Fortune Minerals Announces Completion of 2015 Debentures Settlement
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December 12, 2022 Issued Capital: 459 ,751,506
NEWS RELEASE
FORTUNE MINERALS ANNOUNCES COMPLETION OF 2015 DEBENTURES
SETTLEMENT
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED
STATES
LONDON, ONTARIO, Fortune Minerals Limited (TSX: FT) (OTCQB: FTMDF) ( “Fortune” or the
“Company”) (www.fortuneminerals.com) is pleased to announce that, further to the Company’s news
release dated December 1, 2022, it has completed the settlement (the “Settlement”) of its debentures
issued in 2015 and amended in 2022 (the “2015 Debentures”). With the Settlement complete, Fortune
can now focus on advancing the NICO cobalt-gold-bismuth-copper critical minerals development project
(“NICO Project”) in the Northwest Territories (“NWT”) and Alberta.
Pursuant to the Settlement:
Debt totalling C$7,280,173, including principal and interest, has been retired through the
payment of an aggregate of C$1,250,000.00 in cash (the “Cash Payment”) and the issuance of
an aggregate of 73,500,000 common shares of the Company (“ Shares”) to settle the balance
of C$6,030,173 due to this holder, at a price of approximately C$0.082 per Share, representing
an approximately 17% premium to the closing price of the Shares on the TSX on November 30,
2022 (the “Share Payment”)
The Shares issued pursuant to the Settlement are subject to a four-month hold period
The term for C$5,461,376 of the 2015 Debentures held by a diff erent party was also extended
to December 31, 2023
Fortune further announces that it has completed an agreement with an arm’s length investor to increase
its existing C$1,500,000 secured loan agreement (the “ 2021 Term Loan ”) by an additional principal
amount of C$1,250,000 (the “New Debt Facility”), with the proceeds of the New Debt Facility used by
the Company to make the Cash Payment, and to extend the maturit y date of the 2021 Term Loan to
December 31, 2023. The New Debt Facility bears interest at 9% p er annum, compounding annually,
with both principal and interest payable at maturity on December 31, 2023.
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.
FORTUNE MINERALS LIMITED
617 Wellington Street, London, Ontario, Canada N6A 3R6
Tel. 519-858-8188 ~ Fax. 519-858-8155
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About Fortune Minerals:
Fortune is a Canadian mining company focused on developing the NICO Project in the NWT and
Alberta. The NICO Project is one of the few advanced cobalt dev elopment assets globally to address
the growing demand for cobalt in lithium-ion rechargeable batte ries used to power electric vehicles,
portable electronic devices, and stationary storage cells. As a Canadian, vertically integrated planned
battery materials development, the cobalt produced from the NIC O Project would help qualify
purchasers of electric vehicles to receive the tax credits unde r the new U.S. Inflation Reduction Act.
Fortune also owns the satellite Sue-Dianne copper-silver-gold deposit located 25 km north of the NICO
deposit and is a potential future source of incremental mill fe ed to extend the life of the NICO mill and
concentrator.
Follow Fortune Minerals:
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@FortuneMineral on Twitter.
For further information please contact:
Fortune Minerals Limited
Troy Nazarewicz
Investor Relations Manager
Tel: (519) 858-8188
www.fortuneminerals.com
This press release contains forward-looking informati on 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 ability to raise additional capi tal, the repayment or restructuring of the Company’s
current debt, the development of the NICO Project, the potential for expansion of the NICO Deposit and statements
regarding drill results and future drilling and assays. Fo rward-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 successfully raise the necessary ca pital to meet its corporate objectives in both the near and long term; the
successful exercise by the Company of its option to purchase the industrial site on which it intends to construct a
NICO Project refinery; the completion of construction of a NICO Project refinery; the abilit y to arrange the
necessary financing to continue operations and develop the NICO Project; the suppo rt of the federal and/or
provincial government for the NICO Project; the receipt of all necessary regulatory approvals for the construction
and operation of the NICO Project and the related hydrometallurgical refinery and the timing thereof; growth in the
demand for cobalt; the time required to construct the NICO Project; and the economic environment in which the
Company will operate in the future, including the price of gold, cobalt and other by-pr oduct metals, 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 the NICO Pr oject on favourable terms or at all, the 2021 drill
program may not result in a meaningful expansion of the NICO Deposit, the effects of a global market downturn,
pressure on commodities prices, and/or the COVID-19 on the Company’s capital raising efforts, the Company
may not be able to complete the purchase of the industrial site located in in Alberta’s Industrial Heartland northeast
of Edmonton and secure a site for the construction of a refinery, uncertainties with respect to the receipt or timing
of required permits, approvals and agr eements for the development of the NI CO Project, including the related
hydrometallurgical refinery, the construction of the NICO Project may take longer than anticipated, the Company
may not be able to secure offtake agreements for the metals to be produced at the NICO Project, the Company’s
Sue-Dianne Property may not be developed to the point wher e it can provide mill feed to the NICO Project, the
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inherent risks involved in the explor ation and development of mineral properties and in the mining industry in
general, the market for products that use cobalt or bismuth may not grow to the extent anticipated, the future
supply of cobalt and bismuth may not be as limited as antic ipated, the risk of decrease s in the market prices of
cobalt, bismuth and other metals to be produced by the NICO Project, discrepancies between actual and
estimated Mineral Resources or between actual and estimated metallurgical recoveries, uncertainties associated
with estimating Mineral Resources and Reserves and the risk that even if such Mineral Resources prove accurate
the risk that such Mineral Resources may not be converted into Mineral Reserves once economic conditions are
applied, the Company’s production of cobalt, bismuth and other metals may be less than anticipated and other
operational and development risks, market risks and regulatory risks. Readers are cautioned to not place undue
reliance on forward-looking information because it is po ssible that predictions, forecasts, projections and other
forms of forward-looking informati on will not be achieved by the Compan y. The forward-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.