Pan Global Closes Upsized $7.2 Million Financing to Advance Copper Discoveries in Spain

• Pan Global closed an oversubscribed $7.2 million private placement with strong support from existing shareholders, institutions, and a strategic Spanish investor
• Funds will advance the Escacena copper project in the Iberian Pyrite Belt, with immediate focus on drilling the La Romana discovery and high-potential Bravo target
• Escacena hosts near-surface copper with significant size potential in a top-tier mining jurisdiction near major mines and excellent infrastructure
• Positive metallurgy at La Romana indicates high-grade, clean copper and tin concentrates can be produced using conventional processing
• Pan Global is led by a proven team and offers a compelling investment opportunity with many catalysts expected in 2024-2025

Pan Global Resources Inc. (TSXV:PGZ) is a Canadian junior resource company actively exploring for copper and tin in Spain's prolific Iberian Pyrite Belt. The company's flagship asset is the 100%-owned Escacena Project, located near operating mines and excellent infrastructure in Andalucía. The company is implementing a systematic approach to exploration at Escacena, combining modern technologies and proven methods to define resources and advance projects rapidly from discovery to production.

Oversubscribed $7.2 Million Financing Closed

Pan Global announced the closing of a $7.2 million private placement that was upsized from the original amount due to strong demand. The non-brokered offering saw significant participation from existing shareholders, institutional resource funds, and a strategic Spanish investor.

The net proceeds will fund ongoing exploration at Escacena, with a focus on expanding the La Romana discovery and drill testing the highly prospective Bravo target. Pan Global is now well-capitalized to continue advancing its vision of delineating a 100 million tonne copper resource at Escacena.

Escacena: High-Grade, Near-Surface Copper

The Escacena Project lies in the heart of the Iberian Pyrite Belt, a 250 km long volcanic-sedimentary complex renowned for its numerous high-grade VMS deposits. The belt is home to large operating mines held by major companies like First Quantum, Lundin, Sandfire Resources, and Grupo México.

Exploration to date at Escacena has resulted in two discoveries, La Romana and Cañada Honda, both of which remain open for expansion. Drilling at La Romana has defined a thick, near-surface zone of copper-tin-silver mineralization over a strike length of nearly 1 km. Over a dozen untested gravimetric anomalies on the property provide extensive upside exploration potential.

The near-surface, high-grade nature of mineralization at Escacena is ideally suited for low-cost, open-pit mining. The project's location in a mining-friendly jurisdiction with rapid permitting timelines further enhances its economic viability.

Positive Metallurgy Supports Conventional Processing

Recent metallurgical test work at La Romana has delivered very encouraging results, indicating that clean, high-grade copper and tin concentrates can be produced using simple, conventional flotation and gravity separation processes.

Copper recoveries in excess of 88% were achieved, with concentrate grades up to 32.5% Cu. Tin recoveries of 58% produced an exceptionally high-grade concentrate at 63% Sn. Ore is amenable to standard crush and grind treatment, with low deleterious elements and potential for silver by-product credits.

These positive metallurgical characteristics further underscore Escacena's potential to be developed into a low-cost producer of high-quality copper and tin concentrates in the near term. With demand for both metals expected to surge due to electrification and the energy transition, Pan Global is well-positioned to capitalize on a strong commodity price environment.

Catalysts & Opportunities in 2024-2025

The next 12-18 months will be transformative for Pan Global as the company seeks to advance Escacena towards resource delineation and development. Key upcoming catalysts include:

• Drill results from the newly identified high-grade zone at La Romana and expansion drilling along strike and at depth
• Maiden drill program at the high-priority Bravo target, with potential for a new discovery
• Exploration at the Cañada Honda copper-gold target and other geophysical anomalies across the project
• Initial mineral resource estimate and PEA for La Romana
• Ongoing metallurgical optimization and economic studies

In addition, Pan Global continues to evaluate new opportunities in the region to build on its exploration success and grow its project pipeline. The company's Águilas and Cármenes Projects offer exposure to IOCG and breccia-hosted copper-gold systems with potential for high-grade discoveries.

Conclusion

With a major new copper discovery at Escacena, a top-notch technical team, and a dominant land position in one of the world's most prolific mining districts, Pan Global Resources offers a compelling investment opportunity. The company's recent financing and upcoming catalysts have positioned it for significant growth in 2024 and beyond.

As the world transitions to clean energy technologies, copper stands out as an essential metal with a robust long-term demand outlook. Pan Global's ability to rapidly advance new copper discoveries in a Tier 1 jurisdiction gives it a distinct competitive advantage over its peers. For resource investors looking to gain exposure to the energy transition theme, Pan Global checks all the boxes as an early-stage copper explorer with district-scale potential and a clear path to value creation.