Company: PRMLF
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001493152-25-011913
Chunk: 18

Company: NexMetals Mining Corp.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 8
Chunk 18
---
 $ 
  
    Term Loan balance, December 31, 2023 
     17,956,423 
  
    Accrued interest 
     2,082,530 
  
    Accretion of warrant value and transaction costs 
     1,026,789 
  
    Interest paid 
     (2,082,530)
  
    Term Loan balance, December 31, 2024 
     18,983,212 
  
    Accrued interest 
     268,896 
  
    Accretion of warrant value and transaction costs 
     159,475 
  
    Interest paid 
     (268,896)
  
    Debt Conversion 
     (19,142,687)
  
    Term Loan balance, June 30, 2025 
     - 

9. NSR OPTION 

In
2023, Cymbria paid an aggregate of $2,750,000 (“Option Payment”) to two subsidiaries of NEXM to acquire a right to
participate with such subsidiaries in the exercise of certain contractual rights. The Option Payment was allocated to PNRP and PNGP (defined
below) for $2,500,000 and $250,000, respectively.

As
the NSR options are exercisable entirely at the discretion of Cymbria and the underlying projects are in the exploration stage, the fair
value of the call and put on the options as at June 30, 2025 and December 31, 2024 is $nil. The Option payment received in cash was recorded
as a non-current liability.

    18

Notes to the Unaudited Condensed Interim Consolidated Financial Statements

For the three and six months ended June 30, 2025 and 2024

(Expressed in Canadian dollars)

NEXM’s
indirect wholly-owned subsidiary Premium Nickel Resources Proprietary Limited (“PNRP”) acquired the Selebi Mines in
January 2022 out of liquidation. Pursuant to the acquisition agreement, the liquidator retained a 2% net smelter returns royalty on the
Selebi Mines. PNRP has a contractual right to repurchase one-half of the Selebi NSR at a future time on payment by PNRP to the liquidator
of $27,286,000 (US$20,000,000).

PREM’s
indirect wholly-owned subsidiary Premium Nickel Group Proprietary Limited (“PNGP”) acquired the Selk