March 21, 2022
Vancouver – March 21, 2022 – Vancouver, British Columbia – Pampa Metals Corp. (“Pampa Metals” or the “Company”) (CSE: PM) is pleased to announce that it has closed the first tranche of a private placement offering of 3,786,700 units (“Units”) at a price of $0.30 per Unit for gross proceeds to the Company of $1,136,100. The Company will continue to raise funds with a total funding target of $4.0 million by issuing a total of 13,333,333 Units.
“The Company currently has a very active exploration campaign during this strong copper market. Pampa Metals has one project being drilled by JV partner Austral Gold and based on recent results, Block 4 is the immediate focus for Pampa Metals to start its own, new drilling program.”, stated A. Paul Gill, CEO.
Block 4 Discovery
Pampa Metals completed six trenches totalling 2.3 km, of which 5 trenches successfully exposed bedrock, at its Buenavista target on its Block 4 project in November-December 2021 (see news release dated February 8, 2022). The trenching was directed towards improving exposures of porphyry type quartz veinlets and copper oxide occurrences associated with a poorly exposed central porphyritic intrusion, which is spatially coincident with a magnetic anomaly detected by Pampa Metals’ ground magnetics survey. The magnetic anomaly directly led to the discovery of the stockwork veined porphyry intrusion by careful follow-up geological fieldwork. The area investigated by trenches at Buenavista measures approximately 700m north-south and 900m east-west, and the core porphyry and quartz-veinlet stockwork zone has not been trenched or drill tested historically. Encouraging assay results from the trenching program were recently published (see news release dated March 15, 2022), with highly anomalous copper, moly, and gold values.
Details of Private Placement
Each Unit of $0.30 is comprised of one common share and one-half of one common share purchase warrant of the Company. Each whole warrant (a “Warrant”) is exercisable into one common share of the Company at an exercise price of $0.50 per share for a period of 24 months from the closing date. The Company may reduce the exercise period of the Warrants to 30 days from the date the Company provides notice to the warrant holders that the weighted average trading price of the common shares of the Company on the Canadian Securities Exchange is $0.90 or greater for a period of 10 consecutive trading days.