Power Metallic Mines Announces Closing of Brokered LIFE Offering for Gross Proceeds of C$28.2 Million and Welcomes Eric Sprott as a New Shareholder

Closing of a previously announced brokered private placement for aggregate gross proceeds of C$28,228,750. 22,583,000 common shares were issued at C$1.25, led by Red Cloud Securities. The release discloses for the first time that investor Eric Sprott (via 2176423 Ontario Ltd.) acquired 1,600,000 shares for C$2,000,000, making him a new shareholder. The timing is as scheduled (closing around June 10, 2026). The offering was upsized from an initial C$25 million to up to C$30 million, and the final take of C$28.2 million was slightly below the maximum but still a successful raise. Proceeds target the NISK Project in Québec, the Jabul Baudan exploration license in Saudi Arabia, and general working capital.

The most recent news is the closing of a financing that was heavily telegraphed over the prior weeks (initial announcement May 28, upsizing to C$30M May 29). By itself, a closing is routine—the terms and dollar amount were largely known. The element that elevates the materiality is the confirmation of Eric Sprott as a new, first-time investor. Sprott’s name carries weight with retail and institutional mining investors; his entry often triggers a re-rating. While his C$2M ticket is modest relative to the C$28M raise and the company’s market cap, the fact that a high-profile mining financier is willing to support this junior at C$1.25—a premium to the pre-closing market price of ~C$1.08—signals strong underlying demand and conviction. The market had been pressuring the stock lower into the financing (from ~C$1.50 in mid-May to C$1.08 on June 9). The successful close at a premium, with a marquee name, could halt that decline and provide a near-term floor. However, the news does not change the fundamental project status; the Lion Zone drilling results, metallurgy, and timelines for the MRE were already disclosed. Therefore, the news is “Material – Positive” rather than a game changer—Sprott’s investment is a validating signal, not a new discovery or a takeover.

Power Metallic Mines Inc. (TSXV: PNPN, OTC: PNPNF) is a junior explorer focused on the Nisk polymetallic project in the James Bay region of Québec, Canada. The flagship is the Lion Zone at Nisk—an exceptionally high-grade copper‑PGM‑gold‑silver discovery. Drilling has returned intercepts such as 16.55 m at 15.11% CuEq and 22.00 m at 11.46% CuEq, with metallurgical tests showing 98.9% copper recovery. The project area has been expanded to approximately 330 km², including a 167 km² acquisition from Li‑FT Power. The company also holds the Jabal Baudan exploration license in Saudi Arabia and has a JV framework with Amaar Mining to pursue additional Saudi licenses.