SilverCrest closes $138M financing, aims to advance Las Chispas
(Kitco News) - SilverCrest Metals (TSX: SIL) (NYSE American: SILV) announced Monday the completion of its prospectus offering for gross proceeds of US$138,069,000, including exercise of the over–allotment option in full.
The company said it plans to use the net proceeds of the offering to expand the Las Chispas resources and reserves through further drilling, to optimize the mine and processing plant design, to explore regional targets, and for general working capital purposes.
The Las Chispas gold and silver project is located approximately 180 kilometres northeast of Hermosillo, Sonora, Mexico. The Las Chispas feasibility study yields an after-tax NPV(5%) of US$486M, undiscounted LOM free cash flow of $656M and IRR of 52 %. The payback period is expected to be 12 months.
SilverCrest is a Canadian precious metals exploration and development company headquartered in Vancouver, BC, that is focused on new discoveries, value-added acquisitions and targeting production in Mexico's historic precious metal districts. The company's current focus is on the high-grade, historic Las Chispas mining district in Sonora, Mexico.