Oroco Announces Brokered Private Placement FOR Gross Proceeds of C$6.0 Million
May 16, 2024 NEWS RELEASE
OROCO ANNOUNCES BROKERED PRIVATE PLACEMENT
FOR GROSS PROCEEDS OF C$6.0 MILLION
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED STATES
VANCOUVER, British Columbia – (May 16, 2024) Oroco Resources Corp. (TSX-V: OCO,
OTC: ORRCF) (“Oroco” or the “Company”) is pleased to announce that it has entered into an
agreement with Red Cloud Securities Inc. to act as lead agent and sole bookrunner on behalf of a
syndicate of agents (collectively, the “Agents”) in connection with a best efforts, private placement
(the " Offering") for gross proceeds of C$6,000,000 from the sale of 13,333,333 units of the
Company (each, a “Unit”) at a price of C$0.45 per Unit. Each Unit will consist of one common
share of the Company (each, a “Unit Share”) and one half of one common share purchase warrant
(each whole warrant, a “Warrant”). Each Warrant shall entitle the holder to purchase one common
share of the Company (each, a “ Warrant Share”) at a price of C$0.65 at any time on or before
that date which is 24 months after the closing date of the Offering.
The Agents will have an option, exercisable in full or in part, up to 48 hours prior to the closing of
the Offering, to sell up to an additional 2,222,22 2 Units for additional gross proceeds of up to
C$1,000,000 (the "Agents’ Option").
Subject to compliance with applicable regulator y requirements and in accordance with National
Instrument 45-106 – Pros pectus Exemptions (“NI 45-106”), the Units will be offered for sale to
purchasers in all of the provinces and territories of Canada pursuant to the listed issuer financing
exemption under Part 5A of NI 45-106 (the “ Listed Issuer Financing Exemption ”). The Unit
Shares and Warrant Shares issuable pursuant to th e sale of Units are expected to be immediately
freely tradeable under applicable Ca nadian securities legislation if sold to purchasers resident in
Canada. The Units may also be sold in offshore jurisdictions and in the United States on a private
placement basis pursuant to one or more exemptions from the re gistration requirements of the
United States Securities Act of 1933 (the "U.S. Securities Act"), as amended.
The Company intends to use the proceeds from the Offering for the advancement of the Santo
Tomás Project located in Chihuahua State, Mexico as well as working capital and other general
corporate purposes.
The Offering is scheduled to close on or around June 6, 2024 and is subject to certain conditions
including, but not limited to, receipt of all necessary approvals including the approval of the TSX
Venture Exchange.
There is an offering document re lated to the Offering that can be accessed under the Company’s
profile at www.sedarplus.ca and on the Comp any’s website at www.or ocoresourcecorp.com.
Prospective investors should read this offering document before making an investment decision.
The securities described herein have not been, and will not be, registered under the U.S. Securities
Act, as amended, or any state securities laws, an d accordingly, may not be offered or sold within
the United States or the US persons except in compliance with the registration requirements of the
U.S. Securities Act and applicable state securi ties requirements or pur suant to exemptions
therefrom. This press re lease does not constitute an offer to sell or a solicitation to buy any
securities in any jurisdiction.
ABOUT OROCO
The Company holds a net 85.5% inte rest in those central concessi ons (the “Core Concessions”)
comprising 1,173 hectares of the Santo Tomas Project located in northwestern Mexico. The
Company also holds an 80% interest in an additional 7,861 hectares of mineral concessions
surrounding and adjacent to the Core Concessions (for a total Pr oject area of 9,034 hectares, or
22,324 acres). The Project is situated within th e Santo Tomas District, which extends up to the
Jinchuan Group’s Bahuerachi Project, approximately 14 km to the northeast. The Project hosts
significant copper porphyry mineralization defined by prior exploration spanning the period from
1968 to 1994. During that time, the Project ar ea was tested by over 100 diamond and reverse
circulation drill holes, tota lling approximately 30,000 meters. Commencing in 2021, Oroco
conducted a drill program (Phase 1) at Santo Tomas, with a resulting total of 48,481 meters drilled
in 76 diamond drill holes. In October of 2023, the Company announced a Preliminary Economic
Assessment and Updated Mineral Resource for the North and Sout h Zones of the Santo Tomas
Project, identifying Indicated and Inferred resources of 561 Mt @ 0.37% CuEq and 549 Mt @
0.34% CuEq respectively.
The Project is located within 160 km of the Pacific deep-water port at Topolobampo and is serviced
via highway and proximal rail (and parallel corridors of trunk grid power lines and natural gas)
through the city of Los Mochis to the northern city of Choix. The property is reached, in part, by
a 32 km access road originally built to service Goldcorp’s El Sauzal Mine in Chihuahua State.
Additional information about Oroco Resour ce Corp. can be found on its website at
www.orocoresourcecorp.com and by reviewing its profile on SEDAR at www.sedarplus.ca.
For more information, please contact:
Mr. Craig Dalziel, Executive Chairman
Oroco Resource Corp.
Tel: 604-688-6200
www.orocoresourcecorp.com
Neither TSX Venture Exchange nor its Regulation S ervices Provider (as that term is defined in the
policies of the TSX Venture Exchange) accept responsi bility for the adequacy or accuracy of this
release.
Cautionary Note Regarding Forward-Looking Information
This news release includes certain “forwa rd-looking information” and “forward-looking
statements” (collectively “forward-looking st atements”) within the meaning of applicable
Canadian securities legislation. Al l statements, other than statements of historical fact included
herein, including, without limitation, statements relating to future events or achievements of the
Company, the timing of closing of the Offering, proceeds received and use of funds of the Offering,
are forward-looking statements. There is no a ssurance that (i) the Co mpany will be able to
complete the Offering on the terms set out above, or at all, or (ii) that the proceeds of the Offering
will be expended as contemplated. Many fact ors, both known and unknown, could cause actual
results, performance or achievements to be materi ally different from the results, performance or
achievements that are or may be expressed or im plied by such forward-looking statements.
Readers should not place undue reliance on the forward-looki ng statements and information
contained in this news releas e concerning these matters. Oroc o does not assume any obligation
to update the forward-looking statements should they change, except as required by law.