Atex Resources receives $52.5M from warrant exercises

Executive Summary

• Atex Resources received approximately $52.5 million from the exercise of 21,057,477 warrants, increasing its cash balance to ~$140 million.
• The company is expanding its Phase VI drill program at the Valeriano project by ~5,000 meters to delineate the B2B zone and test high-grade breccia targets.
• Approximately 42.3 million warrants remain outstanding at a $4.00 exercise price, which could generate an additional ~$169 million if fully exercised.

Key Details

• Warrant Exercise Proceeds: 21,057,477 common share purchase warrants exercised at $2.50 per warrant, generating ~$52.5 million.
• Cash Position: Post-exercise cash balance stands at approximately $140 million.
• Share Capital: Total common shares issued and outstanding now ~368 million.
• Remaining Warrants: 42.3 million warrants remain at a $4.00 exercise price, expiring Nov. 6, 2029 (subject to acceleration). Full exercise would provide ~$169 million for exploration and development.
• Drill Program Expansion: Phase VI program expanded by ~5,000 meters.
• Drilling Objectives: Further delineate/expand the B2B zone, test surrounding high-grade breccia targets and associated structures, and support continued mineral resource growth.
• Drill Progress: Phase VI is the most successful program to date, with ~21,000 of the originally planned 25,000 meters completed.
• Cost Efficiency: Incremental drilling expected to be completed at a lower marginal cost per metre due to absorbed fixed costs.
• Management Transition: Ben Pullinger resigned as President & CEO and from the board effective Jan. 31, 2026, but will continue as a technical adviser during the transition. Chris Beer serves as interim CEO.

Notable Quotes

• "Atex would like to thank our shareholders and board, for their continued support and confidence demonstrated through the exercise of the warrants," commented Chris Beer, interim chief executive officer of Atex. "These proceeds further strengthen our balance sheet and support Atex's continued advancement and derisking of the Valeriano project. In addition, the company is expanding its phase VI drill program by adding approximately 5,000 metres of cost-efficient drilling focused on further delineation of the B2B zone and testing surrounding high-grade breccia targets. Phase VI has been Atex's most successful program to date, with about 21,000 of the originally planned 25,000 metres already completed. We look forward to providing continued updates to the market in the coming months."