Mountain Province Increases Private Placement to $45M

RAPAPORT...  Mountain Province Diamonds Inc. increased the size of its previously announced non-brokered private placement from $35 million to approximately $45 million. The first tranche under the private placement closed on June 12  and the second tranche is expected to close on or before June 20.  Common shares issued under the private placement have been priced at $5 per share and are subject to a four month hold period. 

The proceeds of the private placement will be used to support the company's 49 percent share of capital expenditures at the Gahcho Kué diamond project and for general corporate purposes. De Beers Canada holds a 51 percent stake in the project.

First production from Gahcho Kué is expected in the second half of 2016. The project consists of a cluster of four diamondiferous kimberlites, three of which have a probable diamond content total  of 55.5 million carats.