Allegiance Resources completes acquisition of three British Columbia tungsten projects
The explorer issued 1.2 million shares to vendors and disclosed revised royalties, with a further C$30,000 cash payment due in March.
Theo Marchetti
Allegiance Resources Corp. CNSXALLG FRABG5, listed on the Canadian Securities Exchange, said on Thursday it completed the acquisition of three British Columbia tungsten projects covering about 1,905 hectares. It issued 1.2 million shares with a deemed value of C$210,000 to the vendors.
Allegiance's last CSE trade on Nov. 5 was at C$0.035 at 3:45 p.m. EST, according to the exchange's trade record. That was a decline of 22.2 per cent from C$0.045, calculated from the exchange's C$0.01 decline.
The Nov. 5 release puts the share consideration and cash payments together at C$270,000 before royalties. Allegiance paid C$30,000 when it signed the Sept. 27 agreement. Another C$30,000 is due March 27, 2027.
The acquisition gives the Canadian explorer full ownership of Thanksgiving, Five T's and Rio Grande, comprising 14 mineral claims near Revelstoke and Shuswap Lake. Alongside Golden Scheelite in Nevada, Allegiance now holds four tungsten projects covering about 2,046 hectares.
Vendors Receive Shares And Royalties
The newly issued shares equal about 9.2 per cent of the 12,985,390 issued shares displayed on the CSE listing page when viewed Nov. 6. The closing release does not provide a separate post-transaction share count.
The Nov. 5 announcement says the payment shares carry a statutory hold of four months and one day from closing. Under the agreement, 600,000 shares will be released after that period, provided the property transfer has been registered in Mineral Titles Online. The other 600,000 will be released ten months and one day after closing.
The claim holders received a 2 per cent net smelter returns royalty. Allegiance can buy back a 1 per cent royalty interest for C$1 million before commercial production under the closing terms disclosed Nov. 5.
Under the Nov. 5 terms, other vendors received a 1 per cent royalty, with a 0.5 per cent interest purchasable for C$500,000 before commercial production. The company explicitly corrected the earlier account of the royalties:
“These royalty terms reflect the Agreement and replace the royalty terms described in the Company's news release dated October 13, 2026,” Allegiance said in its Nov. 5 release.
Beneficial ownership passed at closing, while the claim holders retain registered title in trust until registration of the transfer. The release identifies obtaining a Free Miner Certificate among the assumptions underlying completion of the transfer.
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October Financing Targeted Exploration
Allegiance's Oct. 21 financing announcement proposed a non-brokered placement of up to approximately C$900,000. It intended net proceeds for exploration on its properties and general working capital. Neither that announcement nor the Nov. 5 closing release specifies a funded, property-specific exploration program or start date.
The closing release says Allegiance received a Thanksgiving technical report effective Oct. 24 and filed it on SEDAR+. The report itself was not read for this article.
Tungsten producer Almonty Industries Inc. NASDAQALM FRAALI1 offers a dated pricing benchmark. Its Aug. 11 results put the average European ammonium paratungstate price at US$3,075 per MTU in the second quarter of 2026. That compared with US$453 per MTU in the second quarter of 2025.
Allegiance's next stated financing deadline is Nov. 6, when its October announcement said the final placement closing must occur, subject to conditions including CSE approval. The offering required minimum proceeds of approximately C$500,000 before a first closing.
