E2 Metals (ASX:E2M) to raise $8.5m from a placement cornerstoned by Eric Sprott

• E2 Metals (E2M) receives firm commitments to raise $8.5 million through a placement to fund further exploration
• It was supported by renowned global investor Eric Sprott who will become a substantial shareholder in the company
• E2 Metals will issue 48.6 million new shares at a price of 17.5 cents each
• Participants will receive an attaching option for every two shares subscribed for, exercisable at 26 cents and expiring in about two years
• Shares are trading 6.82 per cent lower today at 20.5 cents

E2 Metals (E2M) has received firm commitments to raise $8.5 million through a placement to fund further exploration.

It was supported by renowned global investor Eric Sprott who will become a substantial shareholder in the company.

E2 Metals will issue 48.6 million new shares at a price of 17.5 cents each.

Participants will receive an attaching option for every two shares subscribed for. These will be exercisable at 26 cents and expire at the end of March 2024.

The funds will be used for the exploration of the El Rosillo and Conserrat projects in Argentina as well as for additional working capital.

The placement will be issued in two tranches with the second tranche requiring shareholder approval.

“These funds will be used for drilling at Conserrat to further unlock this new and emerging gold and silver district, as well as an inaugural drill program at the exciting El Rosillo gold project where surface work has uncovered high-grade surface mineralisation,” Managing Director Todd Williams said.

“The placement strengthens the register and introduces a number of high-quality mining specialist institutional investors, validating the value inherent in the company’s projects and investment proposition of E2.”

Shares were trading 6.82 per cent lower today at 20.5 cents each at market close.