Business
Silver Dollar Resources Provides Corporate Update
The Company is cashed up and eager to restart exploration drilling at La Joya Vancouver, British Columbia--(Newsfile Corp. - September 30, 2021) - Silver Dollar
About this update from Silver Dollar Resources, Inc.
[{"type":"text","content":" The Company is cashed up and eager to restart exploration drilling at La Joya Vancouver, British Columbia--(Newsfile Corp. - September 30, 2021) - Silver Dollar Resources Inc. (CSE: SLV) (OTCQB: SLVDF) (\"Silver Dollar\" or the \"Company\") is pleased to provide an update on various corporate matters. La Joya Silver Project The Company has submitted a drilling permit application for the next phase of drilling at the La Joya silver project located in the state of Durango, Mexico. Drill hole collar locations have been selected and drill pad construction is in progress. Drilling is expected to commence shortly after the permit is received. The Company has also completed an independent technical report (the \"Report\") on the La Joya Project that assesses the technical merit and economic potential of the project and recommends additional exploration. The Report was prepared in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects and is now available under the Company's profile on SEDAR. Capitalization As of the latest interim financial statements for the quarter ended May 31, 2021, the Company had cash of $10,878,107 as compared to $702,047 at the beginning of the fiscal year. The increase in cash stems primarily from a $10,500,000 exploration financing closed last September. The non-brokered private placement consisted of 7,500,000 common shares priced at $1.40 per share with lead orders from billionaire mining investor Eric Sprott, who owns approximately 17% of shares issued; and First Majestic Silver Corp., who owns approximately 14% of shares issued and is one of the largest silver producers in Mexico. The Company currently has 41,847,237 common shares issued, 3,200,000 incentive stock options exercisable at an average price of $1.48, and a total of 45,047,237 common shares outstanding on a fully diluted basis assuming all stock options are exercised. Insider ownership is approximately 37% of shares issued and the current market cap based on shares issued is approximately $31,000,000. Potential Spinout of Red Lake Gold Projects The Company continues to evaluate the merits of a transaction to transfer its Canadian exploration projects to a new subsidiary (\"SpinCo\") that would be spun out to Silver Dollar shareholders. The intent of the transaction would be twofold: (1) position Silver Dolla...