Copper Giant Resources (CGNT.V) on Thursday said Denarius Metal will invest C$28.8 million in the company for a 15.6% equity stake.
Copper Giant shares were up 9.5% at C$0.92 at last look on the TSX Venture Exchange.
Copper Giant will issue nearly 43.1 million common shares at C$0.72 per share in a private placement to raise C$31 million. Denarius will subscribe for 40 million shares for C$28.8 million, a statement said.
Frank Giustra and Ian Harris, president and chief executive officer of Copper Giant, are also participating.
Trafigura has also been granted long-term offtake rights for 20% of copper and 20% of molybdenum concentrate production from Copper Giant's Mocoa project in Colombia. The offtake is conditional on financing being completed.
"This transaction changes the trajectory of Mocoa. Denarius's investment gives us the capital to move through the PEA and accelerate the next phase toward a construction decision, while Trafigura provides a long-term route to global markets," Harris said. "Together, these partners bring Colombian operating experience, market reach and long-term alignment at a pivotal moment for copper and for Colombia."
Price: $0.92, Change: $+0.08, Percent Change: +9.52%