Coeur Announces Flow-Through Shares Private Placement to Advance Silvertip Exploration
February 26 2024 - 4:34PM
Business Wire
C$34 million of expected proceeds to fund
accelerated exploration program
Coeur Mining, Inc. (“Coeur” or the “Company”) (NYSE: CDE) today
announced that it has arranged a private placement (the “Offering”)
of 7,704,725 flow-through common shares of the Company that will
qualify as “flow-through shares” within the meaning of subsection
66(15) of the Income Tax Act (Canada) (the “flow-through shares”)
for gross proceeds of approximately $25 million (C$34 million),
resulting in a 27% premium. The offering will be subject to a
four-month hold period.
The proceeds of the Offering will be used exclusively for
qualifying Canadian Exploration Expenditures (“CEE”) (as such term
is defined in the Income Tax Act (Canada), in conducting an
exploration and mineral resource evaluation program on the
Silvertip Property in British Columbia and Yukon to determine the
existence, location, extent, and quality of the silver, lead, and
zinc on the Silvertip Property.
The flow-through shares will be privately placed with investors
in certain provinces in Canada pursuant to applicable exemptions
from the prospectus requirements. The initial Offering is expected
to close on or about March 8, 2024. The Offering will be subject to
the satisfaction or waiver of customary closing conditions.
The flow-through shares will only be offered and sold outside
the United States pursuant to Regulation S under the Securities Act
of 1933, as amended (the “U.S. Securities Act”). The Offering has
not been, and will not be, registered under the U.S. Securities Act
or any U.S. state securities laws, and may not be offered or sold
in the United States or to, or for the account or benefit of,
United States persons absent registration or any applicable
exemption from the registration requirements of the U.S. Securities
Act and applicable U.S. state securities laws.
This news release is neither an offer to sell nor a
solicitation of an offer to buy any of these securities and shall
not constitute an offer, solicitation or sale in any jurisdiction
in which such offer, solicitation or sale is unlawful.
About Coeur
Coeur Mining, Inc. is a U.S.-based, well-diversified, growing
precious metals producer with four wholly-owned operations: the
Palmarejo gold-silver complex in Mexico, the Rochester silver-gold
mine in Nevada, the Kensington gold mine in Alaska and the Wharf
gold mine in South Dakota. In addition, the Company wholly-owns the
Silvertip silver-zinc-lead exploration project in British
Columbia.
Cautionary Statements
This news release contains forward-looking statements within the
meaning of securities legislation in the United States and Canada,
including statements regarding the Company’s Silvertip exploration
project, the proposed issuance of flow-through shares and the tax
treatment of the flow-through shares. Such forward-looking
statements involve known and unknown risks, uncertainties and other
factors which may cause Coeur’s actual results, performance or
achievements to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements. Such factors include, among others, the
satisfaction of conditions and completion of the private placement;
the tax treatment of the flow-through shares; the risk that
exploration efforts will not occur on a timely basis or requires
more capital than currently anticipated; the risk that anticipated
production, cost, expenditure and expense levels at our Palmarejo,
Rochester, Wharf and Kensington mines are not attained; the risk
that our Rochester mine expansion commissioning and ramp up is not
completed; the risks and hazards inherent in the mining business
(including risks inherent in developing and expanding large-scale
mining projects, environmental hazards, industrial accidents,
weather or geologically-related conditions); changes in the market
prices of gold and silver and a sustained lower price or higher
treatment and refining charge environment; the impact of
geopolitical conditions, pandemics or epidemics, climate change,
extreme weather events and other macro conditions, including
disruptions to operations, the need for heightened health and
safety protocols, inflation, and disruptions to our vendors,
suppliers and the communities where we operate; the uncertainties
inherent in our production, exploration and development activities,
including risks relating to permitting and regulatory delays
(including the impact of government shutdowns), ground conditions,
grade and recovery variability; any future labor disputes or work
stoppages (involving us or our subsidiaries or third parties); the
risk of adverse outcomes in litigation; the uncertainties inherent
in the estimation of gold, silver, zinc and lead mineral reserves
and resources; impacts from our future acquisition of new mining
properties or businesses; the loss of access or insolvency of any
third-party refiner or smelter to whom we market our production;
the continued effects of the COVID-19 pandemic, including impacts
to workforce, materials and equipment availability; inflationary
pressures; continued access to financing sources; government orders
that may require temporary suspension of operations at one or more
of our sites and effects on our suppliers or the refiners and
smelters to whom we market our production and on the communities
where we operate; the effects of environmental and other
governmental regulations and government shut-downs; the risks
inherent in the ownership or operation of or investment in mining
properties or businesses in foreign countries; and our ability to
raise additional financing necessary to conduct our business, make
payments or refinance our debt, as well as other uncertainties and
risk factors set out in filings made from time to time with the
United States Securities and Exchange Commission, and the Canadian
securities regulators, including, without limitation, Coeur’s most
recent report on Form 10-K. Actual results, developments and
timetables could vary significantly from the estimates presented.
Readers are cautioned not to put undue reliance on forward-looking
statements. Coeur disclaims any intent or obligation to update
publicly such forward-looking statements, whether as a result of
new information, future events or otherwise. Additionally, Coeur
undertakes no obligation to comment on analyses, expectations or
statements made by third parties in respect of Coeur, its financial
or operating results or its securities.
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version on businesswire.com: https://www.businesswire.com/news/home/20240226585753/en/
For Additional Information Coeur Mining, Inc. 200 S.
Wacker Drive, Suite 2100 Chicago, Illinois 60606 Attention: Jeff
Wilhoit, Director, Investor Relations Phone: (312) 489-5800
www.coeur.com
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