Silver Hammer closes $3.91-million private placement

Executive Summary

• Silver Hammer Mining Corp. has closed a non-brokered private placement under the Listed Issuer Financing Exemption (LIFE), raising gross proceeds of CDN$3,913,617.
• The company issued 39,136,170 units at a price of 10 cents per unit, with each unit comprising one common share and one-half of one common share purchase warrant.
• Proceeds are designated for the exploration of the Silver Strand and Fahey Group projects in Idaho, the Eliza and Silverton projects in Nevada, and for general working capital.

Key Details

• Gross Proceeds: CDN$3,913,617.
• Units Issued: 39,136,170 units.
• Price Per Unit: 10 cents CAD.
• Warrant Terms (Investors): Each unit included one-half of one common share purchase warrant. Each warrant entitles the holder to acquire one common share at an exercise price of 15 cents per share for a period of 36 months from the closing date.
• Finder’s Fees: The company paid $52,990 in cash and issued 1,474,900 finders' warrants to eligible finders.
• Finder’s Warrant Terms: Each finder's warrant is exercisable to acquire one common share at an exercise price of 15 cents for a period of 36 months from the date of issuance, with a hold period of four months plus one day.
• Use of Proceeds: Exploration of the Silver Strand and Fahey Group projects (Idaho), Eliza and Silverton projects (Nevada), and general working capital/corporate purposes.
• Strategic Context: The company controls 100% of six previously producing silver mines with no underlying royalties or earn-in agreements. Recent acquisition of the Fahey Group project in Idaho is noted as a key strategic asset for aggressive exploration this spring.

Notable Quotes

• "The company is pleased to close our private placement quickly and receive significant interest from new and existing shareholders. We truly appreciate the support from the resource investment community," commented Peter A. Ball, president and chief executive officer.
• "The company is now positioned well financially to fully explore its multiple high-grade and drill-ready historical silver mines in Idaho and Nevada... Our recent acquisition of the Fahey Group project has gained significant interest... and we look to aggressively explore this strategic new project this spring."