Pegasus Announces Shares for Debt Settlement

Rhea-AI Summary

Pegasus Resources (SLTFF) has announced a shares for debt settlement agreement to resolve $140,232.29 in outstanding debt through the issuance of 1,598,682 common shares at $0.087717 per share. The strategic move aims to preserve cash resources as the company advances its uranium exploration initiatives and improves its balance sheet. The transaction requires TSX Venture Exchange approval, and the issued shares will be subject to a four-month and one-day statutory hold period in accordance with securities laws and TSXV policies.

Positive

• Debt reduction of $140,232.29 through equity issuance preserves cash resources
• Strategic move to improve balance sheet structure
• Allows company to focus resources on uranium exploration strategy

Negative

• Dilution of existing shareholders through issuance of 1,598,682 new shares
• Shares issued at a relatively low price of $0.087717

VANCOUVER, BC / ACCESS Newswire / June 11, 2025 / Pegasus Resources Inc. (TSXV:PEGA)(Frankfurt:0QS0)(OTC PINK:SLTFF) (the "Company" or "Pegasus") announces today that it has entered into debt settlement agreements with various creditors to settle an aggregate amount of $140,232.29 in outstanding debt obligations through the issuance of an aggregate of 1,598,682 common shares of Pegasus (the "Common Shares") at a deemed price of $0.087717 per Common Share (the "Shares for Debt Transaction").

The Shares for Debt Transaction is intended to preserve the Company's cash resources as it advances its uranium exploration strategy and continues to streamline its balance sheet.

Closing of the Shares for Debt Transaction is subject to customary closing conditions, including the approval of the TSX Venture Exchange ("TSXV"). The Common Shares to be issued pursuant to the Shares for Debt Transaction will be subject to a statutory hold period of four months and one day from the date of issuance, in accordance with applicable securities laws and TSXV policies.

About Pegasus Resources Inc.

Pegasus Resources Inc. is a Canadian uranium exploration company focused on advancing high-potential projects in the United States. The Company's flagship asset, the Jupiter Uranium Project in Utah, is a drill-ready property positioned for resource expansion. With a commitment to strengthening domestic uranium supply, Pegasus is strategically developing its portfolio to capitalize on the growing demand for nuclear energy.

For additional information, please visit www.pegasusresourcesinc.com.

On Behalf of the Board of Directors:

Christian Timmins
President, CEO and Director
Pegasus Resources Inc.
700 - 838 West Hastings Street
Vancouver, BC V6C 0A6
PH: 1-403-597-3410

X: https://twitter.com/MrChris_Timmins
X: https://twitter.com/pegasusresinc
E: info@pegasusresourcesinc.com

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

Disclaimer for Forward-Looking Information

This news release contains certain information that may be deemed "forward-looking information" with respect to the Company within the meaning of applicable securities laws. Such forward-looking information involves known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking information. Forward-looking information includes statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "potential" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Forward-looking information contained in this press release may include, without limitation, statements regarding creation of value for Company shareholders, results of operations, the timing of completion of the Shares for Debt Transaction and the listing of the Common Shares on the TSXV upon receipt of TSXV approval.

Although the Company believes the forward-looking information contained in this news release is reasonable based on information available on the date hereof, by its nature, forward-looking information involves assumptions and known and unknown risks, uncertainties and other factors which may cause our actual results, level of activity, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.

Examples of such assumptions, risks and uncertainties include, without limitation, assumptions, risks and uncertainties associated with general economic conditions; adverse industry events; the receipt of required regulatory approvals and the timing of such approvals; that the Company maintains good relationships with the communities in which it operates or proposes to operate, future legislative and regulatory developments in the mining sector; the Company's ability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favorable terms; mining industry and markets in Canada and generally; the ability of the Company to implement its business strategies; competition; the risk that any of the assumptions prove not to be valid or reliable, which could result in delays, or cessation in planned work, risks associated with the interpretation of data, the geology, grade and continuity of mineral deposits, the possibility that results will not be consistent with the Company's expectations, as well as other assumptions risks and uncertainties applicable to mineral exploration and development activities and to the Company, including as set forth in the Company's public disclosure documents filed on the SEDAR+ website at www.sedarplus.ca.

The forward-looking information contained in this press release represents the expectations of Pegasus as of the date of this press release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While Pegasus may elect to, it does not undertake to update this information at any particular time except as required in accordance with applicable laws.

SOURCE: Pegasus Resources Inc.

View the original press release on ACCESS Newswire

FAQ

What is the total value of debt being settled by Pegasus Resources (SLTFF)?

Pegasus Resources is settling a total debt of $140,232.29 through the shares for debt transaction.

How many new shares will Pegasus Resources (SLTFF) issue for the debt settlement?

Pegasus Resources will issue 1,598,682 common shares at a deemed price of $0.087717 per share.

What is the hold period for the newly issued Pegasus Resources shares?

The common shares will have a statutory hold period of four months and one day from the date of issuance.

What approvals are required for Pegasus Resources' shares for debt transaction?

The shares for debt transaction requires approval from the TSX Venture Exchange (TSXV).

Why is Pegasus Resources (SLTFF) conducting this shares for debt settlement?

The company is conducting this transaction to preserve cash resources as it advances its uranium exploration strategy and streamlines its balance sheet.