Exhibit 99.1
Prophecy Development Corp. Announces Closing of C$5.52 Million
Bought Deal Financing
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION
IN
THE UNITED STATES
VANCOUVER,
B.C. (November 22, 2018) – Prophecy Development Corp.
(“Prophecy” or the “Company”) is pleased to announce that it has closed
its previously announced bought deal financing for aggregate gross
proceeds of C$5,520,000 (the “Offering”). BMO Capital Markets (the
“Underwriter”)
purchased, on a bought deal basis, 12,000,000 common shares of the
Company (the “Common
Shares”) at a price of
C$0.46 per Common Share.
The net proceeds of the Offering will be used to continue
exploration and advance development and permitting of the
Company’s Gibellini Vanadium Project and for general
corporate purposes.
The
securities offered have not been and will not be registered under
the U.S. Securities Act of 1933, as amended, or under any state
securities laws and may not be offered or sold in the United States
absent registration or an applicable exemption from the
registration requirements thereunder. 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 jurisdiction
in which such offer, solicitation or sale would be
unlawful.
About Prophecy
Prophecy is developing the Gibellini project – the only
large-scale, open-pit, heap-leach vanadium project of its kind in
North America. Located in Nevada, Gibellini has the largest NI
43-101 compliant measured and indicated primary vanadium resource
known in the USA and is currently undergoing EPCM and EIS
preparation. Further information on Prophecy can be found
at www.prophecydev.com.
PROPHECY DEVELOPMENT CORP.
ON BEHALF OF THE BOARD
“Gerald
Panneton”
President and CEO
For more information about Prophecy, please contact Investor
Relations:
+1.888.513.6286
ir@prophecydev.com
www.prophecydev.com
Neither the Toronto Stock Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Toronto
Stock Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Cautionary Note Regarding Forward-Looking Statements
All statements
in this press release, other than statements of historical fact,
are "forward-looking information" with respect to Prophecy within
the meaning of applicable securities laws, including statements
regarding the expected use of proceeds of the Offering.
Forward-looking information is often, but not always, identified by
the use of words such as "seek", "anticipate", "plan", "continue",
"planned", "expect", "project", "predict", "potential",
"targeting", "intends", "believe", "potential", and similar
expressions, or describes a "goal", or variation of such words and
phrases or state that certain actions, events or results "may",
"should", "could", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking information is not a guarantee of future
performance and is based upon a number of estimates and assumptions
of management at the date the statements are made including, among
others, currency exchange rates being approximately consistent with
current levels; certain price assumptions for vanadium and other
metals; prices for and availability of fuel and electricity;
production forecasts meeting expectations; labour and materials
costs increasing on a basis consistent with Prophecy’s
current expectations; market developments and trends in global
supply and demand for vanadium and other metals meeting
expectations; favourable operating conditions; political stability;
licenses and permits (and renewals thereof); stability of labour
markets and in market conditions in general; estimates of costs and
expenditures to complete our programs; and goals and the
speculative nature of mineral exploration and development in
general, including the risk of diminishing quantities or grades of
mineralization. Many assumptions are based on factors and
events that are not within the control of Prophecy and there is no
assurance they will prove to be correct.
Such
forward-looking information, involves known and unknown risks,
which may cause the actual results to be materially different from
any future results expressed or implied by such forward-looking
information, including, the cost, timing and amount of estimated
future capital, operating exploration, acquisition, development and
reclamation activities; the volatility of the market price of the
common shares of the Company; judgment of management when
exercising discretion in their use of proceeds from offerings of
securities; sales of a significant number of common shares of the
Company in the public markets, or the perception of such sales,
could depress the market price of the common shares of the Company;
potential dilution with the issuance of additional common shares of
the Company; as well as those factors discussed in the Annual
Information Form of the Company dated March 29, 2018 in the section
entitled "Risk Factors", under Prophecy’s SEDAR profile
at www.sedar.com.
Although
Prophecy has attempted to identify important factors that could
cause actual actions, events or results to differ materially from
those described in forward-looking information, there may be other
factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that
such information will prove to be accurate as actual results and
future events could differ materially from those anticipated in
such statements. Prophecy disclaims any intention or obligation to
update or revise any forward-looking information, whether as a
result of new information, future events or otherwise unless
required by law.