Pinnacle Arranges Non-Brokered Private Placement
Pinnacle secures $2.2m in funding to advance its El Potrero project, with insiders leading the investment charge.
Pinnacle Silver and Gold Corp. announced a non-brokered private placement to raise up to $2,200,000 in gross proceeds. The offering consists of up to 20,000,000 units priced at $0.11 per unit. Each unit comprises one common share and one-half share purchase warrant. Warrants are exercisable into one common share at $0.16 for a 24-month period.
Insiders are participating in the offering, classifying it as a related-party transaction exempt from formal minority shareholder approval under MI 61-101. Net proceeds are designated for advancing the El Potrero gold-silver project in Durango, Mexico, for project evaluations, and for general working capital. The transaction is subject to TSX Venture Exchange approval and carries a four-month hold period.
Pinnacle Silver and Gold Corp. (PINN) has completed a financing round that serves as a routine, incremental follow-up to previous capital raises conducted in July 2025 at $0.06, December 2025 at $0.14, and February 2026 at $0.14. The proceeds extend the company's cash runway to fund critical near-term milestones, specifically underground delineation drilling, metallurgical optimization, and plant refurbishment.
Insider participation in the offering demonstrates management confidence in the project's economics and the current share price. The $0.11 issue price represents a discount to the recent trading range but aligns with the company's stated goal of minimizing dilution through an earn-in model. While the transaction supports operational continuity, it does not constitute a market-moving event or a change in project fundamentals, as the metallurgical and drilling progress has already been well-documented.
Pinnacle Silver and Gold Corp. is advancing the El Potrero gold-silver project in the Sierra Madre Occidental, Durango, Mexico. The property is a past-producing mine that operated from 1989 to 1990 and features a low-sulphidation epithermal vein system. The company plans to refurbish an existing 100-tonnes-per-day plant and rehabilitate historic underground workings to achieve near-term production.
Ownership is structured as a staged earn-in, with Pinnacle set to secure an initial 50% interest upon production commencement. The goal is to increase to 100% ownership subject to a 2% Net Smelter Return (NSR) using generated cash flow. The project benefits from existing infrastructure, including road access, a river valley for water, and a power line within 3.3 km.