Lodestar Metals Upsizes Private Placement to $1M and Announces Completion of Strategic Share Consolidation

Executive Summary

• Lodestar Metals expands its private placement to raise C$1 million at C$0.075 per post‑consolidation unit, doubling the originally announced amount.
• Each unit includes one common share and a half warrant; warrants allow purchase of additional shares at $0.12 for two years, with acceleration provisions if the share price exceeds $0.15 for 10 consecutive days.
• A 2‑for‑1 share consolidation will be effective on October 20 2025, reducing outstanding shares to 23,668,250 and updating CUSIP/ISIN numbers.

Key Details

• Offering Size: Increased from C$500,000 to C$1,000,000 gross proceeds.
• Unit Pricing: C$0.075 per post‑consolidation unit; up to 13,333,333 units available.
• Unit Composition:
• 1 post‑consolidation common share
• ½ of a share purchase warrant (each whole warrant permits purchase of one additional share at $0.12).
• Warrant Terms: Exercise price $0.12 per share; exercisable for two years from issuance; acceleration if VWAP ≥ $0.15 for 10 consecutive trading days, with accelerated expiry set 30 days after notice.
• Finder’s Fee: Up to 6% cash and 6% share purchase warrants may be paid to finders.
• Resale Restrictions: Securities subject to a six‑month lock‑up from issuance.
• Use of Proceeds: Exploration and drilling on the Goldrun Project (Nevada) and general working capital.
• Share Consolidation: 2 pre‑consolidation shares → 1 post‑consolidation share, effective opening of business on 2025‑10‑20.
• Post‑Consolidation Share Count: 23,668,250 shares outstanding after consolidation.
• New Identifiers: CUSIP 54020J200; ISIN CA54020J2002.
• Shareholder Instructions: Letter of transmittal will be mailed to registered shareholders with exchange instructions; no action required by non‑registered holders.

Notable Quotes

“The increased financing and share consolidation position Lodestar to accelerate exploration at Goldrun, delivering value for our shareholders.” – Lowell Kamin, President, CEO & Chairman of the Board.