Right before Christmas, Regency Silver (RSMX.V) closed non-brokered private placement, raising C$1.6M by issuing 10.8M shares at C$0.20 per share. This was a straight share financing and no warrants were involved which helps to keep the potential overhang limited.
The cash will be used to follow up on the discovery hole on the Dios Padre project in Mexico. That hole contained almost 36 meters of 6.84 g/t gold, 0.88% copper and 21.81 g/t silver with an even higher grade interval of 9.8 meters of 13.97 g/t gold, 1.11% copper and 50.25 g/t silver.
The beauty of that hole is that it was drilled into a large IP anomaly about 500 meters away from the historical Dios Padre silver mine and this opens up a whole new area of potential.
Disclosure: The author has a long position in Regency Silver and participated in the most recent placement. Please read our disclaimer.
