Eric Sprott acquires a substantial stake in Cerro de Pasco Resources

Core Viewpoint - Cerro de Pasco Resources Inc. has successfully closed a non-brokered private placement, raising total gross proceeds of $3,298,000 to fund drilling activities and general working capital for the Quiulacocha Tailings Project in Peru [17][4]. Group 1: Funding and Investment - The company issued 32,980,000 units at a price of $0.10 per unit, each consisting of one common share and one common share purchase warrant [17]. - Eric Sprott, a new insider, acquired 20,000,000 units and now holds approximately 9.0% of the outstanding common shares on a non-diluted basis and 13.3% on a partially diluted basis [3]. - The net proceeds from the offering will be allocated for drilling and general working capital [4]. Group 2: Project Details - The Quiulacocha Tailings Project is located in Peru and is part of the El Metalurgista mining concession, which allows the company to explore and exploit the tailings [5]. - The tailings contain an estimated 458 million ounces of silver equivalent across various metals, including silver, zinc, copper, lead, and gold [13]. - The Quiulacocha Tailings Storage Facility is estimated to hold approximately 75 million tonnes of processed material from mining activities conducted from the 1920s to the 1990s [18]. Group 3: Environmental and Economic Impact - The Quiulacocha Project aims to reprocess mining waste, contributing to environmental remediation and creating employment opportunities in the local community [19]. - The project is positioned as a key mining initiative in Peru, promising both economic benefits and environmental restoration [19].