Menel's $10.9 Million Option Exercise Funds Atomic Eagle Through 2028

• Atomic Eagle's largest shareholder, Menel Energy and Resources Limited, has signed a binding commitment to exercise 35,149,113 options early, ahead of their May 5, 2027 expiry.
• The exercise will deliver approximately $10.9 million in funding proceeds to the company on or before October 28, 2026.
• The transaction is non-dilutive relative to a fresh capital raise, as it converts existing on-issue options rather than issuing new securities at a discount.
• Combined with the company's current unaudited cash position of approximately $12.1 million, the proceeds would lift available cash to approximately $23.0 million, up from approximately $20 million at ASX listing.
• The commitment is expected to fund the company's growth strategy through 2028 without requiring near-term equity financing.

Company Overview

Atomic Eagle Limited (ASX: AEU | OTCQX: AEUXF) is an ASX-listed mineral resource company focused on the exploration and development of uranium assets in Africa. Its core asset is the 100%-owned, district-scale Muntanga Uranium Project in Zambia, spanning 4 mining licenses and 2 exploration licenses over a 146-kilometer strike length, covering 1,136 square kilometers adjacent to Lake Kariba. The project hosts a combined Measured, Indicated & Inferred mineral resource of 86.2 million tonnes at 309 parts per million (ppm) uranium oxide, equivalent to 58.8 million pounds of uranium oxide, with infrastructure advantages including sealed road access to Lusaka and export routes through Namibia's port of Walvis Bay.

Binding Commitment Locks In Early Funding

Atomic Eagle Limited has secured a binding commitment from its largest shareholder, Menel Energy and Resources Limited, to exercise an aggregate of 35,149,113 options (ASX: AEUOPT4) at an exercise price of $0.31 per option on or before October 28, 2026. Under the agreement, Menel has irrevocably agreed to exercise the options and deliver the corresponding proceeds to the company roughly 6 months ahead of the options' May 5, 2027 expiry.

The company said the commitment reflects Menel's close association with Atomic Eagle throughout its transformation and its detailed understanding of the company's asset portfolio, growth strategy and business objectives. Based on the company's current unaudited cash position of approximately $12.1 million, receipt of the committed proceeds would increase available cash to approximately $23.0 million, providing funding capacity to execute the current growth strategy through 2028 without requiring near-term equity financing.

Non-Dilutive Structure Preserves Shareholder Value

Because the funding converts options already on issue rather than pricing and issuing new shares at a discount, the transaction avoids the dilution typically associated with a fresh capital raise. 

Chief Executive Officer of Atomic Eagle, Phil Hoskins, said the commitment leaves the company fully funded to accelerate delivery of its objectives across its uranium projects in Zambia and Niger: 

"This decision is a powerful vote of confidence from a shareholder with a long history alongside our projects and allows us to pursue both Zambia and Niger in parallel, rather than sequentially. We sincerely thank Menel for its continued support and look forward to delivering value for all shareholders."

Next Steps

Following Menel's exercise, approximately 17.9 million options in the same category will remain unexercised, carrying the same $0.31 exercise price and May 5, 2027 expiry. Full exercise of these remaining options, most of which are held by a small number of existing long-term shareholders, would provide an additional approximately $5.5 million in funding proceeds to the company.

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