Mayo Lake Minerals to Raise Funds for Exploration

Ottawa, Ontario, Mayo Lake Minerals Inc. (CSE: MLKM), a mineral exploration company, has announced its intention to raise up to $700,000 through a non-brokered private placement of units. The offering will consist of two types of units: common share units (CS Units) and flow-through units (FT Units). The CS Units will consist of one common share and one common share purchase warrant (CS Warrant), while the FT Units will include one common share that qualifies as a "flow-through share" under the Income Tax Act and one common share purchase warrant (FT Warrant).

The CS Units will be sold at a price of $0.04 per unit, with a minimum of 5,000,000 units to be issued for a minimum gross proceeds of $200,000. The FT Units, which are eligible for tax benefits, will be sold at a price of $0.05 per unit, with a maximum of 10,000,000 units to be issued for gross proceeds of up to $500,000. The closing of the offering is expected to occur on or about November 4, 2026, and may be completed in one or more tranches.

Each CS Warrant will allow the holder to purchase one common share at a price of $0.07 per share for a period of 30 months from the closing date. Similarly, each FT Warrant will enable the holder to acquire one common share at a price of $0.08 per share for the same period. In addition, the company may pay eligible finders a cash commission of up to 8% of the gross proceeds raised by such finders and issue finder warrants (Finder Warrants) to such finders. Each Finder Warrant will give the holder the right to acquire one common share at a price of $0.04 per share for CS Units and $0.05 per share for FT Units.

If, at any time following the six-month mark after the closing date, the volume-weighted average trading price of the common shares on the Canadian Securities Exchange (or any other recognized Canadian stock exchange on which the common shares are listed) is equal to or exceeds $0.24 for 21 consecutive trading days, the company may accelerate the expiry date of the CS Warrants, FT Warrants, and Finder Warrants by giving notice to the holders thereof. In this case, the Warrants will expire on the date that is 30 days following the date of the Acceleration Notice.

The net proceeds from the sale of CS Units will be used primarily for working capital, property acquisitions, and general operating costs. The gross proceeds from the sale of FT Units will be used to incur eligible "Canadian exploration expenses" that qualify as "flow-through mining expenditures," as defined in the Income Tax Act, on the Company's Anderson-Davidson, Carlin-Roop, and Edmonton properties in the Yukon. The company will renounce such expenditures to subscribers of FT Units with an effective date no later than December 31, 2026.

All securities issued in connection with the offering will be subject to a statutory hold period of four months and one day from the applicable date of issuance in accordance with applicable Canadian securities laws. The closing of the offering is subject to certain conditions, including, but not limited to, the receipt of all necessary corporate and regulatory approvals, including the approval of the Canadian Securities Exchange.

Mayo Lake Minerals Inc. is a mineral exploration company that will use the proceeds from the non-brokered private placement to advance its exploration projects, particularly in the Anderson Gold Trend in the Yukon. The company aims to accelerate the development of its mineral deposits and improve its drilling targets, with the goal of focusing on the exploration of well-defined gold deposits next summer.