Gabriel Resources Announces US$5.575 Million Private Placement

Gabriel Resources Ltd. has disclosed definitive subscription agreements with investors for a non-brokered private placement, aiming to issue up to 377,594,750 common shares at $0.02 each, potentially raising up to US$5.575 million. The transaction is contingent upon approvals from the TSX Venture Exchange and other regulatory bodies. This issuance will represent approximately 36% of the company's current common shares.

The scheduled closure date for the private placement is around May 23, 2024, though this may shift depending on the fulfillment of closing conditions. Notably, company insiders will acquire 88,049,000 common shares, contributing US$1.3 million. This internal participation is classified as a 'related party transaction,' which necessitates specific regulatory compliance measures under Canadian securities law.

The proceeds from this placement are designated for strategic initiatives, including potentially contesting an adverse ICSID arbitration decision and for general corporate purposes. Key to this strategy is maintaining the Gabriel Group's interests in its Romanian projects.