Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Maple Gold Mines (TSXV:MGM) raises $10M to advance Douay Gold Project

Oliver Gray, The Market Herald
0 Comments| December 30, 2020

{{labelSign}}  Favorites
{{errorMessage}}

Maple Gold Mines (MGM) is looking to advance its Douay Gold Project in Quebec with an additional C$10 million on its balance sheet.

Under the terms of the offering, which was announced on December 7, the Montreal-based company issued a total of 27.8 million common shares at a price of $0.36 each.

BMO Capital Markets, as the underwriter of the financing, has also been granted an option to acquire an additional 4.17 million shares at the same price, exercisable - either in whole or in part - at any time within the next 30 days.

Maple Gold said it would also use a portion of the proceeds for general corporate purposes and to fund future potential growth opportunities.

In early October, the company signed a joint venture agreement with Agnico Eagle Mines to merge the companies' neighbouring Douay and Joutel projects.

The strategic partnership would bring about a common focus on exploration, discovery and development within the Abitibi Greenstone Belt of Quebec, at a consolidated land package that hosts the past-producing Tell mine.

Matthew Hornor, President and CEO of Maple Gold Mines, said at the time that the partnership with Agnico Eagle represents a transformational milestone for the company.

"Agnico is one of the world's premier gold mining companies. Their involvement along with the Joutel contribution will create a highly prospective land package that has the potential to form an exciting new gold district in Quebec's Abitibi Gold Belt," he added.

In connection with the partnership, Agnico Eagle made a $6.2 million investment in Maple Gold, which was completed on October 14.

Prior to the investment, Agnico Eagle owned 4.4 per cent of Maples Gold's issued and outstanding shares, but now holds a 12.8 per cent stake, or roughly 19.9 per cent on a partially diluted basis.

Maple Gold Mines is currently down 2.78 per cent to $0.35 per share at 12:08pm EST.



{{labelSign}}  Favorites
{{errorMessage}}


Get the latest news and updates from Stockhouse on social media

Follow STOCKHOUSE Today

Featured Company