EnviroGold Closes Oversubscribed $7.5 Million Placement on Strong Investor Demand

Rhea-AI Summary

EnviroGold (OTCQB: ESGLF) closed an upsized non-brokered private placement for $7,519,237 by issuing 83,547,080 Units at $0.09 per Unit on October 15, 2025.

Each Unit includes one common share and one warrant exercisable at $0.13 for 36 months. The offering was increased from an initial $5M target and completed in two tranches on October 1 and October 15, 2025. Strategic investor Pala Investments participated. Proceeds will fund technology and engineering, demonstration plant campaigns (TRL 8 objectives), selective debt reduction, and working capital. Second-tranche securities are subject to a four-month-and-one-day hold expiring February 17, 2026.

Positive

• $7.52M raised via private placement
• 83,547,080 Units issued at $0.09 per Unit
• Pala Investments participation adds institutional depth
• Warrants exercisable at $0.13 for 36 months

Negative

• Issuance of 83,547,080 Units increases outstanding share count
• Warrants could dilute up to 83,547,080 additional shares if fully exercised
• Finder fees of $121,517.40 plus 1,281,860 warrants paid
• Related-party subscriptions by directors (848,253 Units) relied on MI 61-101 exemptions

VANCOUVER, British Columbia, Oct. 20, 2025 (GLOBE NEWSWIRE) -- EnviroGold Global Limited (CSE: NVRO | OTCQB: ESGLF | FSE: YGK), (“EnviroGold,” or the “Company”) is pleased to announce that it has successfully closed its upsized $7.5 million non-brokered private placement, increased from the original $5 million target following significant strategic and institutional investor demand.

“We’re delighted to close this significantly oversubscribed financing, which underscores the growing institutional and shareholder confidence in our technology, our commercialisation roadmap, and our long-term growth strategy,” said David Cam, Chief Executive Officer of the Company.

“The inclusion of Pala Investments, a respected global investment firm focused on the resource and clean-technology sectors, marks an important milestone for EnviroGold. Pala’s participation validates our vision, adds institutional depth to our shareholder base, and aligns us with one of the world’s foremost investors in sustainable resource innovation.

This raise strengthens our balance sheet and accelerates our commercialisation efforts. Our focus remains clear: closing the valuation gap between EnviroGold and its global peer group through disciplined growth, strong partnerships, and near-term revenue delivery.”

The Company has raised aggregate gross proceeds of $7,519,237 through the issuance of 83,547,080 units (each, a “Unit”) at a price of $0.09 per Unit. Each Unit consists of one common share of the Company (a “Common Share”) and one common share purchase warrant (each, a “Warrant”). Each Warrant entitles the holder to purchase one additional Common Share at a price of $0.13 for a period of 36 months from the date of issuance.

The Offering was increased from the original $5 million target announced on September 15, 2025, and subsequently upsized to $7 million following exceptional investor interest. The Company closed the first tranche of the Offering on October 1, 2025, for gross proceeds of $2,201,276, and the second and final tranche on October 15, 2025, for gross proceeds of $5,317,960.

Use of Proceeds – Accelerating Commercial Execution and Growth

Proceeds from this financing will be deployed strategically to advance EnviroGold’s technology development, engineering programs, and commercial roadmap. Key priorities include:

Technology & Engineering: advancing detailed modelling, technical studies, and engineering deliverables to support near-term client deployments and long-term technology license agreements.

Demonstration Plant Campaigns: executing optimisation runs and operational programs designed to validate and scale the NVRO Process™ to TRL 8 full commercial readiness.

Debt Reduction & Balance Sheet Strengthening: selectively retiring short-term obligations to enhance financial flexibility and maintain a strong capital position.

Working Capital & Growth Enablement: supporting operational resilience, global partnership development, and sustained execution capacity as the Company scales its commercial operations.

All securities issued under the second tranche of the Offering are subject to a statutory hold period of four months and one day, expiring on February 17, 2026, in accordance with applicable Canadian securities laws. Finder’s fees of $121,517.40 in cash and 1,281,860 non-transferable Warrants were paid to qualified parties in connection with the closing of the second tranche. The Warrants were issued on the same terms as those issued under the Offering.

In connection with the first tranche, the Company paid total finder’s fees of $103,123 and issued 1,038,167 non-transferable Warrants to qualified parties, and not $64,164 and 607,933 Warrants as previously disclosed.

Certain directors of the Company subscribed for an aggregate of 848,253 Units and gross proceeds of $76,342.77 under the second tranche of the Offering. Such participation is considered to be a "related party transaction" as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions ("MI 61- 101"). The Company is relying on exemptions from the minority shareholder approval and formal valuation requirements applicable to the related-party transactions under sections 5.5(b) and 5.7(1)(b), respectively, of MI 61-101, as neither the fair market value of the Units to be acquired by the participating directors and officers nor the consideration to be paid by such directors and officers is anticipated to exceed $2,500,000.

About EnviroGold Global

EnviroGold Global is a clean-technology company transforming the mining industry by recovering high-value metals from mine waste and tailings while reducing environmental liabilities.

The Company’s proprietary NVRO Process™ enables efficient, low-carbon extraction of precious, base, and critical metals, meeting the growing global demand for sustainable metal supply and responsible resource management.

Operating under a capital-light technology licensing model, EnviroGold combines innovation, scalability, and environmental stewardship to deliver recurring revenue and long-term shareholder value. With its proven technology and clear commercialisation pathway, EnviroGold is positioning itself as a global leader in circular-economy mining and sustainable metal recovery. www.envirogoldglobal.com

About Pala Investments

Pala Investments is a Switzerland-based multi-strategy investment firm focused on the raw materials and clean-technology sectors. Pala actively invests in companies that advance responsible resource production, sustainable supply chains, and environmental innovation across the mining and metals industries. With a global track record of long-term, value-driven investments, Pala brings deep industry expertise, strategic insight, and institutional credibility to EnviroGold’s shareholder base. www.pala.com

CONTACTS:

Investor Cubed
Neil Simon, CEO
+1 647 258 3310
nsimon@investor3.ca
ir@envirogoldglobal.com

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

The securities issued under the Offering have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. 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.

Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements may include, but are not limited to, statements regarding: the completion, size, and timing of subsequent tranches of the Offering; the use of proceeds; the payment of finder’s fees; anticipated regulatory approvals; and the Company’s business plans, strategies, technology development, commercialization plans, and future economic performance.

Forward-looking statements often (but not always) use words such as “plans,” “expects,” “intends,” “anticipates,” “believes,” “targets,” “forecasts,” “may,” “will,” or similar terminology. Such statements reflect management’s current assumptions and expectations as of the date hereof, including but not limited to: the Company’s ability to successfully execute its commercialization and growth strategy; the continued development and scale-up of the NVRO Process™; the availability of financing and regulatory approvals; and favourable market and commodity price conditions.

Actual results may differ materially from those expressed or implied in forward-looking statements due to various risks and uncertainties, including, but not limited to: the inability to complete the Offering on the anticipated terms or at all; the failure to obtain required regulatory approvals; changes in the use of proceeds; technical or operational challenges; delays in technology validation, permitting, or project execution; inability to secure customer contracts on expected terms or timelines; changes in market or commodity price conditions; adverse economic, geopolitical, or market disruptions; and other factors beyond the Company’s control. This list is not exhaustive.

Forward-looking statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict. Readers should not place undue reliance on such statements. Except as required by applicable securities laws, EnviroGold disclaims any obligation to update or revise forward-looking statements to reflect new information, future events, or otherwise.

FAQ

How much did EnviroGold (ESGLF) raise in the October 2025 private placement?

EnviroGold raised $7,519,237 through the issuance of 83,547,080 Units at $0.09 per Unit.

What are the warrant terms in EnviroGold's (ESGLF) October 2025 financing?

Each Unit includes one warrant exercisable at $0.13 per share for 36 months from issuance.

When do the second-tranche securities from EnviroGold's (ESGLF) offering become tradable?

Second-tranche securities are subject to a statutory hold expiring on February 17, 2026.

How will EnviroGold (ESGLF) use proceeds from the $7.52M placement?

Proceeds will fund technology and engineering, demonstration plant campaigns toward TRL 8, selective debt reduction, and working capital.

Did institutional investors participate in EnviroGold's (ESGLF) October 2025 raise?

Yes; Pala Investments participated, which the company highlighted as adding institutional depth.

Were any related parties involved in EnviroGold's (ESGLF) private placement?

Certain directors subscribed for 848,253 Units; the company relied on MI 61-101 exemptions for those subscriptions.