Big Ridge Gold raising $7.0 million for Newfoundland project
Big Ridge Gold Corp. [BRAU-TSXV] said it is aiming to raise $7.0 million from a non-brokered private placement supported by existing strategic shareholders. Proceeds are earmarked for ongoing engineering studies and resource expansion drilling at the Hope Brook Gold project in Newfoundland and Labrador.
The company said it has initiated a non-brokered private placement of 23.3 million common share units priced at 30 cents per unit. Each unit will consist of one common share and one common share purchase warrant, each of which will entitle the holder to purchase one common share at a price of 46 cents for 36 months after closing, which is expected to occur in early July, 2026.
“Big Ridge is pleased to receive continued support from existing shareholders, including Mr. Michael Gentile who nearly doubled his position in Big Ridge Gold Corp. to 19.9%,’’ said Big Ridge President and CEO Michael Bandrowski. “The company is well financed to complete its ongoing exploration and geotechnical drill programs and continue advancing the project toward the Environmental Assessment phase,’’ he said.
Big Ridge shares advanced on the news, rising 2.9% or $0.01 to 35.5 cents. The shares trade in a 52-week range of 58 cents and $0.09.
“I am very happy to further increase my investment in Big Ridge Gold, one of the most under the radar names I own in my portfolio,’’ said Gentile. “Big Ridge is one of my highest conviction names and I am happy to increase my ownership to 19.9%,’’ he said. “With 100% ownership of the past producing Hope Brook Mine, an upcoming Preliminary Economic Assessment and an experienced management team, the future looks very bright for BRAU shareholders,’’ he said.
Gentile is a former money manager and a strategic investor in the junior mining sector.
Big Ridge is the operator of the Hope Brook Gold project, the site of a former gold mine that produced 752,163 ounces of gold between 1987 and 1997.
The advanced stage Hope Brook project consists of 1,056 mineral claims, covering 26,400 hectares. The property hosts the Hope Brook deposit which consists of the Mine Zone and 240 Zone.
According to a NI-43-101-compliant resource estimate, Hope Brook contains an indicated resource of 844,000 ounces of gold as well as 110,000 ounces in the inferred category. The property also hosts a 28-person camp, existing tailings storage capacity, a 1,100-metre airstrip and is connected to grid power.
Big Ridge also owns a 100% interest in the Oxford Gold project located in Manitoba and the Destiny Gold project in Quebec.