Roxmore closes $32.64-million private placement

Executive Summary

• Roxmore Resources Inc. has closed a non-brokered private placement raising aggregate gross proceeds of C$32.64 million.
• The company issued 13.6 million common shares at an issue price of $2.40 per share, having increased the offering size by $2.64 million due to strong investor interest.
• Proceeds will primarily fund an accelerated Pre-Feasibility Study (PFS) for the Converse gold project, including 30,000 meters of drilling, reassay programs, and permitting activities.

Key Details

• Transaction Structure: Non-brokered private placement.
• Gross Proceeds: C$32,640,000.
• Share Issuance: 13,600,000 common shares.
• Issue Price: $2.40 per common share.
• Offering Increase: The size was increased by $2.64 million from the initial announcement.
• Use of Proceeds:
  • Acceleration of the Converse gold project Pre-Feasibility Study (PFS).
  • General corporate purposes.
• Specific PFS Work Plan Items:
  • Commitment to approximately 30,000 metres of core and reverse circulation (RC) drilling for resource infill and extension.
  • Reassay program to enable inclusion of silver grades in future resource estimates.
  • Initiation of comprehensive baseline studies and preliminary permitting activities.
  • Hydrogeology and geotechnical drilling.
  • Further detailed metallurgical test work.
• Advisory Fees:
  • Cash advisory fees of $974,000 paid to financial advisers.
  • Cash finders' fees of $360,000 paid to eligible finders.
• Advisers:
  • Financial Adviser: 3L Capital.
  • Australian Broker: Euroz Hartleys Ltd.
• Share Restrictions: All common shares are subject to a statutory hold period expiring on July 3, 2026.
• Key Investors: Welcomed three cornerstone institutions, including L1 Capital.

Notable Quotes

• "These funds will enable an active work program over the next 18 months. The Converse gold project is emerging as a significant development project, and we are particularly pleased to welcome three cornerstone institutions to the Roxmore shareholder register, including L1 Capital, a leading Australian investor," — John Dorward, Chief Executive Officer and Executive Chairman.