Company: PRMLF
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0001641172-25-000043
Chunk: 32

Company: NexMetals Mining Corp.
Filing Date: 2025-03-20
Form: 10-K
Item: Item 1A
Chunk 32
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 cash equivalents at the beginning of the period 
     19,245,628  
     5,162,991 
  
    Cash and cash equivalents at the end of the period 
     6,105,933  
     19,245,628 

Operating
Activities

Net
cash used in operating activities for 2024 increased by $8,136,574 compared to 2023 resulting from the ramp-up of drilling, geology,
geophysics, mine development, and other activities at the Mines over the year.

Investing
Activities

Key
investing activities relate to the acquisition of property, plant and equipment. Net cash used in investing activities for 2024 decreased
by $4,232,733 compared to 2023. The higher spending in 2023 was related to the acquisition of mobile equipment and the upfront purchase
of tools and parts for the three drills which were leased in 2023.

Financing
Activities

Net
cash provided by financing activities for 2024 decreased by $24,791,702 compared to 2023. During 2023, the Company obtained a Term Loan
for gross proceeds of approximately $20.0 million and closed private placements for gross proceeds of approximately $39.8 million, using
a portion of those funds to repay a $7.0 million promissory note from Pinnacle Island LP. During 2024, the Company closed private placements
for gross proceeds of approximately $27.5 million.

Liquidity
& Capital Resources

The
Company, being in the exploration and evaluation stage, is subject to risks and challenges similar to companies in a comparable stage
of exploration and evaluation. These risks include the challenges of securing adequate capital for exploration and advancement of the
Company’s material projects, operational risks inherent in the mining industry, and global economic and metal price volatility,
and there is no assurance management will be successful in its endeavors.

-26-

The
properties in which the Company currently has an interest are in the pre-revenue stage. Operating cash outflows are highly dependent
upon the exploration and evaluation programs taking place at that time. As such, the Company is dependent on external financing to fund
its activities and the advancement of its projects. In order to carry out the planned project advancement and cover administrative costs,
the Company will need to use its existing working capital and raise additional amounts as needed.

As
at December 31, 2024, the Company had $6,105,