SilverCrest Announces C$31 Million
Strategic Investment by SSR Mining
SilverCrest Metals Inc. (TSX.V: SIL) (NYSE: SILV) recently announced that SSR Mining Inc. (“SSR”) has agreed to purchase 8,220,645 common shares of the Company at a price of $3.73 per share for a total investment of $30,663,006 in a non-brokered private placement financing. After giving effect to the private placement, SSR will own 9.9% of the outstanding common shares of SilverCrest on a non-diluted basis. The private placement is expected to close on or about December 7, 2018, subject to receipt of necessary regulatory approvals. The common shares issued to SSR upon closing of the private placement will have a statutory hold period of four months and one day from the closing date. The Company will use the proceeds from the private placement for the exploration and development of the Las Chispas Project and related costs.
Eric Fier, CPG, P.Eng, and CEO, remarked, “We are pleased to welcome SSR as a new investor in SilverCrest. With this investment, SilverCrest will have more than C$40 million available to explore and advance the Las Chispas project. The investment by SSR is an important endorsement of the Las Chispas project from a mining company that has an established reputation and track record of financial discipline and operating performance which can help to further de-risk and optimize the Las Chispas project. We look forward to having a positive working relationship with SSR as we move Las Chispas forward.”
In connection with the investment, SSR and SilverCrest have entered into a binding investment agreement, the provisions of which include the following, among other terms, for so long as SSR holds 5% or more of the outstanding common shares of SilverCrest:
With this investment, SilverCrest expects to be fully funded to complete the following work on the Las Chispas project in 2019; 1) a resource update in Q1, 2019, 2) completion of a Preliminary Economic Assessment ("PEA") in Q1, 2019, 3) the construction of an exploration decline into the high-grade Area 51 zone of the Babicanora Vein, 4) an aggressive infill and expansion drilling program to upgrade and potentially increase the high-grade precious metal resource, and 5) with a positive PEA, a Pre-Feasibility Study by the end of 2019.
About SilverCrest Metals Inc.
SilverCrest is a Canadian precious metals exploration company headquartered in Vancouver, BC, that is focused on new discoveries, value-added acquisitions and targeting production in Mexico's historic precious metal districts. The Company's current focus is on the high-grade, historic Las Chispas mining district in Sonora, Mexico. SilverCrest is the first company to successfully drill-test the historic Las Chispas Project resulting in numerous discoveries. The Company is led by a proven management team in all aspects of the precious metals mining sector, including taking projects through discovery, finance, on time and on budget construction, and production.
For further information on SilverCrest Metals Inc contact Michael Rapsch, VP Corp. Communications at (604) 694-1730, Email: email@example.com or visit the website at www.silvercrestmetals.com..
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