West Red Lake Gold Secures Financing for Madsen Mine Restart
- West Red Lake Gold Mines Ltd. announced securing over C$68 million to finance Madsen Gold Mine's restart.
- The financing is crucial for ongoing test mining, capital projects, and completing a pre-feasibility study.
- The company is well-positioned to achieve its strategic operational goals following the financing completion.
On October 17, 2024, in Vancouver, British Columbia, West Red Lake Gold Mines Ltd. announced that it secured commitments exceeding C$68 million to finance the restart of its Madsen Gold Mine. This financing comes as part of a non-binding term sheet, pending final documentation and due diligence. Shane Williams, the President and CEO, emphasized that these funds will enable the company to complete a pre-feasibility study and continue with ongoing mine-related projects. The company plans to utilize these funds for various initiatives, including the necessary tests and proactive capital projects to ensure a smooth ramp-up of operations at Madsen. Alongside the capital raised, they have existing cash on hand, positioning West Red Lake Gold to move forward effectively within their defined strategic plan. The announcement also mentioned that an Over-Allotment Option has been granted to Raymond James, allowing for additional shares and warrants to be purchased. There are plans to also offer the units through a private placement in select jurisdictions outside of Canada and the U.S., where applicable regulations allow. Investors were cautioned regarding forward-looking statements contained within the release, highlighting that actual results could differ based on various risks related to market conditions and project timelines, urging them to consider these uncertainties in their decision-making processes.