Stearman closes final tranche of private placements

Executive Summary

• Stearman Resources Inc. has closed the final tranche of its non-brokered private placement for both flow-through (FT) and non-flow-through (NFT) units, raising a total of approximately $4.1 million in aggregate gross proceeds.
• The company appointed Tyler Thorburn to its board of directors following the resignation of James Place, citing Thorburn’s extensive experience in resource exploration and corporate leadership.
• The capital raised ensures full funding for the Murphy Lake spring drill program and supports exploration advancement at the Zoo Bay and Neocore properties.

Key Details

• Total Gross Proceeds:
  • Flow-Through (FT) Units: $2,123,000
  • Non-Flow-Through (NFT) Units: $1,979,999.40
  • Aggregate Total: $4,102,999.40
• Final Tranche Details (FT Units):
  • Quantity Issued: 3.49 million FT units
  • Price: $0.20 per unit
  • Gross Proceeds: $698,000
  • Composition: One flow-through common share and one-half of one common share purchase warrant.
  • Warrant Terms: Each whole warrant allows purchase of one common share at $0.30 exercise price for 24 months.
• Final Tranche Details (NFT Units):
  • Quantity Issued: 3,199,996 NFT units
  • Price: $0.15 per unit
  • Gross Proceeds: $479,999.40
  • Composition: One common share and one-half of one common share purchase warrant.
  • Warrant Terms: Each whole warrant allows purchase of one share at $0.30 exercise price for 24 months.
• Regulatory and Tax Status:
  • FT units qualify as flow-through shares under Subsection 66(15) of the Income Tax Act (Canada).
  • Gross proceeds from the first tranche will be used for qualifying Canadian exploration expenses renounced to FT purchasers.
  • All securities are subject to a statutory hold period of four months and one day.
• Finder’s Fees:
  • Aggregate cash fees paid: $26,880
  • Warrants issued: 134,400 finders' warrants (exercise price $0.30, term 24 months).
• Board Changes:
  • James Place resigned as a director.
  • Tyler Thorburn appointed as director effective immediately.
  • Thorburn’s background includes roles at Enbridge, Williams Energy, Canadian Natural Resources Ltd., and current CEO role at Total Metals Corp.

Notable Quotes

• "With completion of this final tranche, not only are we fully funded for our Murphy Lake spring drill program, but the additional capital supports disciplined advancement of our exploration programs at both Zoo Bay and Neocore in the new year," said Lester Esteban, chief executive officer of Stearman. "We are also pleased to welcome Tyler Thorburn to the board. His experience in resource exploration and corporate leadership will be a valuable addition to our team as we continue to advance on our strategy."