Mountain Province Raises $42M in Share Placement
June 28, 14
(IDEX Online News) – Mountain Province Diamonds Inc. has announced the closing of the previously announced non-brokered private placement of common shares for gross proceeds of $41.8 million (C$45.5 million).
Proceeds of the private placement will be used to support the company’s share of capital expenditures at the Gahcho Kué project and for general corporate purposes.
The company issued 9,105,028 common shares at a price of $4.6 (C$5.00) per share. The shares issued under the placement are subject to a four-month hold period.
Mountain Province Diamonds is a 49 percent participant with De Beers Canada in the Gahcho Kué joint venture located at Kennady Lake in Canada's Northwest Territories. The Gahcho Kué Project consists of a cluster of four diamondiferous kimberlites, three of which have a probable mineral reserve of 35.4 million tonnes grading 1.57 carats per tonne for total diamond content of 55.5 million carats.
Overall project development is more than 25 percent complete and scheduled for first production in the second half of 2016.