/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE
SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
TSX:JAG
TORONTO,
June 15, 2017
/CNW/ - Jaguar Mining Inc. ("Jaguar" or the "Company")
(TSX:JAG) today announced that has closed its previously
announced non-brokered private placement financing
(the "Offering"). Pursuant to the Offering, the Company has
issued 17,624,728 common shares (the "Shares") at a price of
C$0.44 per share for gross proceeds
of approximately US$5.9 million. The
Shares are subject to a four-month hold period.
Net proceeds from the sale of the Shares will be used for
continuing capital investment programs and working capital needs at
the Company's Brazilian operations located in Minas Gerais,
Brazil.
The Offering constitutes a related party transaction
within the meaning of Multilateral Instrument 61-101 ("MI 61-101")
as certain insiders of the Company subscribed for Shares. The
Company is relying on the exemptions from the valuation and
minority shareholder approval requirements of MI 61-101 contained
in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market
value of the participation in the Offering by insiders does not
exceed 25% of the market capitalization of the Company, as
determined in accordance with MI 61-101. The Company did not file a
material change report more than 21 days before the closing of the
Offering as the details of the aforementioned insiders'
participation were not settled until shortly prior to the closing
of the Offering, and the Company wished to close the Offering on an
expedited basis.
About Jaguar Mining Inc.
Jaguar
Mining Inc. is a Canadian-listed junior gold mining, development,
and exploration company operating in Brazil with three gold mining complexes, and a
large land package with significant upside exploration potential
from mineral claims covering an area of approximately 191,000
hectares. The Company's principal operating assets are in the Iron
Quadrangle, a prolific greenstone belt in the state of Minas Gerais
and include the Turmalina Gold Mine Complex and Caeté Gold Mine
Complex (Pilar and Roça Grande mines, and Caeté plant) which
combined, produce more than 95,000 ounces of gold annually. The
Company also owns the Paciência Gold Mine Complex, which has been
on care and maintenance since 2012. Additional information is
available on the Company's website
at www.jaguarmining.com.
The Shares have not been and will not be registered
under the U.S. Securities Act or any state securities laws, and may
not be offered or sold in the United
States absent registration or an applicable exemption from
such registration requirements. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy
the common shares in the United
States or in any jurisdiction in which such offer, sale or
solicitation would be unlawful.
FORWARD-LOOKING
STATEMENTS
Certain statements in this news
release constitute "forward-looking information" within the meaning
of applicable Canadian securities legislation. Forward-looking
statements and information are provided for providing information
about management's expectations and plans relating to the future.
All of the forward-looking information made in this news release
are qualified by the cautionary statements below and those made in
our other filings with the securities regulators in Canada.
Forward-looking information contained in forward-looking statements
can be identified using words such as "are expected", "is
forecast", "is targeted", "approximately", "plans", "anticipates"
"projects", "anticipates", "continue", "estimate", "believe" or
variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might", or
"will" be taken, occur or be achieved. All statements, other than
statements of historical fact, may be considered to be, or include
forward looking information. This news release contains
forward-looking information regarding, among other things,
expectations regarding the use of proceeds of the Offering. The
Company has made numerous assumptions with respect to
forward-looking information contained herein. Forward-looking
information involve a number of known and unknown risks and
uncertainties, which, if incorrect, may cause actual results to
differ materially from those anticipated by the Company and
described herein. Accordingly, readers should not place undue
reliance on forward-looking information.
For additional information with respect to these and
other factors and assumptions underlying the forward-looking
information made in this news release, see the Company's most
recent Annual Information Form and Management's Discussion and
Analysis, as well as other public disclosure documents that can be
accessed under the issuer profile of "Jaguar Mining Inc." on SEDAR
at www.sedar.com. The forward-looking information set forth herein
reflects the Company's reasonable expectations as at the date of
this news release and is subject to change after such date. The
Company disclaims any intention or obligation to update or revise
any forward-looking information, whether as a result of new
information, future events or otherwise, other than as required by
law. The forward-looking information contained in this news release
is expressly qualified by this cautionary statement.
SOURCE Jaguar Mining Inc.