Last checked at 
(Sharecast News) - Tertiary Minerals announced on Thursday that it has entered into a share subscription deed with Precious Metals Capital Group, which it described as a US-based institutional specialist investor.
The AIM-traded firm said that under the deed, in the coming days the subscriber would make an investment of ?0.6m by way of a subscription for company shares.
It said the proceeds from the subscription would be used by to fund ongoing exploration, once the recently-announced exploration programmes at the Pyramid Gold and Paymaster Polymetallic projects in Nevada are completed, and to ensure that the company has sufficient working capital for the foreseeable duration of the Covid-19 coronavirus pandemic .
The placing would be made by Precious Metals Capital Group through a prepayment for company shares to be issued, at the subscriber's request, within 24 months of the placing.
A further investment could be made by the subscriber within 12 months after the placement, but only with the consent of the company, in an amount of no more than an additional ?0.6m, through another prepayment for shares.
The number of shares to be issued as a result of the placing would be determined by dividing the subscription amount by 95% of the prevailing price, being the average of the five daily volume-weighted average prices during a specific period immediately before the date of issue.
Alternatively, the subscriber could choose for the subscription price to be equal to 0.42p, being a 133% premium to Tertiary's share price on 1 April.
"The recent impact of Covid-19 on the markets and investment outlook has been substantial," said managing director Richard Clemmey.
"We are therefore very pleased to have attracted further interest from a specialist US institutional investor where the funding will further strengthen the company's cash position and provide additional working capital during these uncertain times as well as enable the company to continue with the planned exploration on its Paymaster Polymetallic and Pyramid Gold projects in Nevada."
At 1609 BST, shares in Tertiary Minerals were up 43.33% at 0.26p.
15 Jul 2022 14:31
IN BRIEF: Tertiary Minerals halts Pyramid project in Nevada
Tertiary Minerals PLC - Macclesfield, England-based mineral exploration and development company - Halts Pyramid silver-gold project in Nevada after review of drill results, released on April 13. The company says termination will result in cash savings of over USD33,000 in lease and claim fees for the remainder of 2022 and over USD75,000 in 2023. It says accumulated costs to be impaired are at GBP361,379 as at March 31.
Read more