Halcones Precious Metals Announces Non-Brokered Private Placement

Halcones Precious Metals Corp. announced a non-brokered private placement of up to 20,000,000 units at $0.05 per unit, raising up to $1,000,000 in gross proceeds. Each unit consists of one common share and one common share purchase warrant. The warrants carry a $0.05 exercise price and a 24-month term following closing.

Proceeds are designated for acquiring surface rights to the Polaris project, continuing exploration on Polaris, and general corporate working capital. The offering is subject to TSX Venture Exchange approval and is scheduled to close around October 15, 2026. Securities carry a hold period of 4 months and 1 day.

Halcones Precious Metals Corp. (HPM) announced a financing initiative directly following its September 29, 2026 update concerning the court-appointed expert's compensation valuation report for the Polaris surface rights easement. Management stated that the capital raise is necessary to secure surface access and fund exploration activities. Specifically, the $1 million raise addresses the cash required to pay court-quantified compensation to Austral Exploraciones SpA and to fund a planned eight-hole diamond drill program.

The capital raise was viewed as necessary to avoid operational paralysis, given the company’s Q1 2026 cash balance of $262,156 CAD and a working capital deficit of $1,298,963 CAD. The shares were issued at $0.05, representing a modest premium to the recent $0.04 trading range, a pricing structure standard for non-brokered placements in this market cap segment.

The transaction results in the addition of 20 million new shares and 20 million new warrants to the existing 263.8 million shares and 66.8 million warrants. This dilutive impact is considered material but expected. The news does not alter the fundamental risk profile or timeline of the Polaris project, merely extending the company's runway by several months without attaching strategic investors or premium valuations.

Halcones Precious Metals Corp. (HPM) is an early-stage gold explorer focused on the Polaris project in northern Chile, located approximately 150 km south of Antofagasta. The project encompasses a 5,777.5-hectare land package featuring historic artisanal mining dating back to the 1920s and 1970s. No modern diamond drilling has been conducted to date.

Surface sampling over a 3.9 km strike length has identified extensive gold mineralization, with the North Zone anomaly showing bedrock samples up to 55 g/t Au. Mineralization is hosted in quartz veins and stockworks within tonalite to granodiorite rocks, structurally controlled by the Atacama Fault Zone. Management targets near-surface, cost-effective open-pit potential, though no mineral resources or reserves have been defined.