Trilogy Metals Inc. has executed definitive agreements with the U.S. Department of War for a strategic equity investment of approximately US$35.6 million to advance exploration and development at its Alaskan assets.

The transaction comprises two placements. The U.S. Government is investing approximately US$17.8 million directly into Trilogy Metals for 8,215,570 units at US$2.17 each, with each unit including one common share and three-quarters of a 10-year warrant exercisable at US$0.01. A matching US$17.8 million goes to South32 Limited for existing shares alongside a 10-year call option over 6,161,678 shares.

Upon closing, the U.S. Department of War will hold about 10% of Trilogy Metals, while South32’s holding decreases from 10.7% to 6.0%. Trilogy Metals and South32 will reinvest the proceeds into Ambler Metals LLC, the 50/50 joint venture holding the Upper Kobuk Mineral Projects.

Exploration across the 190,929-hectare land package centers on the Arctic volcanogenic massive sulfide deposit and the Bornite carbonate replacement deposit. Closing is expected in September 2026, with a Record of Decision for the Arctic Project targeted by September 2028.

“The execution of these definitive agreements is a defining milestone for Trilogy Metals and for building a secure, domestic supply of critical minerals for America in Alaska. Having finalized the transaction documents to the standard this landmark investment deserves, we're pleased to be positioned to close on this financing from the U.S. Government in the near term.”

“Investing in the Upper Kobuk Mineral Projects demonstrates the War Department's proactive strategy to deploy capital where it matters most. By financing this project with Trilogy Metals and supporting the infrastructure necessary to develop the Ambler Mining District, we are eliminating foreign supply vulnerabilities and investing directly in American industrial strength.”

— Tony Giardini, President and Chief Executive Officer of Trilogy Metals, and George K. Kollitides II, Director of the Department of War's Economic Defense Unit

Final preparations are underway among the parties, federal and state agencies, and regional stakeholders as the September 2026 closing approaches.

Read the full announcement: Trilogy Metals Announces Execution of Definitive Agreements for Strategic Equity Investment by the U.S. Department of War