Rio Grande Resources plans $2.5M private placement financing

Rio Grande Resources Ltd. (CSE: RGR) (OTCQB: RGRLF) (FSE: 488) announced a non-brokered private placement of up to 12,500,000 units at $0.20 per unit, seeking gross proceeds of up to $2,500,000.

Each unit will consist of one common share and one transferable common share purchase warrant. Each warrant allows the holder to purchase one additional share at $0.40 per share for 24 months from the date of issuance.

The company said net proceeds will be directed toward exploration activities and general corporate purposes. Closing is expected on or around August 24, 2026.

Directors and officers of the company may participate in the placement, which the company described as a related party transaction under Multilateral Instrument 61-101. The company said such participation is expected to qualify for an exemption from formal valuation and minority shareholder approval requirements.

All securities issued under the placement will be subject to a hold period of four months and one day under Canadian Securities Exchange regulations. Finders' fees may be payable in connection with the placement.

The securities have not been registered under the U.S. Securities Act and may not be offered or sold within the United States absent registration or an applicable exemption.

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