Kincora Copper has brought in over C$4.5 million via a placement to be used for drilling at its East Tsagaan Suvarga and Bayan Tal targets in Mongolia. The company will shortly undertake an extensive two-phase drill program at these prospects.
Kincora has issued more than 13.7 million shares at 33 cents each to raise C$4,524,687. Each unit consisted of one share and one-half a share purchase warrant, with each warrant entitling the holder to acquire a further share for 44.5 cents for a period of two years.
Kincora's president and chief executive Sam Spring said: "We are encouraged by the support received from new and existing investors despite a challenging market for junior explorers, with many new groups having undertaken detailed due diligence providing validation of our exciting dual exploration and expansion strategy.
“This is testament to the quality of Kincora’s targets and the strategic value of our dominant position in this highly mineralized but vastly underexplored Devonian belt, which we are shortly looking to drill test for the first time by any explorer since 2012.
“This new equity will significantly strengthen Kincora's ability to test a number of Tier 1 copper porphyry targets while enabling the company to further enhance its holdings on the belt.”
He said that the copper price remained favourable, with prices increasing 50% since the company secured the IBEX transaction. He added that with multiple value-add work streams now funded, it planned to “increase awareness for what is effectively a new copper junior to the wider public markets”.
Kincora last year surpassed Rio Tinto and related entities to become the dominant landholder along the Devonian copper-gold belt in Mongolia.
“Kincora will shortly initiate an extensive two-phase drill program at the East Tsagaan Suvarga and Bayan Tal targets for up to 16,000 metres, while advancing its district-scale, multi-target, multistage pipeline up the value curve,” Sam Spring added.