Jaguar Mining announces bid for normal rate issuer

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TORONTO, ON / ACCESSWIRE / November 25, 2024 / Jaguar Mining Inc. (“Jaguar” or the “Company”) (TSX:JAG) announced that the Toronto Stock Exchange (the “TSX“) has accepted Jaguar’s notice to make an offer at the normal rate (the “Bid“) to repurchase a maximum of 3,965,404 ordinary shares in the capital of the Company (“Common shares“) in the aggregate, being 5% of the issued and outstanding common shares as of the day immediately preceding Jaguar’s notice to the TSX, to be traded on the facilities of the TSX or through a Canadian alternative trading system, at prevailing market prices or as otherwise permitted. The actual number of Common Shares that may be purchased pursuant to the Offer will be determined by the management of the Company (“.Management“). The Offer commences on November 27, 2024 and ends on November 26, 2025, or earlier if the Offer is completed or terminated, at Jaguar’s option.

Purchases under the Offer will be made by Pollitt & Co. Inc. on behalf of the Company. Decisions regarding the timing of purchases under the Offer will be determined by management based on market conditions, stock price and other factors. Management may choose to suspend or terminate the Offer at any time. Any purchases made under the Offer will be financed from the Company’s working capital.

In accordance with the TSX rules governing normal issuer bids, the total number of common shares that the Company may purchase is subject to a daily purchase limit of 19,073 common shares, which represents 25% of the average daily trading volume of common shares . on the TSX calculated for the six-month period ending October 31, 2024, being approximately 76,292 common shares. However, the Company may make one block purchase per calendar week, which will exceed the daily redemption limit. The price that Jaguar will pay for common shares under the Offer will be the prevailing market price on the TSX at the time of such purchase. Outside of predetermined blackout periods, shares of common stock may be purchased under the Offer at the discretion of Management, in accordance with the TSX rules and applicable securities laws.

Jaguar’s Board of Directors believes that the underlying value of the Company may sometimes not be accurately reflected in the market price of the Ordinary Shares. Accordingly, the objective of the Offer is to enhance long-term shareholder value through the purchase and cancellation of common shares at a discount to the underlying value of the Company. In addition, Jaguar’s purchases will help mitigate the dilutive effects of any future potential issuances of additional common shares in consideration for capital increases, joint ventures or asset acquisitions.

A copy of Form 12 (Notice of Intention to Make a Normal Course Issuer Bid) filed with the TSX in connection with the Offer may be obtained from the Company upon request, free of charge.

As of the close of business on November 14, 2024 (being the day immediately preceding Jaguar’s aforementioned notification to the TSX with respect to the Offer), the Company had 79,308,085 common shares issued and outstanding.

The Iron Quadrilateral

The Iron Quadrangle is an area of ​​mineral exploration dating back to the 16th century. The discovery in 1699-1701 of gold contaminated with iron and platinum group metals in the southeastern corner of the Iron Quadrangle gave rise to the name of the city Ouro Preto (Black Gold). The Iron Quadrangle contains multi-million ounce world-class gold deposits such as Morro Velho, Cuiabá and São Bento. Jaguar has the second largest gold land position in the Iron Quadrangle at over 41,000 hectares.

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. The company’s main assets are located in the Iron Quadrangle, a fertile greenstone belt in the state of Minas Gerais and include the MTL mine complex (Turmalina mine and factory) and the Caeté mine complex (Pilar and Roça Grande mines, and Caeté factory). The Roça Grande mine has been under temporary maintenance and maintenance since April 2019. The company also owns the Paciência mining complex (Santa Isabel mine and factory), which has been under maintenance since 2012 and is expected to restart in early 2025. information is available on the company’s website at www.jaguarmining.com.

For more information please contact:
Vernon Baker
General manager
Jaguar Mining Inc.
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416-847-1854

Alfred Colas
Head of Finance
Jaguar Mining Inc.
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416-847-1848

Forward-Looking Statements

Certain statements in this press release constitute “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking statements and information are provided for the purpose of providing information about management’s expectations and plans regarding the future. All forward-looking information in this press release is qualified by the cautionary statements below and those in our other filings with securities regulators in Canada. Forward-looking information in forward-looking statements can be identified by the use of words such as “are expected”, “is forecast”, “targets”, “approximately”, “plans”, “anticipates”, “projects”, “anticipates”, “continues”, “estimates”, “believes” or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “could”, “could” or ‘could’ be taken, will occur or will be achieved. All statements, other than statements of historical fact, may be considered or contain forward-looking information regarding, among other things, the number of shares of common stock to be purchased pursuant to the Offer and the expected benefits of the Offer, including the enhancement of long-term shareholder value. The Company has made numerous assumptions regarding the forward-looking information contained herein, including, among others, the assumptions which are set out in the the company’s annual information form dated March 25, 2024 for the year ended December 31, 2023 and the company’s most recent management information. discussion and analysis, as well as other public disclosure documents accessible under the issuer profile of “Jaguar Mining Inc.” on SEDAR+ at www.sedarplus.ca. Forward-looking information involves a number of known and unknown risks and uncertainties, including, among others: the risk that Jaguar may not achieve forecast plans relating to its operations and financial performance; uncertainties regarding the price of gold, labor stoppages, mechanical failures, increases in costs, environmental compliance and changes in environmental laws and regulations, weather delays and increased costs or production delays due to natural disasters, power outages, procurement and supply of parts and supplies to operations; uncertainties inherent in the capital markets generally (including the sometimes volatile valuation of securities and an uncertain ability to raise new capital) and other risks inherent in the gold exploration, development and production industry, which, if incorrectly, could cause actual results to differ materially from those anticipated by the Company and described herein. In addition, there are risks and hazards associated with the activities of gold exploration, development, mining and production, including environmental hazards, tailings dam failure, industrial accidents and workplace safety issues, unusual or unexpected geological formations, pressure , collapses, floods. chemical spills, tender fraud, and theft and loss of gold bullion (and the risk of inadequate insurance, or the inability to obtain insurance to cover these risks). Accordingly, readers should not place undue reliance on forward-looking information.

The forward-looking information set forth herein reflects the Company’s reasonable expectations as of the day immediately preceding Jaguar’s notice to the TSX 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 press release is expressly qualified by this cautionary statement.

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. The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from United States registration requirements. States Securities Act of 1933, as amended, and applicable state securities laws.