/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
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TORONTO, Dec. 18, 2019 /CNW/ - Doré Copper Mining Corp.
(the "Corporation" or "Doré Copper") (TSX-V:DCMC) is
pleased to announce that it has entered into an agreement with
Canaccord Genuity Corp. in connection with a "best efforts" private
placement of an aggregate of up to 2,886,000 common shares of the
Corporation that will qualify as "flow-through shares" (within the
meaning of subsection 66(15) of the Income Tax Act
(Canada) and, in relation to FT
Tranche One (as defined herein), section 359.1 of the Taxation
Act (Québec)) (collectively, the "Flow-Through Shares")
for aggregate gross proceeds of up to approximately C$4.5 million (the "Offering"). The
Flow-Through Shares will be issued in two tranches. The first
tranche will consist of up to 1,697,000 Flow-Through Shares issued
to residents of Québec ("FT Tranche One") at an issue price
of C$1.65 per Flow-Through Share for
gross proceeds of up to approximately C$2.8
million. The second tranche will consist of up to 1,189,000
Flow-Through Shares to be issued to residents outside of Québec at
an issue price of C$1.43 per
Flow-Through Share for gross proceeds of up to approximately
C$1.7 million.
The Corporation will use an amount equal to the gross proceeds
received by the Corporation from the sale of the Flow-Through
Shares, pursuant to the provisions in the Income Tax Act
(Canada) and the Taxation
Act (Québec), to incur eligible "Canadian exploration expenses"
that qualify as "flow-through mining expenditures" as both terms
are defined in the Income Tax Act (Canada) (the "Qualifying Expenditures")
on or before December 31, 2020, and
to renounce all the Qualifying Expenditures in favour of the
subscribers of the Flow-Through Shares effective December 31, 2019. In addition, with respect to
Québec resident subscribers of the Flow-Through Shares who are
eligible individuals under the Taxation Act (Québec), the
Canadian exploration expenses will also qualify for inclusion in
the "exploration base relating to certain Québec exploration
expenses" within the meaning of section 726.4.10 of the Taxation
Act (Québec) and for inclusion in the "exploration base
relating to certain Québec surface mining expenses or oil and gas
exploration expenses" within the meaning of section 726.4.17.2 of
the Taxation Act (Québec).
The Offering will close in one or more tranches, with the first
tranche expected to close on or about December 23, 2019 and is subject to certain
closing conditions including, but not limited to, the receipt of
all necessary approvals including the conditional approval of the
TSX Venture Exchange. The Offering is being made by way of private
placement in each of the provinces of Canada pursuant to applicable exemptions from
the prospectus requirements under applicable Canadian securities
laws. The securities issued under the Offering will be subject to a
hold period under applicable Canadian securities laws expiring four
months and one day from the closing date of the Offering.
About Doré Copper Mining Corp.
Doré Copper is engaged in the acquisition, exploration and
evaluation of mineral properties.
Doré Copper completed a qualifying transaction on December 13, 2019 establishing itself as a copper
– gold explorer and developer in the Chibougamau area of Québec, Canada.
Doré Copper, through its wholly-owned subsidiary CBAY Minerals
Inc., holds a 100% interest in the exploration-stage Corner Bay
Project and the exploration-stage Cedar Bay Project, both located
in the vicinity of Chibougamau,
Québec. The Corner Bay Project has an indicated resource of 1.35 Mt
at average grades of 3.01% Cu and 0.29 g/t Au, containing 89.8 Mlb
of copper and 13,000 ounces of gold, and an inferred resource of
1.66 Mt at average grades of 3.84% Cu and 0.27 g/t Au, containing
140.3 Mlb of copper and 15,000 ounces of gold, assuming a cut-off
grade of 1.5% Cu and a copper price of US$3.25 per pound. The Cedar Bay Project has an
indicated resource of 130 kt at average grades of 9.44 g/t Au and
1.55% Cu, containing 39,000 ounces of gold and 4.4 Mlb of copper,
and an inferred resource of 230 kt at average grades of 8.32 g/t Au
and 2.13% Cu, containing 61,000 ounces of gold and 10.8 Mlb of
copper, assuming a cut-off grade of 2.9 g/t Au and a gold price of
US$1,400 per ounce. Doré Copper's
drill program has been successful at expanding the resources at the
Corner Bay Project and confirming three high grade veins at the
shaft bottom depth at the Cedar Bay Project. Both deposits are open
along strike and down dip. Both the Corner Bay Project and the
Cedar Bay Project are accessible by road and are approximately 20
km apart. Mineralization from both the Corner Bay Project and the
Cedar Bay Project would be treated at Doré Copper's Copper Rand
concentrator located 8 km southwest of Chibougamau, Québec. For further information,
please see the technical report entitled "Technical Report on the
Corner Bay and Cedar Bay Projects, Northwest Québec, Canada" dated June 15,
2019, prepared by Luke Evans,
M.Sc., P.Eng., which is available under Doré Copper's profile on
SEDAR at www.sedar.com.
Andrey Rinta, P.Geo., the
Exploration Manager of the Corporation and a "Qualified Person"
within the meaning of National Instrument 43-101, has reviewed and
approved the technical information contained in this news
release.
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward-looking
statements" under applicable Canadian securities legislation.
Forward-looking statements include, but are not limited to,
statements with respect to the terms of the Offering, the use of
proceeds of the Offering, the timing and ability of the Corporation
to close the Offering, the timing and ability of the Corporation to
receive necessary regulatory approvals, and the plans, operations
and prospects of the Corporation. Forward-looking statements are
necessarily based upon a number of estimates and assumptions that,
while considered reasonable, are subject to known and unknown
risks, uncertainties and other factors which may cause the actual
results and future events to differ materially from those expressed
or implied by such forward-looking statements. Such factors
include, but are not limited to: general business, economic,
competitive, political and social uncertainties; delay or failure
to receive regulatory approvals; the price of gold and copper; and
the results of current exploration. There can be no assurance that
such statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. The Corporation disclaims
any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by law.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
SOURCE Doré Copper Mining Corp.