An additional private placement gives Western Copper Holdings (TSE) a total of 5.8 million shares of Thermal Exploration (ASE), or about 35.5% of its issued shares.
The placement comprises 1.2 million units, each of which consists of one share and half a purchase warrant. A full warrant is exercisable at 35 cents for one year.
Thermal issued the units to Western to cover its share of expenses at the companies’ Carmacks copper-oxide joint venture in the Yukon. The partners are developing a heap-leach, solvent extraction- electrowinning operation, with diluted minable reserves estimated at 15.6 million tons grading 1.01% copper and 0.015 oz. gold per ton. Based on a recovery rate of 80%, copper output for the 1.8-million-ton-per-year operation is projected at 29 million lb., and cash costs are forecast at US69 cents per lb. The capital cost is projected at $57 million, plus $5 million for working capital. Robert Quartermain, president of Western Copper, says permitting is in progress and should be complete by the summer, at which point financing efforts will begin in earnest.
Western Copper has about $500,000 in working capital and Teck (TSE) holds 40% of its 5 million outstanding shares.
Be the first to comment on "Western Copper boosts Thermal stake"