Oceanic Iron Ore Secures C$50M to Fuel Québec 'Green Steel' Ambitions

VANCOUVER, BC – February 12, 2026 – Oceanic Iron Ore Corp. (TSXV: FEO) has successfully closed a landmark C$50 million financing, providing a significant capital injection to propel its portfolio of iron ore projects in Northern Québec's Labrador Trough. The move, strongly supported by a cohort of high-profile investors, positions the company to aggressively advance permitting and development, particularly at its flagship Hopes Advance project, which shows promising potential to supply the burgeoning 'green steel' market.

A Financial Overhaul for Strategic Growth

Oceanic announced the closing of the C$50,000,100 private placement on Thursday, a complex transaction that fundamentally reshapes its financial standing. The financing was achieved through the issuance of over 66.6 million units at a price of C$0.75 each. Each unit consists of one common share and one-half of one warrant, with each whole warrant allowing the holder to purchase an additional share at C$0.95 until February 2029.

The offering was a hybrid effort, comprising a C$12.9 million 'bought deal' brokered placement, led by National Bank Financial Inc. and Haywood Securities Inc., and a larger C$37.1 million non-brokered placement.

Crucially, the transaction was timed with the conversion of all the company's outstanding convertible debentures. This strategic maneuver cleanses Oceanic's balance sheet of debt, converting it into 32.9 million common shares and an equal number of warrants. Following the financing and conversions, the company's issued and outstanding common shares now stand at 254,552,802. While this represents significant dilution for prior shareholders, the move provides the company with a robust treasury and a streamlined capital structure essential for undertaking a major development project.

Insider Confidence Signals Major Potential

Perhaps the most telling aspect of the financing is the powerful vote of confidence from the company's key insiders and prominent market figures. Billionaire investors Frank Giustra and Ryan Beedie, along with company Chairman Steven Dean, participated significantly in the non-brokered portion of the offering and converted their substantial debenture holdings.

Frank Giustra, a mining magnate renowned for building industry giants like Goldcorp and Endeavour Mining, acquired 4 million units for C$3 million and converted several debentures. His direct and indirect holdings now represent 16.34% of the company's outstanding shares. Similarly, Ryan Beedie, through Beedie Capital, also invested C$3 million for 4 million units and converted his debentures, bringing his stake to 16.65%.

The concerted effort by these seasoned investors to increase their equity exposure signals a deep-seated belief in the economic viability of Oceanic’s assets and its strategic direction. By converting debt to equity alongside a fresh cash injection, these insiders are tying their financial outcomes directly to the long-term success of the Hopes Advance project, a move that speaks volumes to the broader market.

Powering the Hopes Advance Project

The net proceeds from the C$50 million financing are earmarked to bring the company's iron ore projects out of stasis and into active development. The primary focus is the 100%-owned Hopes Advance project, a massive deposit with a NI 43-101 compliant resource of approximately 1.39 billion tonnes of measured and indicated iron ore.

A 2019 Preliminary Economic Assessment (PEA) for Hopes Advance outlined a project with a 28-year mine life and a post-tax net present value of USD$1.4 billion. One of the project's most significant advantages is its strategic location at tidewater on the coast of Québec. This eliminates the need for costly rail infrastructure—often a multi-billion-dollar expense for remote mines—to transport bulk material to port, giving it a distinct structural advantage over many of its peers.

With capital now secured, Oceanic can move forward with critical path activities, including detailed engineering, environmental baseline studies, and the multi-stage permitting process with Québec and local authorities. The funding is the catalyst needed to de-risk the project from a planning and regulatory perspective, moving it closer to a construction decision.

Tapping into the 'Green Steel' Revolution

Beyond simply advancing a large-scale mine, Oceanic’s new funding allows it to strategically align the Hopes Advance project with the most significant trend in the global steel industry: decarbonization. The global push for 'green steel'—produced with significantly lower carbon emissions—has created a voracious appetite for high-grade, low-impurity iron ore.

Recent metallurgical test work on Hopes Advance ore has been a game-changer. The company confirmed it can produce a high-grade, direct reduction (DR) product with a grade of 68% iron and very low silica content of 2%. This type of ore is essential for Direct Reduced Iron (DRI) production, a key pathway for making steel with natural gas or, ultimately, green hydrogen, thereby slashing CO2 emissions by up to 85% compared to traditional coal-fired blast furnaces.

As governments worldwide, particularly in the EU, implement carbon taxes and border adjustments like CBAM, steelmakers are scrambling to secure stable supplies of DR-grade pellets. This has created a substantial price premium for high-grade ore. By demonstrating this capability, Oceanic's Hopes Advance project is no longer just a potential supplier of standard blast furnace feed but a potential provider of a critical input for the future of steelmaking. This versatility greatly enhances the project's economic appeal and strategic importance in a world increasingly focused on sustainability and supply chain security.