CanCambria Energy Corp Announces Closing of First Tranche and Upsizes Private Placement

Rhea-AI Summary

CanCambria Energy (OTCQB:CCEYF) has successfully closed the first tranche of its non-brokered private placement, raising CAD$3.02 million through the issuance of 5,803,800 units at $0.52 per unit. Due to strong investor interest, the company has increased the total offering size from CAD$2.5 million to CAD$3.2 million.

Each unit comprises one common share and one warrant exercisable at $0.75 per share for three years. The company paid $152,998 in finder's fees and issued 294,228 non-transferable finder's warrants. Proceeds will fund the Kiskunhalas Hydrocarbon Concession Area contract in Hungary and general working capital.

Positive

• Successfully raised CAD$3.02 million in first tranche financing
• Strong investor interest led to 28% increase in total offering size to CAD$3.2 million
• Strategic funding secured for Hungarian Kiskunhalas Hydrocarbon Concession

Negative

• Significant dilution through issuance of 5.8 million new units
• Additional cash expenses of $152,998 in finder's fees
• Securities subject to four-month hold period restricting immediate trading

Vancouver, British Columbia--(Newsfile Corp. - July 15, 2025) - CanCambria Energy Corp. (TSXV: CCEC) (FSE: 4JH) (OTCQB: CCEYF) ("CanCambria" or the "Company") is pleased to announce that it has closed the first tranche ("First Tranche") of its previously announced non-brokered private placement (the "Offering") of units (each, a "Unit") at a price of $0.52 per Unit. Pursuant to the Offering, which was announced on July 8, 2025, the Company has issued 5,803,800 Units for aggregate gross proceeds of CAD$3,017,976. The Company also wishes to announce that, due to investor interest, the Offering was increased from CAD$2,500,000 to up to CAD$3,200,000, subject to Exchange approval.

Each Unit consists of one common share (each, a "Share") and one share purchase warrant (each, a "Warrant"). Each Warrant entitles the holder to acquire one additional common share (each, a "Warrant Share") of the Company at an exercise price of $0.75 per Warrant Share for a period of three (3) years after the closing of the Offering. The Units, Shares, Warrants, and any Shares issued upon the exercise of the Warrants are subject to a hold period of four months and one day, expiring November 15, 2025.

The Company paid a cash finder's fee of $152,998 and issued 294,228 non-transferable finder's warrants (the "Finder's Warrants"). Each Finder's Warrant entitles the holder to acquire one common share (the "Finder's Warrant Shares") at a price of $0.75 per Finder's Warrant Share expiring July 14, 2028. Other than being non-transferable, each Finder's Warrant is otherwise be on the same terms as the Warrants. The Units, Shares, Warrants, Warrant Shares, Finder's Warrants, and Finder's Warrant Shares are collectively referred to herein as the "Securities".

The Units were offered pursuant to available prospectus exemptions set out under applicable securities laws and instruments, including National Instrument 45-106 - Prospectus Exemptions.

With respect to the Increase, all other terms remain unchanged from the previous announcement. The closing of the Initial Tranche and any subsequent tranches of the Offering remain subject to receipt of all necessary regulatory approvals, including final approval by the TSX Venture Exchange.

None of the Securities sold in connection with the Offering have been or will be registered under the United States Securities Act of 1933, as amended, and no such securities may be offered or sold in the United Shares absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful.

The Company will use the net proceeds from the Offering to pay the concession fee under the contract agreement for the Kiskunhalas Hydrocarbon Concession Area with the Hungarian Ministry of Energy and for general working capital and administration purposes.

About CanCambria Energy Corp.

CanCambria Energy Corp. is a Canadian-based exploration and production company specializing in tight gas development. With a globally experienced leadership team, CanCambria focuses on high-quality, de-risked projects with direct access to profitable markets. Leveraging industries' most advanced technologies they aim to commercialize their flagship asset, the 100% owned Kiskunhalas Project in southern Hungary, a significant gas-condensate resource in the heart of Europe.

For additional inquiries, please reach out to:

Paul Clarke PhD CEO & President paul.clarke@cancambria.com Chris Beltgens VP, Corporate Development chris.beltgens@cancambria.com

Investor Relations - North America KIN Communications Inc. 604-684-6730 ccec@kincommunications.com Email: info@CanCambria.com Website: www.CanCambria.com

CAUTIONARY NOTE ON FORWARD-LOOKING STATEMENTS

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Certain information other than statements of historical facts contained in this news release constitutes "forward-looking information" or "forward-looking statements" (collectively, "forward-looking information"). Without limiting the foregoing, such forward-looking information includes statements regarding the Offering, Company's business plans, expectations, capital costs and objectives. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" and similar words and the negative form thereof are used to identify forward-looking information. Forward-looking information should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. Forward-looking information is based on information available at the time and/or the Company management's good faith belief with respect to future events and is subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Company's control. The forward-looking information set forth herein reflects the Company's expectations as at the date of this news release and is subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/258863

FAQ

How much did CanCambria Energy (CCEYF) raise in its first tranche private placement?

CanCambria raised CAD$3,017,976 through the issuance of 5,803,800 units priced at $0.52 per unit.

What are the terms of CCEYF's private placement warrants?

Each warrant allows holders to purchase one additional common share at $0.75 per share for a period of three years after the offering closes.

When does the hold period expire for CanCambria's private placement securities?

The securities are subject to a hold period expiring on November 15, 2025, four months and one day after issuance.

How will CanCambria Energy use the proceeds from the private placement?

The proceeds will be used to pay the concession fee for the Kiskunhalas Hydrocarbon Concession Area in Hungary and for general working capital and administration purposes.

What is the new total size of CanCambria's private placement offering?

Due to strong investor interest, the offering was increased from CAD$2.5 million to CAD$3.2 million, subject to Exchange approval.