Hannan Announces Closing of Second Tranche of Non-Brokered LIFE Offering - Raises C$9.1 Million in Total

Hannan Metals announced on December 15, 2025, the closing of the second and final tranche of its non-brokered private placement under the Listed Issuer Financing Exemption (LIFE). The company issued 2,831,924 common shares at a price of C$0.75 per share for gross proceeds of C$2,123,943.

Combined with the first tranche that closed on November 20, 2025, the total gross proceeds from the offering are C$9,158,753. The funds will be used for exploration at the company's projects in Peru, specifically to advance the drill program at the Belen prospects and to progress geological and drill permitting work at the Previsto project, as well as for general working capital.

The closing of this financing is a material and positive event for Hannan Metals. Securing C$9.1 million in capital significantly de-risks the company's financial position and provides a substantial runway to aggressively advance its exploration programs for well over a year.

The context of this financing is critical. It was launched following highly disappointing initial drill results from the Belen prospect in August 2025, which caused the stock to fall over 40% from its prior highs. The ability to not only complete but significantly upsize a financing (from an initial C$4.0 million target) in the wake of such news demonstrates strong investor confidence in the potential of the company's other key asset: the Previsto alkaline gold prospect. The market is clearly willing to look past the Belen miss and fund the exploration of the high-grade surface results at Previsto.

While the total C$9.1 million raised fell slightly short of the upsized C$10.5 million target announced on November 18, it is more than double the original C$4.0 million sought. Raising capital at C$0.75 without any warrant sweeteners is a sign of strength, establishing a solid floor for the stock price well above the post-Belen lows of C$0.57.

This capital injection removes the funding overhang and allows management to focus entirely on execution. The primary value driver for Hannan is now the systematic exploration and eventual drill testing of the Previsto project.

Hannan Metals Ltd. is a Canadian junior mineral exploration company focused on discovering and developing large-scale copper-gold deposits in Peru.

The company's flagship asset is the 100%-owned Valiente Project in central eastern Peru, which covers over 1,000 sq km in an emerging Miocene-aged porphyry-epithermal belt. While the project contains multiple targets, the primary focus has shifted to the Previsto prospect. Previsto is an alkalic-type epithermal gold system where the company has discovered significant high-grade gold mineralization at surface through channel sampling, including intercepts of 69.1m @ 2.4 g/t Au and 26.0m @ 5.4 g/t Au. The company is also advancing the nearby Belen prospect area, which hosts several copper-gold porphyry and epithermal targets.

Based on the January 2025 interim financial statements, some of the company's licenses are subject to a 2% Net Smelter Return (NSR) royalty to Lundin, with Hannan retaining a right to buy back 0.5% of the royalty for US$5.0 million.