Vancouver, British Columbia--(Newsfile Corp. - June 25, 2025) - Valkea Resources Corp. (TSXV: OZ) (OTCQB: OZBKF) (the "Company" or "Valkea") is pleased to announce that, further to it's news releases dated June 4 and June 17, 2025, it has closed its non-brokered private placement of units ("Units") of the Company (the "Financing") for gross proceeds of C$4.1 million.
As a result of his participation in the Financing, leading strategic junior mining investor, Michael Gentile, now holds approximately 9.9% of the issued and outstanding common shares in the capital of the Company (the "Shares"), on a partially-diluted basis, immediately following the closing of the Financing and has joined as an advisor. Mr. Gentile is widely recognized as one of the leading investors in the junior mining sector, with top five ownership positions in over 20 publicly traded exploration and mining companies. He is also currently a director of Group Eleven Resources (TSXV: ZNG), Northern Superior Resources (TSXV: SUP), OnGold (TSXV: ONAU), Radisson Mining Resources (TSXV: RDS), Roscan Gold (TSXV: ROS), and Solstice Gold (TSXV: SGC), and a Strategic Advisor to Northisle Copper and Gold (TSXV: NCX).
In addition to Mr. Gentile, Primevest Capital Corp., a specialty investment manager, and another high-profile mining investor have also made significant strategic investments in the Financing, and now each hold approximately 9.9% of the issued and outstanding Shares , on a partially-diluted basis, immediately following the closing of the Financing.
"Bringing Michael Gentile on board as an advisor-and welcoming him as a cornerstone shareholder along with significant investments from other shareholders, including Primevest, is a real validation for our projects and strengthens our shareholder base," commented Chris Donaldson, CEO. "Michael's deep market insight, strategic vision, and shared commitment to responsible exploration, greatly enhance our capacity for success. His involvement strengthens our leadership team and signals a strong vote of confidence in our Finnish exploration agenda."
FINANCING CLOSE
Pursuant to the Financing, a total of 16,400,000 Units were issued at a price of C$0.25 per Unit. Each Unit is comprised of one Share and one-half of one Share purchase warrant (each whole Share purchase warrant, a "Warrant") of the Company.
"We're thrilled with the momentum building at Valkea as we gear up for an active summer exploration season," commented Chris Donaldson. "This successful financing enables us to push ahead at the Paana Project and follow-up on the strong results from our maiden program earlier this year. Valkea has a dominant land position right in the heart of the Central Lapland, adjacent to Europe's largest gold producing mine (Kittila-Agnico Eagle) and proximal to Rupert Resources' Ikkari Project. Finland's Central Lapland Greenstone Belt offers significant untapped potential, and Valkea is well positioned to unlock that value."
Each Warrant will entitle the holder to purchase one Share at an exercise price of C$0.35 until December 24, 2026, provided that, if, following the date that is four months from the closing date of the Financing, the closing price of the Shares on the TSX Venture Exchange (the "TSXV"), or other such Canadian stock exchange on which the Shares are then principally traded, equals or exceeds C$0.50 per Share, for a period of ten consecutive trading days during the exercise period, the Company may accelerate the expiry date of the Warrants to the date which is 30 trading days from the date notice is given by the Company, by way of dissemination of a news release, to the holders of the Warrants.
In connection with the Financing, the Company paid finders fees of C$70,500 cash and issued 282,000 finders warrants of the Company (the "Finders Warrants") to eligible arm's length finders. Each Finders Warrant entitles the finder to purchase one Share (a "Finder Warrant Share") at a price of $0.25 per Finder Warrant Share until December 24, 2026.
The securities issued pursuant to and in connection with the Financing, including all securities issuable upon exercise thereof, are subject to a four-month and one-day hold period under applicable Canadian securities laws.
The net proceeds from the Financing will be used for exploration and working capital purposes.
The securities issued pursuant to and in connection with the Financing have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press 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 State in which such offer, solicitation or sale would be unlawful.
OPTION GRANT
The Company also announces that it has granted an aggregate of 1,765,000 stock options of the Company (the "Options") to certain directors, officers, employees, and consultants of the Company. Each Option is exercisable to acquire one Share at a price of $0.30 per Share for a period of 5 years following the date of grant, in accordance with the terms of the Company's stock option plan. The Options are subject to applicable regulatory approvals and any necessary hold periods as required by the TSXV.
About Valkea Resources
Valkea Resources is at the forefront of gold exploration in Finland's highly prospective Central Lapland Greenstone Belt (CLGB). With an extensive portfolio of high-potential projects, including the flagship Paana project, Valkea Resources is committed to discovering and advancing significant gold deposits in one of the world's emerging gold districts.
Contact Information
For more information please contact:
Chris Donaldson, Chief Executive Officer and Director
Tel: (604) 813-3931 | Email: info@valkea.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.
Forward-Looking Statements
This news release contains forward-looking statements or forward-looking information relating to the future operations of the Company and other statements that are not historical facts. Forward-looking statements in this news release include but are not limited to statements regarding the Company's exploration plans.
Forward-looking statements are based on the reasonable assumptions, estimates, analyses and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect. Management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable. Assumptions have been made regarding, among other things: the Company not receiving the necessary regulatory approvals in respect of the Financing; recent market volatility; the inability of the Company to use the proceeds of the Financing as currently anticipated; and the state of the financial markets for the Company's securities. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by such forward-looking statements. Such risks, uncertainties and other factors include but are not limited to: the Company's early stage of development; the fluctuation of the price of metals; the availability of additional funding as and when required; the speculative nature of mineral exploration and development; the timing and ability to maintain and, where necessary, obtain necessary permits and licenses; the uncertainty in geologic, hydrological, metallurgical and geotechnical studies and opinions; infrastructure risks, including access to water and power; environmental risks and hazards; risks associated with negative operating cash flow; and risks associated with dilution. For a further discussion of risks relevant to the Company, see the Company's other public disclosure documents.
Although management has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated, or intended. There is no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements, except as, and to the extent required by, applicable securities laws.
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES
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SOURCE: Valkea Resources
