Algo Grande increases private placement to $7-million

Executive Summary

• Algo Grande Copper Corp. has upsized its previously announced non-brokered private placement of common shares, increasing the maximum aggregate gross proceeds from $5 million to $7 million.
• The offering will issue up to 10,769,231 shares at $0.65 per share, with net proceeds designated to fund Phase 2 exploration drilling at the company's 100%-owned Adelita project in Sonora, Mexico.
• The transaction includes finder compensation (7% cash commission and warrants), a $50,000 corporate finance fee for Canaccord Genuity Corp., and a four-month hold period on all issued securities.

Key Details

• Offering Structure & Proceeds: Upsized from $5M to up to $7M gross proceeds; consists of up to 10,769,231 common shares priced at $0.65 per share.
• Use of Proceeds: Financing Phase 2 drill program at the Adelita project (Cerro Grande expansion drilling and first-pass drilling along a ~6 km prospective limestone corridor), plus additional operating costs and general working capital requirements.
• Finder Compensation: Eligible finders may receive a 7% cash commission on gross proceeds from introduced purchasers, plus common share purchase warrants equal to 7% of the shares purchased by those purchasers. Each finder warrant allows acquisition of a share at $0.65/share for 36 months from issuance.
• Financial Adviser Fee: Canaccord Genuity Corp. acting as financial adviser; entitled to a $50,000 corporate finance fee upon completion, which may be settled via issuance of shares at a deemed price of $0.65/share.
• Hold Period & Conditions: Securities subject to a four-month statutory hold period (expires four months and one day from closing); no minimum aggregate subscription amount; subject to TSX Venture Exchange approval and other customary closing conditions.
• Insider Participation: Company expects certain insiders to participate, potentially constituting a related-party transaction under Multilateral Instrument 61-101; relying on exemptions from formal valuation and minority shareholder approval requirements.
• Project Exploration Context: Phase 1 drilling at Cerro Grande intersected multiple stacked copper-gold-silver skarn horizons at depth, including previously undrilled zones. The upcoming Phase 2 program targets expansion drilling and exploration along a six-kilometre corridor with potential porphyry-skarn mineralization.