/NOT FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
VANCOUVER, BC, Nov. 16, 2020 /CNW/ - Dolly Varden Silver
Corporation (TSXV: DV) (US OTC: DOLLF) (the "Company" or "Dolly
Varden") is pleased to announce that it has closed its non-brokered
private placement offering (the "Offering") to raise aggregate
gross proceeds of approximately $7,000,000, previously announced on October 22, 2020. The Offering consisted of
the sale of 7,070,000 common shares of Dolly Varden that qualify as
"flow-through shares" as defined under the Income Tax Act
(Canada) at a price of
$1.00 per share (the "Offered
Shares").
Pursuant to the ancillary rights agreement between Hecla Canada
Ltd. ("Hecla") and the Company, dated September 4, 2012, Hecla exercised its anti-dilution right in
respect of the Offerings and acquired 799,848 common shares of
Dolly Varden ("Common Shares") at a price of $0.89 per share. The securities issued to
Hecla were in addition to those
issued as part of the Offering.
The Company will pay aggregate cash finder's fees of
$408,600 in connection with
subscriptions under the Offering from subscribers introduced to the
Company by Eventus Capital Corp., Mackie Research Capital
Corporation, Industrial Alliance Securities Inc. and Accilent
Capital Management Inc.
The net proceeds of the Offering is intended to be used for
further exploration, mineral resource expansion and drilling, as
well as for working capital as permitted.
The shares issued pursuant to the Offering are subject to a
statutory hold period which expires on March
14, 2021.
The securities described herein have not been, and will not be,
registered under the United States Securities Act of 1933, as
amended (the "U.S. Securities Act"), or any state securities laws,
and accordingly, may not be offered or sold within the United States except in compliance with
the registration requirements of the U.S. Securities Act and
applicable state securities requirements or pursuant to exemptions
therefrom. This press release does not constitute an offer to sell
or a solicitation to buy any securities in any jurisdiction.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company
focused on exploration in northwestern British Columbia. Dolly Varden has two
projects, the namesake Dolly Varden silver property and the nearby
Big Bulk copper-gold property. The Dolly Varden property is
considered to be highly prospective for hosting high-grade precious
metal deposits, based on its similar structural and stratigraphic
setting to other high-grade deposits (Eskay
Creek, Brucejack) in the region. The Big Bulk property is
prospective for porphyry and skarn style copper and gold
mineralization similar to other such deposits in the region (Red
Mountain, KSM, Red Chris).
FORWARD-LOOKING STATEMENTS: This release may
contain forward-looking statements or forward-looking information
under applicable Canadian securities legislation that may not be
based on historical fact, including, without limitation, statements
containing the words "believe", "may", "plan", "will", "estimate",
"continue", "anticipate", "intend", "expect", "potential" and
similar expressions. Forward-looking statements involve known and
unknown risks, uncertainties, and other factors which may cause the
actual results, performance, or achievements of Dolly Varden to be
materially different from any future results, performance, or
achievements expressed or implied by the forward-looking
statements. Forward looking statements or information relates to,
among other things, the use of proceeds with respect to the
Offering, the results of previous field work and programs and the
continued operations of the current exploration program,
interpretation of the nature of the mineralization at the project
and that that the mineralization on the project is similar to Eskay
and Brucejack, results of the mineral resource estimate on the
project, the potential to grow the project, the potential to expand
the mineralization, the planning for further exploration work, the
ability to de-risk the potential exploration targets, and our
beliefs about the unexplored portion of the property. These
forward-looking statements are based on management's current
expectations and beliefs but given the uncertainties, assumptions
and risks, readers are cautioned not to place undue reliance on
such forward-looking statements or information. The Company
disclaims any obligation to update, or to publicly announce, any
such statements, events or developments except as required by
law.
For additional information on risks and uncertainties, see
the Company's most recently filed annual management discussion
& analysis ("MD&A"), which is available on SEDAR at
www.sedar.com. The risk factors identified in the MD&A are not
intended to represent a complete list of factors that could affect
the Company.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX-V)
accepts responsibility for the adequacy or accuracy of this news
release.
SOURCE Dolly Varden Silver Corp.