Marimaca Copper Raises US$17.7M to Propel Chile Project Forward
Marimaca Copper has successfully closed the second tranche of a US$17.7 million private placement, bolstering funds to advance its flagship copper project in Chile. This capital injection marks a significant step in progressing the Marimaca Copper Project’s feasibility and exploration activities.
- Second tranche of private placement raises US$17.7 million
- Total of 5.3 million shares issued across both tranches
- Funds earmarked for Marimaca Copper Project development and exploration
- Shares subject to four-month hold period under Canadian law
- Mitsubishi Corporation offered pro rata option to participate
Capital Injection to Fuel Growth
Marimaca Copper Corp. has announced the closing of the second tranche of its non-brokered private placement, securing approximately US$17.7 million in gross proceeds. This latest funding round involved issuing over 811,000 common shares to a new institutional investor, bringing the total shares issued across both tranches to more than 5.3 million. The capital raised is set to underpin the advancement of Marimaca’s flagship copper project located in Chile’s Antofagasta Region.
Strategic Focus on Marimaca Copper Project
The funds will primarily support exploration efforts and the ongoing Definitive Feasibility Study for the Marimaca Copper Project, which hosts the Marimaca Oxide Deposit, an IOCG-type copper deposit. This study, led by Ausenco Chile Ltda., is a critical step toward unlocking the project’s full potential and moving closer to production. Additionally, the company will allocate resources to general corporate purposes, ensuring operational flexibility.
Shareholder Dynamics and Regulatory Compliance
The shares issued under this placement are subject to a statutory hold period of four months and one day, in line with Canadian securities regulations. Notably, Mitsubishi Corporation, which currently holds approximately 4.6% of Marimaca, has been offered a pro rata option to purchase shares on the same terms within 30 business days, signaling potential further strategic involvement. Greenstone Resources L.P. and affiliates have waived their participation rights, clearing the way for new investors.
Implications for Market and Project Trajectory
This capital raise not only strengthens Marimaca’s financial position but also reflects growing institutional confidence in the company’s Chilean copper assets. With copper demand expected to remain robust amid global energy transitions, advancing the Marimaca project could position the company favorably in the market. However, the company cautions that the use of proceeds may evolve based on board decisions and that forward-looking statements carry inherent risks.
Bottom Line?
Marimaca’s fresh capital boost sets the stage for critical project milestones and potential strategic partnerships ahead.
Questions in the middle?
- Will Mitsubishi Corporation exercise its option to increase its stake?
- How will the Definitive Feasibility Study results influence project timelines?
- What impact will this capital raise have on Marimaca’s share price and investor sentiment?
