Pacton Gold Inc (CVE:PAC) (OTCMKTS:PACXF) has closed the final tranche of a nearly C$6 million financing for further exploration at its Red Lake, Ontario gold properties.
In the last tranche, the Vancouver-based junior issued nearly 6.7 million units at C$0.12 per unit for total proceeds of C$802,400.
All told, Pacton raised nearly C$6 million, coupled with an earlier round of financing that saw the company issue 31.7 million flow-through shares at C$0.13 and an additional 13.2 million units at C$0.12 for gross proceeds of C$4.1 million and C$1.6 million respectively.
Units issued in the latest round of financing consist of one share and one transferrable warrant exercisable at C$0.18 for a two-year period following closing.
Flow-through shares are a unique vehicle in Canada that allows junior mining investors to qualify for tax breaks if they help fund exploration plays.
Pacton said the C$1.6 million proceeds from the issuance of the units will be used for general working capital.
The firm also made cash payments of C$19,500 and issued 162,540 warrants as a finder’s fee.
Pacton is focused on advancing high-grade gold properties in the district-scale Pilbara gold rush area in Western Australia and the famous Red Lake district in Ontario, Canada.
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