Snowline Gold Corp. has completed its bought deal public offering, raising aggregate gross proceeds of C$172.59 million following the full exercise of the underwriters' over-allotment option.

The financing involved the issuance of 11,902,500 common shares at a price of C$14.50 per share. Existing strategic shareholder B2Gold Corp. participated in the offering to maintain its 9.9% equity interest in Snowline.

BMO Capital Markets acted as sole bookrunner, heading a syndicate of underwriters that included CIBC World Markets as co-lead. Underwriters received a 4.0% cash commission, dropping to 2.0% for specific subscribers on a president's list. The offering was completed via a prospectus supplement filed in Canadian provinces and territories except Québec, alongside a private placement in the United States.

Snowline intends to deploy the net proceeds to advance its mineral projects across the Yukon Territory and fund general corporate requirements. The scale of the financing has been structured to cover projected costs through engineering and permitting as the company works toward a potential construction decision.

The funding supports the ongoing advancement of the flagship Rogue Project in the eastern Yukon, anchored by the Valley gold deposit. Valley hosts an open Mineral Resource Estimate of 7.94 million ounces of gold at 1.21 g/t Au in the Measured and Indicated categories across 204.0 million tonnes, alongside an inferred resource of 0.89 million ounces of gold at 0.62 g/t Au across 44.5 million tonnes, based on a 0.3 g/t Au cut-off.

The company is advancing toward a Pre-Feasibility Study for the Rogue Project, which is intended to outline technical and economic viability and include an estimate of mineral reserves. The financing closed against a supportive macro backdrop, with the spot price of gold at US$4,415.40 per ounce, representing an increase of 8.83% over a 30-day period.

“The opportunity in front of us at Snowline is immense,” said Scott Berdahl, CEO & Director of Snowline. “We are encouraged by and grateful for the strong investor support in the current financing, with participation from new and existing shareholders, including B2Gold Corp. Our strengthened treasury provides stability against a volatile market backdrop, allowing us to strategically prioritize exploration and development activities, de-risking our path forward and providing means to advance our flagship Valley gold deposit at an accelerated rate. The scale of the raise is informed by our projected costs through engineering and permitting to a potential construction decision.”

— Scott Berdahl, CEO & Director

Read the full announcement: SNOWLINE COMPLETES C$172.6 MILLION BOUGHT DEAL PUBLIC OFFERING OF COMMON SHARES INCLUDING FULL EXERCISE OF OVER-ALLOTMENT OPTION