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Rio2 Announces Closing of C$63 Million Public Offering and C$5 Million Private Placement

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, British Columbia, Oct. 29, 2024 (GLOBE NEWSWIRE) -- Rio2 Limited ("Rio2" or the "Company") (TSXV: RIO; OTCQX: RIOFF; BVL: RIO) announces today that it has closed its previously announced public offering of 97,307,710 common shares of the Company ("Common Shares") at a price of ‎C$0.65 per Common Share for gross proceeds of approximately C$63 million, including the full exercise ‎of the agents' option (the "Public Offering"). The Public Offering was conducted pursuant to ‎the terms and conditions of an agency agreement entered into between the Company and ‎Raymond James Ltd. and Eight Capital (the "Co-Lead Agents"), along with Paradigm Capital Inc. and Pollitt & Co. Inc. (together with the Co-Lead Agents, the "Agents"). In addition to the closing of the Public Offering, the Company closed its non-brokered private placement of Common Shares to Wheaton Precious Metals International Ltd. ("Wheaton") for proceeds of C$5 million at ‎C$0.65 per share (the "Wheaton Private Placement").‎

The total proceeds of the Public Offering and the Wheaton Private Placement, together with the US$120 million financing package (the "Wheaton Financing") with Wheaton as previously disclosed on October 21, 2024, is approximately US$170 million.

Alex Black, the Company's Executive Chairman commented, "The closing of the financing package marks a major achievement for the Company as funding for the construction of Fenix Gold is now complete. We are grateful for the support we have received from our stakeholders and look forward to advancing Fenix Gold into production."

The Company intends to use the net proceeds from the Public Offering and the Wheaton Private Placement for the construction, development, operation, commissioning and ramp-up, and general working capital for the Project.

The Public Offering and the Wheaton Private Placement remain subject to certain closing conditions including, but not limited to, the receipt of all necessary regulatory approvals including the final listing approval of the TSX Venture Exchange. The Common Shares issued to Wheaton under the Wheaton Private Placement are subject to a four month hold period ending on March 1, 2025.

In connection with the Public Offering, the Company filed a prospectus supplement (the "Supplement") dated October ...