Company: PRMLF
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0001641172-25-000043
Chunk: 87

Company: NexMetals Mining Corp.
Filing Date: 2025-03-20
Form: 10-K
Item: Item 1A
Chunk 87
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In
connection with the A&R Promissory Note, interest and accretion expense of $nil was recorded for the year ended December 31, 2024
(2023 - $682,547).

The
fair value of the liability of the Lender Warrants was estimated at $116,177 using the Black-Scholes Option Pricing Model. The fair value
of the Lender Warrants and the amendment and restatement fee of $225,000 was added to the liability of the A&R Promissory Note and
amortized over the remaining life of the A&R Promissory Note. 

The
fair value of the Lender warrants was calculated using the following assumptions:

SCHEDULE
OF LENDER WARRANTS

    March 17, 2023 
  
    Expected dividend yield 
     0%
  
    Share price 
    $1.40 
  
    Expected share price volatility 
     77.2%
  
    Risk free interest rate 
     3.49%
  
    Expected life of warrant 
     1 year 

The
volatility was determined by calculating the historical volatility of share prices of the Company over one year using daily closing prices.
The formula used to compute historical volatility is the standard deviation of the logarithmic returns.

    F-23

Notes
to the Consolidated Financial Statements

For
the years ended December 31, 2024 and 2023

(Expressed
in Canadian dollars)

On
June 28, 2023, the Company repaid the A&R Promissory Note in full, and on March 17, 2024, the Lender Warrants expired unexercised.

12.
SHARE CAPITAL

The
authorized capital of the Company comprises an unlimited number of Common Shares without par value and 20,000,000 Preferred Shares, issuable
in series, of which 4,000,000 are authorized to be designated as Series 1 Convertible Preferred Shares.

There
are currently 118,186 Series 1 Convertible Preferred Shares outstanding, without par value, which are convertible at a ratio of 9:1,
to 13,131 Common Shares.

a)Common
                                            Shares Issued and Outstanding

Year
ended December 31, 2024

During
the year ended December 31, 2024, 126,259 Common Shares were issued for the net exercise of 278,100 options. In addition, 36,281,