Westgate Energy Upsizes Bought Deal Offering to $6.5 Million

Westgate Energy Inc., based in Calgary, Alberta, has announced an upsizing of its bought deal private placement offering to approximately $6.5 million. The company, through its sole underwriter and bookrunner, Haywood Securities Inc., has agreed to purchase 26,000,000 units of the company at a price of $0.25 per unit. Each unit consists of one common share and one common share purchase warrant. The gross proceeds to the company from this offering are expected to be $6,500,000.

The warrants attached to each unit will allow the holder to purchase one additional common share at an exercise price of $0.35 for a period of 24 months following the closing date. The warrants will not be exercisable until 61 days after the closing date. If, at any time following the 60-day mark, the volume-weighted average trading price of the common shares on the TSX Venture Exchange (TSXV) equals or exceeds $0.45 for 10 consecutive trading days, the company may accelerate the expiry of the warrants by issuing a press release, whereupon the warrants will expire 30 days following such notice.

Additionally, the underwriter has the option to purchase up to an additional 3,900,000 units at the same price, bringing the total gross proceeds to the company to $7,475,000. This option can be exercised by the underwriter up to 48 hours prior to the closing date.

The offering is being completed pursuant to the "listed issuer financing exemption" under Part 5A of National Instrument 45-106, Prospectus Exemptions (NI 45-106) and Coordinated Blanket Order 45-935, Exemptions from Certain Conditions of the Listed Issuer Financing Exemption (LIFE Exemption) in each of the provinces of Canada, other than Quebec. As such, the units issued pursuant to the offering will not be subject to a statutory hold period pursuant to applicable Canadian securities laws. The Offering is expected to close on or about September 30, 2026, and is subject to certain conditions including, but not limited to, approval by the TSXV.

The securities described herein have not been and will not be registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the “United States” or to “U.S. persons” (as such terms are defined in Regulation S under the U.S. Securities Act), absent registration under the U.S. Securities Act and all applicable U.S. state securities laws or in compliance with an exemption therefrom. This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States.