Abasca closes $3.0 million Saskatchewan graphite project financing
Abasca Resources Inc. [ABA-TSXV] said it has raised $3.0 million from a private placement financing and will use the proceeds to continue exploration at its Loki Flake Graphite Deposit at its 100%-owned Key Lake South project in northern Saskatchewan.
The company said it has closed a non-brokered private placement, which consisted of 10 million flow-through common shares, each priced at 24 cents per share, raising gross proceeds of $2.5 million, as well as 2.5 million non flow-through common shares priced at 20 cents each, raising $500,000.
The company said a number of insiders participated in the offering, including John Shmyr, the company’s Vice President Engagement and Communications, Chairman of the Board Dave Billard, Dawn Zhou, President and CEO.
On Friday, Abasca shares were unchanged at $0.095 and trade in a 52-week range of 12 cents and $0.04.
The Loki deposit is located on Abasca’s Key Lake South project, a 23,977-hectare exploration project located in the Athabasca Basin region of Saskatchewan. The Athabasca Basin is a region that ranks among the world’s leading uranium districts for exploration and mining.
Key Lake South lies approximately 15 kilometres south of the former Key Lake mine and current Key Lake mill which processes ore from Cameco Corp.’s [CCO-TSX, CCJ-NYSE] McArthur River uranium mine.
The Loki Flake Graphite Deposit was discovered in 2016 while Abasca was exploring for uranium. The 2016 drilling intersected a zone over a 2.0-kilometre trend with intersections of up to 40 metres in length. In the fall of 2023, samples were re-analysed for graphite and assays returned values up to 22.2% Cg. An additional 22 holes, covering 5,925 metres was completed in 2024. These holes were drilled into a 600-metre section of the deposit at 100 metre drill spacings and contributed to the maiden resource estimate announced in April, 2025.
The Loki Deposit now hosts an updated pit-constrained mineral resource that includes an indicated estimate of 6.99 million tonnes at 8.27% Cg. On top of that is an inferred resource of 15.83 million tonnes at 6.93% cg. Abasca has said it believes that this resource expansion and classification upgrade will underpin the in-progress preliminary economic assessment launched in May, 2026. The company believes the PEA will mark a major milestone in de-risking the Loki Deposit, advancing it from exploration toward a development-ready asset on the company’s fast-track roadmap to production.
Meanwhile, Abasca said it is applauding the Government of Saskatchewan for its continued commitment to the critical minerals sector via the Targeted Mineral Exploration Incentive (TMEI). The company said it is pleased to announce that it has received an additional $150,000 in TMEI grant funding, increasing the total TMEI support for Abasca’s ongoing exploration and advancement activities at Loki to $350,000 as of July 31, 2026. Under the current TMEI program, Abasca is eligible to receive up to $150,000 annually in grants which is to be spent on its graphite exploration activities.