Latin Metals Announces Closing of Private Placement for Gross Proceeds of $0.7 Million

Provides Corporate Update

VANCOUVER, British Columbia, Feb. 06, 2024 (GLOBE NEWSWIRE) -- Latin Metals Inc. (“Latin Metals” or the “Company”) - (TSXV: LMS) (OTCQB: LMSQF) announces that it has closed its previously announced non-brokered private placement (the “Financing”) for aggregate gross proceeds of $700,000 through the issuance of 10,000,000 units (each a “Unit”) at a subscription price of $0.07 per Unit.

Each Unit consists of one common share in the capital of Latin Metals (each, a “Share”) and one half of one common share purchase warrant, with each whole warrant entitling the holder thereof to purchase one Share at a price of $0.15 per Share for a period of 24 months from the closing of the Financing.

In connection with the closing of the Financing, the Company paid finder’s fees on a portion of the Financing to Leede Jones Gable Inc. consisting of a $17,640 cash commission and 251,999 finder’s warrants. All securities issued by the Company pursuant to the Financing are subject to a hold period of four months and one day in Canada.

Certain officers, directors and a control person of the Company (collectively, the “Related Parties”) participated in the Financing pursuant to the terms described above, purchasing in aggregate 4,300,000 Units. These constitute related party transactions pursuant to Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company relied on Sections 5.5(a) and 5.7(1)(a) of MI 61-101 for an exemption from the formal valuation and minority shareholder approval requirements, respectively, as at the closing of the Financing, neither the fair market value of the Units issued in connection with the Financing, nor the fair market value of the consideration received by the Company for same, insofar as it involved the Related Parties, exceeded 25% of the Company’s market capitalization.

The proceeds from the Financing will support continued exploration and generative activities across our project portfolio in Argentina and Peru, alongside general working capital needs. The engagement of insiders in the Financing highlights their ongoing support and confidence in Latin Metals' strategic direction and exploration potential. The closing of the Financing is subject to receipt of TSX Venture Exchange final approval. Latin Metals thanks its investors and stakeholders for their continued support and looks forward to providing further updates on our exploration progress and strategic partnerships.