Rio Silver completes Definitive Agreement for the sale of Ninobamba, announces planned restructuring

Rio Silver completes Definitive Agreement for the sale of Ninobamba, announces planned restructuring

Rio Silver Inc. ("Rio Silver" or the "Company") (TSX.V: RYO) (OTC: RYOOF), announces that it has completed a definitive agreement (the "Option Agreement") with Magma Silver Corp. (TSX.V: MGMA) ("Magma Silver") for the sale (the "Transaction") of the Niñobamba Au-Ag property ("Niñobamba" or the "Project").

Under the terms of the Option Agreement, Magma Silver has the right to earn a 100% interest in the Project upon full exercise of the option. The Option Agreement requires Magma Silver to make payments of an aggregate CAD$260,000, of which CAD$160,000 of that amount has been paid. Magma Silver will make further milestone payments of up to US$2,000,000, US$500,000 of which will constitute advanced royalty payments and will be paid over the next five years, deductible from the net smelter return royalty of 2% granted to Rio Silver. Magma Silver retains the right to buy back 1% of the NSR for US$1,000,000 at any time prior to commercial production on the Project. The Option Agreement also requires Magma Silver to issue to Rio Silver a total of 2,500,000 common shares of Magma Silver upon receipt of regulatory approval, and a further 2,500,000 common shares on the first anniversary of the approval date.

Rio Silver also announces its intention to consolidate (the "Consolidation") its common shares on a one-new-for-five-old basis subject to regulatory approval.

Upon completion of the Consolidation, it is intended that the 99,832,844 common shares of Rio Silver currently issued and outstanding will be reduced to approximately 19,966,569 common shares. No fractional shares will be issued under the Consolidation. Each fractional share following the Consolidation that is less than one-half of a share will be cancelled, and each fractional share that is at least one-half of a share will be rounded up to the nearest whole share. As applicable, the exercise or conversion price and the number of shares issuable under any of the company's outstanding stock options and convertible instruments will be proportionately adjusted upon the completion of the Consolidation. A letter of transmittal will be sent to registered shareholders providing instructions to surrender the certificates evidencing their shares for replacement certificates representing the number of post-Consolidation shares to which they are entitled as a result of the Consolidation. Until surrendered, each certificate representing shares prior to the Consolidation will be deemed, for all purposes, to represent the number of shares to which the holder thereof is entitled as a result of the Consolidation.

The Consolidation remains subject to the acceptance of the TSX Venture Exchange (the "Exchange"), and the pre-consolidated shares will continue to be traded on the Exchange under the current trading symbol RYO. Upon acceptance by the Exchange, the Company's trading symbol will remain the same, but the CUSIP number and international securities identification number will change upon the completion of the Consolidation.

This Transaction and Consolidation will allows the Company to focus on the express development of its newly-acquired Maria Norte high grade silver exploration / exploitation project in the dynamic Huachacolpa Mining district, south central Peru where recent M&A activity is changing the investment landscape.

About Rio Silver Inc.

Rio Silver is a Canadian exploration and development company with an large per cent of insider, friends and family ownership, focused on Peru. Rio Silver continues to review precious and base metal properties in Peru while maintaining its interest in its Ontario Gerow Lake, critical metals project. This Transaction enables the Company to complete certain planned acquisitions that bring significant potential for near-term, cash flowing, production allowing the Company to leverage other similar opportunities, going forward, in a non-dilutive shareholder friendly way.

ON BEHALF OF THE BOARD OF DIRECTORS OF Rio Silver INC.

Christopher Verrico

Director, President and Chief Executive Officer

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

For further information,

Christopher Verrico, President, CEO

Tel: (604) 762-4448

Email: chris.verrico@riosilverinc.com

Website: www.riosilverinc.com

This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required by applicable laws.


Primary Logo

News Provided by GlobeNewswire via QuoteMedia

RYO:CA
Rio Silver

Rio Silver Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

The Conversation (0)
Rio Silver

Rio Silver

Leveraging 25 years of mining experience in Peru

Leveraging 25 years of mining experience in Peru Keep Reading...
Rio Silver Receives Conditional Approval for $2.2M Private Placement

Rio Silver Receives Conditional Approval for $2.2M Private Placement

Rio Silver Inc. ("Rio Silver" or the "Company") (TSX.V: RYO,OTC:RYOOD) (OTC: RYOOF), announces it has received "Conditional Approval" from the TSX Venture Exchange to close its upsized non-brokered private placement, as described in the company's press release dated Sept. 25, 2025, for aggregate... Keep Reading...
Rio Silver Announces Increase to Offering Amount

Rio Silver Announces Increase to Offering Amount

Rio Silver Inc. (the "Company" or "Rio Silver") (TSX.V: RYO,OTC:RYOOD) (OTC: RYOOF) is pleased to announce that, further to the Company's announcement on September 11, 2025 (the "Previous Announcement") regarding the intended non-brokered private placement offering (the "Offering") of up to... Keep Reading...
Rio Silver Amends Maria Norte Terms

Rio Silver Amends Maria Norte Terms

Rio Silver Inc., (the company) further to its news releases dated March 26, 2025, June 25, 2025 and August 12, 2025, announces it has further amended terms of the acquisition from Peruvian Metals Corp. (Peruvian) for the Maria Norte project, located in the District of Huachocopla, Huancavelica,... Keep Reading...
Rio Silver arranges $1.3M private placement

Rio Silver arranges $1.3M private placement

Vancouver, British Columbia September 11, 2025 Rio Silver Inc. ("Rio Silver" or the "Company") (TSX.V: RYO,OTC:RYOOD) (OTC: RYOOF) announces private placement of units. Rio Silver Inc. has arranged a non-brokered private placement financing of up to 13 million units at $0.10 per unit for gross... Keep Reading...
Rio Silver Amends Maria Norte Terms

Rio Silver Amends Maria Norte Terms

Rio Silver Inc. ("Rio Silver" or the "Company") (TSX.V: RYO,OTC:RYOOD) (OTC: RYOOF) announces that, further to the announcements on March 26 and June 25, 2025 (collectively, the "Prior Announcements"), it has amended terms of the acquisition (the "Transaction") from Peruvian Metals Corp.... Keep Reading...
Apollo Silver Closes $26.78 Million Private Placement Offering

Apollo Silver Closes $26.78 Million Private Placement Offering

Apollo Silver Corp. (" Apollo Silver " or the " Company ") (TSX.V:APGO, OTCQB:APGOF, Frankfurt:6ZF0) is pleased to announce the Company has closed the final tranche of its previously announced upsized non-brokered private placement (the "Upsized Offering"), raising gross proceeds of $1,641,503... Keep Reading...
Providence Gold Mines Inc. Acquires Additional Land Position at the La Dama de Oro Gold

Providence Gold Mines Inc. Acquires Additional Land Position at the La Dama de Oro Gold

(TheNewswire) VANCOUVER TheNewswire - October 28, 2025 - Providence Gold Mines Inc. ("Providence" or the "Company ) (TSXV: PHD,OTC:PRRVF) (OTC-PINKS: PRRVF) is very pleased to announce that the Company has staked an additional 100 aces of BLM land are contiguous and parallel to the existing La... Keep Reading...
Pinnacle Receives Positive Results from Preliminary Metallurgical Tests at El Potrero with Average of 95.09% Gold Recovery

Pinnacle Receives Positive Results from Preliminary Metallurgical Tests at El Potrero with Average of 95.09% Gold Recovery

(TheNewswire) VANCOUVER, BRITISH COLUMBIA, October 28, 2025 TheNewswire - (TSXV: PINN,OTC:NRGOF, OTC: PSGCF, Frankfurt: P9J) Pinnacle Silver and Gold Corp. (" Pinnacle " or the " Company ") is pleased to announce positive results from the preliminary scoping metallurgical tests for the... Keep Reading...
1911 Gold Strengthens Operations Leadership with Appointment of Éric Vinet as COO and Additional Senior Site Personnel

1911 Gold Strengthens Operations Leadership with Appointment of Éric Vinet as COO and Additional Senior Site Personnel

1911 Gold Corporation ("1911 Gold" or the "Company") (TSXV: AUMB; OTCQB: AUMBF; FRA: 2KY) is pleased to announce the appointment of Éric Vinet as Chief Operating Officer (COO), effective December 1, 2025. The Company has also made several key site-level appointments to further strengthen its... Keep Reading...
Quarterly Activities Report and Appendix 5B

Quarterly Activities Report and Appendix 5B

Locksley Resources (LKY:AU) has announced Quarterly Activities Report and Appendix 5BDownload the PDF here. Keep Reading...
Key Appointments to Advance Mandilla Gold Project

Key Appointments to Advance Mandilla Gold Project

Astral Resources (AAR:AU) has announced Key Appointments to Advance Mandilla Gold ProjectDownload the PDF here. Keep Reading...
Rio Silver

Rio Silver Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

Latest Press Releases

Related News