Attributable to sturdy demand, nevertheless, the corporate on Friday upsized the providing to 12.7 million frequent shares and 16.1 million FT shares, for gross proceeds of C$47 million ($34 million).
Shares of Fireweed Metals have been buying and selling at C$1.15 apiece by 11:00 a.m. ET in Toronto for a market capitalization of C$172 million ($125 million). It traded between C$0.88 and C$1.77 over the previous 52 weeks.
The Lundin household trusts, alongside different key stakeholders, are anticipated to take part within the placement and have beforehand indicated their intention to subscribe the total quantity, the corporate stated.
In a information launch on Thursday, Fireweed’s CEO Peter Hemstead confirmed that the providing proceeds will primarily fund the corporate’s exploration initiatives for 2024, particularly an intensive 14,000-metre drilling and regional exploration program at Macpass.
“This funding allows Fireweed to execute this yr’s deliberate program with out the necessity for extra capital,” he stated.
The Macpass challenge is among the world’s largest undeveloped zinc sources, Fireweed stated, internet hosting 4 mineralized occurrences — Tom, Jason, Boundary and Finish zones — plus different exploration targets over a 940 km2 space.
Thus far, solely the Tom and Jason mineralized zones have useful resource estimates, totalling 11.2 million tonnes indicated at 9.61% zinc equal (6.59% zinc, 2.48% lead and 21.33 g/t silver) and 39.5 million tonnes inferred at 10.00% zinc equal (5.84% zinc, 3.14% lead and 38.15 g/t silver).
Subsequent to the Macpass challenge is Fireweed’s newly acquired Mactung challenge, which hosts a tungsten discovery that dates again to the Nineteen Sixties. A useful resource estimate in 2023 established Mactung because the world’s largest high-grade tungsten useful resource, with 41.5 million tonnes indicated at 0.73% WO3 and 12.2 million tonnes inferred at 0.59% WO3.