SLAM Exploration Ltd. (TSXV: SXL)
‘Exploring for critical elements and precious metals in New Brunswick, Canada.’
Canadian billionaire backs American Eagle Gold with C$23M investment, joining Teck Resources and South32 as cornerstone shareholders. Eric Sprott, the Canadian billionaire known for his early-stage investments in high-potential exploration plays, has added another name to his portfolio—American Eagle Gold Corp. (TSXV: AE), a British Columbia-focused copper-gold explorer.
The company announced Friday that Sprott, through a corporation beneficially owned and controlled by him, has acquired 19.2 million common shares on a premium flow-through basis at C$1.20 per share, representing a total investment of C$23 million (US$16.8 million). The transaction will give Sprott an approximate 9.9% equity stake in the Toronto-based explorer, making him the third strategic investor alongside Teck Resources Ltd. and Australia’s South32.
Following the announcement, American Eagle’s shares surged 22% to close at C$0.94 apiece on Friday, pushing the company’s market capitalization to nearly C$163 million (US$119 million).
“We’re very pleased to welcome Eric Sprott as another strategic, long-term investor on the register,” said Anthony Moreau, CEO of American Eagle, in a statement. “What makes his participation particularly notable is that it’s rare for him to back copper stories.” Sprott himself offered high praise for the company’s flagship asset. “NAK has truly caught my attention,” he said. “I believe the grade and length of the intervals are exceptional, and the gold grade is the icing on the cake. I believe this is one of the best undeveloped porphyrys in Canada.”
To accommodate existing investor rights held by Teck and South32 to maintain their ownership positions, American Eagle has arranged a concurrent financing of approximately 14.93 million common shares at C$0.77 per share, targeting additional proceeds of C$11.5 million. Together, the two financings are expected to raise aggregate gross proceeds of C$34.54 million. Upon closing of both offerings, the company will have over C$50 million in cash on its balance sheet, providing full funding for substantially expanded drill programs in 2026 and 2027 at its NAK copper-gold porphyry project in central British Columbia.
The NAK property, located in the Babine copper-gold porphyry district near Smithers, B.C., hosts a large 1.5 km by 1.5 km mineralized system that was only tested at shallow depths during initial exploration in the 1960s. Since taking over the project in 2022, American Eagle has conducted multiple drill programs confirming significant, continuous mineralization at depth.
The company released its most recent assay results concurrently with the Sprott investment announcement, highlighted by a 618-metre interval grading 0.77% copper equivalent. This intercept successfully links high-grade, near-surface gold-rich mineralization to the high-grade core at depth, supporting the concept of a large, coherent mineralized body extending from surface to significant depth. NAK is currently undergoing a 31,500-metre drill program aimed at further expanding and improving the mineral footprint, with additional assay results expected as they become available.
The addition of Sprott strengthens an already impressive shareholder registry that includes diversified global miner South32 and Canadian mining major Teck Resources. For a junior exploration company, this lineup of strategic backers provides significant capital backing and industry validation for the technical merits of the NAK project.
The financings are structured without warrants, and the company will pay a commission or finder’s fee of up to 1% in connection with the offerings. The flow-through shares will qualify as “Canadian exploration expenses” and “BC flow-through mining expenditures” for tax purposes, with qualifying expenditures to be incurred by December 31, 2027, and renounced to purchasers effective no later than December 31, 2026.
Closing of the offerings is expected to occur on or about March 20, 2026, subject to receipt of all necessary regulatory approvals including acceptance by the TSX Venture Exchange. All securities issued will be subject to a statutory hold period of four months plus one day from the closing date.
