Thursday, June 26, 2025

Pure Gold Again Postpones Closing Of $30 Million Financing

Pure Gold Mining (TSXV: PGM) is evidently having some level of difficulty closing its previously announced $30.0 million private placement. The firm this morning had a brief update on the matter, indicating it will be extending the closing of the financing to May 25.

The new date for the closing of the financing represents an extension of just under two weeks, with the round initially expected to close on May 13. Further, the company is expecting the financing to close in one or more tranches, however Pure Gold has indicated that it has received allocations of $30.0 million under the offering.

Originally announced on May 6, the financing was for a minimum of $30 million, and was expected to potentially bring in upwards of $40 million, based on demand. Units under the offering are priced at $0.15 per each, with each unit containing one common share and one common share purchase warrant. Warrants are valid for a period of six months at a price of $0.18 per each.

A total of 200.0 million units are expected to be sold under the program, of which 10.0 to 13.3 million were previously indicated to be taken down by insiders of the company. AngloGold Ashanti meanwhile was also expected to maintain its pro rata ownership stake in the company via the financing, with the firm currently able to take up to a 19.9% stake in the firm.

The financing was initially expected to be closed prior to the firms release of its first quarter financial results, however that timeline has since slipped. On May 17, the firm reported declining production of 6,653 ounces of gold, while they sold a total of 7,876 ounces during the quarter for gross revenues of $18.4 million. In a testament to just how difficult of an operation position the company is in, cost of sales meanwhile hit $41.8 million for the same period, with the company refusing to provide an all-in cost of production for the results.

At the time of the results being released, the firm stated that the closing of the financing would notably be the following day, on May 18 – which has also now come and gone.

Pure Gold Mining last traded at $0.18 on the TSX Venture.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Tudor Gold x American Creek: Consolidating A Massive Gold Project

Aura Minerals: The Era Dorada Underground PEA

Gold Is Now Smart Money’s End Game | Doug Casey

Recommended

Goliath Resources Expands 2025 Drill Program To 60,000 Metres

Emerita Resources Formally Appeals Administrative Ruling On Aznalcóllar Related To 2017 Complaint 

Related News

Pure Gold Becomes Subject Of Class Action Lawsuit Filed In BC After Revealing Cash Problems

Things are evidently getting worse for Pure Gold Mining (TSXV: PGM). After announcing last week...

Friday, April 8, 2022, 09:13:21 AM

Pure Gold: Forest Fire Breaks Out Nearby Madsen Mine

It appears that a forest fire has broken out nearby to Pure Gold Mining’s (TSXV:...

Monday, August 10, 2020, 10:28:00 PM

Pure Gold Mining Fails To Hit 2021 Guidance, Sees Cash Dwindle To $6.0 Million

Pure Gold Mining (TSXV: PGM) late last night released its fourth quarter financial results –...

Thursday, March 31, 2022, 09:29:38 AM

Pure Gold Mining Produces 4,595 Ounces In August, Costs Remain High

Pure Gold Mining (TSXV: PGM) this morning posted its production figures for the month of...

Monday, September 12, 2022, 10:49:05 AM

West Red Lake Gold Enters Definitive Agreement For Pure Gold’s Madsen Mine

It's nearly official. West Red Lake Gold Mines (TSXV: WRLG) has reached a definitive agreement...
Thursday, May 18, 2023, 08:30:15 AM