U.S. Gold Corp. Provides Update on Recent Warrant Exercises

Rhea-AI Summary

U.S. Gold Corp. (NASDAQ: USAU) reports significant warrant exercise activity, with 1,864,668 warrants exercised, generating approximately $7.3 million in gross proceeds. This represents a 39% reduction in outstanding warrants, bringing the remaining balance to 2,923,444 from the previously reported 4,788,112 as of January 31, 2025.

The company plans to use these funds to advance its CK Gold Project in Southeast Wyoming, including completing a Feasibility Study, developing a project execution plan, and funding project infrastructure. Additionally, management may allocate some funds to advance exploration at their Keystone property in Nevada and Challis Gold Project in Idaho.

Positive

• Generated $7.3 million in gross proceeds from warrant exercises
• 39% reduction in outstanding warrants reduces potential dilution
• Additional funding for Feasibility Study and project infrastructure
• Potential for exploration advancement at Keystone and Challis Gold projects

Negative

• Remaining 2,923,444 warrants still represent potential future dilution

CHEYENNE, Wyo., May 9, 2025 /PRNewswire/ -- U.S. Gold Corp. ("U.S. Gold," the "Company," "we," "our" or "us") (Nasdaq: USAU) is pleased to provide an update regarding the exercises of previously issued warrants subsequent to the Company's latest Form 10-Q filing for the three months ended January 31, 2025, filed on March 17, 2025.

At January 31, 2025, the Company reported 4,788,112 warrants outstanding. Since then, the Company has benefited from the exercise of 1,864,668 warrants, generating gross proceeds for the Company of approximately $7.3 million. The exercises represent an approximate 39% reduction in warrants outstanding, decreasing the remaining balance to 2,923,444 warrants.

Mr. Eric Alexander, U.S. Gold's CFO, commented on the recent warrant exercises, "The cash received from these warrant exercises provides the Company extra leeway to carry out its current planned activities of completing a Feasibility Study, developing a project execution plan, advancing financing discussions, and providing funds for elements of the project infrastructure. The reduction in the outstanding warrants helps to limit the overhang of dilutive securities. We appreciate the continued support of all our shareholders as we navigate down the development path on our flagship asset, the CK Gold Project in Southeast Wyoming." Regarding our exploration projects, Mr. Alexander added, "We continue to keep our eyes on our Keystone exploration property in Nevada and the Challis Gold Project in Idaho, and with this additional cash infusion, we may look to deploy a portion to continue advancing these projects."

About U.S. Gold Corp.

U.S. Gold Corp. is a publicly traded, U.S. focused gold and copper exploration and development company. U.S. Gold Corp. has a portfolio of exploration properties. Our CK Gold Project is located in Southeast Wyoming and has a Preliminary Feasibility Study technical report, which was completed by Samuel Engineering Inc. Our Keystone exploration property is on the Cortez Trend in Nevada. Our Challis Gold Project is located in Idaho. For more information about U.S. Gold Corp., please https://www.usgoldcorp.com/.

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this press release are forward-looking within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of forward-looking words such as "proposed," "aims," "anticipates", "forecast," "estimated," "believes," "continues" and "intend," among others. These forward-looking statements include statements regarding the expected use of proceeds from the recent warrant exercises; the limited overhang of dilutive securities from the reduction in outstanding warrants; and the Company's plans to advance exploration activities at the Keystone exploration property and Challis Gold Project. The Company has based these forward-looking statements on its current expectations and assumptions about future events. While management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory, and other risks, contingencies, and uncertainties, most of which are difficult to predict and many of which are beyond the Company's control. The Company undertakes no duty to correct or update any information contained herein.

For further information
U.S. Gold Corp.
Investor Relations
+1 800 557 4550
ir@usgoldcorp.com
www.usgoldcorp.com

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SOURCE U.S. Gold Corp.

FAQ

How much money did USAU raise from recent warrant exercises?

U.S. Gold Corp. raised approximately $7.3 million in gross proceeds from the exercise of 1,864,668 warrants.

How many warrants remain outstanding for U.S. Gold Corp. (USAU)?

After the recent exercises, U.S. Gold Corp. has 2,923,444 warrants remaining outstanding, down from 4,788,112 as of January 31, 2025.

What will U.S. Gold Corp. use the warrant exercise proceeds for?

The proceeds will be used for completing a Feasibility Study, developing a project execution plan, advancing financing discussions, funding project infrastructure for the CK Gold Project, and potentially advancing exploration at Keystone and Challis Gold projects.

What percentage of USAU's warrants were exercised in this update?

Approximately 39% of U.S. Gold Corp.'s outstanding warrants were exercised, reducing the total number from 4,788,112 to 2,923,444 warrants.