Wallbridge Closes Private Placement of Flow-Through Shares
WALLBRIDGE MINING COMPANY LIMITED TSX: WM www.wallbridgemining.com
129 Fielding Road Lively ON P3Y 1L7 t: 705-682-9297 f: 1-888-316-4156 e: [email protected]
Wallbridge Closes Private Placement
of Flow-Through Shares
- Not For Distribution in the United States -
Toronto, Ontario – October 26, 202 3 – Wallbridge Mining Company Limited (TSX:WM,
OTCQX:WLBMF) (“Wallbridge” or the “Company”) is pleased to announce that it has completed
a non -brokered private placement of 47,820,000 national flow -through common shares (the
“National FT Shares”) and 25,632,666 Québec flow-through common shares (the “Québec FT
Shares”) for aggregate gross proceeds of $9,437,910 (the “FT Share Private Placement”). The
National FT Shares were issued at a price of $0.1 25 and the Québec FT Shares were issued at
a price of $0.135.
In addition, Agnico Eagle Mines Limited (“ Agnico”) has elected to subscribe for 7,926,277
common shares for aggregate gross proceeds of $871,890 (the “AEM Private Placement”, and
together with the FT Share Private Placement, the “Private Placements”). T he AEM Private
Placement is expected to close on or before November 2, 2023, and will be undertaken pursuant
to certain participation rights set out in a pre -existing participation agreement between the
Company and a predecessor of Agnico. The AEM Shares will be issued at a price of $0.11.
With the net proceeds from these Private Placements the Company expects to have an estimated
year end cash balance of approximately $25 million which is sufficient to fund the 2024 exploration
program on the Company’s Detour-Fenelon Gold Property (the “Detour-Fenelon Gold Trend
Property”) as currently contemplated. The Company will announce details of its exploration plans
in January once board approval has been obtained.
In connection with the FT Share Private Placement, the Company paid a cash finder’s fee other
than in respect of subscriptions by president’s list investors. Topleft Securities Inc. and Laurentian
Bank Securit ies Inc. acted as advisor s to Wallbridge in connection with the transaction. All
securities issued pursuant to the Private Placements will have a four month and one day statutory
hold period.
Each National FT Share and Québec FT Share (the “FT Shares”) will qualify as a “flow-through
share” within the meaning of subsection 66(15) of the Income Tax Act (Canada) and, in respect
of eligible Québec resident subscribers, section 359.1 of the Taxation Act (Québec). T he FT
Shares will be renounced with an effective date no later than December 31, 202 3, to the initial
purchasers of the FT Shares in an aggregate amount not less than the gross proceeds raised.
None of the securities offered in the Private Placements have been registered under the U.S .
Securities Act of 1933, as amended, and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration requirements . This press release
shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale
of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
The FT Share Private Placement constituted a related party transaction within the meaning of
Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions
(“MI 61 -101”) as certain insiders of the Company subscribed for 1, 020,000 in aggregate of
National FT Shares and 296,296 in aggregate of Québec FT Shares. The Company is relying on
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the exemptions from the valuation and minority shareholder approval requirements of MI 61-101
contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market value of the participation
in the FT Share Private Placement by the insiders does not exceed 25% of the market
capitalization of the Company in accordance with MI 61-101. The Company did not file a material
change report in respect of the related party transaction at least 21 days before the closing of the
FT Share Private Placement, which the Company deems reasonable in the circumstances in
order to price and close the FT Share Private Placement in an expeditious manner. A material
change report has been filed under the Company’s profile at www.sedarplus.ca, which may be
sent to any shareholder upon request.
About Wallbridge Mining
Wallbridge is focused on creating value through the exploration and sustainable development of
gold projects along the Detour -Fenelon Gold Trend while respecting the environment and
communities where it operates.
Wallbridge’s flagship project, Fenelon Gold (“ Fenelon”), is located on the highly prospective
Detour-Fenelon Gold Trend Pro perty in Québec’s Northern Abitibi region. An updated mineral
resource estimate completed in January 2023 yielded significantly improved grades and
additional ounces at the 100%-owned Fenelon and Martiniere projects, incorporating a combined
3.05 million ounces of indicated gold resources and 2.35 million ounces of inferred gold resources.
Fenelon and Martiniere are located within an 830 km 2 exploration land package controlled by
Wallbridge. In addition, Wallbridge believes that the extensive land package i s extremely
prospective for the discovery of additional gold deposits.
Wallbridge has reported a positive Preliminary Economic Assessment on its 100% -owned
Fenelon gold Project with an estimated average annual gold production of 212,000 ounces over
12.3 years (see Wallbridge press release of June 26, 2023).
Wallbridge also holds a 19.9% interest in the common shares of Archer Exploration Corp.
(“Archer”) as a result of the sale of the Company’s portfolio of nickel assets in Ontario and Québec
in November of 2022.
The scientific and technical content of this new release has been reviewed and approved by
Francois Chabot., Eng., the Company’s Manager of Technical Services, a "Qualified Person" as
defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects.
Wallbridge will continue to focus on its core Detour-Fenelon Gold Trend Property while enabling
shareholders to participate in the potential economic upside in Archer. For further information
please visit the Company’s website at https://wallbridgemining.com/ or contact:
Wallbridge Mining Company Limited
Brian Penny, CPA, CMA
Interim CEO
Tel: (416) 716-8346
Email: [email protected]
Victoria Vargas, B.Sc. (Hon.) Economics, MBA
Capital Markets Advisor
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Email: [email protected]
Cautionary Note Regarding Forward-Looking Information
The information in this document may contain forward-looking statements or information (collectively, “FLI”)
within the meaning of applicable Canadian securities legislation. FLI is based on expectations, estimates,
projections, and interpretations as at the date of this document.
All statements, other than statements of historical fact, included herein are FLI that involve various risks,
assumptions, estimates and uncertainties. Generally, FLI can be identified by the use of statements that
include, but are not limited to, words such as “seeks”, “believes”, “anticipates”, “plans”, “conti nues”,
“budget”, “scheduled”, “estimates”, “expects”, “forecasts”, “intends”, “projects”, “predicts”, “proposes”,
"potential", “targets” and variations of such words and phrases, or by statements that certain actions, events
or results “may”, “will”, “could”, “would”, “should” or “might”, “be taken”, “occur” or “be achieved.”
FLI in this document may include, but is not limited to: the closing of the AEM Private Placement, statements
regarding the use of proceeds of the Private Placements; the Company’s exploration plans, the tax
treatment of the securities issued under the FT Share Private Placement under the Income Tax Act
(Canada); the timing to renounce all qualifying expenditures in favour of the subscribers (if at all); the future
prospects of Wallbridge; statements regarding the results of the Fenelon preliminary economic assessment;
the potential future performance of Archer common shares; future drill results; the Company’s ability to
convert inferred resources into measured and indicated resources; parameters and methods used to
estimate the MRE’s at the Fenelon and Martiniere properties (collectively the “ Deposits”); the prospects,
if any, of the Deposits; future drilling at the Deposi ts; and the significance of historic exploration activities
and results.
FLI is designed to help you understand management’s current views of its near- and longer-term prospects,
and it may not be appropriate for other purposes. FLI by their nature are based on assumptions and involve
known and unknown risks, uncertainties and other factors which may cause the actual results, performance,
or achievements of the Company to be materially different from any future results, performance or
achievements express ed or implied by such FLI. Although the FLI contained in this document is based
upon what management believes, or believed at the time, to be reasonable assumptions, the Company
cannot assure shareholders and prospective purchasers of securities of the Com pany that actual results
will be consistent with such FLI, as there may be other factors that cause results not to be as anticipated,
estimated or intended, and neither the Company nor any other person assumes responsibility for the
accuracy and completeness of any such FLI. Except as required by law, the Company does not undertake,
and assumes no obligation, to update or revise any such FLI contained in this document to reflect new
events or circumstances. Unless otherwise noted, this document has been pr epared based on information
available as of the date of this document. Accordingly, you should not place undue reliance on the FLI, or
information contained herein.
Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those described in FLI.
Assumptions upon which FLI is based, without limitation, include: the results of exploration activities, the
Company’s financial position and general economic conditions; the ability of exploration activities to
accurately predict mineralization; the accuracy of geological modelling; the ability of the Company to
complete further exploration activities; the legitimacy of title and property interests in the Deposits; the
accuracy of key assumptions, parameters or methods used to estimate the MREs and in the PEA; the ability
of the Company to obtain required approvals; geological, mining and exploration technical problems; and
failure of equipment or processes to operate as anticipated. Risks and uncertainties about Wallbridge's
business are discussed in the disclosure materials filed with the securities regulatory authorities in Canada,
which are available at www.sedarplus.ca.
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Cautionary Notes to United States Investors
Wallbridge prepares its disclosure in accordance with NI 43-101 which differs from the requirements
of the U.S. Securities and Exchange Commission (the "SEC"). Terms relating to mineral properties,
mineralization and estimates of mineral reserves and mineral resources and economic studies used
herein are defined in accordance with NI 43 -101 under the guidelines set out in CIM Definition
Standards on Mineral Resources and Mineral Reserves, adopted by the Canadian Institute of Mining,
Metallurgy and Petroleum Council on May 19, 2014, as amended. NI 43-101 differs significantly from
the disclosure requirements of the S EC generally applicable to US companies. As such, the
information presented herein concerning mineral properties, mineralization and estimates of mineral
reserves and mineral resources may not be comparable to similar information made public by U.S.
companies subject to the reporting and disclosure requirements under the U.S. federal securities laws
and the rules and regulations thereunder.