Fidelity Minerals Corp (CVE:FMN) (OTCMKTS:SAIDF), the Peru-focused emerging gold producer, has closed the first tranche of its previously announced private placing, raising C$550,500 gross to fund project expansion and appraisal focused work programs.
As reported on June 12 this year, the company revealed it will offer up to 16 million units at C$0.05 each, for gross proceeds of up to C$800,000.
Each unit consists of one share and a half warrant, with each whole warrant exercisable into one further share at $0.06 per share for one year after closing.
The first tranche consisted of around 11 million units for gross proceeds of C$550,500, or around 69% of the offering, of which 4.46 million units were subscribed by Lions Bay Capital, a control person, and one million units were taken by management.
Fidelity Minerals expects to close a second and final tranche of the private placement in the "very near term," the company said in a statement.
The firm strengthened its Peruvian presence with the acquisition of two new gold projects in the northern part of the country.
In June, the Vancouver-based company announced Tuesday that it had acquired 100% interest in the Las Brujas and Cerro El Bronce projects, located in prolific gold-copper districts that are subject to active exploration by major mining companies.
The two new early-stage projects host significant mineralization. Las Brujas spans 1,900 hectares within 10 kilometers of the La Zanja gold mine. The project has extensive mineralization and anomalous gold values reported from three different zones.
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