CAPITAL MARKETS

Foran raises C$5m to advance McIlvenna Bay

Vancouver-based Foran Mining Corp (TSXV: FOM) has taken advantage of recent strengthening in its share price to raise C$5 million via a non-brokered placement to fund winter drilling at the McIlvenna Bay zinc-copper project in east-central Saskatchewan.

Staff reporter
 Foran Mining Corp expects to start winter drilling at McIlvenna Bay next month

Foran Mining Corp expects to start winter drilling at McIlvenna Bay next month

The company, which last week announced a technical services arrangement with Glencore to advance its feasibility study on McIlvenna Bay, is issuing 10.2 million shares at C49c - a handy premium to its last trading price of 40c.

Foran's share price has kicked about 60% since July, giving it a market value this week of about $40 million.

A late 2014 PEA for McIlvenna Bay had a C$400 million mine development (life-of-mine capex) generating a 19% after-tax IRR and $263 million after-tax NPV on a circa-14 year operation producing 27,000tpa of zinc, 17,000tpa of copper, plus lead (544tpa), gold (16,000ozpa) and silver (398,000ozpa). That was using a zinc price 40% the current.

Foran president and CEO Patrick Soares said the company wanted to start drilling at Hanson Lake next month. The work will include exploration drilling at the Target A geophysical anomaly, south-west of the main McIlvenna Bay deposit, which Soares has described as a "potential game changer", "and other high priority targets" in the area.

Foran owns 100% of McIlvenna Bay and other VMS zinc-copper targets such as Bigstone around Hanson Lake.

 

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.

editions

Mining Journal Intelligence Mining Equities Report 2023

Access an exclusive, inside look on the quarterly mining IPOs and secondary raisings data and mining equities performance tables with an annual Stock Exchange Comparisons supplement.

editions

Mining Journal Intelligence World Risk Report 2023 (feat. MineHutte ratings)

A detailed analysis of mining investment risks across 121 jurisdictions globally, built on 11 ‘hard risk’ metrics and an industrywide survey.

editions

Mining Journal Intelligence Global Leadership Report 2023: Social licence

Gain insights into social licence trends and best practices from interviews with 20+ top mining company executives and an industrywide survey.