Origen Closes First Tranche of Financing

Rhea-AI Summary

Origen Resources (CSE: ORGN) has completed the first tranche of its non-brokered private placement, raising $478,875 through the issuance of 9,577,500 units at $0.05 per unit. Each unit consists of one share and a half-warrant, with each whole warrant exercisable at $0.075 per share for 18 months.

The company paid $4,550 in finder's fees and expects to close the second tranche shortly. The proceeds will fund working capital needs, including management fee payments and exploration activities. The securities are subject to a four-month hold period, and certain company insiders participated in the financing.

Positive

• Successfully raised $478,875 in first tranche financing
• Insider participation demonstrates management confidence
• Additional funding expected from second tranche closing

Negative

• Significant dilution with 9,577,500 new units issued
• Low unit price of $0.05 indicates potential financial pressure
• Funds partially used for outstanding management fees rather than pure growth initiatives

Vancouver, British Columbia--(Newsfile Corp. - August 29, 2025) - Origen Resources Inc. (CSE: ORGN) (FSE: 4VXA) (the "Company") is pleased to announce that it has closed the first tranche of its non-brokered private placement ("Financing") raising a total of $478,875.

The Company issued 9,577,500 units ("Units") at a price of $0.05 per Unit for gross proceeds of $478,875. Each Unit is comprised of one Share and one-half share purchase warrant (each whole, a "Warrant"). Each Warrant entitles the holder to acquire one additional Share in the capital of the Company at a price of $0.075 per Share for a period of 18 months from the date of issuance. The Company's July 23, 2025 news release inadvertently referred to the Unit financing with a full Warrant; however, the Financing includes only a half-Warrant. Origen expects to close the second and final tranche of the Financing shortly.

The Company paid finder's fees totalling $4,550 in connection with this portion of the Financing to eligible arm's length finders in accordance with CSE policies and applicable securities laws.

All securities issued in connection with the Financing were issued pursuant to one or more prospectus exemptions available to the Company and are subject to a statutory hold period of four months and one day from the date of issuance as required under applicable securities laws. Closing of the first tranche of the Financing was subject to customary closing conditions that include applicable CSE filings and approvals. The net proceeds of the Offering will be used for general working capital, including certain payments of outstanding management fees, and exploration expenditures.

Certain insiders of the Company purchased Units under the Financing, which participation constituted a related-party transaction, as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions. The issuance of Units to insiders is exempt from the formal valuation requirements of Section 5.4 of MI 61-101, pursuant to Subsection 5.5(a) of MI 61-101, and exempt from the minority shareholder approval requirements of Section 5.6 of MI 61-101, pursuant to Subsection 5.7(1)(a) of MI 61-101.

None of the securities sold in connection with the Financing 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 States 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.

About Origen

Origen is fully focused on its 100% interest in the Los Sapitos Lithium project in Argentina and its 100% owned gold-silver Wishbone project in the Golden Triangle of British Columbia, along with a property portfolio of three 100% owned precious and base metal projects in southern British Columbia.

Thomas Hawkins, P.Geo., a director of the Company and a Qualified Person as that term is defined in NI 43-101 has prepared, supervised the preparation or approved the scientific and technical disclosure in the news release.

On behalf of Origen,

Gary Schellenberg
CEO and Director

For further information please contact ir@origenresources.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 press release.

Certain of the statements made and information contained herein may constitute "forward-looking information." In particular, references to timing for closing of the second tranche of the Financing, project generation and possible results thereof, and future work programs or expectations on the quality or results of such work programs are subject to risks associated with obtaining financing, operations on the property, exploration activity generally, equipment limitations and availability, as well as other risks that we may not be currently aware of. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/264427

FAQ

How much did Origen Resources (OGGNF) raise in its first tranche financing?

Origen Resources raised $478,875 by issuing 9,577,500 units at $0.05 per unit in the first tranche of its non-brokered private placement.

What are the terms of Origen Resources' warrant offering in August 2025?

Each unit includes a half-warrant, with each whole warrant allowing the purchase of one additional share at $0.075 per share for an 18-month period.

How will Origen Resources use the proceeds from the August 2025 financing?

The proceeds will be used for general working capital, including payments of outstanding management fees and exploration expenditures.

What is the hold period for securities issued in Origen's August 2025 financing?

The securities are subject to a statutory hold period of four months and one day from the date of issuance.

Did insiders participate in Origen Resources' August 2025 private placement?

Yes, certain insiders purchased units in the financing, which was conducted in compliance with MI 61-101 regulations for related-party transactions.