Fireweed Zinc Ltd (CVE:FWZ) (OTCMKTS:FWEDF) is set to raise up to C$700,000 gross from a private placing led by its large shareholders to advance its Macmillan Pass project in Yukon and for general working capital.
"I want to thank our major shareholders who stepped up with their financial support to help the company weather these unprecedented difficult times," said chief executive Brandon Macdonald.
READ: Fireweed Zinc shares soar as it unveils major potential boost for Yukon project with roads upgrade
"It is an indication of their strong belief in our people and in our Macmillan Pass project which is one of the largest undeveloped zinc projects in the world.
"In the near term the company will be working on reduced budgets but with the extra time to interpret data and prepare for the next exploration and drill programs, we will be in a better position to aggressively advance the project when financing markets improve."
The firm will issue up to around 2.33 million shares at C$0.30 each, with a full four-year warrant exercisable at C$0.60 each.
That is subject to accelerated expiry terms if shares trade at or above C$1 for 20 consecutive days, the company said.
Fireweed is advancing its district-scale 544-square-kilimeter Macmillan Pass project in Yukon, Canada, which hosts its 100% owned Tom and Jason zinc-lead-silver deposits, which boast large mineral resources and a preliminary economic assessment (PEA).
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