ATEX Resources Completes C$110 Million Financing for Valeriano Project

• ATEX Resources closed a bought deal financing for C$110 million through the sale of 42.3 million units at C$2.60 per unit, including full exercise of the underwriters' over-allotment option
• Each unit comprises one common share and one warrant exercisable at C$4.00 per share until 6 November 2029, subject to acceleration provisions
• Net proceeds will fund exploration and development at the Valeriano Copper-Gold Project in Chile's Atacama Region and general working capital
• Company insiders subscribed for 9.5 million units in the offering
• BMO Capital Markets and Desjardins Capital Markets led an underwriting syndicate that included Stifel Nicolaus Canada, Ventum Financial, Cormark Securities, Paradigm Capital, and TD Securities

ATEX Resources Inc. (TSXV: ATX; OTCQB: ATXRF) is a mineral exploration company developing the Valeriano Copper-Gold Project in Chile's Atacama Region. The project is located in an area connecting the El Indio High-Sulphidation Belt and the Maricunga Gold Porphyry Belt, referred to as the Link Belt. 

Closing of Increased C$110 Million Bought Deal Financing

ATEX Resources closed its bought deal financing on 6 November 2025, issuing 42,262,500 units at C$2.60 per unit for gross proceeds of C$110 million. The underwriters exercised their over-allotment option in full. The transaction was led by BMO Capital Markets as sole bookrunner and co-lead underwriter, alongside Desjardins Capital Markets as co-lead underwriter. The syndicate also included Stifel Nicolaus Canada, Ventum Financial, Cormark Securities, Paradigm Capital, and TD Securities.

The underwriters received a cash commission of C$3,844,425, representing 5% of gross proceeds, with a reduced fee of 2% applying to certain purchasers on an agreed president's list. The offering remains subject to final acceptance by the TSX Venture Exchange. Securities issued under the offering are subject to a four-month-and-one-day hold period from the closing date.

Company insiders subscribed for 9.5 million units. These subscriptions are considered related party transactions under Multilateral Instrument 61-101. The company was exempt from formal valuation and minority shareholder approval requirements as the value did not exceed 25% of the company's market capitalisation. ATEX did not file a material change report 21 days prior to closing as insider participation had not been confirmed at that time.

Unit Structure with Common Shares and Warrants at C$2.60 per Unit

Each unit consists of one common share and one common share purchase warrant. The warrants entitle holders to purchase one additional common share at C$4.00 per share on or before 6 November 2029. 

The warrant exercise price of C$4.00 represents a 54% premium to the C$2.60 unit price. If all warrants issued in the financing are exercised at C$4.00, the company would receive additional gross proceeds of approximately C$169 million. The warrants have a four-year term from the closing date.

The unit structure provides shareholders with common shares and warrants at the combined price of C$2.60. The warrants represent a separate security that holders may choose to exercise if the share price exceeds C$4.00 before the November 2029 expiry date, subject to the acceleration clause contained in the warrant indenture.

Proceeds Allocation for Valeriano Copper-Gold Project Exploration and Development

ATEX stated that net proceeds from the offering will be used for exploration and development of the Valeriano Project and general working capital purposes. The Valeriano Project contains indicated resources of 475 million tonnes at 0.88% copper equivalent and inferred resources of 1.5 billion tonnes at 0.75% copper equivalent, as reported in September 2025.

The project is located in Chile's Atacama Region within the Link Belt, an area that hosts several copper-gold porphyry deposits at various development stages. The indicated resource at Valeriano averages 0.58% copper, 0.25 g/t gold, 1.39 g/t silver, and 70.4 g/t molybdenum. The inferred resource averages 0.50% copper, 0.20 g/t gold, 1.16 g/t silver, and 70.6 g/t molybdenum.

The financing provides capital for continued work at Valeriano. The company has allocated funds for exploration activities, development work, and maintaining operations. The specific work programme and timeline for deploying the C$110 million in net proceeds were not detailed yet.

Conclusion

ATEX Resources has closed a C$110 million bought deal financing through the issuance of 42.3 million units at C$2.60 per unit. Each unit includes one common share and one warrant exercisable at C$4.00 until November 2029. The company will apply net proceeds to exploration and development at the Valeriano Copper-Gold Project in Chile and general working capital. The offering received full exercise of the underwriters' over-allotment option and included participation from company insiders for 9.5 million units. The transaction remains subject to final acceptance by the TSX Venture Exchange.

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