Origen Announces Closing of Financing

Executive Summary of Recent Activity

• Financing Closing: On April 17, 2026, Origen Resources closed a non-brokered private placement raising $500,000.
• Terms: Issued 10,000,000 units at $0.05 per unit; each unit includes one common share and one-half warrant exercisable at $0.075 for 18 months.
• Investor Profile: A single placee acquired >10% ownership in the company, becoming an insider.
• Use of Proceeds: Earmarked for development of REE Project areas in Piaui State, Brazil, general working capital, and exploration expenditures.
• Context: This closing follows the April 2 announcement of a definitive agreement to acquire Brazilian REE projects and a concurrent financing arrangement. It also immediately precedes an April 16 LOI for an additional 33,000-hectare REE project in Brazil.

Historical Progression

• October 2025: Entered LOI to acquire initial Brazilian REE concession (3,978 ha).
• December 2025: Completed due diligence and announced acquisition of two licenses; reported exploration results from British Columbia projects (Broken Handle, Bonanza).
• April 2, 2026: Signed definitive agreement for additional Brazil land (bringing total to ~35,000 ha) and announced the $500,000 financing plan.
• April 16, 2026: Announced LOI for additional REE project in Brazil (33,000 ha), expanding land position to over 68,000 hectares total.
• April 17, 2026: Closed the previously announced financing tranche.

Execution of Known Strategy

• The April 17 closing is an execution of the terms announced on April 2 ("Concurrently, Origen arranged a private-placement financing"). As such, it is largely priced into the market and does not constitute new information regarding capital availability.
• Positive: Secures necessary liquidity to fund the aggressive land acquisition strategy in Brazil (April 16 LOI) without immediate debt burden.
• Negative: The financing price ($0.05) represents a significant discount (~37%) to the recent trading range ($0.08 on April 16 close), indicating potential shareholder dilution and signaling management's need for capital at current valuations.

Dilution and Concentration Risks

• Share Count: Issuance of 10,000,000 units significantly increases the share count. With a single investor holding >10%, there is high concentration risk; if this investor exits or changes strategy, it could destabilize the cap table.
• Warrants: Warrants exercisable at $0.075 (above current financing price but near recent market highs) add potential future dilution pressure if exercised during a rally.

Corporate Profile

• Name: Origen Resources Inc.
• Focus: Exploration of critical metals (REE, Lithium) and precious metals (Gold-Silver).
• Flagship Projects:
  1. Brazil REE Districts: Multiple concessions in Piaui/Bahia States targeting Ion Absorption Clay-hosted REE deposits. Total land position expanding to >68,000 hectares.
  2. British Columbia (Golden Triangle): Wishbone Gold-Silver Project and Broken Handle High-Grade Gold-Silver Project.
  3. Argentina: Los Sapitos Lithium project (mentioned in financing use of proceeds).

Development Status

• Brazil: Early-stage reconnaissance. Soil sampling has identified anomalies (e.g., 282 ppm TREO+Y, 1.61% TREO). No drill results or resource estimates yet.
• BC Projects: Advanced exploration stage. LiDAR surveys have identified historic workings; IP geophysics supports drilling targets for summer 2026. Drill intersections reported (e.g., 0.52% Cu, 2.81% Zn at Bonanza).