SRANAN GOLD Closes Oversubscribed $3.6 Million Private Placement

Financing Close and Capital Raise

• Event: Closed non-brokered private placement raising aggregate gross proceeds of $3,589,074.85.
• Price: Units priced at $0.15 each (23,927,165 units issued).
• Oversubscription: The offering was oversubscribed compared to the April 2026 announcement of up to $3 million.
• Insider Participation: Director Ron Shenton purchased 268,000 units ($40,200 value), signaling some management confidence at current levels.
• Warrants Issued: Each unit includes one-half warrant exercisable at $0.275 for 48 months; finder warrants issued at $0.15 strike price.

Use of Proceeds and Exploration Plans

• Drilling Program: Funds an aggressive 12,500-metre diamond drilling program at the Tapanahony Project (Randy's Pit and Poeketi Zone).
• New Property: Initiates exploration activities at the Lawatino Gold Project (acquired Feb 2026), adjacent to Founders Metals' Antino Property.
• Working Capital: Remaining funds support ongoing operations, general corporate purposes, and marketing initiatives.

Strategic Context

• Continuity: The financing follows a previously announced offering in April 2026 led by Concept Capital Management Ltd ($800k commitment).
• Exploration Momentum: Mobilization of second drill rig occurred in April 2026; drilling results from Randy's Pit and Poeketi Zone have shown high-grade intercepts (e.g., 1m @ 145.4 g/t Au in Nov 2025).
• Acquisition Integration: Proceeds also support field work on the Lawatino acquisition, which includes option payments and exploration commitments over five years.

Positive Factors

• Liquidity Security: The oversubscribed raise provides sufficient capital to fund a significant 12,500-metre drilling campaign without immediate need for further dilution in the short term.
• Insider Confidence: Director Ron Shenton's participation (268,000 units) is a positive signal of management belief in the project value at current prices.
• Project Expansion: Funding allows for testing the Lawatino acquisition and extending the Poeketi Shear Zone (PSZ), which has shown continuity over 4.5 km.

Negative Factors & Risks

• Valuation Compression: The financing price of $0.15 is significantly below the 52-week high of $0.62 (Aug 2025) and represents a ~77% decline from peak valuation despite positive exploration news. This indicates market skepticism regarding the project's economic viability or jurisdictional risks.
• Dilution: Issuance of nearly 24 million units increases share count significantly, diluting existing shareholders. Warrants add further potential overhang ($0.275 strike).
• Price Action Disconnect: Despite high-grade intercepts (Nov 2025) and successful financing (May 2026), the stock price has remained depressed at $0.14-$0.15 since April 2026, suggesting the market views this as routine capital maintenance rather than a re-rating event.
• Jurisdictional Risk: Operations in Suriname carry inherent political and regulatory risks common to emerging markets, which may be pricing into the stock despite good technical results.

Corporate Structure

• Entity: Sranan Gold Corp.
• Exchange: CSE (Canadian Securities Exchange).
• Focus: Gold exploration in Suriname, specifically the Central Guiana Shear Zone.

Flagship Project: Tapanahony Gold Project

• Location: Southeastern Suriname.
• Key Targets: Randy's Pit and Poeketi Zone within the Poeketi Shear Zone (PSZ).
• Geology: Orogenic gold system hosted in basaltic host rocks with mylonitic shear zones, silica-sericite-ankerite alteration.
• Drilling Status: Over 12,500 metres planned for 2026; previous drilling outlined >800m strike length at Randy's Pit and high-grade intercepts (e.g., 1m @ 145.4 g/t Au).

Secondary Project: Lawatino Gold Property

• Acquisition: Option agreement announced Feb 2026.
• Size: 18,468 hectares.
• Location: Adjacent to Founders Metals' Antino Property along the Central Guiana Shear Zone.
• Status: Early exploration phase; fracture density modelling highlights structural complexity.