First Atlas Resources Corp. announced a bought deal private placement offering under the listed issuer financing exemption (LIFE) for aggregate gross proceeds of approximately C$2 million.
The financing agreement was entered into with Research Capital Corporation, which is acting as sole underwriter and sole bookrunner for the transaction. Under the terms of the offering, the company will issue 28,572,000 units priced at C$0.07 per unit.
Each unit will include one common share and one common share purchase warrant. Each warrant will enable the holder to acquire one additional common share at an exercise price of C$0.09 for a period of 36 months following issuance, subject to certain adjustments.
First Atlas said the proceeds from the financing will primarily be used for general working capital purposes as the company continues advancing its natural hydrogen exploration strategy in Nova Scotia.
The underwriter has also been granted an option to sell up to an additional 4,285,800 units at the same offering price. If fully exercised, the option would generate up to an additional C$300,006 in gross proceeds.
The offering is being conducted under the listed issuer financing exemption available pursuant to National Instrument 45-106 and related blanket orders across Canadian provinces excluding Quebec. Securities issued under the offering are expected to be freely tradeable in Canada immediately upon issuance when sold to Canadian purchasers, while securities issued to U.S. investors will remain subject to applicable resale restrictions.
The financing is expected to close during the week of June 8, 2026, subject to customary closing conditions and regulatory approvals, including approval from the Canadian Securities Exchange.
As part of the transaction, Research Capital Corporation will receive a cash commission equal to 8% of the gross proceeds raised along with broker warrants representing 8% of the total units sold. Each broker warrant will entitle the holder to purchase one unit at C$0.07 for a period of 36 months following closing.
First Atlas Resources Corp., formerly known as QMET, is focused on the exploration and development of natural hydrogen resources in Nova Scotia. The company is currently advancing exploration activities along the Cobequid Chedabucto structural corridor using geological and geophysical targeting techniques designed to identify naturally occurring hydrogen deposits.
