Glencairn adds cash

Glencairn Explorations (GLJ-V) has added $2.4 million to its coffers via a recently completed private placement of 4.8 million units at 50 apiece.

Each of the units included one share plus half a share purchase warrant, with a whole warrant entitling the holder to buy one share for 60 for one year.

Yorkton Securities received a commission of $230,525 in relation to the placement, and was granted an option to acquire up to 481,300 units under the same terms for one year.

The deal brings Glencairn’s cash and equivalent position to around $4.5 million. The company has no debt.

Earlier this summer, Glencairn balked at a deal to buy Wheaton River Minerals‘s (WRM-T) Bellavista gold project in Costa Rica. The decision came after a decree by newly elected President Abel Pacheco banning open-pit mining.

Glencairn initially said the decree did not appear to affect the low-grade gold deposit and that it would confirm that rights to the mine would be maintained before proceeding with the purchase.

The project originally received all necessary environmental approvals in February 2001.

Bellavista, which centres on an epithermal gold-silver deposit, hosts 11.2 million tonnes grading 1.54 grams gold per tonne. This is sufficient to yield 60,000 oz. annually over more than seven years at a total operating cost of US$179 per oz. Capital costs are pegged at US$28 million.