Skeena Resources (SKE) has raised C$46 million in a private placement to fund exploration and development work at its projects in British Columbia.
Under the terms of the placement, which was announced on November 11, 2020, the Vancouver-based mining company issued just over 19.5 million common shares at a price of $2.35 each. This included more than 2.5 million shares that were issued according to an over-allotment option.
Raymond James Ltd and Canaccord Genuity led the offering on behalf of a syndicate of underwriters, which included Clarus Securities, Sprott Capital Partners and RBC Capital Markets.
Agentis Capital Mining Partners, Jett Capital Advisors and Tectonic Advisory Partners also acted as advisers to Skeena Resources.
With the placement now complete, the company intends to use the proceeds to fund various exploration and development activities at its Eskay Creek and Snip projects, both of which are located within the prolific Golden Triangle region.
A portion of the proceeds will also be used for general administrative and corporate purposes.
On October 27, the company published a number of promising results from a Phase One drilling campaign at Eskay Creek, including 4.48 grams per tonne of gold over 28.5 metres.
A total of 46,700 metres have been drilled since the Skeena restarted drilling in July, and Phase Two drilling is now underway with nine drill rigs currently active at the project.
Separate drilling work began at the Snip Project on October 29, utilising one drill rig engaged in a 5,000-metre resource expansion program.
Skeena Resources is currently down 3.35 per cent to $2.46 per share at 10:39am EST.