South32 ups investment in American Eagle
Diversified miner South32 has elected to exercise its top-up right to maintain a 19.9% equity interest in American Eagle Gold, following recent share issuances related to American Eagle’s acquisition of the NAK copper/gold project in British Columbia.
American Eagle will issue 1 156 000 charity flow-through shares at C$0.71 a share, generating gross proceeds of about C$820 000. The shares will be sold to an initial subscriber and then acquired by a wholly owned subsidiary of South32 at a discount to the issue price, in line with the November 2024 investor rights agreement between the two companies.
No warrants will be issued and no finders' fees will be paid in connection with the transaction.
“South32’s continued support speaks to the quality of the NAK project and the work our team has done,” said American Eagle CEO Anthony Moreau. “We’ve planned a bold drill programme to grow the size and grade of the deposit. American Eagle is well capitalised with over $36-million and we are in a strong position to move NAK forward and show its potential. We expect 2025 to be a pivotal year, with steady drill results throughout.”
The investment follows American Eagle’s recent move to complete its 100% option on the NAK project, located in the Babine district.
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