Surge Copper Commences 2024 Field Program and Closes Top-Up Subscription by ARM
PO Box 10351 888-700 West Georgia Street, Vancouver, BC, Canada, V7Y 1G5
www.surgecopper.com
TSX-V: SURG
OTCQB: SRGXF
Frankfurt: G6D2
Telephone: +1 (604) 781-5454
Email: [email protected]
July 19, 2024
NEWS RELEASE
Surge Copper Commences 2024 Field Program and Closes Top-Up Subscription by ARM
July 19, 2024, Vancouver, British Columbia – Surge Copper Corp. (TSXV: SURG) (OTCQB:
SRGXF) (Frankfurt: G6D2) (“Surge” or the “Company”) is pleased to announce the
commencement of field operations for its 2024 work program at its 100% -owned Berg copper -
molybdenum-precious metals project located in central British Columbia . Additionally, the
Company announces that African Rainbow Minerals Limited (“ARM”) has exercised in full its
rights in respect of the Company’s recently completed private placement (see April 2, 2024 press
release and June 21, 2024 press release), and has subscribed for a total of 1,582,353 common
shares of the Company at a price of $0.15 per common share for gross proceeds of approximately
$237,353 (the “Top-Up Offering”).
Highlights of the 2024 Field Program
• Drilling has commenced at the Berg Project with two drill rigs operating
• Surface exploration work is being advanced to finalize the scope of the initial drill test of
the Berg SW exploration target
• The exploration drill program at the Berg deposit will be completed with two drill rigs and
will cover approximately 2,500 metres across six holes , targeting previously untested
areas, with the potential for program expansion based on initial results
• The drill holes are strategically designed to achieve multiple objectives, including
expanding the known mineralization envelope and converting Inferred resources to higher
categories, as well as advancing geochemical and geotechnical studies
Leif Nilsson , Chief Executive Officer, commented: “ We are excited to kick off our 2024 field
program at the Berg Project and appreciate the continued support from ARM. The funds raised
through our recent financing transactions fully fund this year’s program and provide additional
flexibility to expedite further exploration based on initial results.”
Top-Up Offering
The Company intends to use the proceeds from the Top -Up Offering for working capital and
general corporate purposes. The common shares issued in connection with the Top-Up Offering
Surge Copper Corp. 2
will be subject to a statutory hold period of four months and one day from the date of issuance.
Together with the private placement of special flow -through shares that was announced
concurrently with the Top-Up Offering and closed on June 21, 2024, the Company raised
aggregate gross proceeds of approximately $2.43 million.
One insider of the Company participated in the Top-Up Offering. The insider is a related party of
Surge, and therefore the insider participation in the Top-Up Offering is considered a “related party
transaction” subject to Multilateral Instrument 61-101 – Protection of Minority Security Holders in
Special Transactions (“ MI 61 -101”). The Company is relying on exemptions from the formal
valuation and minority shareholder approval requirements provided under subsections 5.5(a) and
5.7(1)(a) of MI 61 -101 on the basis that participation in the Top-Up Offering by insiders did not
exceed 25% of the Company’s market capitalization. The Company did not file a material change
report more than 21 days before the expected closing date of the Top-Up Offering as the details
of the Top-Up Offering and the participation therein by the "related party" of the Company were
not settled until shortly prior to the closing of the Top-Up Offering, and the Company wished to
close the Top-Up Offering on an expedited basis for sound business reasons.
Grant of Options
The Company has awarded 175,000 options to a consultant of the Company pursuant to the
Company’s Share Compensation Plan. The options are subject to vesting provisions, have an
exercise price of $0.15 per share, and expire five years from the date of grant.
Qualified Person
Dr. Shane Ebert P.Geo., is the Qualified Person for the Berg Project and the Ootsa Property as
defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 41-101")
and has approved the technical and scientific disclosure contained in this news release.
About Surge Copper Corp.
Surge Copper Corp. is a Canadian company that is advancing an emerging critical metals district
in a well-developed region of British Columbia, Canada. The Company owns a large, contiguous
mineral claim package that hosts multiple advanced porphyry deposits with pit-constrained NI 43-
101 compliant resources of copper, molybdenum, gold, and silver – metals which are critical
inputs to the low-carbon energy transition and associated electrification technologies.
The Company owns a 100% interest in the Berg Project, for which it announced a maiden PEA
in June 2023 outlining a large -scale, long-life project with a simple design and high outputs of
critical minerals located in a safe jurisdiction near world -class infrastructure. The PEA highlights
base case economics including an NPV8% of C$2.1 billion and an IRR of 20% based on long -
term commodity prices of US$4.00/lb copper, US$15.00/lb molybdenum, US$23.00/oz silver, and
US$1,800/oz gold. The Berg deposit contains pit-constrained 43 -101 compliant resources of
copper, molybdenum, silver, and gold in the Measured, Indicated, and Inferred categories.
The Company also owns a 100% interest in the Ootsa Property, an advanced -stage exploration
project containing the Seel and Ox porphyry deposits located adjacent to the open pit Huckleberry
Copper Mine, owned by Imperial Metals. The Ootsa Property contains pit-constrained NI 43-101
compliant resources of copper, gold, molybdenum, and silver in the Measured, Indicated, and
Inferred categories.
Surge Copper Corp. 3
On Behalf of the Board of Directors
“Leif Nilsson”
Chief Executive Officer
For further information, please contact:
Riley Trimble, Corporate Communications & Development
Telephone: +1 604 416 2978
Email: [email protected]
Twitter: @SurgeCopper
LinkedIn: Surge Copper Corp
https://www.surgecopper.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy
of this release.
This News Release contains forward-looking statements, which relate to future events. In some
cases, you can identify forward-looking statements by terminology such as "will", "may", "should",
"expects", "plans", or "anticipates" or the negative of these terms or other comparable terminology.
All statements included herein, other than statements of historical fact, are forward -looking
statements, including but not limited to: the commencement of drilling at the Berg Project and the
timing thereof; the surfa ce exploration work at the Berg Project and the timing thereof; the size
and focus of the exploration drill program at the Berg deposit; the potential for program expansion
based on initial results of the exploration drill program; the objectives of the drill hole design; the
use of proceeds from the Top-Up Offering; and the Company’s plans regarding the Berg Project
and the Ootsa Property. These statements are only predictions and involve known and unknown
risks, uncertainties, and other factors that may c ause the Company’s actual results, level of
activity, performance, or achievements to be materially different from any future results, levels of
activity, performance, or achievements expressed or implied by these forward-looking statements.
Such uncertainties and risks may include, among others, actual results of the Company's
exploration activities being different than those expected by management, delays in obtaining or
failure to obtain required government or other regulatory approvals, the ability to obtain adequate
financing to conduct its planned exploration programs, inability to procure labour, equipment, and
supplies in sufficient quantities and on a timely basis, equipment breakdown, impacts of the
current coronavirus pandemic, and bad weather. While these forward -looking statements, and
any assumptions upon which they are based, are made in good faith and reflect the Company's
current judgment regarding the direction of its business, actual results will almost always vary,
sometimes materially, from any estimates, predictions, projections, assumptions, or other future
performance suggestions herein. Except as required by applicable law, the Company does not
intend to update any forward-looking statements to conform these statements to actual results.