A US$3.5-million private placement will enable Crystallex International (VSE) to make option payments on and explore its Venezuelan gold projects.
The 3-year convertible debenture will be convertible into units of the company at a price of $5 in the first year and at $5.75 thereafter. Each unit will consist of one share plus a share purchase warrant.
The US$3.5-million placement will provide funds for a US$1.6-million option payment owing on the Albino property, as well as US$940,000 for completion of the mill and related costs.
The company also plans to spend US$500,000 exploring the Albino and Santa Elena 7 & 8 concessions, and US$500,000 on payables and working capital. Maude acquires interest in properties
Junior Maude Lake Gold Mines (CDN) is acquiring a 20% interest in properties, near Matheson, Ont., which it had previously optioned to Hecla Mining (NYSE) and Technigen Corp.
In return, Maude will issue more than 1.2 million shares and a promissory note with a principal value of $206,250 to both Hecla and Technigen. The note will be convertible into Maude shares at 50 cents each any time after June 30, 1996.
As a result, Maude will own these properties outright.
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