Sonoran Desert Copper Corporation Closes Oversubscribed Private Placement Financing

Rhea-AI Summary

Sonoran Desert Copper Corporation closes $0.05 Unit Private Placement Financing, raising $818,500

Positive

• The Company successfully closed its non-brokered private placement offering, raising aggregate gross proceeds of $818,500.
• Nexvu Capital Corp., a company owned by insiders, subscribed for 1,200,000 Units worth $60,000, demonstrating confidence in the Company.

Negative

• None.

Vancouver, British Columbia--(Newsfile Corp. - August 28, 2023) - Sonoran Desert Copper Corporation (TSXV: SDCU) ("SDCU'' or the "Company") announces the closing of the Company's $0.05 Unit Private Placement Financing.

CLOSING $0.05 UNIT PRIVATE PLACEMENT FINANCING

Further to its May 17, 2023 news release, the Company has filed documents with the TSX Venture Exchange (the "Exchange") seeking final approval to close its non-brokered private placement offering for aggregate gross proceeds of $818,500. Subject to Exchange approval, the Company will issue 16,370,000 $0.05 Units, each unit consisting of one common share of the Company and one common share purchase warrant, with each warrant being exercisable for an additional common share at an exercise price of 10 cents for 36 months. The warrants are subject to the right of the Company to accelerate the exercise of the warrants if the shares of the Company trade at or above 50 cents for a period of 10 consecutive trading days. Final closing of the financing is subject to Exchange approval. All securities issued pursuant to the financing are subject to a four-month hold.

Nexvu Capital Corp., a company beneficially owned by insiders of the Company, has subscribed for 1,200,000 Units, or $60,000, that portion of the financing a "related party transaction" as such term is defined under MI 61-101 – Protection of Minority Security Holders in Special Transactions. The Company is relying on exemptions from the formal valuation requirement of MI-61-101 under sections 5.5(a) and (b) of MI 61-101 in respect of the transaction as the fair market value of the transaction, insofar as it involves the interested party, is not more than 25% of the Company's market capitalization.

Cash finders' fees totalling $3,440 have been paid and 68,800 non-transferable broker warrants exercisable at $0.10 for 36 months have been issued to Leede Jones Gables Inc.

Proceeds from the above financing will be used for general working capital and for the company's 4H Project located in Sonora, Mexico (see the company's Feb. 9, 2023, news release for details on the 4H project). The Company has commissioned a National Instrument 43-101-compliant report in regard to the 4H Project and upon receipt will be filing final documents with the TSX Venture Exchange for approvals.

About Sonoran Desert Copper Corporation
Sonoran Desert Copper Corporation is focused on the development of its energy metals project portfolio including the South Uchi lithium project in Red Lake, Ontario, Canada and the Cuatro Hermanos copper / molybdenum porphyry project in Sonora, Mexico (the "4H Property")

On behalf of the Board of Directors of
SONORAN DESERT COPPER CORPORATION

"Brian Leeners"

Brian Leeners, CEO & Director
brianleeners@gmail.com / +1 604-862-4184 (WhatsApp)

FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE

The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements.

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/178751