/THIS NEWS RELEASE IS INTENDED FOR
DISTRIBUTION IN CANADA ONLY AND IS
NOT INTENDED FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./
TORONTO, March 22,
2023 /CNW/ - Collective Mining Ltd. (TSXV:
CNL) (OTCQX: CNLMF) ("Collective" or the "Company")
is pleased to announce that is has closed its previously announced
"bought deal" offering of common shares of the Company (the
"Shares") for aggregate gross proceeds of approximately
C$30 million (the "Offering").
The Offering was conducted by a syndicate of underwriters co-led by
BMO Capital Markets and Clarus Securities Inc., and including
Canaccord Genuity Corp., Cormark Securities Inc. and PI Financial
Corp. (collectively, the "Underwriters"), and consisted of
the sale of 7,060,000 Shares at a price of C$4.25 per Share.
The net proceeds from the Offering are expected to be used to
fund ongoing work programs to advance the Guayabales Project, to
pursue other exploration and development opportunities, and for
working capital and general corporate purposes, as more fully
described in the prospectus supplement (the "Prospectus
Supplement") of the Company dated March
17, 2023.
The securities issued pursuant to the Offering were qualified
for distribution pursuant to the Prospectus Supplement and a short
form base shelf prospectus (the "Base Shelf Prospectus")
dated November 9, 2021, filed in each
of the provinces and territories of Canada, other than Quebec, and offered and sold elsewhere outside
of Canada on a private placement
basis. The Prospectus Supplement, Base Shelf Prospectus, and the
documents incorporated by reference therein, are available on the
Company's issuer profile on SEDAR at www.sedar.com.
In connection with the completion of the Offering, the
Underwriters received a cash commission of approximately
C$1.789 million.
Certain officers and directors of the Company (collectively, the
"Insiders") purchased an aggregate of 117,730 Shares
pursuant to the Offering. Participation by the Insiders in the
Offering was considered a "related party transaction" pursuant to
Multilateral Instrument 61-101 – Protection of Minority Security
Holders in Special Transactions ("MI 61-101"). The
Company was exempt from the requirements to obtain a formal
valuation or minority shareholder approval in connection with the
Insiders' participation in the Offering in reliance of sections
5.5(a) and 5.7(1)(a) of MI 61-101. A material change report in
connection with the participation of Insiders in the Offering will
be filed less than 21 days in advance of the closing of the
Offering, which the Company deemed reasonable in the circumstances
so as to be able to avail itself of potential financing
opportunities and complete the Offering in an expeditious
manner.
The securities referred to in this news release have not been
and will not be registered under the United States Securities Act
of 1933, as amended (the "U.S. Securities Act"), or any
state securities laws and may not be offered or sold within
the United States or to, or for
the account or benefit of, "U.S. Persons" (as such term is defined
in Regulation S under the U.S. Securities Act) absent such
registration or an applicable exemption from the registration
requirements of the U.S. Securities Act and applicable state
securities laws. This news release does not constitute an offer for
sale of securities for sale, nor a solicitation for offers to buy
any securities. Any public offering of securities in the United States must be made by means of a
prospectus containing detailed information about the company and
management, as well as financial statements.
About Collective Mining
Ltd.
To see our latest corporate presentation and related
information, please visit www.collectivemining.com
Founded by the team that developed and sold Continental Gold
Inc. to Zijin Mining for approximately $2
billion in enterprise value, Collective Mining is a copper,
silver and gold exploration company with projects in Caldas,
Colombia. The Company has options
to acquire 100% interests in two projects located directly within
an established mining camp with ten fully permitted and operating
mines.
The Company's flagship project, Guayabales, is anchored by the
Apollo target, which hosts the large-scale, bulk-tonnage and
high-grade copper-silver-gold Apollo porphyry system. The Company's
near-term objective is to drill the shallow portion of the porphyry
system while continuing to expand the overall dimensions of the
system, which remains open in all directions. Management, insiders
and close family and friends own approximately 50% of the
outstanding shares of the Company and as a result, are fully
aligned with shareholders. The Company is listed on the TSXV under
the trading symbol "CNL" and on the OTCQX under the trading symbol
"CNLMF".
Information Contact:
Follow Executive Chairman Ari
Sussman (@Ariski) and Collective Mining
(@CollectiveMini1) on Twitter
CAUTIONARY NOTE REGARDING
FORWARD-LOOKING INFORMATION
This news release contains "forward-looking information" and
"forward-looking statements" (collectively, "forward-looking
statements") within the meaning of the applicable Canadian and U.S.
securities legislation. All statements, other than statements of
historical fact, are forward-looking statements and are based on
expectations, estimates and projections as at the date of this news
release. Any statement that involves discussion with respect to
predictions, expectations, beliefs, plans, projections, objectives,
assumptions, future events or performance (often, but not always
using phrases such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"believes" or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved) are not statements of historical fact and may be
forward-looking statements. In this news release, forward-looking
statements relate, among other things, to: the anticipated use of
the net proceeds from the Offering therefrom; anticipated
advancement of mineral properties or programs; future operations;
future growth potential of Collective; and future development
plans.
These forward-looking statements, and any assumptions upon
which they are based, are made in good faith and reflect our
current judgment regarding the direction of our business.
Management believes that these assumptions are reasonable.
Forward-looking information involves known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by the forward-looking information: risks
related to the speculative nature of the Company's business; the
Company's formative stage of development; the impact of COVID19 on
the timing of exploration and development work; the Company's
financial position; possible variations in mineralization, grade or
recovery rates; actual results of current exploration activities;
conclusions of future economic evaluations; fluctuations in general
macroeconomic conditions; fluctuations in securities markets;
fluctuations in spot and forward prices of gold, precious and base
metals or certain other commodities; fluctuations in currency
markets; change in national and local government, legislation,
taxation, controls regulations and political or economic
developments; risks and hazards associated with the business of
mineral exploration, development and mining (including
environmental hazards, industrial accidents, unusual or unexpected
formation pressures, cave-ins and flooding); inability to obtain
adequate insurance to cover risks and hazards; the presence of laws
and regulations that may impose restrictions on mining; employee
relations; relationships with and claims by local communities and
indigenous populations; availability of increasing costs associated
with mining inputs and labour; the speculative nature of mineral
exploration and development (including the risks of obtaining
necessary licenses, permits and approvals from government
authorities); and title to properties. Such factors are described
in detail in the Prospectus Supplement and the documents
incorporated by reference therein.
Forward-looking statements contained herein are made as of
the date of this news release and the Company disclaims any
obligation to update any forward-looking statements, whether as a
result of new information, future events or results, except as may
be required by applicable securities laws. There can be no
assurance that forward-looking information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements and there may
be other factors that cause results not to be anticipated,
estimated or intended. Accordingly, readers should not place undue
reliance on forward-looking information.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this news
release.
SOURCE Collective Mining Ltd.