Silver Dollar Corporate Update
FOR IMMEDIATE RELEASE
Silver Dollar Corporate Update
The Company is cashed up and eager to restart exploration drilling at La Joya
VANCOUVER, BC – September 30, 2021 – Silver Dollar Resources Inc. (CSE: SLV) (OTCQB:
SLVDF) (“Silver Dollar” or the “Company”) is pleased to provide an update on various
corporate matters.
La Joya Silver Project:
The Company has submitted a drilling permit applica tion for the next phase of drilling at the La
Joya silver project located in the state of Du rango, Mexico. Drill hole collar locations have been
selected and drill pad constructi on is in progress. Drill ing is expected to commence shortly after
the permit is received.
The Company has also completed an independent te chnical report (the “Report”) on the La Joya
Project that assesses the technical merit and eco nomic potential of the project and recommends
additional exploration. The Report was prepared in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects and is now available under the Company’s profile on
SEDAR.
Capitalization:
As of the latest interim financial statements for the quarter ended May 31, 2021, the Company had
cash of $10,878,107 as compared to $702,047 at the begi nning of the fiscal year. The increase in
cash stems primarily from a $10,5 00,000 exploration financing clos ed last September. The non-
brokered private placement consisted of 7,500,000 common shares pr iced at $1.40 per share with
lead orders from billionaire mi ning investor Eric Sprott, who ow ns approximately 17% of shares
issued; and First Majestic Silver Corp., who owns approximately 14% of shares issued and is one
of the largest silver producers in Mexico.
The Company currently has 41,847,237 common shares issued, 3,200,000 incentive stock options
exercisable at an average price of $1.48, and a total of 45,047,237 common shares outstanding on
a fully diluted basis assuming all stock options ar e exercised. Insider ownership is approximately
37% of shares issued and the current market cap based on shares issu ed is approximately
$31,000,000.
Potential Spinout of Red Lake Gold Projects:
The Company continues to evaluate the merits of a transaction to transfer its Canadian exploration
projects to a new subsidiary ("SpinCo") that would be spun out to Silver Dollar shareholders. The
intent of the transaction would be twofold: (1) position Silver Dollar to focus on the exploration
and development of the advanced stage La Joya Silver Project in Mexico, and to pursue similar
assets for potential acquisition; and (2) position SpinCo to operate as an independent company that
would seek a separate p ublic listing and focus on building a pure-play gold exploration company
around its discovery-stage Red Lake projects.
No assurance can be made that a spinout will take place as it would be subject to several conditions
that include satisfying stock ex change listing requirements, the assessment of legal and tax
ramifications, determining final details of the tr ansaction, receipt of all regulatory approvals, any
required shareholder approval, the availability of financing for the new subsidiary, and market
conditions. The company will provide further details if and when available in accordance with the
policies of the Canadian Securities Exchange ("CSE").
Pending Changes to the Board of Directors:
Mr. Perry English is stepping down from the board of directors effective September 30, 2021. The
Company thanks Perry for his contribution to th e founding of the Company, especially with the
Red Lake projects, and wishes him further success in all his endeavours. The Company is actively
seeking an experienced individua l with a background specific to exploration and development to
fill Perry’s seat on the board.
“It has been a rough patch for the junior resource sector over the last several months, but we remain
laser-focused on creating value fo r our shareholders,” said Mike Romanik president of Silver
Dollar. “We are cashed-up and eager to restart exploration drilling at La Joya.”
About Silver Dollar Resources Inc.
Silver Dollar is a mineral exploration company that completed its initial public offering in May
2020 and is fully funded for 2021 with over $10 milli on in the treasury. The Company’s projects
are located in two of the prolif ic mining jurisdictions in the world and include the advanced
exploration and development stage La Joya Silver Project in the state of Durango, Mexico, and the
discovery-stage Pakwash Lake and the Longlegge d Lake properties in the Red Lake Mining
District of Ontario, Canada. Th e Company has an aggressive gr owth strategy and is actively
reviewing projects in mining-friendly jurisdictions internationally for potential acquisition.
For additional information: contact investor relations, you can download our latest presentation by
clicking here and you can follow us on Twitter by clicking here.
ON BEHALF OF THE BOARD
Signed “Michael Romanik”
Michael Romanik,
President, CEO & Director
Silver Dollar Resources Inc.
Direct line: (204) 724-0613
Email: [email protected]
179 - 2945 Jacklin Road, Suite 416
Victoria, BC, V9B 6J9
Forward-Looking Statements:
This news release may contain “forward-looking stat ements.” Forward-looking statements involve known and
unknown risks, uncertainties, assumptions and other fact ors that 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. Any forward-looking statement speaks only as of the date of
this news release and, except as may be required by app licable securities laws, the Company disclaims any intent or
obligation to update any forward-looking statement, whether as a result of new information, future events or results or
otherwise.