IMPACT Silver Corp. (TSX-V: IPT) (OTC PINK: ISVLF) (FSE: IKL) (“IMPACT” or the “Company”) announces it has proposed an extension of 33,357,104 expiring in 2025 by 18 months.
The Company intends to extend the expiry date of a total of 30,903,012 of share purchase warrants by 18 months, such that they will expire on October 19, 2026. Each of these warrants entitles the holder thereof to acquire one common share of the company at a price of $0.35 cents per common share and all other terms of the warrants, including exercise price, will remain the same. The warrants were issued pursuant to a private placement that closed on Apr 19, 2023. The warrants were set to expire on April 19 2025.
As part of the same financing, second tranche closed May 3, 2023 and Company issued 2,454,092 share purchase warrants (the “May Warrants”), each May Warrant entitling the holder to purchase one common share of the Company at a price of $0.35 until May 3, 2025. These are also extended by 18 months, such that they will expire November 3, 2026. The warrants were set to expire on May 2, 2025.
A total of 100,000 warrants are held by parties who are considered to be related parties of the company. Therefore, the amendment of these warrants constitutes a related party transaction as contemplated by Multilateral Instrument 61-101, Protection of Minority Shareholders in Special Transactions, and TSX-V Policy 5.9, Protection of Minority Shareholders in Special Transactions. However, the exemptions from formal valuation and minority approval requirements provided for by these guidelines can be relied upon as the fair market value of the warrants held by insiders does not exceed 25 per cent of the market capitalization of the company. Upon receipt of the approval of the TSX-V of the warrant extensions, a material change report in respect of the warrant extension will be filed by the company.
ABOUT IMPACT SILVER
IMPACT Silver Corp. (TSXV:IPT) is a successful producer-explorer with two mining projects in Mexico.
- Royal Mines of Zacualpan Silver-Gold District: IMPACT owns 100% of the 211 km2 Zacualpan project in central Mexico where four producing underground silver mines and one open pit mine feed the central 500 tpd Guadalupe processing plant. To the south, the Capire Project includes a 200 tpd processing pilot plant adjacent to an open pit silver mine with an NI 43-101 inferred mineral resource of over 4.5 million ozs silver, 48 million lbs zinc and 21 million lbs lead (see IMPACT news release dated January 18, 2016, for details and QP statement). Company engineers are reviewing Capire for a potential restart of operations to leverage improving commodity prices. Over the past 18 years, IMPACT has developed multiple exploration zones into commercial production and has produced over 13 million ounces of silver, generating revenue of more than $277 million, with no long-term debt.
- Plomosas Zinc-Lead-Silver District: Plomosas is a high-grade zinc producer in northern Mexico with exceptional exploration upside potential. The Company recently restarted mining operations and is ramping up production toward design capacity levels. Exploration potential at Plomosas is exceptional along the 6 km-long structure. This is in addition to other exploration targets on the 3,019-hectare property including untested copper-gold targets with indications of high-grade material at surface. Regionally, Plomosas lies in the same mineral belt as some of the largest carbonate replacement deposits in the world.
Qualified Person and NI 43-101 Disclosure
Jose Antonio Olmedo, P.Geol., a Director of IMPACT Silver Corp., is a "Qualified Person" within the meaning of NI 43-101 and has approved the technical information contained in this news release. Additional information about IMPACT and its operations can be found on the Company website at www.IMPACTSilver.com. Follow us on X (formerly Twitter) @IMPACT_Silver and LinkedIn at https://www.linkedin.com/company/impactsilver
On behalf of IMPACT Silver Corp.
"Frederick W. Davidson"
President & CEO
For more information, please contact:
Jerry Huang
CFO | Investor Relations
O: (604) 681 0172 or inquiries@impactsilver.com
C: (778) 778-867-7909 Direct
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 release.
