(TheNewswire)
Calgary, Alberta – TheNewswire- July 1 5 , 2022 -- CMX Gold & Silver Corp. ("CMX" or the“Company”) (Canadian Securities Exchange: CXC) (CNSX:CXC.CN) is pleased to announcethat it has completed the first tranche of the non-brokered privateplacement (the "Offering") described in its news release ofJune 1, 2022. The Company issued an aggregate of 2,860,000 units (the"Units") at a price of CDN$0.09 per Unit for gross proceedsof CDN$257,400. Each Unit consists of one common share in the capitalof the Company (a “Share”) and one-half of one non-transferablecommon share purchase warrant (each whole common share purchasewarrant, a “Warrant”). Each whole Warrant is exercisable toacquire one Share at an exercise price of CDN$0.18 per Share untilJuly 14, 2024 which is 24 months from the date of issuance.
Insiders of the Company acquired an aggregate of710,000 Units in the Offering, which participation constituted a"related party transaction" as defined under MultilateralInstrument 61-101 Protection of Minority Security Holders in SpecialTransactions (“MI 61-101”). Such participation is exempt fromthe formal valuation and minority shareholder approval requirements ofMI 61-101 as neither the fair market value of the Units acquired bythe insiders, nor the consideration for the Units paid by suchinsiders, exceed 25% of the Company's market capitalization. Asrequired by MI 61-101, the Company advises that it expects to file amaterial change report relating to the Offering less than 21 daysbefore completion of the Offering, which is necessary to complete theOffering in an expeditious manner and is reasonable in thecircumstances.
The proceeds of the Offering will be used for workprograms on CMX’s Clayton Silver Project in Idaho, USA, includingplanning and site preparation for future drilling programs and forgeneral working capital purposes.
The securities issued under the Offering, and anyShares that may be issuable on exercise of any such securities, willbe subject to a statutory hold period expiring four months and one dayfrom the date of issuance of such securities.
About CMX
CMX's 100%-owned Clayton Silver Property is located inthe mining-friendly State of Idaho, USA. The property comprisesapproximately 684 acres in Custer County in south-central Idaho,including the former Clayton silver-lead-zinc mine. The Clayton Minewas developed on eight levels to a depth of 1,100 feet below surfaceand is comprised of approximately 19,690 feet of undergrounddevelopment. Two major ore bodies were partially mined: the “SouthOre Body” and the “North Ore Body”.
The recorded production from the Clayton Mine included7,031,110 oz silver, 86,771,527 lbs lead, 28,172,211 lbs zinc,1,664,177 lbs copper, and minor amounts of gold from an estimated2,145,652 tonnes of ore mined between 1934 and 1985. Significantpotential is demonstrated in hole 1501-A, drilled in the mid-1960’s,which penetrated the mineralized zone at 1,425 feet. At that depth,the hole intercepted 22 feet of 4.07 oz Ag/t, 5.75% lead and 5.37%zinc (note: true width is unknown).
The Company has signed an agreement with SulphideRemediation Inc. (“SRI”), a firm specializing in mineralprocessing (see May 31, 2022 news release). SRI utilizes precisionore sorting technology to high-grade mine stockpiles of unprocessedrock to enhance the grade of material delivered to a toll mill. Theresults of testing the ore sorting process on the stockpile materialshould position CMX to generate cash flow in 2023.
The CSE has not reviewed and does notaccept responsibility for the adequacy or accuracy of this newsrelease.
For further information contact: Robert d’Artois,Investor Relations at (604) 329-0845 bobdartois@cmxgoldandsilver.com or Jan M. Alston, President & C.E.O. at (403) 457-2697 janalston@cmxgoldandsilver.com .
You can also visit the Company’s Website:www.cmxgoldandsilver.com
This news release does not constitute an offer to sellor a solicitation of an offer to buy any of the securities in theUnited States. The securities have not been and will not be registeredunder the United States Securities Act of 1933, as amended (the"U.S. Securities Act"), or any state securities laws and maynot be offered or sold within the United States or to U.S. Personsunless registered under the U.S. Securities Act and applicable statesecurities laws or an exemption from such registration isavailable.
Cautionary Statement RegardingForward-Looking Information
Certain information contained in this news releaseconstitutes “forward-looking information” or “forward-lookingstatements” (collectively, “forward-looking information”).Without limiting the foregoing, such forward-looking informationincludes statements regarding the process and completion of theOffering, the use of proceeds of the Offering and any statementsregarding the Company’s business plans, expectations and objectives.In this news release, words such as “may”, “would”,“could”, “will”, “likely”, “believe”, “expect”,“anticipate”, “intend”, “plan”, “estimate” and similarwords and the negative form thereof are used toidentify forward-looking information. Forward looking informationshould not be read as guarantees of future performance or results, andwill not necessarily be accurate indications of whether, or the timesat or by which, such future performance will be achieved.Forward-looking information is based on information available at thetime and/or the Company management’s good faith belief withrespect to future events and is subject to known or unknown risks,uncertainties, assumptions and other unpredictable factors, many ofwhich are beyond the Company’s control. For additional informationwith respect to these and other factors and assumptions underlying theforward-looking information made in this news release, see theCompany’s most recent Management’s Discussion and Analysis andfinancial statements and other documents filed by the Company with theCanadian securities commissions and the discussion of risk factors setout therein. Such documents are available at www.sedar.com under theCompany’s profile and on the Company’s website,https://cmxgoldandsilver.com/home. The forward-looking information setforth herein reflects the Company’s expectations as at the date ofthis news release and is subject to change after such date. TheCompany disclaims any intention or obligation to update or revise anyforward-looking information, whether as a result of new information,future events or otherwise, other than as required by law.
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