Midland raises $6.1M with Centerra Gold taking 9.9% stake

Midland Exploration Inc. (TSX-V: MD) announced it has arranged private placements totaling approximately $6.1 million in gross proceeds, with Centerra Gold Inc. (TSX: CG) (NYSE: CGAU) participating as a strategic investor.

The financing consists of two components: a charity flow-through offering of $5.06 million through the sale of 10.65 million flow-through shares at $0.475 per share, and a concurrent offering of approximately $1.05 million from the sale of 3.18 million common shares at $0.33 per share.

Upon closing, Centerra Gold will hold 9.9% of Midland's issued and outstanding common shares. The transaction is expected to close on or about July 25, 2025, subject to TSX Venture Exchange approval and execution of an investor rights agreement with Centerra.

"This placement will provide Midland with sufficient funds to ensure the progress and development of our wholly owned gold exploration projects in Abitibi, James Bay, and northern Quebec," said Gino Roger, Midland's president and chief executive officer.

The proceeds from the flow-through shares will be used for Canadian exploration expenses that qualify as flow-through mining expenditures under the Income Tax Act. These expenditures must be incurred by December 31, 2026, and will be renounced to subscribers with an effective date no later than December 31, 2025.

Under the investor rights agreement, Centerra will receive certain rights including the ability to participate in future share issuances to maintain its interest in the corporation. All securities issued will be subject to a four-month-plus-one-day hold period under Canadian securities legislation.

Centerra Gold operates the Mount Milligan mine in British Columbia and the Öksüt mine in Turkey, along with several exploration and development assets.

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