Ares Strategic Mining Inc. (CSE: ARS) (OTCQX: ARSMF) (FRA: N8I1) announced that members of management and insiders have committed approximately $990,112.65 to acquire common shares of the company at a deemed price of $0.28 per share, representing about 3.53 million shares. The investment underscores management's confidence as the company transitions from a development-stage entity to an emerging producer.
The insider investment comes at a pivotal time for Ares, which has recently commenced mining at the Lost Sheep Mine, grown ore stockpiles at surface, and continued construction progress across its processing facilities. Additionally, the company secured a fluorspar supply contract with the U.S. Department of Defense, positioning it as a critical mineral supplier within the United States.
James Walker, President and CEO of Ares Strategic Mining, stated: "Management believes the Company has reached a point where its operational progress, strategic assets, government relationships, and production trajectory are not fully reflected in the current market valuation. This investment demonstrates our confidence in the future we are building and our commitment to creating long-term value alongside shareholders."
The company anticipates several catalysts in the coming months, including continued mine production and stockpiling, advancement toward processing operations, development of domestic acidspar production capacity, execution of government contract opportunities, expansion of commercial relationships, and strengthening of the company's balance sheet and market position.
In addition to the insider investment, Ares announced the renewal of its engagement with Pivotal CM Limited for investor communications, digital strategy, marketing initiatives, and shareholder engagement. Under the renewed arrangement, approximately US$356,250 of services will be satisfied through the issuance of common shares at the current market price, representing about 1.76 million shares, subject to regulatory approvals. The company also settled $69,046.47 of debt through the issuance of 246,595 common shares at a deemed price of $0.28 per share.
On the governance front, Lorenzo Esteva has stepped down from the Board of Directors in response to public commentary. The company noted that certain public statements regarding Mr. Esteva's prior regulatory history contained misrepresentations and erroneous characterizations, and that he voluntarily resigned his FINRA registrations and disputed most allegations. The Board thanked Mr. Esteva for his contributions during a period of significant growth.
About Ares Strategic Mining: The company is focused on developing its fluorspar projects in the U.S., aiming to become a significant supplier of high-grade fluorspar to North American markets. Its flagship Lost Sheep Fluorspar Project in Delta, Utah, comprises 5,982 acres and 353 claims, fully permitted with an approved mining plan. A NI 43-101 technical report identified extensive high-grade fluorspar with low impurities.
Forward-looking statements in this release involve known and unknown risks, and actual results may differ materially. The company disclaims any obligation to update such information except as required by law.
For more information, see the original release on NewMediaWire.
