Canadian Zinc Corp. secured equity financing of C$20 million from a unit of Resource Capital Fund VI LP. The company will also issue up to C$12.5 million of warrants.
RCF VI CAD LLC, a unit of Resource Capital Fund, has agreed to purchase 100 million shares of the company at 20 cents per share, and it will be issued 50 million short-dated warrants, exercisable until Dec. 31 at 25 cents per share.
The company said May 15 that it will use US$10 million to repay a bridge loan secured from Resource Capital Fund in December 2017.
The remaining funds will be used for ongoing development at the company's flagship Prairie Creek zinc-lead-silver project in the Northwest Territories, Canada, and for general working capital.
The company also said RJ MacDonald has been appointed as president, effective May 16. MacDonald will also assume the role of CEO. Most recently, MacDonald was acting president and CEO of KGHM International Ltd.
