ExGen

Phoenix Raises US$80 Million for Construction of the Empire Mine, Idaho

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VANCOUVER, British Columbia, May 17, 2024 (GLOBE NEWSWIRE) -- ExGen Resources Inc. (TSX.V: EXG; OTC: BXXRF) (“ExGen”, the “Company”) is pleased to provide an update in respect of Phoenix Copper Ltd.’s (“Phoenix”) exploration and development activities at the Empire Mine Project in Custer County, Idaho, USA, further to Phoenix’s news release of May 15, 2024. ExGen owns 20% and Phoenix owns 80% of Konnex Resources, Inc. (“Konnex”), which holds the leases and claims to the Empire Mine Project, which includes all of the Navarre Creek claim block. ExGen further owns 1,330,000 common shares of Phoenix.

Jason Riley, CEO of ExGen commented: “This is a transformational milestone for the Empire Project and we congratulate the entire Phoenix team for their diligence and perseverance in this monumental effort. We look forward to the coming PFS and progressing towards construction and potential cash flow visibility.”

Empire
On May 15, 2024 Phoenix announced that its corporate copper bond issue (the "Bonds") has been fully subscribed for a principal value of US$80 million (before Bonds issue expenses). Phoenix has entered into a subscription agreement with NIU Invest SE, a European private equity investment company (the "Bonds Investor"), pursuant to which the Bonds Investor has subscribed for US$80 million of Bonds, subject to certain conditions being met. The Bonds will be drawn down in tranches in accordance with a drawdown schedule in order to fully fund the construction of the Company's Empire Open-Pit Mine in Idaho, USA (the "Empire Mine") for the production of copper, gold and silver, and for general working capital.

Subject to the Directors being granted the authority to allot relevant securities at Phoenix’s forthcoming Annual General Meeting ("AGM"), scheduled to be held on 29 May 2024, unless and until agreed otherwise, the Bonds will be drawn down as to US$5,000,000 on or around 31 May 2024 (the "Initial Drawdown"), US$5,000,000 on or around 30 June 2024, US$20,000,000 on or around 31 August 2024, and the balance of US$50,000,000 in two tranches during the first half of 2025.