Silver One Announces Closing of First Tranche for $31 Million

Executive Summary

• Silver One Resources closed the first tranche of its non‑brokered private placement, issuing 53,583,000 units at $0.58 each for gross proceeds of $31.08 M.
• Investor Eric Sprott subscribed for ~​$10 M, raising his ownership to approximately 16 % (non‑diluted) of the company’s common equity.
• Net proceeds are earmarked for drilling and exploration at Candelaria, metallurgical and environmental work, a pre‑feasibility study, claim payments, additional exploration, and general working capital.

Key Details

• Units issued: 53,583,000 (each unit = 1 common share + ½ warrant).
• Price per unit: $0.58.
• Aggregate gross proceeds: $31,078,140.
• Final tranche target: $922,200 (to be closed shortly).
• Warrant terms: Each whole warrant allows purchase of one additional common share at $0.80 for three years from issuance.
• Finder’s cash fee paid: $1,779,464 (no finder’s warrants issued).
• Use of proceeds:
  1. Drilling program at the Candelaria Project.
  2. Exploration and geophysics work on other mineral properties.
  3. Metallurgical and environmental studies at Candelaria.
  4. Preparation of a pre‑feasibility study for Candelaria.
  5. Annual BLM mineral claim payments.
  6. Additional exploration drilling across the company’s portfolio.
  7. General working capital.
• Eric Sprott investment: Acquired 17,240,000 units for $9,999,200 through 2176423 Ontario Ltd.
• Post‑offering ownership (Sprott):
• Shares controlled: 55,113,016 (≈ 16 % non‑diluted, ≈ 18 % partially diluted).
• Warrants held: 8,620,000.
• Regulatory compliance: Units offered under NI 45‑106 prospectus exemption; no hold period for Canadian subscribers (excluding Quebec).

Notable Quotes

“Management is very pleased with the enthusiastic response to the Offering… This is a strong show of support for our company and its silver‑focused projects.” – Management
“The Company plans to move aggressively with more exploration drilling at all our projects…” – Greg Crowe, CEO