(TheNewswire)
Coquitlam, BC – TheNewswire- October 25, 2021 - Canada Silver Cobalt WorksInc. (TSXV:CCW) (OTC:CCWOF) (Frankfurt:4T9B)(the " Company " or " Canada Silver Cobalt ") announces that ithas completed a fully-subscribed marketed public offering by raisingtotal proceeds of approximately $7.5 million, including approximately$975,000 following the exercise in full of an over-allotment option byResearch Capital Corporation and Canaccord Genuity Corp., the co-leadagents for the offering. At closing, Canada Silver Cobalt issued20,884,109 units (“ Units” ) at a price of $0.21 per Unit for proceeds of $4,385,663 and 13,431,900flow-through units (“ FTUnits ”) at a price of $0.23 per FT Unit forproceeds of $3,089,337.
Canada Silver Cobalt intends to use the proceeds fromthe offering of the FT Units to incur Canadian Exploration Expenses on theCompany’s Castle Silver Mine property in Haultain and NicolTownships, Ontario and to use the net proceeds from the offering ofthe Units for continued exploration activities, working capital andgeneral corporate purposes.
The offering was conducted on a "bestefforts" agency basis and was co-led by Research CapitalCorporation, as sole bookrunner, and Canaccord Genuity Corp.
This press release shall not constitute an offer tosell or the solicitation of an offer to buy, nor shall there be anysale of these securities, in any jurisdiction in which such offer,solicitation or sale would be unlawful prior to the registration orqualification under the securities laws of any suchjurisdiction.
About Canada Silver Cobalt WorksInc.
Canada Silver Cobalt Works Inc. recently discovered amajor high-grade silver vein system at Castle East located 1.5 km fromits 100%-owned, past-producing Castle Mine near Gowganda in theprolific and world-class silver-cobalt mining district of NorthernOntario. This discovery has the highest silver resource grade in theworld, with recent drill intercepts of up to 89,853 grams/tonne silver(2,621 oz/ton Ag). A drill program is underway to expand the size ofthe deposit with an update to the resource estimate scheduled for Q12022.
In May 2020, based on a small initial drill program,the Company published the region’s first 43-101 resource estimatethat contained a total of 7.56 million ounces of silver in Inferredresources, comprising very high-grade silver (8,582 grams per tonneun-cut or 250.2 oz/ton) in 27,400 tonnes of material from two sections(1A and 1B) of the Castle East Robinson Zone, beginning at a verticaldepth of approximately 400 meters. Note that mineral resources thatare not mineral reserves do not have demonstrated economic viability.Please refer to Canada Silver Cobalt Works Press Release May 28, 2020,for the resource estimate. Report reference: Rachidi, M. 2020, NI43-101 Technical Report Mineral Resource Estimate for Castle East,Robinson Zone, Ontario, Canada, with an effective date of May 28,2020, and a signature date of July 13, 2020.
Canada Silver Cobalt’s flagship silver-cobalt Castlemine and 78 sq. km Castle Property feature strong exploration upsidefor silver, cobalt, nickel, gold, and copper. With underground accessat the fully owned Castle Mine, an exceptional high-grade silverdiscovery at Castle East, a pilot plant to produce cobalt-rich gravityconcentrates on site, a processing facility (TTL Laboratories) in thetown of Cobalt, and a proprietary hydrometallurgical process known asRe-2Ox (for the creation of technical-grade cobalt sulphate as well asnickel-manganese-cobalt (NMC) formulations), Canada Silver Cobalt isstrategically positioned to become a Canadian leader in thesilver-cobalt space. More information atwww.canadasilvercobaltworks.com.
“Frank J. Basa”
Frank J. Basa, P. Eng.
Chief Executive Officer
For further information, contact:
Frank J. Basa, P.Eng.
Chief Executive Officer
416-625-2342
Neither the TSX Venture Exchange norits Regulation Service Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release.
Caution RegardingForward-Looking Statements
This news release may containforward-looking statements which include, but are not limited to,comments regarding the public offering and comments that involve otherfuture events and conditions, which are subject to various risks anduncertainties. Except for statements of historical facts, commentsthat address the public offering, resource potential, upcoming workprograms, geological interpretations, receipt and security of mineralproperty titles, future financings, availability of funds, and othersare forward-looking. Forward-looking statements are not guarantees offuture performance and actual results may vary materially from thosestatements. General business conditions are factors that could causeactual results to vary materially from forward-looking statements. Adetailed discussion of the risk factors encountered by Canada SilverCobalt is available in the Company’s Annual Information Form datedJuly 19, 2021 for the fiscal year ended December 31, 2020 availableunder the Company’s profile on SEDAR at www.sedar.com.
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