Generation Mining arranges $20-million offering

Executive Summary

• Generation Mining Ltd. has entered into an agreement for a $20 million bought deal public offering of 27.78 million units, led by Stifel Nicolaus Canada Inc.
• Each unit consists of one common share and one-half of one common share purchase warrant, exercisable at $1.00 per share for 24 months.
• Net proceeds are designated for advancing exploration and development at the Marathon project, working capital, and general corporate purposes.

Key Details

• Transaction Structure: Bought deal public offering.
• Lead Underwriter: Stifel Nicolaus Canada Inc. (sole bookrunner).
• Units Sold: 27,780,000 units.
• Price Per Unit: $0.72 CAD.
• Gross Proceeds: $20,001,600.
• Unit Composition: Each unit comprises one common share and one-half of one common share purchase warrant.
• Warrant Terms: Each warrant entitles the holder to purchase one common share at an exercise price of $1.00. The warrants are exercisable for a period of 24 months following the closing date.
• Overallotment Option: The underwriters have an option to purchase up to an additional 15% of the units (approx. 4.17 million units) at the offering price to cover overallotments and for market stabilization, exercisable within 30 days of closing.
• Use of Proceeds: Advancing exploration and development at the Marathon project, working capital, and general corporate purposes.
• Regulatory Filings: Pursuant to a prospectus supplement to the short form base shelf prospectus dated May 31, 2024.
• Closing Date: Expected on or about January 15, 2026, subject to regulatory approvals including the Toronto Stock Exchange.
• Project Context (Marathon): Large undeveloped copper-palladium deposit in Northwestern Ontario covering ~26,000 hectares. Feasibility study NPV of $1.07 billion (6% discount rate), IRR of 28%, and 1.9-year payback. Expected production over 13-year mine life includes 2.16M oz Palladium, 532M lbs Copper, 488k oz Platinum, 160k oz Gold, and 3.05M oz Silver.