Xali Gold (XGC.V) shares were last seen down 6.3% after the company on Wednesday said it closed a private placement of share, raising C$1 million.
The company placed four-million shares priced at C$0.25 in the placement.
Xali plans to use proceeds to advance the Pico Machay Gold project in Peru and for working capital and general corporate needs.
"We are pleased to welcome two new shareholders to Xali Gold and appreciate their confidence in both our team and the potential of the Pico Machay Gold Project," said Chief Executive Joanne Freeze. "With work underway to support an updated mineral resource estimate and updated Preliminary Economic Assessment ("PEA"), we believe that Pico Machay is entering an important stage of de-risking and offers a compelling opportunity to create value for our shareholders."
The company's shares were last seen down C$0.015 to C$0.225 on the TSX Venture Exchange.
Price: $0.23, Change: $-0.02, Percent Change: -6.25%