First Nordic Metals (FNM.V) has started its base-off-till drill program on its fully owned Klippen gold project in Sweden. The program is designed to investigate the bedrock source of a historically known till anomaly with anomalous gold, arsenic, copper and zinc values. As the anomaly has a footprint of 5,000 meters by 350 meters, it represents an interesting exploration target for First Nordic, and the 120 hole program will systematically drill-test the bedrock along a one kilometer long zone. The company’s technical team’s interpretation of existing and available data indicates that one kilometer zone could be the most probable source of the till anomaly.
The previous operators of the project did carry out their own BoT and diamond drill campaigns, but those efforts were focusing on a relatively small portion of the anomalous zone. According to First Nordic, the litho-structural setting is ideal for large orogenic gold deposits.
First Nordic is currently also tapping the capital markets as the company has entered into an agreement with Haywood Securities as lead underwriter and sole bookrunner to raise a total of C$10M priced at C$0.33 per unit. Each unit consists of one common share and half a warrant with each full warrant allowing the warrant holder to purchase an additional share at C$0.45 during a 24 month period.
Disclosure: The author has a long position in First Nordic and is participating in the current bought deal financing. Please read the disclaimer.
