New Break closes $1-million private placement

Executive Summary

• New Break Resources Ltd. has closed an oversubscribed, non-brokered private placement flow-through financing, raising gross proceeds of $1,009,800.
• The company issued 2,805,000 common shares qualifying as flow-through shares at a price of $0.36 per share.
• Proceeds are designated for Canadian exploration expenses (CEE) and will fund the first phase of a planned 10,000+ metre drilling program at the Moray gold project, scheduled to begin in January 2026.

Key Details

• Transaction Structure: Non-brokered private placement flow-through financing.
• Shares Issued: 2,805,000 common shares.
• Share Type: Flow-through shares (within the meaning of Subsection 66(15) of the Income Tax Act (Canada)).
• Price Per Share: $0.36 CAD.
• Gross Proceeds: $1,009,800 CAD.
• Finders' Fees: $36,720 CAD paid in connection with the closing.
• Use of Proceeds: Canadian exploration expenses (CEE) qualifying as flow-through mining expenditures; proceeds will be renounced to purchasers with an effective date no later than December 31, 2025.
• Drilling Plan: Funds support the first phase of a 10,000+ metre drilling program at the Moray gold project (Timmins, Ontario).
• Drilling Targets: Expansion of known mineralization in the Zavitz gold zone (exploring lateral continuation to northwest and southeast) and testing other target areas with similar geological characteristics.
• Statutory Hold: Securities subject to a hold period of four months and one day, expiring May 1, 2026.
• Conditions Precedent: Completion subject to regulatory approvals, including final approval from the Canadian Securities Exchange (CSE).

Notable Quotes

• None provided in the text.