Vancouver — Coming off a successful drill program on the Hope Bay project in Canada’s high north, Hope Bay Gold (HGC-T) aims to raise $4 million to continue exploring the promising gold belt in Nunavut.
The private placement includes 10 million flow-through shares priced at 40 each.
Haywood Securities is acting as the agent on a best-effort basis and will receive a fee of 6% of the gross proceeds from the financing, as well as warrants entitling the brokerage to acquire 6% of the total number of shares subscribed.
The deal is expected to close by the end of the month.
Hope Bay Gold, along with partner Miramar Mining (MAE-T), recently completed 95 drill holes over the Madrid portion of the property, expanding the Naartok and Suluk gold zones.
Discovered earlier this year during follow-up work on three historical holes, the Suluk zone lies southeast of Naartok, along the same structural zone.
According to the partners, Naartok and Suluk could mark the development of a third high-grade area. The other two are the Boston and Doris deposits, which have measured and indicated mineral resources of 2.5 million tonnes grading 16.9 grams gold, plus an inferred resource of 1.1 million tonnes grading 16.8 grams gold.
Miramar and Hope Bay are equal partners on the project. They control most of the 80-km-long Archean greenstone belt.
Be the first to comment on "Hope Bay eyes $4 million"