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Fortune Minerals Announces Closing of Bought Deal Financing

Financings

March 8, 2017

NEWS RELEASE

FORTUNE MINERALS ANNOUNCES CLOSING OF BOUGHT DEAL FINANCING

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE

UNITED STATES

LONDON, ONTARIO, Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) (“Fortune” or the

“Company”) (www.fortuneminerals.com) is pleased to announce that it has closed its previously

announced short form prospectus offering (the “ Offering”) of units (the “ Units”) of the Corporation

with Cormark Securities Inc. (the “ Underwriter”), acting as underwriter, on a bought deal basis. The

Company has issued 25,800,000 Units at a price of $0.25 per Unit for total gross proceeds of

$6,450,000 (including 3,000,000 Units issued as a result of the Underwriter exercising its over-

allotment option in full).

Each Unit consists of one common share in the capital of the Company (a “ Common Share ”) and

one-half of one Common Share purchase warrant (each whole warrant, a “ Warrant’). Each Warrant

entitles the holder thereof to purchase one Common Share at a price of $0.35 at any time prior to 5:00

p.m. (Toronto time) on the date that is 2 years following the closing date of the Offering.

The net proceeds of the Offering are expected to be used to, among other things, update the

feasibility study capital and operating costs for the NICO Cobalt-Gold-Bismuth-Copper project and for

general corporate matters.

This press release shall not constitute an offer to sell or solicitation of an offer to buy nor shall there

be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be

unlawful. The securities will not be and have not been registered under the United States Securities

Act of 1933 and may not be offered or sold in the United States absent registration or applicable

exemption from the registration requirements.

About Fortune Minerals

Fortune is a Canadian development stage mining company focused on advancing the vertically

integrated NICO gold-cobalt-bismuth-copper project in the Northwest Territories and a related refinery

the Company plans to construct in Saskatchewan. Fortune also owns the Sue-Dianne copper-silver-

gold deposit located 25 km north of NICO and a potential future source of incremental mill feed to

extend the life of the NICO mill. The Company also maintains the right to repurchase the Arctos

anthracite coal deposits in northwest British Columbia that were recently purchased by a provincial

Crown corporation.

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For further information please contact:

FORTUNE MINERALS LIMITED

148 Fullarton Street, Suite 1600, London, Ontario, Canada N6A 5P3

Tel. 519-858-8188 ~ Fax. 519-858-8155

Fortune Minerals Limited

Troy Nazarewicz

Investor Relations Manager

[email protected]

Tel.: (519) 858-8188

www.fortuneminerals.com

This press release contains forward-looking informat ion and forward-looking statements within the meaning of

applicable securities legislation. This forward-looking information includes statements with respect to, among

other things, the Company’s plans to develop the NICO project (including the Company’s plans to secure off-

take agreements and project financing to start construction), estimated future production, anticipated growth in

the demand for cobalt, anticipated constraints on the suppl y of cobalt and plans for the construction of an all-

season road needed for operations at the NICO Project. Forward-looking information is based on the opinions

and estimates of management as well as certain assumptions at the date the information is given (including, in

respect of the forward-looking information contained in this press release, assumptions regarding the

Company’s ability to arrange the necessary financing to continue operations and develop the NICO project,

growth in the demand for cobalt, restrictions on the supp ly of cobalt and the proposed construction of the all-

season road, the economic environment in which the Company will operate in the future, including the price of

gold, cobalt and other by-product me tals, anticipated costs and the volumes of metals to be produced at the

NICO Project). However, such forward-looking information is subject to a variety of risks and uncertainties and

other factors that could cause actual events or results to differ materially from those projected in the forward-

looking information. These factors include the risks that the Company may not be able to finance and develop

NICO on favourable terms or at all, the market for re chargeable batteries and the use of stationary storage cells

may not grow to the extent anticipated, the future s upply of cobalt may not be as limited as anticipated, the

Company’s production of cobalt and other metals may be less than anticipated and other operational and

development risks, market risks and regulatory risks. Readers are c autioned to not place undue reliance on

forward-looking information because it is possible that predictions, forecasts, projections and other forms of

forward-looking information will not be achieved by the Company. The fo rward-looking information contained

herein is made as of the date hereof and the Company assumes no responsibility to update or revise it to reflect

new events or circumstances, except as required by law.