PolyMet Mining Corp.: Exhibit 99.1 - Filed by newsfilecorp.com
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100 King Street West, Suite 5700, Toronto,
Ontario, Canada, M5X 1C7 |
| Tel: +1 (416) 915-4149 |
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| 444 Cedar Street, Suite 2060, St. Paul, MN
55101 |
| Tel: +1 (651) 389-4100 |
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| www.polymetmining.com |
TSX: POM; NYSE MKT: PLM
POLYMET COMPLETES
INITIAL US$19.5 MILLION PRIVATE
PLACEMENT
GLENCORE WILL SUBSCRIBE FOR
ADDITIONAL US$10.6 MILLION ON THE SAME
TERMS
St. Paul, Minn., October 18, 2016 – PolyMet Mining Corp.
(“PolyMet” or the “Company”) TSX: POM; NYSE MKT: PLM – announced today that it
closed its previously announced private placement of 25,963,167 Units (the
“Units”), at a price of US$0.75 per Unit for gross proceeds of US$19.472 million
in a private transaction that is exempt from the registration requirements of
the Securities Act of 1933 as amended (the “Offering”). Each Unit consists of
one common share (a “Common Share”) and one half of one Common Share purchase
warrant (each whole warrant a “Warrant”), exercisable for one Common Share (a
“Warrant Share”) at a price of US$1.00 per Warrant Share for a period beginning
six months following the issue date and ending 60 months after the issue date,
subject to acceleration in certain circumstances.
Paradigm Capital Inc. (the “Underwriter”) placed 22,000,167
Units for US$16.500 million and PolyMet placed 3,963,000 Units for US$2.972
million.
The Company has been notified that Glencore will exercise its
right to maintain its pro rata share of the total number of Units sold and
purchase an additional 14,111,251 Units for US$10.583 million on or before
October 28, 2016. All securities issued in connection with the Offering will be
subject to a four-month hold period in Canada.
The Company intends to use the net proceeds from the Offering
primarily to advance its NorthMet Project, for working capital, and general
corporate purposes.
“I would like to thank Paradigm for its support, helping to
bring new institutional investors based in London, Toronto, and other
international locations on board as PolyMet shareholders,” stated Jon Cherry,
PolyMet president and CEO.
“As we advance through regulatory review and decisions on
permitting for the NorthMet Project, it is important that we are financially
strong,” Cherry continued. “We are looking forward to achieving major milestones
over the coming weeks and months.”
The securities offered have not been
registered under the U.S. Securities Act of 1933, as amended, or any applicable
state securities laws and may not be offered or sold in the United States absent
registration under the U.S. Securities Act of 1933, as amended, and any
applicable state securities laws, or compliance with an exemption therefrom.
This press release shall not constitute an offer to sell or the solicitation of
an offer to buy nor shall there be any sale of the securities in any state in
which such offer, solicitation or sale would be unlawful. This notice is being
issued pursuant to and in accordance with Rule 135c under the Securities Act of
1933, as amended.
* * * * *
About PolyMet
PolyMet Mining Corp. (www.polymetmining.com) is a publicly
traded mine development company that owns 100 percent of Poly Met Mining, Inc.,
a Minnesota corporation that controls 100 percent of the NorthMet
copper-nickel-precious metals ore body through a long-term lease and owns 100
percent of the Erie Plant, a large processing facility located approximately six miles from the ore body in
the established mining district of the Mesabi Iron Range in northeastern
Minnesota. Poly Met Mining, Inc. has completed its Definitive Feasibility Study.
The NorthMet Final EIS was published in November 2015, preparing the way for
decisions on permit applications. NorthMet is expected to require approximately
two million hours of construction labor, creating approximately 360 long-term
jobs, a level of activity that will have a significant multiplier effect in the
local economy.
About Glencore plc
Glencore plc is one of the world’s largest global diversified
natural resource companies. As a leading integrated producer and marketer of
commodities with a well-balanced portfolio of diverse industrial assets,
Glencore plc is strongly positioned to capture value at every stage of the
supply chain, from sourcing materials deep underground to delivering products to
an international customer base.
Glencore plc’s industrial and marketing activities are
supported by a global network of more than 90 offices located in over 50
countries. Glencore plc's diversified operations comprise over 150 mining and
metallurgical sites, offshore oil production assets, farms and agricultural
facilities. Glencore plc currently employs approximately 181,000 people.
For further information, please contact:
Media
Bruce Richardson
Corporate Communications
Tel: +1 (651) 389-4111
brichardson@polymetmining.com
Investor Relations
Jenny Knudson
Investor
Relations
Tel: +1 (651) 389-4110
jknudson@polymetmining.com
For enquiries about Glencore, please contact:
Glencore plc
c/o Glencore AG
Baarermattstrasse 3
CH-6340
Baar
Switzerland
Telephone: +41 41 709 2000
PolyMet Disclosures
This news release contains certain forward-looking
statements concerning anticipated developments in PolyMet’s operations in the
future. Forward-looking statements are frequently, but not always, identified by
words such as “expects,” “anticipates,” “believes,” “intends,” “estimates,”
“potential,” “possible,” “projects,” “plans,” and similar expressions, or
statements that events, conditions or results “will,” “may,” “could,” or
“should” occur or be achieved or their negatives or other comparable words.
These forward-looking statements may include statements regarding the ability to
receive environmental and operating permits, job creation, and the effect on the
local economy, placement of additional Units, the use of proceeds of the
Offering, or other statements that are not a statement of fact. Forward-looking
statements address future events and conditions and therefore involve inherent
known and unknown risks and uncertainties. Actual results may differ materially
from those in the forward-looking statements due to risks facing PolyMet or due
to actual facts differing from the assumptions underlying its predictions.
PolyMet’s forward-looking statements are based on the
beliefs, expectations and opinions of management on the date the statements are
made, and PolyMet does not assume any obligation to update forward-looking
statements if circumstances or management’s beliefs, expectations and opinions
should change.
Specific reference is made to PolyMet’s most recent Annual
Report on Form 20-F for the fiscal year ended January 31, 2016 and in our other
filings with Canadian securities authorities and the U.S. Securities and
Exchange Commission, including our Report on Form 6-K providing information with
respect to our operations for the three and six months ended July 31, 2016, for
a discussion of some of the risk factors and other considerations underlying
forward-looking statements.
The TSX has not reviewed and does not accept responsibility
for the adequacy or accuracy of this release.
