Vancouver, B.C. – HM Exploration Corp. (“HM Exploration” or the “Company”) (CSE: HM) is pleased to announce the mobilization of its Phase One exploration campaign at its Devil’s Den Project (the “Project”) located west of Port Alberni, British Columbia.
The Phase One exploration program (the “Program”) will consist of a Project wide UAV drone geophysical (magnetic) survey and prospecting of high-grade showings discovered during the previous exploration campaign. The planned geophysical survey will be flown at 50 to 100m line spacing at a flight height of approximately 50m using a drone-deployed Potassium Magnetometer. This approach leverages modern UAV technology to acquire high resolution magnetic data in a time and cost-efficient manner. The flight plan has been designed to cover historical and recently discovered high-grade copper mineralization as well as areas with limited historical exploration. The high-resolution data will be used to better define faults and structures that are presumed to be acting as fluid corridors for the mineralization seen at surface.
“After three long years of hard work, the team at HM Exploration is thrilled to have its shares publicly tradable on the Canadian Securities Exchange.” said the Company’s President & CEO Nicholas Rodway. “Now we are eager to get out in the field and execute our first geophysical program. We look forward to presenting the results as they become available.”
PRIVATE PLACEMENT
HM Exploration is also pleased to announce a non-brokered private placement (the “Offering”) for aggregate gross proceeds of up to $140,000 (CDN) from the sale of up to 1,400,000 flow-through shares of the Company (each, a “FT Share”) at a price of C$0.10 per FT Share. The Company intends to use the proceeds from the Offering towards exploration on the Project.
The gross proceeds from the sale of the FT Shares will be used by the Company to incur eligible “Canadian exploration expenses” that will qualify as “flow-through mining expenditures” as such terms are defined in the Income Tax Act(Canada) (the “Qualifying Expenditures“) related to the Company’s Project. All Qualifying Expenditures will be renounced in favour of the subscribers of the FT Shares effective December 31, 2025.
HM Exploration anticipates that insiders may subscribe for a portion or all of the Offering. The participation of insiders in the private placement would constitute a related party transaction within the meaning of Multilateral Instrument 61-101 – “Protection of Minority Security Holders in Special Transactions” (“MI 61-101“). If applicable, the Company expects to rely on exemptions from the formal valuation requirements of MI 61-101, pursuant to Subsection 5.5(b) of MI 61-101 (as the Company’s common shares are listed on the Canadian Securities Exchange), and from the minority shareholder approval requirements of MI 61-101, pursuant to Subsection 5.7(1)(a) of MI 61-101 (as neither the fair market value of the FT Shares to be issued to insiders, nor the consideration to be paid by insiders pursuant to the placement is expected to exceed twenty-five (25) percent of the Company’s market capitalization, as determined in accordance with MI 61-101).
The FT Shares will be subject to a statutory hold period in Canada ending on the date that is four months plus one day following the closing date of the Offering.
The Offering is subject to certain conditions including, but not limited to, receipt of all necessary approvals including the approval of the Canadian Securities Exchange.
NATIONAL INSTRUMENT 43-101 DISCLOSURE
Nicholas Rodway, P.Geo, (Licence# 46541) (Permit to Practice# 100359) is CEO and Director of the Company, and a qualified person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects. Mr. Rodway has reviewed and approved the technical content in this release.
ABOUT HM EXPLORATION CORP.
HM Exploration Corp. (HM) is a Canadian mineral exploration company focused on the acquisition and development of mineral projects in Canada. The Company is currently advancing the Devils Den Project, an exploration-stage exploration project that consists of two contiguous claims totaling approximately 3,200 hectares, located on Vancouver Island, British Columbia. The Company conducted an exploration program on the project in 2022, and four geochemical grids were established to identify possible buried mineralization in areas of possible anomalous gold, copper, and other minerals. Multiple high grade mineral occurrences were uncovered including Cu values of up to 4.68% at surface (Devils Den NI43-101, Nov 2022). The Project hosts multiple historical adits with high-grade surface occurrences that remain undrilled. HM Exploration believes that there has been a lack of adequate modern exploration techniques applied to the Project in the past and this presents the opportunity for significant new discoveries.
On Behalf of the Board of Directors
HM EXPLORATION CORP.
“Nicholas Rodway”
President & CEO
info@hmexploration.com
FORWARD LOOKING STATEMENTS
Certain statements in this news release are forward-looking statements, including with respect to future plans, and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, business, economic and capital market conditions, the ability to manage operating expenses, dependence on key personnel, that certain exploration methods, including the Company’s proposed exploration model for the Project, may be ineffective or inadequate in the circumstances, that competitive, governmental, geopolitical, environmental and technological factors may affect the Company’s operations and markets, that the Company’s specific plans and timing thereof may change, that the Company may not have access to or be able to develop any minerals because of cost factors, type of terrain, or availability of equipment and technology, and that the Company may not be able to raise sufficient funds to carry out or complete its plans. Forward looking statements in this news release include, but are not limited to, statements respecting: the Project and its mineralization potential; the expected results of the Program; the Company’s objectives, goals, or future plans with respect to the Project; further exploration work on the Project in the future; statements with respect to the Offering; and the completion of Offering. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include, the continued availability of capital and financing, litigation, failure of counterparties to perform their contractual obligations, loss of key employees and consultants, and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information.
The Canadian Securities Exchange (CSE) does not accept responsibility for the adequacy or accuracy of this release.