White Rock Minerals Ltd. entered an agreement with Kentgrove Capital Growth Fund, an investment fund managed by Kentgrove Capital Pty. Ltd., for a A$7.2 million equity placement facility.
The company issued 6,050,000 shares and 15 million three-year options to Kentgrove Capital as an upfront establishment fee.
The company said Dec. 13 that the financing provides it with flexibility as it works on advancing its two assets, with a focus on the Red Mountain zinc-silver-lead-gold property in Alaska. White Rock posted an initial resource estimate for Red Mountain in April.
Under the agreement, Kentgrove Capital may provide White Rock with up to A$7.2 million of equity capital through a series of individual A$200,000 placements over a 36-month period. The company will use the proceeds for general corporate and working capital purposes.
The discretionary facility matures Dec. 11, 2020, and either party can terminate the agreement by providing 14 days notice.
