Tinka increases private placement to $14-million

Executive Summary

• Tinka Resources Ltd. upsized its private placement from up to $11 M to up to $14 M, selling up to 254.5 million pre‑consolidation units at C$0.055 per unit (or 50.9 million post‑consolidation units at C$0.275).
• The offering includes common shares plus half a warrant each; warrants are exercisable at C$0.08 (pre‑consolidation) or C$0.40 (post‑consolidation) for 36 months after closing.
• Net proceeds will fund an initial drill program at the Silvia gold‑copper project, resource expansion at Ayawilca (including high‑grade zinc), and general corporate working capital.

Key Details

• Upsized Offering Size: Gross proceeds up to C$14 million (previously C$11 M).
• Units Offered:
• Pre‑consolidation: 254,545,455 units at C$0.055 per unit.
• Post‑consolidation (1:5): 50,909,091 units at C$0.275 per unit.
• Unit Composition: Each unit = 1 common share + ½ common share purchase warrant.
• Warrant Terms:
• Exercise price C$0.08 (pre‑consolidation) / C$0.40 (post‑consolidation).
• exercisable for 36 months from closing.
• Potential Additional Shares: If Nexa Resources SA and Compania de Minas Buenaventura SAA exercise full pre‑emptive rights, up to 167.75 million additional pre‑consolidation shares could be issued for an extra ≈C$9.22 million gross proceeds.
• Hold Period: All securities subject to a four‑month hold period under Canadian securities law.
• Use of Proceeds:
• Initial drilling at the Silvia gold‑copper project.
• Resource expansion at Ayawilca, targeting high‑grade zinc mineralization.
• Corporate and general working capital.
• Stock Option Grant: Board authorized options to purchase up to 33 million pre‑consolidation shares (or 6.6 million post‑consolidation shares) at the same exercise prices as warrants; vesting terms set by board, exercisable through Sept 10 2030.
• Related Party Participation: Directors/officers and existing shareholders Nexa Resources SA & Compania de Minas Buenaventura SAA may participate; transaction exempt from MI 61‑101 valuation/approval thresholds (<25% market cap).

Notable Quotes

(No direct quotes provided in the release.)