Solaris Resources Secures $130 Million Investment from Zijin Mining Group

Solaris Resources has confirmed a private placement agreement with an affiliate of Zijin Mining Group, amounting to approximately $130 million. Under this agreement, Solaris will issue 28,481,289 common shares at a price of $4.55 per share. This price represents a 14% premium over the closing price on the Toronto Stock Exchange as of January 10, 2024. Following this transaction, Zijin will hold about 15% of the fully diluted common shares of Solaris.

Daniel Earle, President & CEO of Solaris, acknowledged the strategic partnership with Zijin, a globally operating mining company. He expressed anticipation for leveraging Zijin’s expertise and financial capacity, particularly for the development of the Warintza Project in southeastern Ecuador and other corporate objectives.

The proceeds from the private placement will be allocated for the advancement of the Warintza Project and general corporate purposes. As part of the agreement, Zijin will have the right to nominate a board member as long as it maintains a minimum 5% ownership in Solaris. Additionally, Zijin is entitled to purchase additional securities to maintain its proportional interest in the company.

The closing of the private placement is contingent on standard conditions and regulatory approvals, including the Toronto Stock Exchange's approval, regulatory clearance under the Investment Canada Act, and approval from relevant authorities in China. The issued common shares will adhere to a statutory hold period as per applicable securities laws.