- Junior gold stock Aurion Resources (TSXV:AU) has closed two previously announced financings for a combined C$9,036,481, including participation from joint venture partner Kinross Gold (TSX:K), a profitable producer expected to generate 2 million ounces of gold equivalent per year through 2026
- The junior gold stock will allocate the proceeds to exploring an extensive selection of gold targets across its Finnish portfolio
- Aurion Resources is a junior gold stock active in Finland backed by an experienced management team and joint ventures with major miners
- Aurion Resources stock has given back 24.22 per cent year-over-year and 77.23 per cent since 2019
Junior gold stock Aurion Resources (TSXV:AU) has closed two previously announced financings for a combined C$9,036,481, including participation from joint venture partner Kinross Gold (TSX:K), a profitable producer expected to generate 2 million ounces of gold equivalent per year through 2026.
Best-efforts private placement
Under a brokered offering, Aurion issued 14,545,455 common shares priced at C$0.55 for proceeds of C$8 million.
Red Cloud Securities served as lead agent and sole bookrunner on behalf of a syndicate of agents including Canaccord Genuity, Haywood Securities and Ventum Financial.
Shares issued to Canadian resident subscribers will not be subject to a hold period under applicable Canadian securities legislation.
Non-brokered private placement
Under a non-brokered offering, Aurion issued 1,884,510 shares priced at C$0.55 to Kinross for proceeds of C$1,036,481.
The purchase allows Kinross to maintain its 9.98 per cent stake in Aurion, following an initial investment in September 2017.
The shares under this financing will be subject to a hold period of four months and one day, as dictated by Canadian securities law.
Why did Kinross Gold invest in Aurion stock?
We can hone in on Kinross’ interest in Aurion by following the proceeds from the financings discussed above, which will serve to advance exploration and development of its projects in Finland, where the company has been operating since 2014.
Aurion’s portfolio spans ownership interests in projects that cover about 75,000 hectares of the Central Lapland Greenstone Belt, where numerous world-class gold, nickel, copper and platinum group element deposits also reside. The company’s projects include:
- Its flagship 16,197-hectare Risti project, where it has identified more than 1,200 gold-bearing quartz boulders in the Aamurusko area with an average grade of 25 grams per ton (g/t) gold over 1.3 km by 1.7 km, in addition to five other prospective areas.
- A 293-square-kilometre joint venture with B2Gold (TSX:BTO) in the Central Lapland Greenstone Belt featuring a number of discoveries, including Helmi (2.05 g/t gold over 77.50 m), Kutuvuoma (16.47 g/t gold over 11 m), Soretiavuoma (48 g/t gold over 1.1 m), Sinermä (0.54 g/t gold over 40.2 m), Kiekerömaa (5.8 g/t gold over 5 m) and Kettukuusikko (4.33 g/t gold over 20.4 m).
- A 4,300-hectare joint venture with Kinross on the Launi East property, where at least seven gold-bearing zones span a total area of 5.5. km by 1 km. Approximately 2,300 samples collected from boulders, sub-crops and outcrops assayed up to 709 g/t gold with an average grade of 4.20 g/t gold.
With fresh capital in its coffers – and further de-risked by skin in the game from the likes of Newmont (2.1 per cent) and Eric Sprott (2.8 per cent), on top of 12.3 per cent insider ownership – Aurion is well-positioned to continue delineating its vast prospect catalogue and creating positive news flow to bolster market sentiment.
About Aurion Resources
Aurion is a junior gold stock active in Finland backed by an experienced management team and joint ventures with major miners.
Aurion Resources (TSXV:AU) is down by 3 per cent, trading at C$0.48 per share as of 11:58 am ET. The stock has given back 24.22 per cent year-over-year and 77.23 per cent since 2019.
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(Top photo of Aurion Resources’ Risti property in Finland: Aurion Resources)