VANCOUVER, BC, Feb. 23, 2022 /CNW/ - Dolly Varden Silver
Corporation ("Dolly
Varden" or the "Company") (TSXV: DV) (OTC: DOLLF)
is pleased to announce that Hecla Canada Ltd. ("Hecla") gave notice
of their intent to invest $5.3 million
dollars concurrent with the completion of the
previously announced transaction whereby Dolly Varden will acquired a 100% interest in
the Homestake Ridge gold-silver project ("Homestake Project"),
located adjacent to the Dolly Varden Project ("DV Project") in the
Golden Triangle, British Columbia
(the "Transaction").
Pursuant to the ancillary rights agreement between Hecla and the Company, dated September 4, 2012, Hecla has subscribed for the purchase of
9,048,539 common shares of the Company in accordance with their
anti-dilution right in respect of the Transaction for proceeds of
approximately $5.3 million to
maintain its pro-rata equity interest in the Company. The common
shares to be issued to Hecla would
be in addition to those issued as part of the Transaction.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company
focused on exploration in northwestern British Columbia. The DV Project consists of
the namesake Dolly Varden silver
property that hosts a unique pure silver mineral resource as well
as the nearby Big Bulk copper-gold porphyry property. Adjacent to
the DV Project, the Homestake Ridge Project hosts structurally
controlled epithermal gold, silver and copper mineralization.
Together, the consolidated DV Project and Homestake Ridge Project,
to be referred to as the Kitsault Valley Project, create one large,
high-grade precious metals project with further synergistic and
exploration upside potential. The Kitsault Valley Project is
considered to be highly prospective for hosting high-grade precious
metal deposits, since it comprises the same structural and
stratigraphic setting that host numerous other high-grade deposits
(Eskay Creek, Brucejack). 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 in this release relates to, among other things,
potential synergies expected from the combination of the DV Project
and Homestake Project, the development potential of the property,
the completion of the Transaction and the completion of the
Hecla subscription.
These forward-looking statements are based on management's
current expectations and beliefs and assume, among other things,
the ability of the Company to successfully pursue its current
development plans, that future sources of funding will be available
to the company, that relevant commodity prices will remain at
levels that are economically viable for the Company and that the
Company will receive relevant permits in a timely manner in order
to enable its operations, 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.
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SOURCE Dolly Varden Silver Corp.
