CMC Seeks Approval of First Tranche - $726,659.98 Raised

VANCOUVER, BC / ACCESSWIRE / September 26, 2022 / CMC Metals Ltd. (TSXV:CMB)(Frankfurt:ZM5P)(CMCXF:OTCQB) ("CMC" or the "Company") has filed for approval to close the first tranche of the financing for aggregate gross proceeds of $726,659.98, subject to TSX Venture Exchange approval. On receipt of the TSX Venture Exchange approval to close this first tranche, the company will issue 1,815,758 flow-through (FT) units at 18-cent and 2,575,000 non-flow-through (NFT) units at 16-cent.

Each FT unit consists of one flow-through common share of the company and one half of one common share purchase warrant, with each full warrant exercisable to purchase an additional common share of the company for 20 cents for 24 months from the date of issue.

Each NFT unit consists of one common share of the company of the company and one half of common share purchase warrant, with each full warrant exercisable to purchase an additional common share of the company for 20 cents for 24 months from the date of issue.

Subject to exchange approval, cash finders' fees in the amount of $32,934 will be paid and 96,783 broker warrants will be issued.

The first tranche of the financing was effected with two insiders, subscribing for a total of $18,000 or 100,000 FT units, which portion of the financing is a related party transaction as such term is defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company is relying on exemptions from the formal valuation requirement of MI-61-101 under sections 5.5(a) and 5.5(b) of MI 61-101 in respect of the transaction as the fair market value of the transaction, insofar as it involves the interested party, is not more than 25 per cent of the company's market capitalization.

All securities issued pursuant to the financing will be subject to a four-month hold.

Net proceeds from the sale of FT Units will be used to fund the Company's exploration program at its silver-lead-zinc properties in the Yukon/British Columbia District and at its polymetallic copper-silver lead properties in central Newfoundland. The net proceeds from the sale of NFT Units will be used for general working capital.

About CMC Metals Ltd.

CMC Metals Ltd. is a growth stage exploration company focused on opportunities for high grade polymetallic deposits in Yukon, British Columbia and Newfoundland. Our polymetallic silver-lead-zinc CRD prospects include the Silver Hart Deposit and Blue Heaven claims (the "Silver Hart Project") and Rancheria South, Amy and Silverknife claims (the "Rancheria South Project"). Our polymetallic projects with potential for copper-silver-gold and other metals include Bridal Veil, Terra Nova and Rodney Pond (central Newfoundland).