Intrepid Metals investor Teck acquires 8.8M shares

Executive Summary

• Intrepid Metals Corp. has closed a strategic private placement investment with Teck Resources Ltd., resulting in Teck acquiring a 9.9% equity interest in Intrepid.
• The transaction involves the issuance of 8.8 million common shares at $0.45 per share, generating gross proceeds of $3.96 million for Intrepid.
• Proceeds are designated for a 24-month exploration and development program at the Corral copper project, including geophysical surveys, drilling, and permitting work.

Key Details

• Transaction Structure: Non-brokered private placement.
• Investor: Teck Resources Ltd.
• Shares Issued: 8.8 million common shares.
• Price Per Share: $0.45 CAD.
• Gross Proceeds: $3.96 million.
• Equity Interest: 9.9% on an outstanding basis.
• Use of Proceeds: To fund an initial 24-month exploration and development program at the Corral copper project.
• Planned Work Program:
  • 50-line-kilometre induced polarization (IP) survey.
  • Geological mapping and geochemical sampling.
  • Metallurgical and permitting work.
  • Follow-up drilling to expand known zones and test new targets.
  • Additional mapping, geophysics, and drilling anticipated in H2 2026.
• Investor Rights Agreement:
  • Participation Rights: Teck has the right to participate in future equity financings to maintain its pro rata interest for up to three years, with the option to increase ownership to up to 15%.
  • Technical Committee: Teck has the right to nominate two representatives to a four-person technical committee for the Corral project, holding a tie-breaking vote.
  • Information Rights: Specific rights regarding the Corral copper project.
  • Right of First Refusal: A 30-month right of first refusal on any proposed transfer of Intrepid's interest in the Corral copper project.
• Share Restrictions: Common shares are subject to a statutory hold period in Canada expiring four months and one day from the date of the release.
• Advisers: Haywood Securities Inc. (Financial Adviser) and Farris LLP (Legal Counsel).
• Management Change: Ken Engquist has transitioned from Chief Executive Officer to Technical Adviser for the Corral copper project, acknowledging his role in securing the Teck investment.

Notable Quotes

• "Intrepid appreciates Mr. Engquist's continuing support of the Corral copper project as a technical adviser." (Regarding the transition of Ken Engquist from CEO to Technical Adviser).