- Talon Metals (TLO) has raised more than C$11.5 million to fund exploration and development work at its Tamarack North Project in Minnesota
- The company issued just over 38.3 million common shares at a price of $0.30 each, which includes 5 million pursuant to an over-allotment option
- Paradigm Capital and Sprott Capital Partners co-led the offering on behalf of Echelon Wealth Partners as another underwriter
- In the first quarter of 2021, the company initially plans to explore for an extension of the semi-massive sulphide unit to the north of the Tamarack mineral resource area
- Talon Metals is currently up 2.94 per cent to $0.35 per share
Talon Metals (TLO) has raised more than C$11.5 million to fund exploration and development work at its Tamarack North Project in Minnesota.
Under the terms of the bought deal offering, which was announced on December 1, 2020, the base metals company issued just over 38.3 million common shares at a price of $0.30 each. This amount includes roughly 5 million shares that were issued pursuant to an over-allotment option.
The offering was carried out by a syndicate of underwriters, co-led by Paradigm Capital and Sprott Capital Partners, and including Echelon Wealth Partners.
According to a prospectus supplement dated December 3, the bulk of the proceeds will be used to advance the completion of a prefeasibility study for the Tamarack North Project.
As such, Talon Metals intends to begin exploring for an extension of the semi-massive sulphide unit to the north of the Tamarack mineral resource area in the first quarter of next year.
Should this work prove successful, the company will then follow-up with a drill program, targeting the semi-massive sulphide unit.
In addition, exploration activities will assess the north-east of the Tamarack mineral resource area, where massive sulphide mineralisation has already been intercepted. This region will also be the subject of drilling work should initial evaluations yield promising results.
Talon Metals said it will continue to develop its mine plans in conjunction with the exploration work. Metallurgical test work will also continue, focused on producing nickel concentrates with a view to selling to third party nickel smelters or battery precursor manufacturers.
Talon Metals is currently up 2.94 per cent to $0.35 per share at 10:46am EST.