ESV Resources Ltd. (TSX-V: ESV.H) is pleased to announce the closing of the non-brokered private placement in 1255269 B.C. Ltd. of 18,675,053 subscription receipts at $0.45 per receipt for gross proceeds of $8,403,774. As previously announced on September 24, 2020, the Concurrent Financing is a condition to the Company acquiring all of the outstanding share capital of the Guia Antigua Vendor, which controls the Guia Antigua project and the expected concurrent acquisition of the Zancudo Project from Gran Colombia Gold Corp. (TSX:GCM). Both projects are located in historic mining districts in Colombia.

The proceeds of the Concurrent Financing will be held in escrow pending the Company receiving all applicable regulatory approvals and completing the Guia Antigua Acquisition. Upon satisfaction of the escrow release conditions, immediately prior to completion of the Guia Antigua Acquisition, each subscription receipt will automatically convert into one common share of the Guia Antigua Vendor for no additional consideration and will be exchanged for common shares of the Company on a one-for-one basis.  If the Guia Antigua Acquisition is not completed on or before February 28, 2021, the proceeds of the Concurrent Financing will be returned to the subscribers. Upon conversion of the subscription receipts, a finder’s fees of 6% will be payable to certain arm’s length parties who introduce subscribers to the Concurrent Financing. 

It is anticipated that the proceeds from the Concurrent Financing will be utilized principally to undertake an exploration program at the Guia Antigua project, for the general and administrative expenses of the Company, and for the purposes of identifying and conducting due diligence in respect of additional project acquisitions.