Electric Royalties Ltd. Announces Closing of $1,000,000 Private Placement

Rhea-AI Summary

Electric Royalties (TSXV:ELEC / OTCQB:ELECF) closed a non-brokered private placement on November 6, 2025 selling 7,142,855 common shares at $0.14 per share for gross proceeds of $999,999.70. The company paid $33,457.20 cash and issued 238,980 finder warrants exercisable at $0.16 for 12 months. A related-party subscription included 371,428 shares for $52,000; the issuance is exempt from MI 61-101 formal valuation and minority approval. Proceeds are earmarked for working capital, due diligence and potential strategic transactions. All securities are subject to a four month plus one day hold and were not registered for sale in the United States.

Positive

• Raised $999,999.70 via private placement
• Issued 7,142,855 shares at $0.14 per share
• Insiders and founding partner hold >60% of outstanding shares

Negative

• Paid $33,457.20 cash and issued 238,980 warrants as finder fees
• Included 371,428 related-party shares for $52,000, triggering MI 61-101 disclosure
• Securities not registered in the US and subject to a 4 month + 1 day hold period

VANCOUVER, BC / ACCESS Newswire / November 6, 2025 / Electric Royalties Ltd. (TSXV:ELEC)(OTCQB:ELECF) ("Electric Royalties" or the "Company") is pleased to announce that it has closed a non-brokered private placement financing (the "Private Placement") of common shares of the Company (the "Common Shares"). The Private Placement consisted of 7,142,855 Common Shares at a price of $0.14 per Common Share, for total gross proceeds to the Company of $999,999.70.

Brendan Yurik, CEO of Electric Royalties, commented: "We are pleased to welcome several new investors who share our confidence in the Company's near-term catalysts and long-term growth potential - especially in light of our current market valuation.

"Over the past year, we have made a concerted effort to reduce overhead costs while continuing to build a diverse portfolio of 43 royalties in stable jurisdictions. This includes a copper royalty currently ramping up, three royalties that could return to production, and five royalties advancing through prefeasibility or feasibility studies.

"With more than 60% of Electric Royalties' outstanding shares now held by board members, their families, and our founding partner Globex Mining Enterprises Inc. (TSX: GMX; OTCQX: GLBXF), our share structure remains tight, and insiders are strongly aligned with our shareholders."

In connection with the Private Placement, the Company paid $33,457.20 in cash and issued 238,980 common share purchase warrants (each, a "Finder Warrant") to finders at closing. Each Finder Warrant is non-transferable and exercisable for one common share in the capital of the Company for a period of 12 months following the date hereof, at an exercise price of $0.16.

Electric Royalties expects to use the net proceeds from the Private Placement for working capital and general corporate purposes, including evaluation, legal, and due diligence costs in connection with potential strategic transactions presently under consideration.

The Private Placement involves the issuance of 371,428 Common Shares (for a subscription amount of $52,000.00) to related parties (as such term is defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101")) and therefore constitutes a related party transaction under MI 61-101. This transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(a) of MI 61-101, as the fair market value of the Common Shares distributed and the consideration received from related parties under the Private Placement does not exceed 25% of the Company's market capitalization.

All securities issued under the Private Placement will be subject to a four month and one day hold period in accordance with applicable securities laws. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended, and were not permitted to be offered or sold within the United States absent registration or an applicable exemption from the registration requirements of such Act.

About Electric Royalties Ltd.

Electric Royalties is a royalty company established to take advantage of the demand for a wide range of commodities (lithium, vanadium, manganese, tin, graphite, cobalt, nickel, zinc and copper) that will benefit from the drive toward electrification of a variety of consumer products: artificial intelligence, cars, rechargeable batteries, large scale energy storage, renewable energy generation and other applications.

Artificial intelligence, electric vehicle sales, battery production capacity and renewable energy generation are slated to increase significantly over the next several years and with it, the demand for these targeted commodities. This creates a unique opportunity to invest in and acquire royalties over the mines and projects that will supply the materials needed to fuel the electric revolution.

Electric Royalties has a growing portfolio of 43 royalties in lithium, vanadium, manganese, tin, graphite, cobalt, nickel, zinc and copper across the world. The Company is focused predominantly on acquiring royalties on advanced stage and operating projects to build a diversified portfolio located in jurisdictions with low geopolitical risk, which offers investors exposure to the clean energy transition via the underlying commodities required to rebuild the global infrastructure over the next several decades towards a decarbonized global economy.

Company Contact

Brendan Yurik
CEO, Electric Royalties Ltd.
Phone: (604) 364-3540
Email: Brendan.yurik@electricroyalties.com
https://www.electricroyalties.com/

Unless otherwise specified, all dollar amounts used herein refer to the law currency of Canada.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), nor any other regulatory body or securities exchange platform, accepts responsibility for the adequacy or accuracy of this release.

Cautionary Statements

Forward Looking Information

This news release includes forward-looking information and forward-looking statements (collectively, "forward-looking information") with respect to the Company within the meaning of Canadian securities laws. Regarding Forward-Looking Information and Other Company Information. Forward looking information is typically identified by words such as believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. This information represents predictions and actual events or results may differ materially. Forward-looking information may relate to the Company's future outlook and anticipated events and may include statements regarding the terms of the transactions described herein and whether they are completed, the use of proceeds, the projected future production, financial results, future financial position, expected growth of cash flows, business strategy, budgets, projected costs, projected capital expenditures, taxes, plans, objectives, industry trends, growth opportunities of the Company and the projects in which it holds royalty interests.

While management considers these assumptions to be reasonable, based on information available, they may prove to be incorrect. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or these projects to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors include, but are not limited to risks associated with government regulation and protectionism; general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving the renewable energy industry; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the mining industry generally; recent market volatility; income tax and regulatory matters; the ability of the Company or the owners of facilities to implement their business strategies including expansion plans; competition; currency and interest rate fluctuation;, and the other risks described in the Company's continuous disclosure documents on SEDAR+. The Company undertakes no obligation to update forward-looking information except as required by law.

The reader is referred to the Company's most recent filings on SEDAR+ as well as other information filed with the OTC Markets for a more complete discussion of all applicable risk factors and their potential effects, copies of which may be accessed through the Company's profile page at sedarplus.ca and at otcmarkets.com.

SOURCE: Electric Royalties Ltd.

View the original press release on ACCESS Newswire

FAQ

How much did Electric Royalties (ELECF) raise in the November 6, 2025 private placement?

Electric Royalties raised $999,999.70 by issuing 7,142,855 common shares at $0.14 each.

What were the finder fees and warrants in Electric Royalties' private placement?

The company paid $33,457.20 cash and issued 238,980 finder warrants exercisable at $0.16 for 12 months.

Did the Electric Royalties (ELECF) placement involve related parties on November 6, 2025?

Yes, 371,428 common shares were issued to related parties for $52,000, disclosed under MI 61-101 exemptions.

What will Electric Royalties (ELECF) use the private placement proceeds for?

Net proceeds are expected to be used for working capital, evaluation, legal, due diligence and potential strategic transactions.

Are the new Electric Royalties (ELECF) securities restricted for US investors?

Yes, the securities were not registered under the US Securities Act and were not offered for sale in the United States.

When do the newly issued Electric Royalties (ELECF) shares become tradable?

All securities issued are subject to a four month and one day hold period under applicable securities laws.