Algo Grande Copper arranges $5-million financing

Executive Summary

• Algo Grande Copper Corp. is raising up to $5 million through a non-brokered private placement of common shares at $0.65/share to fund Phase II drilling at its Adelita project and general working capital.
• The offering includes structured finder's fees and warrants, is subject to TSX Venture Exchange approval, and carries a standard four-month hold period.
• Capital will be directed toward expansion drilling at the Cerro Grande Cu-Au-Ag skarn discovery and along a six-kilometre prospective limestone corridor targeting undrilled skarn horizons.

Key Details

• Financing Structure: Non-brokered private placement of up to 7,692,308 common shares
• Price & Gross Proceeds: $0.65 per share for gross proceeds of up to $5,000,000
• Financial Adviser: Canaccord Genuity Corp. (receives a $50,000 corporate finance fee upon completion, payable in cash or settled via shares at $0.65/share)
• Use of Proceeds: Phase II drill program at the Adelita project (Cerro Grande), expansion drilling along a ~6km limestone corridor hosting multiple undrilled, outcropping skarn targets, and general working capital
• Finder's Compensation: Up to 7% cash commission and 7% common share purchase warrants on shares purchased by purchasers introduced by finders
• Warrant Terms: Exercise price of $0.65 per finder's warrant share, exercisable for 36 months from issuance
• Hold Period: Four months from the date of closing (expires four months and one day post-closing)
• Conditions & Approvals: Subject to TSX Venture Exchange approval and other customary closing conditions; no minimum aggregate subscription amount required
• Insider Participation: Company insiders may participate, which may constitute a related party transaction under MI 61-101; the company intends to rely on exemptions from formal valuation and minority shareholder approval requirements
• Project Context: Phase I drilling previously intersected multiple stacked Cu-Au-Ag skarn horizons at depth, including zones missed by historic drilling; Phase II will target expansion and along-strike extension of the skarn corridor