May 11, 2021 newkoreadmin

KORE Mining Ltd. Announces $8.0 Million Bought Deal Offering

Vancouver, BC May 11, 2021 – KORE Mining Ltd. (TSXV: KORE | OTCQX: KOREF) (“KORE” or the “Company”) is pleased to announce that it has entered into an agreement with Canaccord Genuity Corp. on behalf of a syndicate of underwriters including PI Financial Corp. and Cormark Securities Inc. (collectively, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a “bought deal” basis, 8,422,000 units (the “Units”) of the Company at a price of $0.95 per Unit (the “Offering Price”), for aggregate gross proceeds of $8,000,900 (the “Offering”).

Each Unit will consist of one common share in the capital of the Company (a “Unit Share”) and one half of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each Warrant will entitle the holder thereof to purchase one common share of the Company (a “Warrant Share”) at a price of $1.35 for a period of two years following the closing of the Offering.

The Company has agreed to grant the Underwriters an option, exercisable at the Offering Price for a period of 30 days following the closing of the Offering, to purchase up to an additional 1,263,300 Units, Warrants, or a combination thereof, to cover over-allotments, if any, and for market stabilization purposes (the “Underwriters’ Option”). If the Underwriters’ Option is exercised in full, an additional $1,200,135 in gross proceeds will be raised pursuant to the Offering and the aggregate gross proceeds of the Offering will be $9,201,035.

The Company plans to use the net proceeds from the Offering for the advancement of its gold assets in California, as well as for general corporate and working capital purposes.

The Offering is scheduled to close on or about June 3, 2021, or such other date as agreed to between the Company and the Underwriters, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities.

The Units will be offered by way of a short form prospectus to be filed in all of the provinces of Canada (other than the Province of Quebec) pursuant to National Instrument 44-101 Short Form Prospectus Distributions and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended.

This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The Common Shares have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration.

About KORE Mining

KORE is 100% owner of the Imperial and Long Valley gold projects in California. Both projects have positive economic assessments that put KORE on the path to produce up to 350,000 ounces of gold production per year. KORE is supported by strategic investor Eric Sprott who owns 26% of KORE’s basic shares. KORE management and Board are aligned with shareholders, owning an additional 38% of the basic shares outstanding. KORE is actively developing its Imperial Gold project and is aggressively exploring across its portfolio of assets.

 

Further information on KORE can be found on the Company’s website at www.koremining.com or by contacting us as info@koremining.com or by telephone at (888) 407-5450.

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