Agnico Eagle backs Fury Gold Mines with $3M investment

Agnico Eagle Mines (TSX, NYSE: AEM) has virtually tripled its equity setting in younger traveler Fierceness Gold Mines (TSX, NYSE American: FIERCENESS) with a more C$ 4.3 million ($ 3 million) financial investment.

In a news release Tuesday, Fierceness revealed that Agnico had actually gotten about 6.73 countless its shares and warrants to purchase the very same variety of shares for a per-unit rate of C$ 0.64. The warrants have a workout rate of C$ 0.80 per share, legitimate for 3 years.

Fierceness Gold Mines opened up the trading session at C$ 0.53 each, and ticked 2% greater at C$ 0.54 since 10:45 a.m. ET. Its market capitalization is approximated at C$ 88.2 million ($ 64 million).

Agnico formerly held 3.75 million, or 2.3% of Fierceness’s shares. The brand-new financial investment takes its holding to about 6.3%, possibly increasing to 9.9% if the warrants are worked out.

According to Fierceness, a lot of the brand-new financial investment (C$ 3.9 million) will certainly be made use of for this year’s expedition at its Board Bay job in the Kitikmeot area of Nunavut. The job lies about 180 kilometres northeast of Agnico’s Meadowbank mine and covers a district-scale location of greater than 2,500 sq. kilometres.

From its expedition initiatives because 2019, the Fierceness group has actually determined many state-of-the-art gold events throughout a 300-km strike size on the building. One of the most considerable is the 3 Bluffs down payment, which has a mineral source quote of 2.1 million tonnes showed rating 7.85 g/t gold (for 523,835 oz. included gold) and 2.9 million tonnes presumed rating 7.63 g/t gold (for 720,364 oz. included gold).

” We delight in to have Agnico Eagle, among Canada’s premier firms and a leading worldwide gold manufacturer, make an added financial investment that will certainly allow Fierceness to progress our understanding of the expedition possibility at our Board Bay job in Nunavut,” Fierceness Gold Mines chief executive officer Tim Clark claimed in a press release.

” Our company believe the Arctic is most likely to come to be significantly crucial for future mineral expedition and with this in mind, we are thrilled to increase our strategies to improve previous exploration success.”

Along with Board Bay, Fierceness additionally holds 2 gold jobs in the James Bay area of Quebec, both near the previously Newmont-owned Éléonore mine. The firm just recently contributed to its profile with the purchase of Quebec Rare-earth elements (TSXV: QPM).