Chesapeake arranges $10-million bought deal offering

Executive Summary

• Chesapeake Gold Corp. has entered into an agreement for a $10.0 million bought deal public offering of 2,380,953 units at $4.20 per unit.
• The offering is led by Red Cloud Securities Inc. as lead underwriter and sole bookrunner, with net proceeds intended to advance the Metates and Lucy projects, develop proprietary oxidative leach technology, and fund general working capital.
• Each unit includes one common share and one-half of one common share purchase warrant, exercisable at $5.65 per share for 36 months, with an overallotment option of up to 15%.

Key Details

• Transaction Structure: Bought deal public offering.
• Underwriter: Red Cloud Securities Inc. (Lead Underwriter and Sole Bookrunner).
• Units Sold: 2,380,953 units.
• Price Per Unit: $4.20.
• Gross Proceeds: $10,000,002.60.
• Unit Composition: Each unit consists of one common share and one-half of one common share purchase warrant.
• Warrant Terms:
  • Exercise Price: $5.65 per common share.
  • Expiration: 36 months following the closing date.
• Overallotment Option: Underwriters have an option to purchase up to 15% additional units (approx. 357,143 units) at the offering price for a period of 30 days after closing to cover overallotments and market stabilization.
• Use of Proceeds:
  • Advancement of proprietary oxidative leach technology.
  • Advancement of the Metates project.
  • Advancement of the Lucy project.
  • General working capital.
• Regulatory Filings: Prospectus supplement to be filed with Canadian securities regulatory authorities (except Quebec) and private placement sales in the US under exemptions from the Securities Act of 1933.
• Expected Closing Date: On or about January 27, 2026, subject to regulatory approvals (including TSX Venture Exchange) and execution of the underwriting agreement.

Notable Quotes

• No direct quotes from management were included in the provided text.