Company: PRMLF
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022391
Chunk: 185

Company: NexMetals Mining Corp.
Filing Date: 2025-11-13
Form: 10-Q
Item: Item 2
Chunk 185
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351 for the three and nine months ended September 30, 2025, respectively, primarily due to amendments to the
    Company’s board compensation plan in 2025 that reduced overall director remuneration. Additionally, only the cash retainer
    portion of the 2025 director fees has been paid to date, with the issuance of DSUs expected in the fourth quarter of 2025.

    ●
    Fair value movement
    of DSUs reflects mark-to-market adjustments to the DSU liability arising from changes in the Company’s Common Share price.
    Fair value gains reflect a decrease in the Common Share price during the reporting period.

    ●
    Interest income and
    expense represents interest earned on cash and cash equivalent deposits and interest incurred on the Company’s vehicle
    financing, mortgage payable, and previous lease liabilities. Net interest income increased by $56,993 and $325,709 for the three
    and nine months ended September 30, 2025, respectively. The increase was primarily driven by higher interest income from increased
    cash balances. In addition, interest expense was lower in 2025 as the final instalments on the drilling equipment and Syringa Lodge
    leases were paid in Q2 2024 and Q4 2024, respectively, eliminating related lease interest charges in the current periods.

    ●
    Interest expense and
    accretion on Term Loan comprises accrued interest on the Company’s now-extinguished Term Loan (see “Liquidity
    & Capital Resources – Financings” below), as well as the accretion of related transaction costs and fees. The
    decrease of $786,723 and $1,888,807 for the three and nine months ended September 30, 2025, respectively, relates to the conversion
    of the Term Loan to equity during the first quarter of 2025.

    ●
    Impairment loss relates to care and maintenance costs incurred during the 2023 evaluation period of the Phikwe
    South and Southeast Extension deposits. These costs had previously been capitalized as part of the Selebi Mines acquisition cost.
    Following the Company’s decision not to pursue the acquisition of these deposits, the Company has determined that the carrying
    amount of these costs is no longer recoverable and has therefore recognized an impairment loss.

    ●
    Loss on Term Loan extinguishment
    represents the difference between the fair value of the Settlement Units (defined in “Liquidity &