St. Augustine Gold and Copper Ltd. (TSX: T.SAU, Stock Forum) wishes to provide additional information on its previously announced private placement with Queensberry Mining and Development Corp., a private resource company.
The placement is for 55 million shares at a subscription price of US$0.20 per share, a premium to the market at the time the subscription agreement was entered into, for a total investment of US$11 million.
According to the St. Augustine Gold and Copper press release, the funds received will be used for working capital and to further advance the King-king Project. Located in the Philippines, King-king is one of the largest undeveloped copper-gold deposits in the world.
Queensberry currently holds 32.7 million shares or 7.56% of the company. With the addition of 55 million shares or 12.71%, Queensberry will hold a total of 87.7 million shares for a total of 17.98% of the issued and outstanding shares of St. Augustine after closing.
The company has received conditional approval from the TSX and expects to close this private placement five business days from the issuance of this press release.
St. Augustine is a mineral exploration and development company.
On Friday, St. Augustine was up 10.5% and was trading at $0.21 a share. The company had a market cap of $90.9 million, based on 432.8 million shares outstanding. The 52-week high and low was $0.49 and $0.09 respectively.