Skeena Resources Announces Flow Through Financing Hours After Closing Financing Package With Franco-Nevada

Skeena Resources (TSX: SKE) is swallowing up whatever capital it can get its hands on. The company last night revealed it would be conducting a flow through financing, less than 24 hours after securing a financing package from Franco-Nevada.

The offering posted last night consists of $10 million that is to be raised via flow through financing. The arrangement will see 1.2 million shares sold at $8.53 per each, proceeds from which will be used for further exploration in the Golden Triangle of BC.

This financing follows an $81 million financing package that it closed with Franco-Nevada that was announced Monday morning. That package saw the sale of a 1.0% net smelter return royalty for $56 million, combined with a $25 million unsecured debenture bearing interest at 7%.

READ: Skeena Resources Reports After-Tax NPV(5%) Of $2 Billion For Eskay Creek Project

The NSR issued brings Franco’s holdings in the company to a total 2.5% NSR on all of the Eskay Creek properties. The debenture meanwhile matures at the earlier of December 2028, or the completion of a financing project for Eskay Creek. The debt can convert into equity at $7.70 per share, which at the time of announcement amounted to a 35% premium.

As of September 30 Skeena reported a cash position of $38.0 million, offset by accounts payable of $31.4 million.

Skeena Resources last traded at $6.06 on the TSX.


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

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Steadright To Conduct Multi-Phased Exploration At Historic Goundafa Polymetallic Mine

Goliath Resources Drills 10.72 g/t Gold Over 7.83 Metres At Surebet

Related News

Skeena Discovers Gold-Copper Porphyry System At KSP, Hits 0.71 g/t Gold Over 381.47 Metres

Skeena Resources (TSX: SKE) is reporting this morning that it has discovered a gold-copper porphyry...

Thursday, January 16, 2025, 08:51:41 AM

Skeena Resources Hits 2.17 G/T Gold, 234 G/T Silver Over 56.34 Metres At Eskay Creek

Skeena Resources (TSX: SKE) this morning reported further results from its ongoing drill program at...

Thursday, November 19, 2020, 08:47:04 AM

Skeena Sees Barrick Exercise Warrants, Sell Out Of 12.9% Ownership Position Entirely

Barrick Gold (TSX: ABX) has apparently done a quick flip on shares of Skeena Resources...

Thursday, March 24, 2022, 08:36:45 AM

Skeena Hits 4.06 G/T Gold Equivalent Over 58.50 Metres At Eskay Creek

Skeena Resources (TSX: SKE) this morning reported further drill results from its ongoing drill campaigns...

Wednesday, February 3, 2021, 08:45:20 AM

Skeena Resources Announces Fully Subscribed $20 Million Flow Through Financing

Skeena Resources (TSX: SKE) this morning announced that it will be conducting a flow-through financing....

Wednesday, February 24, 2021, 09:15:23 AM