Sorrento Resources announces $4.5 million private placement offering

Sorrento Resources Ltd. (CSE: SRS) (OTCQB: SRSLF) announced a private placement offering to raise up to $4.5 million through Research Capital Corporation as sole agent and bookrunner.

The offering consists of up to $3 million in premium flow-through units priced at $0.35 each and up to $1.5 million in regular units at $0.25 each. Each premium flow-through unit includes one common share qualifying as flow-through shares under Canadian tax law and one warrant. Each regular unit contains one common share and one warrant.

The warrants allow holders to purchase additional common shares at $0.35 each within 24 months of closing. Research Capital Corporation holds an option to sell an additional 15% of the units offered, potentially raising total proceeds to $5.175 million if exercised.

Proceeds from premium flow-through units will fund Canadian exploration expenses qualifying as flow-through critical mineral mining expenditures on the company's Newfoundland and Labrador projects. The company will renounce these expenses to purchasers by December 31, 2025. Funds from regular units will support ongoing exploration drilling, working capital, and general corporate purposes.

The offering is scheduled to close around October 30, 2025, subject to regulatory approvals including Canadian Securities Exchange approval. Securities will have a four-month-plus-one-day hold period from closing.

Research Capital Corporation will receive a 6% cash fee on gross proceeds and broker warrants equal to 6% of total units sold. The broker warrants allow purchase of common shares at $0.25 each for 24 months following closing.

Sorrento Resources focuses on mineral property acquisition, exploration, and development in Canada, with projects including Wing Pond, Lord Baron, The PEG lithium project, and Harmsworth located in Newfoundland.

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