Cerrado Gold Inc. has closed its previously announced non-brokered private placement financing with Eric Sprott, raising aggregate gross proceeds of C$10 million to support working capital and general corporate purposes.

The transaction involved issuing 4,000,000 units to an entity owned and controlled by Sprott at a price of C$2.50 per unit. Each unit consists of one common share and one-half of one common share purchase warrant. Every whole warrant allows the holder to acquire an additional common share at an exercise price of C$3.35 for a period of 24 months from the closing date.

The financing remains subject to final acceptance by the TSX Venture Exchange. All securities issued under the placement carry a statutory hold period of four months and one day from the date of issuance in accordance with Canadian securities laws and exchange policies.

The capital injection coincides with active operational and development efforts across the company’s asset base. Cerrado is advancing an exploration program at its Minera Don Nicolas operations in Santa Cruz, Argentina, with approximately 50,000 metres of drilling planned in 2026.

Looking ahead in its development pipeline, Cerrado maintains annual production guidance of 50,000 to 60,000 gold equivalent ounces for 2026 and is targeting a preliminary economic assessment for the first quarter of 2027.

In addition to completing the financing, the company corrected a disclosure regarding a previously announced investor services agreement from August 18, 2026. The service provider was correctly identified as Investor Events Inc rather than ENGAGE 360, with all other terms remaining unchanged and subject to exchange approval.

Read the full announcement: Cerrado Gold Closes $10 Million Strategic Private Placement with Eric Sprott