Canstar Announces Non-Brokered Private Placement

Core Viewpoint - Canstar Resources Inc. is initiating a non-brokered private placement to raise up to $2,000,000 through the issuance of flow-through units and non-flow-through units [1] Offering Details - The Offering will consist of NFT Units priced at $0.065, each comprising one common share and one transferable warrant, allowing the purchase of an additional common share at $0.10 for 36 months [2] - FT Units will be priced at $0.085, consisting of one flow-through common share and half a warrant, with two halves equating to one whole warrant, allowing the purchase of an additional common share at $0.10 for 12 months [3] - The Offering is subject to TSX Venture Exchange approval and will have a statutory hold period of four months and one day from the closing date [8] Use of Proceeds - Proceeds from FT Shares will be allocated to Canadian exploration expenses on the Company's Newfoundland properties, qualifying as flow-through mining expenditures [6] - Proceeds from NFT Units and any exercised Warrants will be used for general corporate purposes, including exploration at the Buchans, Mary March, and Golden Baie projects [7] Capital Strategy Context - Canstar has focused on capital efficiency and minimizing shareholder dilution, previously raising approximately $850,000 through a hybrid private placement in January 2024 [4] - In May 2025, the Company received $500,000 as an initial payment for an $11.5 million non-dilutive exploration joint venture with VMS Mining Corporation [5] - In September 2025, Canstar reported $1,092,500 in early warrant exercise proceeds, with a significant portion of warrants from the January 2024 financing exercised [5] Company Overview - Canstar Resources Inc. is focused on critical minerals and gold exploration in Newfoundland, with significant projects including the Golden Baie Project and the Buchans and Mary March projects [11]