Aftermath Silver and Ssr Mining Sign Acquisition Agreement FOR the Berengeula Silver-Copper Project, PERU
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FOR IMMEDIATE RELEASE October 1, 2020
(AAG2020 – NR #16)
AFTERMATH SILVER AND SSR MINING SIGN ACQUISITION AGREEMENT FOR THE
BERENGEULA SILVER-COPPER PROJECT, PERU
Aftermath Silver Ltd. (the “Company” or “Aftermath Silver”) (TSX-V: AAG) (OTCQB: AAGFF)
is pleased to announce that it has signed a definitive acquisition agreement (the “Acquisition
Agreement”) with SSR Mining Inc. (“SSRM”) to purchase 100 percent of the Berenguela silver -
copper project located in Puno, Peru, through the purchase of 100 percent of the shares in the
Peruvian holding company Sociedad Minera Berenguela S .A. (“SOMINBESA”) (please see
previous Aftermath Silver news release, dated July 27, 2020).
The closing of the acquisition is subject to SSRM having reacquired a 100 percent direct and
indirect interest in SOMINBESA, the owner of the project, from Valor Resources Ltd., the
previous operator of the project, the final approval of the TSX Venture Exchange and certain other
customary closing conditions.
Ralph Rushton, President of Aftermath Silver commented: "I'd like to thank everyone at SSR
Mining and the Aftermath Silver team here, and in Peru, for all of their hard work in drafting this
agreement. The time frame from the initial approach to SSRM to execution of this agreement has
been very short, and is a credit to the professionalism of everyone involved. We're looking forward
to getting down to work at Berenguela as soon as COVID-19 safety protocols permit."
Transaction summary
Aftermath Silver and SSRM have agreed to a total consideration of US$13 million made in staged
cash payments, C$3 million in Aftermath Silver c ommon shares, and a sliding-scale net smelter
returns royalty (“NSR”), as follows:
1. US$1 million cash deposit (paid);
2. US$1 million cash on the initial closing date (anticipated as being the earlier of: 10 business
days following the satisfaction or waiver of all of certain initial conditions; and November
30, 2020 ) ( the “Initial Closing Date” ) of the proposed transaction and C$3 million in
Aftermath Silver common shares, using the volume -weighted average share price five
trading days prior to the date of signing the Acquisition Agreement, capped at a maximum
9.9 percent of Aftermath Silver's issued and outstanding shares, with the remainder, if any,
to be paid in cash;
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3. US$2.25 million cash to be paid on the first anniversary of the Initial Closing Date;
4. US$2.5 million cash to be paid on the second anniversary of the Initial Closing Date;
5. US$3 million cash to be paid on the fourth anniversary of the Initial Closing Date;
6. Completion of a preliminary feasibility study (“PFS”) and filing on SEDAR of a National
Instrument 43-101 technical report summarizing the PFS, within 48 months of the Initial
Closing Date;
7. US$3.25 million cash to be paid on the sixth anniversary of the Initial Closing Date; and
8. A sliding-scale NSR on all mineral production from the Berenguela project for the life of
mine commencing at the declaration of commercial production, based on the following:
o 1% NSR, on all mineral production when the silver market price is up to and
including US$25 per ounce;
o 1.25% NSR on all mineral production when the silver market price is over US$25
per ounce and when the copper market price is above US$2 per pound.
About Aftermath Silver Ltd
Aftermath Silver is a Canadian junior exploration company. Aftermath offers investors silver -
focused development opportunities in Chile and Peru, two of the world's top mining and silver
jurisdictions. Aftermath has assembled t he right combination of talent, properties, strategy, risk
management and marketing for investors seeking quality silver opportunities in today's precious
metal markets. Aftermath's leadership is recognized for value generation and corresponding
shareholder success.
ON BEHALF OF THE BOARD OF DIRECTORS
“Ralph Rushton”
Ralph Rushton
CEO and Director
604-484-7855
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news
release.
Cautionary Note Regarding Forward-Looking Information
Certain of the statements and information in this news release constitute “forward -looking information”
within the meaning of applicable Canadian provincial securities laws. Any statements or information that
express or involve discussions with respect to interpretation of exploration programs and drill results,
predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases suc h as “expects”, “is expected”,
“anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”,
“targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof
or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken,
occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of
historical fact and may be forward-looking statements or information.
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. Although
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the Company believes the expectations expr essed in such forward‐looking statements are based on
reasonable assumptions, such statements are not guarantees of future performance and actual results or
developments may differ materially from those in the forward‐looking statements. Factors that could cause
actual results to differ materially from those in forward‐looking statements include, but are not limited to,
changes in commodities prices; changes in expected mineral production performance; unexpected
increases in capital costs; exploitation and exploration results; continued availability of capital and
financing; differing results and recommendations in the PFS; and general economic, market or business
conditions, including the effects of COVID -19. In addition, forward‐looking statements are subj ect to
various risks, including but not limited to operational risk; political risk; currency risk; capital cost
inflation risk; that data is incomplete or inaccurate. The reader is referred to the Company’s filings with
the Canadian securities regulators for disclosure regarding these and other risk factors, accessible through
Aftermath Silver’s profile at www.sedar.com. There is no certainty that any forward‐looking statement will
come to pass and investors should not place undue reliance upon forward‐loo king statements. The
Company does not undertake to provide updates to any of the forward‐looking statements in this release,
except as required by law.