Perseverance Metals Closes $3,500,000 First Tranche of Private Placement and Announces Upsize of Second Tranche to over $4,700,000

Executive Summary

• Perseverance Metals closed the first tranche of a non‑brokered private placement, raising $3,499,987 in gross proceeds.
• The company upsized the second tranche to an expected $4,715,503, bringing total anticipated gross proceeds to $8,215,490.
• Proceeds are earmarked for diamond drilling on the Voyageur project (Michigan), continued exploration at Lac Gayot (Québec), and Canadian exploration expenses on the Armit Lake Project (Ontario).

Key Details

• First Tranche composition – 4,615,385 hard‑dollar (HD) Units @ $0.65 each ($3,000,000) and 641,008 Ontario flow‑through (FT) Units @ $0.78 each ($499,987).
• Unit structure – Each Unit = one common share + half of a common‑share purchase warrant; each warrant allows purchase of one additional share at $0.95 for 36 months.
• Acceleration clause – If TSX‑V price ≥ $1.30 for ten consecutive trading days, the company may accelerate warrant expiry to 30 days after notice.
• Use of proceeds (HD Units) – Fund inaugural diamond drill campaign on Voyageur project, continued exploration at Lac Gayot, and general corporate purposes.
• Use of proceeds (Ontario FT Units) – Finance “Canadian exploration expenses” for the Armit Lake Project that qualify as flow‑through critical mineral mining expenditures; all qualifying expenditures to be incurred by 31 Dec 2027 and renounced by 31 Dec 2026.
• Finder compensation – Paid $148,430 in cash commissions and issued 212,969 finder’s warrants (exercise price $0.95, 36‑month term, subject to acceleration clause).
• Second Tranche upsized – Québec FT Units increased from 3,921,569 to 4,623,042 units @ $1.02 each, for up to $4,715,503 gross proceeds; expected closing ~23 Mar 2026.
• Statutory hold period – All securities from the first tranche subject to a four‑month‑plus‑one‑day hold period under applicable securities laws.
• Regulatory notes – Closing of tranches pending final TSX‑V approval; securities not registered in the U.S. and may not be offered there.
• Related‑party transaction – Related parties purchased 180,202 HD Units (180,202 shares + 90,101 warrants); exemption relied upon under MI 61‑101 as fair market value ≤ 25 % of market cap.

Notable Quotes

(No direct quotes were provided in the release.)