ATEX Resources Announces C$85 Million Bought Deal Financing

ATEX Resources announced a C$85 million bought deal private placement financing on October 22, 2025. The offering consists of 32.7 million units priced at C$2.60 per unit. Each unit comprises one common share and one-half of one common share purchase warrant. Each full warrant allows the holder to purchase one common share at an exercise price of C$4.00 for 48 months. The warrants include an acceleration clause if the company's shares trade above C$5.00 for 20 consecutive days. The proceeds will be used to fund exploration and development at the Valeriano Project and for general working capital.

This financing is a material and highly positive development for ATEX. The company was facing an imminent need for capital after committing US$21 million (approx. C$28 million) to acquire strategic surface rights on September 23, 2025, and announcing an aggressive 25,000-metre Phase VI drill program on October 1, 2025. The last reported cash position was C$26.2 million as of June 30, 2025, which was insufficient to cover these commitments.

The key positive takeaways from this financing are: - Excellent Timing and Terms: The financing was announced immediately after the company reported the best drill results to date from its Valeriano project on October 21, 2025. This allowed the company to raise capital from a position of strength. The C$2.60 issue price represents a premium to the previous day's closing price of C$2.54, which is exceptionally rare for a bought deal and indicates very strong institutional demand. - Fully Funded: The C$85 million gross proceeds will fully fund the surface rights acquisition, the entire Phase VI drill program, and ongoing de-risking studies, providing a clear runway for at least the next 12-18 months. This completely removes the financing overhang that was a key risk for the company. - Strengthened Balance Sheet: The company will have a pro-forma cash position of over C$80 million (after fees and the land payment), making it one of the best-capitalized junior explorers. This financial strength allows management to focus entirely on advancing the Valeriano project.

The only negative is the dilution from the 32.7 million shares and the 16.35 million new warrants. However, this was necessary, expected, and executed on the best possible terms. The warrant strike price of C$4.00 is significantly above the current market price, minimizing its immediate overhang. Overall, this financing significantly de-risks the company's financial position and is a major positive catalyst.

ATEX Resources Inc. is a Canadian mineral exploration company focused on its flagship Valeriano Copper-Gold Project in the Atacama Region of Chile. Valeriano is a large-scale copper-gold porphyry deposit that also contains a high-grade breccia zone known as the B2B Zone. A September 2025 Mineral Resource Estimate established the project as one of the largest and highest-grade undeveloped underground copper-gold projects globally, with an Indicated Resource of 475 Mt at 0.88% CuEq and an Inferred Resource of 1.5 Bt at 0.75% CuEq. The company has successfully and consistently expanded the deposit through systematic drill programs.