Cerro de Pasco Resources Closes $3M Oversubscribed Private Placement
CSE:CDPR
Cerro de Pasco Resources Closes $3M Oversubscribed Private
Placement
MONTRÉAL, QUÉBEC, CANADA — (May 3 , 2021) Cerro de Pasco Resources Inc. (CSE: CDPR)
(OTCPK: GPPRF) (FRA: N8HP) (“CDPR” or the “Company”) is pleased to announce that, further to
its news release of April 7, 2021 April 8, 2021 and April 27, 2021, the Company has closed the
final and oversubscribed tranche of the non -brokered private placement (the “ Offering”). In
connection with the closing of the final t ranche, the Company issued 2,064,429 Units (each, a
“Unit”) at $0.35 per Unit for gross proceeds of $722,550.
Under the different tranches of the Offering, the Company raised aggregate gross proceeds of
$2,968,545, more than the original $2,500,000 target.
Each Unit consists of one common share of the Company (each, a “Share”) and one-half of one
common share purchase warrant (each full warrant, a “ Warrant”). Each Warrant entitles the
holder to purchase an additional common share at a pr ice of $ 0.50 for a period of 24 months
from the date of issuance , provided however that the Company shall be entitled to accelerate
the expiry of the Warrants to the date that is 30 days following the date a notice is provided to
the holder in the event that the volume weighted average price of the Shares on the Canadia n
Securities Exchange exceeds $1.00 per Share for any twenty (20) consecutive trading days at any
time prior to the expiry of the Warrant.
The net proceeds of the Offering will be used for general working capital purposes in advancing
the Company’s Quiulacocha tailings retreatment Project in Peru. In connection with the
completion of the final tranche of the Offering, the Company paid finder’s fees of $ 38,587 to
certain parties who assisted the Company by introducing subscribers to the placement.
All securities issued in connection the closing of the final tranche of the Offering will be subject
to a four-month-and-one-day statutory hold period in accordance with applicable securities laws.
The securities offered have not been, and will not be, registered under the United States
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 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
does not constitute an offer to sell or the solicitation of any offer to buy securities in t he United
States, nor in any other jurisdiction.
One officer of the Company purchased a total of 43,000 Units. Their participation in the Offering
constitutes a “related party transaction” as defined under National Instrument 61 -101 – Protection of
Minority Security Holders in Special Transactions (“NI 61 -101”). However, such participation is exempt
from the valuation and minority shareholder approval requirements of NI 61 -101 based on the fact that
neither the fair market value of the Offering, nor the consideration paid by such persons, exceeds 25% of
the Company’s market capitalization. The Company did not file a material change report at least 21 days
prior to the closing of the Offering as participation of the insiders had not been established at that time.
About Cerro de Pasco Resources
Cerro de Pasco Resources Inc. is a resource management company, founded in 2012 and publicly
listed in 2018, with the purpose of treating and reprocessing all dumps, tailings, mining waste
and material resources in the Cerro de Pasco Region in Peru. Our ambition is to restore long-term
sustainability to the mining activity in the Cerro de Pasco Region, in harmony with a healthy and
motivated local population. Our team brings first-hand experience and ideas based on innovative
solutions and a holistic approach, aiming to create numerous opportunities in a circular economy.
Forward-Looking Statements and Disclaimer
Certain information contained herein may constitute “forward -looking information” under
Canadian securities legislation. Generally, forward -looking information can be identified by the
use of forward -looking terminology such as “plans”, “seeks”, “ expects”, “estimates”, “intends”,
“anticipates”, “believes”, “could”, “might”, “likely” or variations of such words, or statements that
certain actions, events or results “may”, “will”, “could”, “would”, “might”, “will be taken”,
“occur”, “be achieved” or other similar expressions. Forward-looking statements, including the
expectations of CDPR’s management regarding the completion of the Transaction as well as the
business and the expansion and growth of CDPR’s operations, are based on CDPR’s estimates and
are subject to known and unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of CDPR to be materially different
from those expressed or implied by such forward -looking statements or forward -looking
information. Forward-looking statements are subject to business and economic factors and
uncertainties, and other factors that could cause actual results to differ materially from these
forward-looking statements, includ ing the relevant assumptions and risks factors set out in
CDPR’s public documents, available on SEDAR at www.sedar.com. There can be no assurance that
such statements will prove to be accurate, as actual results and fut ure events could differ
materially from those anticipated in such statements. Although CDPR believes that the
assumptions and factors used in preparing the forward-looking statements are reasonable, undue
reliance should not be placed on these statements and forward -looking information. Except
where required by applicable law, CDPR disclaims any intention or obligation to update or revise
any forward -looking statement, whether as a result of new information, future events or
otherwise.
Further Information
Guy Goulet, CEO
Telephone: +1-579-476-7000
Mobile: +1-514-294-7000