Avanti Gold closes $25-million private placement

Executive Summary

• Avanti Gold Corp. has closed a private placement offering of 50 million units at $0.50 per unit, raising gross proceeds of C$25 million.
• The offering was led by SCP Resource Finance LP and includes warrants exercisable at $0.65 per share for 36 months.
• Net proceeds will be used to fund the 2026 exploration program at the Misisi gold project in the Democratic Republic of the Congo, including drilling and geophysics, as well as for working capital.

Key Details

• Transaction Structure: Closed private placement of 50,000,000 units.
• Price: $0.50 CAD per unit.
• Gross Proceeds: $25,000,000 CAD.
• Lead Agent/Bookrunner: SCP Resource Finance LP.
• Syndicate Agents: Haywood Securities Inc., Canaccord Genuity Corp., and Raymond James Ltd.
• Warrant Terms: Each unit includes one common share and one-half of one common share purchase warrant.
• Exercise Price: $0.65 CAD per share.
• Warrant Duration: 36 months from issuance.
• Restriction: Warrants subject to a restriction on exercise expiring 61 days from issuance.
• Use of Proceeds: Advancement of exploration efforts at the Misisi gold project (ground geophysics and drilling), working capital, and general corporate purposes.
• Project Details (Misisi Gold Project):
  • Located in the Democratic Republic of the Congo.
  • Hosts a NI 43-101 compliant inferred mineral resource of 41 million tonnes at 2.37 g/t Au, containing 3.1 million ounces of gold.
  • Spans three contiguous 30-year mining leases covering 133 square kilometres along the 55-kilometre-long Kibara gold belt.
  • 2026 exploration focus: Adding ounces at permitted areas along the Kibara gold belt, including the Akyanaga deposit (3.1-million-ounce inferred resource) and targets Akyanga East, Ngalula, Lubitchako, Kilombwe, and Tulonge.
• Insider Participation: Interim CEO Swapan Kakumanu and other board members/management participated. This constitutes a related party transaction exempt from formal valuation/minority approval as consideration does not exceed 25% of market capitalization.
• Regulatory Basis: Conducted pursuant to the listed issuer financing exemption under National Instrument 45-106 and Coordinated Blanket Order 45-935 for Canadian residents (except Quebec) and offshore/US private placement exemptions.

Notable Quotes

• Martin Pawlitschek, Incoming CEO: "I am pleased to see strong investor interest in our upsized LIFE offering, which will provide us with the means to continue exploration efforts at the Misisi gold project, which has the potential to become a cornerstone asset in Africa. Our funded 2026 exploration program will focus on adding ounces at permitted areas along the 55-kilometre-long Kibara gold belt..."