Gamma Resources Announces $880,000 Private Placement with Full Warrant Coverage

Gamma Resources Ltd. (GAMA) announced an $880,000 non-brokered private placement priced at $0.08 per unit, raising up to $880,000 in gross proceeds. The company cancelled its previously announced $2.85 million LIFE financing and concurrent offering due to prevailing market conditions.

The new structure issues 11,000,000 units with full warrant coverage on a 1:1 ratio, exercisable at $0.12 per share for 36 months. All securities carry a four-month-and-one-day hold period, eliminating immediate free-trading overhang upon closing. Insiders are expected to participate on identical terms, aligning management with new investors.

Proceeds will fund exploration activities at the Mesa Arc project in New Mexico and the Green River project in Utah, including claim expansion, radon flux surveys, and historic drill hole surveys. Expected closing is on or about August 27, 2026, subject to TSX Venture Exchange approval.

Gamma Resources Ltd. (GAMA) cancelled its $2.85 million LIFE financing and replaced it with a smaller $880,000 raise, a move designed to reduce maximum dilution by over 60% in response to current market conditions. The new terms are structurally superior to the cancelled offering, granting investors full warrants at a lower exercise price of $0.12 compared to the previous $0.15, while also eliminating immediate sell pressure through a hold period.

This adjustment serves as a routine follow-up to the July 20 announcement regarding the capital raise. While the reduction in size may slow exploration momentum, the improved terms and insider participation signal confidence and protect existing shareholders from immediate dilution. The market was already aware of the capital raise, and the adjustment reflects prudent capital management rather than a fundamental shift in strategy.

Gamma Resources Ltd. (GAMA) is a pre-revenue uranium exploration company shifting its focus to two historic U.S. projects: the Mesa Arc Project in New Mexico and the Green River Project in Utah. The Mesa Arc Project spans approximately 4,520 acres in northern New Mexico and hosts documented uranium mineralization in the Jackpile member of the Morrison Formation. Historical drilling by Magnum Uranium Corp. outlined a non-NI 43-101 estimate of 2.5–3.0 million lbs U3O8.

The Green River Project covers 1,100 acres in Utah's San Rafael Mining District, adjacent to Western Uranium & Vanadium's operations. The district has a demonstrated endowment of over 9 million lbs U3O8.

The company has filed an NI 43-101 technical report validating the geological model and outlined a two-phase exploration program totaling $1.5 million USD, starting with validation drilling at Mesa Arc. Management is actively advancing permitting with the U.S. Forest Service and conducting baseline surveys to prepare for drill programs in 2026.