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STGO.TO ·

Steppe GOLD Ltd. Announces Filing of Final Prospectus FOR Initial Public Offering

Financings

STEPPE GOLD LTD. ANNOUNCES FILING OF FINAL PROSPECTUS FOR INITIAL PUBLIC OFFERING

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION

OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.

TORONTO, May 9, 2018 – Steppe Gold Ltd. ("Steppe Gold" or the "Company") is pleased to announce that

it has obtained a receipt for its final prospectus filed with the securities regulatory authorities in each of

the provinces of Canada, exce pt Quebec, in connection with its proposed initial public offering (the

"Offering") of units of the Company (the "Units") at a price of $2.00 per Unit (the “Offering Price”) for

gross proceeds of $ 21,138,370. Each Unit shall be comprised of one common shar e of the Company (a

“Common Share”) and one common share purchase warrant (a “Warrant”). Each Warrant will be

exercisable for one Common Share at an exercise price equal to $2.34 for a period of 24 months after the

closing date of the Offering.

The Units are being sold on a “best efforts” agency basis by a syndicate of agents co -led by Haywood

Securities Inc. and PI Financial Corp. (the "Agents") pursuant to an Agency Agreement dated May 2, 2018.

The Company has granted the Agents an over-allotment option, exercisable in whole or in part at any time

until 30 days following the closing of the Offering, to purchase from the Company up to an additional

1,585,377 Units (being equal to 15% of the Units to be sold in the Offering) at the Offering Price for

additional gross proceeds of $ 3,170,755 (if the over-allotment option is exercised in full) solely to cover

over-allotments, if any, and for market stabilization purposes.

The final prospectus also qualifies the distribution of 1,930,815 Units on the deemed exercise of 1,287,210

previously issued special warrants of the Company (the "Special Warrants"). The Special Warrants were

issued on a private placement basis on February 1, 2018 and February 22, 2018 pursuant to the terms of

a Special Warrant Indenture dated February 1, 2018 , as amended, between the Company and TSX Trust

Company, as Special Warrant Agent for gross proceeds of $3,861,630.

The closing of the Offering is expected to occur on or about May 22, 2018 (the “Closing Date”) and is

subject to customary closing conditions, including the receipt of all necessary approvals. Steppe Gold has

received conditional listing approval of the Toronto Stock Exchange (the “TSX”) for the listing of its

common shares. Listing is subject to the Company fulfilling a ll the requirements of the TSX on or before

July 31 , 201 8. The common shares are expected to commence trading on the TSX under the symbol

“STGO” on the Closing Date.

A copy of Steppe Gold's final prospectus dated Ma y 2, 201 8 is available on the SEDAR website at

www.sedar.com.

The securities offered have not been, and will not be, registered under the United States Securities Act of

1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws, and may not be offered or

sold in the United States or to United States persons absent of registration, or the availability of any

applicable exemption from the registration requirement, of the U.S. Securities Act and applicable U.S.

state securities laws. This release shall not constitute an offer to sell, or a solicitation of an offer to buy,

securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which

such offer, solicitation or sale would be unlawful.

For further information, please contact:

Matthew Wood

President and Chief Executive Officer

E: [email protected]

Cautionary Note Regarding Forward-Looking Statements Forward-Looking Statements:

The above contains forward -looking statements that are subject to a number o f known and unknown risks,

uncertainties and other factors that may cause actual results to differ materially from those anticipated in our

forward-looking statements. Factors that could cause such differences include: changes in world commodity

markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and

changes to regulations affecting the mining industry. Forward-looking statements in this release include statements

regarding the completion of the Offer ing. Although we believe the expectations reflected in our forward -looking

statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance

or achievements.