CANDENTE SHAREHOLDER MEETING KEY POINTS AND THE FUTURECANDENTE SHAREHOLDER MEETING KEY POINTS AND THE FUTURE
Seems to me Candente Copper is signaling they are ready to go with a bigger copper output from the start as Fortescue will eventually be the likely owner. Bigger is better for IRR and ROI and Fortescue has the capital to fund a large scale project from the get go.
Here are some important highlights:
-Special Meeting of Shareholders (“Special Meeting”) to be held on January 31, 2023
-$4,000,000 private placement (the “Private Placement”) with Nascent Exploration Pty. Ltd., a wholly owned subsidiary of Fortescue Metals Group Ltd. (“Fortescue”)
-the Private Placement with Fortescue, the Company’s largest shareholder, demonstrates their ongoing support
-the Private Placement is being conducted at a premium of 26% to the five-day volume weighted average price of the Company’s shares
-The Board are in favour of the Private Placement and have advised they will vote shares held in favour of the Resolution at the Special Meeting.
-Joanne C. Freeze, President and CEO of Candente Copper, commented, “This is a further significant endorsement of the Caariaco copper project and we are very pleased to have a strong industry leader such as Fortescue as an investor in the Company. This Private Placement will allow Candente Copper to further advance Caariaco with key technical studies, community engagement and permits for several high priority drill targets. Our main goals are to add additional copper, gold and molybdenum resources while we identify opportunities to further enhance what are already robust economics as well as Environmental, Social and Governance (“ESG”) aspects of the project. One of the clear opportunities identified is to consider Caariaco Sur earlier in the mine plan. Caariaco Sur has differing characteristics than Caariaco Norte as it possesses a higher gold content and molybdenum. Caariaco Sur was not included in the 2022 Preliminary Economic Assessment (“PEA”) mine plan due to the timing of completing the updated resource. In addition, while we are very pleased with the option for a smaller start-up with a lower CapEx, in the 2022 PEA, there remains a further opportunity for large well-funded companies such as Fortescue who may elect to develop Caariaco with a higher daily throughput from start-up which would be expected to further enhance project economics. With this in mind, we plan to focus immediate work on aspects that optimize potential development of the project regardless of start-up throughput size.”
-Approval of over 50% of Disinterested Shareholders of the Company voting at the Special Meeting, excluding Fortescue, is required to complete the Private Placement.
-All registered shareholders who hold their shares directly will receive a proxy in the mail. Most beneficial shareholders will receive a Voting Instruction form (“VIF”) in the mail. All beneficial shareholders who hold their shares through a brokerage firm should contact their broker and request their proxy or VIF in order to vote. For more information, all meeting materials are available for review on the Company website: https://candentecopper.com/investors/shareholders-meetings/ and SEDAR.
-Peruvian shareholders who hold their shares through the Lima Stock Exchange (“BVL”) should contact their Peruvian brokers, who must request a VIF for them from CAVALI. The Peruvian brokerage firms must forward all VIFs they receive from Shareholders to CAVALI who will submit the total votes to CITIBANK and they submit to Broadridge.