Blue Lagoon Resources (CSE: BLLG) continues to see Crescat Capital increase its equity in the firm. The investment follows the macro asset management firm providing a lead order within a $5.7 million non-brokered private placement just last month.
The latest round is serving as a second tranche of that non-brokered financing. The tranche itself amounted to gross proceeds of $1.51 million being raised by the firm via the sale of units. Each unit, priced at $0.55 per each, contains one share and one half of a common share purchase warrant. Warrants sold under the financing are valid for a period of two years from the date of issuance and contain an exercise price of $0.78 per share.
Crescat is said to have taken nearly half of this latest round, while also maintaining its participation right to participate in all future financings.
“We are very pleased to receive a third investment from a sophisticated institutional investor like Crescat who continues to recognize the potential of Dome Mountain for not only the near term production opportunity and the clear potential to significantly increase the known resource on the Boulder Vein, but also for the potential of an Alkali gold system with well defined targets already drilled and ready for advancement as well as multiple targets ready for drill testing in 2022,” said CEO Rana Vig on the development.
Proceeds from the financing are said to be used for further exploration of the firms properties, as well as for general working capital. Following the financing, Blue Lagoon reportedly has $9.0 million in treasury, while also having no debt and $4.0 million worth of warrants sitting in-the-money.
Blue Lagoon Resources last traded at $0.67 on the CSE.
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