Equity Metals (EQTY.V) has just assured itself it will be able to hit the ground running on its Silver Queen property in British Columbia this year. The company initially announced a C$3.1M financing but ultimately closed a charity flow-through financing priced at C$0.295 per flow-through unit. It was a pleasant surprise to see the company raised gross proceeds of C$4.06M (net proceeds of C$3.98M) given the rather hefty premium versus the current share price.
Of course, charity flow-through financings always happen at a very substantial premium, but it is an impressive achievement to see a smaller outfit like Equity Metals raise that much cash. The generous warrant (half a warrant with an exercise price of C$0.295 for a three year period) also helped, but the main takeaway is the fact the company is now fully funded for its ongoing 6,000 meter drill program where the Cole and George Lake targets have been prioritized in this year’s exploration program.
Disclosure: The author has a long position in Equity Metals. Equity Metals is a sponsor of the website. Please read the disclaimer.
