/NOT FOR DISTRIBUTION TO THE UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
VANCOUVER, BC, Dec. 14, 2020 /CNW/ - Solaris Resources
Inc. (TSXV: SLS) ("Solaris" or the "Company") is pleased to
announce a fully subscribed non-brokered private
placement raising gross proceeds of C$52 million (the "Private Placement") allowing
for the significant expansion of the ongoing exploration program at
its Warintza Project ("Warintza" or "the Project") in southeastern
Ecuador.
Highlights are listed below and a map is provided in Image
1.
Highlights
- Significant expansion in exploration program from three drill
rigs to six drill rigs
- Expanded drill program includes Warintza West, where initial
drilling has recently commenced (see press release dated
December 10, 2020), and maiden
drilling at Warintza East, El Trinche, and Warintza South in
2021
- Drilling will continue at Warintza Central, where recent
drilling has intersected over 1km of high-grade mineralization from
surface and significantly extended mineralization beyond the limits
of shallow historical drilling (see press release dated
November 23, 2020)
- Private Placement fully subscribed by insiders and strategic
partners of the Company raising aggregate gross proceeds of
C$52 million
Mr. Jorge Fierro, Vice President,
Exploration, commented: "Our drilling continues to demonstrate
major extensions of mineralization at Warintza Central. To date, we
have drilled 13,900 meters at Warintza Central, with assays pending
on six additional holes. The majority of this drilling was
completed with less than three drill rigs. With the additional
funds and drill rigs, our program will be accelerated and expanded
to test further targets showing similar surface expressions as
Warintza Central within the 5km-by-5km cluster of porphyries
identified to date."
Fully Subscribed Private Placement
Pursuant to the Private Placement, Solaris will offer 10 million
units ("Units") at a price of C$5.20 per Unit with each Unit comprised of one
common share of the Company (a "Common Share") and one half
of one common share purchase warrant (a "Warrant"). Each
Warrant entitles the holder to purchase one Common Share for a
period of two years at an exercise price of C$6.75.
The Private Placement is fully subscribed by the Company's
insiders and strategic partners, including Richard Warke, Equinox Gold Corp. and other
strategic investors.
The net proceeds from the Private Placement will be used to fund
exploration activities, technical studies, community social
relations programs and permitting at the Company's projects and for
general and working capital purposes. The Common Shares and
Warrants issued under the Private Placement will be subject to a
statutory hold period in Canada of
four months and one day following the closing date.
The securities to be offered pursuant to the Private Placement
have not been, and will not be, registered under the U.S.
Securities Act of 1933, as amended (the "U.S. Securities
Act") or any U.S. state securities laws, and may not be offered
or sold in the United States
absent registration under the U.S. Securities Act and all
applicable U.S. state securities laws or compliance with the
requirements of exemptions therefrom. This news release shall not
constitute an offer to sell or the solicitation of an offer to buy
securities in the United States,
nor shall there be any sale of these securities in any jurisdiction
in which such offer, solicitation or sale would be unlawful.
Participation by insiders in the Private Placement is considered
to be a "related party transaction" as defined under Multilateral
Instrument 61-101 – Protection of Minority Securityholders in
Special Transactions ("MI 61-101"). Such related party
transaction will be exempt from the formal valuation and minority
shareholder approval requirements of MI 61-101 as neither the fair
market value of any Units issued to or the consideration paid by
such persons will exceed 25% of the Company's market
capitalization.
A finder's fee commensurate with TSX Venture Exchange policies
will be paid where applicable. Closing of the Private Placement is
subject to certain conditions including, but not limited to, the
receipt of all necessary regulatory and other approvals including
the conditional approval of the TSX Venture Exchange. The TSX
Venture Exchange does not accept responsibility for the adequacy or
accuracy of this release.
Image 1 – Location Map
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in polices of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release. The statements made in this press release may contain
certain forward-looking statements that involve a number of risks
and uncertainties. Actual events or results may differ from
the Company's expectations.
On behalf of the Board of Solaris Resources Inc.
"Daniel Earle"
President & CEO, Director
About Solaris Resources Inc.
Solaris is advancing a portfolio of copper and gold assets in
the Americas, which includes: a high-grade resource with expansion
and additional discovery potential at the Warintza copper and gold
project in Ecuador; discovery
potential on the grass-roots Tamarugo project in Chile and Capricho and Paco Orco projects in Peru; exposure to US$130M spending / 5-yrs through a farm-out
agreement with Freeport-McMoRan on the Ricardo Project in
Chile; and significant leverage to
increasing copper prices through the 60%-interest in the
development-stage La Verde
joint-venture project with Teck Resources in Mexico.
Cautionary Notes and Forward-looking
Statements
This document contains certain forward-looking information
and forward-looking statements within the meaning of applicable
securities legislation (collectively
"forward-looking statements"), such as that
Solaris will offer 10,000,000 Units at C$5.20 per Unit for gross proceeds of
C$52,000,000 pursuant to the Private
Placement; the terms of the Private Placement; the participants in
the Private Placement; that a Private Placement will occur at all;
the proposed use of proceeds from the Private Placement; that
drilling will continue at Warintza Central; and that with
additional funds, Solaris' exploration program will be accelerated
and expanded to increase the number of drill rigs and test further
targets showing similar surface expressions as Warintza Central
within the 5km-by-5km cluster of porphyries identified to date. The
use of the words "will" and similar
expressions are intended to identify forward-looking statements.
Although Solaris believes that the expectations reflected in such
forward-looking statements and/or information are reasonable, undue
reliance should not be placed on forward-looking statements since
Solaris can give no assurance that such expectations will prove to
be correct. Such forward-looking statements are based on several
assumptions, including that the TSX-V will grant approval for the
Private Placement. These statements involve known and unknown
risks, uncertainties and other factors that may cause actual
results or events to differ materially from those anticipated in
such forward-looking statements, including the risks, uncertainties
and other factors identified in the latest Solaris
Management's Discussion and
Analysis available at www.sedar.com. Furthermore, the
forward-looking statements contained in this news release are made
as at the date of this news release and Solaris does not undertake
any obligations to publicly update and/or revise any of the
included forward-looking statements, whether as a result of
additional information, future events and/or otherwise, except as
may be required by applicable securities laws.
SOURCE Solaris Resources Inc.
