Vancouver, British Columbia—September 2, 2025—IMPACT Silver Corp. (TSXV: IPT) (OTCQB: ISVLF) (FSE: IKL) has made headlines with its recent announcement of a financing agreement with Red Cloud Securities Inc. and Research Capital Corporation. This strategic move is set to bolster the company’s operations and expand its mining capabilities in Mexico.
Overview of the Offering
IMPACT Silver Corp. has entered into an agreement with the underwriters to purchase 22,222,222 units at a price of C$0.36 per unit, amounting to gross proceeds of approximately C$8 million. Each unit consists of one common share and one common share purchase warrant, allowing holders to purchase additional shares at C$0.45 within 24 months of the closing date.
Over-Allotment Option
In addition to the initial offering, the underwriters have been granted an option to purchase an additional 5,555,556 units, potentially raising an extra C$2 million. This flexibility allows the company to adapt to market conditions and investor interest.
Allocation of Proceeds
The net proceeds from this offering are earmarked for several key initiatives aimed at enhancing the company’s operational efficiency and expanding its resource base:
Guadalupe Mine Development: Funds will be directed towards advancing underground development and infrastructure at the high-grade Guadalupe mine, as well as increasing processing plant throughput and production flexibility at the Guadalupe Production Centre in Mexico.
Plomosas Mine Expansion: The company plans to expand mining operations and processing capacity at the Plomosas zinc-silver-lead mine in Chihuahua, Mexico. This includes accelerating resource definition drilling to extend the mine’s life.
General Working Capital: A portion of the funds will also be allocated for general corporate purposes, ensuring the company maintains operational flexibility.
Regulatory Compliance and Offering Details
The offering will comply with applicable regulatory requirements under National Instrument 45-106, allowing for sales to purchasers across Canada, excluding Québec. The units will also be available for sale in offshore jurisdictions and the United States under specific exemptions from registration requirements.
Closing Date
The offering is scheduled to close on September 17, 2025, pending necessary approvals, including that of the TSX Venture Exchange.
About IMPACT Silver Corp.
IMPACT Silver Corp. is a prominent player in the mining sector, with two key projects in Mexico:
Royal Mines of Zacualpan: This district includes four producing underground silver mines and one open-pit mine, contributing significantly to the company’s revenue. IMPACT has produced over 13.5 million ounces of silver, generating more than $298 million in revenue without incurring long-term debt.
Plomosas Zinc-Lead-Silver District: Known for its high-grade zinc production, Plomosas presents exceptional exploration potential, with ongoing efforts to ramp up production and explore additional targets.
Forward-Looking Statements
As with any investment, potential investors should be aware of the inherent risks associated with mining operations. Forward-looking statements in this announcement reflect management’s beliefs and assumptions, but actual results may vary due to various factors, including market conditions and operational challenges.
Conclusion
IMPACT Silver Corp.’s recent financing agreement marks a significant step towards enhancing its mining operations and expanding its resource base in Mexico. With a clear plan for the allocation of proceeds and a strong track record in the industry, the company is well-positioned for future growth. Prospective investors are encouraged to review the offering document available on the company’s website and SEDAR+ profile before making investment decisions.
For further inquiries, please contact:
Jerry Huang
CFO | Investor Relations
(604) 664-7707
[email protected]
(778) 867-7909 Direct
This announcement not only highlights IMPACT Silver Corp.’s strategic initiatives but also reflects the company’s commitment to growth and operational excellence in the mining sector.
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