Cerro de Pasco Resources Closes Second Tranche of Private Placement for Total Current Financing of $2.0 Million

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MONTREAL, Jan. 22, 2024 (GLOBE NEWSWIRE) -- Cerro de Pasco Resources Inc. (CSE:CDPR) (OTCPK: GPPRF) (FRA: N8HP) (“CDPR” or the “Company”) is pleased to announce that, further to its news release of September 22 and November 20, 2023, the Company has closed the final and oversubscribed tranche of its non-brokered private placement (the “Offering”).  In connection with the closing of the final tranche, the Company issued 2,280,000 Units (each, a “Unit”) at $0.10 per Unit for gross proceeds of $228,000.

Under the two tranches of the Offering, the Company raised aggregate gross proceeds of $2,000,000.

Each Unit is comprised of one common share in the capital of the Company (a "Common Share") and half of one unit purchase warrant (a "Warrant"). Each whole Warrant entitles the holder thereof to purchase one additional unit (each a “Warrant Unit”) at a price of $0.15 per Warrant Unit until the earlier of the date which is 24 months after its issuance and, if applicable, the Accelerated Expiry Date (as defined hereinafter) (the “Expiry Date”). Each Warrant Unit will consist of (i) one additional Common Share and (ii) one additional transferable Common Share purchase warrant (the “Underlying Warrants”). Each Underlying Warrant will entitle the holder thereof to acquire one additional Common Share (the “Underlying Warrant Shares”) at a price of $0.25 per Underlying Warrant Share until the Expiry Date.

In the event that, during the period following 24 months from the closing date of the Offering, the volume-weighted average trading price of the Common Shares exceeds $0.60 per Common Share for any period of 20 consecutive trading days, the Company may, at its option, following such 20-day period, accelerate the expiry date of the Warrants by delivery of notice to the registered holders (an "Acceleration Notice") thereof and issuing a press release (a "Warrant Acceleration Press Release", and, in such case, the expiry date of the Warrants and the Underlying Warrants, as applicable, shall be deemed to be 5:00 p.m. (Montreal time) on the 30th day following the later of (i) the date on which the Acceleration Notice is sent to Warrant holders, and (ii) the date of issuance of the Warrant Acceleration Press Release (the “Accelerated Expiry Date”).