Prospect Ridge closes first tranche of flow-through private placement

Prospect Ridge Resources Corp. (CSE:PRR) closed the first tranche of its non-brokered flow-through private placement, issuing 10,783,334 flow-through units at $0.12 each for gross proceeds of $1,294,000.08.

The company paid $85,400 in cash and issued 711,667 finder warrants exercisable at $0.18 in connection with the tranche. All securities issued are subject to a statutory hold period expiring February 28, 2026.

Company insiders purchased 41,667 flow-through units for $5,000, representing approximately 0.39% of the total units issued in the first tranche. The insider participation constitutes a related party transaction under Multilateral Instrument 61-101, though the company is relying on exemptions from formal valuation and minority shareholder approval requirements.

Prospect Ridge intends to use the proceeds to incur eligible Canadian exploration expenses that qualify as flow-through critical mineral mining expenditures under the Income Tax Act. The company plans to use the bulk of proceeds to finance a 2,000-meter drill program on its Camelot project near Horsefly, British Columbia.

The closing remains subject to certain conditions including receipt of necessary approvals and exchange acceptance. The company also corrected information from an October 22 news release, confirming it granted 1,300,000 stock options.

Prospect Ridge is a British Columbia-based exploration and development company focused on critical metals and gold properties in the Golden Horseshoe and Cariboo regions of north-central British Columbia.

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