Sarama Resources Announces Equity Placement Up to A$1M

Sarama Resources Ltd. has secured binding commitments for a A$1 million equity placement. The funds will be allocated for potential acquisitions, exploration of the Company's properties, and general working capital. Existing shareholders and professional investors have shown strong support for this Placement.

The Placement will issue 50,000,000 Chess Depository Instruments (CDIs) at A$0.02 per CDI, representing a ~13% discount to the 10-day VWAP and a 9.1% discount to the last traded price. Each CDI equates to one common share of Sarama and will rank equally with existing CDIs.

The Placement consists of two tranches: Tranche 1 will issue 45 million CDIs under ASX Listing Rule 7.1, expecting to raise A$0.9 million by June 21, 2024. Tranche 2 will issue 5 million CDIs, pending shareholder approval at the AGM around September 5, 2024, to raise A$0.1 million.

The Placement is subject to TSX Venture Exchange approval. Members of Sarama's Board and Management will not subscribe for any CDIs in this Placement.