Comstock prices its stock at $1.59 a share

VIRGINIA CITY — Comstock Mining priced 6.5 million shares or more in a previously announced public stock offering at $1.59 per share, according to a Friday announcement from the firm.

The pricing was disclosed for an offering expected to close Wednesday. The company also has granted underwriters a 30-day option to purchase up to an additional 975,000 shares of common stock to cover any over-allotments that might develop. Net proceeds to the mining company are expected to be about $9.5 million.

Comstock, which mines for silver and gold, will use the net proceeds from the offering for production expansion, exploration and development drilling, as well as for general corporate purposes.

The offering is pursuant to Comstock’s effective shelf registration statement previously filed with the Securities and Exchange Commission.

The firm began acquiring properties in this area in 2003 and wants to continue ramping up production. Shares, which trade under the symbol LODE, closed Friday at $1.75.