All dollars are in Canadian dollars, unless otherwise indicated

Vancouver, British Columbia – (Newsfile Corp. – December 14, 2021) – Element 29 Resources Inc. (TSXV: ECU) (OTCQB: EMTRF) (“Item 29“or the”Society“) is pleased to announce that the Company has completed its 11,498,000 million unit oversubscribed private placement financing (the”Units“) at a price of $ 0.60 per Unit for aggregate gross proceeds of $ 6,898,800 million (the”Offer“).

The offering

Each unit consists of one common share of Element 29 and one-half common share purchase warrant (each entire warrant, a “To guaranteeEach whole warrant may be exercised for one common share at an exercise price of $ 0.85 and will expire on December 14, 2024.

Part of the Offer is considered to be a related party transaction under Multilateral Instrument 61-101 – Protection of holders of minority securities in special transactions (“MI 61-101“) since 866,834 units were issued to insiders of the Company. The Company relied on the exemptions from the formal assessment and approval requirements for minority shareholders provided for in sections 5.5 (a) and 5.7 (a) of Regulation 61-101 on the basis that the participation of insiders in connection with the offering did not exceed 25% of the fair market value of the market capitalization of the Company.

In connection with the offering and in accordance with the policies of the TSX Venture Exchange (the “TSXV“), the Company paid Haywood Securities Inc. and Canaccord Genuity Corp. cash finder’s fees totaling $ 116,262.

The net proceeds of the placement will be used for a planned 3,700 meter drilling program at the Flor de Cobre project, the completion of an initial mineral resource estimate for the Elida project and general working capital of the Company.

All securities issued in connection with the offering are subject to a four month and one day hold period. The offering is subject to certain conditions including, but not limited to, receipt of all necessary approvals, including final approval from the TSXV.

Details of the Offer were previously announced on November 18, 2021 and December 6, 2021.

Investor Relations Update

Element 29 is also pleased to announce that it has engaged San Diego Torrey Hills Capital, Inc. (“Capital of Torrey Hills“), an investor relations firm based in Rancho Santa Fe, California, to provide market awareness and investor relations services to the Company, subject to TSXV acceptance.

Torrey Hills Capital is a financial and investor public relations firm specializing in small and microcap companies. Torrey Hills Capital will increase awareness of Element 29 through its established relationships with investment professionals, investment advisers and fund managers focused on the micro-capital market space. This will allow the Company to build and maintain an informed investor audience in the US and Canadian markets.

Torrey Hills Capital was engaged at a rate of $ 5,000 per month for an initial term of six months. After the initial term, the agreement will be automatically extended, subject to 30 days notice of termination by either party. Element 29 also agreed to a one-time grant of 200,000 incentive stock options (the “Options“) exercisable at a price of $ 0.59 per share for a period of three years. The options will be subject to the terms of the Company’s stock option plan and will vest in accordance with the terms thereof. ci and the policies of the TSX Venture Exchange.

The appointment of Torrey Hills Capital as an investor relations consultant for Element 29 and the grant of options remains subject to regulatory acceptance of the applicable filings with the TSXV.

This press release does not constitute an offer to sell or the solicitation of an offer to buy and does not be any sale of securities in a jurisdiction in which such an offer, solicitation or sale would be illegal, including any of the titles in the United States of America. The titles were not and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”) or any state securities law and may not be offered or sold in the United States or at, or on behalf of or for the benefit of, US Persons (as defined in Regulation S under the 1933 Act) unless they are registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

About Element 29 Resources Inc.

Element 29 Resources Inc. is an emerging copper exploration and development company focused on advancing its portfolio of Peruvian projects towards development in one of the least risky mining jurisdictions in the world. Element 29’s growth strategy is led by our strong board and leadership, who have a proven track record of finding and creating meaningful value for our shareholders.

The Company’s main objective is to explore and develop its flagship Cu-Mo Flor de Cobre porphyry project located in southern Peru, 26 kilometers (“km“) southeast of the Cerro Verde Cu-Mo mine of Freeport-McMoRan. At the same time, the Company intends to develop its potential copper inventory by continuing the exploration of its Flor de Cobre project as well as its remaining 22,000 hectares of mining concessions in Peru, including the recently discovered Cu-Mo-Ag system of Elida porphyry located in central Peru and 85 km from the coast. Both projects are well situated for the future development of mine and will benefit from nearby infrastructure, including roads, power lines, ports, water and skilled labor.

More information is available at www.e29copper.com.

For more information:
David jan
Investor Relations
1-888-246-7881
[email protected]

Forward-looking statements

This press release contains certain forward-looking information and statements within the meaning of applicable Canadian securities laws (collectively, “Forward-looking statementsAll statements, other than statements of historical fact, are forward-looking statements. Words such as “will”, “intend”, “proposed” and “expects” or similar expressions are intended to identify forward-looking statements. Forward-looking statements contained in this press release include statements relating to the intended use of the proceeds of the offering, upon receipt of any regulatory approval, including final approval from the TSX Venture Exchange, the properties of the Company’s resources and the Company’s plans, priorities and objectives.

Forward-looking statements involve various risks and uncertainties and are based on certain factors and assumptions. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include uncertainties relating to the Company’s ability to access investors for the Offer, the desirability and success of regulatory approvals, fluctuations prices of copper and other commodities, the uncertainties inherent in the exploration of mineral properties, the impact and progression of the COVID-19 pandemic and other risk factors set out in the Company’s prospectus under the heading “Risk factors”. The Company assumes no obligation to update or revise forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. New factors emerge from time to time, and it is not possible for Item 29 to predict all of them, or to assess the impact of each of these factors or the extent to which a factor, or a combination of them. factors, may cause results to differ materially from those contained in any forward-looking statement. All forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement.

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