The private placement would offer 14.5 million flow-through common shares, priced at US$1.04/share, and was expected to close on March 1, 2022.
The offering followed the company's recent announcement about the preliminary economic assessment results for the Fox complex, which showed a mine life of approximately 12 years. The PEA results supported the company's decision to focus on its executive strategy.
The proceeds would be used solely for qualifying Canadian Exploration Expenditures (CEE) on its property in the Timmins region of Ontario. This includes the gold producing Fox complex as well as the nearby Lexam complex.
McEwen Mining is a gold and silver producer and explorer with operating mines in the US, Mexico and Argentina, in addition to its Canadian operations. It also owns the Los Azules copper deposit in Argentina through its subsidiary McEwen Copper.
On February 11, McEwen Mining traded on the TSX at C$1.12/share, up 2.75% on the day. Its shares struggled to climb back above $1.20 this year. The company only surpassed that level on two occasions, both in January.
