Oroco Resource increases bought deal offering to $20M

Executive Summary

• Oroco Resource Corp. has amended its bought deal financing agreement to increase the aggregate gross proceeds from approximately $17.0 million to $20.0 million due to strong investor demand.
• The offering consists of 52,631,600 units priced at $0.38 per unit, with an overallotment option for an additional 15% of units, potentially raising up to $23.0 million in total.
• Net proceeds will be used to fund prefeasibility study drilling at the Santo Tomas copper project, advance environmental and permitting work, and provide general corporate working capital.

Key Details

• Transaction Structure: Upsized bought deal public offering led by Canaccord Genuity Corp. as lead underwriter and sole bookrunner.
• Units Offered: 52,631,600 units.
• Price: $0.38 per unit.
• Base Gross Proceeds: Approximately $20.0 million.
• Overallotment Option: Underwriters granted an option to purchase up to 7,894,740 additional units (15% of the base offering).
• Overallotment Proceeds: If exercised in full, additional gross proceeds of up to approximately $3.0 million.
• Total Potential Gross Proceeds: Up to approximately $23.0 million.
• Warrant Terms: Each unit includes one common share and one-half of one common share purchase warrant.
• Exercise Price: $0.53 per share.
• Warrant Expiry: 36 months from the closing date.
• Use of Proceeds:
  • Finance commencement of prefeasibility study drilling at the Santo Tomas copper project.
  • Advance baseline environmental and permitting work.
  • General corporate working capital.
• Closing Date: Expected on or about January 14, 2026, subject to customary conditions including TSX Venture Exchange approval.
• Regulatory Filings: Completed via prospectus supplement to the short form base shelf prospectus dated April 23, 2025.
• Jurisdictions: Offered in all Canadian provinces except Quebec; also offered in the U.S. to qualified institutional buyers (Rule 144A) and accredited investors (Regulation D 506(b)), and in offshore jurisdictions.

Notable Quotes

• No direct quotes from management were included in the provided text.