Midland closes $6.1 million private placement with Centerra Gold

Midland Exploration Inc. (TSX-V: MD) completed a private placement raising $6.1 million in gross proceeds, according to a company statement. The financing consisted of two components: $5.1 million from the sale of 10.65 million flow-through shares at $0.475 each, and $1.05 million from 3.18 million common shares at $0.33 per share.

Centerra Gold Inc. (TSX: CG) (NYSE: CGAU) participated as a new strategic investor and now holds approximately 9.9% of Midland's issued and outstanding common shares. The mining company entered into an Investor Rights Agreement with Midland that grants Centerra certain rights, including the ability to participate in future share issuances to maintain its ownership percentage.

Other participants in the concurrent non-brokered private placement included CDPQ Sodémex Inc., a subsidiary of Caisse de dépôt et placement du Québec, along with SIDEX LP and NQ Investissement Minier LP.

Following the completion of both placements, Midland has 107.45 million common shares outstanding. The company stated that proceeds will fund Canadian exploration expenses qualifying as flow-through mining expenditures, to be incurred by December 31, 2026, and renounced to subscribers by December 31, 2025.

Midland indicated the funds will support exploration activities on its gold projects in Abitibi, James Bay, and northern Quebec over the next 18 months. The company expects to recover refundable tax credits of 22.5% on eligible exploration expenditures.

The offering remains subject to final approval from the TSX Venture Exchange. All securities issued carry a hold period of four months plus one day from the closing date under Canadian securities legislation.

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