Zinc One Resources Inc (CVE:Z) said it is proposing to place up to 16,666,666 units of the company at a price of 24 cents per unit for gross proceeds of up to C$4mln.
In a statement, the company said each unit offered will comprise one common share and one-half of one common share purchase warrant.
READ: Zinc One Resources extends high-grade zinc deposit at the Mina Chica Zone
Each warrant entitles the holder to purchase one additional common share of the company at a price of 35 cents per share for a period of three years from the date of issuance.
Proceeds from the placement will go towards exploration activities on the Bongara zinc mine project in Peru and for general corporate purposes.
Securities issued in connection with the private placement will be subject to a four-month statutory hold period from the date of issuance.
A finder's fee may be payable on the private placement.
Zinc One’s key assets are the Bongara zinc mine project and the Charlotte Bongara zinc project in north-central Peru.