Metals Creek Closes Second Tranche Of Private Placement Financing

Rhea-AI Summary

Metals Creek Resources (TSXV: MEK) has closed the second tranche of its private placement financing, issuing 500,000 flow-through units. Upon final approval, the company will have issued a total of 6,000,000 flow-through units at $0.02 and 500,000 non-flow-through units, raising aggregate gross proceeds of $130,000.

Each flow-through unit includes one flow-through common share and half a warrant, while non-flow-through units consist of one common share and one warrant. All warrants are exercisable at $0.05 for 3 years. The company paid $4,200 in finder's fees and issued 210,000 broker warrants. Proceeds will fund exploration activities in Newfoundland and Ontario, including the Ogden project.

Positive

• Raised $130,000 in gross proceeds for exploration activities
• Strategic focus on exploration in Newfoundland and Ontario properties
• Flow-through structure provides tax benefits for investors

Negative

• Significant dilution with issuance of 6.5 million new units
• Low unit price of $0.02 indicates potential financial pressure
• Additional dilution possible through 3-year warrants at $0.05

Thunder Bay, Ontario--(Newsfile Corp. - August 11, 2025) - Metals Creek Resources Corp. (TSXV: MEK) (FSE: M1C1) (the "Company" or Metals Creek) is pleased to announce that, further to its May 27, 2025, June 24, 2025, and July 14, 2025 news releases, it has filed documents seeking final approval to close its private placement financing (the "Financing"), including closing a third (3^rd) tranche consisting of 500,000 flow-through units ("FT Units").

On receipt of final approval, the Company will have issued a total 6,000,000 $0.02 FT Units, each FT Unit consisting of 1 flow-through common share and one half (1/2) of a common share purchase warrants, each full warrant being exercisable at $0.05 for 3 years from the date of issue, and 500,000 non-flow-through units ("NFT Units"), each NFT Unit consisting of one common share and one common share purchase warrant, each warrant being exercisable at $0.05 for 3 years from the date of issue, for aggregate gross proceeds of $130,000.

In connection with the private placement, the company has paid cash finders' fees totaling $4,200 and issued 210,000 non-transferable broker warrants, exercisable at $0.05 for 3 years. All securities issued pursuant to the private placement will be subject to a four-month hold period. Closing of the private placement is subject to final approval by the TSX Venture Exchange.

The proceeds raised from the FT units will be used for exploration on the company's Newfoundland and Ontario properties, including target generation through prospecting on the company's Ogden project, and the company will ensure that such Canadian exploration expenses qualify as a flow-through mining expenditure for purposes of the Income Tax Act (Canada).

About Metals Creek Resources Corp.

Metals Creek Resources Corp. is a junior exploration company incorporated under the laws of the Province of Ontario, is a reporting issuer in Alberta, British Columbia and Ontario, and has its common shares listed for trading on the Exchange under the symbol "MEK". Metals Creek has earned a 50% interest in the Ogden Gold Property from Newmont Corporation, including the former Naybob Gold mine, located 6 km south of Timmins, Ontario and has an 8 km strike length of the prolific Porcupine-Destor Fault (P-DF).

Metals Creek also has multiple quality projects available for option which can be viewed on the Company's website. Parties interested in seeking more information about properties available for option can contact the Company at the number below.

Additional information concerning the Company is contained in documents filed by the Company with securities regulators, available under its profile at www.sedarplus.ca.

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.

Alexander (Sandy) Stares, President and CEO
Metals Creek Resources Corp.
709-424-1141
MetalsCreek.com
Twitter.com/MetalsCreekRes
Facebook.com/MetalsCreek

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/262135

FAQ

How much did Metals Creek Resources (TSXV: MEK) raise in their latest private placement?

Metals Creek raised $130,000 in gross proceeds through the issuance of 6,000,000 flow-through units at $0.02 and 500,000 non-flow-through units.

What are the terms of the warrants in Metals Creek's private placement?

The warrants are exercisable at $0.05 per share for a period of 3 years from the date of issue.

How will Metals Creek (TSXV: MEK) use the proceeds from the financing?

The proceeds will be used for exploration activities on the company's Newfoundland and Ontario properties, including target generation through prospecting on the Ogden project.

What finder's fees did Metals Creek pay for the private placement?

The company paid $4,200 in cash finder's fees and issued 210,000 non-transferable broker warrants, exercisable at $0.05 for 3 years.

When do the securities from Metals Creek's private placement become freely tradeable?

All securities issued in the private placement are subject to a four-month hold period from the date of issuance.