Solaris proposed C$130 million strategic investment by Zijin Mining Group

On January 11, 2024, Solaris Resources Inc. (“Solaris”) announced that it entered into a subscription agreement with an affiliate of Zijin Mining Group Co., Ltd. (“Zijin”). Pursuant to the agreement, Solaris would issue Zijin an aggregate of 28,481,289 common shares at a subscription price of C$4.55 per common share, representing an investment of approximately C$130 million. Upon closing, Zijin would own approximately 15% of Solaris’ common shares on a fully diluted basis.

Closing of the private placement was subject to customary conditions and applicable regulatory approvals, including (i) receipt of approval of the TSX, (ii) receipt of regulatory approval under the Investment Canada Act, and (iii) receipt of regulatory approval from the relevant authorities in the People’s Republic of China.

The company planned to use the proceeds from the private placement for the advancement and development of its flagship Warintza Project in southeastern Ecuador and for working capital and general corporate purposes. Solaris announced its decision not to proceed with the transaction on May 21, 2024.

Further information can be found on Globe Newswire’s website.

Solaris is a multi-asset exploration company, advancing a portfolio of copper and gold assets in the Americas. Its assets include:

• its primary focus, a world class large-scale resource with expansion and discovery potential at the Warintza Project in Ecuador;
• discovery potential at its Ricardo Project and Tamarugo Project in Chile;
• discovery potential at its Capricho and Paco Orco projects in Peru; and
• significant leverage to increasing copper prices through its 60% interest in the La Verde joint-venture project with a subsidiary of Teck Resources in Mexico.

Zijin is a large multinational mining group engaged in the global exploration and development of copper, gold, zinc and lithium projects, as well as engineering and technological research. Zijin has mining projects in 17 provincial-level regions in China and 15 other countries across the globe.