CMC Adjusts Terms of Private Placement Units to Raise C$500,000

VANCOUVER, BC / ACCESSWIRE / August 17, 2023 / CMC Metals Ltd. (TSXV:CMB)(Frankfurt:ZM5P)(CMCXF:OTCQB) ("CMC" or the "Company") is repricing the previously announced (Aug 2, 2023) non-brokered private placement of units (the "Private Placement") to raise approximately C$750,000 in order to better reflect the current market conditions for common shares of the Company.

The Company will now raise C$500,000 through a non-brokered private placement. The newly proposed terms are to sell flow-through units of the Company (each, a "FT Unit") at a price of C$0.12 per FT Unit and non-flow-through units of the Company (each, a "Unit") at a price of C$0.10 per Unit for aggregate gross proceeds of up to C$500,000 (collectively, the "Offering").

Each FT Unit will consist of one common share of the Company to be issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) (each, a "FT Share") and one-half of one transferrable non-flow-through share purchase warrant (each whole warrant, a "Warrant"). Each non-flow-through unit will consist of one common share of the Company and one-half of one transferrable non-flow-through share purchase warrant.

Each Unit will consist of one common share of the Company (each, a "Unit Share") and one-half of one Warrant. Each whole Warrant will entitle the holder thereof to acquire one non-flow-through common share of the Company (each, a "Warrant Share") at an adjusted price of C$0.15 per Warrant Share for a period of 24 months from the closing date of the Offering.

Proceeds from the sale of FT Shares to eligible investors in Canada will be used to incur "Canadian exploration expenses" and "flow through mining expenditures" as these terms are defined in the Income Tax Act (Canada). Such proceeds will be renounced to the subscribers with an effective date not later than December 31, 2023, in the aggregate amount of not less than the total amount of gross proceeds raised from the issue of FT Shares.

The net proceeds from the sale of FT Units will be used to fund the Company's exploration program at its Silverknife and Silver Hart Properties in the Rancheria Silver District, (Yukon/British Columbia). The net proceeds from the sale of NFT Units will also be used for general working capital.

The Company may pay finders' fees comprised of cash and non-transferable warrants (the "Finder's Warrants") in connection with the Offering, subject to compliance with the policies of the TSX Venture Exchange. The terms of the Finder's Warrants will be the same as the Warrants distributed in the FT Units and the NFT Units. All securities issued and sold under the Offering will be subject to a hold period expiring four months and one day from their date of issuance. Closing is subject to customary closing conditions including, but not limited to, the negotiation and execution of subscription agreements and receipt of applicable regulatory approvals, including approval of the TSX Venture Exchange.