-- P2 Gold (PGLD.V) said Wednesday that it is raising C$7.5 million in a private placement to Quaternary Group to fund exploration and development expenditures at the Gabbs project in Nevada.
The company will also use the proceeds for general corporate purposes.
P2 said it will issue 10 million units priced at $0.75 apiece. Each unit will consist of one common share and one common share purchase warrant. Each warrant can be exercised at $1.50 per common share for two years.
On completion of the offering, Quaternary Group is expected to increase its P2 stake to 16.0% from 11.4% on a diluted basis and 8.7% from 5.7% on a non-diluted basis.