- Big Ridge Gold (TSXV:BRAU) announced a C$7 million non-brokered private placement, including an investment from existing shareholder, Michael Gentile, one of Canada’s most prominent junior mining investors.
- The junior mining company is advancing projects in Quebec, Manitoba and Newfoundland.
- Big Ridge Gold stock last traded at C$0.34 and has added 245 per cent year-over-year.
Big Ridge Gold (TSXV:BRAU) announced a C$7 million non-brokered private placement, including an investment from existing shareholder, Michael Gentile, one of Canada’s most prominent junior mining investors.
This article is a journalistic opinion piece which has been written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
Big Ridge will issue 23,333,333 common share units priced at C$0.30 each, with each unit containing one common share and one common share purchase warrant, and each warrant entitling the holder to purchase one share for C$0.46 for 36 months following the closing of the offering. Gentile’s ownership stake will increase to 19.9 per cent, just short of a control position.
The company will use the funds for ongoing engineering studies and resource expansion drilling at its 26,050-hectare advanced-exploration Hope Brook gold project in Newfoundland, where resources are estimated at 1,206,000 ounces indicated and 221,000 ounces inferred, plus more than 47 million pounds of copper, with mineralized zones remaining open along strike and at depth.
The offering is expected to close in early July subject to regulatory and exchange approval.
All securities issued will be subject to a hold period of four months and one day as dictated by Canadian securities law.
Leadership commentary
“Big Ridge is pleased to receive continued support from existing shareholders, including Mr. Michael Gentile, who nearly doubled his position in Big Ridge Gold to 19.9 per cent,” Michael Bandrowski, President and Chief Executive Officer of Big Ridge Gold, said in Tuesday’s news release. “The company is well financed to complete its ongoing exploration and geotechnical drill programs and continue advancing the project towards the environmental assessment phase.”
“I am very happy to further increase my investment in Big Ridge Gold, one of the most under-the-radar names I own in my portfolio,” Gentile added. “Big Ridge is one of my highest-conviction names and I am happy to increase my ownership to 19.9 per cent. With 100-per-cent ownership of the past-producing Hope Brook mine, an upcoming preliminary rconomic assessment and an experienced management team, the future looks very bright for BRAU shareholders.”
About Big Ridge Gold
Big Ridge Gold is a junior mining company managed by experienced officers and directors advancing projects in Quebec, Manitoba and Newfoundland.
Big Ridge Gold stock (TSXV:BRAU) last traded at C$0.34 and has added 245 per cent year-over-year.
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