Borealis raises $20 million for Nevada gold projects
Borealis Mining Company Limited [BOGO-TSXV, L4B0-FSE] has announced details of a $20 million bought deal private placement offering and said it will use the net proceeds to advance its gold projects in Nevada.
The company said it has struck a deal with an underwriting syndicate in connection with a bought deal offering of 13.34 million common shares priced at $1.50 per share. The underwriters have been granted an option to purchase up to an additional 2.0 million shares at the issue price on the same terms and conditions as the offering. That option can be exercised, in whole or in part, at any time up to 48 hours prior to closing of the offering.
On Tuesday, Borealis shares eased 9.7% or 16 cents to $1.49. The shares trade in a 52-week range of $2.04 and 49 cents.
Borealis is a gold mining and exploration company focused on exploration and resumption of production at the Borealis Mine and the advancement of the Sandman project. Both are located in Nevada. Borealis is a fully permitted mine site, equipped with active heap leach pads, an ADR facility, and all necessary infrastructure to support a heap leach mining operation. In addition to the mine, the property covers 815 unpatented mining claims of approximately 20 acres each totaling approximately 16,300 acres and one unpatented mill site claim of about five acres located in western Nevada. The area is highly prospective for additional high-sulphidation and gold mineralization.
The Borealis mine has historically produced over 600,000 ounces of gold from an open pit heap leach operation. The company has described it as an under-explored property and has not been drilled since 2011, aside from Borealis’ efforts in 2024 and 2025.
The Sandman project, recently acquired through the acquisition of Gold Bull Resources Inc. is an advanced exploration project with a recently completed NI 43-101 compliant resource and a recent (2023) preliminary economic assessment, which indicates compelling economics, particularly in light of the increase in commodity prices since publication of the study.
During the first quarter of fiscal 2026, Borealis completed its transition from development activities into initial gold production by generating its first gold pour from historic stockpiles at the Borealis mine. It also continued advancing preparations for the planned restart of open-pit mining and blasting in early 2026. The gold pour produced 956.8 troy ounces of dore grading 42.6% and 27.8% of silver, resulting in approximately 406.9 payable gold ounces and 263.7 payable silver ounces.
The production decision to restart open-pit mining and blasting operations at the Borealis Mine is not based on a feasibility study of mineral reserves demonstrating economic and technical viability. Therefore, there is no guarantee that the operation will prove to be economically viable.