Gowest Gold has raised just over $6 million to conduct exploration and development work at its Timmins-area properties.
The company announced on Dec. 19 it had closed the final tranche of a non-brokered private placement, issuing 350,000 common share units at a price of $0.16 per unit for $56,000 and 7,373,000 flow-through units at a price of $0.18 per unit for $1,327,140. Gross proceeds total $1,383,140.
Combined with the previous two tranches, Gowest has raised $6,023,211.
Last fall, the company announced the proceeds, combined with other investment deals, will be used for exploration at Gowest’s North Timmins Gold Project, underground development of the Bradshaw Mine, and general working capital purposes.
Bradshaw contains a National Instrument 43-101 indicated resource estimated at 2.1 million tonnes grading 6.19 grams per tonne gold, containing 422,000 ounces gold, and an inferred resource of 3.6 million tonnes grading 6.47 grams per tonne gold, containing 755,000 ounces gold.
Bradshaw’s mineral reserves in the probable category, using a three-grams-per-tonne gold cutoff and utilizing a gold price of US$1,200 per ounce, total 1.8 million tonnes grading 4.82 grams per tonne gold for 277,000 ounces gold.