NorthIsle Secures C$39.5 Million in Financing and Partners with Wheaton Precious Metals

• Completed private placement financing of C$39.5 million comprising brokered and non-brokered offerings 
• Wheaton Precious Metals invested C$5 million through non-brokered placement 
• Established right of first refusal agreement with Wheaton for precious metal streams and royalties 
• Proceeds allocated to advance North Island Project to pre-feasibility study 
• Flow-through shares structure provides tax benefits for Canadian investors

NorthIsle Copper and Gold Inc. (TSXV: NCX, OTCQX: NTCPF) is a Vancouver-based mineral resource company that owns the North Island Project, a copper and gold porphyry deposit located near Port Hardy, British Columbia. 

The North Island Project covers more than 34,000 hectares of mineral titles owned 100% by NorthIsle. The property extends 50 kilometres northwest from the former Island Copper Mine, previously operated by BHP Billiton. NorthIsle completed an updated preliminary economic assessment and is now working toward a pre-feasibility study while conducting exploration activities across the property.

Completion of Significant Capital Raise via Private Placements

NorthIsle closed a private placement consisting of brokered and non-brokered components totalling C$39.5 million. The brokered offering, led by Paradigm Capital Inc. with a syndicate of agents, raised C$34.5 million through the listed issuer financing exemption structure. 

The financing included 9.3 million flow-through shares priced at C$1.6065 and 18.6 million common shares at C$1.05. Flow-through shares require proceeds to be spent on qualifying Canadian exploration expenses by December 31, 2026, with tax benefits renounced to investors by December 31, 2025. The agents exercised their over-allotment option for 4.3 million additional shares.

The offering was oversubscribed and upsized from initial parameters. Institutional investors participated alongside retail investors. The brokered shares are not subject to statutory hold periods in Canada except for TSXV's standard four-month restriction. A company director participated by purchasing 200,000 shares for C$210,000.

Strategic Entry by Wheaton and Royalty/Streaming Rights

Wheaton Precious Metals invested C$5 million through the concurrent non-brokered placement, purchasing 4.8 million common shares at C$1.05 per share. These shares are subject to a four-month hold period under Canadian securities laws. Wheaton's participation represents its entry as a shareholder in NorthIsle.

The companies executed a right of first refusal agreement whereby Wheaton paid NorthIsle C$10,000 and received preferential rights to precious metal streams or royalties on selected claims from the North Island Project. The agreement covers a one-kilometre area of interest surrounding the selected claims.

CEO Sam Lee stated:

"We are pleased to welcome Wheaton, a leading precious metals company, and several significant institutional investors to our share registry. With an oversubscribed, upsized deal and the exercise of the Agents' option, we can now confidently accelerate the development of the project through to a pre-feasibility study while continuing to advance the exploration of this highly prospective porphyry belt."

Use of Proceeds

Flow-through share proceeds will fund Canadian exploration expenses at the North Island Project that qualify as flow-through critical mineral mining expenditures under Canadian tax legislation. For British Columbia residents who qualify, expenditures will also qualify as BC flow-through mining expenditures. The company must complete these expenditures by December 31, 2026.

Net proceeds from common shares, combined with the non-brokered offering proceeds, will support exploration activities, project development, and general corporate purposes. The company has not specified detailed allocations between these categories beyond the flow-through requirements.

The financing structure separates exploration funding (through flow-through shares) from development and corporate funding (through common shares). This approach ensures compliance with flow-through share regulations while providing operational flexibility for non-exploration activities. The total proceeds provide working capital for the company's stated objective of advancing to a pre-feasibility study.

Looking Forward

NorthIsle has completed the financing and can proceed with planned activities at the North Island Project. The company intends to advance the project through a pre-feasibility study while continuing exploration work across the property. The Wheaton relationship provides a potential avenue for future precious metals streaming or royalty arrangements, though no binding commitments exist beyond the right of first refusal agreement.

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