Liberty Gold Corp. entered an agreement with a syndicate of underwriters led by Sprott Capital Partners LP to raise C$13.2 million on a bought-deal private placement basis.
The company said Aug. 19 that the offering will comprise 24 million shares at 55 Canadian cents apiece and includes a 20% overallotment option which the underwriters can exercise up to three days prior to closing, which is anticipated around Sept. 10.
Liberty Gold will use the proceeds for exploration and development of its southwestern U.S. gold and precious metal exploration portfolio, primarily focusing on the Black Pine gold project in Idaho. It aims to complete an initial resource estimate and advance the project to an economic study by the end of 2020.
The company also earmarked funds for the Goldstrike project in Utah, the Kinsley gold deposit in Nevada and for general working capital.
