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 about 3.53 million common shares at a deemed price of $0.28 per share. The investment represents a significant vote of confidence as the company advances toward production, government deliveries, and its next growth phase.
The capital injection comes as Ares achieves major operational milestones, including commencement of mining at the Lost Sheep Mine, growing surface ore stockpiles, continued construction of processing facilities, and a recently awarded U.S. Department of Defense fluorspar supply contract, as detailed in the original release.
"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," said James Walker, President and CEO. "This investment demonstrates our confidence in the future we are building and our commitment to creating long-term value alongside shareholders."
The company anticipates multiple catalysts in coming months, including continued mine production, advancement toward processing operations, development of domestic acidspar production capacity, execution of government contracts, and expansion of commercial relationships. Ares has transformed from a development-stage company into an emerging producer with active mining, growing stockpiles, and significant progress on both the Lumps Plant and Acidspar Flotation Plant.
In addition, the company renewed its engagement with Pivotal CM Limited for investor communications, digital strategy, and marketing initiatives. Under the arrangement, approximately US$356,250 of services will be satisfied through issuance of common shares at market price, representing about 1.76 million shares, subject to regulatory approvals. Ares also agreed to settle $69,046.47 of debt by issuing 246,595 common shares at $0.28 per share to Prospero and Craven Capital.
On the board front, Lorenzo Esteva stepped down in response to public commentary. The company noted that certain public statements regarding his prior regulatory history contained misrepresentation and clarified that he voluntarily resigned his FINRA registrations and disputed most allegations. Ares expressed regret over inaccurate publications that led to his departure and wished him success.
Ares Strategic Mining 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. The Lost Sheep Fluorspar Project in Delta, Utah, spans 5,982 acres with 353 claims, is fully permitted, and has a NI 43-101 technical report identifying extensive high-grade fluorspar with low impurities. The mining plan was first approved by the BLM in 1992 and renewed in 2016.
Forward-looking statements in this release involve risks and uncertainties, and actual results may differ materially. The company disclaims any obligation to update such information except as required by law.
