Northstar Gold of Canada Plans to Raise C$1.15 Million to Advance Drilling at Miller Copper-Gold Project

en.Wedoany.com Reported - On November 9, Canadian mining company Northstar Gold launched a non-brokered private placement of up to C$1.15 million, with proceeds intended to be prioritized for drilling at the Cam Copper Zone 2 mineralization and the adjacent United Gold mineralization area of its wholly owned Miller Copper-Gold Project in Ontario. The project is located approximately 18 kilometers southeast of Kirkland Lake. The financing consists of two components: a critical minerals flow-through equity financing and a standard mineral exploration flow-through equity financing. The proceeds will support diamond drilling, geological modeling, assay analysis, and subsequent evaluation of exploration targets.

The critical minerals financing component plans to issue up to 16.25 million units at C$0.04 per unit, for gross proceeds of up to C$650,000. Each unit consists of one flow-through share qualifying under Canadian tax law and one-half of one common share purchase warrant, with each whole warrant exercisable at C$0.07 per common share for 24 months following issuance. The company expects to complete an initial tranche of approximately C$500,000 in the near term, with subscription funds primarily from strategic investors supporting critical minerals development and precision mining technologies.

The other flow-through equity financing component plans to issue up to 14,285,700 units at C$0.035 per unit to raise approximately C$500,000. Each unit consists of one flow-through share and one common share purchase warrant, with a warrant exercise price of C$0.075 per share and a 24-month term. Both financings may be completed in multiple tranches, and the proceeds will be invested in qualifying mineral exploration expenditures in accordance with Canadian tax law requirements, subject to approval by the Canadian Securities Exchange.

The proceeds are intended for geological mapping, 3D geological modeling, and block model updates at the Cam Copper Zone 2 mineralization, as well as diamond drilling, core sampling, assaying, and target evaluation at the Cam Copper and United Gold mineralization areas. Qualifying exploration expenditures under the critical minerals financing are expected to be eligible for the 30% Critical Mineral Exploration Tax Credit, while qualifying expenditures under the other flow-through equity financing are expected to be eligible for the 15% Mineral Exploration Tax Credit.

At the Cam Copper deposit, a cross-hole induced polarization and resistivity geophysical survey is underway, focusing on identifying electrical characteristics surrounding the known sulfide mineralization in Zone 2 and searching for potential new mineralized areas extending along the southeast strike. The survey will be used to refine drill targets planned for implementation in late November. In parallel, SGS is conducting mineralogical composition, comminution and grinding, rock mechanics, heavy liquid separation, and flotation tests to provide technical data for subsequent ore processing and mining method evaluation.

The Cam Copper project is also advancing a critical minerals precision mining project with an estimated total scale of approximately C$11 million in collaboration with Canadian companies Novamera Inc. and Micon International, as well as DIGITAL, Canada's Digital Technology Supercluster. In July 2026, Northstar Gold received an initial project expense reimbursement of C$627,663 from DIGITAL and may receive up to approximately C$1.2 million in additional co-investment support based on project execution. The project team is concurrently conducting site surveying, environmental and permitting assessments, and preliminary technical planning for a small-scale precision mining demonstration.

In terms of mineralization distribution, the United Gold mineralization area is located approximately 2.5 kilometers northeast of the Cam Copper deposit, within the approximately 3-kilometer-long and 1-kilometer-wide Miller intrusive complex. The company is linking the exploration work supported by this financing round with the Cam Copper precision mining demonstration, and plans to pursue small-scale copper mining as early as late 2027, subject to obtaining relevant permits, completing mineral resource estimates and technical-economic studies, and validating mining technology.