CANADIAN mining company Sandspring Resources Ltd has announced continued progress towards the development of its Toroparu mines in Region 7 (Cuyuni/Mazaruni).

The company said it sold  CDN$2.0 Million worth of shares by  Private Placement Equity Financing last week and net  proceeds from the sales  will be used to continue the definitive feasibility study of the Toroparu Gold Project in Region 7 (Cuyuni/Mazaruni) and for general working capital purposes.
The company disclosed that it had closed a non-brokered private placement (sale of) 10,327,000 units of the company to individuals and corporations outside the normal market at a price of CDN$0.20 per Unit for aggregate gross proceeds of CDN$2,065,400.
Each unit consisted of one common share of the company and one common share purchase warrant.
Each purchase warrant gave the holder the right to acquire one additional common share of the company at a price of CDN$0.30 per share until October 7, 2017.
“We are pleased with the continued progress toward completion of the Toroparu feasibility study,” commented Chief Executive Officer (CEO) Rich Munson.
“However, like many other gold companies, we are aware of the potential effect on our project of the current gold price environment and are looking at various optimisation strategies to enhance the profitability of the Toroparu Gold Project in an extended lower gold price environment.”
The securities issued are subject to a hold period expiring on 8th February 2015, in accordance with applicable Canadian securities laws and the rules and policies of the Canadian Stock Exchange (TXSV) and such other restrictions as may apply under applicable foreign securities laws.
The offering remains subject to the final approval of the TXSV.
Sandspring Resources Ltd. is focused on bringing into production its 100%-owned Toroparu Gold Project.
The mine has estimated reserves of 4.1 million ounces of gold.

(By Clifford Stanley)