Copper Lake Resources Announces Closing of First Tranche of Non-Brokered Private Placement

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TORONTO, Aug. 12, 2022 (GLOBE NEWSWIRE) — Copper Lake Resources Ltd. (TSX-V: CPL, Frankfurt: WOI, OTC: WTCZF) (“Copper Lake” or the “Company”) is pleased to announce the closing of a first tranche of a private placement of units of the Company (the “Private Placement”) for gross proceeds of $1,346,250.

The private placement includes the issuance of 8,313,890 non-flow-through units (“NFT units”) at a price of $0.09 per NFT unit and 5,980,000 flow-through units (“FT units”) at a price of $0.10 per FT unit. Each NFT Unit consists of one common share in the capital of Copper Lake (a “Common Share”) and one common share purchase warrant (a “Warrant”). Each FT Unit consists of one flow-through common share and one-half common share purchase warrant (each whole warrant being a “Warrant”). Each warrant entitles its holder to acquire one additional share at an exercise price of $0.15 per common share for a period of 36 months from the closing date. The Vouchers will be subject to an accelerated expiry date clause under which. At any time after the expiration of the four month and one day holding period, if the weighted average closing price of the Common Shares on the TSX Venture Exchange (the “TSX-V”) is greater than $0.25 during a period of 15 trading days, the Company will have the right to bring forward the expiry date of the BSAs to a date which is 30 days following the date on which the Company announces the accelerated expiry of the BSAs by press release .

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The net proceeds from the financing will be used for exploration at the Company’s Marshall Lake project and for general working capital purposes.

As part of the first closing of the private placement, the Company will pay a cash finder’s fee of $61,688 and issue 665,195 finder’s warrants, representing 7% cash and 7% finder’s warrants. Each warrant entitles its holder to acquire one additional share at an exercise price of $0.15 per common share for a period of 36 months from the closing date.

Completion of the private placement and payment of any finder’s fees remain subject to receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange.

Certain insiders of the company purchased 200,000 FT units in the first tranche of the private placement and this participation is considered a “related party transaction” pursuant to Multilateral Instrument 61-101 (MI 61-101The Company intends to rely on the exemptions from the formal valuation and minority shareholder approval requirements of NI 61-101 contained in Section 5.5(a) and Section 5.7(1)( (a) of NI 61-101 with respect to such insider participation.

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In accordance with applicable Canadian securities laws, all securities issued pursuant to the private placement will have a hold period of four months and one day from the date of issue.

ABOUT COPPER LAKE RESOURCES

Copper Lake Resources Ltd. is a publicly traded Canadian mining exploration and development company with interests in two projects, both located in Ontario. www.copperlakeresources.com

The Marshall Lake high-grade VMS copper, zinc, silver and gold project, comprises an area of ​​approximately 220 km2 located 120 km north of Geraldton, Ontario and is accessible by all-weather road from the Trans-Canada Highway and just 22 km north of the CN mainline. Copper Lake holds a 79.45% interest in the joint venture property, which consists of 233 claims and 52 mining leases. The project also includes 148 claim cells staked in 2018 and 2020 which are 100% owned and royalty free, adding approximately 30 km2 to the original property.

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In addition to the original Marshall Lake property above, Marshall Lake also includes the Sollas Lake and Summit Lake properties, which are 100% owned by the Company and are not subject to any royalties. The Sollas Lake property consists of 20 claim cells covering an area of ​​4 km2 on the east side of the Marshall Lake property where historical EM airborne geophysical surveys have revealed strong conductors on the property hosted in the same favorable felsic volcanic units . The Summit Lake property currently consists of 100 claim cells covering an area of ​​20.5 km2, is accessible year round and is located immediately west of the original Marshall Lake property. The Marshall Lake Project is located on the traditional territories of the Aroland and Animbiigoo Zaagi igan Anishinaabek (“AZA”) First Nations.

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Copper Lake also holds a 69.79% interest in the joint venture Lake Norton The MGP nickel, copper, cobalt and palladium property, located in the southern Ring of Fire area, is approximately 100 km north of the Marshall Lake property. The Norton Lake property has NI 43-101 compliant measured and indicated resources of 2.26 million tonnes at 0.67% Ni, 0.61% Cu, 0.03% Co and 0.46 g/t Pd. The Norton Lake property is located on the traditional territories of the Eabametoong (“Fort Hope”) and Neskantaga First Nations.

On behalf of the Board of Directors,

Copper Lake Resources Ltd.
Terry MacDonald, CEO
(416) 561-3626
tmacdonald@copperlakeresources.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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