Queen's Road to acquire Atha Energy debenture

Executive Summary

• Queen's Road Capital Investment Ltd. has entered into an agreement to invest $20 million (U.S.) in Atha Energy Corp. via a convertible debenture.
• The financing is intended to support the next phase of development at Atha Energy’s Angilak uranium project in Nunavut, following the 2025 discovery of the mineralized RIB corridor.
• Completion of the investment is subject to regulatory approvals, including from the TSX Venture Exchange, and is expected by the end of the month.

Key Details

• Transaction Structure: Investment of $20 million (U.S.) via convertible debenture.
• Debenture Terms:
  • Term: Five years.
  • Coupon: 12 percent.
  • Conversion Price: 85 Canadian cents per common share.
• Use of Proceeds: To support the next phase of development at the Angilak uranium project in Nunavut.
• Company Portfolio Context:
  • Atha Energy holds three 100%-owned post-discovery uranium projects: Angilak (Nunavut), CMB discoveries (Labrador), and GMZ high-grade discovery (Athabasca basin).
  • Holds the largest cumulative prospective exploration land package (>7 million acres) in two prominent uranium basins.
  • Holds a 10% carried interest in key Athabasca basin projects operated by NexGen Energy Ltd. and IsoEnergy Ltd.
• Recent Exploration Highlights (Angilak Project):
  • Discovery of the mineralized RIB corridor in 2025.
  • Intercept: 8.16% U3O8 over 0.5 metres.
  • Intercept: 4.81% U3O8 over 1.1 metres.
• Regulatory Status: Completion subject to receipt of all required regulatory approvals, including the TSX Venture Exchange.

Notable Quotes

• "Queen's Road Capital is thrilled to support the next phase of development at the Angilak uranium project in Nunavut following the 2025 discovery of the mineralized RIB corridor... This investment complements our other high-quality uranium investments, NexGen Energy and IsoEnergy." — Warren Gilman, Chairman and CEO, Atha Energy Corp.