Aftermath Silver Ltd. Announces Closing of Second and Final Tranche of Private Placement
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
FOR IMMEDIATE RELEASE May 15, 2023
(AAG2023 – NR #10)
AFTERMATH SILVER LTD. ANNOUNCES CLOSING OF SECOND AND FINAL TRANCHE OF
PRIVATE PLACEMENT
Vancouver, British Columbia, (Newsfile Corp. – May 15, 2023) Aftermath Silver Ltd . (the “Company”)
(TSXV: AAG) (OTCQX: AAGFF) (FRA: FLM1) is pleased to announce that it has closed the second and final
tranche (the “ Second Tranche ”) of its previously announced non-brokered private placement (the
“Private Placement”), whereby the Company has completed the issuance of 7,045,200 units (each, a
“Unit”) at a price of $0.25 per Unit for gross proceeds of $1,761,300.00. Pursuant to both tranches of the
Private Placement, the Company issued an aggregate of 33,005,467 Units for gross proceeds of
$8,251,367.
Each Unit consists of one common share in the capital of the Company (a “Common Share”) and one-half
of one non -transferable common share purchase warrant of the Company (each whole warrant, a
“Warrant”). Each Warrant is exercisable by the holder to acquire one Common Share for a period of 24
months from the date of closing of the Second Tranche of the Private Placement at a price of C$0.35 per
share.
In connection with the Private Placement , the Company paid fees to eligible finders consisting of an
aggregate of : (i) $328,782.50; (ii) 57,400 Common Shares (the “ Finder’s Shares ”); and (iii) 200,410
Warrants (the “ Broker Warrants ”). Each Broker Warrant is exercisable by the holder to acquire one
Common Share for a period of 24 months from the date of closing of the Second Tranche of the Private
Placement at a price of C$0.35 per share.
All securities issued pursuant to the Second Tranche of the Private Placement, including the Finder’s
Shares, are subject to hold period expiring on September 16, 2023, in addition to such other restrictions
as may apply under applicable securities laws of jurisdictions outside Canada.
The Company intends to use the net proceeds from the Second Tranche for metallurgical and engineering
studies on the Berenguela Silver -Copper-Manganese project in southern Peru (“ Berenguela”), project
payments related to the purchase of Berenguela and for general working capital purposes.
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Certain directors, officers and other insiders of the Company (“Interested Parties”) purchased or acquired
direction or control over a total of 80,000 Units as part of the Second Tranche of the Private Placement.
The placement to those persons constitutes a “related party transaction” within the meaning of
Multilateral Instrument 61 -101 Protection of Minority Security Holders in Special Transactions (“MI 61-
101”). Notwithstanding the foregoing, the directors of the Company have determined that the Interested
Parties’ participation in the Second Tranche of the Private Placement will be exempt from the formal
valuation and minority shareholder approval requirements of MI 61 -101 in reliance on the exemptions
set forth in sections 5.5(a) and 5.7(1)(b) of MI 61-101. The Company did not file a material change report
21 days prior to the closing of the Second Tranche of the Private Placement as the details of the
participation of Interested Parties had not been confirmed at that time.
Exercise of Warrants
The Company also wishes to announce the exercise of 3,068,400 previously issued Common Share
purchase warrants of the Company exercisable at $0.25 per Common Share by certain shareholders of the
Company, issued in connection with its private placement offering on May 7, 2020, for gross proceeds of
$767,100.
About Aftermath Silver Ltd.
Aftermath Silver Ltd. is a leading Canadian junior exploration co mpany focused on silver, and aims to
deliver shareholder value through the discovery, acquisition and development of quality silver projects in
stable jurisdictions. Aftermath has developed a pipeline of projects at various stages of advancement. The
Company's projects have been selected based on growth and development potential.
• Berenguela Silver-Copper project. The Company has an option to acquire a 100% interest through
a binding agreement with SSR Mining. The project is located in the Department of Puno, in southern
central Peru. A NI 43-101 Technical Report on the property was filed in February 2021 (available on
SEDAR and the Company’s web page). The Company is currently drilling at Berenguela and planning
to advance the project through a pre-feasibility study.
• Challacollo Silver-Gold project. The Company recently completed the acquisition of a 100% interest
in the Challacollo silver -gold project from Mandalay Resources; see Company news release dated
August 11, 2022. A NI 43 -101 mineral resource was r eleased on December 15, 2020 (available on
SEDAR and the Company’s web page). The Company is currently permitting road access in
anticipation of an upcoming drill program.
• Cachinal Silver-Gold project. The Company owns a 100% interest in the Cachinal Ag -Au project,
located 2.5 hours south of Antofagasta. On June 10, 2022, Aftermath announced it had reached an
agreement to sell Cachinal to Honey Badger Silver Inc. On September 16, 2020, the Company
released a CIM-compliant mineral resource estimate and accompanying NI 43-101 Technical Report
(available on SEDAR and on the Company's web page).
ON BEHALF OF THE BOARD OF DIRECTORS
“Ralph Rushton”
Ralph Rushton
CEO and Director
604-484-7855
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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Information
This release includes certain statements and information that may constitute forward-looking information
within the meaning of applicable Canadian securities laws. Forward -looking statements relate to future
events or future performance and reflect the expectations or beliefs of management of the Company
regarding future events. Generally, forward-looking statements and information can be identified by the
use of forward -looking terminology such as “intends” or “anticipates”, or variations of such words and
phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”.
This information and these statements, referred to herein as "forward‐looking statements", are not
historical facts, are made as of the date of this news release and include without limitation, statements
regarding discussions of future plans, estimates and forecasts and statements as to management's
expectations and intentions with respect to, among other things, the Company’s use of proceeds raised
under the Second Tranche of the Private Placement including completing metallurgical and engineering
studies at Berenguela.
These forward‐looking statements involve numerous risks and uncertainties and actual results might differ
materially from results suggested in any forward -looking statements. These risks and uncertainties
include, among other things, market uncertainty , that the Company will not utilize the proceeds raised
under the Second Tranche of the Private Placement as currently anticipated including for the purpose of
completing metallurgical and engineering studies at Berenguela.
In making the forward looking statements in this news release, the Company has applied several material
assumptions, including without limitation, that the Company will use the proceeds of the Second Tranche
of the Private Placement as currently anticipated.
Although management of the Company has attempted to identify important factors that could caus e
actual results to differ materially from those contained in forward-looking statements or forward-looking
information, there may be other factors that cause results not to be as anticipated, estimated or intended.
There can be no assurance that such stat ements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such statements. Accordingly, readers should not
place undue reliance on forward -looking statements and forward -looking information. Rea ders are
cautioned that reliance on such information may not be appropriate for other purposes. The Company
does not undertake to update any forward -looking statement, forward-looking information or financial
out-look that are incorporated by reference her ein, except in accordance with applicable securities laws.
We seek safe harbor.