Kimber raises money for Mexican projects

Kimber Resources (KBR-T, KBX-X) closed its private placement and wound up with $5 million in its coffers.

To raise the sum, Kimber sold four million units at $1.25 a piece with each unit made up of a common share and a half warrant. A full warrant has a strike price of $1.80 for two year as of September 24.

Kimber says it will put the funds into the ground at its Monterde and Setago properties in the Sierra Madre and its Pericones property in the south of Mexico.

The company’s top priority is its Monterde property which sits roughly 260 km southwest of Chihuahua city in the heart of the Sierra Madre gold-silver belt.

So far three gold-silver deposits have been discovered there with the most advanced being the Carmen deposit. Kimber is currently studying a plan to mine the deposit via open pit and underground methods.

The company’s most recent drilling, however, focused on the Veta Minatas deposit at Monterde. At the beginning of the month the company announced intersects highlighted by 4 metres grading 13.8 grams gold and 24.6 grams silver.

Kimber also has the 118 sq. km Pericones property which sits roughly 100 km southwest of Mexico City.

As for Setago, it sits roughly 15 km west of Monterde. The prospect consists of a color anomaly with strong hematite and lesser silicic alteration hosted in felsic volcanic rocks.

In Toronto on Sept. 25, the company’s shares were off nearly 6% or 7 to $1.11 on 24,000 shares traded. It’s stock has moved between 62 and $1.98 over the last 52-week period and it has roughly 58 million shares outstanding.