Key Takeaways:
Montreal-based Amex Exploration Inc. raised C$59.1 million in a private placement to advance its flagship Perron Gold Project in Quebec.
"The net proceeds of the Offering will be used to fund the capital expenditures for the Company's bulk sampling program and a portion of the phase 1 development of the Perron Gold Project," the company said in a statement on May 21.
The financing involved a non-brokered placement of 1.62 million shares and a brokered placement of 11.5 million shares, both at an offering price of C$4.50 per share. The total offering of 13,126,383 common shares raised aggregate gross proceeds of C$59,068,723.50.
The capital injection allows Amex to accelerate development at its high-grade Perron project. Strategic investor Eldorado Gold, which currently holds a ~25% stake, may increase its investment by up to US$15 million, subject to shareholder approval at a meeting on June 16, 2026.
The funds are earmarked for significant development milestones at the Perron project, located 110 kilometers north of Rouyn-Noranda. Key expenditures include a bulk sampling program, phase 1 development, and a feasibility study for the second phase of the project's development. A portion of the proceeds will also support continued exploration across the company's properties and be used for general corporate purposes.
The offering attracted significant interest, including from existing strategic investor Eldorado Gold Corporation. Eldorado has indicated its intent to purchase up to an additional US$15 million worth of common shares in a subsequent private placement. This move is contingent on receiving disinterested shareholder approval at Amex's upcoming annual general and special meeting of shareholders scheduled for June 16, 2026.
Eldorado currently holds approximately 24.76% of Amex's outstanding common shares following the completion of the offering. The company has agreed to a 90-day lock-up period for its holdings.
The Perron Project consists of 183 contiguous claims and hosts several zones of high-grade gold mineralization. The project benefits from its location and proximity to existing infrastructure, including roads, an airport, and processing plants owned by major gold producers.
This financing signals strong investor confidence in Amex's strategy and the potential of the Perron project. The company's next major catalyst will be the shareholder meeting on June 16 to approve the additional investment from Eldorado, followed by the deployment of capital towards the planned development and exploration programs.
This article is for informational purposes only and does not constitute investment advice.
