Arctic Fox Closes Private Placement and Debt Settlement and Upsizes Private Placement
305-1770 Burrard Street, Vancouver, BC, V6J 3G7
Phone (604) 689-2646 Fax (604) 689-1289
December 12, 2025 Trading Symbol: CSE - AFX
FSE - O5K
/Not for distribution to U.S. news wire services or for dissemination in the United States/
ARCTIC FOX CLOSES PRIVATE PLACEMENT AND DEBT SETTLEMENT AND
UPSIZES PRIVATE PLACEMENT
VANCOUVER, BRITISH COLUMBIA (December 12, 2025) – Arctic Fox Lithium Corp. (CSE: AFX
/ FSE: O5K) (“ Arctic Fox ” or, the “ Company”) announces it has closed its non -brokered private
placement (the “Private Placement”) of 1,800,000 units (each, a “Unit”) at a price of CAD $0.10 per
Unit for gross proceeds of CAD $180,000 (the “First Tranche”).
Under the First Tranche, each Unit consisted of one common share (a “Share”) and one share purchase
warrant (a “Warrant”). Each Warrant entitle s the holder to acquire one additional Share at a price of
CAD$0.12 for a period of 24 months from the date of issuance. The proceeds from the First Tranche
will be used for general working capital purposes. All securities issued pursuant to the First Tranche
are subject to a hold period of four (4) months plus one (1) day in accordance with applicable securities
laws. No finder’s fees were paid in connection with the First Tranche.
The Company also announced that due to st rong demand, it has upsized the Private Placement for
aggregate gross proceeds of up to $ 500,000 in Units. Each Unit will consist of one Share and one
Warrant, on the same terms as the First Tranche.
Share Consolidation
Further to the Company’s press release dated November 13, 2025 it has completed the consolidation of
its issued and outstanding common shares (the “ Shares”) on the basis of one (1) new common share
for every ten (10) existing common shares (the “ Consolidation”). The Company believes the
Consolidation will help position the Company to appeal to a broader base of investors and enhance its
capital markets profile. Trading on a post-consolidated basis began on November 18 2025 with the
name and ticker symbol remaining unchanged.
Debt Settlement
The Company further announces it has settle d its outstanding debts owed to certain arm’s length
creditors (the “Creditors”) totaling an aggregate of CAD $349,935 (the “ Debt Settlement”). Pursuant
to the settlement agreements entered into with each of the creditors, the Company issue d an aggregate
of 3,499,349 common shares (“ Debt Settlement Shares”) at a deemed price of CAD $0.10 per Debt
Settlement Share. The board of directors of the Company determined that it is in the best interests of
the Company to c omplete the Debt Settlement in order to preserve the Company's cash for working
capital. The issuance of an aggregate of 1,753,249 Debt Settlement Shares, directly or indirectly, to
certain insiders of the Company, constitutes a "related party transaction" as such term is defined in
305-1770 Burrard Street, Vancouver, BC, V6J 3G7
Phone (604) 689-2646 Fax (604) 689-1289
Multilateral Instrument 61 -101 - Protection of Minority Securityholders in Special Transactions ("MI
61-101"), requiring the Company, in the absence of exemptions, to obtain a formal valuation and
minority shareholder approval, of the related party transaction. Pursuant to Sections 5.5(a) and
5.7(1)(a) of MI 61 -101, the Company intends to rely on exemptions from the formal valuation and
minority shareholder approval requirements, respectively, as neither the fair market value of such Debt
Settlement Shares nor the debt exceeds 25% of the Company's market capitalization.
About Arctic Fox Lithium Corp.
Arctic Fox Lithium Corp. is a junior mineral exploration company focused on the acquisition and
development of mineral properties containing battery, base and precious metals. The Company’s 2,756 -
hectare Pontax North Lithium Project (“ Pontax North ”) is loc ated 12 km south of Allkem Ltd.
(ASX/TSX: ALLKEM) (“Allkem”) James Bay Lithium Project and 12 km north of Stria Lithium Inc.’s
(CSE: SRA) Pontax Lithium Project, located in northern Québec, approximately 130 km east of the
Eastmain Cree Nation’s community. The Company is currently planning a second -phase exploration
program at Pontax North and continues to evaluate accretive opportunities across the rare earth element
and broader critical-minerals sectors to complement and expand its project portfolio.
For further information, please contact:
Harry Chew, President, CEO
Phone: (604) 689-2646
On behalf of the Board of Directors,
“Harry Chew”
Harry Chew
President & CEO
Arctic Fox Lithium Corp.
Twitter: https://twitter.com/arcticfoxLi
LinkedIn: https://www.linkedin.com/company/arcticfoxlithium
Facebook: https://www.facebook.com/arcticfoxlithium
Instagram: https://www.instagram.com/arcticfoxlithium
YouTube: https://www.youtube.com/@arcticfoxlithium
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy
of this press release.
Forward-Looking Information: Except for statements of historic fact this news release contains certain
“forward-looking information” within the meaning of applicable securities law. Forward -looking
information is frequently characterized by words such as “plan” “expect” “project” “intend”
“believe” “anticipate” “estimate” and other similar words or statements that certain events or
conditions “may” or “will” occur. Forward-looking statements are based on the opinions and estimates
at the date the statements are made and are subject to a variety of risks and uncertainties and other
305-1770 Burrard Street, Vancouver, BC, V6J 3G7
Phone (604) 689-2646 Fax (604) 689-1289
factors that could cause actual events or results to differ materially from those anticipated in the
forward- looking statements including but not limited to the Private Placement and the Debt Settlement.
There are uncertainties inherent in forward -looking information including factors beyond the
Company’s control. There are no assurances that the business plans for Arctic Fox described in this
news release will come into effect on the terms or time frame described herein. The Company undertakes
no obligation to update forward -looking information if circumstances or management’s estimates or
opinions should change except as required by law. The rea der is cautioned not to place undue reliance
on forward -looking statements. Additional information identifying risks and uncertainties that could
affect financial results is contained in the Company’s filings with Canadian securities regulators which
are available at www.sedarplus.ca