Comstock Metals (CSL.V) has completed a flow-through offering raising a gross amount of C$535,000 by issuing 5.95 million flow-through units priced at C$0.09 per unit. Each unit consists of one common share and half a warrant whereby a full warrant entitles a warrant owner to purchase an additional share in Comstock Metals at C$0.15 for a period of 18 months. The funds will have to be spent on exploration activities this year, and are a welcome addition to the C$1.1M working capital position Comstock Metals had as of at the end of September 2017.
This placement increases Comstock’s share count to approximately 79.5M shares for a market capitalization of C$6M, which appears to be low for a company working on two fronts.
Drilling at QV has now been completed and all assay results have been received and released by the company, so we don’t anticipate to see any Yukon-related news for the time being. However, Comstock has been completing additional metallurgical studies to increase the recovery rate of the gold from the Preview SW project in Saskatchewan, and we expect the company to report updated recovery rates within the next few weeks.