Central Iron Ore's Rights Offering Successfully Closed Raising $1.83M

On January 28, 2026, Central Iron Ore (CIO) announced the successful closing of its rights offering. The company raised $1,834,306.84 CAD by issuing 25,476,484 units at a price of $0.072 per unit. Each unit consists of one common share and one-half of one common share purchase warrant (exercise price $0.12, expiring in 57 months). Crucially, the major participants were Brooklyn Bay Pty Ltd and Gullewa Limited, both related parties. This follows a December 2025 announcement where the company originally targeted gross proceeds of up to $2.89M.

• Financial Solvency: The impact is neutral to mildly positive. While $1.83M provides a temporary lifeline, the offering was significantly under-subscribed (raising only ~63% of the $2.89M target). This suggests a lack of interest from the broader market, forcing the majority shareholder (Gullewa) to carry the burden.
• Capital Structure: The share count increased by ~75% (from 37.3M to 65.6M shares), causing massive dilution to any minority shareholders who did not participate.
• Debt Management: A stated use of proceeds is the partial repayment of loans to Gullewa Limited. This circular movement of capital (Gullewa invests in rights -> CIO pays Gullewa back debt) does not materially improve the company's enterprise value but cleans up the balance sheet for the lender.
• Operational Continuity: It provides the necessary funds for the South Darlot JV and further drilling at British King, but the "game-changing" exploration potential is overshadowed by the fiscal dependency on its parent company.

• Company: Central Iron Ore Ltd. is an exploration and development company focused on gold assets in Western Australia.
• Flagship Project: British King Gold Project.
• Details: It is a high-grade gold project (6.2 g/t Au) with a current National Instrument 43-101 resource of 62,200 ounces. The project is being moved toward a "mine-ready" status.
• Other Assets: South Darlot Gold Project (70% interest), which is contiguous with Red 5’s Darlot gold mine.