Fireweed Zinc Ltd (CVE:FWZ) revealed it had closed the previously announced financing, bringing in just over C$5 million gross, which will be used for this year's work program focused on exploration and resource expansion.
The company is advancing its large 544 square kilometer (sq km) Macmillan Pass project in Yukon, Canada, which plays host to the Tom and Jason zinc-lead-silver deposits with a recently announced mineral resources and a PEA (preliminary economic assessment) study.
The placing saw zinc mining titan Teck Resources Ltd (NYSE:TECK) participate and this now increases its interest in the company to 9.9%.
RCF Opportunities, Fireweed's largest shareholder, also took part to maintain its 13% interest.
All directors of the firm also took part for a total of $150,817.25 to add to their holdings.
"Teck’s participation in this financing is a strong independent vote of confidence in the project and Fireweed management from one of the world’s preeminent zinc miners," said Fireweed CEO Brandon Macdonald. "Participation by our largest shareholder, RCF Opportunities, is another strong vote of confidence from a major fund specialized in mining. We made significant progress on Macmillan Pass in 2018 and this new financing will help make 2019 another great year for the company."
The placing saw more than 2.3 million shares issued at $0.80 each, around 1.8 million flow-through shares at $0.95 each and over 1.2 million flow-through shares via a donation arrangement at $1.10 each for total gross proceeds of $5,013,992.
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