Generation Mining announces $20 million bought deal
Generation Mining Ltd.’s [GENM-TSX] has announced details of a $20 million bought deal public offering, saying it will use the proceeds to advance exploration and development of the company’s Marathon Copper-Palladium Project in northwestern Ontario.
“All the metrics are in place for a 2026 production financing and construction start at Marathon,’’ said Generation Mining Chairman Kerry Knoll.
The company said an underwriting syndicate has agreed to purchase, on a bought deal basis, 27.8 million units priced at 72 cents per unit. Each unit will consist of one common share and one half of one common share purchase warrant. Each warrant will entitle the holder to purchase one common share for $1.00 for 24 months following the closing date.
The underwriters have been granted the option to purchase up to an additional number of units equal to 15% of the number of units sold in the offering at the offering price to cover overallotments, if any. That option can be exercised in whole or in part at any time up to 30 days following closing, which is expected to occur on January 15, 2026.
On Thursday, the shares eased 14.1% or $0.11 to 67 cents Thursday and trade in a 52-week range of 92 cents and 10.5 cents.
Back in May 2025, Generation Mining said it has received the final key permit required for the construction of the Marathon Copper-Palladium Project.
“With this final permit, Generation believes that the Marathon Project will be a major step forward in securing domestic supplies of copper and palladium – essential elements for clean energy and advanced technologies,’’ the company said. “With a shovel ready plan and strong community support, the Marathon Project has the potential to deliver critical minerals, create skilled jobs and strengthen the Canadian supply chain for a more resilient future,’’ it said.
The Marathon Project is expected to produce 2.16 million ounces of palladium, 532 million pounds of copper, 488,000 ounces of platinum and 160,000 ounces of gold and 3.05 million ounces of silver in payable metal.
Marathon hosts a large platinum group metal mineral resource. The project is located about 215 kilometres east of Thunder Bay and eight kilometres north of Marathon, in northwestern Ontario. The property covers a land package of 220 square kilometres.
The company released an updated feasibility study in March, 2025. It said the study outlines an open pit operation and process plant over a mine life of 12.5 years and replaces the previous feasibility study dated May 31, 2024.
It pegs the initial capital cost at $992 million but envisages pre-production revenue of $184 million. The processing plant is expected to cost $280 million.
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