold Ashanti.
Keith Henderson, the company’s President and CEO, says:
“Ultimately, the success of the company as a prospect generator will depend on the quantum of exploration dollars and drill meters in the ground. Both Barrick and AngloGold have commenced exploration at their respective projects and have the financial resources to fund the exploration programs under their property options.”
At its core, the prospect generator model is a shareholder-focused model. The goal is to protect investors from losing money associated with frequent equity financings. The model works to increase the chances of exploration success by having multiple exploration projects funded by option partners. In each case, Latin Metals retains a minority interest in the projects and attempts to avoid shareholder devaluation by keeping costs low.
Prospect Generator Model
The company’s aim is to become as self-sustaining as possible over time as the number of its projects and partners increases, reducing the necessity of equity financings.
Organullo Project, Argentina
AngloGold starts exploration at the Organullo project in Salta Province, Argentina. Latin Metals expects to receive initial exploration results later in the year.
Cerro Bayo Project, Argentina
Barrick’s exploration is ongoing at Cerro Bayo in Santa Cruz Province, Argentina. Work to date has included mapping, sampling and geophysics, and Latin Metals expects to provide an update in Q4. Barrick intends to begin drilling at Cerro Bayo in Q1 2023.
Esperanza Project, Argentina
Libero Copper and Gold is submitting a request to provincial authorities for planned exploration activities at the Esperanza copper-gold project, and work is soon expected to begin.
Lacsha Copper Project, Peru
The company’s Lacsha copper project in Peru continues to show exploration success over the last 18 months. Securing a drilling permit and a partner to fund the drilling is the focus. Latin Metals have a 3-year agreement with the local community, and the Peruvian governmental authorities approve the company’s initiation of the drill permitting process. As part of the permitting process, all environmental and archaeological fieldwork is complete, and reports are being accepted and approved by the relevant governmental authorities. Final steps now include a public hearing in September and issuance of the drill permit if the process is successful.
Auquis Copper-Gold Project, Peru
Exploration work at the Auquis copper discovery is ongoing, with additional rock sampling in progress and geophysics planned for Q4. The company expects the project to be partner-ready in early 2023.
The company continues to seek properties for acquisition so that the pipeline of projects available for partners remains full.
Latin Metals (LMS) is a mineral exploration company acquiring a diversified portfolio of assets in South America.
Latin Metals (LMS) is unchanged today, trading at C$0.09 at 12:29 pm ET.