BC FORM 51-102F3
MATERIAL CHANGE REPORT
UNDER SUBSECTION 7.1(1) OF NATIONAL INSTRUMENT 51-102
ITEM 1.
NAME AND ADDRESS OF COMPANY
Prophecy Development Corp.
Suite 1610 – 409 Granville Street
Vancouver, BC V6C 1T2
ITEM 2.
DATE OF MATERIAL CHANGE
August 19, 2019
The news release dated was disseminated through ACCESSWIRE Canada Ltd. and filed on SEDAR on August 19, 2019.
ITEM 4.
SUMMARY OF MATERIAL CHANGE
Prophecy Development Corp. announced the formation of two wholly owned Canadian BC subsidiaries; Silver Elephant Mining Corp. (“Silver Elephant”) and Asia Mining Inc. (“Asia Mining”) in order to facilitate potential future spinoffs of the Company’s wholly owned Bolivian silver operation and Mongolian coal operation.
The Company also announed it has granted in aggregate, 1,685,000 incentive stock options (the “Options“), to certain directors, officers, employees and consultants of the Company. The Options are exercisable at a price of $0.20 per Common share for a term of five years expiring on July 29, 2024 and vest at 12.5% per quarter for the first two years following the date of grant. As part of its continuous review, the Company cancelled a total of 1,356,000 stock options with various exercise prices.
ITEM 5.
FULL DESCRIPTION OF MATERIAL CHANGE
Please see the news release dated August 19, 2019, which is available for review under the Company’s SEDAR profile at www.SEDAR.com.
ITEM 6.
RELIANCE ON SUBSECTION 7.1(2) OR 7.1(3) OF NATIONAL INSTRUMENT 51-102
Not applicable.
ITEM 7.
OMITTED INFORMATION
None.
Contact:
Rocio Echegaray, Corporate Secretary
Telephone:
(604) 569-3661
Email:
rechegaray@prophecydev.com
August 19, 2019
