Orecap Exercises All Warrants in Awale Resources, Increasing Stake to Over 10.6 Million Shares
Orecap doubles down on Awalé’s 1.7M oz gold discovery as shares hover near highs
On May 25, 2026, Orecap announced it had exercised all 4,166,666 outstanding warrants of Awalé Resources at $0.20 per share, increasing its total stake to 10,631,499 shares. The exercise price represents a 67% premium to the original $0.12/unit investment in April 2023. The news coincides with Awalé’s initial Mineral Resource Estimate (MRE) for the Odienné Project in Côte d’Ivoire (released May 19, 2026) of 1.707 Moz gold equivalent (Inferred) at 1.64 g/t AuEq, including a high‑grade Charger deposit at 4.64 g/t AuEq. Orecap’s CEO called the drill results “exceeding expectations” and the warrant exercise an “easy decision.” A PEA is targeted for Q3 2026 and a PFS for Q4 2027. Earlier in the week, Orecap closed an $833,333 interest‑free, unsecured loan from a company controlled by CEO Stephen Stewart for general corporate purposes.
The warrant exercise is a strong signal of confidence, especially at a price well above Orecap’s cost base. Because the news also highlights Awalé’s maiden 1.7 Moz resource – a material de‑risking event for that investee – the combined disclosure reinforces Orecap’s NAV and provides a near‑term catalyst (PEA). While the exercise was not unexpected (warrants were outstanding), the explicit endorsement and the resource confirmation are genuinely new and market‑moving for a micro‑cap investment issuer. The stock had already rallied to $0.14 on the MRE news, and this follow‑up solidifies the positive sentiment. The $833k loan, though related‑party, is routine and negligible in size. Overall, the news materially improves the company’s value proposition and should support a higher share price.
Orecap Invest Corp. operates as a TSX‑V listed investment issuer/project generator. Its strategy is to acquire, de‑risk, and vend projects while accumulating material equity stakes in junior explorers. The flagship asset is the McGarry Gold Project in the Kirkland Lake camp, Ontario – a brownfield site with a shaft to 698 m, historic indicated resource of 447 koz at 8.57 g/t Au and inferred 157 koz at 5.83 g/t Au. The project sits along the Larder Lake‑Cadillac Deformation Zone, adjacent to past‑producing Kerr‑Addison mine (11 Moz at 9 g/t). Orecap recently optioned up to a 75% interest to Stardust Metal Corp. (formerly Mistango) for up to $63.5 million, retaining a 25–50% carried interest and a 13.9% equity stake in Stardust. Other major holdings include 19.9% of Kirkland Lake Discoveries (from sale of Mirado), 6.0% of American Eagle Gold, 6.2% of Awale Resources, and smaller stakes in Auriginal, XXIX Metal, and Metal Energy.