Radisson closes $4.5m deal to develop historic Quebec gold mine

Miners in the historic O’Brien mine in the 1950s, where Radisson Mining Resources is exploring for gold. Image from Radisson Mining Resources.

QuĂ©bec â€“ based Radisson Mining Resources’ (TSX-V: RDS) stock was up over 3% Friday, after closing on a C$6 million (USD$4.5 million) private placement.   

The financing consisted of the issuance of 20.6 million units at C $0.15 per unit, for C$3.09 million, 3 million flow-through shares at C$0.16 per share, for C$499,983, and 11.5 million flow-through Class A shares at C$0.21 for C$2.4 million.  

Rob McEwen, owner of McEwen Mining and founder and former CEO of Goldcorp invested C$500,000, Radisson said. 

The proceeds will be used to fund the exploration and development of the 100% owned O’Brien gold project and for general corporate and working capital purposes.  

The O’Brien project is an advanced exploration project located in the Abitibi region in northwestern QuĂ©bec.  

The O’Brien mine was considered the highest grade gold producer in Quebec between 1926 and 1957, when the underground operation churned out 1.20 million tonnes grading 15.25 grams gold per tonne for 587,121 oz. gold.

At market close Friday, Radisson’s shares were trading at C$0.16. The company has a C$22.6 million market capitalization.  

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