Outcrop Silver & Gold raising $20 million for Colombia drilling
Outcrop Silver & Gold Corp. [OCG-TSXV, OCGSF-OTCQX, MRG-DE] said it has struck a deal with a syndicate of agents in connection with a best-efforts public offering of units priced at 35 cents each. The offering is expected to generate gross proceeds of $20 million.
Outcrop Silver is focused on advancing its Santa Ana high-grade silver project in Colombia. Outcrop said it is well positioned to transform the Santa Ana project into a significant silver producer, making a positive contribution to the local economy.
Under the terms of the offering, each unit will consist of one common share and one half of one share purchase warrant, each of which will entitle the holder to purchase one common share at an exercise price of 55 cents for 24 months following the closing of the offering, subject to adjustment in certain events. Closing is expected to occur on October 3, 2025.
At any time following the six-month anniversary of the closing date, if the closing price of the shares exceeds 75 cents for 20 or more consecutive trading days, the company may, with 10 days following such an occurrence, accelerate the expiry date of the warrants to 30 days after the holders are notified.
Meanwhile, the agents have been granted an option to increase the size of the offering by an additional number of units equal to the approximately 15% of the total number of units issued under the offering to cover over allotments, if any. That option can be exercised at any time up to 30 days following the closing of the offering.
Outcrop Silver shares advanced on the news, rising 2.7% or $0.01 to 3.7 cents. The shares trade in a 52-week range of 42.5 cents and 16 cents.
The 100%-owned Santa Ana project covers 27,000 hectares within the Mariquita District, through titles and applications, known as the largest and highest-grade primary silver district in Colombia with mining records dating back to 1585.
A maiden resource estimate dated June, 2023, details an estimated indicated resource of 24.2 million ounces of silver equivalent at a grade of 614 g/t and an inferred resource of 13.5 million ounces at a grade of 435 grams per tonne. The company has said the identified resources span seven major vein systems that include multiple parallel veins and ore shoots, including Santa Ana (San Antonia, Roberto Tovar, San Juan shoots}; La Porfia {La Ivana}; El Dorado (El Dorado, La Abeja, shoots); Paraiso (Megapozo); Las Maras; Los Naranjos, and La Isabela.
In a press release on September 3, 2025, the company said drilling is focused on tightening and extending the emerging high-grade core at Guadual North for potential inclusion in the company’s next mineral resource estimate update targeted for early 2026, while continuing to grow the broader Santa Ana vein inventory. Guadual is a prominent vein target in the central part of the Santa Ana project.
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