Ucore Rare Metals Completes $1.1M Convertible Debenture Conversion, Strengthening Equity Position

Ucore Rare Metals Inc. (TSXV: UCU) (OTCQX: UURAF) has completed the automatic conversion of its remaining $1.1 million in convertible debentures into equity, marking a significant financial milestone for the company focused on rare earth element separation and supply chain innovation. The conversion was triggered when the company's shares closed at $2.20 or higher on the TSX Venture Exchange for 20 consecutive trading days, reaching this threshold on September 2, 2025. This development effectively eliminates all outstanding debenture obligations from the company's balance sheet.

The conversion resulted in Ucore issuing 1,222,219 common shares and 611,108 warrants to debenture holders. The original debentures were issued in May 2020, with 2,800 debentures at $1,000 each carrying a 7.5% annual interest rate. The terms were amended in 2024 to mature on January 31, 2026, with a conversion price of $0.90 per unit. This financial restructuring is particularly important given Ucore's strategic focus on disrupting China's control of the North American rare earth element supply chain through advanced separation technologies.

Notably, certain debentures were held by related parties, including Chairman and CEO Pat Ryan, though the transaction qualified for exemption from MI 61-101 minority approval requirements. The conversion did not create any new insiders or control persons within the company structure. This debt-to-equity conversion strengthens Ucore's financial position as it progresses with its development plans, including a heavy and light rare-earth processing facility in Louisiana and subsequent strategic metal complexes in Canada and Alaska.

The company's broader vision involves becoming a leading advanced technology provider in metal separation products and services for the mining and mineral extraction industry. Ucore's long-term strategy also includes developing its 100% controlled Bokan-Dotson Ridge Rare Heavy REE Project on Prince of Wales Island in Southeast Alaska. Investors can access the latest news and updates relating to UURAF through the company's newsroom available at https://ibn.fm/UURAF. The completion of this conversion represents a crucial step in Ucore's financial management and capital structure optimization as it advances its rare earth element separation technology and supply chain initiatives.