Alpha Exploration Ltd. announces the closing of the first tranche of private placement financing

CalgaryAlpha Exploration Ltd. (TSXV: ALEX) (the “Company” or “Alpha”) is pleased to announce that it has closed the first tranche of its previously announced non-brokered private placement of units in the capital of the Company at a price of purchase of $0.75 per unit, for total gross proceeds of $1,401,375.00 (the ‘Offer’).

The main use of the proceeds of the Offering will be for the financing of exploration work in progress on the Kerkacha Project in Eritreaoperating and administrative expenses, working capital and general business purposes.

Each Unit consists of one ordinary share in the capital of the Company (“Ordinary Share”) and one-half Ordinary Share subscription warrant (“Warrant”). Each Warrant entitles its holder to purchase one Ordinary Share for a period of 18 months following the closing date of the Offer at an exercise price of $1,125 (the “Exercise Price”).

In connection with the Offering, Alpha paid certain arm’s length parties a cash finder’s fee of up to 6.0% of the Units sold to subscribers introduced by such parties.

As part of its participation in the Private Placement, the Company has granted a participation right to Crescat Portfolio Management LLC (“Crescat”), which granted Crescat the right to purchase additional securities of the Company in connection with future offers of securities of the Company in order to maintain its proportionate percentage, in accordance with the terms of a rights agreement entry dated March 10, 2022.

The ordinary shares and warrants issued under the offer and the ordinary shares underlying the warrants are subject to a statutory hold period of four months plus one day from the date of completion of the offer. offer, in accordance with applicable securities laws.

The placement has been approved by the Company’s Board of Directors by unanimous resolution.

the TSX Venture Exchange provided for the conditional acceptance of the Offer on April 11, 2022.

About Alpha

The company is focused on discovering world-class economic gold and base metal deposits in the highly prospective Arabian-Nubian Shield, on both sides of the Red Sea. Alpha currently holds a 100% interest in the large Kerkasha exploration permit (771 km2) in the southwest Eritrea on which 17 prospects have been identified to date. The large Anagulu gold-copper porphyry system was a pristine discovery by Alpha geologists in early 2018, which was made while running a region-wide soil sampling program. property. The diamond discovery hole was drilled in January 2020 and returned a 49 m wide interval with an average grade of 2.42 g/t gold, 1.10% copper and 6.83 g/t silver. Further drilling is planned on the Anagulu prospect and at least 4 other prospects during the first half of this year.

Forward-looking information

Certain statements and information contained herein, including all statements that are not historical facts, contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or information include, but are not limited to, statements or information regarding: the terms and conditions of the Private Placement; the closing date of the private placement and the expected use of the net proceeds of the private placement, including any progress of exploration work on the Kerkacha Project. Often, but not always, forward-looking statements or information can be identified by the use of words such as “estimate”, “project”, “believe”, “anticipate”, “intend”, “expect to “, “plan”, “predict”, “may” or “should” and the negative of these words or such variations or comparable terminology are intended to identify forward-looking statements and information. With respect to forward-looking statements and information contained herein, Alpha has made numerous assumptions, including assumptions about general business and economic conditions and the price of gold and other minerals. The foregoing list of assumptions is not exhaustive.

Although Alpha’s management believes that the assumptions made and expectations represented by such statements or information are reasonable, there can be no assurance that any forward-looking statements or information contained herein will prove to be accurate. Forward-looking statements and information, by their nature, are based on assumptions and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements, or results of the industry, materially different from future results, performance or achievements. expressed or implied by such forward-looking statements or information. These factors include, but are not limited to: risks associated with Alpha’s funding efforts; risks associated with Alpha’s business given its limited operating history; business and economic conditions in the mining industry generally; supply and demand for labor and other project inputs; changes in commodity prices; changes in interest rates and currency exchange rates; risks related to inaccurate geological and technical assumptions (including with respect to tonnage, grade and recoverability of reserves and resources); risks related to unforeseen operational difficulties (including failure of equipment or processes to perform according to specifications or expectations, cost escalation, unavailability of materials and equipment, action governmental or delays in receiving governmental approvals, industrial disruptions or other business measures, and unforeseen health, safety and environmental events); weather-related risks; political risk and social unrest; changes in general economic or financial market conditions; changes in laws (including regulations regarding mining concessions); risks related to the direct and indirect impact of COVID-19, including, but not limited to, its impact on general economic conditions, the ability to obtain necessary financing and potential delays in exploration activities and other risk factors as detailed from time to time. Alpha does not undertake to update forward-looking information except in accordance with applicable securities laws.


Michael Hopley

Tel: +44 207129 1148

Email: [email protected]