Outcrop Silver Closes $23 Million Financing with Institutional Participation

• Closed $23 million public offering of 65.78 million units at $0.35 per unit, including full exercise of the over-allotment option.
• Jupiter Asset Management acquired 42.86 million units for $15 million, representing 65% of the offering.
• Eric Sprott's holding company acquired 14.29 million units for $5 million.
• Each unit consists of one common share and one-half warrant, with warrants exercisable at $0.55 for 24 months.
• Proceeds allocated to exploration and drilling at the Santa Ana project in Colombia and general working capital.

Outcrop Silver & Gold Corporation (TSXV:OCG) is an exploration and development company focused on its Santa Ana high-grade silver project in Colombia. The company's management team has experience in regional operations and Colombian geology. Outcrop Silver aims to expand mineral resources at Santa Ana through exploration programmes and advance the project towards production.

Public Offering Completion with Over-Allotment Exercise

The offering comprised 65.78 million units at $0.35 per unit. Each unit includes one common share and one-half of one warrant. Each whole warrant entitles the holder to purchase one common share at $0.55 for 24 months following the closing.

The company included an acceleration provision in the warrant terms. If the common shares trade above $0.75 for 20 consecutive trading days after six months, the company may provide notice to shorten the warrant expiry to 30 days following such notice.

The underwriting syndicate was led by BMO Capital Markets and Research Capital Corporation, with SCP Resource Finance and Red Cloud Securities participating. The agents received a 6% cash commission of $1.38 million. The full exercise of the over-allotment option brought the total gross proceeds to $23.02 million.

Strategic Investment from Jupiter Asset Management and Eric Sprott

Jupiter Asset Management acquired $15 million worth of units in the offering. The investment represents 65% of the total raise and marks the asset manager's entry as a shareholder in Outcrop Silver.

Eric Sprott, through 2176423 Ontario Ltd., acquired $5 million worth of units. Mr Sprott is known for investments in precious metals companies, particularly in the silver and gold sectors.

Together, these two investors account for approximately $20 million of the $23 million offering. The remaining $3 million was subscribed by other investors through the syndicate of agents. Both Jupiter Asset Management and Eric Sprott purchased units at the same $0.35 price as other participants in the offering.

Use of Proceeds for Santa Ana Project Exploration

Net proceeds after the $1.38 million underwriting commission will be used for exploration and drilling at the Santa Ana project and general working capital purposes. The Santa Ana project is located in Colombia and is described by the company as a high-grade silver project.

The funding will support drilling programmes aimed at expanding known mineralisation at Santa Ana. The company filed a prospectus supplement dated 29 September 2025 to its shelf prospectus dated 5 August 2025 with securities regulators in Canadian provinces and territories except Quebec and Nunavut.

The capital raise provides funding for the company's exploration activities without specifying the duration of the programme or specific drilling targets. The allocation between exploration and working capital was not detailed in the announcement beyond the general categories stated.

Looking Ahead

Outcrop Silver has closed the $23 million financing and received the proceeds for deployment at the Santa Ana project. The company's next phase involves executing exploration and drilling programmes using the raised capital.

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