Quimbaya raises $12.5 million for Colombia gold exploration
Quimbaya Gold Inc. [QIM-CSE, QIMGF-OTCQB, K05-FSE] said Friday it is raising $12.5 million from an upsized bought deal offering. Quimbaya is focused on gold mining districts in Colombia, including the regions of Segovia (Tahami Project), Puerto Berrio (Berrio Project) and Abejorral (Maitamarc Project). All three are located in Antioquia Province.
The amount raised is up from an earlier $10 million target.
The net proceeds of the offering are expected to be used to advance the company’s exploration programs, including drilling at the Tahami South project, and follow-up work on regional copper-gold and gold targets, as well as for general working capital.
Commenting on the upsized financing, Quimbaya said the underwriter has agreed to purchase on a bought deal basis, 17.8 million units of the company at a price of 70 cents per LIFE unit.
The company has granted the underwriter an option to purchase for relate up to an additional 15% of LIFE units at the offering price for additional gross proceeds of $1.88 million. That option is exercisable up to 48 hours prior to the closing date.
Each LIFE Unit will consist of one common share and one-half of one common share purchase warrant. Each warrant will be exercisable to acquire one common share for 36 months following the closing date, at an exercise price of $1.00 per share. The offering is scheduled to close by November 4, 2025.
On Friday, the shares eased 8.6% or $0.065 to 69 cents and trade in a 52-week range of 99.5 cents and 36.7 cents.
In a news release on September 22, 2025, Quimbaya said it had mobilized a second drill rig to the Tahami South area of the Tahami Project. The company said the additional drill rig has been deployed to accelerate the ongoing 4,000 metres drill program following positive initial observations in the first holes at Tahami South.
Tahami South is located adjacent to Aris Mining’s Segovia Mine, one of the highest grade and most productive gold operations in Colombia. The project covers a series of mapped epithermal gold-silver veins that trend through both the Segovia Mine and onto Quimbaya’s ground. Despite extensive artisanal activity and positive surface sampling, the property had never previously seen diamond drilling.
Quimbaya recently said it has claimed six new mineral concessions covering 7,637 hectares, strategically expanding its land position within the Segovia gold district. The new claims are contiguous to both the company’s flagship Tahami Project and properties held by Aris Mining Corp. [ARIS-TSX, ARMN-NYSE].
The company said these areas were prioritized following detailed structural interpretation, surface mapping and existing claims, and geochemical sampling on the existing Tahami Project that support the thesis of the continuation of gold-bearing systems across the district.
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