Copperstone carries out two directed share issues of SEK 24 million

This press release may not be released, published or distributed, directly or indirectly, in or into the United States, Australia, Hong Kong, Japan, Canada, New Zealand, Switzerland, Singapore, South Africa or any other jurisdiction where such measure would be illegal or subject to legal restrictions.

Danderyd May 19, 2020

The board of directors of Copperstone Resources AB (publ) (”Copperstone” or ”the Company”) has per May 19, 2020, resolved on a directed share issue of approximately 43,246,494 B-shares (the “Share Issue”) and on a directed share issue to two US investors of 1,226,415 B-shares and 660,377 B-shares respectively (together the “Separate Share Issue”) at a price of SEK 0.53 per share. Through the Share issue, the Company will receive gross proceeds of approximately SEK 23 million and through the Separate Share Issue, the Company will receive gross proceeds of approximately SEK 1 million, equal to a total amount of approximately SEK 24 million.

The Share Issue and the Separate Share Issue were carried out with deviation from the existing shareholders’ preferential right based on the authorisation granted by the annual general meeting held on May 14, 2019.

The Company will use the proceeds from the Separate Share issue for:

• Viscaria, Kiruna: intensified core drillings as well as environmental and tailings studies
• Copperstone project, Arvidsjaur: geophysical investments as well as further exploration work

Michael Mattsson, Copperstone CEO, comment:
”We are at an exciting stage of the development of the company, in our Arvidsjaur operations and not least at the Viscaria project in Kiruna. Being able to raise new capital despite of the challenging market situation shows us that there is a hunger for sustainably sourced European copper. Now we take important steps toward re-opening of the mine in a responsible way, with concern for the local community and the environment.”

The subscription price in the Share Issue was determined through an accelerated book building process, and corresponds to a discount of 4.4% versus the latest 5-day volume weighted average share price of SEK 0.55, and 11.7% discount to the closing price of the Company’s B-share on Nasdaq First North Growth Market of 0.60 SEK on May 18, 2020. The subscription price in the Separate Share Issue has been set to the same price as in the Share Issue.