Cordoba Minerals Arranges US$2.5 Million Short-Term Financing with Ivanhoe Electric Continues to Advance Ongoing Feasibility Study Work at the San Matias Copper-Gold-Silver Project in Colombia
Cordoba Minerals Arranges US$2.5 Million
Short-Term Financing with Ivanhoe Electric
Continues to Advance Ongoing Feasibility Study Work at the
San Matias Copper-Gold-Silver Project in Colombia
Vancouver, British Columbia--(Newsfile Corp. - November 14, 2022) - Armstrong-Montoya, President
and Chief Executive Officer of Cordoba Minerals Corp. (TSXV: CDB) (OTCQB: CDBMF) (otherwise
"Cordoba" or the "Company") announces that the Company has arranged a short-term loan of US$2.5
million with its majority shareholder Ivanhoe Electric Inc. ("IE").
The short-term loan of US$2.5 million (the "Bridge Loan") is evidenced on a new grid promissory note
and bears interest at 12% per annum, compounding only at maturity. The interest rate will increase to
14% per annum if Cordoba does not repay the amount owing upon the maturity date, which is the earlier
of January 31, 2023, and the second business day following the receipt of gross proceeds of not less
than US$10 million from any equity or debt financing. US$1 million of the Bridge Loan has been
advanced to the Company.
The purpose of the Bridge Loan is to ensure the Company can continue exploration activities and the
advancement of its mineral projects, including the Feasibility Study technical work program at the 100%-
owned San Matias Copper-Gold-Silver Project in Colombia, and for general corporate purposes.
"With the ongoing backing of our majority shareholder, Ivanhoe Electric, we continue to advance
exploration activities at our mineral projects. This includes recent successes from the infill drilling
program at the San Matias project, where we have intercepted shallow high-grade copper-gold zones
and Carbonate Base Metal veins," commented Ms. Sarah Armstrong-Montoya, President and CEO of
Cordoba.
The Bridge Loan constitutes a "related party transaction" under Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions
("MI 61-101") as IE is a related party of
Cordoba given its greater than 10% beneficial shareholding. Pursuant to Section 5.7(1)(f) of MI 61-101,
the Company is exempt from obtaining minority approval of the Company's shareholders in respect of
the Bridge Loan because it was determined that the Bridge Loan is on reasonable commercial terms
that are not less advantageous to the Company than if the Bridge Loan was obtained from a person
dealing at arm's length with the Company and because the Bridge Loan is not convertible into, or
repayable in, equity or voting securities of the Company or a subsidiary of the Company or otherwise
participating in nature. The Company will file a material change report in respect of the Bridge Loan.
However, the material change report will be filed less than 21 days prior to the closing of the Bridge
Loan, which is consistent with market practice and which the Company deems is reasonable in the
circumstances.
About Cordoba
Cordoba Minerals Corp. is a mineral exploration company focused on the exploration, development and
acquisition of copper and gold projects. Cordoba is developing its 100%-owned San Matias Copper-
Gold-Silver Project, which includes the Alacran deposit and satellite deposits at Montiel East, Montiel
West and Costa Azul, located in the Department of Cordoba, Colombia. Cordoba also holds a 51%
interest in the Perseverance Copper Project in Arizona, USA, which it is exploring through a Joint
Venture and Earn-In Agreement. For further information, please visit
www.cordobaminerals.com
.
ON BEHALF OF THE COMPANY
Sarah Armstrong-Montoya, President and Chief Executive Officer
Information Contact
Ran Li +1-604-689-8765
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this
release.
Forward-Looking Statements
This news release includes "forward-looking statements" and "forward-looking information" within the
meaning of Canadian securities legislation. All statements included in this news release, other than
statements of historical fact, are forward-looking statements including, without limitation, the Bridge
Loan, including the drawdown, repayment schedule and intended purposes of the Bridge Loan;
prospective financings by the Company; additional advances by IE; and filing of a material change
report on the Bridge Loan. Forward-looking statements include predictions, projections and forecasts
and are often, but not always, identified by the use of words such as "anticipate", "believe", "plan",
"estimate", "expect", "potential", "target", "budget" and "intend" and statements that an event or result
"may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and
includes the negatives thereof.
Forward-looking statements are based on a number of assumptions and estimates that, while
considered reasonable by management based on the business and markets in which Cordoba
operates, are inherently subject to significant operational, economic, and competitive uncertainties,
risks and contingencies. There can be no assurance that such statements will prove to be accurate
and actual results, and future events could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ materially from the Company's expectations
include actual exploration results, interpretation of metallurgical characteristics of the mineralization,
changes in project parameters as plans continue to be refined, future metal prices, availability of
capital and financing on acceptable terms, general economic, market or business conditions,
uninsured risks, regulatory changes, delays or inability to receive required approvals, and other
exploration or other risks detailed herein and from time to time in the filings made by the Company
with securities regulators, including those described under the heading "Risks and Uncertainties" in
the Company's most recently filed MD&A. The Company does not undertake to update or revise any
forward-looking statements, except in accordance with applicable law. Readers are cautioned not to
put undue reliance on these forward-looking statements.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/144010