Foremost Clean Energy Issues 485,000 Shares to Denison Mines Under Investor Rights Agreement
TL;DR
Denison Mines increases stake in Foremost Clean Energy to 19.17%, gaining strategic advantage in uranium exploration partnerships and future resource development.
Foremost issues 485,000 shares to Denison at $2.20 each under their amended investor rights agreement, with a four-month hold period on the shares.
This investment supports clean energy exploration for uranium and lithium, contributing to sustainable power solutions and reducing carbon emissions globally.
Foremost's uranium projects span over 330,000 acres in Saskatchewan's Athabasca Basin, a region rich with exploration potential and historical significance.
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Foremost Clean Energy Ltd. (NASDAQ: FMST) (CSE: FAT) will issue 485,000 common shares to Denison Mines Corp. (TSX: DML, NYSE American: DNN) at $2.20 per share for total proceeds of $1,067,000. This issuance is executed under the companies' Amended & Restated Investor Rights Agreement dated July 23, 2025, and has been approved by the Canadian Securities Exchange. The transaction will increase Denison's ownership stake in Foremost to approximately 19.17% of the company's outstanding common shares.
The share issuance relates to Denison's equity participation right following prior warrant exercises and property payments, demonstrating the ongoing financial and strategic collaboration between the two companies. The newly issued shares will be subject to a standard four-month-plus-one-day hold period, which is typical for such transactions in the Canadian securities market. This arrangement underscores the long-term nature of the partnership between Foremost Clean Energy and Denison Mines.
Foremost Clean Energy is a rapidly growing North American uranium and lithium exploration company that holds a significant option agreement with Denison Mines. The company has the right to earn up to a 70% interest in 10 prospective uranium properties (with the exception of the Hatchet Lake property, where Foremost can earn up to 51%). These properties span over 330,000 acres in the uranium-rich Athabasca Basin region of northern Saskatchewan, one of the world's most prolific uranium districts.
The strategic importance of this transaction extends beyond the immediate financial implications. As global demand for carbon-free energy continues to accelerate, domestically mined uranium and lithium are positioned for substantial growth, playing a critical role in the future of clean energy infrastructure. Foremost's uranium projects range from grassroots exploration to advanced-stage properties with significant historical exploration data and drill-ready targets, providing multiple opportunities for discovery and development.
The company's mission focuses on making significant mineral discoveries through systematic and disciplined exploration programs conducted in collaboration with Denison Mines. This latest share issuance reinforces the strong partnership between the two companies and provides additional capital for Foremost's ongoing exploration activities. Investors and industry observers can access the latest news and updates relating to FMST through the company's newsroom at https://ibn.fm/FMST.
The mining and resources sector continues to attract significant attention as the global transition to clean energy accelerates. Companies like Foremost Clean Energy, with strategic partnerships and substantial land positions in proven mineral districts, are well-positioned to benefit from increasing demand for critical minerals. The Athabasca Basin region, where Foremost's properties are located, has historically produced some of the world's highest-grade uranium deposits, making it a focal point for exploration and development activities in the nuclear energy supply chain.
Curated from InvestorBrandNetwork (IBN)
