Loncor Resources (LN) has closed the balance of its non-brokered private placement financing.
The placement included 3.5 million units at a price of C$0.50 per unit.
Gross proceeds from both tranches of the financing total C$5.75 million.
Each unit consists of one common share of the company and one-half of one common share purchase warrant.
Each warrant entitled the holder to acquire one common share of the company at an exercise price of C$0.75 for a period of 12 months following the closing date.
Loncor intends to use the proceeds to continue exploration and development of the company’s Imbo Project, followed by a preliminary economic assessment of Adumbi and its neighbouring deposits, and for general corporate purposes.
At the Imbo Project, inferred mineral resources have already been delineated at the Adumbi deposit (28.97 million tonnes grading 2.35 g/t Au equivalent to 2.19 million ounces of gold), the Kitenge deposit (0.91 million tonnes grading 6.6 g/t Au equivalent to 0.19 million ounces of gold) and the Manzako deposit (0.77 million tonnes grading 5.0 g/t Au equivalent to 0.12 million ounces of gold).
Loncor is a Canadian gold exploration company focused on the Ngayu Greenstone Belt in the northeast of the Democratic Republic of the Congo.
Loncor Resources (LN) is up 1.61 per cent, trading at C$0.63 per share at 11 am EST.