Thor Explorations Ltd. increased a private placement to C$6.1 million, up from the C$4.3 million target first announced in late 2017.
The offering will now comprise up to 36 million common shares at 17 cents each, the company said Feb. 23. Closing is subject to regulatory approvals.
Thor Explorations will use the proceeds for feasibility work and exploration at its Segilola gold project in Nigeria, another phase of exploration drilling on the Makosa prospect at its early stage Douta gold property in Senegal, preliminary exploration on four new licenses near Segilola, ongoing generation of exploration targets and general corporate purposes.
Feasibility work at Segilola will focus on optimizing the project, after a 2017 pre-feasibility study defined a posttax net present value of US$138 million, using a 5% discount rate, with a 53% internal rate of return.
Metallurgical, infill and geotechnical drilling is underway ahead of further resource drilling.
The company also continues to evaluate resource potential at depth in a bid to extend the mine life beyond the pre-feasibility plan with a transition from open pit to underground mining.