Spark Energy Minerals Announces Receipt of $1.7 Million from Warrant Exercises

Executive Summary

• Spark Energy Minerals received $1,734,965 from the exercise of 34,699,307 common share purchase warrants at $0.05 each.
• The company issued an equal number of common shares and new “Incentive Warrants” (exercise price $0.06, one‑year term).
• Proceeds will be used to fund ongoing exploration in Brazil’s Lithium Valley and general working capital.

Key Details

• Warrant Exercise: 34,699,307 warrants exercised at $0.05 per warrant → aggregate proceeds of $1,734,965.
• Share Issuance: 34,699,307 common shares issued to warrant holders.
• Incentive Warrants Issued: 34,699,307 new warrants, each granting the holder the right to purchase one common share at $0.06 per share for 12 months from issuance.
• Statutory Hold Period: Shares issuable upon exercise of Incentive Warrants subject to a hold period of four months and one day.
• Use of Proceeds: Funds earmarked for advancing exploration activities in the Lithium Valley (Brazil) and for general working capital.
• Related Party Transaction: Participation by an officer (“Related Party”) deemed exempt from MI 61‑101 valuation and minority‑shareholder approval requirements; no material change report filed because participation was unknown at the time of filing.
• Expired Warrants: Warrants originally issued on January 31, 2024 have now expired; all other unexercised warrants remain outstanding under original terms.

Notable Quotes

“I wish to thank all the shareholders that participated in the Warrant Incentive program. The proceeds will subsidize the continuity of our successful exploration efforts in the Lithium Valley.” – Dr. Fernando Tallarico, CEO