Panther Metals plc has secured a further 12 months to the sale and purchase agreement for the Obonga project, which covers over 90% of the Obonga Greenstone Belt, in Ontario, Canada.
EXPLORATION
The volcanogenic sulphide project contains base and precious metals and a range of ‘critical’ metals and minerals including gallium, rare earth elements, lithium and graphite.
The agreement with Broken Rock Resources Ltd extends the terms of the original 2021 transaction, amended in 2025, from 31 August 2026 to 30 April 2027.
Panther said that the extension would give it flexibility to complete its exploration programme and progress and extend the current phase I diamond drilling.
The company will issue 30,000 new ordinary shares to Broken Rock as part of the agreement.
TVRs
Panther will also issue 14,000 new ordinary shares in part settlement of fees owed to a drilling contractor, with the balance paid in cash.
A further 34,000 new ordinary shares will be issued to meet consultancy fees relating to Panther’s proposed listing on the Canadian Securities Exchange.
All shares will be issued at the 18 June 2026 placing price of 135 pence per share.
Following admission, the company’s total issued share capital will comprise 10,749,838 ordinary shares.
Panther does not hold any ordinary shares in treasury.
The company added it remained committed to “disciplined capital management and minimising shareholder dilution wherever possible”.
Chief executive officer Darren Hazelwood said: “In relation to the issue of shares to two service providers, while this is not generally consistent with Panther’s long-standing commitment to minimising shareholder dilution, it was a pragmatic decision made during a period when the timing and certainty of funding for Obonga were still unclear.
“With greater funding certainty now established, we fully intend to return to our disciplined approach to capital management and maintaining tight control over dilution wherever possible.”