Collective Mining Announces Investment and Early Exercise of Warrants by Agnico Eagle for Gross Proceeds of C$63.4 Million
Collective Mining Announces Investment and Early Exercise of Warrants by
Agnico Eagle for Gross Proceeds of C$63.4 Million
TORONTO
,
March 14, 2025
/CNW/ -
Collective Mining Ltd.
(NYSE: CNL) (TSX: CNL)
("Collective" or the "Company")
is pleased to announce that it has
entered into an agreement with Agnico Eagle Mines Limited ("Agnico Eagle") pursuant to which Agnico Eagle has agreed to subscribe for 4,741,984 common
shares in the capital of the Company (the "Shares") at a price of
C$11.00
per Share (the "Offering"). Closing of the Offering is conditional upon, among other
things, Agnico Eagle concurrently exercising the common share purchase warrants of the Company (the "Warrants") it currently holds to acquire an additional
2,250,000 Shares at a price of
C$5.01
per Share. In total, between the Offering and the exercise of the Warrants, the Company will receive gross proceeds of
approximately
$63.4 million
. At Closing of the Offering, Agnico Eagle's ownership interest in the Shares is expected to increase to approximately 14.99%.
Ari Sussman
, Executive Chairman commented: "I would like to thank Agnico Eagle for its additional support as we continue to advance our Guayabales Project.
The proceeds received will enable us to continue with our planned drill program and we look forward to releasing results in the near term."
The proceeds from the Offering and exercise of the Warrants are expected to be used for exploration on the Company's properties in
Colombia
and for general
working capital purposes. Closing of the Offering is also subject to, among other things, the receipt of regulatory approvals, including approval of the Toronto
Stock Exchange and acceptance by NYSE American, and is expected to close two business days following receipt of such approval.
About Collective Mining Ltd.
To see our latest corporate presentation and related information, please visit
www.collectivemining.com
.
Founded by the team that developed and sold Continental Gold Inc. to Zijin Mining for approximately
$2 billion
in enterprise value, Collective is a gold, silver,
copper and tungsten exploration company with projects in Caldas,
Colombia
. The Company has options to acquire 100% interests in two projects located directly
within an established mining camp with ten fully permitted and operating mines.
The Company's flagship project, Guayabales, is anchored by the Apollo system, which hosts the large-scale, bulk-tonnage and high-grade gold-silver-copper-
tungsten Apollo system. The Company's objectives are to improve the overall grade of the Apollo system by systematically drill testing newly modeled potentially
high-grade sub-zones, expand the Apollo system by stepping out along strike to the north and expanding the newly discovered high-grade Ramp Zone along strike
and to depth, expand the Trap system and drill a series of newly generated targets including Tower and X.
Management and insiders own approximately 36% of the outstanding shares of the Company and as a result, are fully aligned with shareholders. The Company is
listed on the NYSE American and TSX under the trading symbol "CNL" and on the FSE under the trading symbol "GG1".
Information Contact:
Follow Executive Chairman
Ari Sussman
(@Ariski73
)
on X
Follow Collective Mining (
@CollectiveMini1
) on X,
(Collective Mining)
on LinkedIn, and
(@collectivemining)
on Instagram
FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities legislation (collectively,
"forward-looking statements"). All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates
and projections as at the date of this news release. Any statement that involves discussion with respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions, future events or performance (often, but not always using phrases such as "plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions,
events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be forward-looking
statements. In this news release, forward-looking statements relate, among other things, to: statements with respect to the proposed Offering and exercise of
Warrants; anticipated use of proceeds from the Offering and the exercise of Warrants; receipt of regulatory approvals and other conditions to closing of the
Offering, the anticipated advancement of mineral properties or programs; future operations; future recovery metal recovery rates; future growth potential of
Collective; and future development plans.
These forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding future
events including the direction of our business. Management believes that these assumptions are reasonable. Forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from
any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others: completion of the
Offering and exercise of the Warrants on the terms stated or at all, receipt of all regulatory approvals, planed use of proceeds from the Offering and the exercise
of the Warrants; risks related to the speculative nature of the Company's business; the Company's formative stage of development; the Company's financial
position; possible variations in mineralization, grade or recovery rates; actual results of current exploration activities; conclusions of future economic evaluations;
fluctuations in general macroeconomic conditions; fluctuations in securities markets; fluctuations in spot and forward prices of gold, precious and base metals or
certain other commodities; fluctuations in currency markets; change in national and local government, legislation, taxation, controls regulations and political or
economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards,
industrial accidents, unusual or unexpected formation pressures, cave-ins and flooding); inability to obtain adequate insurance to cover risks and hazards; the
presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous
populations; availability of increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the
risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties, as well as those risk factors discussed or
referred to in the annual information form of the Company dated
March 27, 2024
. Forward-looking statements contained herein are made as of the date of this
news release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or
results, except as may be required by applicable securities laws. There can be no assurance that forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated in such statements and there may be other factors that cause results not to be anticipated,
estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements.
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SOURCE
Collective Mining Ltd.
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For further information:
Investors and Media, Paul Begin, Chief Financial Officer, [email protected], +1 (416) 451-2727
CO: Collective Mining Ltd.
CNW 06:30e 14-MAR-25