Black Iron Announces Private Placement of Units for Gross Proceeds of up to US$1.7 million

• On April 6 2026 Black Iron announced a non‑brokered private placement of up to 23,660,600 units at C$0.10 per unit, targeting gross proceeds of US$1.7 million (≈C$2.37 M).
• Each unit consists of one common share and one warrant; each warrant allows the holder to purchase a common share at C$0.20 for 36 months, exercisable starting 60 days after closing.
• Net proceeds are earmarked for project‑related expenses (including permit renewal for the Shymanivske Iron Ore Project), general corporate purposes and working capital.
• The placement is subject to regulatory approvals (TSX, minimum gross proceeds) and uses the listed‑issuer financing exemption under NI 45‑106.

Historical context (oldest → most recent): - Nov 25 2025: Year‑end update – permit renewal secured via completion of required Ukrainian studies; Anglo American committed an additional US$1.6 M upon renewal; target commercial mining early 2026. - Jul 21 2025: Board appointment – David Porter named Chairman (governance change, no financing impact). - Jun 13 2025: AGM results – shareholders elected directors and approved auditor. - May 16 2025 (two releases): RAB Capital disclosed sale of 9.06 M shares (~$1.54 M) reducing its stake to ~12.94%; an early‑warning filing followed with no substantive detail. - May 5 2025: Corporate announcement applauding the U.S.–Ukraine minerals agreement – purely congratulatory, no new financing or operational details.

The April 2026 placement aligns with the company’s stated need to fund permit renewal and working capital highlighted in the Nov 2025 year‑end update; it is a routine financing step rather than an unexpected strategic shift.

• Size relative to market cap: The offering could add up to ~23.7 M shares (≈7.8 % of the current 304 M shares outstanding) plus potential warrant dilution, representing a modest but not transformative capital increase.
• Pricing: Offered at C$0.10 versus the recent trading price of ~C$0.11 – a ~9 % discount, typical for private placements in junior miners and dilutive to existing shareholders.
• Use of proceeds: Directly supports the permit renewal process and near‑term working capital, which were identified as immediate priorities in the Nov 2025 update; no new strategic direction is introduced.
• Market reaction expectation: Given the company’s history of periodic financings to sustain the Shymanivske project, the news is largely anticipated and therefore routine rather than material‑game‑changing.

Overall impact: Routine‑Positive – provides necessary funding for an already‑planned milestone without altering the fundamental outlook.

• Flagship asset: Shymanivske Iron Ore Project, located near Kryvyi Rih, central Ukraine.
• Reserves/resources: Approximately 448 million tonnes of proven iron ore (magnetite).
• Production guidance:
• Phase 1: 4 Mtpa of 68% Fe concentrate.
• Phase 2 (expansion): 8 Mtpa for at least 17 years, with cash operating cost < US$33/tonne FOB OPEX.
• Strategic advantages:
• Proximity to existing rail, power infrastructure and five deep‑sea ports.
• Low unit cost – ranked as the lowest‑cost undeveloped pellet feed project globally.
• Anglo American offtake/royalty agreement (commitment of additional US$1.6 M upon permit renewal).
• Endorsement by the President of Ukraine; positioned to support green steel production and post‑war reconstruction.