Contango Ore prices $50 million stock and warrant offering

Contango ORE Inc. (NYSE American: CTGO) has priced an underwritten offering of 1,678,206 common shares at $24.96 per share to two institutional investors, according to a company statement. The Alaska-based gold exploration company also offered pre-funded warrants to purchase 325,000 shares at $24.95 per warrant.

The offering will generate approximately $50 million in gross proceeds before underwriting discounts, commissions and other expenses. The transaction is expected to close on February 12, 2026, subject to standard closing conditions.

Contango plans to use approximately $45 million of the net proceeds to buy back gold hedge contracts and about $700,000 to purchase gold put contracts for downside protection. The remaining funds will support general corporate purposes and working capital needs.

Canaccord Genuity is serving as sole bookrunner for the offering, which is being conducted under an effective shelf registration statement filed with the Securities and Exchange Commission and declared effective on November 27, 2024.

The company holds a 30% interest in Peak Gold LLC, which leases approximately 675,000 acres for exploration and development on the Manh Choh project in Alaska. Kinross Gold Corporation's subsidiary KG Mining (Alaska) Inc. owns the remaining 70% and operates the joint venture.

Contango also maintains various mining claims and leases in Alaska totaling more than 156,000 acres through its subsidiaries, including interests in the Johnson Tract, Lucky Shot and Amanita projects.

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