IDM Mining Ltd. (TSX-V:IDM) (OTCQB:IDMMF)  announces that it has closed the second tranche of its previously announced private placement raising gross proceeds of approximately $2.45 million, with total gross proceeds of $4.37 million.

The second tranche consisted of 12,431,242 flow-through shares at price of $0.07 per FT Share and 26,449,671 non-flow-through units at a price of $0.06 per Common Unit.   

Each Common Unit consists of one common share of the Company (a “Common Share”) and one-half of one non-transferable common share purchase warrant, with each whole warrant entitling the holder thereof to acquire one Common Share at a price of $0.085 per Common Share for a period of twenty-four (24) months following closing of the Offering.

Osisko Gold Royalties Ltd participated in the Offering by purchasing 16,666,668 Common Units for gross proceeds of $1.0 million. Osisko holds an approximate 18.2% interest in the Company after giving effect to the Offering.

In respect of this second tranche of the Offering, finder’s fees payable consist of a cash payment of $49,700 and 667,142 non-transferrable finders’ warrants.  Each Finders’ Warrant entitles the holder to purchase one common share at a price of $0.085 for period of twelve months following closing of the Offering. 

The securities issued in the second tranche of the Offering are subject to a four-month hold period that will expire on March 21, 2019.

The net proceeds of the Offering will be applied to exploration and development activities on the Company’s Red Mountain Gold Project (the “Project” or “Red Mountain”) located near Stewart, BC and for working capital purposes.

ABOUT IDM MINING LTD.

IDM Mining Ltd. is an exploration and development company based in Vancouver, BC, Canada focused on advancing the Red Mountain Gold Project towards production.  The 17,125 hectare Red Mountain Gold Project is located in northwestern BC, 15 km northeast of the mining town of Stewart.  In 2018, IDM announced a 20.7% increase in high-grade, near-surface measured and indicated resources at Red Mountain.  Located near a paved highway and grid power, IDM envisions bulk underground mining methods, with gold-silver doré produced on site. The Project has recently been granted its Provincial Environmental Assessment Certificate, with a Federal Environmental Assessment Decision expected by January 2019.