Alpha Exploration Closes First Tranche of Private Placement Financing

April 09, 2025 5:45 PM EDT | Source: Alpha Exploration Ltd.

Calgary, Alberta--(Newsfile Corp. - April 9, 2025) - Alpha Exploration Ltd. (TSXV: ALEX) ("Alpha or the "Corporation") is pleased to announce that it has closed the first tranche of its previously announced non-brokered private placement of units (each, a "Unit") at a purchase price of $0.70 per Unit for total aggregate gross proceeds of $3,196,000 (the "First Tranche"). For more information about the offering underlying the First Tranche (the "Offering"), please see the Corporation's press release dated March 21, 2025, which is available under the Corporation's SEDAR+ profile at www.sedarplus.ca.

The principal use of proceeds will be to fund ongoing exploration work on the Kerkasha Project in Eritrea, operating and administrative expenses, working capital and general corporate purposes.

Pursuant to the First Tranche, the Corporation issued 4,565,714 Units at a price of $0.70 per Unit. Each Unit consists of one ordinary share of the Corporation (each, a "Share") and one-half of one Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to acquire one additional Share at a price of $1.05 for a period of 18 months following the closing date of the Offering.

The Shares and Warrants issued under the Offering, as well as any Shares issuable on exercise of the Warrants, are subject to a statutory hold period of four-months and one day from the closing date in accordance with applicable Canadian securities laws. Completion of the First Tranche is subject to receipt of final approval of the TSX Venture Exchange ("TSXV").

In connection with the Offering, Alpha paid cash finder's fees of $1,120 to Canaccord Genuity Corp., and $980 to Red Cloud Securities Inc., in accordance with TSXV policies.

Certain insiders of the Corporation participated in the Offering. Their participation constitutes a "related party transaction" under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Corporation relied on exemptions from the formal valuation and minority approval requirements of MI 61-101 as the fair market value of the insider participation did not exceed 25% of the Corporation's market capitalization.

In addition, the Corporation announces today that it has received conditional approval from the TSXV to extend the closing of future tranches of the Offering to May 14, 2025.

About Alpha Exploration Ltd.

Alpha (TSXV: ALEX) is an exploration company that is rapidly advancing a number of important gold and base metal discoveries across its 100% owned, large (514 km2 ) Kerkasha Project in Eritrea.

The Corporation has also advanced the Aburna Gold Prospect, the Tolegimja VMS Copper-Zinc-Gold Prospect and over 17 other gold prospects since listing in 2021.

The Corporation is managed by a group of highly experienced and successful professionals with long track records of establishing, building and successfully exiting a number of world class gold and base metals discoveries in Eritrea and across the wider Arabian Nubian Shield.

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