SILVER-GOLD: SilverCrest raising $75M in bought deal

[caption id="attachment_1003734266" align="aligncenter" width="550"] Drill site at Las Chispas Credit: SliverCrest[/caption] MEXICO – SilverCrest Metals has announced a $75 million bought deal, led by National Bank Financial, Eight Capital and Scotia Capital, with the underwriters purchasing 9.1 million common shares at $8.25 each. An additional over-allotment option allows the underwriters to purchase up to an additional 15% of the shares offered within 30 days following closing, which is expected around Apr. 3. Based on an agreement between SilverCrest and SSR Mining from November 2018, SSR may maintain its pro-rata interest at up to 9.9% and currently holds 7.6% of the company’s shares. Net proceeds are intended for exploration and development at the company’s Las Chispas project as well as for working capital and administrative purposes. SilverCrest’s main asset is the 14-sq.-km Las Chispas property in Sonora, Mexico, where the company has 19 active drill rigs and is working on a feasibility study expected this year. Current resources at the project, which include 10 of the 36 known veins at the property, stand at 1 million indicated tonnes grading 1,234 g/t silver-equivalent for a total of 39.8 million oz. with additional inferred resources of 3.6 million tonnes at 581 g/t silver-equivalent for 68.1 million oz. In 2019, a preliminary economic assessment for the project outlined a 1,250 t/d underground mine, producing an average of 13.7 million silver-equivalent oz. in the first four years of operation at all-in sustaining costs of US$4.89 per oz. The associated capital cost came in at US$100.5 million with a net present value estimate, at a 5% discount rate, of US$506.9 million and a 7-month payback period. SilverCrest is the first company drilling the past-producing Las Chispas project. For more information, visit www.SilverCrestMetals.com.