Core Assets Announces C$3.0 Million Non-Brokered Private Placement

Rhea-AI Summary

Core Assets Corp. has announced a charity flow-through unit offering of 6,976,745 units at C$0.43 each, aiming to raise approximately C$3,000,000. Each unit includes one common share and a warrant, exercisable at C$0.47 within 24 months. The offering, set to close around February 15, 2023, will fund eligible Canadian exploration expenses at the Blue Property in British Columbia, with proceeds renounced to subscribers effective December 31, 2023. The project spans approximately 111,748 hectares and seeks to leverage geological advancements to discover new mineral deposits.

Positive

• Offering of 6,976,745 charity flow-through units set to raise C$3 million.
• Funds dedicated to exploration at Blue Property, significant for future development.
• Warrants offered provide potential upside for investors.

Negative

• Offering dependent on regulatory approval, which may not be guaranteed.
• There are inherent exploration risks, including potential failure to discover minerals.

VANCOUVER, BC / ACCESSWIRE / January 16, 2023 / Core Assets Corp., ("Core Assets" or the "Company") (CSE:CC)(FSE:5RJ)(OTCQB:CCOOF) is pleased to announce that it intends to offer 6,976,745 charity flow through units of the Company (the "Charity FT Units") at a price of C$0.43 per Charity FT Unit (the "Offering Price") for gross proceeds of approximately C$3,000,000 (the "Offering").

Each Charity FT Unit shall be comprised of one common share of the Company to be issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) (each, a "FT Share") and one half of one common share purchase warrant (each whole such warrant, a "Warrant") issued on a non-flow through basis. Each Warrant shall be exercisable into one common share of the Company (each, a "Warrant Share") at a price of C$0.47 at any time on or before the date which is 24 months after the closing date of the Offering.

All securities issued in connection with the Offering will be issued pursuant to one or more prospectus exemptions available to the Company, and will be subject to a hold period of four months and one day from the date of issuance as required under applicable securities laws. The Offering is expected to close on or about February 15, 2023, or such other earlier or later date as may be determined by the Company. Closing of the Offering will be subject to customary closing conditions including applicable CSE approval.

The gross proceeds of the Offering will be used by the Company to incur eligible "Canadian exploration expenses" that will qualify as "flow-through mining expenditures" as such terms are defined in the Income Tax Act (Canada) (the "Qualifying Expenditures") related to the Company's Blue Property located in British Columbia, Canada on or before December 31, 2024. All Qualifying Expenditures will be renounced in favour of the subscribers effective December 31, 2023.

None of the securities sold in connection with the Offering will be registered under the United States Securities Act of 1933, as amended, and no such securities may be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Core Assets Corp.

Core Assets Corp. is a Canadian mineral exploration company focused on the acquisition and development of mineral projects in British Columbia, Canada. The Company currently holds 100% ownership in the Blue Property, which covers a land area of111,747.96 ha (~1,117 km²). The Property lies within the Atlin Mining District, a well-known gold mining camp located in the unceded territory of the Taku River Tlingit First Nation and the Carcross/Tagish First Nation. The Blue Property hosts a major structural feature known as The Llewellyn Fault Zone ("LFZ"). This structure is approximately 140km in length and runs from the Tally-Ho Shear Zone in the Yukon, south through the Blue Property to the Alaskan Panhandle Juneau Ice Sheet in the United States. Core Assets believes that the south Atlin Lake area and the LFZ has been neglected since the last major exploration campaigns in the 1980's. The LFZ plays an important role in mineralization of near surface metal occurrences across the Blue Property. The past 50 years have seen substantial advancements in the understanding of porphyry, skarn, and carbonate replacement type deposits both globally and in BC's Golden Triangle. The Company has leveraged this information at the Blue Property to tailor an already proven exploration model and believes this could facilitate a major discovery. Core Assets is excited to become one of Atlin Mining District's premier explorers where its team believes there are substantial opportunities for new discoveries and development in the area.

On Behalf of the Board of Directors
CORE ASSETS CORP.

"Nicholas Rodway"

President & CEO
Tel: 604.681.1568

Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

FORWARD LOOKING STATEMENTS

Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Forward looking statements in this news release include statements regarding the Offering, the use of proceeds of the Offering, the expectation that the Company will incur "Canadian exploration expenses" that will qualify as "flow-through mining expenditures" and renounce all Qualifying Expenditures; , that the Company's exploration model could facilitate a major discovery at the Blue Property; that the Company anticipates it can become one of the Atlin Mining District's premier explorers and that there are substantial opportunities for new discoveries and development in this area. It is important to note that the Company's actual business outcomes and exploration results could differ materially from those in such forward-looking statements. Risks and uncertainties include that the Company may not complete the Offering on the terms set out herein, or at all; that the Company may not receive regulatory approval for the Offering, that the Company may be unable to incur the Qualifying Expenditures that the Company's exploration model may fail to facilitate any commercial discovery of minerals at the Blue Property; that the Company may not become one of Atlin Mining District's premier explorers or that the area may be found to lack opportunities for new discoveries and development, as anticipated; that further permits may not be granted in a timely manner, or at all; that the mineral claims may prove to be unworthy of further expenditure; there may not be an economic mineral resource; that certain exploration methods, including the Company's proposed exploration model for the Blue Property, may be ineffective or inadequate in the circumstances; that economic, competitive, governmental, geopolitical, environmental and technological factors may affect the Company's operations, markets, products and prices; our specific plans and timing drilling, field work and other plans may change; we may not have access to or be able to develop any minerals because of cost factors, type of terrain, or availability of equipment and technology; and we may also not raise sufficient funds to carry out or complete our plans. Additional risk factors are discussed in the section entitled "Risk Factors" in the Company's Management Discussion and Analysis for its recently completed fiscal period, which is available under the Company's SEDAR profile at www.sedar.com. Except as required by law, the Company will not update or revise these forward-looking statements after the date of this document or to revise them to reflect the occurrence of future unanticipated events.

SOURCE: Core Assets Corp.

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FAQ

What is the purpose of Core Assets Corp.'s recent offering of charity flow-through units?

The offering aims to raise approximately C$3 million to fund Canadian exploration expenses at their Blue Property.

When is the closing date for the charity flow-through unit offering by Core Assets Corp.?

The offering is expected to close on or about February 15, 2023.

What is included in each charity flow-through unit offered by Core Assets Corp.?

Each unit consists of one common share and one half of a common share purchase warrant.

What price are the charity flow-through units being offered at?

The units are being offered at a price of C$0.43 each.

What are the potential risks associated with Core Assets Corp.'s Blue Property exploration?

Risks include the possibility of not discovering minerals and lack of regulatory approvals.