Surge Battery Metals Closes Fully-Subscribed Non-Brokered Private Placement for Gross Proceeds of $25M

Surge Battery Metals (NILI) has closed a fully-subscribed non-brokered private placement for gross proceeds of $25,000,002. The financing was split into two tranches: a "LIFE" offering of $19,999,800 (free-trading) and a concurrent private placement of $5,000,202 (subject to a four-month hold). Both tranches were priced at $0.90 per unit, consisting of one common share and one-half of a warrant exercisable at $1.35 for 36 months. The funds are earmarked for additional costs related to the Preliminary Feasibility Study (PFS), initiating a Definitive Feasibility Study (DFS), and general working capital for the Nevada North Lithium Project (NNLP).

This financing is Material - Positive for three primary reasons: - Capital Runway: The company’s cash position as of Sept 30, 2025, was only $1.2M. This $25M injection provides a massive buffer, removing the immediate "going concern" risk and allowing management to move beyond the PFS toward a DFS without needing to return to the market in the short term. - Valuation Step-up: The $0.90 price point is a 260% increase over the $0.25 financing closed in October 2025. This indicates a significant shift in market sentiment and successful derisking through the Evolution Mining JV. - Institutional Validation: Participation from 3L Capital and the Quaternary Group (which has been consistently buying in the open market) suggests strong institutional support for the NNLP's scale, despite the high development costs.

Surge Battery Metals is developing the Nevada North Lithium Project (NNLP) in Elko County, Nevada. - The Asset: A high-grade lithium clay deposit with an Inferred Resource of 8.65 Mt LCE at 2,955 ppm Li. - Economics: The June 2025 PEA outlined an after-tax NPV8% of $9.21 Billion and an IRR of 22.8%, based on a $24,000/t LCE price. - Scale: Average annual production of 86,300 tonnes LCE over a 42-year mine life.