April 8, 2022
Star Diamond Corp. (TSX:DIAM, BUY, C$1.20 target, Timothy Lee) has announced the completion of its previously announced ~C$4.2M private placement. The financing consisted of ~14M units priced at C$0.30/unit with each unit comprising one common share and one warrant. The warrants can be converted to common shares priced at C$0.40/sh, before April 6, 2024. The proceeds are likely to be used to settle the company’s working capital deficiency, for general corporate purposes, and to technically evaluate its mineral properties, including the Star-Orion South diamond project on the Fort á la Corne property in Saskatchewan. The Star-Orion South project is one of the largest development stage diamond projects in the world. A 2018 PEA estimated that ~66M carats of diamonds could be recovered in an open-pit mine over 34-year mine life, yielding an NPV7% of C$2.0B. Read more
