Los Andes Copper Announces Closing of C$10 Million Bought Deal Financing
Los Andes Copper Announces Closing of C$10
Million Bought Deal Financing
Vancouver, British Columbia--(Newsfile Corp. - January 30, 2023) - Los Andes Copper Ltd. (TSXV: LA)
(OTCQX: LSANF) ("Los Andes" or the "Company") has announced today that it has closed its previously
announced bought deal offering (the "Offering"). Pursuant to the Offering, Los Andes sold 800,000
common shares ("Common Shares") at a price of $12.55 per Common Share for aggregate gross
proceeds of $10 million.
The Company intends to use the net proceeds of the Offering to advance the Vizcachitas Project, cover
studies and drilling expenses and for working capital.
The Offering was completed pursuant to an underwriting agreement (the "Underwriting Agreement")
dated January 25, 2023 among the Company and BMO Capital Markets (the "Lead Underwriter") and
Paradigm Capital Inc. (together with the Lead Underwriter, the "Underwriters"). The Underwriters were
paid a cash fee of 6% in respect of Common Shares sold by them in the Offering.
The Common Shares were offered by way of a prospectus supplement dated January 25, 2023 (the
"Prospectus Supplement") to the short form base shelf prospectus dated January 9, 2023 (the "Base
Shelf Prospectus"), which Prospectus Supplement was filed with the securities regulators in each of the
provinces and territories of Canada, other than Quebec, as well as by way of private placement in the
United States. Copies of the Prospectus Supplement, accompanying Base Shelf Prospectus and
Underwriting Agreement are available under the Company's profile on SEDAR at
www.sedar.com
.
About Los Andes Copper Ltd.
Los Andes Copper Ltd. is an exploration and development company with an 100% interest in the
Vizcachitas Project in Chile. The Company is focused on progressing the Project, which is located along
Chile's most prolific copper belt, into production. Vizcachitas is one of the largest copper deposits in the
Americas not controlled by the majors and the Company believes it will be Chile's next major copper
mine.
The Project is a copper-molybdenum porphyry deposit, located 120 kilometres north of Santiago, in an
area of very good infrastructure. The Company's Preliminary Economic Assessment (the "PEA"),
delivered in June 2019, highlights that the Project has a post tax NPV of $2.7 billion and an IRR of
26.7%, based on a $3.50 per pound copper price. It also has a Measured Resources of 254.4 million
tonnes having a grade of 0.439% copper and Indicated Resource of approximately 1.03 billion tonnes
having a grade of 0.385% copper. Mineral resources that are not mineral reserves do not have
demonstrated economic viability. Please refer to the technical report dated June 13, 2019, with an
effective date of May 10, 2019 and titled "Preliminary Economic Assessment of the Vizcachitas Project",
prepared by Tetra Tech.
The PEA is preliminary in nature, it includes inferred mineral resources that are considered too
speculative geologically to have the economic considerations applied to them that would enable them to
be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
Los Andes Copper Ltd. is listed on the TSX-V under the ticker: LA.
Qualified Persons
Antony Amberg CGeol FGS, the Company's Chief Geologist, is the qualified person who has reviewed
and approved the scientific and technical information contained in this news release. The QP has
validated the data by, supervising the sample collection process, through chain of custody records and
inspecting the detailed technical data and quality control and assurance information.
For more information please contact:
Santiago Montt, Interim CEO
Tel: +56 2 2954-0450
Elizabeth Johnson, Investor Relations
E-Mail:
or visit our website at:
www.losandescopper.com
Follow us on twitter
@LosAndesCopper
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Los Andes Copper Ltd
Certain of the information and statements contained herein that are not historical facts, constitute
"forward-looking information" within the meaning of the Securities Act (British Columbia), Securities
Act (Ontario) and the Securities Act (Alberta) ("Forward-Looking Information"). Forward-Looking
Information is often, but not always, identified by the use of words such as "seek", "anticipate",
"believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or
"may", "will", "should", "could", or might" occur or be achieved; and, other similar expressions. More
specifically, Forward- Looking Information involves known and unknown risks, uncertainties and other
factors which may cause the actual results, performance or achievements of the Company, or industry
results, to be materially different from any future results, performance or achievements expressed or
implied by such Forward- Looking Information. Such Forward Looking Information includes, without
limitation, the proposed use of proceeds of the Offering and the prospects, details related to and
timing of the Vizcachitas Project. Such Forward-Looking Information is based upon the Company's
assumptions regarding global and Chilean economic, political and market conditions and the price of
metals and energy and the Company's production. Among the factors that have a direct bearing on
the Company's future results of operations and financial conditions are changes in project parameters
as plans continue to be refined, a change in government policies, competition, currency fluctuations
and restrictions and technological changes, among other things. Should one or more of any of the
aforementioned risks and uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from any conclusions, forecasts or projections described
in the Forward-Looking Information. Accordingly, readers are advised not to place undue reliance on
Forward-Looking Information. Except as required under applicable securities legislation, the
Company undertakes no obligation to publicly update or revise Forward-Looking Information, whether
as a result of new information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Not for distribution to U.S. news wire services or dissemination in the United States.
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https://www.newsfilecorp.com/release/152905