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Highlights
- Robust support for Miata's growth amidst rising gold prices.
- Significant exploration advancements on gold projects expected soon.
- Strategic investment positions Miata for future drilling initiatives.
Miata Metals Corp. (CSE: MMET) (FSE: 8NQ) is excited to announce the successful closing of its brokered private placement offering. This offering consisted of 10,623,600 units at a price of $0.60 per unit, resulting in aggregate gross proceeds of $6,374,160. Each unit comprises one common share and one-half of a common share purchase warrant, with each whole warrant allowing the purchase of an additional common share at $0.90 for a period of 24 months. The offering was led by a syndicate including Clarus Securities Inc. and PowerOne Capital Markets Limited.
In addition to the brokered offering, Miata has also completed a non-brokered private placement with a strategic investor, mirroring the terms of the initial offering. This non-brokered placement involved the issuance of 250,000 units, generating gross proceeds of $150,000. Together, the gross proceeds from both offerings total $6,524,160. These funds will be allocated toward advancing the company’s exploration initiatives and for general working capital purposes.
Dr. Jacob Verbaas, CEO and Director of Miata, emphasized the significance of this funding. He stated, “The upsizing and closing of the Offering, as well as the additional closing of the Non-Brokered Private Placement shows robust support for what we are building at Miata.” Dr. Verbaas noted the rising gold prices, which have recently reached all-time highs, and highlighted the increased activity in the Guiana Shield region, which has driven strong investor interest in Miata's newly acquired gold project portfolio.
The company has made notable progress on its geological model at the Sela Creek site. This includes compiling historical workings and results from the July sampling program, as well as data from a recently flown LiDAR survey. These efforts have led to the identification of prospective drill targets for a fully-funded drill program set to commence by the end of 2024. Dr. Verbaas expressed anticipation for sharing the drilling plan in the coming weeks.
The securities issued under both the brokered offering and the non-brokered placement are subject to a statutory hold period of four months, which will expire on February 19, 2025. Following the closing of these offerings, Miata has 53,242,209 common shares issued and outstanding.
Additionally, it is worth noting that John Wenger, an insider of the company, acquired 40,000 units in the brokered offering. This participation is classified as a related party transaction under Multilateral Instrument 61-101. However, the transaction is exempt from formal valuation and minority shareholder approval requirements, as neither the fair market value of the securities issued to Mr. Wenger nor the consideration paid exceeds 25% of the company's market capitalization.
