Deep-South Resources has successfully closed the first tranche, totalling N$3.7 million, as part of the recently announced private placement.
The Canadian mining company aims to raise a total of N$27.5 million through the private placement, with the funds designated for advancing the Haib Copper project in Namibia and conducting exploration activities across its three exploration licenses in Zambia.
Red Cloud Securities Inc. is acting as a finder in the non-brokered private placement, offering up to 30,769,231 units of the exploration company at a price of N$0.89 (equivalent to C$0.065) per unit.
The offering is being executed in two tranches, with the initial tranche expected to conclude on or around August 30th, and the final tranche scheduled for mid-September.
The development follows the renewal of the miner’s prospecting license by the Ministry of Mines and Energy, marking the resolution of a protracted court battle with the government department that arose when the project’s license renewal was denied in 2021.
A preliminary technical and economic study indicates that the Haib Copper mine could have a lifespan of approximately 24 years, with a production capacity of 35,332 tonnes of copper cathode and 51,080 tonnes of copper sulfate per year.