Skeena Resources Ltd (SKE) Secures Funds for Its Eskay Creek Project

Skeena Resources Ltd (NYSE:SKE) is one of the best silver mining stocks to buy. The stock has climbed more than 75% in the past six months and soared more than 145% over the past year.

Skeena Resources Ltd (NYSE:SKE) has recently moved to strengthen its cash position as it continues to advance its Eskay Creek gold-silver project in British Columbia. On April 10, the company announced the closing of its $750 million notes offering. The company said these notes mature in 2031, have an interest rate of 8.5%, and feature a semi-annual interest payment schedule.

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Skeena plans to put proceeds from this offering to various uses. First, it will set aside $94 million to fund interest on the notes for the first three payment schedules. It will use around $184 million to buy back 67% of its gold stream agreement with Orion and affiliates. The gold-stream repurchase will reduce Skeena’s streaming obligation for the Eskay Creek mine to 3.52% of payable gold production from 10.55% for the life of the project.

Skeena plans to set aside around $470 million to fund remaining construction at its Eskay Creek mine and for other general corporate purposes.

The Eskay Creek mine in British Columbia is a gold and silver production project wholly owned by Skeena. On March 31, Skeena provided a status update showing that 49% of the project development had been completed. The company further said the project was on track to meet its production commencement schedule.

Skeena Resources Ltd (NYSE:SKE) is a Canadian mining company focused on gold and silver production. The company is developing the Eskay Creek gold-silver mine in the Golden Triangle area of British Columbia. Production at this mine is targeted for 2027.

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