Copper Fox Metals increases private placement financing to $4 mln

Junior miner Copper Fox Metals (CVE:CUU) plans to increase the size of its previously announced non-brokered private placement financing to $4 million, the company said Monday. 

The new offering consists of 3.27 million units to be sold for $1.22 each. 

The previous financing, announced on November 17, called for 1.4 million units for $1.35 each. 

Each unit consists of one common share and one common share purchase warrant of Copper Fox, with each warrant giving the holder the right to buy one extra share for a price of $1.35 on the first anniversary of the offering's closing date.  

The proceeds will go toward funding work on the feasibility study of the Schaft Creek project, the company said.

Director Ernesto Echavarria has committed to participate in 100 percent of the offering.  

The Schaft Creek project rests 45 kilometres west of the Stewart-Cassiar Highway and approximately 80 kilometres south of Telegraph Creek in northwestern British Columbia. 

In a statement, chief executive, Elmer Stewart, said: “This financing commitment combined with direct advances already provided to the company by Echavarria continue to demonstrate his strong commitment to Copper Fox and to the Schaft Creek project.”

Copper Fox, headquartered in Calgary, is working on finishing its feasibility study on the Schaft Creek deposit, one of the world’s largest undeveloped copper, gold and molybdenum deposits in North America. 

The feasibility study is being led by Tetra Tech (NASDAQ:TTEK), based on a minimum 120,000 tonnes per day open pit mine, and should be completed by the fourth quarter this year.