Cantex Mine Development Corp. plans to raise up to C$12 million to fund exploration in Canada, where it is operating in the Yukon territory.

The company said Aug. 1 that it agreed to a bought-deal private placement with Canaccord Genuity Corp. and Leede Jones Gable Inc. for 1,588,000 common shares.

Cantex will issue 921,000 flow-through shares as part of a charity arrangement at C$6.52 apiece to raise C$6 million and a further 667,000 flow-through shares at C$6 apiece to raise C$4 million.

The underwriters have the option to sell additional flow-through shares to raise a further up to C$2 million.

The company is exploring base metals- and precious metals-prospective properties in the Yukon territory.

The offering is expected to close Aug. 22.