Arras Minerals Corp. (TSX-V:ARK)(OTCQB:ARRKF) ("Arras" or "Arras Minerals" or "the Company") is pleased to announce that it has elected to exercise its right under the terms of certain common share purchase warrants of the Company issued on June 6, 2024 (the "Warrants") to accelerate the expiry date of the Warrants.
Pursuant to the terms of such Warrants, the Company may accelerate the expiry of the Warrants in the event the volume weighted average trading price ("VWAP") of the common shares of the Company ("Common Shares") on the TSX Venture Exchange (the "TSXV") meets or exceeds $0.60 for any continuous 15 trading day period at any time following four months and one day following the date of issuance of such Warrants (the "Acceleration Condition"). The Company may then exercise its acceleration right at any time following the trigger of the Acceleration Condition by issuance of a news release. As of the close of markets on February 12, 2025, the VWAP of the Common Shares on the TSXV for the prior continuous 15 trading day period has met or exceeded $0.60. Accordingly, the Warrants will, unless exercised, expire on the 30th day after the date of this news release (March 14, 2025).
As of February 12, 2025, a total of 10,084,330 Warrants have yet to be exercised. Each Warrant is exercisable to acquire one Common Share at an exercise price of $0.40. If all Warrants are exercised, proceeds to the Company will total approximately $4.03 million.
Warrantholders who wish to exercise their Warrants should contact their investment advisor and submit the election to exercise form as per the Warrant certificate provided by the Company in June 2024. Any Warrants that have not been exercised by 4:00 p.m. (Vancouver time) on March 14, 2025 (i.e. at the end of 30 days notice) will automatically be canceled.
The securities referred to herein have not been, and will not be, registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, any U.S. persons or any persons within the United States absent registration or available exemptions from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. 'United States' and 'U.S. person' are as defined in Regulation S under the U.S. Securities Act.
Arras Minerals Corp. is a Canadian exploration and development company advancing a portfolio of copper and gold assets in northeastern Kazakhstan, including the Elemes copper and gold project and the Option Agreement on the Beskauga copper and gold project. The Company has established the third-largest license package in the country prospective for copper and gold (behind Rio Tinto and Fortescue). In December 2023, the Company entered into a strategic alliance with Teck Resources Limited ("Teck") in which Teck may sole fund a US$5 million generative exploration program over a portion of the Arras Minerals license package in 2024-2025. The Company's shares are listed on the TSX-V under the trading symbol "ARK" and on the OTCQB under the trading symbol "ARRKF".
Cautionary note regarding forward-looking statements: This news release contains forward-looking statements regarding future events and Arras Minerals' future results that are subject to the safe harbors created under the U.S. Private Securities Litigation Reform Act of 1995, the Securities Act of 1933, as amended, and the Exchange Act, and applicable Canadian securities laws. Forward-looking statements include, among others, statements regarding plans and expectations of the exploration program Arras Minerals is in the process of undertaking, including the expansion of the Mineral Resource, and other aspects of the Mineral Resource estimates for the Beskauga project. These statements are based on current expectations, estimates, forecasts, and projections about Arras Minerals' exploration projects, the industry in which Arras Minerals operates and the beliefs and assumptions of Arras Minerals' management. Words such as "expects," "anticipates," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," "continues," "may," variations of such words, and similar expressions and references to futureperiods, are intended to identify such forward-looking statements. Forward-looking statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond management's control, including undertaking further exploration activities, the results of such exploration activities and that such results support continued exploration activities, unexpected variations in ore grade, types and metallurgy, volatility and level of commodity prices, the availability of sufficient future financing, and other matters discussed under the caption "Risk Factors" in the Management Discussion and Analysis filed on the Company's profile on SEDAR on February 28, 2024 and in the Company's Annual Report on Form 20-F for the fiscal year ended October 31, 2023 filed with the U.S. Securities and Exchange Commission filed on February 28, 2024 available on www.sec.gov. Readers are cautioned that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those expressed or implied in the forward-looking statements. Any forward-looking statement made by the Company in this release is based only on information currently available and speaks only as of the date on which it is made. The Company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments, or otherwise.
