Targa closes first tranche non-brokered private placement

Canada NewsWire

CSE: TEX | OTCQB: TRGEF | FRA: V6Y

/NOT FOR DISSEMINATION IN OR INTO THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES./

VANCOUVER, BC , Aug. 25, 2026 /CNW/ -- Targa Exploration Corp. (CSE: TEX) (FRA: V6Y) (OTCQB: TRGEF) (" Targa " or the " Company ") today announced that, further to the Company's news release dated August 13, 2026, it has closed the first tranche of its previously announced private placement (the " Offering ") for gross proceeds of approximately C$1,428,294. The Company expects to complete a second and final tranche of the Offering by September 3, 2026.

Pursuant to the first tranche closing of the Offering, the Company issued 7,720,512 flow-through units of the Company (each a " FT Unit ") at a price of $0.185 per FT Unit. Each FT Unit will qualify as a "flow-through share" pursuant to subsection 66(15) of the Income Tax Act (Canada) (" Tax Act ").

Each Unit will consist of one common share of the Company (each, a " Share ") and one-half of a common share purchase warrant (each whole warrant, a " Warrant "). Each Warrant will entitle the holder thereof to acquire one additional Share (each, a " Warrant Share ") at a price of $0.30 per Warrant Share until the date which is 24 months following the closing date of the first tranche of the Offering, subject to an acceleration clause. If the 10-day volume-weighted average trading price of the Shares as quoted on the Canadian Securities Exchange is equal to or greater than $0.60 at the close of any trading day, then the Company may, at its option, accelerate the expiry date of the Warrants by issuing a press release (a " Warrant Acceleration Press Release ") announcing that the expiry date of the Warrants shall be deemed to be on the 30 th day following the issuance of the Warrant Acceleration Press Release (the " Accelerated Expiry Date "). All Warrants that remain unexercised following the Accelerated Expiry Date shall immediately expire and all the rights of holders of such Warrants shall be terminated without any compensation to such holder.

The net proceeds of the Offering will be used for exploration of the Company's mineral exploration projects and for working capital purposes. The Company will use an amount equal to the gross proceeds from the sale of the FT Units to incur eligible "Canadian exploration expenses" in Quebec that qualify as "flow-through mining expenditures" as such terms are defined in the Income Tax Act (Canada) (" Qualifying Expenditures "). The Company will renounce all such Qualifying Expenditures, in favour of the subscribers of the FT Units, on or before December 31, 2026, in an amount of not less than the total amount of the gross proceeds raised from the issuance of FT Units, and incur such Qualifying Expenditures on or before December 31, 2027.

Closing of the Offering is subject to customary closing conditions and all securities issued pursuant to the first tranche of the Offering, including Shares issuable upon the exercise of Warrants or Finder Warrants, are and will be subject to a hold period of four months and one day after the date of closing of the first tranche of the Offering.