Company: PRMLF
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001493152-25-011913
Chunk: 21

Company: NexMetals Mining Corp.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 8
Chunk 21
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 financial advisory services. The fair value of these shares was determined to be $5,179,586. In addition to the Common Shares,
the Company incurred various legal, listing and financing fees payable in cash totalling $2,371,203. Certain of these fees were allocated
between the Private Placement and Debt Conversion (Note 8) transactions based on the value of the units issued under each transaction.

All
securities issued as part of the Private Placement are subject to a hold period which expired July 19, 2025, with the exception of the Common
Shares issued to Fiore and Bowering which have a hold period expiring March 19, 2026.

The
fair value of the Common Shares issued under the Private Placement was estimated at $39,048,922 and was determined by applying an implied
discount for lack of marketability to the market observed price on the date of issuance. The fair value of the Private Placements Warrants
was estimated at $6,951,078 using the Black-Scholes Option Pricing Model.

The
fair value of the Private Placement Warrants was calculated using the following assumptions:

SCHEDULE
OF FAIR VALUE OF WARRANTS

    Private Placement Warrants 
  
    Expected dividend yield 
     0%
  
    Share price 
    $5.00 
  
    Expected share price volatility 
     81.8%
  
    Risk free interest rate 
     2.57%
  
    Expected life of warrant 
     3 years 

The
volatility was determined by calculating the historical volatility of the Company’s share price over a 3-year period using daily
closing prices. The formula used to compute historical volatility is the standard deviation of the logarithmic returns. The same implied
discount for lack of marketability for purposes of the Common Shares valuation was also applied to the share price for the Settlement
Warrants valuation.

As
at June 30, 2025, the Company had 21,449,318 Common Shares issued and outstanding (December 31, 2024 – 9,285,424).

Year
ended December 31, 2024

During
the year ended December 31, 2024, 6,313 Common Shares were issued for the net exercise of 13,905 options. In addition, 1,814,070 Common
Shares were issued as a result of the following financing transactions:

On
June 14, 2024, the Company closed the first tranche