Tempus Resources (ASX: TMR) has raised $4 million to fund its next stage of exploration at its low risk, high producing, high grade mine in British Columbia, Canada.

Tempus has two major projects: Blackdome-Elizabeth in Canada and Zamora in Ecuador.

The two projects offer investors a good balance of a high-risk, high reward play against certainty (in Canada), where there is an existing resource Tempus feels it can expand on.

Much of the money raised will go towards the Blackdome-Elizabeth Project, which comprises the Blackdome Gold Mine and Elizabeth Gold Deposit located in the Tier-1 jurisdiction of British Columbia, Canada.

Blackdome and Elizabeth are two deposits, making up one project that is significantly de-risked by previous production history, with demonstrated excellent metallurgical recoveries and key approvals and permits received.

Furthermore, with solid infrastructure in place, this project provides Tempus with a pathway for a low cost, fast-track re-start.

Mineral Creek was the subject of a 50% share price rise following the recent release of historical data showing presence of bonanza gold grades.

The money raised will facilitate drilling in mid-late June, with the personnel on site in the next week or two to ensure roads are cleared and to make other preparations for drilling to start.

The 2020 exploration program at Blackdome-Elizabeth is currently on schedule for commencement in the June quarter, and will comprise sampling and analysis of potentially mineralised drill core from previous drilling programs.

Significant drilling and sampling programs will focus on resource extension, verification, and exploration of newly discovered targets, including the prospect 2.5 kilometres from the known Elizabeth deposit.

As for the details of the raise, Tempus successfully completed a bookbuild for the issue of approximately 26,169,868 million new shares to raise approximately $4 million at an average issue price of 15.3 cents per share.

The placement was to sophisticated and institutional investors, including Sprott Capital Partners, a prominent investor in the mining industry and an Asia-based specialist natural resources investment fund.

A small proportion of funds will also be allocated to its operations in Ecuador, the high-risk, high reward project in the company’s overall gold play.

Tempus Resources’ Ecuadorian ground is situated directly adjacent to C$2.6 billion capped Lundin Gold’s (TSE: LUG) Fruta del Norte tenements.

Fruta del Norte hosts an NI43-101 Indicated Mineral Resource of 23.8 million tonnes at 9.61 g/t gold and a further Inferred Mineral Resource of 11.6 million tonnes at 5.69 g/t gold (9.48Moz total).

This is sought after ground.

The $19.3 billion capped Newcrest Mining (ASX: NCM) is seeking to raise $1.1 billion to fund future growth, whilst expanding its exposure to gold production at Fruta del Norte, having raised its ownership stake in Lundin to 32% in December last year.

Newcrest managing director Sandeep Biswas said the purchase was in line with the company’s growth strategy, “The acquisition is expected to be earnings accretive with the gold prepay and stream facilities expected to provide Newcrest with economic exposure to approximately 400,000 ounces of gold from the mine between 2020 and 2026,” Biswas said.

Newcrest’s move w2as a strategic one, given Lundin’s move from C30¢ to C$40 on some eye-watering gold discoveries.

Given its position, Tempus would be hoping for similar traction.

TMR’s Ecuadorian project hosts similar geochemistry, alteration and geological features to Lundin Gold’s Fruta del Norte.

On the back of Lundin’s success, Ecuador has become one of the most sought after exploration jurisdictions for gold and base metals exploration. The South American country is home to mining giants BHP (ASX: BHP), SolGold (LON: SOLG), Fortescue (ASX: FMG) and Newcrest Mining (ASX: NCM).

With money now in the bank, TMR, would be looking to capitalise on its high risk high reward play in Ecuador, whilst furthering its stable Canadian asset with work to begin in Canada in the coming weeks.

Disclaimer: This article is sponsored content from Tempus Resources Limited and does not constitute an endorsement by the publisher.