Vatic Announces Acceptance of Acquisitions and Trading to Resume

Executive Summary

• Vatic Ventures Corp. received conditional acceptance from the TSX Venture Exchange for its acquisition of rights to earn interests in two uranium properties (EPL 8289 and EPL 8735) in Namibia from Velvet Clean Energy Corp.
• The transaction requires the issuance of 7,500,000 shares to Velvet shareholders at a deemed price of $0.025 per share, subject to a 4-month hold period and a standard 3-year TSXV escrow arrangement.
• The acquired assets include detailed option agreements to earn up to 90% interests in the Zoya and Galore properties, with specific cash, share, and exploration expenditure milestones outlined for each.

Key Details

• Transaction Structure: Acquisition of rights to earn interests in two uranium properties (EPL 8289 "ZOYA Property" and EPL 8735 "GALORE Property") from Velvet Clean Energy Corp.
• Consideration: 7,500,000 Consideration Shares issued pro rata to Velvet shareholders at a deemed price of $0.025 per share.
• Share Restrictions: 4-month and 1-day hold period post-issuance; subject to standard TSXV 3-year escrow (10% released immediately, then 15% every 6 months thereafter).
• ZOYA Property Option Terms: Right to acquire initial 80% interest via US$1,100,000 cash over 2 years, US$400,000 in Vatic shares, and US$1.5M–$2M exploration expenditures by 2029/2030. Payment schedule includes a $25k deposit (paid), $150k within 30 days of TSXV approval, and four subsequent $350k/$150k/$75k payments spaced 6 months apart. Share issuance of US$400k total tied to cash payments. Maximum shares issuable: 10,800,000 at $0.05/share.
• Second Zoya Option: Earn additional 10% (to 90%) by funding a feasibility study and paying US$8M (if NPV ≤ $150M) or US$20M (if NPV > $150M). Results in 80/20 or 90/10 JV.
• GALORE Property Option Terms: Right to acquire initial 80% interest. Terms include a $25k deposit upon TSXV approval, $100k cash by July 1, 2026, $75k cash by July 1, 2027, and US$150k in shares (two tranches of $75k on July 1, 2026, and July 1, 2027). Maximum shares issuable: 4,050,000 at $0.05/share.
• Second Galore Option: Earn additional 10% (to 90%) via feasibility study and payment of US$7M (if proven reserves ≥ 100Mt @ 400ppm) or negotiated price. Results in 80/20 or 90/10 JV.
• Property Location & Context: Located <50km from Swakopmund, Namibia, in the Erongo Uranium Province/Alaskite Alley. Adjacent to active mines Rössing (~2,920 t U3O8 produced in 2023) and Husab (5,500 t U3O8/year production).
• Trading Resumption: Expected June 16, 2026.
• Corporate Update: The proposed share consolidation originally announced in April 2025 will not proceed.

Notable Quotes

• "These uranium exploration assets are contiguous and on strike with some of the largest uranium mines in the world... We foresee huge challenges to meet new demand in the medium to long term which will drive uranium prices up and render uranium resources such as those that we hope to discover on EPL 8289 and EPL 8735 significantly valuable." – Loren Currie, CEO
• "We are pleased to have completed the TSXV review process and received final acceptance of the Transaction. The acquisition of the option to acquire a majority interest in the Zoya property and the Galore property significantly enhances the Company's asset portfolio and provides shareholders with exposure to what management believes is an attractive exploration and development opportunity." – Loren Currie, CEO