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Trevali prices upsized C$30,000,000 unit offering

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Caribou mine, Canada. Image credit: Trevali Mining.

(Kitco News) - Trevali Mining (TSX: TV, BVL: TV; OTCQX: TREVF, Frankfurt: 4TI) today announced that it has entered into an underwriting agreement with a syndicate of underwriters in connection with its previously announced marketed offering of units. RBC Capital Markets and Scotiabank are the lead underwriters in a syndicate that includes HSBC Securities (Canada) Inc., BMO Capital Markets, National Bank Financial Inc. and TD Securities Inc.

The underwriters have agreed to purchase 162,162,162 units of the company at a price of C$0.185 for upsized gross proceeds of approximately C$30 million.

The company has also granted the underwriters an over-allotment option to purchase up to an additional 24,324,324 units at a price of C$0.185 per additional unit to cover over‑allotments, if any, and for market stabilization purposes.

The company intends to use the net proceeds of the offering for general corporate and working capital purposes, including advancing work on the Rosh Pinah 2.0 expansion study, including funding the feasibility study with respect to same, undertaking additional exploration work, continuing the study and potential restart of the Caribou operation, repaying additional amounts of the company’s indebtedness and funding the company’s working capital requirements.

Closing of the offering is expected to occur on December 2, 2020, and will be subject to a number of conditions, including approval of the Toronto Stock Exchange.

Trevali is a global base-metals mining company, headquartered in Vancouver, Canada. The bulk of Trevali’s revenue is generated from base-metals mining at its three operational assets: the 90%-owned Perkoa Mine in Burkina Faso, the 90%-owned Rosh Pinah Mine in Namibia, and the wholly-owned Santander Mine in Peru. In addition, Trevali owns the Caribou Mine, Halfmile and Stratmat Properties and the Restigouche Deposit in New Brunswick, Canada, and the past-producing Ruttan Mine in northern Manitoba, Canada. Trevali also owns an effective 44%-interest in the Gergarub Project in Namibia, as well as an option to acquire a 100% interest in the Heath Steele deposit located in New Brunswick, Canada.

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