Rio Grande Resources Ltd. has closed its over-subscribed non-brokered private placement, raising gross aggregate proceeds of $2,546,500 through the issuance of 12,732,500 units priced at $0.20 per unit.

Each unit comprises one common share and one transferable common share purchase warrant. The warrants entitle holders to purchase an additional share of the company at a price of $0.40 for a period of two years from the date of issuance.

Rio Grande has allocated the net proceeds from the financing toward exploration activities at the Winston gold-silver project in New Mexico and for general corporate purposes. The funding directly supports the company as it advances toward its planned Phase 1 drill program at the property, supported by preceding geophysical surveys and surface sampling campaigns.

In connection with the closing of the private placement, Rio Grande paid $141,510 in finder fees and issued 707,550 finder warrants. Each finder warrant is exercisable into one common share at a price of $0.34 for a period of two years following issuance.

All securities issued under the private placement, including shares, warrants, and finder warrants, are subject to a statutory hold period of four months and one day in accordance with the regulations of the Canadian Securities Exchange.

Read the full announcement: Rio Grande Resources Announces Closing of Over-Subscribed Non-Brokered Private Placement for $2.55 Million