Junior miners abounded in the equity financing landscape this week. Here, we bring you details on a buzzworthy uranium miner on the Athabasca Basin, a nickel miner sitting on a project potentially worth over a billion dollars, and a quickly-rising gold explorer awaiting drill results.
1. Denison Mines Corp. (TSX: DML)
- Gross Proceeds: US$17.4 million
- Sector: Uranium
- Units issued: 47 million
- Type: Common shares
- Price: US$0.37
- Warrants: None
- Agents: Cantor Fitzgerald Canada Corporation, Haywood Securities Inc.
- Use of Proceeds: Project evaluation
- Press release
Uranium explorers Denison Mines Corp. (TSX: DML) upsized a US$10 million bought deal private placement to US$17.4 million on Thursday, aiming to finance continued evaluation and environmental assessment at its Wheeler project in Saskatchewan.
The company plans to issue 47 million shares at US$0.37 each, through a syndicate of underwriters led by Cantor Fitzgerald Canada Corporation and Haywood Securities Inc.
Denison's Wheeler River project is located on the Athabasca Basin, well-known as the uranium-rich region that hosts Cameco Corp.'s McArthur River and Cigar Lake mines, the two biggest uranium mines in the world.
Since announcing the initial bought deal, shares of Denison have dropped 7 cents to 48 cents per share on the TSX. Read more about Denison in our full article on the financing here.
2. FPX Nickel Corp. (TSX-V: FPX)
- Gross Proceeds: $4 million
- Sector: Nickel
- Units issued: 7.27 million
- Type: Common shares
- Price: $0.55
- Warrants: None
- Agents: Non-brokered
- Use of Proceeds: Ongoing exploration
- Press release
Like Denison, Nickel junior FPX Nickel Corp. (TSX-V: FPX) also increased a private placement on Thursday, from $3.2 million to $4 million.
The company plans to issue 7.27 million common shares at 55 cents each through the non-brokered deal.
FPX says that proceeds will be used for exploration at its Dear Nickel District property in central British Columbia, "including drilling at the Baptiste Deposit, a maiden drilling program at the Van Target, metallurgical and market testing of nickel products for the stainless steel and electric vehicle battery markets," and for working capital.
FPX filed a preliminary economic assessment for Baptiste at the end of September. The report supports a mine with an after-tax net present value of US$1.72 billion and a mine life of 35 years.
Shares of FPX are up 44 cents for 2020, and down 3 cents since announcing the private placement, to 60 cents per share.
3. Sassy Resources Corp. (CSE: SASY)
- Gross Proceeds: $4 million
- Sector: Nickel
- Units issued: 7.27 million
- Type: Common shares
- Price: $0.55
- Warrants: None
- Agents: Non-brokered
- Use of Proceeds: Ongoing exploration
- Press release
Gold junior Sassy Resources Corp. (CSE: SASY) arranged a $5 million combo private placement on Thursday, hoping to advance its Foremore gold-silver project in the Eskay Camp of British Columbia.
In the first part of the financing, the company plans to issue 2.22 million special units at $0.90 each for a total of $2 million. Units will consist of a common share and a half-warrant, with full warrants exercisable at $1.25 for two years. In the second part, it plans to issue 2.5 million flow-through units at $1.20 each for a total of $3 million. Flow-through units will include a common share and a half-warrant, with full warrants exercisable at $1.50 for two years.
Sassy has been steeply on the rise since it began trading on the Canadian Securities Exchange in August. It has a first-ever drill program running on Foremore's Westmore target, and says it has intersected visible gold, but has yet to announce specific assays just yet. It also completed a phase 1 drill program at the Foremore project back in August, though again, no specific drill results yet.
In its first day of CSE trading, shares of Sassy resources rose to 54 cents per share. Since, they've jumped to $1.14 per share, and are up 8 cents since announcing the private placement.
