# EDGAR Filing Document

**Accession Number:** 0002107523
**File Stem:** 0001493152-26-005598
**Filing Date:** 2026-2
**Character Count:** 3964962
**Document Hash:** e329676cd33e5aaafa1b4ec27e84bdea
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001493152-26-005598.hdr.sgml**: 20260206

**ACCESSION NUMBER**: 0001493152-26-005598

**CONFORMED SUBMISSION TYPE**: S-4

**PUBLIC DOCUMENT COUNT**: 214

**FILED AS OF DATE**: 20260206

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Titan Holdings Corp.
- **CENTRAL INDEX KEY:** 0002107523

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** S-4
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-293277
- **FILM NUMBER:** 26608219

**BUSINESS ADDRESS:**
- **STREET 1:** 701 BRICKELL AVE., SUITE 1550
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131
- **BUSINESS PHONE:** 305-728-5376

**MAIL ADDRESS:**
- **STREET 1:** 701 BRICKELL AVE., SUITE 1550
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131
**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Key Mining Corp.
- **CENTRAL INDEX KEY:** 0001879717
- **STANDARD INDUSTRIAL CLASSIFICATION:** METAL MINING [1000]
- **ORGANIZATION NAME:** 01 Energy & Transportation
- **EIN:** 844768662
- **STATE OF INCORPORATION:** DE

**FILING VALUES:**
- **FORM TYPE:** S-4
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-293277-01
- **FILM NUMBER:** 26608220

**BUSINESS ADDRESS:**
- **STREET 1:** 701 BRICKELL AVE SUITE 1550
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131
- **BUSINESS PHONE:** 786-427-3547

**MAIL ADDRESS:**
- **STREET 1:** 701 BRICKELL AVE SUITE 1550
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Key Metals Corp.
- **DATE OF NAME CHANGE:** 20210823

?xml version='1.0' encoding='ASCII'?

**As filed with the U.S. Securities and Exchange Commission on February 6, 2026.**

**Registration No. 333-**

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**Form S-4**

**REGISTRATION STATEMENT**

**UNDER**

**THE SECURITIES ACT OF 1933**

**Titan Holdings Corp.**

**(Exact name of registrant as specified in its charter)**

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| | | |
|:---|:---|:---|
| **Delaware** | **1000** | **N/A** |
| (State or other jurisdiction of<br> incorporation or organization) | (Primary Standard Industrial<br> Classification Code Number) | (I.R.S. Employer<br> Identification Number) |

---

**For co-registrant, see "Table of Co-Registrant" on the following page.**

**701 Brickell Avenue, Suite 1550**

**Miami, FL 33131**

**(786) 847-3320**

**(Address, including zip code, and telephone number, including area code, of registrant's principal executive** **offices)**

**Thomas D. Hennessy**

**Chief Executive Officer**

**701 Brickell Avenue** **, Suite 1550**

**Miami, FL 33131**

**(786) 847-3320**

**(Name, address, including zip code, and telephone number, including area code, of agent for service)**

***Copies to:***

---

| | |
|:---|:---|
| **Stuart Neuhauser, Esq.**<br>**Joshua Englard, Esq.**<br>**Matthew Gray, Esq.**<br>**Ellenoff Grossman & Schole LLP**<br>**1345 Avenue of the Americas**<br>**New York, NY 10105**<br>**(212) 370-1300** | **Joseph Walsh, Esq.**<br>**Troutman Pepper Locke LLP**<br>**875 Third Avenue**<br>**New York, NY 10022**<br>**(212) 704-6000**<br>|

---

**Approximate date of commencement of proposed sale of the securities to the public: As soon as practicable after this Registration Statement becomes effective.**

If the securities being registered on this Form are being offered in connection with the formation of a holding company and there is compliance with General Instruction G, check the following box: ☐

If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐ Accelerated filer ☐ <br> Non-accelerated ☒ Smaller reporting company ☒ <br> Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of the Securities Act. ☐

If applicable, place an X in the box to designate the appropriate rule provision relied upon in conducting this transaction:

Exchange Act Rule 13e-4(i) (Cross-Border Issuer Tender Offer) ☐

Exchange Act Rule 14d-1(d) (Cross-Border Third-Party Tender Offer) ☐

**The registrant and co-registrant hereby amend this Registration Statement on such date or dates as may be necessary to delay its effective date until the registrant and co-registrants shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933, as amended, or until the Registration Statement shall become effective on such date as the Securities and Exchange Commission, acting pursuant to Section 8(a), may determine.**

**TABLE OF CO-REGISTRANT**

---

| | | | |
|:---|:---|:---|:---|
| **Exact Name of Co-Registrant as Specified in its Charter<sup>(1)(2)</sup>** | **State or Other Jurisdiction of Incorporation or Organization** | **Primary** **Standard Industrial**<br> **Classification** **Code Number** | **I.R.S. Employer** <br> **Identification** **Number** |
| Key Mining Corp. | Delaware | 1000 | 84-4768662 |

---

(1) The co-registrant has the following principal executive offices:

Key Mining Corp.

701 Brickell Avenue, Suite 1550

Miami, FL 33131

(786) 847-3320

(2) The agent for service for the co-registrant is:

Cesar A. López Alarcón

Chief Executive Officer

Key Mining Corp.

701 Brickell Avenue, Suite 1550

Miami, FL 33131

(786) 847-3320

**The information in this preliminary proxy statement/prospectus is not complete and may be changed. The registrant may not sell or issue these securities offered by this preliminary proxy statement/prospectus until the registration statement filed with the Securities and Exchange Commission, of which this proxy statement/prospectus is a part, is declared effective. This preliminary proxy statement/prospectus does not constitute an offer to sell these securities and it is not soliciting an offer to buy these securities in any state or other jurisdiction where the offer or sale is not permitted.**

---

| | |
|:---|:---|
| **PRELIMINARY PROXY STATEMENT/PROSPECTUS** | **SUBJECT TO COMPLETION, DATED FEBRUARY 6, 2026** |

---

**PROXY STATEMENT FOR EXTRAORDINARY GENERAL MEETING OF SHAREHOLDERS OF COMPASS DIGITAL ACQUISITION CORP.**

**AND**

**PROSPECTUS FOR**

**UP TO 25,568,467 SHARES OF COMMON STOCK, WARRANTS TO PURCHASE 16,270,316 SHARES OF COMMON STOCK** **AND**

**1,164,525 SHARES OF COMMON STOCK UNDERLYING THE STOCK OPTIONS OF TITAN HOLDINGS CORP.**

To the Shareholders of Compass Digital Acquisition Corp. ("<u>CDAQ Shareholders</u>"):

You are cordially invited to attend the extraordinary general meeting (the "<u>Meeting</u>") of the shareholders of Compass Digital Acquisition Corp., a Cayman Islands exempted company ("<u>CDAQ</u>"), which will be held at ______ a.m., Eastern Time, on ______, 2026. The Meeting will be held at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually over the Internet by means of a live audio webcast. You or your proxyholder will be able to attend and vote at the Meeting in person or by visiting *https://www.cstproxy.com/______* and using a control number assigned by Continental Stock Transfer & Trust Company. To register and receive access to the Meeting, registered shareholders and beneficial owners (those holding shares through a stock brokerage account or by a bank or other holder of record) will need to follow the instructions applicable to them provided in this proxy statement/prospectus. This proxy statement/prospectus includes additional instructions on how to access the Meeting and how to listen, vote and submit questions from home or any remote location with Internet connectivity.

CDAQ is a Cayman Islands exempted company structured as a blank check company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities.

On January 6, 2026, CDAQ entered into an agreement and plan of merger (as amended, the "<u>Merger Agreement</u>") with Titan Holdings Corp., a newly formed Delaware corporation and a direct wholly-owned subsidiary of CDAQ ("<u>Pubco</u>"), Titan SPAC Merger Sub Corp., a newly formed Cayman Islands exempted company and a direct wholly-owned subsidiary of Pubco ("<u>Purchaser Merger Sub</u>"), Titan Merger Sub Inc., a newly formed Delaware corporation and a direct wholly-owned subsidiary of Pubco ("<u>Company Merger Sub</u>" and, together with the Purchaser Merger Sub, the "<u>Merger Subs</u>"), and Key Mining Corp., a Delaware corporation ("<u>KMC</u>"), for a proposed business combination between CDAQ and KMC (the "<u>Business Combination</u>").

Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco (the "<u>Purchaser Merger</u>"), and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco (the "<u>Company Merger</u>" and, together with the Purchaser Merger, the "<u>Mergers</u>" and, together with the other transactions contemplated by the Merger Agreement, the "<u>Transactions</u>"), and with KMC stockholders receiving shares of common stock of Pubco ("<u>Pubco Common Stock</u>") and with Pubco assuming all KMC options ("<u>KMC Options</u>") that are outstanding immediately prior to the effective time of the Mergers (the "<u>Effective Time</u>") and all KMC warrants that are outstanding immediately prior to the Effective Time ("<u>KMC Warrants</u>"). Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

Pursuant to the Merger Agreement, the total consideration to be paid by Pubco to the KMC stockholders (excluding holders of KMC Options and KMC Warrants) ("<u>KMC Sellers</u>") at the Effective Time will be an amount equal to $230.0 million (the "<u>Merger Consideration</u>"), which will be paid entirely in shares of Pubco Common Stock, with each share valued at $10.00 per share. Each KMC stockholder will receive a number of shares of Pubco Common Stock equal to the result of dividing the "Per Share Price" (as defined in the Merger Agreement) by $10.00. No fractional shares of Pubco Common Stock will be issued, instead the number of shares issued to each recipient will be rounded up to the nearest whole share. Outstanding KMC Options and KMC Warrants will be assumed by Pubco and converted into options and warrants to acquire shares of Pubco Common Stock with the same terms as the existing KMC Options and KMC Warrants, except that the exercise price and number of shares will be adjusted based on the conversion ratio of common stock of KMC (the "<u>KMC Common Stock</u>") to Pubco Common Stock. The Pubco Common Stock issued as Merger Consideration and the Pubco options and warrants that are issued following the assumption of KMC Options and KMC Warrants by Pubco are not subject to any contractual post-closing lock-up or transfer restrictions.

At the Effective Time, every issued and outstanding unit issued in CDAQ's initial public offering ("<u>CDAQ IPO</u>") (including over-allotment units acquired by CDAQ's underwriter) consisting of one (1) CDAQ Ordinary Share (as defined below) and one-third of one CDAQ Public Warrant (as defined below) (the "<u>CDAQ Public Unit</u>") shall be automatically separated and the holder thereof shall be deemed to hold one Class A ordinary share, par value $0.0001 per share, of CDAQ (the "<u>CDAQ Class A Ordinary Share</u>"), and one-third (1/3rd) of one whole warrant that is included as part of each CDAQ Public Unit, entitling the holder thereof to purchase one (1) CDAQ Class A Ordinary Share at a purchase price of $11.50 per share (the "<u>CDAQ Public Warrant</u>"). At the Effective Time, each issued and outstanding CDAQ Class A Ordinary Share that is not redeemed or converted in the Closing Redemption (as defined in the Merger Agreement) and each Class B ordinary share, par value $0.0001 per share, of CDAQ (the "<u>CDAQ Class B Ordinary Share</u>" and, together with Class A Ordinary Shares, the "<u>CDAQ Ordinary Shares</u>") shall be converted automatically into and thereafter represent the right to own one share of Pubco Common Stock. Following the Effective Time, all CDAQ Ordinary Shares shall cease to be outstanding and shall automatically be canceled and shall cease to exist. At the Effective Time, each issued and outstanding CDAQ Public Warrant shall be assumed by Pubco and converted into one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share (the "<u>Pubco Public Warrant</u>") and each issued and outstanding whole warrant that was issued to the Compass Digital SPAC LLC (the "<u>Legacy Sponsor</u>") in a CDAQ Private Placement (as defined below) that closed simultaneously with the CDAQ IPO, with each whole warrant entitling the holder thereof to purchase one (1) CDAQ Class A Ordinary Share at a purchase price of $11.50 per share (the "<u>CDAQ Private Warrant</u>") shall be assumed by Pubco and converted into one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share (the "<u>Pubco Private Warrant</u>"). At the Effective Time, the public warrants of CDAQ ("<u>CDAQ Public Warrants</u>") and CDAQ Private Warrants shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each of the Pubco Public Warrants shall have, and be subject to, substantially the same terms and conditions set forth in the CDAQ Public Warrants, except that in each case they shall represent the right to acquire shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares.

Simultaneously with the execution of the Merger Agreement, certain KMC stockholders that are insiders, or affiliates of insiders, KMC and CDAQ entered into voting agreements (each, a "<u>Voting Agreement</u>"), pursuant to which, among other things, each KMC stockholder party thereto agreed (a) to support and vote in favor of the adoption of the Merger Agreement and the approval of the Transactions, subject to certain customary conditions, and (b) not to transfer any of their equity interests in KMC (or enter into any arrangement with respect thereto), subject to certain customary conditions. The Voting Agreements cover approximately 20.75% of KMC's outstanding voting securities as of the date of the Merger Agreement.

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and HCG Opportunity, LLC, a Delaware limited liability company (the "<u>Sponsor</u>" and, together with the Legacy Sponsor, the "<u>Sponsors</u>"), entered into a letter agreement (the "<u>Sponsor Letter Agreement</u>"), pursuant to which the Sponsor agreed to (i) vote all of its CDAQ Class A Ordinary Shares and its CDAQ Class B Ordinary Shares in favor of the Merger Agreement and the Transactions, (ii) waive certain of its anti-dilution protections on its CDAQ Class B Ordinary Shares, and (iii) convert at the closing of Business Combination (the "<u>Closing</u>") all amounts outstanding under that certain promissory note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 (the "<u>Sponsor Loan Note</u>") into CDAQ Class A Ordinary Shares at $10.00 per share, and that upon the issuance and delivery of the CDAQ Class A Ordinary Shares to the Sponsor, the Sponsor Loan Note shall be deemed satisfied in full.

In connection with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ shareholders, officers and directors entered into an amendment (the "<u>Second Letter Agreement Amendment</u>") to amend the letter agreement that was initially entered into in connection with the CDAQ IPO (as amended, the "<u>Letter Agreement</u>"). The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC stockholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions of the Letter Agreement are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

Prior to the Closing, Pubco, CDAQ, the Sponsor, and the other holders of registrable securities under the registration rights agreement which was entered into at the CDAQ IPO (the "<u>Founder Registration Rights Agreement</u>") will enter into an amendment to the Founder Registration Rights Agreement (the "<u>Founder Registration Rights Agreement Amendment</u>"), pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities parties thereto will have substantially the same priorities and registration rights as the KMC stockholders under the Seller Registration Rights Agreement (as defined below).

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into a registration rights agreement (the "<u>Seller Registration Rights Agreement</u>"), pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment).

Upon the completion of the Business Combination and the consummation of one or more financings ("<u>Transaction Financings</u>") for gross proceeds sufficient to meet the minimum cash condition of at least $5.0 million at Closing, and assuming, among other things, that no holders (the "<u>CDAQ Public Shareholders</u>") of CDAQ Class A Ordinary Shares included in the CDAQ Public Units issued in the CDAQ IPO (the "<u>CDAQ Public Shares</u>") exercise redemption rights with respect to their CDAQ Public Shares upon completion of the Business Combination, that 1,000,000 shares of Pubco Common Stock are to be issued to investors ("<u>PIPE Investors</u>") in connection with the Transaction Financings, that there are no pre-Closing transfers, distributions or forfeitures of securities held by the Sponsor, and that no shares of Pubco Common Stock are issued pursuant to the Key Mining Holdings Corp. Omnibus Incentive Compensation Plan (the "<u>Incentive Plan</u>"), (i) the CDAQ Public Shareholders, (ii) the Sponsors (including shares to be transferred to certain investors (the "<u>Non-Redemption Investors</u>") pursuant to various non-redeeming non-redemption agreements), (iii) Polar Multi-Strategy Master Fund ("<u>Polar</u>"), (iv) KMC Sellers, and (v) PIPE Investors, in each case, will own approximately 0.4%, 20.6%, 5.1%, 70.1% and 3.8% of the issued and outstanding shares of Pubco Common Stock, respectively, without any conversion or exercise of notes, options or warrants. See the section entitled "*Summary of the Proxy Statement/Prospectus — Ownership of Pubco After the Business Combination*," "*Questions and Answers About the Proposals — What equity stake will current CDAQ Public Shareholders, the Sponsor and their affiliates and the KMC Sellers hold in Pubco immediately after the completion of the Business Combination and the Transaction Financings?*" in the accompanying proxy statement/prospectus.

The price per share paid for Pubco Common Stock by the CDAQ Public Shareholders is $10.00 per share. The price per share paid for Pubco Common Stock to be received in exchange for Founder Shares is $0.004 per share. Assuming a price per share of Pubco Common Stock based on the closing price of CDAQ Class A Ordinary Shares on OTCID Basic Market as of ______, 2026 of $______, the aggregate value of the consideration to be received by CDAQ Public Shareholders will be approximately $______ million. The aggregate value of the consideration to be received by the Sponsor (before the transfer of shares to the Non-Redemption Investors), consisting of 3,267,186 shares of Pubco Common Stock and 4,645,398 Private Warrants of Pubco, will be approximately $______ million. The aggregate value of the consideration to be received by KMC Sellers, consisting of 18,623,329 shares of Pubco Common Stock, will be approximately $______ million.

Proposals to approve the Merger Agreement and the other matters discussed in this proxy statement/prospectus will be presented at the Meeting scheduled to be held on ______, 2026.

CDAQ did not obtain a third-party valuation or fairness opinion in connection with the Business Combination.

The CDAQ Class A Ordinary Shares, units of CDAQ ("<u>CDAQ Public Units</u>") and the CDAQ Public Warrants are currently quoted on OTCID Basic Market under the symbols "CDAQF," "CDAQUF" and "CDAQWF," respectively. Pubco intends to apply for listing, to be effective at the time of the Closing, its shares of Pubco Common Stock and Pubco Public Warrants on The Nasdaq Capital Market under the symbols "KMCM" and "KMCMW," respectively. The CDAQ Class A Ordinary Shares, CDAQ Public Units and CDAQ Public Warrants will not trade after the Closing.

**Each of CDAQ and Pubco is an "emerging growth company" as defined in the Jumpstart Our Business Startups Act of 2012 and has elected to comply with certain reduced public company reporting requirements.**

**Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination**

When CDAQ Public Shareholders consider the recommendation of the board of directors of CDAQ (the "<u>CDAQ Board</u>") in favor of approval of the Business Combination and the other proposals discussed in this proxy statement/prospectus (the "<u>Proposals</u>"), CDAQ Public Shareholders should keep in mind that the Sponsor and CDAQ's directors and officers have interests in the Proposals that are different from, or in addition to (and which may conflict with), the interests of a CDAQ Public Shareholder. These interests include, among other things:

● As of the date hereof, the Sponsor is the record holder of 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants, each whole warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share at a purchase price of $11.50 per share. As of the date hereof, the aggregate value of such securities is estimated to be approximately $______ million, assuming (i) the per share value of the 3,093,036 CDAQ Class B Ordinary Shares is the same as the $______ closing price of the CDAQ Class A Ordinary Shares on ______, 2026 and (ii) the per warrant value of the 4,645,398 CDAQ Private Warrants is the same as the $______ closing price of the CDAQ Public Warrant on ______, 2026. Pursuant to various non-redemption agreements, the Sponsor has agreed to transfer to the Non-Redemption Investors an aggregate of 1,492,300 Founder Shares (as defined below) promptly at or following the closing of an initial business combination (but no later than two (2) business days after the satisfaction of the requisite conditions to such transfer);

● If CDAQ does not consummate a business combination by April 20, 2026 (unless extended by CDAQ's shareholders) (the " <u>Business Combination Deadline</u> "), CDAQ will cease all operations except for the purpose of winding up, redeeming 100% of the issued and outstanding CDAQ Public Shares for cash and, subject to the approval of its remaining shareholders and its board of directors, dissolving and liquidating. In such event, the 5,310,122 CDAQ Class B Ordinary Shares (the " <u>Founder Shares</u> ") held by the Legacy Sponsor and the Sponsor would be worthless because holders of Founder Shares are not entitled to participate in any redemption or distribution with respect to such shares. The aggregate value of the Founder Shares, assuming a per share value equal to the $______ closing price of the CDAQ Public Shares on ______, 2026, is estimated to be approximately $______ million. The Founder Shares were initially issued for an aggregate price of only $25,000. This means that if the Business Combination is consummated, the Sponsors would likely recoup their initial investment in CDAQ and make a substantial profit on that investment, even if the shares of Pubco Common Stock trade at a significant discount to the current price of the CDAQ Class A Ordinary Shares causing the CDAQ Public Shareholders to experience a negative rate of return in the Pubco;

● In order to finance transaction costs in connection with an initial business combination, the Initial Shareholders, the Sponsor or an affiliate of the Initial Shareholders or the Sponsor, or certain of the prior directors and officers or current directors and officers may, but are not obligated to, provide CDAQ working capital loans (the " <u>Working Capital Loans</u> "). Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of an initial business combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of an initial business combination into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ Private Warrants. In the event that an initial business combination does not close, CDAQ may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans. CDAQ has issued two unsecured promissory notes, one of which is the Sponsor Loan Note in the aggregate principal amount of up to $2,500,000 to the Sponsor, as further described under the heading "*Information About CDAQ*," for CDAQ's working capital (including potential extension funding) needs. As of ______, 2026, $1,741,500 was outstanding under the Sponsor Note. Pursuant to the Sponsor Letter Agreement, all amounts outstanding as of the Closing under the Sponsor Loan Note shall be automatically converted, immediately prior to the Purchaser Merger, into CDAQ Class A Ordinary Shares at $10.00 per share. If the Business Combination is not consummated by the Business Combination Deadline, the Sponsor, its officers and their affiliates may not receive any payment in respect of the promissory notes, in whole or in part;

● Polar has agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones pursuant to that certain subscription agreement, dated September 6, 2023, by and among CDAQ, the Sponsor and Polar (the " <u>Polar Subscription Agreement</u> "), in order to meet the Sponsor's commitment to CDAQ under a drawdown request. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10) dollars of such funding. In addition, pursuant to the Merger Agreement, immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary Shares pursuant to the Polar Subscription Agreement (together with the shares of Pubco Common Stock to be received in exchange for such shares in the Mergers, the " <u>Polar Shares</u> "). As of ______, 2026, $1,500,000 was drawn down, which is unlikely to be repaid if the Business Combination is not consummated by the Business Combination Deadline;

● If CDAQ is unable to complete a business combination by the Business Combination Deadline, the Sponsor has agreed to indemnify CDAQ in the event that claims for services rendered or products sold to CDAQ or by a prospective target business reduce the amount of funds in the trust account of CDAQ (the " <u>Trust Account</u> ") to below the lesser of (i) $10.00 per CDAQ Public Share and (ii) the actual amount per CDAQ Public Share held in the Trust Account as of the date of the liquidation of the Trust Account. This indemnity does not apply to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account or to any claims under CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the " <u>Securities Act</u> ");

● CDAQ's Sponsor, its officers and directors, and their affiliates are entitled to reimbursement for any out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's behalf, such as identifying, investigating, negotiating and completing an initial business combination. If CDAQ does not complete a business combination by the Business Combination Deadline, CDAQ may not have the cash necessary to reimburse these expenses. As of the date of this proxy statement/prospectus, none of CDAQ's Sponsor, officers and directors, or their affiliates had incurred any expenses which would be reimbursed at the Closing;

● The Legacy Sponsor assigned the existing administrative services agreement with CDAQ, dated October 14, 2021 (the " <u>Administrative Services Agreement</u> ") to the Sponsor. Pursuant to the Administrative Services Agreement, CDAQ is required to pay the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor;

● The anticipated election of ______ as a director of Pubco in connection with the consummation of the Business Combination. As such, in the future, ______ will receive any cash or equity compensation that the Pubco Board determines to pay ______. For more information on Pubco director compensation, see "*Management of Pubco Following the Business Combination*;"

● CDAQ's officers and directors have not been required to, and have not, committed their full time to CDAQ's affairs, which may have resulted in a conflict of interest in allocating their time between CDAQ's operations and its business combination and their other businesses; and

● HCG Opportunity MM (" <u>HCG MM</u> ") is the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Both individuals disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

The foregoing interests present a risk that the Sponsor and CDAQ's officers and directors may be incentivized to complete a business combination with a less favorable target company or on terms less favorable to the CDAQ Public Shareholders rather than to liquidate, in which case the Sponsor would lose its entire investment. As a result, the Sponsor and CDAQ's officers and directors may have a conflict of interest in determining whether Pubco is an appropriate business with which to effectuate a business combination and/or in evaluating the terms of the Business Combination.

The Sponsor considered various factors in its support for the Business Combination. Some benefits to the Sponsor included the opportunity to monetize their interests in CDAQ following the Closing and obtain significant returns in Pubco, especially if Pubco performs well in the public markets. However, the Sponsor also considered detriments, such as the dilution of the Sponsor's ownership stake as described below in the section titled "*The Business Combination — Ancillary Agreements — Second Letter Agreement Amendment*."

**Consideration Received by the Sponsor and its Affiliates**

Set forth below is a summary of the terms and amount of the consideration received or to be received by the Sponsor and its affiliates in connection with the Business Combination and the Transaction Financings, the amount of securities issued or to be issued by Pubco to the Sponsor and its affiliates and the price paid or to be paid for such securities or any related financing transaction.

---

| | | |
|:---|:---|:---|
|  | **Interest in Securities** | **Other Consideration** |
| The Sponsor | At Closing, the Sponsor shall hold a total of 3,267,186 shares of Pubco Common Stock, which consists of (i) shares to be issued in exchange for the 1,560,736 Founder Shares held by the Sponsor, (ii) 174,150 shares underlying outstanding balance of $1,741,500 of the Sponsor Loan Note and (iii) 1,532,300 Founder Shares to be transferred by the Sponsor to the Non-Redemption Investors at or promptly following the Closing. | Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor. |
|  | At Closing, the Sponsor will hold a total of 4,645,398 Pubco Private Warrants to purchase shares of Pubco Common Stock, which will be issued in exchange for CDAQ Private Warrants held by the Sponsor. |  |

---

Because the Founder Shares were purchased at a nominal price, the CDAQ Public Shareholders will incur immediate dilution upon the Closing of the Business Combination. See the sections titled "*Summary of the Proxy Statement/Prospectus — Dilution*," "*Risk Factors — Risks Related to the Business Combination — The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders*" and "*Risk Factors — Risks Related to the Business Combination — CDAQ Public Shareholders who do not redeem their CDAQ Public Shares will experience immediate dilution upon Closing of the Business Combination as a result of the Founder Shares held by the Sponsor, since the value of the CDAQ Class B Ordinary Shares is likely to be substantially higher than the nominal price paid for them, as well as a result of the issuance of the shares of Pubco Common Stock in the Business Combination and the Transaction Financings.*"

The Sponsor may, on or before the Closing of the Business Combination, distribute to its members some or all of the Founder Shares and CDAQ Private Warrants held by it. Except for the intended distribution of CDAQ securities held by the Sponsor pursuant to its governing documents, there are currently no specified circumstances or arrangements under which CDAQ securities held by the Sponsor or its affiliates could be transferred, or that could result in the forfeiture, surrender or cancellation of such securities, subject to certain permitted exceptions for pre-closing distributions or transfers of Sponsor securities (subject, as applicable, to contractual lock-up restrictions).

After careful consideration, the CDAQ Board has unanimously approved the Merger Agreement and the other Proposals described in the accompanying proxy statement/prospectus, and the CDAQ Board has determined that it is advisable to consummate the Business Combination. **The CDAQ Board unanimously recommends that CDAQ Public Shareholders vote "FOR" the Proposals described in the accompanying proxy statement/prospectus (including each of the sub-proposals).**

This proxy statement/prospectus provides you with detailed information about the Business Combination and other matters to be considered at the Meeting. CDAQ encourages you to carefully read this entire document and the documents incorporated by reference. **You should also carefully consider the risk factors described in "*Risk Factors*" on page 55 of this proxy statement/prospectus.**

**THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION, NOR HAS THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE ACCURACY OR ADEQUACY OF THIS PROXY STATEMENT/PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.**

This proxy statement/prospectus is dated ______, 2026, and is first being mailed to CDAQ Public Shareholders on or about ______, 2026.

**COMPASS DIGITAL ACQUISITION CORP.**

**195 US HWY 50, Suite 207** 

**Zephyr Cove, NV 89448**

**NOTICE OF EXTRAORDINARY GENERAL MEETING OF SHAREHOLDERS TO BE HELD ON ______, 2026**

TO THE SHAREHOLDERS OF COMPASS DIGITAL ACQUISITION CORP :

NOTICE IS HEREBY GIVEN that an extraordinary general meeting of shareholders (the "<u>Meeting</u>") of Compass Digital Acquisition Corp., a Cayman Islands exempted company ("<u>CDAQ</u>") will be held at ______ a.m. Eastern Time, on ______, 2026, at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually over the Internet by means of a live audio webcast. You or your proxyholder will be able to attend and vote at the Meeting in person or by visiting *https://www.cstproxy.com/______* and using a control number assigned by Continental Stock Transfer & Trust Company. You can participate in the Meeting, vote, and submit questions via live webcast by visiting with the password of and entering the voter control number included on your proxy card. You will not be required to attend the Meeting in person in order to vote, and CDAQ encourages virtual participation. You are cordially invited to attend the Meeting via the live webcast noted above, and will be asked to consider and vote upon the following proposals:

---

| | |
|:---|:---|
| (1) | The Business Combination Proposal — to consider and vote upon by way of an ordinary resolution a proposal to approve and adopt the agreement and plan of merger, dated January 6, 2026 and as amended on February 5, 2026 (the "<u>Merger Agreement</u>"), entered into by CDAQ with Titan Holdings Corp., a newly formed Delaware corporation and a direct wholly-owned subsidiary of CDAQ ("<u>Pubco</u>"), Titan SPAC Merger Sub Corp., a newly formed Cayman Islands exempted company and a direct wholly-owned subsidiary of Pubco ("<u>Purchaser Merger Sub</u>"), Titan Merger Sub Inc., a newly formed Delaware corporation and a direct wholly-owned subsidiary of Pubco ("<u>Company Merger Sub</u>" and, together with the Purchaser Merger Sub, the "<u>Merger Subs</u>"), and Key Mining Corp., a Delaware corporation ("<u>KMC</u>"), for a proposed business combination between CDAQ and KMC (the "<u>Business Combination</u>"). |
|  | We refer to this proposal as the "<u>Business Combination Proposal</u>." The Business Combination Proposal is described in more detail in the accompanying proxy statement/prospectus under the heading "*The Business Combination Proposal*," and a copy of the Merger Agreement is attached to the accompanying proxy statement/prospectus as <u>Annex A</u>. |
| (2) | *The Merger Proposal* — to consider and vote upon, as a special resolution, a proposal to approve and authorize a plan of merger (the "<u>Plan of Merger</u>") by and between CDAQ and Purchaser Merger Sub, substantially in the form attached hereto as <u>Annex B</u>. |
|  | We refer to this proposal as the "<u>Merger Proposal</u>." The Merger Proposal is described in more detail in the accompanying proxy statement/prospectus under the heading "*The Merger Proposal*," and a copy of the Plan of Merger is attached to the accompanying proxy statement/prospectus as <u>Annex B</u>. |
| (3) | *The Pubco Charter Proposal* — to consider and vote upon by way of an ordinary resolution a proposal to adopt the amended and restated certificate of incorporation of Pubco (the "<u>Pubco Charter</u>") and the amended and restated bylaws of Pubco (the "<u>Pubco Bylaws</u>"), substantially in the form attached to this proxy statement/prospectus as <u>Annexes C</u> and <u>D</u>, respectively (collectively, the "<u>Proposed Organizational Documents</u>"), which are necessary to adequately address the needs of Pubco following the closing of the Business Combination (the "<u>Closing</u>"). All holders (the "<u>CDAQ Public Shareholders</u>") of CDAQ Class A ordinary shares, par value $0.0001 per share, of CDAQ (the "<u>CDAQ Class A Ordinary Shares</u>") issued in the initial public offering of CDAQ (the "<u>CDAQ IPO</u>") (such shares, the "<u>CDAQ Public Shares</u>") are encouraged to read the Proposed Organizational Documents in their entirety. We refer to this proposal as the "<u>Pubco Charter Proposal</u>." The Pubco Charter Proposal is described in more detail in the accompanying proxy statement/prospectus under heading "*The Pubco Charter Proposal*." |

---

&nbsp;&nbsp;&nbsp;&nbsp;(4) *The Organizational Documents Proposals* — to consider and vote upon by way of an ordinary resolution, a proposal to approve,
 on a non-binding advisory basis, seven separate proposals to approve the material differences between CDAQ's amended and restated
 memorandum and articles of association, as currently in effect (the " <u>CDAQ Memorandum and Articles</u> "), and the Proposed
 Organizational Documents. We refer to these proposals as the " <u>Organizational Documents Proposals</u>." The
 Organizational Documents Proposals are described in more detail in the accompanying proxy statement/prospectus under the heading
 "*The Organizational Documents Proposals*."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Proposal 4(A) — to approve the provision
 in the Pubco Charter authorizing the issuance of up to 300,000,000 shares, consisting of 250,000,000 shares of common stock, par value
 $0.0001 per share (" <u>Pubco Common Stock</u> "), and 50,000,000 shares of preferred stock, par value $0.0001 per share.

(ii) Proposal 4(B) — to approve the provisions
 of the Pubco Charter requiring the vote of at least 66 <sup>2</sup>⁄<sub>3</sub>% of the voting power of the outstanding shares
 of capital stock, rather than a simple majority to amend or repeal certain provisions of the Pubco Charter.

(iii) Proposal 4(C) — to approve the removal
 of certain provisions relating to Pubco's ongoing existence and to make Pubco's existence perpetual.

(iv) Proposal 4(D) — to approve the removal
 of certain provisions relating to CDAQ's status as a special purpose acquisition company.

(v) Proposal 4(E) — to expressly consent
 to the selection of Delaware as the sole and exclusive forum for the resolution of certain stockholder litigation and the federal district
 courts of the United States as the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities
 Act.

(vi) Proposal 4(F) — to approve the provisions in the proposed Pubco
 Charter prohibiting stockholders of Pubco from acting by written consent.

(vii) Proposal 4(G) — to approve the provisions in the proposed Pubco
 Charter permitting stockholders to remove a director from office only for cause.

&nbsp;&nbsp;&nbsp;&nbsp;(5) *The Director Election Proposal* — to consider and vote upon by way of an ordinary resolution a proposal to elect five directors
 to serve on the board of directors of Pubco (the " <u>Pubco Board</u> ") following consummation of the Business Combination
 for the applicable term under the Pubco Charter, or until such directors' successors have been duly elected and qualified,
 or until such directors' earlier death, resignation, retirement or removal. We refer to this proposal as the " <u>Director Election Proposal</u>." The Director Election Proposal is described in more detail in the accompanying proxy statement/prospectus
 under the heading "*The Director Election Proposal*."

(6) *The Incentive Plan Proposal* — to consider and vote upon by way of an ordinary resolution a proposal to approve and adopt the
 Key Mining Holdings Corp. Omnibus Incentive Compensation Plan, referred to as the " <u>Incentive Plan</u>." The form of
 Incentive Plan to become effective upon consummation of the Business Combination is appended to the accompanying proxy statement/prospectus
 as <u>Annex E</u>. The Pubco Board intends to adopt the Incentive Plan, subject to approval of shareholders of CDAQ (" <u>CDAQ Shareholders</u> "), effective upon the Closing, to be used by Pubco on a going-forward basis from the Closing. We refer to
 this proposal as the " <u>Incentive Plan Proposal</u>." The Incentive Plan Proposal is described in more detail in the
 accompanying proxy statement/prospectus under the heading "*The Incentive Plan Proposal*."

(7) *The Adjournment Proposal* — to consider and vote upon by way of an ordinary resolution a proposal to adjourn the Meeting to
 a later date or dates, if it is determined by CDAQ that additional time is necessary or appropriate to complete the Business Combination
 or for any other reason. We refer to this proposal as the " <u>Adjournment Proposal</u>." The Adjournment Proposal is
 described in more detail in the accompanying proxy statement/prospectus under the heading "*The Adjournment Proposal*."

Only holders of record of the CDAQ Class A Ordinary Shares and the Class B ordinary shares, par value $0.0001 per share, of CDAQ (the "<u>CDAQ Class B Ordinary Shares</u>" and, together with the CDAQ Class A Ordinary Shares, the "<u>CDAQ Ordinary Shares</u>") at the close of business on ______, 2026 (the "<u>Record Date</u>") are entitled to notice of the Meeting and to vote and have their votes counted at the Meeting and any adjournments of the Meeting.

Upon the completion of the Business Combination and the consummation of one or more financings ("<u>Transaction Financings</u>") for gross proceeds sufficient to meet the minimum cash condition of at least $5.0 million at Closing (the "<u>Minimum Cash Condition</u>"), and assuming, among other things, that no CDAQ Public Shareholders exercise redemption rights with respect to their CDAQ Public Shares upon completion of the Business Combination, that 1,000,000 shares of Pubco Common Stock are to be issued to investors ("<u>PIPE Investors</u>") in connection with the Transaction Financings, that there are no pre-Closing transfers, distributions or forfeitures of securities held by HCG Opportunity, LLC, a Delaware limited liability company (the "<u>Sponsor</u>"), and that no shares of Pubco Common Stock are issued pursuant to the Incentive Plan, (i) the CDAQ Public Shareholders, (ii) the Sponsor and Compass Digital SPAC LLC, a Delaware limited liability company (the "<u>Legacy Sponsor</u>" and, together with the Sponsor, the "<u>Sponsors</u>") (including shares to be transferred to certain investors (the "<u>Non-Redemption Investors</u>") pursuant to various non-redeeming non-redemption agreements), (iii) Polar Multi-Strategy Master Fund ("<u>Polar</u>"), (iv) KMC stockholders (excluding holders of KMC Options and KMC Warrants) ("<u>KMC Sellers</u>") and (v) PIPE Investors, in each case, will own approximately 110,866, 5,484,272, 1,350,000, 18,623,329 and 1,000,000 shares of Pubco Common Stock, respectively, without any conversion or exercise of notes, options or warrants. See the section entitled "*Summary of the Proxy Statement/Prospectus — Ownership of Pubco After the Business Combination*," "*Questions and Answers About the Proposals — What equity stake will current CDAQ Public Shareholders, the Sponsor and their affiliates and the KMC Sellers hold in Pubco immediately after the completion of the Business Combination and the Transaction Financings?*"

The price per share paid for Pubco Common Stock by the CDAQ Public Shareholders is $10.00 per share. The price per share paid for Pubco Common Stock to be received in exchange for Founder Shares is $0.004 per share. Assuming a price per share of Pubco Common Stock based on the closing price of CDAQ Class A Ordinary Shares on OTCID Basic Market as of ______, 2026 of $______, the aggregate value of the consideration to be received by the CDAQ Public Shareholders (assuming no redemptions) will be approximately $______ million. The aggregate value of the consideration to be received by the Sponsor (before the transfer of shares to the Non-Redemption Investors), consisting of 5,484,272 shares of Pubco Common Stock and 4,645,398 Private Warrants of Pubco, will be approximately $______ million. The aggregate value of the consideration to be received by KMC Sellers, consisting of 18,623,329 shares of Pubco Common Stock, will be approximately $______ million.

After careful consideration, the CDAQ board of directors (the "<u>CDAQ Board</u>") has determined that the Business Combination Proposal, the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal, the Incentive Plan Proposal and the Adjournment Proposal are in the best interests of CDAQ and unanimously recommends that CDAQ Public Shareholders vote or give instruction to vote "FOR" the Business Combination Proposal, "FOR" the Merger Proposal, "FOR" the Pubco Charter Proposal, "FOR" the Organizational Documents Proposals, "FOR" the Director Election Proposal, "FOR" the Incentive Plan Proposal and "FOR" the Adjournment Proposal, if presented. When CDAQ Public Shareholders consider the CDAQ Board's recommendation of the Proposals, CDAQ Public Shareholders should keep in mind that the directors and officers of CDAQ have interests in the Business Combination that may conflict with the interests of a CDAQ Public Shareholder as a CDAQ Shareholder. For a more complete descriptions of these interests, see the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination*."

The CDAQ Board has already approved the Business Combination. Each of the Business Combination Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Incentive Plan Proposal the Adjournment Proposal and the election of each director nominee pursuant to the Director Election Proposal is required to be approved by an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

The Merger Proposal is required to be approved by a special resolution of CDAQ Shareholders, which requires the affirmative vote of a majority of at least two-thirds of the issued and outstanding CDAQ Ordinary Shares as of the Record Date, being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

Approval of the Organizational Documents Proposals is being sought by way of an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. However, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board.

Under the Merger Agreement, the approval by CDAQ Shareholders of the Merger Proposal and the Incentive Plan Proposal are conditions to the consummation of the Business Combination. If any of such Proposals are not approved by CDAQ Shareholders, the Business Combination will not be consummated, unless waived by the parties. Each of the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal and the Incentive Plan Proposal are conditional upon the approval of the Business Combination Proposal. The Adjournment Proposal is not conditioned on the approval of any other proposal.

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

Pursuant to the CDAQ Memorandum and Articles, CDAQ is providing the CDAQ Public Shareholders with the opportunity to redeem, upon the Closing, CDAQ Public Shares then held by them for cash equal to their pro rata share of the aggregate amount on deposit (calculated as of two (2) business days prior to the Closing) in the trust account of CDAQ (the "<u>Trust Account</u>") that holds the proceeds (including interest but less taxes payable) of the CDAQ IPO. For illustrative purposes, based on funds in the Trust Account of approximately $______ million as of ______, 2026, the estimated per share redemption price would have been $______ per share. CDAQ Shareholders are not required to affirmatively vote for or against the Business Combination in order to redeem their CDAQ Public Shares for cash. This means that CDAQ Shareholders who hold CDAQ Public Shares on or before ______, 2026 (two (2) business days before the Meeting) will be eligible to elect to have their CDAQ Public Shares redeemed for cash in connection with the Meeting, whether or not they are holders as of the Record Date, and whether or not such CDAQ Public Shares are voted at the Meeting.

The Sponsors and CDAQ's executive officers and directors have agreed to waive their redemption rights with respect to any CDAQ Ordinary Shares they may hold in connection with the consummation of the Business Combination, and such shares will be excluded from the pro rata calculation used to determine the per-share redemption price.

All CDAQ Shareholders are cordially invited to attend the Meeting. Your vote is important regardless of the number of shares you own. Whether you plan to attend the Meeting or not, to ensure your representation at the Meeting, you are urged to complete, sign, date and return the enclosed proxy card as soon as possible. If you are a holder of record of CDAQ Ordinary Shares, you may also cast your vote via Internet or telephone or in person. If your CDAQ Ordinary Shares are held in an account at a brokerage firm or bank, you must instruct your broker or bank on how to vote your shares or, if you wish to attend the Meeting and vote yourself, obtain a proxy from your broker or bank. If you do not vote or do not instruct your broker or bank how to vote, it will have no effect on any of the Proposals.

Your attention is directed to the proxy statement/prospectus accompanying this notice (including the annexes thereto) for a more complete description of the proposed Business Combination and related transactions and each of the Proposals. We encourage you to read this proxy statement/prospectus carefully. If you have any questions or need assistance voting your shares, you may call ______, CDAQ's proxy solicitor, at ______ (banks and brokers), or email at ______.

By Order of the CDAQ Board

  <br> Thomas D. Hennessy Chief Executive Officer and Director

**IF YOU RETURN YOUR PROXY CARD WITHOUT AN INDICATION OF HOW YOU WISH TO VOTE, YOUR SHARES WILL BE VOTED IN FAVOR OF EACH OF THE PROPOSALS.**

**IN ORDER TO EXERCISE YOUR REDEMPTION RIGHTS, YOU MUST, NO LATER THAN 5:00 P.M. EASTERN TIME ON ______, 2026 (TWO (2) BUSINESS DAYS PRIOR TO THE MEETING), DEMAND THAT CDAQ REDEEM YOUR CDAQ PUBLIC SHARES FOR CASH BY (A) DELIVERING A NOTICE TO CDAQ'S TRANSFER AGENT AND (B) TENDERING YOUR CDAQ PUBLIC SHARES TO CDAQ'S TRANSFER AGENT. YOU MAY TENDER YOUR CDAQ PUBLIC SHARES BY EITHER DELIVERING YOUR SHARE CERTIFICATE (IF ANY) TO THE TRANSFER AGENT OR BY DELIVERING YOUR CDAQ PUBLIC SHARES ELECTRONICALLY USING THE DEPOSITORY TRUST COMPANY'S DWAC (DEPOSIT WITHDRAWAL AT CUSTODIAN) SYSTEM. WHETHER OR NOT, OR HOW, YOU VOTE ON ANY PROPOSAL WILL NOT AFFECT YOUR ELIGIBILITY FOR EXERCISING REDEMPTION RIGHTS. IF THE BUSINESS COMBINATION IS NOT COMPLETED, THEN YOUR CDAQ PUBLIC SHARES WILL NOT BE CONVERTED INTO CASH AT THIS TIME IN CONNECTION WITH THE BUSINESS COMBINATION. IF YOU HOLD YOUR CDAQ PUBLIC SHARES IN "STREET NAME," YOU WILL NEED TO INSTRUCT THE ACCOUNT EXECUTIVE AT YOUR BANK OR BROKER TO WITHDRAW THE CDAQ PUBLIC SHARES FROM YOUR ACCOUNT IN ORDER TO EXERCISE YOUR REDEMPTION RIGHTS. SEE "*EXTRAORDINARY GENERAL MEETING OF CDAQ SHAREHOLDERS — REDEMPTION RIGHTS*" FOR MORE SPECIFIC INSTRUCTIONS.**

**ADDITIONAL INFORMATION**

This document incorporates important business and financial information about CDAQ filed with the Securities and Exchange Commission (the "<u>SEC</u>") that is not included in or delivered with this document. You can obtain any of the documents filed with the SEC by CDAQ at no cost from the SEC's website at *www.sec.gov*. You may also request copies of these documents, including documents incorporated by reference into this document, at no cost, by contacting CDAQ. Please see "*Where You Can Find More Information*" for more details. In order to receive timely delivery of the documents in advance of the Meeting, you should make your request to

Compass Digital Acquisition Corp.

195 US HWY 50, Suite 207

Zephyr Cove, NV 89448

Attn: Thomas D. Hennessy

(775) 339-1671

or

To obtain timely delivery, you must request the information no later than five business days before the date you must make their investment decision.

No person is authorized to give any information or to make any representation with respect to the matters that this proxy statement/prospectus describes other than those contained in this proxy statement/prospectus, and, if given or made, the information or representation must not be relied upon as having been authorized by CDAQ, Pubco or KMC. This proxy statement/prospectus does not constitute an offer to sell or a solicitation of an offer to buy securities or a solicitation of a proxy in any jurisdiction where, or to any person to whom, it is unlawful to make such an offer or a solicitation. Neither the delivery of this proxy statement/prospectus nor any distribution of securities made under this proxy statement/prospectus will, under any circumstances, create an implication that there has been no change in the affairs of CDAQ, Pubco or KMC since the date of this proxy statement/prospectus or that any information contained herein is correct as of any time subsequent to such date.

**You will not be charged for any of these documents that you request. To obtain timely delivery of requested materials, you must request the documents no later than five (5) business days prior to the date of the Meeting.**

**TABLE OF CONTENTS** 

---

| | |
|:---|:---|
|  | **Page** |
| [ABOUT THIS PROXY STATEMENT/PROSPECTUS](#sz_001) | 1 |
| [FINANCIAL STATEMENT PRESENTATION](#sz_002) | 2 |
| [INDUSTRY AND MARKET DATA](#sz_003) | 2 |
| [TRADEMARKS, TRADE NAMES AND SERVICE MARKS](#sz_004) | 3 |
| [DEFINED TERMS](#sz_005) | 4 |
| [CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS](#sz_006) | 9 |
| [QUESTIONS AND ANSWERS ABOUT THE PROPOSALS](#sz_007) | 11 |
| [SUMMARY OF THE PROXY STATEMENT/PROSPECTUS](#sz_008) | 30 |
| [SELECTED HISTORICAL FINANCIAL DATA OF CDAQ](#sk_001) | 52 |
| [SELECTED HISTORICAL FINANCIAL DATA OF KMC](#sk_002) | 53 |
| [SELECTED UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS](#sk_003) | 54 |
| [Risk Factors](#sk_004) | 55 |
| [Extraordinary General Meeting of CDAQ Shareholders](#sk_005) | 98 |
| [PROPOSAL 1: The Business Combination Proposal](#sk_006) | 104 |
| [The Business Combination](#sk_007) | 131 |
| [PROPOSAL 2: THE merger PROPOSAL](#sk_008) | 141 |
| [PROPOSAL 3: The Pubco Charter Proposal](#sk_009) | 142 |
| [PROPOSAL 4: THE ORGANIZATIONAL DOCUMENTS PROPOSALS](#Rma_021) | 143 |
| [PROPOSAL 5: The Director Election Proposal](#Rma_022) | 152 |
| [PROPOSAL 6: The Incentive Plan Proposal](#Rma_023) | 153 |
| [PROPOSAL 7: The Adjournment Proposal](#Rma_024) | 162 |
| [U.S. FEDERAL INCOME TAX CONSIDERATIONS](#Rma_025) | 163 |
| [Unaudited Pro Forma Condensed Combined Financial Information](#Rma_026) | 173 |
| [INFORMATION RELATED TO PUBCO](#DA_001) | 186 |
| [Information About CDAQ](#Rma_027) | 187 |
| [CDAQ's Management's Discussion and Analysis of Financial Condition and Results of Operations](#Rma_028) | 200 |
| [Information Related to KMC](#Rma_029) | 211 |
| [KMC'S MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](#Rma_001) | 241 |
| [Management of Pubco Following the Business Combination](#Rma_002) | 250 |
| [BENEFICIAL OWNERSHIP OF SECURITIES](#Rma_003) | 257 |
| [EXECUTIVE AND DIRECTOR COMPENSATION](#Rma_004) | 261 |
| [CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS](#Rma_005) | 267 |
| [Description of Pubco Securities](#Rma_006) | 273 |
| [COMPARISON OF SHAREHOLDERS' RIGHTS](#Rma_007) | 282 |
| [SHARES ELIGIBLE FOR FUTURE SALE](#Rma_008) | 283 |
| [TICKER SYMBOL, MARKET PRICE AND DIVIDENDS](#Rma_009) | 285 |
| [OTHER SHAREHOLDER COMMUNICATIONS](#Rma_010) | 285 |
| [LEGAL MATTERS](#Rma_011) | 285 |
| [EXPERTS](#Rma_012) | 285 |
| [HOUSEHOLDING INFORMATION](#Rma_013) | 286 |
| [SOLICITATION OF PROXIES](#Rma_014) | 286 |
| [SHAREHOLDER PROPOSALS](#Rma_015) | 286 |
| [Where You Can Find More Information](#Rma_016) | 286 |
| [ENFORCEABILITY OF CIVIL LIABILITY](#Rma_017) | 287 |
| [TRANSFER AGENT AND REGISTRAR](#Rma_018) | 287 |
| [INDEX TO FINANCIAL STATEMENTS](#Rma_019) | F-1 |
| [ANNEX A-1 — MERGER AGREEMENT](#SL_01) | A-1 |
| [ANNEX A-2— AMENDMENT NO. 1 TO THE MERGER AGREEMENT](#swww_001) | A-2-1 |
| [ANNEX B — PLAN OF MERGER](#ab_001) | B-1 |
| [ANNEX C — PUBCO CHARTER](#annexc_001) | C-1 |
| [ANNEX D — PUBCO BYLAWS](#annexd_001) | D-1 |
| [ANNEX E — INCENTIVE PLAN](#SL_02) | E-1 |
| [PART II INFORMATION NOT REQUIRED IN PROSPECTUS](#Rma_020) | II-1 |
| [sIGNATURES](#sk_010) | II-6 |

---

i

**ABOUT THIS PROXY STATEMENT/PROSPECTUS**

This document, which forms part of a registration statement on Form S-4 (the "<u>Registration Statement</u>") filed with the SEC by Pubco (File No. 333-______), constitutes a prospectus of Pubco under Section 5 of the U.S. Securities Act of 1933, as amended (the "<u>Securities Act</u>"), with respect to the shares of Pubco Common Stock to be issued if the Business Combination described herein is consummated. This document also constitutes a notice of meeting and a proxy statement under Section 14(a) of the U.S. Securities Exchange Act of 1934, as amended (the "<u>Exchange Act</u>"), with respect to the Meeting of CDAQ Shareholders at which CDAQ Shareholders will be asked to consider and vote upon the Business Combination Proposal, among other matters, as described below:

(1) *The Business Combination Proposal* — to consider and vote upon by way of an ordinary
 resolution a proposal to approve and adopt the Merger Agreement and the Business Combination.
 See the section entitled "*The Business Combination Proposal*."

&nbsp;&nbsp;&nbsp;&nbsp;(2) *The Merger Proposal* — to consider and vote upon, as a special resolution, a proposal
 to approve and authorize the Plan of Merger by and between CDAQ and Purchaser Merger Sub,
 substantially in the form attached hereto as <u>Annex B</u>. See the section entitled "*The Merger Proposal*."

(3) *The Pubco Charter Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to approve the adoption of the Proposed Organizational Documents. See the section
 entitled "*The Pubco Charter Proposal*."

(4) *The Organizational Documents Proposals* — to consider and vote upon by way of an ordinary
 resolution, on a non-binding advisory basis, seven separate proposals
 to approve the material differences between the CDAQ Memorandum and Articles and the Proposed
 Organizational Documents. See the section entitled "*The Organizational Documents Proposals*."

(5) *The Director Election Proposal* — to consider and vote upon by way of an ordinary resolution,
 on a non-binding advisory basis, a proposal to elect five directors to serve on the Pubco
 Board following consummation of the Business Combination for the applicable term under the
 Proposed Organizational Documents or until such directors' successors have been duly
 elected and qualified, or until such directors' earlier death, resignation, retirement
 or removal. See the section entitled "*The Director Election Proposal*."

(6) *The Incentive Plan Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to approve the Incentive Plan. The form of Incentive Plan to become effective
 upon consummation of the Business Combination is appended to the accompanying proxy statement/prospectus
 as <u>Annex E</u>. The Pubco Board intends to adopt the Incentive Plan, subject to approval
 of the CDAQ Shareholders, effective upon the Closing, to be used by Pubco on a going-forward
 basis from the Closing. See the section entitled "*The Incentive Plan Proposal*."

(7) *The Adjournment Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to adjourn the Meeting to a later date or dates, if it is determined by CDAQ that
 additional time is necessary or appropriate to complete the Business Combination or for any
 other reason. See the section entitled "*The Adjournment Proposal*."

CDAQ files reports, proxy statements/prospectuses and other information with the SEC as required by the Exchange Act. You can read CDAQ's SEC filings, including this proxy statement/prospectus, over the Internet at the SEC's website at *http://www.sec.gov.*

**This proxy statement/prospectus does not constitute an offer to sell, or a solicitation of an offer to buy, any securities or the solicitation of a proxy, in any jurisdiction to or from any person to whom it is not lawful to make any such offer or solicitation in such jurisdiction.**

**You may request copies of this proxy statement/prospectus, without charge, by written or oral request to CDAQ's proxy solicitor at:**

**To obtain timely delivery of requested materials, you must request the documents no later than five (5) business days prior to the date of the Meeting.**

**You may also obtain additional information about CDAQ from documents filed with the SEC by following the instructions in the section entitled "*Where You Can Find More Information*."**

**If you intend to seek redemption of your CDAQ Public Shares, you will need to send a letter demanding redemption (which includes the name of the beneficial owner of the shares) and deliver your CDAQ Public Shares electronically to CDAQ's transfer agent at least two business days prior to the Meeting in accordance with the procedures detailed under the question "*How do I exercise my redemption rights?*" in the section entitled "*Questions and Answers About the Proposals*." If you have questions regarding the certification of your position or delivery of your shares, please contact:**

Continental Stock Transfer & Trust Company

One State Street Plaza, 30<sup>th</sup> Floor

New York, New York 10004

Email: spacredemptions@continentalstock.com

**FINANCIAL STATEMENT PRESENTATION**

**Pubco**

Pubco was incorporated in Delaware on December 30, 2025, for the purpose of effectuating the Business Combination described herein. Pubco has no material assets and does not operate any businesses. The financial statements of KMC included in this proxy statement/prospectus have been prepared in accordance with U.S. generally accepted accounting principles ("<u>U.S. GAAP</u>"). Accordingly, the unaudited pro forma combined financial information presented in this proxy statement/prospectus have been prepared in accordance with U.S. GAAP and denominated in U.S. dollars.

**CDAQ**

The financial statements of CDAQ included in this proxy statement/prospectus have been prepared in accordance with U.S. GAAP.

**KMC**

KMC was incorporated in Delaware on February 18, 2020, as a Delaware corporation. The financial statements of KMC included in this proxy statement/prospectus have been prepared in accordance with U.S. GAAP.

This proxy statement/prospectus contains:

● the audited financial statements of CDAQ for the years ended and as of December 31, 2023 and December 31, 2024 and the unaudited financial statements of CDAQ for the period ended as of September 30, 2025;

● the audited financial statements of KMC for the years ended and as of December 31, 2024 and December 31, 2023 and the unaudited financial statements of KMC for the period ended as of September 30, 2025 ; and

● the audited financial statements of Pubco as of December 30, 2025.

Unless indicated otherwise, financial data presented in this proxy statement/prospectus has been taken from the audited and unaudited financial statements of CDAQ and KMC, as applicable, included in this proxy statement/prospectus.

In this proxy statement/prospectus, unless otherwise specified, all monetary amounts are in U.S. dollars, all references to "<u>$</u>," "<u>US$</u>," "<u>USD</u>" and "<u>dollars</u>" mean U.S. dollars.

**INDUSTRY AND MARKET DATA**

In this proxy statement/prospectus, Pubco, KMC and CDAQ rely on and refer to industry data, information and statistics, regarding the industry and markets in which KMC competes, from publicly available information, industry and general publications and research and studies conducted by third parties. Each of Pubco, KMC and CDAQ has taken such care as it considers reasonable in the extraction and reproduction of information from such data from third-party sources.

Industry publications, research, studies and forecasts generally state that the information they contain has been obtained from sources believed to be reliable, but that the accuracy and completeness of such information is not guaranteed. The industry in which Pubco will operate is subject to a high degree of uncertainty and risk due to a variety of factors, including those described in the section titled "*Risk Factors*." Furthermore, such information and data cannot always be verified with complete certainty due to limits on the availability and reliability of data, the voluntary nature of the data gathering process and other limitations and uncertainties. Finally, while each of Pubco, KMC and CDAQ believes its own internal estimates and research are reliable, and is not aware of any misstatements regarding such information and data presented in this proxy statement/prospectus, such research has not been verified by any independent source. Forecasts and other forward-looking information obtained from these sources are subject to the same qualifications and uncertainties as the other forward-looking statements in this proxy statement/prospectus. These forecasts and forward-looking information are subject to uncertainty and risk due to a variety of factors, including those described under the section of this proxy statement/prospectus entitled "*Risk Factors*." These and other factors could cause results to differ materially from those expressed in the forecasts or estimates from independent third parties and us.

Notwithstanding anything in this proxy statement/prospectus to the contrary, Pubco, KMC and CDAQ are responsible for all disclosures in this proxy statement/prospectus.

**TRADEMARKS, TRADE NAMES AND SERVICE MARKS**

This proxy statement/prospectus contains references to trademarks and service marks belonging to other entities.

Pubco, KMC, CDAQ and their respective affiliates own or have rights to trademarks, trade names and service marks that they use in connection with the operation of their businesses. In addition, their names, logos and website names and addresses are their trademarks or service marks. Other trademarks, trade names and service marks appearing in this proxy statement/prospectus are the property of their respective owners. Solely for convenience, in some cases, the trademarks, trade names and service marks referred to in this proxy statement/prospectus are listed without the applicable <sup>®</sup>,™ and <sup>SM</sup> symbols, but they will assert, to the fullest extent under applicable law, their rights to these trademarks, trade names and service marks.

"Key Mining," the "Key Mining" logo, and other trademarks, trade names, or service marks of Key Mining Corp. appearing in this proxy statement/prospectus are the property of KMC. This proxy statement/prospectus references the trademarks and service marks and trademark and service mark applications of KMC that are regularly used in branding and marketing. This proxy statement/prospectus also contains trademarks, service marks, trade names and copyrights of other companies, which are the property of their respective owners. Trademarks and service marks are collectively referred to herein as "Trademarks." Solely for convenience, trademarks and trade names referred to in this proxy statement/prospectus may appear without the® or <sup>TM</sup> symbols, but such references are not intended to indicate, in any way, that their respective owners will not assert, to the fullest extent under applicable law, their rights thereto. CDAQ, Pubco and KMC do not intend to use or display other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of CDAQ, Pubco and KMC by, any other companies.

**DEFINED TERMS**

In this document the following terms, when capitalized, have the following meanings.

"<u>$</u>," "<u>USD</u>," "<u>US$</u>" and "<u>U.S. dollar</u>" each refer to the legal currency of the United States.

"<u>2024 SPAC Rules</u>" means the rules and regulations for SPACs adopted by the SEC on January 24, 2024, and which became effective on July 1, 2024.

"<u>25% Redemptions</u>" means a scenario whereby 25%, or 27,716, of the CDAQ Public Shares are redeemed by CDAQ Public Shareholders.

"<u>50% Redemptions</u>" means a scenario whereby 50%, or 55,433, of the CDAQ Public Shares are redeemed by CDAQ Public Shareholders.

"<u>75% Redemptions</u>" means a scenario whereby 75%, or 83,149, of the CDAQ Public Shares are redeemed by CDAQ Public Shareholders.

"<u>Adjournment Proposal</u>" means a proposal to adjourn the Meeting to a later date or dates, if it is determined by CDAQ that additional time is necessary or appropriate to complete the Business Combination or for any other reason.

"<u>Amended and Restated Registration Rights Agreement</u>" means the Amended and Restated Registration Agreement to be executed at Closing by and among Pubco, CDAQ, the Sponsor, the Legacy Sponsor and the other holders of registrable securities.

"<u>Amendment No. 1 to the Merger Agreement</u>" means Amendment No. 1 to the Merger Agreement, dated as of February 5, 2026, by and among CDAQ, Pubco and the Company, a copy of which is attached hereto as <u>[Annex A-2](#swww_001)</u>.

"<u>Ancillary Document(s)</u>" means each agreement, instrument or document attached to the Merger Agreement as an exhibit, and the other agreements, certificates and instruments executed or delivered by any of the Parties in connection with or pursuant to the Merger Agreement or the Business Combination, including the Voting Agreement, the Seller Registration Rights Agreement, the Founder Registration Rights Agreement the Second Letter Agreement Amendment, and the Proposed Organizational Documents.

"<u>Broker non-vote</u>" means the failure of a CDAQ Shareholder who holds his, her or its shares in "street name" through a broker or other nominee to give voting instructions to such broker or other nominee.

"<u>Business Combination</u>" means, collectively, the Mergers, the Transaction Financings and the other transactions contemplated by the Merger Agreement and the Ancillary Documents.

"<u>Business Combination Deadline</u>" means April 20, 2026, the last day that CDAQ has to consummate an initial business combination from the closing of the CDAQ IPO, or such earlier date as determined by the CDAQ Board, or as such date may may be extended pursuant to the CDAQ Memorandum and Articles.

"<u>Business Combination Proposal</u>" means a proposal to approve the Merger Agreement and the Business Combination.

"<u>Cayman Companies Act</u>" means the Companies Act (As Revised) of the Cayman Islands.

"<u>CDAQ</u>" or "<u>Purchaser</u>" means Compass Digital Acquisition Corp, a Cayman Islands exempted company.

"<u>CDAQ Audit Committee</u>" means the audit committee of the CDAQ Board.

"<u>CDAQ Board</u>" means the board of directors of CDAQ.

"<u>CDAQ Class A Ordinary Shares</u>" means Class A ordinary shares, par value $0.0001 per share, of CDAQ.

"<u>CDAQ Class B Ordinary Shares</u>" means Class B ordinary shares, par value $0.0001 per share, of CDAQ.

"<u>CDAQ Compensation Committee</u>" means the compensation committee of the CDAQ Board.

"<u>CDAQ IPO</u>" means the initial public offering of the CDAQ Public Shares by CDAQ which was consummated on October 19, 2021.

"<u>CDAQ IPO Prospectus</u>" means the final prospectus of CDAQ, dated as of October 14, 2021, and filed with the SEC (File No. 333-259502).

"<u>CDAQ Memorandum and Articles</u>" means CDAQ's amended and restated memorandum and articles of association adopted by special resolution dated October 12, 2021 and effective on October 14, 2021, as amended on October 11, 2023 and July 18, 2024.

"<u>CDAQ Private Placement</u>" means the sale of the 4,832,065 CDAQ Private Warrants to the Legacy Sponsor that occurred concurrently with the CDAQ IPO.

"<u>CDAQ Private Warrants</u>" means one (1) whole warrant that was issued to the Legacy Sponsor in the CDAQ Private Placement that closed simultaneously with the CDAQ IPO, with each whole warrant entitling the holder thereof to purchase one (1) CDAQ Class A Ordinary Share at a purchase price of $11.50 per share.

"<u>CDAQ Public Shares</u>" means the 110,866 outstanding CDAQ Class A Ordinary Shares included in the CDAQ Public Units issued in the CDAQ IPO.

"<u>CDAQ Public Shareholders</u>" means the holders of CDAQ Public Shares.

"<u>CDAQ Public Units</u>" or "<u>Units</u>" means the units issued in the CDAQ IPO (including over-allotment units acquired by CDAQ's underwriter) consisting of one (1) CDAQ Ordinary Share (as defined below) and one-third of one CDAQ Public Warrant (as defined below).

"<u>CDAQ Public Warrants</u>" means one whole warrant that is included as part of each CDAQ Public Unit, entitling the holder thereof to purchase one (1) CDAQ Class A Ordinary Share at a purchase price of $11.50 per share.

"<u>CDAQ Shareholder Approval Matters</u>" means the Business Combination Proposal, the Merger Proposal, the Pubco Charter Proposal, the Organization Documents Proposal, the Director Election Proposal and the Incentive Plan Proposal.

"<u>CDAQ Shareholders</u>" means the holders of CDAQ Ordinary Shares.

"<u>CDAQ Warrants</u>" means CDAQ Private Warrants and CDAQ Public Warrants, collectively.

"<u>CFIUS</u>" means the Committee on Foreign Investment in the United States.

"<u>Closing</u>" means the closing of the Business Combination.

"<u>Closing Date</u>" means the date of the Closing.

"<u>Code</u>" means the Internal Revenue Code of 1986, as amended.

"<u>Company Merger</u>" means the merger of Company Merger Sub with and into KMC, with KMC as the surviving subsidiary.

"<u>Company Merger Sub</u>" means Titan Merger Sub Inc., a Delaware corporation and a wholly owned subsidiary of Pubco.

"<u>CST</u>" means Continental Stock Transfer & Trust Company, transfer agent of CDAQ and trustee of the Trust Account.

"<u>DGCL</u>" means the General Corporation Law of the State of Delaware.

"<u>Director Election Proposal</u>" means the proposal to elect five directors, effective upon the Closing, each to serve on the Pubco Board for the applicable term, under the Pubco Charter, or until such director's successor has been duly elected and qualified, or until such director's earlier death, resignation, retirement or removal.

"<u>Directors</u>" means the directors of Pubco from time to time, and each a Director.

"<u>DTC</u>" means The Depository Trust Company.

"<u>DWAC</u>" means DTC's Deposit Withdrawal at Custodian service.

"<u>Effective Date</u>" means the date this Registration Statement is effective.

"<u>Effective Time</u>" means the effective time of the Mergers.

"<u>EGS</u>" means Ellenoff, Grossman & Schole LLP.

"<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended.

"<u>FDIC</u>" means Federal Deposit Insurance Corporation.

"<u>Founder Shares</u>" means an aggregate of 5,310,122 CDAQ Ordinary Shares, held by Legacy Sponsor and the Sponsor, all of which were originally CDAQ Class B Ordinary Shares issued to the Legacy Sponsor prior to the CDAQ IPO, of which, an aggregate of 3,200,000 CDAQ Class A Ordinary Shares issued upon conversion of 3,200,000 CDAQ Class B Ordinary Shares on July 24, 2024 and October 13, 2023 (but without a right to participate in redemptions), and 3,093,036 CDAQ Ordinary Shares are currently owned by the Sponsor.

"<u>Incentive Plan</u>" means the Key Mining Holdings Corp. Omnibus Incentive Compensation Plan, as amended from time to time, to become effective upon the Closing of the Business Combination, a copy of which is attached hereto as <u>Annex E</u>.

"<u>Incentive Plan Proposal</u>" means the proposal to approve the Incentive Plan.

"<u>Initial Shareholders</u>" means the Legacy Sponsor and any of CDAQ's prior officers or directors that hold Founder Shares.

"<u>Institutional Anchor Investors</u>" means certain institutional investors that are not affiliated with CDAQ, the Sponsors, the Prior Directors and Officers, or any member of CDAQ's management, that purchased CDAQ's securities in connection with the CDAQ IPO.

"<u>Interim Period</u>" means the period from the date of the Merger Agreement until the earlier of (a) the Closing or (b) the termination of the Merger Agreement in accordance with its terms.

"<u>Investment Company Act</u>" means the United States Investment Company Act of 1940, as amended.

"<u>JOBS Act</u>" means the Jumpstart Our Business Startups Act of 2012, as amended.

"<u>KMC</u>" means Key Mining Corp., a Delaware corporation.

"<u>KMC Common Stock</u>" means common stock, par value $0.001 per share, of KMC.

"<u>KMC Options</u>" means KMC options that are outstanding immediately prior to the Effective Time.

"<u>KMC Sellers</u>" means the KMC stockholders (excluding holders of KMC Options and KMC Warrants).

"<u>KMC Warrants</u>" means KMC warrants that are outstanding immediately prior to the Effective Time.

"<u>Legacy Sponsor</u>" means Compass Digital SPAC LLC, a Delaware limited liability company.

"<u>Letter Agreement</u>" means the letter agreement, dated as of October 14, 2021, as amended on August 31, 2023 and January 6, 2026 and as it may further be amended, by and among CDAQ, the Sponsor, the Legacy Sponsor and the other "Insiders" named therein.

"<u>Material Adverse Effect</u>" as used in the Merger Agreement means, in short, with respect to any specified person or entity, any fact, event, occurrence, change or effect that has had, or would reasonably be expected to have, individually or in the aggregate, a material adverse effect upon the business, assets, liabilities, operations, results of operations or condition (financial or otherwise) of such person and its subsidiaries, taken as a whole, or the ability of such person or any of its subsidiaries on a timely basis to consummate the Transactions, in each case subject to certain customary exceptions.

"<u>Maximum Redemptions</u>" means a scenario whereby 100%, or 110,866, of the CDAQ Public Shares are redeemed by CDAQ Public Shareholders.

"<u>Meeting</u>" or the "<u>Extraordinary General Meeting</u>" means the extraordinary general meeting of CDAQ Shareholders, to be held on ______, 2026 at ______ a.m. Eastern Time.

"<u>Merger Agreement</u>" means the agreement and plan of merger, dated as of January 6, 2026 (as amended by Amendment No. 1 to the Merger Agreement, and as may be further amended or restated from time to time), by and among CDAQ, Pubco, the Purchaser Merger Sub, the Company Merger Sub and KMC.

"<u>Mergers</u>" means the Purchaser Merger and the Company Merger.

"<u>Minimum Cash Condition</u>" means the closing condition in the Merger Agreement that Pubco shall have an aggregate amount of (i) cash and cash equivalents, including funds remaining in the Trust Account (after giving effect to the completion and payment of the closing redemption), that (ii) when added to the aggregate cash proceeds of all Transaction Financings, whether received by CDAQ, Pubco or KMC, in each case, prior to giving effect to the payment of any expenses of CDAQ, Pubco or KMC (including the satisfaction of any CDAQ liability), after (iii) (a) payment of the aggregate outstanding and unpaid amounts owed by CDAQ as of the Closing in cash for CDAQ's accrued expenses, extension expenses and any other unpaid indebtedness and cash liabilities in respect of costs and expenses incurred by CDAQ (including the loans made by Polar) and any loans owed to the Sponsor or the Legacy Sponsor that are repaid in cash) and (b) payment of up to $1,000,000 in outstanding and unpaid amounts owed by KMC as of the Closing in cash for KMC's accrued expenses, is at least to Five Million U.S. Dollars ($5,000,000).

"<u>Nasdaq</u>" means The Nasdaq Stock Market LLC.

"<u>Nasdaq Listing Rule(s)</u>" means The Nasdaq Stock Market Listing Rule(s).

"<u>No Redemptions</u>" means a scenario whereby none of the CDAQ Public Shareholders redeem their CDAQ Public Shares.

"<u>NTBV</u>" means net tangible book value.

"<u>Organizational Documents Proposals</u>" means seven separate sub-proposals to approve the material differences between CDAQ Memorandum and Articles and Pubco Charter to be effective upon the completion of the Business Combination.

"<u>OTC Markets</u>" means OTC Markets Group Inc.

"<u>Parties</u>" means the parties to the Merger Agreement, being CDAQ, KMC, Pubco, Purchaser Merger Sub and Company Merger Sub.

"<u>PCAOB</u>" means the Public Company Accounting Oversight Board.

"<u>Person</u>" means an individual, corporation, company, partnership (including a general partnership, limited partnership or limited liability partnership), limited liability company, association, trust or other entity or organization, including a government, domestic or foreign, or political subdivision thereof, or an agency or instrumentality thereof.

"<u>PIPE Investors</u>" means investors in the Transaction Financings.

"<u>Plan of Merger</u>" mean the plan of merger by and between CDAQ and Purchaser Merger Sub, substantially in the form attached hereto as <u>Annex B</u>.

"<u>Polar</u>" means Polar Multi-Strategy Master Fund.

"<u>Polar Shares</u>" means the 1,350,000 CDAQ Class A Ordinary Shares to be issued to Polar pursuant to the Polar Subscription Agreement, together with the shares of Pubco Common Stock to be received in exchange for such shares in the Mergers.

"<u>Polar Subscription Agreement</u>" means that certain subscription agreement, dated September 6, 2023, by and among CDAQ, the Sponsor and Polar.

"<u>Prior Directors and Officers</u>" means Abidali Neemuchwala, Burhan Jaffer, Satish Gupta, Steven Freiberg, Deborah C. Hopkins and Bill Owens.

"<u>Proposals</u>" means the Business Combination Proposal, the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal, the Incentive Plan Proposal, and the Adjournment Proposal.

"<u>Proposed Organizational Documents</u>" means the Pubco Charter and the Pubco Bylaws.

"<u>proxy statement/prospectus</u>" means this proxy statement/prospectus included in the Registration Statement.

"<u>Pubco</u>" means Titan Holdings Corp., a Delaware corporation.

"<u>Pubco Audit Committee</u>" means the audit committee of the Pubco Board.

"<u>Pubco Board</u>" means the board of directors of Pubco.

"<u>Pubco Bylaws</u>" means the amended and restated bylaws of Pubco to become effective upon the Closing of the Business Combination.

"<u>Pubco Charter</u>" means the amended and restated certificate of incorporation of Pubco to become effective upon the Closing of the Business Combination.

"<u>Pubco Charter Proposal</u>" means the proposal to approve the adoption of the Proposed Organizational Documents.

"<u>Pubco Compensation Committee</u>" means the compensation committee of the Pubco Board.

"<u>Pubco Common Stock</u>" means the shares of common stock, par value $0.0001 per share, of Pubco.

"<u>Pubco Private Warrants</u>" means one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share.

"<u>Pubco Public Warrants</u>" means one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share.

"<u>Pubco Warrants</u>" means Pubco Private Warrants and Pubco Public Warrants, collectively.

"<u>Purchaser Merger</u>" means the merger of Purchaser Merger Sub with and into CDAQ with CDAQ continuing as the surviving company.

"<u>Purchaser Merger Sub</u>" means Titan SPAC Merger Sub Corp., a Cayman Islands exempted company and a direct wholly-owned subsidiary of Pubco.

"<u>Record Date</u>" means ______, 2026, the record date for the Meeting.

"<u>Registration Statement</u>" means the Registration Statement on Form S-4 (Registration No. 333-____) filed by Pubco and KMC with the SEC of which this proxy statement/prospectus forms a part.

"<u>Regulation S-K</u>" means Regulation S-K of the Securities Act.

"<u>SAB</u>" means the Staff Accounting Bulletin issued by the SEC.

"<u>Sarbanes-Oxley Act</u>" means the Sarbanes-Oxley Act of 2002, as may be amended.

"<u>SEC</u>" means the United States Securities and Exchange Commission.

"<u>Second Letter Agreement Amendment</u>" means the amendment to the Letter Agreement, entered into in connection with the execution of the Merger Agreement, by and among the Pubco, CDAQ, the Sponsor and certain other CDAQ shareholders, officers and directors. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

"<u>Securities Act</u>" means the United States Securities Act of 1933, as amended.

"<u>SPAC</u>" means a special purpose acquisition company.

"<u>SPAC Guidance</u>" means the guidance issued by the SEC to the 2024 SPAC Rules.

"<u>Sponsor</u>" means HCG Opportunity, LLC, a Delaware limited liability company.

"<u>Sponsor Loan Note</u>" means that certain promissory note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 into CDAQ Class A Ordinary Shares at $10.00 per share.

"<u>Sponsors</u>" means the Legacy Sponsor and the Sponsor, collectively.

"<u>Transactions</u>" means the Mergers and, together with the other transactions contemplated by the Merger Agreement.

"<u>Transaction Financings</u>" means capital raising transactions in connection with the Transactions structured as one or a combination of common equity, preferred equity, convertible equity or debt, non-redemption or backstop arrangements with respect to the Trust Account, a committed equity facility, debt facility, and/or other sources of cash or cash equivalents, in each case, whether such investment is into CDAQ, Pubco or KMC.

"<u>Treasury Regulations</u>" means regulations promulgated by the United States Department of the Treasury.

"<u>Trust Account</u>" means the trust account of CDAQ that holds the remaining net proceeds of the CDAQ IPO and the CDAQ Private Placement.

"<u>Trust Agreement</u>" means the Investment Management Trust Agreement, dated as of October 14, 2021, by and between CDAQ and CST.

"<u>U.S.</u>" means the United States of America.

"<u>U.S. GAAP</u>" or "<u>GAAP</u>" means generally accepted accounting principles in the United States of America.

"<u>Withum</u>" means WithumSmith+Brown, PC.

"<u>Working Capital Loans</u>" means the funds that the Sponsor or an affiliate of the Sponsor, or certain of CDAQ's officers and directors may, but are not obligated to, loan CDAQ as may be required to cover the working capital requirements of CDAQ.

All references to CDAQ securities being forfeited shall take effect as surrenders for no consideration as a matter of Cayman Islands law.

**CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS**

Certain statements in this proxy statement/prospectus may constitute "forward-looking statements" for purposes of the federal securities laws. Forward-looking statements include, but are not limited to, statements regarding CDAQ, Pubco, KMC and their respective management teams' expectations, hopes, beliefs, intentions, plans, prospects, financial results or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "possible," "objective," "potential," "predict," "project," "should," "strive," "will," "ongoing," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this proxy statement/prospectus may include, for example, statements about:

● KMC's operating history and exploration plans,

● KMC and the Business Combination and statements regarding the anticipated benefits of the completion of the Business Combination,

● the assets held by Pubco,

● Pubco's listing on any securities exchange,

● Strategic goals, operational plans and objectives of management for future operations of Pubco,

● the upside potential and opportunity for investors,

● Pubco's projections and expectations for value creation and strategic advantages, market size and growth opportunities, technological and market trends,

● risks associated with KMC's capital-intensive business,

● significant risk and hazards associated with mining operations,

● the title to some of the mineral properties may be uncertain or defective,

● changes in the prices of copper, titanium dioxide and other energy metals,

● the requirements to obtain, maintain and renew environmental, construction and mining permits, which is often a costly and time-consuming process,

● future financial condition and performance and expected financial impacts of the Business Combination, and

● the satisfaction of various legal, regulatory and contractual closing conditions to the Business Combination.

These forward-looking statements are based on information available as of the date of this proxy statement/prospectus, and current expectations, forecasts and assumptions and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing the views of CDAQ, Pubco or KMC as of any subsequent date, and neither CDAQ, KMC nor Pubco undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

You should not place undue reliance on these forward-looking statements in deciding how to grant your proxy or to instruct how your vote should be cast or how you should vote your shares on the Proposals. As a result of a number of known and unknown risks and uncertainties, the actual results or performance of Pubco may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include:

● the risk that the Business Combination may not be completed in a timely manner or at all, which may adversely affect the price of securities of CDAQ or Pubco;

● the risk that the Business Combination may not be completed by the Business Combination Deadline (as defined below);

● the failure by the parties to satisfy the conditions to the consummation of the Business Combination, including the approval of CDAQ Shareholders, or the Transaction Financings;

● failure to realize the anticipated benefits of the Business Combination;

● the level of redemptions of the CDAQ Public Shareholders which may reduce the public float of, reduce the liquidity of the trading market of, and/or maintain the quotation, listing or trading of the CDAQ Public Shares or the shares of Pubco Common Stock;

● the failure of Pubco to obtain or maintain the listing of its securities on any securities exchange after the Closing;

● costs related to the Business Combination and as a result of Pubco becoming a public company;

● changes in business, market, financial, political and regulatory conditions;

● risks relating to Pubco's anticipated operations and business;

● risks related to extensive regulation by the Chilean government as well as local governments;

● risks related to Chilean operations which are subject to additional political, economic and other uncertainties not generally associated with domestic operations;

● risks related to increased competition in the industries in which Pubco will operate;

● risks that after the Closing, Pubco experiences difficulties managing its growth and expanding operations;

● risks relating to the regulatory treatment of Pubco's business and potentially burdensome regulatory requirements relating thereto;

● the outcome of any potential legal proceedings that may be instituted against Pubco, CDAQ or others following the announcement of the Business Combination; and

● other risks and uncertainties described in this proxy statement/prospectus, including those under the section entitled "*Risk Factors*."

While forward-looking statements reflect CDAQ's, Pubco's and KMC's good faith beliefs, as applicable, they are not guarantees of future performance. Except as otherwise required by applicable law, CDAQ, Pubco and KMC disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this proxy statement/prospectus. For a further discussion of these and other factors that could cause CDAQ's, Pubco's and KMC's future results, performance or transactions to differ significantly from those expressed in any forward-looking statement, please see the section entitled "*Risk Factors*." You should not place undue reliance on any forward-looking statements, which are based only on information currently available to CDAQ, Pubco and KMC.

**QUESTIONS AND ANSWERS ABOUT THE PROPOSALS**

The questions and answers below highlight only selected information from this proxy statement/prospectus and only briefly address some commonly asked questions about the Meeting and the Proposals. The following questions and answers do not include all the information that is important to CDAQ Shareholders. CDAQ Shareholders are urged to carefully read this entire proxy statement/prospectus, including the annexes and the other documents referred to herein, to fully understand the proposed Business Combination and the voting procedures for the Meeting.

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| | |
|:---|:---|
| **Q:** | **Why am I receiving this proxy statement/prospectus?** |

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| | |
|:---|:---|
| A: | On January 6, 2026, CDAQ, Pubco, KMC, Purchaser Merger Sub and Company Merger Sub entered into the Merger Agreement, pursuant to which they agreed to effect the Business Combination on the terms set forth therein and as is described in this proxy statement/prospectus. CDAQ Shareholders are being asked to vote to approve the Merger Agreement and the Business Combination. The Merger Agreement provides that, among other things: |

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&nbsp;&nbsp;&nbsp;&nbsp;(i) Purchaser
 Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and
 a wholly-owned subsidiary of Pubco (the " <u>Purchaser Merger</u> "), and with
 the securityholders of CDAQ receiving substantially equivalent securities of Pubco;

&nbsp;&nbsp;&nbsp;&nbsp;(ii) Company
 Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and
 a wholly-owned subsidiary of Pubco (the " <u>Company Merger</u> " and, together
 with the Purchaser Merger, the " <u>Mergers</u> " and, together with the other
 transactions contemplated by the Merger Agreement, the " <u>Transactions</u> "),
 and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming
 all KMC options (" <u>KMC Options</u> ") that are outstanding immediately prior
 to the effective time of the Mergers (the " <u>Effective Time</u> ") and all KMC
 warrants that are outstanding immediately prior to the Effective Time (" <u>KMC Warrants</u> ");
 and

&nbsp;&nbsp;&nbsp;&nbsp;(iii) The
 aggregate consideration to be paid to KMC Sellers pursuant to the Company Merger shall be
 an amount equal to Two Hundred and Thirty Million U.S. Dollars ($230,000,000) (the " <u>Merger Consideration</u> "). The total portion of the Merger Consideration amount payable to
 all KMC Sellers (which, for the avoidance of doubt, excludes holders of KMC Options and KMC
 Warrants) will be paid in the form of shares of Pubco Common Stock, each valued at $10.00
 per share. Each KMC Seller will receive, for each share of common stock of KMC (the " <u>KMC Common Stock</u> ") held by such KMC Seller, an amount equal to the "Per Share
 Price" (as defined in the Merger Agreement), which will be paid in the form of Pubco
 Common Stock, with each share of Pubco Common Stock valued at $10.00 per share. The holders
 of KMC Options (whether vested or invested) shall receive options for shares of Pubco Common
 Stock and the holders of KMC Warrants shall receive warrants for shares of Pubco Common Stock.

For more information about the other arrangements contemplated by the Merger Agreement, please see the section entitled "*Summary of the Proxy Statement/Prospectus – The Business Combination— Ancillary Documents*."

This proxy statement/prospectus and its annexes contain important information about the proposed Business Combination and the other matters to be acted upon at the Meeting. You should read this proxy statement/prospectus and its annexes carefully and in their entirety.

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| | |
|:---|:---|
| **Q:** | **What is being voted on at the Meeting?** |

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| | |
|:---|:---|
| A: | CDAQ Shareholders are being asked to vote to approve the following Proposals: |

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&nbsp;&nbsp;&nbsp;&nbsp;(1) *The Business Combination Proposal* — to consider and vote upon by way of an ordinary
 resolution a proposal to approve and adopt the Merger Agreement and the Business Combination.
 See the section entitled *"The Business Combination Proposal."* 

&nbsp;&nbsp;&nbsp;&nbsp;(2) *The Merger Proposal* — to consider and vote upon, as a special resolution, a proposal
 to approve and authorize the Plan of Merger by and between CDAQ and Purchaser Merger Sub,
 substantially in the form attached hereto as <u>Annex B</u>. See the section entitled *"The Merger Proposal."* 

&nbsp;&nbsp;&nbsp;&nbsp;(3) *The Pubco Charter Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to approve the adoption of the Proposed Organizational Documents. See the section
 entitled "*The Pubco Charter Proposal*."

&nbsp;&nbsp;&nbsp;&nbsp;(4) *The Organizational Documents Proposals* — to consider and vote upon by way of an ordinary
 resolution a proposal to approve, on a non-binding advisory basis, seven separate proposals
 to approve the material differences between the CDAQ Memorandum and Articles and the Proposed
 Organizational Documents. See the section entitled "*The Organizational Documents Proposals*."

&nbsp;&nbsp;&nbsp;&nbsp;(5) *The Director Election Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to elect five directors to serve on the Pubco Board following consummation of
 the Business Combination for the applicable term under the Proposed Organizational Documents
 or until such directors' successors have been duly elected and qualified, or until
 such directors' earlier death, resignation, retirement or removal. See the section
 entitled "*The Director Election Proposal*."

&nbsp;&nbsp;&nbsp;&nbsp;(6) *The Incentive Plan Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to approve the Incentive Plan. The form of Incentive Plan to become effective
 upon consummation of the Business Combination is appended to the accompanying proxy statement/prospectus
 as <u>Annex E</u>. The Pubco Board intends to adopt the Incentive Plan, subject to approval
 of the CDAQ Shareholders, effective upon the Closing, to be used by Pubco on a going-forward
 basis from the Closing. See the section entitled "*The Incentive Plan Proposal*."

&nbsp;&nbsp;&nbsp;&nbsp;(7) *The Adjournment Proposal* — to consider and vote upon by way of an ordinary resolution
 a proposal to adjourn the Meeting to a later date or dates, if it is determined by CDAQ that
 additional time is necessary or appropriate to complete the Business Combination or for any
 other reason. See the section entitled "*The Adjournment Proposal*."

CDAQ will hold the Meeting to consider and vote upon these Proposals. This proxy statement/prospectus contains important information about the proposed Business Combination and the other matters to be acted upon at the Meeting. CDAQ Shareholders should read it carefully.

The vote of CDAQ Shareholders is important. CDAQ Shareholders are encouraged to vote as soon as possible after carefully reviewing this proxy statement/prospectus.

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| | |
|:---|:---|
| **Q:** | **What are the material U.S. federal income tax consequences of the exercise of the redemption rights?** |

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| | |
|:---|:---|
| A: | The U.S. federal income tax consequences of exercising redemption rights with respect to your CDAQ Public Shares depends on your particular facts and circumstances. It is possible that you may be treated as selling your shares and, as a result, recognize capital gain or capital loss. It is also possible that the redemption may be treated as a distribution for U.S. federal income tax purposes. Whether a redemption of shares qualifies for sale treatment will depend largely on the total number of CDAQ Ordinary Shares you are treated as owning before and after the redemption (including any shares that you constructively own as a result of owning Public Warrants and any shares that you directly or indirectly acquire pursuant to the Mergers) relative to all of the CDAQ Ordinary Shares outstanding both before and after the redemption. U.S. Holders exercising redemption rights will be subject to the potential tax consequences of the Mergers, including under Section 367 of the Code and potential tax consequences of the U.S. federal income tax rules relating to PFICs. For a more complete discussion of the U.S. federal income tax considerations of an exercise of redemption rights, see the section entitled "*U.S. Federal Income Tax Considerations — Redemptions*." |

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| | |
|:---|:---|
| **Q:** | **What are the material U.S. federal income tax consequences of the Mergers?** |

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| | |
|:---|:---|
| A: | Each of CDAQ and Pubco intends for the Mergers, taken together and as part of an integrated transaction, to be treated as, and each will take the position that the Mergers should be treated as an exchange within the meaning of Section 351 of the Code. Assuming that the Mergers so qualify, and subject to the discussion below under the section entitled "*U.S. Federal Income Tax Considerations*": |

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● a U.S. Holder whose CDAQ Public Shares have a fair market value of less than $50,000 on the date of the Mergers, and who on the date of the Mergers owns (actually and constructively) less than 10% of the total combined voting power of all classes of stock of CDAQ entitled to vote and less than 10% of the total value of all classes of stock of CDAQ, will generally not recognize any gain or loss and will generally not be required to include any part of CDAQ's earnings in income pursuant to the Mergers.

● a U.S. Holder whose CDAQ Public Shares have a fair market value of $50,000 or more on the date of the Mergers, and who on the date of the Mergers owns (actually and constructively) less than 10% of the total combined voting power of all classes of stock of CDAQ entitled to vote and less than 10% of the total value of all classes of stock of CDAQ will generally recognize gain (but not loss) with respect to the shares of Pubco Common Stock received in the Mergers. As an alternative to recognizing gain, such U.S. holders may file an election to include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)) attributable to such U.S. Holder, provided certain other requirements are satisfied; and

● a U.S. Holder who on the date of the Mergers owns (actually and constructively) 10% or more of the total combined voting power of all classes of stock of CDAQ entitled to vote or 10% or more of the total value of all classes of stock of CDAQ will generally be required to include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)) attributable to the CDAQ Public Shares it directly owns.

As discussed more fully under the section entitled "*U.S. Federal Income Tax Considerations*," CDAQ believes it is likely properly classified as a PFIC for U.S. federal income tax purposes. If CDAQ were classified as a PFIC for U.S. federal income tax purposes, then notwithstanding the U.S. federal income tax consequences of the Mergers discussed above, proposed Treasury Regulations under Section 1291(f) of the Code and certain other PFIC rules (which have retroactive proposed effective dates), if finalized in their current form, generally would require a U.S. Holder to recognize gain on the exchange of CDAQ Public Shares for shares of Pubco Common Stock pursuant to the Mergers. Any such gain would be taxable income with no corresponding receipt of cash in the Mergers. The tax on any such gain would be imposed at the rate applicable to ordinary income and an interest charge would apply based on a complex set of rules. The proposed Treasury Regulations provide coordinating rules with other sections of the Code, including Section 367(b), which affect the manner in which the rules under such other sections apply to transfers of PFIC stock. However, it is difficult to predict whether, in what form, and with what effective date, final Treasury Regulations under Section 1291(f) of the Code and such other PFIC rules may be adopted and how any such Treasury Regulations would apply. Importantly, however, U.S. Holders that make or have made certain elections discussed further under the section entitled "*U.S. Federal Income Tax Considerations — PFIC Considerations — QEF Election and Mark-to-Market Election*" with respect to their CDAQ Public Shares are generally not subject to the same gain recognition rules under the currently proposed Treasury Regulations under Section 1291(f) of the Code.

The obligations of CDAQ and Pubco to complete the Mergers are not conditioned on the receipt of opinions of counsel to the effect that the Mergers will qualify as an exchange within the meaning of Section 351(a) of the Code for U.S. federal income tax purposes. If the Mergers do not qualify as an exchange under Section 351(a) of the Code, each U.S. Holder will generally recognize capital gain or loss, for U.S. federal income tax purposes, in an amount equal to the difference, if any, between (i) the fair market value (determined as of the Closing Date) of the Pubco Common Stock received, and (ii) the U.S. Holder's adjusted tax basis in the CDAQ Public Shares, Common Units, exchanged therefor. Special considerations apply to U.S. Holders of Public Warrants. For a discussion such considerations, and a more complete description of the material U.S. federal income tax consequences of the Mergers, see the section entitled "*U.S. Federal Income Tax Considerations*."

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| | |
|:---|:---|
| **Q:** | **What will happen to the CDAQ Class A Ordinary Shares in connection with the Closing?** |

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| | |
|:---|:---|
| A: | The CDAQ Class A Ordinary Shares are currently quoted on OTCID Basic Market under the symbol "CDAQF." Upon the Closing, holders of CDAQ Class A Ordinary Shares will receive one share of Pubco Common Stock for each share of CDAQ Class A Ordinary Shares they hold at Closing. Pubco intends to apply for listing, to be effective at the time of the Closing, of its shares of Pubco Common Stock and Pubco Public Warrant on the Nasdaq Capital Market under the symbols "KMCM" and "KMCMW," respectively. |

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| | |
|:---|:---|
| **Q:** | **What will happen to the Warrants in connection with the Closing of the Business Combination?** |

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Pursuant to the Merger Agreement, upon the Closing, Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity, and as a result of which each holder of a CDAQ Warrant will receive a warrant to purchase one share of Pubco Common Stock for each CDAQ Warrant. For more information on the rights of Pubco Warrants, see "*Description of Pubco Securities*."

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| | |
|:---|:---|
| **Q:** | **What equity stake will current CDAQ Public Shareholders, the Sponsor and their affiliates and the KMC Sellers hold in Pubco immediately after the completion of the Business Combination and the Transaction Financings?** |

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| | |
|:---|:---|
| A: | Upon the completion of the Business Combination and the consummation of the Transaction Financings, and assuming, among other things, that no CDAQ Public Shareholders exercise redemption rights with respect to their CDAQ Public Shares upon completion of the Business Combination, that 1,000,000 shares of Pubco Common Stock are to be issued to the PIPE Investors in connection with the Transaction Financing, that there are no pre-Closing transfers, distributions or forfeitures of securities held by the Sponsor, and that no shares of Pubco Common Stock are issued pursuant to the Incentive Plan, (i) the CDAQ Public Shareholders, (ii) the Sponsors (including shares to be transferred to the Non-Redemption Investors), (iii) Polar, (iv) KMC Sellers, and (v) PIPE Investors, in each case, will own approximately 0.4%, 20.6%, 5.1%, 70.1% and 3.8% of the issued and outstanding shares of Pubco Common Stock, respectively, without any conversion or exercise of notes, options or warrants. |

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If any of the CDAQ Public Shareholders exercise their redemption rights, the percentage of the issued and outstanding shares of Pubco Common Stock held by the CDAQ Public Shareholders will decrease and the percentages of issued and outstanding shares of Pubco Common Stock held by the Sponsor and its affiliates, and the KMC Sellers will each increase, in each case relative to the percentage held if none of the CDAQ Public Shares are redeemed. CDAQ Public Shareholders that do not redeem their CDAQ Public Shares in connection with the Business Combination will experience dilution upon the issuance of any shares of Pubco Common Stock pursuant to the Incentive Plan and other future equity issuances by Pubco that are unanticipated as of the date of this proxy statement/prospectus.

The tables below illustrate varying beneficial ownership levels in Pubco immediately upon Closing, assuming no redemptions by CDAQ Public Shareholders, 25% Redemptions by CDAQ Public Shareholders (27,716 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders), 50% Redemptions by CDAQ Public Shareholders (55,433 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders), 75% Redemptions by CDAQ Public Shareholders (83,149 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders) and Maximum Redemptions by CDAQ Public Shareholders (110,866 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders). The Maximum Redemptions scenario reflects the maximum number of CDAQ Public Shares that can be redeemed such that sufficient funds are available to pay all transaction costs to be paid prior to or upon the Closing of the Business Combination. If any of these assumptions are not correct, these percentages will be different.

**Potential ownership of issued and outstanding shares of Pubco Common Stock upon Closing:**

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **No Additional Redemptions** | **%** | **25% Redemptions** | **%** | **50% Redemptions** | **%** | **75% Redemptions** | **%** | **Maximum Redemptions** | **%** |
| CDAQ Public Shareholders | 110866 | 0.4% | 83150 | 0.3% | 55433 | 0.2% | 27717 | 0.1% |  |  |
| Sponsors | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% |
| Non-Redemption Investors | 1532300 | 5.7% | 1532300 | 5.7% | 1532300 | 5.7% | 1532300 | 5.8% | 1532300 | 5.8% |
| Polar Shares | 1350000 | 4.4% | 1350000 | 4.4% | 1350000 | 5.1% | 1350000 | 5.1% | 1350000 | 5.1% |
| KMC Sellers | 18623329 | 70.1% | 18623329 | 70.2% | 18623329 | 70.2% | 18623329 | 70.3% | 18623329 | 70.4% |
| PIPE Investors | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% |
| Total shares outstanding at Closing, not reflecting potential sources of dilution | 25568467 |  | 26540751 |  | 26513034 |  | 26485318 |  | 26457601 |  |

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**Potential ownership of issued and outstanding shares of Pubco Common Stock upon Closing**

**(assuming conversion or exercise of CDAQ Warrants, KMC Options and KMC Warrants):**

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **No Additional Redemptions** | **%** | **25% Redemptions** | **%** | **50% Redemptions** | **%** | **75% Redemptions** | **%** | **Maximum Redemptions** | **%** |
| CDAQ Public Shareholders <sup>(1)</sup> | 7191029 | 16.3% | 7163313 | 16.3% | 7135596 | 16.2% | 7107880 | 16.2% | 7080163 | 16.1% |
| Sponsors | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% |
| Non-Redemption Investors | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% |
| Polar Shares | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% |
| KMC Sellers <sup>(3)</sup> | 24145942 | 54.9% | 24145942 | 54.9% | 24145942 | 54.9% | 24145942 | 55.1% | 24145942 | 55.0% |
| PIPE Investors | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% |
| Total shares outstanding at Closing, reflecting potential sources of dilution | 44003308 |  | 43975592 |  | 43947875 |  | 43920159 |  | 43892442 |  |

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&nbsp;&nbsp;&nbsp;&nbsp;(1) Includes
 7,080,163 shares underlying the 7,080,163 CDAQ Public Warrants.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes
 4,832,065 shares underlying the 4,832,065 CDAQ Private Warrants.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Includes
 1,164,525 shares underlying the KMC Options and 4,358,088 shares underlying
 the KMC Warrants.

**Dilution**

Dilution per share to CDAQ Public Shareholders is determined by CDAQ's net tangible book value ("<u>NTBV</u>") per share, as adjusted, while excluding the Business Combination, while giving effect to material probable or consummated transactions and other material effects on NTBV per share, from the CDAQ Public Shareholders as set forth as follows under five redemption scenarios.

The following table illustrates NTBV per share and the change in NTBV per share, as adjusted, following the Closing, but excluding the other effects of the Business Combination, while giving effect to probable or consummated transactions that are material and other material effects on NTBV per share. These are presented in relation to the offering price per Public Share in the CDAQ IPO as set forth as follows under the five (5) redemption scenarios:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions** | **Assuming**<br> **25%**<br> **Redemptions** | **Assuming**<br> **50%**<br> **Redemptions** | **Assuming**<br> **75%**<br> **Redemptions** | **Assuming Maximum Redemptions** |
| Offering price of the securities in the CDAQ IPO price per share | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 |
| Net tangible book value, as adjusted<sup>(1)</sup> | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| As adjusted shares<sup>(2)</sup> | 7945138 | 7917422 | 7889705 | 7861989 | 7834272 |
| Net tangible book value per share, as adjusted, as of September 30, 2025 | $0.88 | 0.85 | 0.81 | 0.77 | 0.73 |
| Dilution per share to CDAQ Public Shareholders | $9.12 | 9.15 | 9.19 | 9.23 | 9.27 |

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&nbsp;&nbsp;&nbsp;&nbsp;(1) See
 table below for reconciliation of NTBV, as adjusted.

(2) See
 table below for reconciliation of as adjusted shares.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions<sup>(1)</sup>** | **Assuming**<br> **25%**<br> **Redemptions<sup>(2)</sup>** | **Assuming**<br> **50%**<br> **Redemptions<sup>(3)</sup>** | **Assuming**<br> **75%**<br> **Redemptions<sup>(4)</sup>** | **Assuming Maximum Redemptions<sup>(5)</sup>** |
| Net tangible book value per share, as adjusted, as of September 30, 2025 | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| **Numerator adjustments** |  |  |  |  |  |
| CDAQ's net tangible book value | $(9512674) | (9512674) | (9512674) | (9512674) | (9512674) |
| Transaction expenses to be incurred by CDAQ | (1332927) | (1332927) | (1332927) | (1332927) | (1332927) |
| Conversion of related party promissory note in CDAQ Class A Ordinary Shares | 1741500 | 1741500 | 1741500 | 1741500 | 1741500 |
| Settlement of Legacy Sponsor note | (175000) | (175000) | (175000) | (175000) | (175000) |
| Settlement of non-redemption liability | 6025173 | 6025173 | 6025173 | 6025173 | 6025173 |
| Transaction Financings proceeds | 10000000 | 10000000 | 10000000 | 10000000 | 10000000 |
| Reclassification of shares subject to redemption to equity | 1293496 | 970122 | 646748 | 323374 | - |
| As adjusted net tangible book value | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| **Denominator adjustments** |  |  |  |  |  |
| CDAQ Public Shareholders | 110866 | 83150 | 55433 | 27717 |  |
| Sponsors | 4701782 | 4701782 | 4701782 | 4701782 | 4701782 |
| Non-Redemption Investors | 782490 | 782490 | 782490 | 782490 | 782490 |
| Polar Shares | 1350000 | 1350000 | 1350000 | 1350000 | 1350000 |
| PIPE Investors | 1000000 | 1000000 | 1000000 | 1000000 | 1000000 |
| As adjusted CDAQ's shares outstanding | 7945138 | 7917422 | 7889705 | 7861989 | 7834272 |

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&nbsp;&nbsp;&nbsp;&nbsp;(1) Includes
 5,310,122 Founder Shares (as defined below) and 4,832,065 CDAQ Private Warrants. Does not
 give effect to any pre-closing transfers, distributions or forfeitures of securities held
 by the Sponsor.

CDAQ issued the CDAQ Public Shares as part of Units in the CDAQ IPO at $10.00 per Unit. After giving effect to the issuance of the 21,240,488 CDAQ Public Shares in the CDAQ IPO and the 4,832,065 CDAQ Private Warrants to the Legacy Sponsor in a private placement that closed simultaneously with the CDAQ IPO (the "<u>CDAQ Private Placement</u>"), less redemptions of CDAQ Public Shares, there were 5,420,988 CDAQ Ordinary Shares and 4,832,065 CDAQ Private Warrants issued and outstanding. In connection with the Business Combination, assuming its consummation in accordance with the Merger Agreement, immediately after the Closing, Pubco is expected to have outstanding an aggregate of 26,568,467 shares of Pubco Common Stock, including (i) 5,595,138 shares of Pubco Common Stock issued to CDAQ Shareholders in the Purchaser Merger, (ii) 18,623,329 shares of Pubco Common Stock issued to the KMC Sellers in the Company Merger, (iii) 1,350,000 shares of Pubco Common Stock issued to Polar, and (iv) 1,000,000 shares of Pubco Common Stock issued to the PIPE Investors. These shares outstanding assume no shares of Pubco Common Stock are issued and outstanding under the Incentive Plan. The tabular disclosure includes presentations of information at various illustrative redemption levels consistent with the "No Redemptions," "25% Redemptions," "50% Redemptions," "75% Redemptions" and "Maximum Redemptions" scenarios further described in the section of this proxy statement/prospectus entitled "*Unaudited Pro Forma Condensed Combined Financial Information*."

For purposes of Item 1604(c)(1) of Regulation S-K, Pubco would have 26,568,467 total shares of Pubco Common Stock outstanding immediately after giving effect to the Business Combination under the "No Redemptions" scenario based on the assumptions set forth in the preceding paragraph and as further described above. Where there are no redemptions of CDAQ Public Shares prior to the Closing, CDAQ valuation is based on the $10.00 issuance price per Unit in the CDAQ IPO and is therefore calculated as: $10.00 (per Unit CDAQ IPO price) *multiplied by* 26,568,467 shares, or $265,684,670. The following table illustrates the valuation at the $10.00 issuance price per Unit in the CDAQ for each redemption scenario:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions** | **Assuming**<br> **25%**<br> **Redemptions** | **Assuming**<br> **50%**<br> **Redemptions** | **Assuming**<br> **75%**<br> **Redemptions** | **Assuming Maximum Redemptions** |
| CDAQ shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $1108660 | $831500 | $554330 | $277170 | $- |
| CDAQ Public Shareholders shares outstanding post Business Combination | 110866 | 83150 | 55433 | 27717 | - |
| CDAQ Sponsors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $39592920 | $39592920 | $39592920 | $39592920 | $39592920 |
| CDAQ Sponsors shares outstanding post Business Combination | 3959292 | 3959292 | 3959292 | 3959292 | 3959292 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming<br> No<br> Redemptions** | **Assuming<br> 25%<br> Redemptions** | **Assuming<br> 50%<br> Redemptions** | **Assuming<br> 75%<br> Redemptions** | **Assuming<br> Maximum<br> Redemptions** |
| KMC Sellers shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $183233291 | $183233291 | $183233291 | $183233291 | $183233291 |
| KMC Sellers shares outstanding post Business Combination | 18233291 | 18233291 | 18233291 | 18233291 | 18233291 |
| CDAQ Non-Redemption Investors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $15249800 | $15249800 | $15249800 | $15249800 | $15249800 |
| CDAQ Non-Redemption Investors shares outstanding post Business Combination | 1524980 | 1524980 | 1524980 | 1524980 | 1524980 |
| PIPE Investors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $10000000 | $10000000 | $10000000 | $10000000 | $10000000 |
| PIPE Investors shares outstanding post Business Combination | 1000000 | 1000000 | 1000000 | 1000000 | 1000000 |
| Polar Shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $13500000 | $13500000 | $13500000 | $13500000 | $13500000 |
| PIPE Investors shares outstanding post Business Combination | 1350000 | 1350000 | 1350000 | 1350000 | 1350000 |
| Total valuation based on offering price of the securities in CDAQ IPO of $10.00 per Unit | $265684671 | $265407511 | $265130341 | $264853181 | $264576011 |
| Total shares outstanding post Business Combination<sup>(1)</sup> | 20568467 | 26540751 | 26513034 | 26485318 | 26457601 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Excludes
 the dilutive effects of 7,080,163 shares underlying the 7,080,163 CDAQ Public Warrants,
 4,832,065 shares underlying 4,832,065 outstanding CDAQ Private Warrants, the 1,164,525
 shares underlying the KMC Options, and the 4,358,088 shares underlying the KMC Warrants.

The foregoing required disclosure is not a guarantee that the trading price of Pubco Common Stock will not be below the offering price in the CDAQ IPO, nor is the required disclosure a guarantee that Pubco will attain any of the levels of valuation presented.

The above discussion and table are based on 3,310,866 CDAQ Class A Ordinary Shares and 2,110,122 CDAQ Class B Ordinary Shares outstanding on September 30, 2025.

The above discussion and table also exclude potential dilutive effects associated with future issuances or grants of equity or equity-linked securities by Pubco pursuant to the Incentive Plan expected to be adopted in connection with the Closing.

The aforementioned equity issuances are not the only sources of potential dilution to the relative ownership percentage associated with shares of Pubco Common Stock held by non-redeeming CDAQ Public Shareholders after the Closing; any additional equity and equity-linked issuances by Pubco may result in additional dilution to CDAQ Public Shareholders' percentage ownership in Pubco, potentially significantly, and may have other effects, as described above and as further described in the "*Risk Factors*" section of this proxy statement/prospectus.

All of the relative percentages above are for illustrative purposes only and are based upon certain assumptions as described in the section entitled "*Beneficial Ownership of Securities*" and as described above. Should one or more of the assumptions prove incorrect, actual ownership percentages may vary materially from those described in this proxy statement/prospectus as anticipated, believed, estimated, expected or intended. See "*Unaudited Pro Forma Condensed Combined Financial Information*."

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| | |
|:---|:---|
| **Q:** | **What conditions must be satisfied or waived to complete the Business Combination?** |
| A: | There are a number of closing conditions to the Business Combination in the Merger Agreement, including, but not limited to, the following: (i) the approval of the CDAQ Shareholder Approval Matters; (ii) the approval of the Business Combination by the KMC Sellers; (iii) the consummation of the Business Combination not being prohibited by applicable law; (iv) effectiveness of the Registration Statement; (v) the shares of Pubco Common Stock having been approved for listing on the Nasdaq Capital Market; (vi) a Minimum Cash Condition of at least $5.0 million at Closing, after giving effect to Trust Account redemptions, Transaction Financing proceeds and payment of CDAQ expenses and liabilities and up to $1.0 million in KMC transaction expenses; and (vii) the expiration of certain regulatory waiting periods and approval of any necessary governmental approvals. Any of the conditions to a party's obligation to consummate the Business Combination set forth in the Merger Agreement, if legally permitted, may be waived by such party. |

---

For a summary of all of the conditions that must be satisfied or waived prior to completion of the Business Combination, see the section entitled "*The Business Combination — The Merger Agreement*" and "— *Ancillary Documents.*"

---

| | |
|:---|:---|
| **Q:** | **When will the Business Combination be completed?** |

---

The parties currently expect that the Business Combination will be completed during the second quarter of 2026. However, neither CDAQ nor KMC can assure you of when or if the Business Combination will be completed, and it is possible that factors outside of the control of CDAQ and/or KMC could result in the Business Combination being completed at a different time or not at all. The outside date for consummation of the Business Combination (the "<u>Outside Date</u>") is June 30, 2026, unless extended as provided in the Merger Agreement. Before the Business Combination can be completed, CDAQ must obtain the approval of the CDAQ Shareholders for each of the CDAQ Shareholder Approval Matters, and the parties to the Merger Agreement must also satisfy other closing conditions. See "*The Business Combination — The Merger Agreement — Conditions to Closing*."

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| | |
|:---|:---|
| **Q:** | **Why is CDAQ providing CDAQ Shareholders with the opportunity to vote on the Business Combination?** |

---

---

| | |
|:---|:---|
| A: | Under the CDAQ Memorandum and Articles, CDAQ must provide all CDAQ Public Shareholders with the opportunity to have their CDAQ Public Shares redeemed upon the consummation of CDAQ's initial business combination either in conjunction with a tender offer or in conjunction with a shareholder vote in accordance with the provisions of Article 50 of the CDAQ Memorandum and Articles. For business reasons and pursuant to Cayman Islands law requirements, CDAQ has elected to structure the Business Combination in such a way as to provide CDAQ Public Shareholders with the opportunity to have their CDAQ Public Shares redeemed in connection with a shareholder vote rather than a tender offer. Therefore, CDAQ is seeking to obtain the approval of the CDAQ Shareholders of the Business Combination Proposal, among the other Proposals, in order to allow the CDAQ Public Shareholders to effectuate redemptions of their CDAQ Public Shares in connection with the consummation of the Business Combination. |

---

Further, pursuant the Cayman Islands Company Act and the CDAQ Memorandum and Articles, CDAQ Shareholders are required to approve the Plan of Merger by special resolution.

---

| | |
|:---|:---|
| **Q:** | **Are there any arrangements to help ensure that there will be sufficient funds to consummate the Business Combination?** |

---

---

| | |
|:---|:---|
| A: | Pursuant to the Merger Agreement, during the period between the signing of the Merger Agreement and the Closing, KMC, CDAQ and Pubco shall use their commercially reasonable efforts to enter into Financing Agreements for one or more Transaction Financings for gross proceeds sufficient to meet the Minimum Cash Condition on such terms and structuring, and using such strategy, placement agents and approach, as CDAQ and KMC shall mutually agree, will reasonably cooperate in connection therewith (including having KMC's senior management participate in investor meetings as reasonably requested), and will not amend, waive or otherwise modify any Financing Agreements or reduce any committed investment amounts without mutual consent, except as permitted under the Financing Agreements. As of ______, 2026, no Financing Agreements have been entered into. |

---

For more information about the Transaction Financings and other arrangements contemplated by the Merger Agreement, please see the section entitled "*Summary of the Proxy Statement/Prospectus – The Business Combination-— Ancillary Documents*."

The proceeds from the Trust Account (net of any amounts used to fund the redemptions of CDAQ Public Shares) and the Transaction Financings will be used to pay any transaction expenses of the parties, deferred expenses of CDAQ, repayment of certain loans owed by CDAQ, other liabilities of CDAQ and any remainder will be used for general corporate purposes, including, but not limited to, working capital for operations. In addition, CDAQ and KMC may seek to arrange for additional third-party financing which may be in the form of debt (including convertible notes) or equity, or Trust Account non-redemption or backstop arrangements or a committed equity line facility or otherwise, the proceeds of which would be used for a variety of purposes.

---

| | |
|:---|:---|
| **Q:** | **How many votes do I have at the Meeting?** |

---

---

| | |
|:---|:---|
| A: | CDAQ Shareholders are entitled to one vote at the Meeting for each CDAQ Ordinary Share held of record as of the Record Date for the Meeting. As of the close of business on the Record Date, there were 5,420,988 CDAQ Ordinary Shares issued and outstanding. |

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| | |
|:---|:---|
| **Q:** | **What vote is required to approve the proposals presented at the Meeting?** |

---

---

| | |
|:---|:---|
| A: | Each of the Business Combination Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Incentive Plan Proposal and the Adjournment Proposal and the election of each director nominee pursuant to the Director Election Proposal is required to be approved by an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. |

---

The Merger Proposal is required to be approved by a special resolution of CDAQ Shareholders, which requires the affirmative vote of holders of at least two-thirds of the issued and outstanding CDAQ Ordinary Shares as of the Record Date, being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

Approval of the Organizational Documents Proposals is being sought by way of an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. However, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board.

Assuming a quorum is established, a CDAQ Shareholder's failure to vote by proxy or to vote at the Meeting will have no effect on the Proposals. Abstentions and broker non-votes, while considered present for the purposes of establishing a quorum, are not treated as votes cast and will have no effect on any of the Proposals.

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

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| | |
|:---|:---|
| **Q:** | **Are the Proposals conditioned on one another?** |

---

A: Under the Merger Agreement, the approval by CDAQ Shareholders of the Business Combination Proposal, the Merger Proposal, and the Incentive Plan Proposal are conditions to the consummation of the Business Combination. If any of such Proposals are not approved by CDAQ Shareholders, the Business Combination will not be consummated, unless waived by the parties. Each of the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal, and the Incentive Plan Proposal are conditional upon the approval of the Business Combination Proposal. The Adjournment Proposal is not conditioned on the approval of any other proposal.

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| | |
|:---|:---|
| **Q:** | **What constitutes a quorum at the Meeting?** |

---

---

| | |
|:---|:---|
| A: | A quorum of CDAQ Shareholders is necessary to hold a valid meeting. A quorum for the Meeting consists of the holders at least one-third of the then issued and outstanding CDAQ Ordinary Shares (whether in person (including via the virtual meeting platform) or by proxy). As of the Record Date, CDAQ Shareholders holding 1,806,997 CDAQ Ordinary Shares would be required to achieve a quorum at the Meeting. Since the CDAQ Ordinary Shares held by the Sponsor represent approximately 57.1% of the issued and outstanding CDAQ Ordinary Shares and which will count towards this quorum, CDAQ will not need any of the CDAQ Public Shares to be represented in person (including via the virtual meeting platform) or by proxy at the Meeting to have a valid quorum. |

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| | |
|:---|:---|
| **Q:** | **How will the Sponsor and CDAQ's directors and officers vote?** |

---

---

| | |
|:---|:---|
| A: | The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. While none of CDAQ's executive officers or directors directly own any CDAQ Ordinary Shares, pursuant to the Letter Agreement, each of CDAQ's executive officers and directors have agreed to vote any CDAQ Ordinary Shares held by them in favor of the initial business combination, including the Business Combination. |

---

As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

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| | |
|:---|:---|
| **Q:** | **What interests do the Sponsor, CDAQ's directors and executive officers and their affiliates have in the Business Combination?** |

---

---

| | |
|:---|:---|
| A: | When CDAQ Public Shareholders consider the recommendation of the CDAQ Board in favor of approval of the Business Combination and other Proposals, CDAQ Public Shareholders should keep in mind that the Sponsor and CDAQ's directors and officers have interests in the Proposals that are different from or in addition to (and which may conflict with), the interests of a CDAQ Public Shareholder as a CDAQ Shareholder. These interests include, among other things: |

---

● As of the date hereof, the Sponsor is the record holder of 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants, each whole warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share at a purchase price of $11.50 per share. As of the date hereof, the aggregate value of such securities is estimated to be approximately $______ million, assuming (i) the per share value of the 3,093,036 CDAQ Class B Ordinary Shares is the same as the $______ closing price of the CDAQ Class A Ordinary Shares on ______, 2026 and (ii) the per warrant value of the 4,645,398 CDAQ Private Warrants is the same as the $______ closing price of the CDAQ Public Warrant on ______, 2026. Pursuant to various non-redemption agreements, the Sponsor has agreed to transfer to the Non-Redemption Investors an aggregate of 1,492,300 Founder Shares promptly at or following the closing of an initial business combination (but no later than two (2) business days after the satisfaction of the requisite conditions to such transfer);

● If CDAQ does not consummate a business combination by April 20, 2026 (unless extended by CDAQ's shareholders) (the " <u>Business Combination Deadline</u> "), CDAQ will cease all operations except for the purpose of winding up, redeeming 100% of the issued and outstanding CDAQ Public Shares for cash and, subject to the approval of its remaining shareholders and its board of directors, dissolving and liquidating. In such event, the CDAQ Class B Ordinary Shares (the " <u>Founder Shares</u> ") held by the Legacy Sponsor and the Sponsor would be worthless because holders of Founder Shares are not entitled to participate in any redemption or distribution with respect to such shares. The aggregate value of the Founder Shares, assuming a per share value equal to the $______ closing price of the CDAQ Public Shares on ______, 2026, is estimated to be approximately $______ million. The Founder Shares were initially issued for an aggregate price of only $25,000. This means that if the Business Combination is consummated, the Sponsors would likely recoup their initial investment in CDAQ and make a substantial profit on that investment, even if the shares of Pubco Common Stock trade at a significant discount to the current price of the CDAQ Class A Ordinary Shares causing the CDAQ Public Shareholders to experience a negative rate of return in the Pubco;

● In order to finance transaction costs in connection with an initial business combination, the Legacy Sponsor and any of CDAQ's prior officers or directors that hold Founder Shares (collectively, the " <u>Initial Shareholders</u> "), the Sponsor or an affiliate of the Initial Shareholders or the Sponsor, or certain of the prior directors and officers or current directors and officers may, but are not obligated to, provide CDAQ working capital loans (the " <u>Working Capital Loans</u> "). Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of an initial business combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of an initial business combination into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ Private Warrants. In the event that an initial business combination does not close, CDAQ may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans. CDAQ has issued two unsecured promissory notes, one of which is that certain promissory note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 (the " <u>Sponsor Loan Note</u> "), as further described under the heading "*Information About CDAQ*," for CDAQ's working capital (including potential extension funding) needs. As of ______, 2026, $1,741,500 was outstanding under the Sponsor Note. Pursuant to the Sponsor Letter Agreement, all amounts outstanding as of the Closing under the Sponsor Loan Note shall be automatically converted, immediately prior to the Purchaser Merger, into CDAQ Class A Ordinary Shares at $10.00 per share. If the Business Combination is not consummated by the Business Combination Deadline, the Sponsor, its officers and their affiliates may not receive any payment in respect of the promissory notes, in whole or in part;

● Polar has agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones pursuant to that certain subscription agreement, dated September 6, 2023, by and among CDAQ, the Sponsor and Polar (the " <u>Polar Subscription Agreement</u> "), in order to meet the Sponsor's commitment to CDAQ under a drawdown request. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10) dollars of such funding (the " <u>Polar Capital Investment</u> "). In addition, pursuant to the Merger Agreement, immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary Shares pursuant to the Polar Subscription Agreement (together with the shares of Pubco Common Stock to be received in exchange for such shares in the Mergers, the " <u>Polar Shares</u> "). As of ______, 2026, $1,500,000 was drawn down, which is unlikely to be repaid if the Business Combination is not consummated by the Business Combination Deadline;

● If CDAQ is unable to complete a business combination by the Business Combination Deadline, the Sponsor has agreed to indemnify CDAQ in the event that claims for services rendered or products sold to CDAQ or by a prospective target business reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per CDAQ Public Share and (ii) the actual amount per CDAQ Public Share held in the Trust Account as of the date of the liquidation of the Trust Account. This indemnity does not apply to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account or to any claims under CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including liabilities under the Securities Act;

● CDAQ's Sponsor, its officers and directors, and their affiliates are entitled to reimbursement for any out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's behalf, such as identifying, investigating, negotiating and completing an initial business combination. If CDAQ does not complete a business combination by the Business Combination Deadline, CDAQ may not have the cash necessary to reimburse these expenses. As of the date of this proxy statement/prospectus, none of CDAQ's Sponsor, officers and directors, or their affiliates had incurred any expenses which would be reimbursed at the Closing;

● The Legacy Sponsor assigned the existing administrative services agreement with CDAQ, dated October 14, 2021 (the " <u>Administrative Services Agreement</u> ") to the Sponsor. Pursuant to the Administrative Services Agreement, CDAQ is required to pay the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor;

● The anticipated election of ______ as a director of Pubco in connection with the consummation of the Business Combination. As such, in the future, ______ will receive any cash or equity compensation that the Pubco Board determines to pay ______. For more information on Pubco director compensation, see "*Management of Pubco Following the Business Combination*;"

● CDAQ's officers and directors have not been required to, and have not, committed their full time to CDAQ's affairs, which may have resulted in a conflict of interest in allocating their time between CDAQ's operations and its business combination and their other businesses; and

● HCG Opportunity MM (" <u>HCG MM</u> ") is the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Both individuals disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

The foregoing interests present a risk that the Sponsor and CDAQ's officers and directors may be incentivized to complete a business combination with a less favorable target company or on terms less favorable to the CDAQ Public Shareholders rather than to liquidate, in which case the Sponsor would lose its entire investment. As a result, the Sponsor and CDAQ's officers and directors may have a conflict of interest in determining whether Pubco is an appropriate business with which to effectuate a business combination and/or in evaluating the terms of the Business Combination.

For more, see "*Certain Relationships and Related Party Transactions*" and see the risk factor entitled "*Risk Factors — Risks Related to the Business Combination — Since the Sponsor and CDAQ's directors and officers have interests that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders, a conflict of interest may have existed in determining whether the Business Combination with Pubco and KMC is appropriate as CDAQ's initial business combination. Such interests include that the Sponsor will lose its entire investment in CDAQ if the Business Combination is not completed or any other business combination is not completed*."

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| | |
|:---|:---|
| **Q:** | **Did the CDAQ Board obtain a fairness opinion (or any similar report or appraisal) in determining whether or not to proceed with the Business Combination?** |

---

&nbsp;&nbsp;&nbsp;&nbsp;A. No.
 The CDAQ Board did not obtain a fairness opinion (or any similar report or appraisal) in
 connection with its determination to approve the Business Combination. However, CDAQ's
 management, the members of the CDAQ Board and the other representatives of CDAQ have experience
 in evaluating the operating and financial merits of KMC. Accordingly, investors will be relying
 solely on the judgment of the CDAQ Board in valuing KMC's business and accordingly,
 investors assume the risk that the CDAQ Board may not have properly valued such business.
 For more information, see the risk factor entitled "*Risk Factors — Risks Related to the Business Combination — Neither the CDAQ Board nor any committee thereof obtained a fairness opinion (or any similar report or appraisal) in determining whether or not to pursue the Business Combination. Consequently, CDAQ Shareholders have no assurance from an independent source that the number of shares of Pubco Common Stock to be issued to the KMC Sellers and CDAQ Shareholders in the Business Combination is fair to CDAQ — and, by extension, CDAQ Shareholders — from a financial point of view.* "

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| | |
|:---|:---|
| **Q:** | **What factors did the CDAQ Board consider in connection with its decision to recommend voting in favor of the Business Combination?** |

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| | |
|:---|:---|
| A: | The CDAQ Board considered a variety of factors in connection with its evaluation of the Business Combination. In light of the number and complexity of those factors, the CDAQ Board, as a whole, did not consider it practicable to, and did not attempt to, quantify or otherwise assign relative weights to the specific factors that it considered in reaching its determination and supporting its decision. Individual directors may have given different weights to different factors. The CDAQ Board viewed its decision as being a business judgment that was based on all of the information available to, and the factors presented to and considered by, the CDAQ Board. Certain information presented in this section is forward-looking in nature and, therefore, should be read in light of the factors discussed under "*Cautionary Note Regarding Forward-Looking Statements*." |

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The CDAQ Board, in evaluating the Business Combination, consulted with CDAQ management and its financial, legal and other advisors. In reaching its unanimous resolution (i) that the Merger Agreement and the transactions contemplated thereby are advisable and in the best interests of CDAQ and (ii) to recommend that the CDAQ Shareholders adopt the Merger Agreement and approve the Business Combination and the other transactions contemplated by the Merger Agreement, the CDAQ Board considered a range of factors, as discussed below. The CDAQ Board viewed its decision as being based on all of the information available and the factors presented to and considered by the CDAQ Board. In addition, individual directors may have given different weights to different factors.

The CDAQ Board considered a number of factors pertaining to the Business Combination as generally supporting its decision to enter into the Merger Agreement and the transactions contemplated thereby, as well as a variety of risks and uncertainties and other potentially negative factors concerning the Business Combination. See the section titled "*The Business Combination Proposal — CDAQ Board's Reasons for the Approval of the Business Combination*."

**Q: What amendments will be made to the CDAQ Memorandum and Articles?**

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| A: | The consummation of the Business Combination is conditioned, among other things, on the consummation of the Mergers, pursuant to which Purchaser Merger Sub will merge with and into CDAQ with CDAQ continuing as the surviving entity and any CDAQ Shareholder that does not exercise its option to redeem the Class A Ordinary Shares held by them will receive one share of Pubco Common Stock in exchange for each Class A Ordinary Share held by them. Accordingly, in addition to voting on the Business Combination, CDAQ Shareholders are also being asked to consider and vote upon a proposal to approve the Plan of Merger pursuant to the Cayman Companies Act, and a proposal to approve the Pubco Charter, which differs materially from the CDAQ Memorandum and Articles. These differences are discussed in greater detail in the sections of this proxy statement/prospectus entitled "*The Pubco Charter Proposal*" and "*The Organizational Documents Proposals*." |

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| **Q:** | **Why is CDAQ proposing the Director Election Proposal?** |

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| A: | Pursuant to the Merger Agreement, the Parties agreed to take all necessary action so that, effective as of the Closing, the Pubco Board of will consist of five persons, including (i) ____, who is designated by CDAQ, and (ii) Cesar A. López Alarcón, John P. Ryan, Kelly Earle and Timothy R. McCutcheon. Mr. López is the President and Chief Executive Officer of KMC prior to the Closing and will serve as Chairman of the Pubco Board after Closing. A majority of the directors of the Pubco Board shall qualify as independent directors as defined under the rules of Nasdaq (the "<u>Nasdaq Listing Rules</u>"). The Pubco Board shall be divided into three classes, which classes shall have staggered terms of three years each, with the composition of each "class" determined by the Pubco Board prior to the Closing, subject to the requirements of the Nasdaq Capital Market. The Director Election Proposal will allow Pubco Shareholders to elect these directors. For more information, see the section entitled "*The Director Election Proposal*." |

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| **Q:** | **What happens if I sell my CDAQ Public Shares before the Meeting?** |

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| A: | The Record Date is earlier than the date of the Meeting. If you transfer your CDAQ Public Shares after the Record Date but before the date of the Meeting, unless the transferee obtains from you a proxy to vote those shares, you will retain your right to vote at the Meeting. However, you will not be able to seek redemption of your CDAQ Public Shares because you will no longer be able to deliver them for cancellation upon consummation of the Business Combination in accordance with the provisions described herein. If you transfer your CDAQ Public Shares prior to the Record Date, you will have no right to vote those shares at the Meeting. |

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| **Q:** | **What happens if CDAQ Shareholders vote against the Business Combination Proposal?** |

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| A: | Pursuant to the CDAQ Memorandum and Articles, if the Business Combination Proposal is not approved and CDAQ does not otherwise consummate an alternative business combination by the Business Combination Deadline, CDAQ will be required to cease all operations except for the purpose of winding up and as promptly as reasonably possible but not more than ten business days thereafter, subject to lawfully available funds, redeem the CDAQ Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the Trust Account (which interest shall be net of taxes payable and less up to $100,000 of interest to pay dissolution expenses), divided by the number of CDAQ Public Shares then in issue, which redemption will completely extinguish CDAQ Public Shareholders rights as shareholders (including the right to received further liquidation distributions, if any) subject to applicable law. As promptly as reasonably possible following such redemption, subject to CDAQ's remaining shareholders and the CDAQ Board, liquidate and dissolve, subject in each case to CDAQ's obligations under Cayman Islands law to provide for claims of creditors and in all cases subject to the other requirement of applicable law and the CDAQ Memorandum and Articles. |

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| **Q:** | **Do I have redemption rights?** |

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| A: | Pursuant to the CDAQ Memorandum and Articles, holders of CDAQ Public Shares may elect to have their CDAQ Public Shares redeemed for cash at the then-applicable redemption price calculated as of two business days prior to the Closing. As of the date of this proxy statement/prospectus, based on funds in the Trust Account of approximately $______ million as of ______, 2026, this would have amounted to $______ per share. If a holder exercises its redemption rights, then such holder will be exchanging its CDAQ Public Shares for cash. Such a holder will be entitled to receive cash for its CDAQ Public Shares only if it properly demands redemption and delivers its shares (either physically or electronically) to CST prior to the Meeting. See the section titled "*Extraordinary General Meeting of Shareholders — Redemption Rights*" for the procedures to be followed if you wish to redeem your CDAQ Public Shares for cash. In connection with the CDAQ IPO, the Sponsor and CDAQ's executive officers and directors agreed to waive any redemption rights with respect to any CDAQ Ordinary Shares held by them in connection with the completion of the Business Combination. Such waivers are standard in transactions of this type and the Sponsor and CDAQ's executive officers and directors did not receive separate consideration for the waiver. |

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| **Q:** | **Will how I vote affect my ability to exercise redemption rights?** |

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| A: | No. You may exercise your redemption rights whether or not you are a holder of CDAQ Public Shares on the Record Date (so long as you are a holder at the time of exercise), or whether or not you are a holder and vote your CDAQ Public Shares on the Business Combination Proposal (for or against) or any other Proposal. As a result, the Merger Agreement can be approved by CDAQ Public Shareholders who will redeem their CDAQ Public Shares, leaving CDAQ Public Shareholders who choose not to redeem their CDAQ Public Shares holding shares in a company with a potentially less liquid trading market, fewer shareholders, potentially less cash and the potential inability to meet the listing standards of Nasdaq. |

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| **Q:** | **How do I exercise my redemption rights?** |

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| A: | In order to exercise your redemption rights, you must, prior to 5:00 p.m., Eastern Time, on ______, 2026 (two (2) business days before the Meeting), tender your CDAQ Public Shares physically or electronically and submit a request in writing that CDAQ redeem your CDAQ Public Shares for cash to CST, CDAQ's transfer agent, at the following address: |

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Continental Stock Transfer & Trust Company

One State Street Plaza, 30<sup>th</sup> Floor

New York, New York 10004

Attn: SPAC Redemption Team

Email: spacredemptions@continentalstock.com

If you hold CDAQ Public Shares in "street name," you will have to coordinate with your broker to have your shares certificated or delivered electronically. Certificates that have not been tendered (either physically or electronically) in accordance with these procedures will not be redeemed. There is a nominal cost associated with this tendering process and the act of certificating the shares or delivering them through the DTC's DWAC system.

Any demand for redemption, once made, may be withdrawn at any time until the deadline for exercising redemption requests and thereafter, with CDAQ's consent. If you delivered your CDAQ Public Shares for redemption to CST and decide within the required timeframe not to exercise your redemption rights, you may request that CST return the shares (physically or electronically). You may make such request by contacting CST at the phone number or address listed under the question "*Who can help answer my questions?*" below.

Any holder of CDAQ Public Shares (whether or not they are a holder on the Record Date) will be entitled to demand that their CDAQ Public Shares be redeemed for a pro rata portion of the amount then in the Trust Account (which was approximately $______ million as of ______, 2026, or $______ per share, as of the Record Date). Such amount, less any owed but unpaid taxes on the funds in the Trust Account, will be paid promptly upon consummation of the Business Combination. Your vote on any Proposal will have no impact on the amount you will receive upon exercise of your redemption rights. No holder of CDAQ Public Shares, together with any affiliate of such holder or any other person with whom such holder is acting in concert as a "group" (as defined under Section 13 of the Exchange Act) may exercise this redemption right with respect to more than fifteen percent (15%) of the CDAQ Public Shares in aggregate without the prior consent of CDAQ.

If a holder of CDAQ Public Shares properly makes a demand for redemption as described above, then, if the Business Combination is consummated, CDAQ will convert these shares into a pro rata portion of funds deposited in the Trust Account. If you exercise your redemption rights, then you will be exchanging your CDAQ Public Shares for cash and will not be entitled to shares of Pubco Common Stock upon consummation of the Business Combination. If the Business Combination is not approved or completed for any reason, then holders of CDAQ Public Shares who elected to exercise their redemption rights would not be entitled to redeem their CDAQ Public Shares for the applicable pro rata share of the Trust Account. In such case, CDAQ will promptly return any CDAQ Public Shares delivered by CDAQ Public Shareholders and such holders may only share in the assets of the Trust Account upon the consummation of another business combination or the liquidation of CDAQ. This may result in holders receiving less than they would have received if the Business Combination was completed and they exercised redemption rights in connection therewith.

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| **Q:** | **Do I have appraisal rights if I object to the proposed Business Combination?** |
| A: | CDAQ Shareholders do not have appraisal rights in connection with the Business Combination or the Company Merger under either the Cayman Companies Act or under the General Corporation Law of the State of Delaware (the "<u>DGCL</u>").<br>CDAQ Shareholders may have appraisal rights in connection with the Purchaser Merger under the Cayman Companies Act. In this proxy statement/prospectus, these appraisal rights or dissent rights are sometimes referred to as "<u>Dissent Rights</u>." See section "*Extraordinary General Meeting of Shareholders — Appraisal Rights*." |

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| **Q:** | **What happens to the funds deposited in the Trust Account after the consummation of the Business Combination?** |

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| A: | If the Business Combination is consummated, the funds held in the Trust Account will be used to pay CDAQ Shareholders who properly exercise their redemption rights. The remaining amount will be released to the combined company and used to: |

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● pay certain fees, costs and expenses (including taxes, regulatory fees, legal fees, accounting fees, printer fees and other professional fees) that were incurred by CDAQ in connection with the transactions contemplated by the Business Combination and pursuant to the terms of the Merger Agreement; and

● provide for general corporate purposes of Pubco.

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| **Q:** | **What happens if a substantial number of CDAQ Public Shareholders vote in favor of the Business Combination Proposal and exercise their redemption rights?** |

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| A: | Unlike some other blank check companies which require CDAQ Public Shareholders to vote against a business combination in order to exercise their redemption rights, CDAQ Public Shareholders may vote in favor of the Business Combination and exercise their redemption rights. Accordingly, the Business Combination may be consummated even though the funds available from the Trust Account and the number of CDAQ Public Shareholders are substantially reduced as a result of redemption by CDAQ Public Shareholders. The maximum number of number of redemptions that may be made in order for the consummation of the Business Combination to occur, if approved, is 110,866 CDAQ Public Shares, which reflects the number of CDAQ Public Shares that may be redeemed such that sufficient funds are available to pay all anticipated transaction costs to be paid prior to or upon the Closing of the Business Combination. |

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With fewer CDAQ Public Shares and CDAQ Public Shareholders, the trading market for shares of Pubco Common Stock may be less liquid than the market for CDAQ Public Shares was prior to the Business Combination, and Pubco may not be able to meet the listing standards for Nasdaq or another national securities exchange. In addition, with less funds available from the Trust Account, the working capital infusion from the Trust Account into Pubco's business will be reduced.

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| **Q:** | **What happens if the Business Combination is not consummated?** |

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| A: | If CDAQ does not complete the Business Combination with KMC or another business combination by the Business Combination Deadline, CDAQ must: (i) redeem 100% of the issued and outstanding CDAQ Public Shares, at a per-share price, payable in cash, equal to the amount then held in the Trust Account (which was approximately $______ million as of ______, 2026, or $______ per share) *divided by* the number of CDAQ Public Shares then outstanding, (ii) cease all operations except for the purpose of winding up, and (iii) subject to the approval of its remaining shareholders and its board of directors, dissolve and liquidate. For more information about the liquidation process, see "*Information About CDAQ — Redemption of CDAQ Public Shares and Liquidation if no Initial Business Combination.*" |

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| **Q:** | **When do you expect the Business Combination to be completed?** |

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| A: | It is currently anticipated that the Business Combination will be consummated promptly following the Meeting, which is set for ______, 2026. However, the Meeting could be adjourned, as described above. In addition, the Merger Agreement may be terminated by the parties upon the occurrence of certain events. For a description of the conditions for the completion of the Business Combination, see the section entitled "*The Business Combination — Merger Agreement — Conditions to Closing.*" |

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| **Q:** | **When and where is the Meeting?** |

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| A: | The Meeting will be held on ______, 2026 at ______ a.m., Eastern Time, at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually via live webcast on the Internet at *https://www.cstproxy.com/______*. You will be able to attend, vote your shares and submit questions during the Meeting via a live webcast available at *https://www.cstproxy.com/______.* |

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| **Q:** | **Can I attend the Meeting in person?** |

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| A: | Yes. CDAQ Shareholders will be able to attend the Meeting in person at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, or virtually. You will not be required to attend the Meeting in person in order to vote, and CDAQ encourages virtual participation which is treated as presence in person. |

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| **Q:** | **How can I attend the Meeting virtually?** |

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| A: | CDAQ is pleased to provide access to the Meeting virtually via the Internet through a live webcast and online shareholder tools. CDAQ believes a virtual format facilitates shareholder attendance and participation by leveraging technology to allow CDAQ to communicate more effectively and efficiently with its shareholders. This format empowers CDAQ Shareholders around the world to participate at no cost. CDAQ will use the virtual format to enhance shareholder access and participation and protect shareholder rights. |

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You or your proxyholder will be able to attend and vote at the Meeting by visiting *https://www.cstproxy.com/______* and using a control number assigned by CST. To register and receive access to the Meeting, registered shareholders and beneficial owners (those holding shares through a stock brokerage account or by a bank or other holder of record) will need to follow the instructions applicable to them provided in this proxy statement/prospectus. You will need the voter control number included on your proxy card in order to be able to vote your shares or submit questions during the Meeting. If you do not have a voter control number, you will be able to listen to the Meeting only and you will not be able to vote or submit questions during the Meeting.

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| **Q:** | **What do I need to do now?** |

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| A: | CDAQ urges you to carefully read and consider the information contained in this proxy statement/prospectus, including the annexes, and to consider how the Business Combination will affect you as a CDAQ Shareholder. CDAQ Shareholders should then vote as soon as possible in accordance with the instructions provided in this proxy statement/prospectus and on the enclosed proxy card or, if you hold your CDAQ Public Shares through a brokerage firm, bank or other nominee, on the voting instruction form provided by the broker, bank or nominee. |

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| **Q:** | **How do I vote?** |

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| A: | If you are a holder of record of CDAQ Ordinary Shares on the Record Date, you may vote by submitting your proxy by completing, signing, dating and returning the enclosed proxy card in the accompanying pre-addressed postage paid envelope. In addition, you may be able to vote over the Internet by visiting with the voter control number included on your proxy card or over the phone by dialing a toll-free number at ______ in the United States and Canada or ______ (toll rates apply) from outside the United States and Canada. The passcode for telephone access is ______. If you hold your shares in "street name," which means your shares are held of record by a broker, bank or nominee, you should contact your broker, bank or nominee to ensure that votes related to the shares you beneficially own are properly counted. In this regard, you must provide the broker, bank or nominee with instructions on how to vote your shares or, if you wish to attend the Meeting and vote, obtain a proxy from your broker, bank or nominee. |

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| **Q:** | **If my shares are held in "street name," will my broker, bank or nominee automatically vote my shares for me?** |

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| A: | As disclosed in this proxy statement/prospectus, your broker, bank or nominee cannot vote your shares on the Proposals unless you provide instructions on how to vote in accordance with the information and procedures provided to you by your broker, bank or nominee. However, broker non-votes, while considered present for the purposes of establishing a quorum, are not treated as votes cast and will have no effect on any of the Proposals. |

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| **Q:** | **May I change my vote after I have mailed my signed proxy card?** |

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| A: | Yes. CDAQ Shareholders may (i) enter a new vote in person, by Internet or telephone, (ii) send a later dated, signed proxy card to CDAQ at the address set forth below so that it is received by CDAQ prior to the Meeting or (iii) attend the Meeting in person or via live webcast and vote at such Meeting. CDAQ Shareholders also may revoke their proxy by sending a notice of revocation to CDAQ at 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448, which notice must be received by CDAQ prior to the vote at the Meeting. |

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| **Q:** | **What will happen if I abstain from voting or fail to vote at the Meeting?** |

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| A: | Abstentions and broker-non votes will be counted in connection with the determination of whether a valid quorum is established but will have no effect on any of the Proposals. |

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| **Q:** | **What will happen if I sign and return my proxy card without indicating how I wish to vote?** |

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| A: | Signed and dated proxies received by CDAQ without an indication of how the CDAQ Shareholder intends to vote on a proposal will be voted "FOR" each Proposal presented to the CDAQ Shareholders at the Meeting. The proxyholders may use their discretion to vote on any other matters which properly come before the Meeting. |

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| **Q:** | **If I am not going to attend the Meeting, should I return my proxy card instead?** |

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| A: | Yes. Whether you plan to attend the Meeting or not, please read the enclosed proxy statement carefully and vote your shares by completing, signing, dating and returning the enclosed proxy card in the postage-paid envelope provided. |

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| **Q:** | **What happens if I fail to take any action with respect to the Meeting?** |

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| A: | If you fail to take any action with respect to the Meeting and the Business Combination is approved by CDAQ Shareholders and consummated, you will become a shareholder of Pubco. If you fail to take any action with respect to the Meeting and the Business Combination is not approved, you will continue to be a shareholder of CDAQ. |

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| **Q:** | **What should I do if I receive more than one set of voting materials?** |

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| A: | CDAQ Shareholders may receive more than one set of voting materials, including multiple copies of this proxy statement/prospectus and multiple proxy cards or voting instruction cards. For example, if you hold your CDAQ Public Shares in more than one brokerage account, you will receive a separate voting instruction card for each brokerage account in which you hold shares. If you are a holder of record and your shares are registered in more than one name, you will receive more than one proxy card. Please complete, sign, date and return each proxy card and voting instruction card that you receive in order to cast a vote with respect to all of your CDAQ Public Shares. |

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| **Q:** | **Who will solicit and pay the cost of soliciting proxies?** |

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| A: | CDAQ will pay the cost of soliciting proxies for the Meeting. CDAQ has engaged ______ to assist in the solicitation of proxies for the Meeting. CDAQ has agreed to pay a fee of $______, *plus* reimbursement of out-of-pocket expenses for their services. CDAQ agreed to indemnify ______ and its affiliates against certain claims, liabilities, losses, damages and expenses. CDAQ will also reimburse banks, brokers and other custodians, nominees and fiduciaries representing beneficial owners of CDAQ Public Shares for their expenses in forwarding soliciting materials to beneficial owners of CDAQ Public Shares and in obtaining voting instructions from those owners. CDAQ's directors, officers and employees may also solicit proxies by telephone, by facsimile, by mail, on the Internet or in person. They will not be paid any additional amounts for soliciting proxies. |

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| **Q:** | **Who can help answer my questions?** |

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A: If you have questions about the Business Combination or if you need additional copies of the proxy statement/prospectus or the enclosed proxy card you should contact:

Compass Digital Acquisition Corp.

195 US HWY 50, Suite 207

Zephyr Cove, NV 89448

Attn: Thomas D. Hennessy

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(775) 339-1671

or

____________

____________

You may also obtain additional information about CDAQ from documents filed with the SEC by following the instructions in the section of this proxy statement/prospectus entitled "*Where You Can Find More Information*." If you are a holder of CDAQ Public Shares and you intend to seek redemption of your shares, you will need to deliver your shares (either physically or electronically) to CST at the address below at least two (2) business days prior to the Meeting. If you have questions regarding the certification of your position or delivery of your stock, please contact:

Continental Stock Transfer & Trust Company

1 State Street, 30<sup>th</sup> Floor

New York, New York 10004

Attn: SPAC Redemption Team

Email: spacredemptions@continentalstock.com

**SUMMARY OF THE PROXY STATEMENT/PROSPECTUS**

*This summary highlights selected information from this proxy statement/prospectus and does not contain all the information that is important to you. You should carefully read this entire proxy statement/prospectus, including the Merger Agreement attached as <u>Annex A</u> to this proxy statement/prospectus as well as the other Annexes attached to the proxy statement/prospectus.*

**The Parties**

***CDAQ***

CDAQ is a blank check company incorporated in the Cayman Islands as an exempted company with limited liability on March 8, 2021. CDAQ was formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, share purchase, reorganization or similar business combination or other similar business combination with one or more businesses or entities.

On August 30, 2023, the Sponsor and the Legacy Sponsor entered into a sponsor purchase agreement (the "<u>Sponsor Purchase Agreement</u>"), and on August 31, 2023, the Sponsor and the Legacy Sponsor consummated the transactions contemplated thereby (the "<u>Sponsor Handover</u>"). Pursuant to the Sponsor Purchase Agreement, (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) the Sponsor agreed to cause CDAQ to pay an aggregated amount of $300,000 in cash consideration upon closing of an initial business combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into a joinder to the CDAQ's registration rights agreement, dated October 14, 2021 (the "<u>Registration Rights Agreement</u>"); (iv) the Legacy Sponsor assigned the existing Administrative Services Agreement with CDAQ, dated October 14, 2021 to the Sponsor; (v) all of the prior members of the board of directors and officers ("<u>Prior Directors or Officers</u>") of CDAQ resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as the Chief Executive Officer and the Chief Financial Officer of CDAQ, respectively; and (vi) CDAQ entered into an amendment to the existing Letter Agreement, dated October 14, 2021 (as amended, the "<u>Letter Agreement</u>") with the Legacy Sponsor, the Sponsor and CDAQ's former officers and directors, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and CDAQ Private Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement. Immediately following the Sponsor Handover, the Legacy Sponsor retained 2,217,086 Founder Shares and 186,667 Private Warrants.

On October 19, 2023, CDAQ held an extraordinary general meeting of shareholders to approve proposals to amend the CDAQ Memorandum and Articles to (i) extend the date by which CDAQ must consummate an initial business combination from October 19, 2023 to July 19, 2024 and (ii) provide for the right of holders of CDAQ Class B Ordinary Shares to convert such shares into CDAQ Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a business combination at the election of the holders. In connection with the vote to approve these proposals, CDAQ Public Shareholders holding 16,045,860 CDAQ Public Shares exercised their right to redeem those CDAQ Public Shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $169.1 million (approximately $10.54 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On March 29, 2024, CDAQ entered into a joinder to the Letter Agreement with each of the current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

On July 18, 2024, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four times until April 19, 2025 (or such earlier date as determined by the CDAQ. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,713,143 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $29.6 million (approximately $10.92 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 5,681,485 CDAQ Class A Ordinary Shares (including 2,481,485 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

On April 16, 2025, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 20, 2026 or such earlier date as determined by the CDAQ Board. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,370,619 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $26.7 million (approximately $11.52 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 3,310,866 CDAQ Class A Ordinary Shares (including 110,866 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

The mailing address of CDAQ's principal executive office is 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448 and its telephone number is (775) 339-1671. After the consummation of the Business Combination, CDAQ will become a wholly-owned subsidiary of Pubco.

***Pubco***

Pubco was incorporated in Delaware on December 30, 2025 solely for the purpose of effectuating the Business Combination described herein. It has no material assets and does not operate any business. On December 30, 2025, Pubco issued one (1) share of Pubco Common Stock to CDAQ. This share represents all shares in the capital of Pubco that are currently issued and outstanding and will be surrendered for nil consideration immediately following adoption of the Pubco Charter and the issuance of new Pubco securities as contemplated hereby. For descriptions of Pubco securities, see "*Description of Pubco Securities*."

Prior to the consummation of the Business Combination, the sole director of Pubco is Thomas D. Hennessy and the sole stockholder of Pubco is CDAQ. The mailing address of Pubco's registered office is 701 Brickell Avenue, Suite 1550, Miami, FL 33131 and its telephone number is (786) 847-3320.

Immediately prior to the consummation of the Business Combination, Pubco's mailing address will be 701 Brickell Avenue, Suite 1550, Miami, FL 33131.

***Purchaser Merger Sub***

Purchaser Merger Sub was formed as a Cayman Islands exempted company on December 30, 2025 solely for the purpose of effectuating the Business Combination described herein. The Purchaser Merger Sub has no material assets and does not operate any business. Prior to the consummation of the Business Combination, the sole director of Purchaser Merger Sub is Thomas D. Hennessy, and the sole shareholder of Purchaser Merger Sub is Pubco. In connection with the consummation of the Business Combination, Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity, and with CDAQ Shareholders receiving shares of Pubco Common Stock in accordance with the Merger Agreement.

***Company Merger Sub***

Company Merger Sub was formed in Delaware on December 31, 2025 solely for the purpose of effectuating the Business Combination described herein. Company Merger Sub has no material assets and does not operate any business. Prior to the consummation of the Business Combination, the sole director of Company Merger Sub is __________, and the sole stockholder of Company Merger Sub is Pubco. In connection with the consummation of the Business Combination, Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity, and KMC stockholders will collectively receive from Pubco the Merger Consideration Shares in accordance with the Merger Agreement.

***KMC***

KMC is a global critical minerals and infrastructure company with a portfolio of exploration-stage mineral projects and a permitted regional water desalination project. KMC's flagship assets are the Cerro Blanco Project (as defined below), comprised of a rutile project, from which high grade titanium dioxide (TiO<sub>2</sub>) can be processed (the "<u>Titanium Project</u>"), and the permitted water desalination plant (with the maritime concession currently in the granting stage) that is being developed and positioned to supply water to regional mining, agricultural and community users, including the Titanium Project (the "<u>Water Desalination Project</u>"). Each of the Titanium Project and the Water Desalination Project are in the Atacama Region (also known as Region III) of the Republic of Chile. As used in this proxy statement/prospectus, the term "<u>Cerro Blanco Project</u>" means collectively, the Titanium Project and the Water Desalination Project.

The mailing address of KMC's registered office is 701 Brickell Avenue, Suite 1550, Miami, FL 33131 and its telephone number is (786) 847-3320.

**The Business Combination**

***The Merger Agreement***

On January 6, 2026, CDAQ, Pubco, KMC, Purchaser Merger Sub and Company Merger Sub entered into the Merger Agreement. Pursuant to the Merger Agreement, (i) CDAQ will de-register from the Register of Companies in the Cayman Islands by way of continuation out of the Cayman Islands and re-register into the State of Delaware so as to re-domicile as and become a Delaware corporation, (ii) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity, and (iii) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity.

For more information about the Merger Agreement, please see the section entitled "*The Business Combination*." A copy of the Merger Agreement is attached to this proxy statement/prospectus as <u>Annex A</u>.

***Ancillary Documents***

*Voting Agreement*

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and certain KMC stockholders that are insiders, or affiliates of insiders entered into voting agreements (each, a "<u>Voting Agreement</u>"), pursuant to which, among other things, each KMC stockholder party thereto agreed (a) to support and vote in favor of the adoption of the Merger Agreement and the approval of the Transactions, subject to certain customary conditions, and (b) not to transfer any of their equity interests in KMC (or enter into any arrangement with respect thereto), subject to certain customary conditions. The Voting Agreements cover approximately 20.75% of KMC's outstanding voting securities as of the date of the Merger Agreement. For more information about the Voting Agreement, please see the section entitled "*The Business Combination — Ancillary Documents — Voting Agreement*."

*Sponsor Letter Agreement*

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and the Sponsor entered into a letter agreement (the "<u>Sponsor Letter Agreement</u>"), pursuant to which the Sponsor agreed to (i) vote all of its CDAQ Class A Ordinary Shares and its CDAQ Class B Ordinary Shares in favor of the Merger Agreement and the Transactions, (ii) waive certain of its anti-dilution protections on its CDAQ Class B Ordinary Shares, and (iii) convert at the Closing all amounts outstanding under the Sponsor Loan Note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 into CDAQ Class A Ordinary Shares at $10.00 per share, and that upon the issuance and delivery of the CDAQ Class A Ordinary Shares to the Sponsor, the Sponsor Loan Note shall be deemed satisfied in full. For more information about the Voting Agreement, please see the section entitled "*The Business Combination — Ancillary Documents — Sponsor Letter Agreement*."

*Seller Registration Rights Agreement*

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into a registration rights agreement (the "<u>Seller Registration Rights Agreement</u>"), pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment (as defined below)). For more information about the Seller Registration Rights Agreement, please see the section entitled "*The Business Combination — Ancillary Documents — Seller Registration Rights Agreement*."

*Founder Registration Rights Agreement Amendment*

Prior to the Closing, Pubco, CDAQ, the Sponsor, the Legacy Sponsor and the other holders of registrable securities under the Registration Rights Agreement which was entered into on October 14, 2021 in connection with the CDAQ IPO (the "<u>Founder Registration Rights Agreement</u>") will enter into an amendment to the Founder Registration Rights Agreement (the "<u>Founder Registration Rights Agreement Amendment</u>"), pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities party thereto will have substantially the same priorities and registration rights as the KMC stockholders party to the Seller Registration Rights Agreement. For more information about Founder Registration Rights Agreement Amendment, please see the section entitled "*The Business Combination — Ancillary Documents — Founder Registration Rights Agreement Amendment.*"

*Second Letter Agreement Amendment*

Simultaneously with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ officers and directors entered into an amendment (the "<u>Second Letter Agreement Amendment</u>") to the Letter Agreement, Pursuant to the Merger Agreement, CDAQ has agreed to use its commercially reasonable efforts to cause the Legacy Sponsor and certain other holders of CDAQ Class B Ordinary Shares to enter into the Second Letter Agreement Amendment by executing joinder agreements thereto. The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC stockholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor signed a joinder to the Second Letter Agreement Amendment.

For more information about the Second Letter Agreement Amendment, please see the section entitled "*The Business Combination — Ancillary Documents — Second Letter Agreement Amendment.*"

**Merger Consideration**

Pursuant to the Merger Agreement, the total Merger Consideration to be paid by Pubco to the KMC stockholders (excluding holders of KMC Options and KMC Warrants) at the Effective Time of the Mergers will be an amount equal to $230.0 million, which will be paid entirely in shares of Pubco Common Stock, with each share valued at $10.00 per share. Each KMC stockholder will receive a number of shares of Pubco Common Stock equal to the result of dividing the "Per Share Price" (as defined in the Merger Agreement) by $10.00. No fractional shares of Pubco Common Stock will be issued, instead the number of shares issued to each recipient will be rounded up to the nearest whole share. Outstanding KMC Options and KMC Warrants will be assumed by Pubco and converted into options and warrants to acquire shares of Pubco Common Stock with the same terms as the existing KMC Options and KMC Warrants, except that the exercise price and number of shares will be adjusted based on the conversion ratio of KMC Common Stock to Pubco Common Stock. The shares of Pubco Common Stock issued as Merger Consideration and the Pubco options and warrants that are issued following the assumption of KMC Options and KMC Warrants by Pubco are not subject to any contractual post-Closing lock-up or transfer restrictions.

At the Effective Time, every issued and outstanding CDAQ Public Unit shall be automatically separated and the holder thereof shall be deemed to hold one CDAQ Class A Ordinary Share and one-third (1/3rd) of a CDAQ Public Warrant. At the Effective Time, each issued and outstanding CDAQ Class A Ordinary Share that is not redeemed or converted in the closing redemption and each CDAQ Class B Ordinary Share (other than for CDAQ Public Shareholders who shall have demanded properly in writing dissenters' rights for such CDAQ Ordinary Shares in accordance with Section 238 of the Cayman Companies Act and otherwise complied with all of the provisions of the Cayman Companies Act relevant to the exercise and perfection of dissenters' rights) shall be converted automatically into and thereafter represent the right to own one share of Pubco Common Stock. Following the Effective Time, all CDAQ Ordinary Shares shall cease to be outstanding and shall automatically be canceled and shall cease to exist. At the Effective Time, each issued and outstanding CDAQ Public Warrant shall be assumed by Pubco and converted into one Pubco Public Warrant and each issued and outstanding CDAQ Private Warrant shall be assumed by Pubco and converted into one Pubco Private Warrant. At the Effective Time, the QDAC Warrants shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each of the Pubco Public Warrants shall have, and be subject to, substantially the same terms and conditions set forth in the CDAQ Public Warrants, except that in each case they shall represent the right to acquire shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares.

**Ownership of Pubco After the Business Combination**

Upon the completion of the Business Combination and the consummation of the Transaction Financings, and assuming, among other things, that no CDAQ Public Shareholders exercise redemption rights with respect to their CDAQ Public Shares upon completion of the Business Combination, that 1,000,000 shares of Pubco Common Stock are to be issued to the PIPE Investors in connection with the Transaction Financing, that there are no pre-Closing transfers, distributions or forfeitures of securities held by the Sponsor, and that no shares of Pubco Common Stock are issued pursuant to the Incentive Plan, (i) the CDAQ Public Shareholders, (ii) the Sponsors (including shares to be transferred to the Non-Redemption Investors), (iii) Polar, (iv) KMC Sellers, and (v) PIPE Investors, in each case, will own approximately 0.4%, 20.6%, 5.1%, 70.1% and 3.8% of the issued and outstanding shares of Pubco Common Stock, respectively, without any conversion or exercise of notes, options or warrants.

If any of the CDAQ Public Shareholders exercise their redemption rights, the percentage of the issued and outstanding shares of Pubco Common Stock held by the CDAQ Public Shareholders will decrease and the percentages of issued and outstanding shares of Pubco Common Stock held by the Sponsor and its affiliate, and the KMC Sellers will each increase, in each case relative to the percentage held if none of the CDAQ Public Shares are redeemed. CDAQ Public Shareholders that do not redeem their CDAQ Public Shares in connection with the Business Combination will experience dilution upon the issuance of any shares of Pubco Common Stock pursuant to the Incentive Plan and other future equity issuances by Pubco that are unanticipated as of the date of this proxy statement/prospectus.

The tables below illustrate varying beneficial ownership levels in Pubco immediately upon Closing, assuming no redemptions by CDAQ Public Shareholders, 25% Redemptions by CDAQ Public Shareholders (27,716 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders), 50% Redemptions by CDAQ Public Shareholders (55,433 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders), 75% Redemptions by CDAQ Public Shareholders (83,149 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders) and Maximum Redemptions by CDAQ Public Shareholders (110,866 CDAQ Class A Ordinary Shares are redeemed by CDAQ Public Shareholders). The Maximum Redemptions scenario reflects the maximum number of CDAQ Public Shares that can be redeemed such that sufficient funds are available to pay all transaction costs to be paid prior to or upon the Closing of the Business Combination. If any of these assumptions are not correct, these percentages will be different.

**Potential ownership of issued and outstanding shares of Pubco Common Stock upon Closing:**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **No Additional Redemptions** | **%** | **25% Redemptions** | **%** | **50% Redemptions** | **%** | **75% Redemptions** | **%** | **Maximum Redemptions** | **%** |
| CDAQ Public Shareholders | 110866 | 0.4% | 83150 | 0.3% | 55433 | 0.2% | 27717 | 0.1% |  |  |
| Sponsors | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% | 3951972 | 14.9% |
| Non-Redemption Investors | 1532300 | 5.7% | 1532300 | 5.7% | 1532300 | 5.7% | 1532300 | 5.8% | 1532300 | 5.8% |
| Polar Shares | 1350000 | 5.1% | 1350000 | 5.1% | 1350000 | 5.1% | 1350000 | 5.1% | 1350000 | 5.1% |
| KMC Sellers | 18623329 | 70.1% | 18623329 | 70.2% | 18623329 | 70.2% | 18623329 | 70.3% | 18623329 | 70.4% |
| PIPE Investors | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% | 1000000 | 3.8% |
| Total shares outstanding at Closing, not reflecting potential sources of dilution | 26568467 |  | 26540751 |  | 26513034 |  | 26485318 |  | 26457601 |  |

---

**Potential ownership of issued and outstanding shares of Pubco Common Stock upon Closing (assuming conversion or**

**exercise of CDAQ Warrants, KMC Options and KMC Warrants):**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **No Additional Redemptions** | **%** | **25% Redemptions** | **%** | **50% Redemptions** | **%** | **75% Redemptions** | **%** | **Maximum Redemptions** | **%** |
| CDAQ Public Shareholders <sup>(1)</sup> | 7191029 | 16.3% | 7163313 | 16.3% | 7135596 | 16.2% | 7107880 | 16.2% | 7080163 | 16.1% |
| Sponsors | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% | 8784037 | 20.0% |
| Non-Redemption Investors | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% | 1532300 | 3.5% |
| Polar Shares | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% | 1350000 | 3.1% |
| KMC Sellers <sup>(3)</sup> | 24145972 | 54.9% | 24145972 | 54.9% | 24145972 | 54.9% | 24145972 | 55.1% | 24145972 | 55.0% |
| PIPE Investors | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% | 1000000 | 2.3% |
| Total shares outstanding at Closing, reflecting potential sources of dilution | 44003308 |  | 43975592 |  | 43947875 |  | 43920159 |  | 43892442 |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;(4) Includes
 7,080,163 shares underlying the 7,080,163 CDAQ Public Warrants.

(5) Includes
 4,832,065 shares underlying the 4,832,065 CDAQ Private Warrants.

(6) Includes
 1,164,525 shares underlying the KMC Options and 4,358,088 shares underlying
 the KMC Warrants.

**Dilution**

Dilution per share to CDAQ Public Shareholders is determined by CDAQ's NTBV per share, as adjusted, while excluding the Business Combination, while giving effect to material probable or consummated transactions and other material effects on NTBV per share, from the CDAQ Public Shareholders as set forth as follows under five redemption scenarios.

The following table illustrates NTBV per share and the change in NTBV per share, as adjusted, following the Closing, but excluding the other effects of the Business Combination, while giving effect to probable or consummated transactions that are material and other material effects on NTBV per share. These are presented in relation to the offering price per Public Share in the CDAQ IPO as set forth as follows under the five (5) redemption scenarios:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions** | **Assuming**<br> **25%**<br> **Redemptions** | **Assuming**<br> **50%**<br> **Redemptions** | **Assuming**<br> **75%**<br> **Redemptions** | **Assuming Maximum Redemptions** |
| Offering price of the securities in the CDAQ IPO price per share | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 |
| Net tangible book value, as adjusted<sup>(1)</sup> | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| As adjusted shares<sup>(2)</sup> | 7945138 | 7917422 | 7889705 | 7861989 | 7834272 |
| Net tangible book value per share, as adjusted, as of September 30, 2025 | $0.88 | 0.85 | 0.81 | 0.77 | 0.73 |
| Dilution per share to CDAQ Public Shareholders | $9.12 | 9.15 | 9.19 | 9.23 | 9.27 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) See
 table below for reconciliation of NTBV, as adjusted.

(2) See
 table below for reconciliation of as adjusted shares.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions<sup>(1)</sup>** | **Assuming**<br> **25%**<br> **Redemptions<sup>(2)</sup>** | **Assuming**<br> **50%**<br> **Redemptions<sup>(3)</sup>** | **Assuming**<br> **75%**<br> **Redemptions<sup>(4)</sup>** | **Assuming Maximum Redemptions<sup>(5)</sup>** |
| Net tangible book value per share, as adjusted, as of September 30, 2025 | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| **Numerator adjustments** |  |  |  |  |  |
| CDAQ's net tangible book value | $(9512674) | (9512674) | (9512674) | (9512674) | (9512674) |
| Transaction expenses to be incurred by CDAQ | (1332927) | (1332927) | (1332927) | (1332927) | (1332927) |
| Conversion of related party promissory note in CDAQ Class A Ordinary Shares | 1741500 | 1741500 | 1741500 | 1741500 | 1741500 |
| Settlement of Legacy Sponsor note | (175000) | (175000) | (175000) | (175000) | (175000) |
| Settlement of non-redemption liability | 6025173 | 6025173 | 6025173 | 6025173 | 6025173 |
| Transaction Financings proceeds | 10000000 | 10000000 | 10000000 | 10000000 | 10000000 |
| Reclassification of shares subject to redemption to equity | 1293496 | 970122 | 646748 | 323374 | - |
| As adjusted net tangible book value | $7016841 | 6693467 | 6370093 | 6046719 | 5723345 |
| **Denominator adjustments** |  |  |  |  |  |
| CDAQ Public Shareholders | 110866 | 83150 | 55433 | 27717 |  |
| Sponsors | 4701782 | 4701782 | 4701782 | 4701782 | 4701782 |
| Non-Redemption Investors | 782490 | 782490 | 782490 | 782490 | 782490 |
| Polar Shares | 1350000 | 1350000 | 1350000 | 1350000 | 1350000 |
| PIPE Investors | 1000000 | 1000000 | 1000000 | 1000000 | 1000000 |
| As adjusted CDAQ's shares outstanding | 7945138 | 7917422 | 7889705 | 7861989 | 7834272 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Includes
 5,310,122 Founder Shares (as defined below) and 4,832,065 CDAQ Private Warrants. Does not
 give effect to any pre-closing transfers, distributions or forfeitures of securities held
 by the Sponsor.

CDAQ issued the CDAQ Public Shares as part of Units in the CDAQ IPO at $10.00 per Unit. After giving effect to the issuance of the 21,240,488CDAQ Public Shares in the CDAQ IPO and the 4,832,065 CDAQ Private Warrants to the Legacy Sponsor in the CDAQ Private Placement that closed simultaneously with the CDAQ IPO, less redemptions of CDAQ Public Shares, there were 5,420,988 CDAQ Ordinary Shares and 4,832,065 CDAQ Private Warrants issued and outstanding. In connection with the Business Combination, assuming its consummation in accordance with the Merger Agreement, immediately after the Closing, Pubco is expected to have outstanding an aggregate of 26,568,467 shares of Pubco Common Stock, including (i) 5,595,138 shares of Pubco Common Stock issued to CDAQ Shareholders in the Purchaser Merger, (ii) 18,623,329 shares of Pubco Common Stock issued to the KMC Sellers in the Company Merger, (iii) 1,350,000 shares of Pubco Common Stock issued to Polar, and (iv) 1,000,000 shares of Pubco Common Stock issued to the PIPE Investors. These shares outstanding assume no shares of Pubco Common Stock are issued and outstanding under the Incentive Plan. The tabular disclosure includes presentations of information at various illustrative redemption levels consistent with the "No Redemptions," "25% Redemptions," "50% Redemptions," "75% Redemptions" and "Maximum Redemptions" scenarios further described in the section of this proxy statement/prospectus entitled "*Unaudited Pro Forma Condensed Combined Financial Information*."

For purposes of Item 1604(c)(1) of Regulation S-K, Pubco would have 26,568,467 total shares of Pubco Common Stock outstanding immediately after giving effect to the Business Combination under the "No Redemptions" scenario based on the assumptions set forth in the preceding paragraph and as further described above. Where there are no redemptions of CDAQ Public Shares prior to the Closing, CDAQ valuation is based on the $10.00 issuance price per Unit in the CDAQ IPO and is therefore calculated as: $10.00 (per Unit CDAQ IPO price) *multiplied by* 26,568,467 shares, or $265,684,670. The following table illustrates the valuation at the $10.00 issuance price per Unit in the CDAQ for each redemption scenario:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming<br> No<br> Redemptions** | **Assuming<br> 25%<br> Redemptions** | **Assuming<br> 50%<br> Redemptions** | **Assuming<br> 75%<br> Redemptions** | **Assuming<br> Maximum<br> Redemptions** |
| CDAQ shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $1108660 | $831500 | $554330 | $277170 | $- |
| CDAQ Public Shareholders shares outstanding post Business Combination | 110866 | 83150 | 55433 | 27717 | - |
| CDAQ Sponsors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $39592920 | $39592920 | $39592920 | $39592920 | $39592920 |
| CDAQ Sponsors shares outstanding post Business Combination | 3959292 | 3959292 | 3959292 | 3959292 | 3959292 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Assuming**<br> **No**<br> **Redemptions** | **Assuming**<br> **25%**<br> **Redemptions** | **Assuming**<br> **50%**<br> **Redemptions** | **Assuming**<br> **75%**<br> **Redemptions** | **Assuming**<br> **Maximum**<br> **Redemptions** |
| KMC Sellers shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $186223291 | $186223291 | $186223291 | $186223291 | $186223291 |
| KMC Sellers shares outstanding post Business Combination | 18623329 | 18623329 | 18623329 | 18623329 | 18623329 |
| CDAQ Non-Redemption Investors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $15249800 | $15249800 | $15249800 | $15249800 | $15249800 |
| CDAQ Non-Redemption Investors shares outstanding post Business Combination | 1524980 | 1524980 | 1524980 | 1524980 | 1524980 |
| PIPE Investors shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $10000000 | $10000000 | $10000000 | $10000000 | $10000000 |
| PIPE Investors shares outstanding post Business Combination | 1000000 | 1000000 | 1000000 | 1000000 | 1000000 |
| Polar Shares valuation based on offering price of the securities in the CDAQ IPO of $10.00 per Unit | $13500000 | $13500000 | $13500000 | $13500000 | $13500000 |
| PIPE Investors shares outstanding post Business Combination | 1350000 | 1350000 | 1350000 | 1350000 | 1350000 |
| Total valuation based on offering price of the securities in CDAQ IPO of $10.00 per Unit | $265684671 | $265684671 | $265684671 | $265684671 | $265684671 |
| Total shares outstanding post Business Combination<sup>(1)</sup> | 26568467 | 26540751 | 26513034 | 26485318 | 26457601 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Excludes
 the dilutive effects of 7,080,163 shares underlying the 7,080,163 CDAQ Public Warrants,
 4,832,065 shares underlying 4,832,065 outstanding CDAQ Private Warrants, the 1,164,525
 shares underlying the KMC Options, and the 4,358,088 shares underlying the KMC Warrants.

The foregoing required disclosure is not a guarantee that the trading price of Pubco Common Stock will not be below the offering price in the CDAQ IPO, nor is the required disclosure a guarantee that Pubco will attain any of the levels of valuation presented.

The above discussion and table are based on 3,310,866 CDAQ Class A Ordinary Shares and 2,110,122 CDAQ Class B Ordinary Shares outstanding on September 30, 2025.

The above discussion and table also exclude potential dilutive effects associated with future issuances or grants of equity or equity-linked securities by Pubco pursuant to the Incentive Plan expected to be adopted in connection with the Closing.

The aforementioned equity issuances are not the only sources of potential dilution to the relative ownership percentage associated with shares of Pubco Common Stock held by non-redeeming CDAQ Public Shareholders after the Closing; any additional equity and equity-linked issuances by Pubco may result in additional dilution to CDAQ Public Shareholders' percentage ownership in Pubco, potentially significantly, and may have other effects, as described above and as further described in the "*Risk Factors*" section of this proxy statement/prospectus.

All of the relative percentages above are for illustrative purposes only and are based upon certain assumptions as described in the section entitled "*Beneficial Ownership of Securities*" and as described above. Should one or more of the assumptions prove incorrect, actual ownership percentages may vary materially from those described in this proxy statement/prospectus as anticipated, believed, estimated, expected or intended. See "*Unaudited Pro Forma Condensed Combined Financial Information*."

**Organizational Structure**

The following simplified diagrams illustrate the ownership structures of CDAQ, KMC and Pubco before the consummation of the Business Combination:

**CDAQ**

**Pubco**

**KMC**

***Following the Business Combination***

The following simplified diagram illustrates the ownership structure of Pubco following the consummation of the Business Combination:

![](forms-4_004.jpg)

**Board of Directors and Executive Officers of Pubco Following the Business Combination**

Upon the Closing of the Business Combination, the business and affairs of Pubco will be managed by or under the direction of the Pubco Board. The executive officers and directors of Pubco, their ages as of ______, 2026, and their positions upon the Closing of the Business Combination will be the following:

---

| | | |
|:---|:---|:---|
| **Name** | **Age** | **Position(s)** |
| ***Executive Officers*** |  |  |
| Cesar A. López Alarcón | 61 | President, Chief Executive Officer and Director |
| <sup>(1)</sup> |  | Chief Operations Officer |
| <sup>(1)</sup> |  | Chief Financial Officer |
| ***Non-Employee Directors*** |  |  |
| <sup>(2)</sup> |  | Director Nominee |
| John P. Ryan<sup>(1)</sup> | 65 | Director Nominee |
| Kelly Earle<sup>(1)</sup> | 41 | Director Nominee |
| Timothy R. McCutcheon<sup>(1)</sup> | 53 | Director Nominee |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The
 Pubco Board intends to appoint a Chief Financial Officer and Chief Operating Officer prior
 to the effectiveness of the Registration Statement of which this proxy statement/prospectus
 forms a part and appoint John P. Ryan, Kelly Earle and Timothy R. McCutcheon as directors
 upon the Closing of the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;(2) CDAQ
 will nominate a person to serve on the Pubco Board prior to the effectiveness of the Registration
 Statement of which this proxy statement/prospectus forms a part and the Pubco Board will
 appoint such person as a director upon the Closing of the Business Combination.

**Date, Time and Place of the Extraordinary General Meeting of CDAQ Shareholders**

The Meeting will be held on ______, 2026 at ______ a.m., Eastern Time, at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually via live webcast on the Internet at *https://www.cstproxy.com/______*. You will be able to attend, vote your shares and submit questions during the Meeting via a live webcast available at *https://www.cstproxy.com/______*.

You or your proxyholder will be able to attend and vote at the Meeting by visiting *https://www.cstproxy.com/______* and using a control number assigned by CST. To register and receive access to the Meeting, registered shareholders and beneficial owners (those holding shares through a stock brokerage account or by a bank or other holder of record) will need to follow the instructions applicable to them provided in this proxy statement/prospectus. You will need the voter control number included on your proxy card in order to be able to vote your shares or submit questions during the Meeting. If you do not have a voter control number, you will be able to listen to the Meeting only and you will not be able to vote or submit questions during the Meeting.

**Voting Power; Record Date**

CDAQ Shareholders will be entitled to vote or direct votes to be cast at the Meeting if they owned CDAQ Ordinary Shares at the close of business on ______, 2026 which is the Record Date for the Meeting. CDAQ Shareholders are entitled to one vote at the Meeting for each Ordinary Share held as of the Record Date. If you hold your shares in "street name," which means your shares are held of record by a broker, bank or nominee, you should contact your broker, bank or nominee to ensure that votes related to the shares you beneficially own are properly counted. In this regard, you must provide the broker, bank or nominee with instructions on how to vote your shares or, if you wish to attend the Meeting and vote, obtain a proxy from your broker, bank or nominee.

As of the close of business on the Record Date, there were 5,420,988 CDAQ Ordinary Shares issued and outstanding, consisting of 3,310,866 CDAQ Class A Ordinary Shares and 2,110,122 CDAQ Class B Ordinary Shares. Of these shares, 110,866 were CDAQ Public Shares, with the rest being held by the Sponsors.

**Quorum and Vote of CDAQ Shareholders**

A quorum of CDAQ Shareholders is necessary to hold a valid meeting. A quorum for the Meeting consists of the holders of at least one-third of the then issued and outstanding CDAQ Ordinary Shares (whether in person or by proxy). As of the Record Date, CDAQ Shareholders holding 1,806,997 CDAQ Ordinary Shares would be required to achieve a quorum at the Meeting. Other than the 5,310,122 CDAQ Ordinary Shares held by the Sponsors, which represent approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares and which will count towards this quorum, CDAQ will not need any CDAQ Public Shares to be represented in person or by proxy at the Meeting to have a valid quorum.

Each of the Business Combination Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Incentive Plan Proposal and the Adjournment Proposal and the election of each director nominee pursuant to the Director Election Proposal is required to be approved by an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

The Merger Proposal is required to be approved by a special resolution of the holders of CDAQ Ordinary Shares, which requires the affirmative vote of holders of at least two-thirds of the issued and outstanding CDAQ Ordinary Shares as of the Record Date, being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

Approval of the Organizational Documents Proposals is being sought by way of an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. However, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board.

Assuming a quorum is established, a CDAQ Shareholder's failure to vote by proxy or to vote at the Meeting will have no effect on the Proposals. Abstentions and broker non-votes, while considered present for the purposes of establishing a quorum, are not treated as votes cast and will have no effect on any of the Proposals.

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

**Redemption Rights**

Pursuant to the CDAQ Memorandum and Articles, CDAQ Public Shareholders may elect to have their CDAQ Public Shares redeemed for cash at the applicable redemption price per share equal to the quotient obtained by *dividing* (a) the aggregate amount on deposit in the Trust Account as of two (2) business days prior to the Closing, including interest (net of taxes payable), by (b) the total number of the then issued and outstanding CDAQ Public Shares. As of the date of this proxy statement/prospectus, based on funds in the Trust Account of approximately $______ as of ______, 2026, this would have amounted to $______ per share. CDAQ Public Shareholders may exercise redemption rights whether or not they are holders as of the Record Date and whether or not such shares are voted at the Meeting and whether they vote for or against the Business Combination Proposal.

If a CDAQ Public Shareholder exercises its redemption rights, then such CDAQ Public Shareholder will be exchanging its CDAQ Public Shares for cash and will not hold shares of Pubco Common Stock upon consummation of the Business Combination. Such a CDAQ Public Shareholder will be entitled to receive cash for its CDAQ Public Shares only if it properly demands redemption and delivers its shares (either physically or electronically) to CST in accordance with the procedures described herein. See the section titled "*Extraordinary General Meeting of CDAQ Shareholders — Redemption Rights*" for the procedures to be followed if you wish to redeem your CDAQ Public Shares for cash.

In connection with the CDAQ IPO, the Sponsor and CDAQ's executive officers and directors agreed to waive any redemption rights with respect to any CDAQ Ordinary Shares held by them in connection with the completion of the Business Combination. Such waivers are standard in transactions of this type and the Sponsor and CDAQ's executive officers and directors did not receive separate consideration for the waiver.

**Appraisal Rights**

CDAQ Shareholders do not have appraisal rights in connection with the Business Combination or the Company Merger under either the Cayman Companies Act or under the DGCL.

CDAQ Shareholders may have appraisal rights in connection with the Purchaser Merger under the Cayman Companies Act. In this proxy statement/prospectus, these appraisal rights or dissent rights are sometimes referred to as "<u>Dissent Rights</u>." See section "*Extraordinary General Meeting of CDAQ Shareholders — Appraisal Rights*."

**Proxy Solicitation**

Proxies may be solicited by mail, telephone or in person. CDAQ has engaged ______ as the proxy solicitor to assist in the solicitation of proxies. If a CDAQ Shareholder grants a proxy, it may still vote its shares itself if it revokes its proxy before the Meeting. A CDAQ Shareholder may also change its vote by entering a new vote by Internet or telephone, submitting a later-dated proxy or attending and voting, virtually via the live webcast or in person, during the Meeting as described in the section of this proxy statement/prospectus entitled "*Extraordinary General Meeting of CDAQ Shareholders — Revoking Your Proxy*."

**Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination**

When CDAQ Public Shareholders consider the recommendation of the CDAQ Board in favor of approval of the Business Combination and other Proposals, CDAQ Public Shareholders should keep in mind that the Sponsor and CDAQ's directors and officers have interests in the Proposals that are different from or in addition to (and which may conflict with), the interests of a CDAQ Public Shareholder as a CDAQ Shareholder. These interests include, among other things:

● As of the date hereof, the Sponsor is the record
 holder of 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants, each whole
 warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share at a purchase
 price of $11.50 per share. As of the date hereof, the aggregate value of such securities
 is estimated to be approximately $______ million, assuming (i) the per share value of the
 3,093,036 CDAQ Class B Ordinary Shares is the same as the $______ closing price of the CDAQ
 Class A Ordinary Shares on ______, 2026 and (ii) the per warrant value of the 4,645,398 CDAQ
 Private Warrants is the same as the $______ closing price of the CDAQ Public Warrant on ______,
 2026. Pursuant to various non-redemption agreements, the Sponsor has agreed to transfer to
 the Non-Redemption Investors an aggregate of 1,492,300 Founder Shares promptly at or following
 the closing of an initial business combination (but no later than two (2) business days after
 the satisfaction of the requisite conditions to such transfer);

● If
 CDAQ does not consummate a business combination by the Business Combination Deadline, CDAQ
 will cease all operations except for the purpose of winding up, redeeming 100% of the issued
 and outstanding CDAQ Public Shares for cash and, subject to the approval of its remaining
 shareholders and its board of directors, dissolving and liquidating. In such event, the 5,310,122
 Founder Shares held by the Legacy Sponsor and the Sponsor would be worthless because holders
 of Founder Shares are not entitled to participate in any redemption or distribution with
 respect to such shares. The aggregate value of the Founder Shares, assuming a per share value
 equal to the $______ closing price of the CDAQ Public Shares on ______, 2026, is estimated
 to be approximately $______ million. The Founder Shares were initially issued for an aggregate
 price of only $25,000. This means that if the Business Combination is consummated, the Sponsors
 would likely recoup their initial investment in CDAQ and make a substantial profit on that
 investment, even if the shares of Pubco Common Stock trade at a significant discount to the
 current price of the CDAQ Class A Ordinary Shares causing the CDAQ Public Shareholders to
 experience a negative rate of return in the Pubco;

● In
 order to finance transaction costs in connection with an initial business combination, the
 Initial Shareholders, the Sponsor or an affiliate of the Initial Shareholders or the Sponsor,
 or certain of the prior directors and officers or current directors and officers may, but
 are not obligated to, provide the Working Capital Loans to CDAQ. Such Working Capital Loans
 would be evidenced by promissory notes. The notes would either be repaid upon consummation
 of an initial business combination, without interest, or, at the lender's discretion,
 up to $1,500,000 of notes may be converted upon consummation of an initial business combination
 into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ
 Private Warrants. In the event that an initial business combination does not close, CDAQ
 may use a portion of proceeds held outside the Trust Account to repay the Working Capital
 Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital
 Loans. CDAQ has issued two unsecured promissory notes, one of which is the
 Sponsor Loan Note issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000,
 as further described under the heading "*Information About CDAQ*," for CDAQ's
 working capital (including potential extension funding) needs. As of ______, 2026, $1,741,500
 was outstanding under the Sponsor Note. Pursuant to the Sponsor Letter Agreement, all amounts
 outstanding as of the Closing under the Sponsor Loan Note shall be automatically converted,
 immediately prior to the Purchaser Merger, into CDAQ Class A Ordinary Shares at $10.00 per
 share. If the Business Combination is not consummated by the Business Combination Deadline,
 the Sponsor, its officers and their affiliates may not receive any payment in respect of
 the promissory notes, in whole or in part;

● Polar
 has agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones pursuant
 to the Polar Subscription Agreement, in order to meet the Sponsor's commitment to CDAQ
 under a drawdown request. Polar may elect to receive such repayment (i) in cash or (ii) in
 CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10)
 dollars of the Polar Capital Investment. In addition, pursuant to the Merger Agreement,
 immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary
 Shares pursuant to the Polar Subscription Agreement. As of ______, 2026, $1,500,000 was
 drawn down, which is unlikely to be repaid if the Business Combination is not consummated
 by the Business Combination Deadline;

● If
 CDAQ is unable to complete a business combination by the Business Combination Deadline, the
 Sponsor has agreed to indemnify CDAQ in the event that claims for services rendered or products
 sold to CDAQ or by a prospective target business reduce the amount of funds in the Trust
 Account to below the lesser of (i) $10.00 per CDAQ Public Share and (ii) the actual amount
 per CDAQ Public Share held in the Trust Account as of the date of the liquidation of the
 Trust Account. This indemnity does not apply to any claims by a third party who executed
 a waiver of any and all rights to seek access to the Trust Account or to any claims under
 CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including
 liabilities under the Securities Act;

● CDAQ's
 Sponsor, its officers and directors, and their affiliates are entitled to reimbursement for
 any out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's
 behalf, such as identifying, investigating, negotiating and completing an initial business
 combination. If CDAQ does not complete a business combination by the Business Combination
 Deadline, CDAQ may not have the cash necessary to reimburse these expenses. As of the date
 of this proxy statement/prospectus, none of CDAQ's Sponsor, officers and directors,
 or their affiliates had incurred any expenses which would be reimbursed at the Closing;

● The Legacy Sponsor assigned the Administrative Services Agreement
to the Sponsor. Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities,
salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members
of CDAQ management team and other expenses and obligations of the Sponsor;

● The
 anticipated election of ______ as a director of Pubco in connection with the consummation
 of the Business Combination. As such, in the future, ______ will receive any cash
 or equity compensation that the Pubco Board determines to pay _____. For more
 information on Pubco director compensation, see "*Management of Pubco Following the Business Combination*;"

● CDAQ's
 officers and directors have not been required to, and have not, committed their full time
 to CDAQ's affairs, which may have resulted in a conflict of interest in allocating
 their time between CDAQ's operations and its business combination and their other businesses;
 and

● HCG
 MM is the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record
 by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy
 also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Both individuals
 disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

The foregoing interests present a risk that the Sponsor and CDAQ's officers and directors may be incentivized to complete a business combination with a less favorable target company or on terms less favorable to the CDAQ Public Shareholders rather than to liquidate, in which case the Sponsor would lose its entire investment. As a result, the Sponsor and CDAQ's officers and directors may have a conflict of interest in determining whether Pubco is an appropriate business with which to effectuate a business combination and/or in evaluating the terms of the Business Combination.

The Sponsor considered various factors in its support for the Business Combination. Some benefits to the Sponsor included the opportunity to monetize their interests in CDAQ following the Closing and obtain significant returns in Pubco, especially if Pubco performs well in the public markets. However, the Sponsor also considered detriments, such as the dilution of the Sponsor's ownership stake as described below in the section titled "*The Business Combination — Ancillary Agreements — Second Letter Agreement Amendment*."

**Consideration Received by the Sponsor and its Affiliates**

Set forth below is a summary of the terms and amount of the consideration received or to be received by the Sponsor and its affiliates in connection with the Business Combination and the Transaction Financings, the amount of securities issued or to be issued by Pubco to the Sponsor and its affiliates and the price paid or to be paid for such securities or any related financing transaction.

---

| | | |
|:---|:---|:---|
|  | **Interest in Securities** | **Other Consideration** |
| The Sponsor | At Closing, the Sponsor shall hold a total of 3,267,186 shares of Pubco Common Stock, which consists of (i) shares to be issued in exchange for the 1,560,736 Founder Shares held by the Sponsor, (ii) 174,150 shares underlying outstanding balance of $1,741,500 of the Sponsor Loan Note and (iii) 1,532,300 Founder Shares to be transferred by the Sponsor to the Non-Redemption Investors at or promptly following the Closing.<br>At Closing, the Sponsor will hold a total of 4,645,398 Pubco Private Warrants to purchase shares of Pubco Common Stock, which will be issued in exchange for CDAQ Private Warrants held by the Sponsor. <br>| Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor. |

---

Because the Founder Shares were purchased at a nominal price, the CDAQ Public Shareholders will incur immediate dilution upon the Closing of the Business Combination. See the sections titled "*Summary of the Proxy Statement/Prospectus — Dilution*," "*Risk Factors — Risks Related to the Business Combination — The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders*" and "*Risk Factors — Risks Related to the Business Combination — CDAQ Public Shareholders who do not redeem their CDAQ Public Shares will experience immediate dilution upon Closing of the Business Combination as a result of the Founder Shares held by the Sponsor, since the value of the CDAQ Class B Ordinary Shares is likely to be substantially higher than the nominal price paid for them, as well as a result of the issuance of the shares of Pubco Common Stock in the Business Combination and the Transaction Financings.*"

The Sponsor may, on or before the Closing of the Business Combination, distribute to its members some or all of the Founder Shares and CDAQ Private Warrants held by it. Except for the intended distribution of CDAQ securities held by the Sponsor pursuant to its governing documents, there are currently no specified circumstances or arrangements under which CDAQ securities held by the Sponsor or its affiliates could be transferred, or that could result in the forfeiture, surrender or cancellation of such securities, subject to certain permitted exceptions for pre-closing distributions or transfers of Sponsor securities (subject, as applicable, to contractual lock-up restrictions).

 **CDAQ Board's Reasons for Approval of the Business Combination**

The CDAQ Board considered a variety of factors in connection with its evaluation of the Business Combination. In light of the number and complexity of those factors, the CDAQ Board, as a whole, did not consider it practicable to, and did not attempt to, quantify or otherwise assign relative weights to the specific factors that it considered in reaching its determination and supporting its decision. Individual directors may have given different weight to different factors. The CDAQ Board viewed its decision as being a business judgment that was based on all of the information available and the factors presented to and considered by it. This explanation of CDAQ's reasons for the Business Combination and all other information presented in this section is forward-looking in nature and, therefore, should be read in light of the factors discussed under "*Cautionary Note Regarding Forward-Looking Statements*."

The CDAQ Board, in evaluating the Business Combination, consulted with CDAQ management and its financial, legal and other advisors. In reaching its unanimous resolution (i) that the Merger Agreement and the transactions contemplated thereby are advisable and in the best interests of CDAQ and (ii) to recommend that the CDAQ Shareholders adopt the Merger Agreement and approve the Business Combination and the other transactions contemplated by the Merger Agreement, the CDAQ Board considered a range of factors, including, but not limited to, the factors discussed below. The CDAQ Board viewed its decision as being based on all of the information available and the factors presented to and considered by the CDAQ Board. In addition, individual directors may have given different weights to different factors.

The CDAQ Board, in evaluating the Business Combination, consulted with CDAQ management and its financial, legal and other advisors and considered a number of factors, uncertainty and risks, including, but not limited to, those discussed under "*The Business Combination Proposal — CDAQ Board's Reasons for the Approval of the Business Combination*," and concluded that the Business Combination was in the commercial interests of CDAQ and the CDAQ Shareholders.

In considering the Business Combination, neither the CDAQ Board nor any committee thereof obtained a fairness opinion from an independent investment banking firm or another independent firm that commonly renders opinions that the terms of the Business Combination are fair to CDAQ Shareholders from a financial point of view.

**Recommendation to CDAQ Shareholders**

**The CDAQ Board has determined that the Business Combination Proposal and each of the other Proposals are in the best interests of CDAQ and unanimously recommends that CDAQ Shareholders vote "FOR" the Business Combination Proposal, "FOR" the Merger Proposal, "FOR" the Pubco Charter Proposal, "FOR" the Organizational Documents Proposals, "FOR" the Director Election Proposal, "FOR" the Incentive Plan Proposal and "FOR" the Adjournment Proposal, if presented.**

For more information about the CDAQ Board's recommendation and the Proposals, see the sections titled "*Extraordinary General Meeting of CDAQ Shareholders — Recommendation of the CDAQ Board*" and "*The Business Combination Proposal — CDAQ Board's Reasons for the Approval of the Business Combination*."

**Certain Material U.S. Federal Income Tax Considerations**

For a description of certain material U.S. federal income tax consequences of the Business Combination, the exercise of redemption rights in respect of CDAQ Public Shares and the ownership and disposition of shares of Pubco Common Stock, see the section entitled "*U.S. Federal Income Tax Considerations*."

**Anticipated Accounting Treatment**

The Business Combination will be accounted for as a reverse recapitalization, in accordance with U.S. GAAP. Under this method of accounting, CDAQ will be treated as the "acquired" company for financial reporting purposes, and KMC will be the accounting "acquirer." This determination was primarily based on the assumption that:

● KMC's stockholders will hold a majority of the voting
power of Pubco after the Business Combination;

● The Pubco Board will consist of five board members, four of
which will be designated by KMC and one will be designated by CDAQ;

● KMC's operations will substantially comprise the ongoing
operations of Pubco; and

● KMC's senior management will comprise the senior management
of Pubco.

Another determining factor was that CDAQ does not meet the definition of a "business" pursuant to ASC 805-10-55, and thus, for accounting purposes, the Business Combination will be accounted for as a reverse recapitalization, within the scope of ASC 805. The net assets of CDAQ will be stated at historical cost, with no goodwill or other intangible assets recorded.

**Emerging Growth Company**

Upon consummation of the Business Combination, Pubco will be an "emerging growth company" as defined in the JOBS Act. Pubco will remain an "emerging growth company" until the earliest to occur of (i) the last day of the fiscal year (a) following the fifth anniversary of the Closing of the Business Combination, (b) in which Pubco has total annual gross revenue of at least $1.235 billion or (c) in which Pubco is deemed to be a large accelerated filer, which means the market value of shares of Pubco Common Stock held by non-affiliates exceeds $700 million as of the last business day of Pubco's prior second fiscal quarter, and (ii) the date on which Pubco issued more than $1.0 billion in non-convertible debt during the prior three-year period. Pubco intends to take advantage of exemptions from various reporting requirements that are applicable to most other public companies that are classified as "emerging growth companies," including, but not limited to, an exemption from the provisions of Section 404(b) of the Sarbanes-Oxley Act requiring that Pubco's independent registered public accounting firm provide an attestation report on the effectiveness of its internal control over financial reporting and reduced disclosure obligations regarding executive compensation.

Further, section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. Pubco has elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, Pubco, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of Pubco's financial statements with certain other public companies difficult or impossible because of the potential differences in accounting standards used. See "*Risk Factors — Risks Related to Being a Public Company — Pubco will be an "emerging growth company." The reduced public company reporting requirements applicable to emerging growth companies may make Pubco Common Stock less attractive to investors.*"

**Regulatory Matters**

The Business Combination and the transactions contemplated by the Merger Agreement are not subject to any additional federal or state regulatory requirement or approval, except for (i) filings with the Registrar of Companies of the Cayman Islands necessary to effectuate the Purchaser Merger, which will be filed on behalf of CDAQ with the Registrar of Companies of the Cayman Islands upon the approval of the Purchaser Merger and satisfaction of all other conditions not waived by the applicable parties under the Merger Agreement and (ii) filings with the State of Delaware necessary to effectuate the Business Combination, including (a) the Company Merger, which will be filed on behalf of KMC and Company Merger Sub with the Secretary of State of the State of Delaware upon the approval of the Business Combination Proposal, the satisfaction of all other conditions not waived by the applicable parties under the Merger Agreement.

**Conditions to the Parties' Obligations to the Closing**

Under the Merger Agreement, the obligations of the parties to consummate (or cause to be consummated) the Business Combination are subject to a number of conditions including:

*Mutual Conditions to Obligations of All Parties:*

● the approval of the CDAQ Shareholder Approval Matters;

● the approval of the Business Combination, Merger Agreement and Ancillary Documents by KMC Sellers;

● the consummation of the Business Combination not being prohibited by applicable law;

● the effectiveness of the Registration Statement;

● the shares of Pubco Common Stock having been approved for listing on Nasdaq;

● the Minimum Cash Condition having been met; and

● the expiration of certain regulatory waiting periods and approval of any necessary governmental approvals.

Each of the above listed conditions may be waived (where legally permissible) by CDAQ and KMC.

*Conditions to Obligations of KMC:*

● the representations and warranties of CDAQ being true and correct, subject to the applicable materiality standards contained in the Merger Agreement;

● material compliance by CDAQ with its pre-closing covenants; and

● there having been no occurrence of a Material Adverse Effect with respect to CDAQ since the date of the Merger Agreement which is continuing and uncured;

Each of the above listed conditions may be waived by KMC.

*Conditions to Obligations of CDAQ:*

● the representations and warranties of KMC being true and correct, subject to the applicable materiality standards contained in the Merger Agreement;

● material compliance by KMC with their pre-closing covenants;

● no occurrence of a Material Adverse Effect with respect to KMC; and

● termination of certain contracts as set forth in the Merger Agreement.

Each of the above listed conditions may be waived by CDAQ.

**No Solicitation**

During the Interim Period, each of the parties to the Merger Agreement agreed not to solicit, encourage or engage in discussions regarding any acquisition proposal or alternative transaction outside the transactions contemplated by the Merger Agreement. The parties also agreed not to provide non-public information or enter into any agreements related to such proposals. If any party receives an Acquisition Proposal, such party is expected to promptly notify the other parties and keep them informed of any developments.

**Representations and Warranties**

The Merger Agreement contains customary representations and warranties of CDAQ, Pubco, the Merger Subs and KMC as of the date of the Merger Agreement or other specified dates solely for the benefit of certain of the parties to the Merger Agreement, which in certain cases are subject to specified exceptions and materiality, Material Adverse Effect, knowledge and other qualifications contained in the Merger Agreement or in information provided pursuant to certain disclosure schedules to the Merger Agreement. See the section entitled "*The Business Combination — The Merger Agreement – Representations and Warranties"* for a further discussion.

***Covenants***

In addition to customary covenants regarding the conduct of their respective businesses, no trading, notification of certain matters, efforts, access and information, confidential information and public announcements, D&O indemnification, CDAQ public filings, tax matters, use of Trust Account proceeds and other customary covenants, the parties agreed to certain covenants as described further in "*The Business Combination — The Merger Agreement – Covenants"*.

**Summary of Risk Factors**

In evaluating the proposals to be presented at the Meeting, CDAQ Shareholders should carefully read this proxy

statement/prospectus and especially consider the factors discussed in the section entitled "*Risk Factors*." These risks are summarized below.

***Risks Related to the Business of Pubco and KMC***

● KMC is an exploration stage mining company that also is developing a desalination plant and has limited operating history. KMC currently does not operate any mines, and there is no assurance that KMC will ever produce minerals from the Titanium Project or any of KMC's other properties or fully develop and commercialize the desalination plant.

● The Titanium Project is in the exploration stage.

● Inaccuracies of historical information with respect to KMC's mineral projects could hinder its exploration plans.

● KMC's mineral exploration efforts are highly speculative in nature and may be unsuccessful.

***Risks Related to Being a Public Company***

● Pubco will incur increased costs as a result of operating as a public company, and Pubco's management will be required to devote substantial time to compliance with Pubco's public company responsibilities and corporate governance practices.

● Pubco will be an "emerging growth company." The reduced public company reporting requirements applicable to emerging growth companies may make Pubco Common Stock less attractive to investors.

● If Pubco fails to maintain an effective system of disclosure controls and internal control over financial reporting, Pubco's ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired.

● Changes in accounting principles may cause previously unanticipated fluctuations in Pubco's financial results, and the implementation of such changes may impact Pubco's ability to meet its financial reporting obligations.

***Risks Related to the Business Combination***

● The consummation of the Business Combination is subject to a number of conditions and if those conditions are not satisfied or waived, the Merger Agreement may be terminated in accordance with its terms and the Business Combination may not be completed.

● If CDAQ Public Shareholders who wish to exercise their redemption rights in connection with the Business Combination fail to properly demand such redemption rights, they will not be entitled to convert their CDAQ Public Shares into a pro rata portion of the Trust Account and will instead become shareholders of Pubco.

● Since the Sponsor and CDAQ's directors and officers have interests that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders, a conflict of interest may have existed in determining whether the Business Combination with Pubco and KMC is appropriate as CDAQ's initial business combination. Such interests include that the Sponsor will lose its entire investment in CDAQ if the Business Combination is not completed or any other business combination is not completed.

***Risks Related to Ownership of Pubco Common Stock Following the Business Combination***

● The market price of the Pubco Common Stock may be volatile or may decline regardless of Pubco's operating performance. You may lose some or all of your investment.

● We cannot be sure about whether the shares of Pubco Common Stock will develop an active trading market or whether Pubco is able to maintain the listing of Pubco Common Stock in the future even if Pubco is successful in listing Pubco Common Stock on the Nasdaq Capital Market or any other national securities exchange, which could limit investors' ability to make transactions in shares of Pubco Common Stock and subject Pubco to additional trading restrictions.

● A market for Pubco's shares may not develop, which could adversely affect the liquidity and price of its shares.

● Securities of companies formed through mergers with SPACs such as Pubco may experience a material decline in price relative to the share price of the SPACs prior to such merger.

***Risks Related to Taxation***

● The Mergers may cause U.S. Holders to recognize gain or include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)).

● The exercise of redemption rights may be treated as a sale or distribution.

**Information about CDAQ**

CDAQ is a blank check company incorporated in the Cayman Islands as an exempted company with limited liability on March 8, 2021. CDAQ was formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, share purchase, reorganization or similar business combination or other similar business combination with one or more businesses or entities.

On August 30, 2023, the Sponsor and the Legacy Sponsor entered into the Sponsor Purchase Agreement, and on August 31, 2023, the Sponsor and the Legacy Sponsor consummated the Sponsor Handover. Pursuant to the Sponsor Purchase Agreement, (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) the Sponsor agreed to cause CDAQ to pay an aggregated amount of $300,000 in cash consideration upon Closing of the Business Combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into a joinder to the Registration Rights Agreement; (iv) the Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor; (v) all of the Prior Directors or Officers of CDAQ resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as the Chief Executive Officer and the Chief Financial Officer of CDAQ, respectively; and (vi) CDAQ entered into the Letter Agreement with the Legacy Sponsor, the Sponsor and CDAQ's former officers and directors, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and CDAQ Private Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement. Immediately following the Sponsor Handover, the Legacy Sponsor retained 2,217,086 Founder Shares and 186,667 CDAQ Private Warrants, which CDAQ Private Warrants will be transferred to certain institutional investors that are not affiliated with CDAQ (the "<u>Institutional Anchor Investors</u>") upon the closing of the initial business combination.

On October 19, 2023, CDAQ held an extraordinary general meeting of shareholders to approve proposals to amend the CDAQ Memorandum and Articles to (i) extend the date by which CDAQ must consummate an initial business combination from October 19, 2023 to July 19, 2024 and (ii) provide for the right of holders of CDAQ Class B Ordinary Shares to convert such shares into CDAQ Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a business combination at the election of the holders. In connection with the vote to approve these proposals, CDAQ Public Shareholders holding 16,045,860 CDAQ Public Shares exercised their right to redeem those CDAQ Public Shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $169.1 million (approximately $10.54 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On March 29, 2024, CDAQ entered into a joinder to the Letter Agreement with each of the current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

On July 18, 2024, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four times until April 19, 2025 (or such earlier date as determined by the CDAQ. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,713,143 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $29.6 million (approximately $10.92 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 5,681,485 CDAQ Class A Ordinary Shares (including 2,481,485 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

On April 16, 2025, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 20, 2026 or such earlier date as determined by the CDAQ Board. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,370,619 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $26.7 million (approximately $11.52 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 3,310,866 CDAQ Class A Ordinary Shares (including 110,866 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

The mailing address of CDAQ's principal executive office is 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448 and its telephone number is (775) 339-1671. After the consummation of the Business Combination, CDAQ will become a wholly-owned subsidiary of Pubco.

For more information about CDAQ, see the sections entitled "*CDAQ's Management's Discussion and Analysis of Financial Condition and Results of Operations*" and "*Information About CDAQ.*"

**Information about KMC**

KMC was incorporated on February 18, 2020 in Delaware under the name Tavros Gold Corp. On July 17, 2020, February 22, 2021, April 5, 2021 and August 8, 2023, KMC filed certificates of amendment to their certificate of incorporation changing its corporate name to TiO2 Minerals Corp., CopperEx Corp., Key Metals Corp. and Key Mining Corp., respectively.

KMC is a global critical minerals and infrastructure company with a portfolio of exploration-stage mineral projects and a permitted water desalination plant (with the maritime concession currently in the granting stage). KMC's flagship assets are the Cerro Blanco Project, comprised of a rutile project, from which high grade titanium dioxide (TiO<sub>2</sub>) can be processed, and the permitted water desalination plant that is being developed and positioned to supply water to regional mining, agricultural and community users, including the Titanium Project. Each of the Titanium Project and the Water Desalination Project are in the Atacama Region (also known as Region III) of the Republic of Chile.

KMC's principal executive offices are located at 701 Brickell Avenue, Suite 1550, Miami, Florida 33131. The offices of KMC's two subsidiaries in Chile are located at Alonso de Monroy 2677, Suite 602A, Vitacura, Santiago, Chile 630713. KMC's website address is *https://keyminingcorp.com.* Information on or accessible through KMC's website is not a part of this proxy statement/prospectus.

**SELECTED HISTORICAL FINANCIAL DATA OF CDAQ**

The following tables present CDAQ's selected historical financial information derived from CDAQ's unaudited financial statements included elsewhere in this proxy statement/prospectus as of September 30, 2025, and for the nine months ended September 30, 2025 and 2024 and CDAQ's audited financial statements as of and for the years ended December 31, 2024 and 2023.

The financial data set forth below should be read in conjunction with, and is qualified by reference to, "*CDAQ's Management's Discussion and Analysis of Financial Condition and Results of Operations*" and the financial statements and notes thereto included elsewhere in this proxy statement/prospectus. CDAQ's financial statements are prepared and presented in accordance with U.S. GAAP.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the Nine Months Ended<br> September 30, 2025** | **For the Nine Months September 30, 2024** | **For the Year Ended December 31, 2024** | **For the Year Ended December 31, 2023** |
| **Income Statement Data:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Loss from operations | $(2807174) | $(5727957) | $(5942936) | $(5942936) |
| &nbsp;&nbsp;&nbsp;Interest earned on cash or investments held in Trust Account | $334873 | $1660199 | $1948109 | $8914159 |
| &nbsp;&nbsp;&nbsp;Change in fair value of derivative warrant liabilities | $(476488) | $(138182) | $469341 | $364515 |
| &nbsp;&nbsp;&nbsp;Gain on settlement of deferred underwriting fees attributable to Public Warrants | $- | $- | $- | $246814 |
| &nbsp;&nbsp;&nbsp;Gain on settlement of professional legal fees | $- | $- | $- | $351409 |
| &nbsp;&nbsp;&nbsp;Net income (loss) | $(2948789) | $(4205940) | $(3545486) | 4386322 |
| &nbsp;&nbsp;&nbsp;Weighted average shares of Class A Ordinary Shares outstanding subject to possible redemption, basic and diluted | 1109478 | 4451979 | 3960705 | 17987355 |
| &nbsp;&nbsp;&nbsp;Basic and diluted net income (loss) per share - Class A Ordinary Shares subject to possible redemption | $(0.46) | $(0.43) | $(0.38) | $0.19 |
| &nbsp;&nbsp;&nbsp;Weighted average shares of non-redeemable Class A Ordinary Shares outstanding, basic and diluted | 3200000 | 1254745 | 1739726 | 121644 |
| &nbsp;&nbsp;&nbsp;Basic and diluted net income (loss) per share - non-redeemable Class A Ordinary Shares | $(0.46) | $(0.43) | $(0.38) | $0.19 |
| &nbsp;&nbsp;&nbsp;Weighted average shares of non-redeemable Class B Ordinary Shares outstanding, basic and diluted | 2110122 | 4055377 | 3570396 | 5188478 |
| &nbsp;&nbsp;&nbsp;Basic and diluted net income (loss) per share- non-redeemable Class B Ordinary Shares | $(0.46) | $(0.43) | $(0.38) | $0.19 |

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| | | | |
|:---|:---|:---|:---|
|  | **September 30, 2025** | **December 31, 2024** | **December 31, 2023** |
| **Balance Sheet Data:** |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash held in the Trust Account | $1283558 | $27637300 | $55347556 |
| &nbsp;&nbsp;&nbsp;Total assets | $1416533 | $27689918 | $55427237 |
| &nbsp;&nbsp;&nbsp;Total liabilities | $9645649 | $6281630 | $1448738 |
| &nbsp;&nbsp;&nbsp;Class A Ordinary Shares subject to possible redemption | $1283558 | $27637300 | $55347556 |
| &nbsp;&nbsp;&nbsp;Total shareholders' deficit | $(9512674) | $(6229012) | $(1369057) |

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**SELECTED HISTORICAL FINANCIAL DATA OF KMC**

The following tables set forth a summary of KMC's historical consolidated financial data as of, and for the period ended on, the dates indicated. KMC has derived the consolidated statements of operations data for the years ended December 31, 2024 and 2023 and the consolidated balance sheet data as of December 31, 2024 and 2023 from its audited consolidated financial statements and related notes appearing elsewhere in this proxy statement/prospectus. For interim periods, KMC has derived its consolidated financial data for the nine months ended September 30, 2025 and 2024 and the selected balance sheet data as of September 30, 2025 from KMC's condensed consolidated interim unaudited financial statements and related notes appearing elsewhere in this proxy statement/prospectus. The condensed consolidated interim unaudited financial statements were prepared on a basis consistent with KMC's condensed audited financial statements and include, in management's opinion, all adjustments, consisting only of normal recurring adjustments that KMC considers necessary for a fair presentation of the financial information set forth in those statements. KMC's historical results are not necessarily indicative of the results that may be expected in the future and KMC's interim results are not necessarily indicative of its expected results for the year ending December 31, 2025. You should read the summary financial data below in conjunction with the section titled "*KMC's Management's Discussion and Analysis of Financial Condition and Results of Operations*" and KMC's financial statements and related notes included elsewhere in this proxy statement/prospectus. The summary consolidated financial data in this section are not intended to replace the financial statements and are qualified in their entirety by the financial statements and related notes included elsewhere in this proxy statement/prospectus.

**Statement of Operations Data:**

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine Months Ended** <br>**September 30,** | **Nine Months Ended** <br>**September 30,** | **Years Ended** <br>**December 31,** | **Years Ended** <br>**December 31,** |
|  | **2025** | **2024** | **2024** | **2023** |
|  | (unaudited) | (unaudited) | | |
| Revenues | $- | $- | $- | $- |
| Operating Expenses |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Exploration expense | 518567 | 757566 | 1091400 | 2560764 |
| &nbsp;&nbsp;&nbsp;General and administrative | 173613 | 406958 | 570000 | 318003 |
| &nbsp;&nbsp;&nbsp;Professional fees | 76722 | 757943 | 860108 | 1237073 |
| &nbsp;&nbsp;&nbsp;Officers' and directors' fees | 374521 | 423000 | 553500 | 550658 |
| &nbsp;&nbsp;&nbsp;Travel | 102376 | 109811 | 141011 | 435953 |
| &nbsp;&nbsp;&nbsp;Depreciation | 72533 | 65751 | 93298 | 21414 |
| &nbsp;&nbsp;&nbsp;Bad debt | - | - | 10664 | - |
| &nbsp;&nbsp;&nbsp;Total operating expenses | 1318331 | 2521029 | 3319981 | 5123865 |
| Net loss | $(1318331) | (2521029) | (3319981) | (5123865) |
| Per share information: |  |  |  |  |
| Net loss per common share, basic and diluted | (0.02) | (0.05) | (0.06) | (0.08) |
| Weighted-average shares of common stock outstanding, basic and diluted | 89514720 | 77222161 | 77222388 | 65502181 |

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**Balance Sheet Data:**

---

| | | | |
|:---|:---|:---|:---|
| | | **December 31,** | **December 31,** |
|  | **September 30,**<br>**2025** | **2024** | **2023** |
|  | (unaudited) | (unaudited) | (unaudited) |
| Balance Sheet Data: |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $52156 | $650969 | $752606 |
| &nbsp;&nbsp;&nbsp;Certificate of deposit |  |  | 1000000 |
| &nbsp;&nbsp;&nbsp;Deposit and prepaids | 110244 | 161553 | 192214 |
| &nbsp;&nbsp;&nbsp;Deferred offering costs |  | 122789 |  |
| &nbsp;&nbsp;&nbsp;Other receivable | - | - | 22600 |
| &nbsp;&nbsp;&nbsp;Total current assets | 162400 | 935310 | 1967420 |
| &nbsp;&nbsp;&nbsp;Mineral interests | 2613634 | 3000277 | 4113634 |
| &nbsp;&nbsp;&nbsp;Vat receivable | 448983 | 381459 | 312518 |
| &nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | 928189 | 838402 | 483248 |
| &nbsp;&nbsp;&nbsp;Warrant liability |  | 122789 |  |
| &nbsp;&nbsp;&nbsp;Total equity | $2349424 | $3480985 | $6119267 |

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**SELECTED UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS**

The unaudited pro forma condensed combined financial statements do not necessarily reflect what Pubco's financial condition or results of operations would have been had the Business Combination occurred on the dates indicated. The unaudited pro forma condensed combined financial statements also may not be useful in predicting the future financial condition and results of operations of Pubco. The actual financial position and results of operations may differ significantly from the pro forma amounts reflected herein due to a variety of factors. The unaudited pro forma condensed combined financial statements are presented for illustrative purposes only.

The historical financial statements of KMC have been prepared in accordance with U.S. GAAP and in its functional and presentation currency of USD. The historical financial statements of CDAQ have been prepared in accordance with U.S. GAAP in its functional and presentation currency of USD.

The unaudited pro forma condensed combined financial information has been prepared using the assumptions below with respect to the potential redemption of Public Shares into cash:

● **Assuming No Redemptions**: This presentation assumes that no Public Shareholders exercise redemption rights with respect to their Public Shares upon consummation of the Business Combination.

● **Assuming Maximum Redemptions**: This presentation assumes that Public Shareholders holding 110,866 Public Shares exercise their redemption rights for $1.3 million in the aggregate upon consummation of the Business Combination at a redemption price of approximately $11.67 per share as of December 31, 2025. The Maximum Redemptions scenario reflects the maximum number of Public Shares that can be redeemed and includes all adjustments contained in the No Redemptions scenario and presents additional adjustments to reflect the effect of the Maximum Redemptions scenario.

The following tables set out the share ownership of Pubco on a pro forma basis assuming the No Redemptions scenario and the Maximum Redemptions scenario:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **No Redemptions** | **No Redemptions** | **Maximum Redemptions** | **Maximum Redemptions** |
| <br>**Pro Forma Ownership** | **Number of**<br>**Shares** | **Percent**<br>**Outstanding** | **Number of**<br>**Shares** | **Percent**<br>**Outstanding** |
| KMC Sellers | 18623329 | 70.1% | 18623329 | 70.4% |
| Public Shareholders<sup>(1)</sup> | 110866 | 0.4% |  |  |
| Sponsors <sup>(2)</sup> | 3951972 | 14.9% | 3951972 | 14.9% |
| Non-Redemption Investors | 1532300 | 5.7% | 1532300 | 5.8% |
| Polar Shares | 1350000 | 5.1% | 1350000 | 5.1% |
| PIPE Investors | 1000000 | 3.8% | 1000000 | 3.8% |
| **Total shares of Pubco Common Stock outstanding** | **26568467** |  | **26457601** |  |

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&nbsp;&nbsp;&nbsp;&nbsp;(1) The
 shares presented reflect the redemption of 16,045,860 CDAQ Public Shares on October 19, 2023,
 the redemption of 2,713,143 CDAQ Public Shares on July 18, 2024, and the redemption of 2,370,619
 CDAQ Public Shares on April 16, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes
 174,150 shares from the conversion of the Sponsor Loan Note upon the consummation
 of the Business Combination.

The following table sets out summary data derived from the unaudited pro forma condensed combined balance sheet and the unaudited pro forma condensed combined statement of operations. The summary unaudited pro forma condensed combined balance sheet as of September 30, 2025, gives effect to the Business Combination as if it had occurred on September 30, 2025. The summary unaudited pro forma condensed combined statement of operations for the nine months ended September 30, 2025, and for the period ended December 31, 2024, gives effect to the Business Combination as if it had occurred on January 1, 2024, the earliest period presented.

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| | | |
|:---|:---|:---|
|  | **Pro Forma Combined** | **Pro Forma Combined** |
|  | **No Redemptions Scenario** | **Maximum Redemptions Scenario** |
| **Summary Unaudited Pro Forma Condensed Combined Statement of Operations Data for the Nine Months Ended September 30, 2025** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss | $(5271785) | $(5271785) |
| &nbsp;&nbsp;&nbsp;Net loss per share – basic and diluted | $(0.20) | $(0.20) |
| &nbsp;&nbsp;&nbsp;Weighted average shares outstanding – basic and diluted | 26568467 | 26457601 |
| &nbsp;&nbsp;&nbsp;**Summary Unaudited Pro Forma Condensed Combined Statement of Operations Data for the Year Ended December 31, 2024** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss | $(11782028) | $(11782028) |
| &nbsp;&nbsp;&nbsp;Net loss per share – basic and diluted | $(0.44) | $(0.45) |
| &nbsp;&nbsp;&nbsp;Weighted average shares outstanding – basic and diluted | 26568467 | 26457601 |
| **Summary Unaudited Pro Forma Condensed Combined Balance Sheet Data as of September 30, 2025** |  |  |
| &nbsp;&nbsp;&nbsp;Total assets | $11314663 | $10021167 |
| &nbsp;&nbsp;&nbsp;Total liabilities | $1943447 | $1993447 |
| &nbsp;&nbsp;&nbsp;Total equity | $9371216 | $8077720 |

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**Risk Factors**

*The following risk factors may have a material adverse effect on the business, financial condition and results of operations of Pubco, KMC and CDAQ following the completion of the Business Combination. These risk factors are not exhaustive and investors are encouraged to perform their own investigation with respect to the business, prospects, financial condition and operating results of Pubco's business, prospects, financial condition and operating results following the completion of the Business Combination. You should carefully consider the following risk factors in addition to the other information included or incorporated by reference in this proxy statement/prospectus, including matters addressed in the section entitled "Cautionary Note Regarding Forward-Looking Statements," before deciding how to vote your CDAQ Ordinary Shares. Please see the section entitled "Where You Can Find More Information" in this proxy statement/prospectus. Pubco, KMC and CDAQ may face additional risks and uncertainties that are not presently known to them or that they currently deem immaterial, which may also impair Pubco's business, prospects, financial condition or operating results. The following discussion should be read in conjunction with the financial statements of KMC and the financial statements of CDAQ and notes thereto included elsewhere in this proxy statement/prospectus.* 

**Risks Related to the Business of Pubco and KMC**

***KMC is an exploration stage mining company that also is developing a desalination plant and has limited operating history. KMC currently does not operate any mines, and there is no assurance that KMC will ever produce minerals from the Titanium Project or any of KMC's other properties or fully develop and commercialize the desalination plant.***

KMC is an exploration stage mining company that also is developing a desalination plant. KMC has no material property with mineral reserves disclosed. KMC does not currently operate any mines, and KMC does not have any direct or indirect interest in any active mining operations. KMC's sole material mineral project, the Titanium Project, is in the exploration stage and has never been mined for titanium dioxide by KMC or by any prior owner. Additionally, KMC's water desalination plant is in the development stage and KMC has never produced revenue from it or any other desalination plant. KMC has limited operating history upon which to base estimates of future operating costs, capital expenditure needs, site remediation costs or other necessary investments. KMC has no experience in developing or operating a mine or a desalination plant. KMC may never be able to develop and produce minerals from a commercially viable mineral property.

Further advancing KMC's sole material mineral property through the development stage (which the SEC defines as the preparation of mineral reserves for extraction) will require significant capital and time, and successful commercial production from any mine will be subject to the additional risks associated with developing and establishing new mining operations and business enterprises including:

● completing feasibility studies to verify reserves and commercial viability, including the ability to find sufficient mineralization to support a commercial mining operation;

● obtaining the financial resources to fund further exploration, permitting and construction of infrastructure, mining, refining and other processing facilities and equipment at the Cerro Blanco Project in Chile;

● the availability of drilling and other mining and processing equipment;

● compliance with environmental and other governmental approval and permit requirements;

● potential opposition from non-governmental organizations, local groups or local inhabitants that may delay or prevent development activities;

● potential increases in exploration, development, construction, and operating costs due to changes in the cost of fuel, water, power, materials, and supplies;

● potential shortages of mineral processing, construction, and other facilities and related supplies; and

● potential shortages of properly trained and experienced exploration personnel, skilled labor and other personnel.

Accordingly, KMC may not be able to successfully complete its planned exploration activities, establish mining operations or profitably produce minerals at any of KMC's current or future properties.

***The Titanium Project is in the exploration stage.***

The Titanium Project, KMC's sole material mineral property, has not been determined to contain any mineral reserves pursuant to recognized reserve guidelines, and there is no assurance that KMC will be able to establish the presence of mineral reserves at such property. The SEC defines a mineral reserve as an estimate of tonnage and grade or quality of indicated and measured mineral resources that, in the opinion of a qualified person, can be the basis of an economically viable project. More specifically, it is the economically mineable part of a measured or indicated mineral resource, which includes diluting materials and allowances for losses that may occur when the material is mined or extracted.

Whether any mineral project is economically viable depends on a variety of factors, including the size, grade and other attributes of the mineral deposit, the availability of infrastructure such as smelters, roads, electricity, water and shipping facilities, government regulation and market prices. Many of these factors will be beyond KMC's control and could result in cost increases or market price decreases that make extraction of any mineral reserves unprofitable.

The probability of any individual mining property containing a reserve under the definition of the SEC is remote. There is no assurance that the Titanium Project, KMC's sole material mineral property, contains any reserves, and all of KMC's expenditures on exploration activities could fail to produce any results demonstrating the existence of any mineral reserves. Even if KMC does eventually discover mineral reserves at the Titanium Project, there is no assurance that such reserves can or will be developed into producing mines or that KMC will extract those reserves at a profit. Exploration and development in the mining industry involves substantial risks and few mineral properties that are explored are ultimately developed into producing mines.

***Inaccuracies of historical information with respect to KMC's mineral projects could hinder its exploration plans.***

Disclosures in this proxy statement/prospectus with respect to the Titanium Project are based upon historical data compiled by parties who were previously involved with the property. If any of such historical data is inaccurate or incomplete, KMC's exploration and development plans and KMC's estimates of financing needs may be adversely affected. Estimates that guide KMC's development and financing plans are based on the interpretation of geological data, feasibility studies, anticipated climatic conditions and other factors. Any of the following events, among the other events and uncertainties described in this proxy statement/prospectus, could affect the accuracy of such estimates:

● unanticipated changes in the grade and tonnage of mineralized material;

● incorrect data used in engineering assumptions;

● delays in construction schedules;

● unanticipated construction and transportation costs;

● incorrect predictions of the nature and timing of major equipment needs;

● unavailability of adequate mining personnel or unfavorable outcomes of labor negotiations; and

● adverse changes in laws or regulations (including laws or regulations regarding mining concessions, prices, cost of consumables, royalties, duties, taxes, permitting and restrictions or production quotas on exportation of minerals).

Inaccuracies in such estimates could adversely affect KMC's ability to continue its exploration plans and to profitably produce minerals at the Titanium Project or any of KMC's future properties.

***KMC's mineral exploration efforts are highly speculative in nature and may be unsuccessful.***

Mineral exploration is highly speculative in nature, involves many uncertainties and risks and is frequently unsuccessful. The purpose of exploration is to demonstrate the dimensions, position and mineral characteristics of mineral deposits, estimate mineral resources, assess amenability of the deposit to mining and processing scenarios and estimate potential deposit value. Once mineralization is discovered, it may take years from the initial exploration phases before production is possible, during which time the project may cease to be feasible. Substantial expenditures are required to establish proven and probable mineral reserves, to determine processes to extract the metals and, if required, to construct mining and processing facilities and obtain the rights to the land and resources required to develop the mining activities.

Development projects have no operating history upon which to base estimates of proven and probable mineral reserves and estimates of future operating costs. Estimates are, to a large extent, based upon the interpretation of geological data and modeling obtained from drill holes and other sampling techniques, feasibility studies that derive estimates of operating costs based upon anticipated tonnage and grades of material to be mined and processed, the configuration of the deposit, expected recovery rates of metal from the mill feed material, facility and equipment capital and operating costs, anticipated climatic conditions and other factors. As a result, actual operating costs and economic returns based upon development of proven and probable mineral reserves may differ significantly from those originally estimated. Moreover, significant decreases in actual or expected commodity prices may mean mineralization, once found, will be uneconomical to mine.

***Suitable infrastructure may not be available or damage to existing infrastructure may occur.***

Mining, development and exploration activities depend on adequate infrastructure. Reliable roads, bridges, port and/or rail transportation, power sources, water supply and access to key consumables are important determinants for capital and operating costs. The lack of availability on acceptable terms or the delay in the availability of any one or more of these items could prevent or delay exploration, development or exploitation of KMC's projects. If adequate infrastructure is not available in a timely and cost-effective manner, the exploitation or development of KMC's mineral projects might not be commenced or completed on a timely basis, or at all, the resulting operations might not achieve the anticipated production volume and the construction costs and operating costs associated with the exploitation and/or development of KMC's projects might be higher than anticipated. In addition, extreme weather phenomena, sabotage, vandalism, government, non-governmental organization and community or other interference in the maintenance or provision of such infrastructure could adversely affect KMC's business, results of operations, financial condition or prospects.

***A shortage of equipment and supplies and/or the time it takes such items to arrive at the Cerro Blanco Project could adversely affect KMC's ability to operate its business.***

KMC is dependent on various supplies and equipment to engage in exploration and development at the Titanium Project and the development of the Water Desalination Project. The shortage of such supplies and equipment and/or the time it takes such items to arrive at the Cerro Blanco Project could have a material adverse effect on KMC's ability to carry out its operations and develop such projects, and therefore limit or increase the cost of production or development. Such shortages could also result in increased construction costs and cause delays in expansion projects.

***KMC may rely on joint ventures or other third-party contracts to conduct key aspects of its operations.***

KMC may enter into and rely on joint ventures or other types of third-party contracts to develop its sole material mineral property or for other key aspects of its operations. In that event, KMC's operations will be subject to risks, some of which will be outside of its control, including, among others, risks relating to:

● negotiating agreements with such third parties on acceptable terms;

● the inability to replace a third party and its operating equipment in the event that KMC or the third party terminate the applicable agreement;

● reduced control over those aspects of KMC's operations that are the responsibility of the joint venture partner or other third party;

● failure of a joint venture partner or other third party to perform under an agreement or disputes relative to performance under such agreement;

● interruption of operations or increased costs in the event that a joint venture partner or other third party ceases its business due to insolvency or other unforeseen events and KMC's ability to replace the joint venture partner with a new partner on comparable and commercially reasonable terms;

● failure of a joint venture partner or other third party to comply with legal and regulatory requirements; and

● problems of a joint venture partner or other third party with managing its workforce, including as a result of labor unrest, shortages, or other employment issues.

In addition, KMC may incur liability to third parties as a result of the actions of its joint venture partners or other third parties. The occurrence of one or more of these risks could increase KMC's costs, and adversely affect KMC's business, financial condition, results of operations and prospects.

***KMC may fail to identify attractive acquisition candidates or fail to successfully integrate acquired mineral properties or successfully manage joint ventures.***

As part of KMC's development strategy, it may acquire additional mineral properties. However, KMC may not be able to identify attractive acquisition candidates in the future or, if KMC does, succeed at effectively managing their integration or operations. In particular, significant and increasing competition exists for mineral acquisition opportunities throughout the world. KMC faces strong competition from other mining companies in connection with the acquisition of properties producing, or capable of producing, titanium dioxide as well as in entering into joint ventures with other parties. If the expected synergies from such transactions do not materialize or if KMC fails to integrate them successfully into its existing business or operate them successfully with KMC's joint venture partners, or if there are unexpected liabilities, KMC's business, results of operations or financial condition could be adversely affected.

In connection with any future acquisitions, KMC may incur indebtedness or issue equity securities, resulting in increased interest expense or dilution of the percentage ownership of existing shareholders. Unprofitable acquisitions or joint ventures, or additional indebtedness or issuances of securities in connection with such acquisitions, may adversely affect the price of Pubco Common Stock.

KMC has no current commitments with respect to any acquisition. KMC does not know if it will be able to identify acquisitions it deems suitable, whether KMC will be able to successfully complete any such acquisitions on favorable terms or at all. KMC's potential inability to integrate any business effectively may adversely affect its business, results of operations, financial condition or prospects.

***KMC relies on information technology systems which are subject to disruption, damage, failure and other risks.***

Information technology systems are essential to the conduct of KMC's business. KMC's information technology systems, and the systems of any third parties that KMC may rely on in the future, are subject to disruption, damage or failure due to computer viruses, security breaches, cyberattacks, natural disasters, design defects and other risks. Cyberattacks, in particular, are sophisticated and continue to evolve, and may include, but are not limited to, malicious software, attempts to gain unauthorized access to data and systems, and other electronic security breaches that could lead to disruptions in KMC's systems or the systems of third parties that KMC relies on, unauthorized releases of confidential or otherwise protected information or the corruption of data. Given the ongoing and evolving nature of cyber threats and the unpredictability as to the timing, nature and scope of information technology disruptions, KMC or the third party vendors KMC relies on may be subject to operational delays, the compromising of confidential or otherwise protected information, the destruction or corruption of data, other security breaches, improper use of KMC's systems and networks, or financial losses from remedial actions relating to any of the foregoing, any of which could have a material adverse effect on KMC's business, financial condition, results of operations or prospects.

***KMC's success depends on developing and maintaining relationships with the local communities where it operates.***

The success of KMC's future operations will require that KMC maintain good relationships with the communities where it operates, and in particular, the Atacama Region located in northern Chile (also known as Chile's Region III). KMC believes that its current relationship with the community is good, but public and governmental attitudes towards KMC may be changing given the potential effect of mining activities on the environment and communities in the Atacama Region. For example, in January 2023, the cabinet of the current Chilean government rejected a proposed $2.5 billion iron mining project in Northern Chile because of environmental concerns. Civic concerns about environmental or other impacts of KMC's proposed exploration activities in Chile could have an adverse effect on KMC's reputation or operations and may impact KMC's relationship with the local communities in which KMC operates, including Chile's Atacama Region. There can be no assurance that KMC's efforts will ensure good relations. If KMC cannot maintain good relations with such communities where it operates, KMC's business, financial condition, results of operations or prospects may be adversely impacted.

***If KMC fails to attract and retain senior management, KMC's business may be materially and adversely affected.***

KMC's success depends in large part on KMC's continued ability to attract, retain and motivate highly qualified personnel. KMC highly depend upon members of senior management, and in particular Cesar A. López Alarcón, KMC's President and Chief Executive Officer, John P. Ryan, KMC's Vice President of Corporate Affairs, and Reinaldo Reyes, KMC's Country Manager (KM Chile). The loss of any one of these people, and KMC's inability to replace them in a timely manner and on comparable terms, could impair its ability to execute its business plan, which could have a material adverse effect on its business, results of operations, financial condition or prospects.

Competition for qualified personnel in the mining industry is intense due to the limited number of individuals who possess the skills and experience required in KMC's industry. As a result, KMC might not be able to attract and retain personnel to sufficiently staff its exploration teams. If KMC needs to hire additional personnel to expand KMC's exploration or if it initiates production activities, and it cannot attract and retain qualified personnel in a timely manner or on acceptable terms, or at all, it could have a material adverse effect on KMC's business, results of operations, financial condition or prospects.

***Certain of KMC's officers and directors do not devote full time to the affairs of KMC and could allocate their time and attention to other business ventures which may not benefit KMC.***

Enrique Correa, Country Manager (KM Chile) and director, John P. Ryan, KMC's Vice President of Corporate Affairs and Corporate Secretary, and independent director nominees of Pubco are engaged in other business activities. Although there are none known to KMC, the potential for conflicts of interest exists among KMC and such persons for future business opportunities that may not be presented to KMC. Such officers and directors may have conflicts of interests in allocating time, services, and functions between the other business ventures in which those persons may be or become involved.

**Risks Related to KMC's Financial Position and Capital Needs**

***KMC's independent registered public accounting firm has expressed substantial doubt about KMC's ability to continue as a going concern, which may hinder KMC's ability to obtain future financing.***

KMC's recurring losses from operations raise substantial doubt about its ability to continue as a going concern. As a result, KMC's independent registered public accounting firm included an explanatory paragraph in its report on its financial statements for the years ended December 31, 2024 and 2023 with respect to this uncertainty. While KMC believes that the net proceeds from the Business Combination and the Transaction Financing, together with KMC's existing cash and cash equivalents, will be sufficient for KMC to fund its operating expenses and capital expenditures requirements for the next 12 months, KMC has based these estimates on assumptions that may prove to be wrong, and KMC may need to raise additional funds. The reaction of stockholders to the inclusion of a going concern statement by KMC's independent registered public accounting firm, and its potential inability to continue as a going concern, in future years could materially adversely affect the share price of Pubco Common Stock and Pubco's ability to raise new capital.

***KMC will require substantial additional capital to explore and/or develop the Cerro Blanco Project and KMC may be unable to raise additional capital on favorable terms or at all.***

KMC's business is capital intensive. Specifically, the exploration and exploitation of reserves, mining and processing costs, the development of KMC's water desalination plant, the maintenance of machinery and equipment and compliance with applicable laws and regulations require substantial capital expenditures. KMC will be required to make substantial expenditures for the continued exploration and, if warranted, development of KMC's mineral properties, and the development of KMC's water desalination plant. For example, KMC, and following the Closing of the Business Combination, Pubco will likely be required to raise capital or take other measures to fund future exploration and development activities associated with the Cerro Blanco Project described in this proxy statement/prospectus under "*Information Related to KMC — Properties — Exploration and Related Programs*." However, there can be no assurance that KMC or Pubco will be able to raise additional funds for such activities or that if KMC or Pubco is able to do so, that such financing will be on terms that are favorable to KMC or Pubco.

Mining industry development projects typically require years and significant expenditures before production can begin. Such projects could experience unexpected problems and delays during development, construction and start-up. KMC may not be successful in obtaining the required financing or, if KMC can obtain such financing, such financing may not be on terms that are favorable to KMC. Any failure to obtain sufficient equity or debt financing for KMC's operations on favorable terms could have a material adverse effect on KMC's financial condition, results of operations, and prospects.

***KMC has a limited operating history on which to evaluate its business and performance, and accordingly, KMC's prospects must be considered in light of the risks that any new company encounters.***

KMC was incorporated under the laws of the State of Delaware on February 18, 2020. KMC has never generated any revenue from operations, the Titanium Project, KMC's material mineral property, is in the exploration stage, and KMC has never produced minerals in commercial quantities from such mineral property. KMC faces many risks common to early-stage enterprises, including under-capitalization, cash shortages and limitations with respect to personnel and other resources. The likelihood that in the future KMC will generate a level of revenue to achieve and sustain profitable operations must be considered in light of the early stage of KMC's operations.

There is no assurance that KMC's sole material mineral property will ultimately produce minerals in commercially viable quantities or otherwise generate operating earnings. Further advancing KMC's sole material mineral property through the development stage will require significant capital and time, and successful commercial production from any mines on such properties will require KMC to complete feasibility studies to estimate the anticipated economic returns of a project, obtain adequate financing, obtain various permits, construct processing plants and infrastructure, and complete other activities. KMC may not succeed in establishing mining operations or profitably producing metals at any of KMC's current or future properties.

Additionally, there is no assurance that the Water Desalination Project will ultimately operate at commercially viable levels or generate positive operating earnings. Advancing this project through development and into commercial operation will require significant capital and time, including completion of ready-to-built preparations, feasibility studies to estimate anticipated economic returns, securing adequate financing, obtaining necessary permits, building the desalination plant and supporting infrastructure, and performing other essential activities. There is a risk that KMC may not complete development, commence operations, or achieve profitable water production at the Water Desalination Project.

***KMC has incurred operating losses since inception on February 18, 2020, expects to incur significant operating losses for the foreseeable future and may never achieve or sustain profitability.***

Since KMC's inception on February 18, 2020, KMC has incurred significant losses and KMC expects to continue to incur losses for the foreseeable future. KMC's net losses were $4,397,780 and $2,078,123 for the nine months ended September 30, 2025 and for the year ended December 31, 2024, respectively. As of September 30, 2025, KMC had an accumulated deficit of $16,301,540. The extent of any future losses and whether KMC can generate revenue in future years remains uncertain.

KMC may never achieve or sustain profitability. KMC's sole material mineral property and sole water desalination project have not commenced commercial production, and commercial production will require significant capital and expenditures. To become and remain profitable, KMC must generate significant revenues at KMC's sole material mineral property and its sole water desalination project, which will require KMC to be successful in a range of challenging activities that are subject to numerous risks, including those set forth in this "*Risk Factors*" section. In addition, KMC may encounter unforeseen expenses, difficulties, complications, delays and other unknown factors that may adversely affect KMC's revenues, expenses and profitability. KMC's failure to achieve or sustain profitability would depress Pubco's market value, could impair KMC's ability to execute KMC's business plan, raise capital or continue KMC's operations.

***KMC has identified material weaknesses in its internal control over financial reporting, and KMC cannot provide assurances that these material weaknesses will be effectively remediated or that additional material weaknesses will not occur in the future.***

Prior to the Closing of the Business Combination, KMC has been a private company with limited accounting personnel to adequately execute KMC's accounting processes and limited supervisory resources with which to address KMC's internal control over financial reporting. As a private company, KMC has not designed or maintained an effective control environment as required of public companies under the rules and regulations of the SEC. Although KMC is not yet subject to the certification or attestation requirements of Section 404 of the Sarbanes-Oxley Act, management identified several material weaknesses in KMC's internal control over financial reporting in connection with KMC's preparation and the audits of its financial statements for fiscal years 2024 and 2023 and for the unaudited financial statements as of September 30, 2025 and for the nine months ended September 30, 2025 and 2024.

A material weakness is a deficiency, or combination of deficiencies, in internal control over financing reporting such that there is a reasonable possibility that a material misstatement of KMC's annual or interim financial statements will not be prevented or detected on a timely basis. The material weaknesses KMC identified are listed below:

● KMC did not employ a sufficient number of staff to maintain optimal segregation of duties;

● KMC's management had the override of KMC's internal control over financial reporting;

● KMC had insufficient communication of key transactions to its accounting personnel;

● KMC did not properly disclose related party transactions;

● KMC lacks a sufficient number of independent members of its board of directors;

● communication among KMC's personnel of key transactions; and

● KMC's independent registered public accounting firm discovered material adjustments during its audit and interim review procedures.

KMC has begun implementation of a plan to remediate the material weaknesses described above. These remediation measures are ongoing and include hiring additional accounting personnel and implementing additional policies, procedures and controls. KMC cannot assure you that these measures will significantly improve or remediate the material weaknesses described above. The implementation of these remediation measures is in the early stages and will require validation and testing of the design and operating effectiveness of internal control over financial reporting over a sustained period of financial reporting cycles. As a result, the timing of when KMC will be able to fully remediate the material weaknesses is uncertain, and KMC may not fully remediate these material weaknesses during fiscal year 2026. If the steps KMC takes do not remediate the material weaknesses in a timely manner, there could continue to be a reasonable possibility that these control deficiencies or others would result in a material misstatement of KMC's annual or interim consolidated financial statements that would not be prevented or detected on a timely basis. This, in turn, could jeopardize KMC's ability to comply with its reporting obligations, limit KMC's ability to access the capital markets and adversely impact Pubco's stock price.

***KMC may experience increased costs at the Cerro Blanco Project which could have a material adverse effect on its business, financial condition, results of operation and prospects.***

The costs of exploring and developing the Cerro Blanco Project will be subject to variation from time to time due to a variety of factors including

● inflation and general economic conditions;

● changes in the grade and metallurgy of samples from KMC's properties;

● revisions to mine plans, if any, in response to the physical shape and location of any applicable ore body;

● changes in the cost of labor and third-party consultants as a result of changes in demand for those services and regional or national wage pressure; and

● changes in governmental regulation, including taxation, environmental, permitting and other regulations.

Costs are also affected by the price of commodities necessary for KMC's operations such as fuel, steel, rubber, water, and electricity. Such commodities may be subject to volatile price movements, including increases that could make production at certain operations less profitable. A material increase in costs at the Cerro Blanco Project could have a material negative impact on KMC's business, financial condition, results of operation and prospects.

**Risks Related to the Mining Industry**

***The mining industry is highly competitive.***

The mining industry is highly competitive. Much of KMC's competition will come from larger and more established mining companies that have greater resources than KMC, including more executive management and administrative personnel, more qualified employees, newer and more efficient equipment, lower cost structures, greater liquidity and access to credit and other financial resources, more effective risk management policies and procedures, and greater financial resources allowing for a greater ability to explore and develop mining properties and withstand potential losses. As a result of such advantages, some of KMC's competitors may be able to (i) respond more quickly to new laws, regulations or emerging technologies, (ii) devote greater resources to the operation, expansion or efficiency of their operations, and (iii) expend greater amounts of resources, including capital, in acquiring new and prospective mining properties. In addition, current and potential competitors may make strategic acquisitions or establish cooperative relationships among themselves or with third parties; and the resulting competitors or alliances may gain significant market share to KMC's detriment. KMC may not be able to compete successfully against current and future competitors, and any such failure to compete successfully could have a material adverse effect on KMC's business, financial condition or results of operations.

***KMC faces significant risks and hazards inherent to the mining industry.***

Mineral exploration is highly speculative and involves unique risks that are greater than the risks generally associated with other businesses. Hazards such as adverse environmental conditions, industrial accidents, labor disputes, unusual or unexpected geological conditions, ground control problems, cave-ins, changes in the regulatory environment, metallurgical and other processing problems, mechanical equipment failure, facility performance problems, fire and natural phenomena such as inclement weather conditions, floods and earthquakes are inherent risks in KMC's operations. Hazards inherent to the mining industry can cause injuries or death to employees, contractors or other persons at KMC's mineral properties, work stoppages and delayed production, increased production costs, damage to, or destruction of, mineral properties or production facilities, personal injury or death, asset write-downs, monetary losses, loss of or suspension of permits as a result of regulatory action, reputational damage and other liabilities. Safety measures implemented by KMC may not be successful in preventing or mitigating future accidents. KMC is subject to all the risks inherent in the mining industry, including, without limitation, the following:

● based on additional exploration work KMC will do on the Titanium Project and evaluations of possible mineral deposits on such project, KMC may conclude that development of and production from such project is not technically, economically, or legally feasible;

● KMC may fail to successfully discover and develop commercially viable quantities of minerals due to a variety of factors, including the quality of KMC's management, inaccurate interpretations of geological data from KMC's sole material mineral property, inadequate levels of geological and technical expertise among KMC's personnel, and the quality of land available for exploration on the Titanium Project;

● most mineral exploration projects (even projects on properties that are known to have quantities of mineral deposits) do not result in the discovery of commercially viable mineral deposits;

● the feasibility of mining on the Titanium Project will depend on factors beyond KMC's control including fluctuations in metal prices and production costs, inflation and other economic conditions, the proximity and liquidity of markets for applicable minerals, the availability of processing equipment, government regulations (including regulations relating to prices, taxes, royalties, land tenure, land use, import and export of minerals and environmental protection);

● KMC will require substantial additional expenditures to establish proven and probable mineral reserves through further exploration activities, to determine metallurgical processes needed to extract the desired minerals and, ultimately, to construct and operate mining and processing facilities;

● if KMC progresses to the production stage at the Titanium Project, KMC's activities could be subject to the risks of losses in the market value of metal, environmental hazards, industrial accidents, labor disputes, impediments from unusual or unexpected geologic formations, unanticipated ground or water conditions, cave-ins, pit-wall failures, flooding, rock falls, interruptions from forest fires, inclement weather conditions and other acts of God; some of these risks may not be insurable at a reasonable cost;

● KMC could be subject to governmental investigations which could result in significant penalties and fines, or even enforcement actions that could result in the closing of certain of KMC's operations;

● KMC could be subject to litigation by persons who may be harmed in connection with KMC's operations, and the outcome of any such litigation may be impossible to predict; and

● if KMC develops or eventually mine on the Titanium Project without the appropriate licenses and approvals, KMC could incur liability or such operations could be suspended.

As noted above, KMC may be subject to governmental investigations and claims and litigation filed on behalf of persons who are harmed while at KMC's property or otherwise in connection with its operations from time to time. To the extent that KMC is subject to personal injury or other claims or lawsuits in the future, it may not be possible to predict the ultimate outcome of these claims and lawsuits due to the nature of personal injury litigation. Similarly, if KMC is subject to governmental investigations or proceedings, KMC may incur significant penalties and fines, and enforcement actions against KMC could result in the closing of certain of its operations. If claims and lawsuits or governmental investigations or proceedings are ultimately resolved against KMC, it could have a material adverse effect on KMC's business, results of operations or financial condition. Also, if KMC develops or eventually mine on property without the appropriate licenses and approvals, KMC could incur liability or its operations could be suspended, which could have a material adverse effect on KMC's business, financial condition or results of operations.

***If KMC fails to comply with safety, environmental and other laws and regulations in Chile, it could be subject to fines and its exploration and development activities could be impaired.***

Chile has national and local laws and regulations pertaining to safety, environmental protection, health and other matters that will apply to KMC's exploration and development activities and the properties where it conducts such activities. In accordance with such regulations, KMC is required to conduct environmental impact studies or statements before KMC conducts any new mining activities or significant modifications of existing mining project that could impact the environment or the health of people in the surrounding areas. KMC is also required to obtain an environmental license for those projects and activities. The Chilean Environmental Assessment Service (*Servicio de Evaluación Ambiental*) evaluates environmental impact studies and statements submitted for its approval. The public, government agencies or local authorities may review and challenge projects that may adversely affect the environment, either before these projects are executed or once they are operating, if they fail to comply with applicable regulations. In order to ensure compliance with environmental regulations, Chilean authorities may impose fines up to approximately US$9 million per infraction, revoke environmental permits or temporarily or permanently close facilities, among other enforcement measures. Chilean environmental regulations have become increasingly stringent in recent years, both with respect to the approval of new projects and in connection with the implementation and development of projects already approved, and KMC believes that this trend is likely to continue.

Given public interest in environmental enforcement matters, these regulations or their application may also be subject to political considerations that are beyond KMC's control. Applicable Chilean laws include, but are not limited to, the Mine Health and Safety Act of 1989, the Health Code, the Health and Basic Conditions Act of 1999, the Subcontracting Law, the Environmental Law of 1994, and the Labor Code. These laws and the related regulations are extensive, and the relevant regulatory bodies are empowered to use their enforcement powers to ensure compliance with such laws and regulations. Compliance with these laws and regulations or responding to any enforcement actions by regulatory bodies seeking to enforce compliance with applicable regulations requires or will require substantial capital expenditures. There can be no assurance that compliance with such laws and regulations, or future laws or regulations, will not have a material adverse effect on KMC's business, financial condition or results of operation.

***Chilean mining laws will require that KMC obtains various governmental permits, which can involve a complex, time-consuming and uncertain process.***

KMC's exploration and other mining-related activities in Chile will require numerous permits issued by various governmental agencies, including environmental permits. These permits may relate to, among other things mining operations, drilling, reclamation and closure plans, water discharge, water usage, air quality, and industrial artificial (tailings) ponds. The processes involved in obtaining, complying with and renewing each of these permits can be time-consuming, costly and difficult. Despite KMC's diligent efforts, there is no assurance that it will obtain, or in the future renew, as applicable, all permits needed for KMC to successfully explore, develop and conduct operations at any of KMC's existing or future mineral properties. In addition, permit terms and conditions may impose other restrictions and requirements on how KMC conducts its operations and may limit its flexibility in the exploration and/or development of its mineral property.

***There may be defects in KMC's rights under the mining claims that comprise the Titanium Project in Chile, and such defects could impair KMC's ability to explore for mineralized material and to otherwise develop such property.***

The mining claims KMC relies on at the Titanium Project in Chile may be challenged, and KMC may not have, or may not be able to obtain, the surface rights needed to explore for at or develop any resources present at the property related to such claims. Unknown defects with respect to any of such claims could adversely affect KMC's ability to explore and develop the property or process the mineral that it may ultimately mine at the property. Title insurance for mineral properties is generally not available at a reasonable cost, and KMC may have limited ability to ensure that it has obtained valid rights to individual mineral properties. KMC relies on public records in Chile with respect to its mining claims. However, any challenge to KMC's rights in a concession could result in litigation, insurance claims and potential losses, hinder its access to capital, delay the exploration and development of the property and ultimately result in the loss of some or all of its interest in the related mineral project.

***Volatility in commodity markets may impair KMC's financial results and access to capital.***

Prices for metals constantly fluctuate, and if the prices of titanium dioxide (the primary mineral for which KMC is exploring) experience sudden or protracted declines, its exploration activities for such mineral may become unattractive and it may discontinue those activities. Prices of minerals are determined by a variety of factors, including market volatility in commodities prices; the exchange rate between the Chilean Peso and the U.S. Dollar; global and regional supply and demand; and changes or volatility in political and economic conditions and production costs in major mineral producing regions of the world.

**Risks Related to the Water Desalination** 

***The water desalination industry is highly competitive.***

Many competitors are larger, have more experience, more robust capital resources, and access to more advanced technologies and operational expertise than KMC, which may allow them to respond faster to regulatory changes, invest more heavily in plant building and expansion or capture greater market share. Established firms may pursue strategic partnerships and acquisitions or form alliances, potentially adversely impacting KMC's competitive position. If KMC cannot compete effectively with existing and future competitors in the water desalination sector, KMC's business, financial condition, and results of operations could be materially impacted.

***KMC faces significant risks and hazards inherent to the development and operation of a water desalination project.***

Water desalination development involves unique risks that are greater than the risks generally associated with other businesses These include potential adverse environmental conditions, regulatory changes, technical and equipment failures, facility performance issues, natural disasters, industrial accidents, labor disruptions, and fluctuations in input costs such as energy and chemicals. There is a possibility KMC may not complete development or achieve profitable operations at the Water Desalination Project due to technical, economic, or legal factors. Development may be impaired by inaccurate assessments of water demand, permitting delays, shifting regulations, unforeseen site or marine conditions, and unexpected increases in construction or operating costs. Failure to obtain necessary permits, maintain environmental compliance, or secure water offtake contracts could result in project delays, financial penalties, or suspension of operations.

***The Water Desalination Project's success depends on entering into and maintaining long-term water purchase agreements with mining, utility and agricultural off-takers, which may not materialize as expected.***

The Water Desalination Project's success relies on securing and performing under long-term water purchase agreements, primarily with mining companies, as well as water utilities and agricultural users, often on take-or-pay terms. While KMC has entered into memoranda of understanding for a portion of its capacity, a significant share of the plant's capacity remains uncontracted, and there can be no assurance that non-binding understandings will convert into definitive long-term contracts on the expected schedule or terms, or at all. Even where definitive agreements are executed, off-takers may seek to renegotiate or terminate agreements due to changes in their operations, commodity prices, water demand, regulatory requirements or financial condition. Counterparty defaults, disputes, insolvencies or restructurings could reduce contracted volumes, delay payment or result in litigation or arbitration, any of which could negatively impact revenues, cash flows and the ability of the project to service debt and make distributions.

***The Water Desalination Project's off-take portfolio is expected to be concentrated in a limited number of mining customers whose operations and water needs may be affected by commodity price volatility, regulatory changes and other factors.***

The Atacama Region is heavily dependent on the mining sector, and the Water Desalination Project is expected to contract a significant portion of its capacity with a limited number of mining customers. The demand for desalinated water from these customers may fluctuate with commodity prices, production decisions, mine expansions, environmental regulations and other operational and financial factors affecting such customers. If one or more major mining customers reduce or cease their water purchases for any reason, the Water Desalination Project may be unable to promptly replace such volumes with sales to other customers on similar terms, which could adversely affect utilization, revenues and cash flows.

***Potential demand and offtake for the Water Desalination Project may be insufficient to support its economic viability or profitability.***

The Water Desalination Project is expected to rely on long-term offtake arrangements with the Titanium Project and third-party mining, industrial, agricultural and community users to recover its capital and operating costs and generate an adequate return. The Water Desalination Project may not secure sufficient binding offtake commitments on acceptable terms and pricing, or existing or future counterparties may delay, reduce or terminate their purchases as a result of changes in their operational plans, commodity prices, access to alternative water sources, regulatory or environmental constraints, or other market or economic factors.

In addition, regional water demand may develop more slowly than anticipated, competitive desalination or water supply projects may be developed, or regulatory changes could limit the volumes that may be contracted or delivered, any of which could result in under-utilization of the plant's capacity. If the Water Desalination Project does not obtain and maintain adequate offtake volumes at prices sufficient to cover its costs, the project may not be economically viable, may fail to produce a profit, and KMC could be required to restructure the project, seek additional capital support, or impair or write down all or a portion of KMC's investment.

***KMC may be unable to obtain approvals to increase the permitted capacity of the Water Desalination Project as contemplated, which would limit potential returns and could adversely affect KMC's business.***

The Environmental Impact Statement (the "<u>EIS</u>") for the Water Desalination Project currently authorizes a base plant design of approximately 440 L/s of desalinated water. Any increase in capacity, such as the contemplated expansion to approximately 57,000 m³/day (about 660 L/s) by incorporating osmotically assisted reverse osmosis (OARO) technology, would require an amendment to the existing EIS and the approval of the relevant Chilean environmental authorities. There can be no assurance that such approvals will be obtained on acceptable terms, within anticipated timelines, or at all. The requested increase in capacity may be delayed, conditioned in a manner that materially reduces its economic attractiveness, or denied outright. Failure to secure an EIS amendment for higher capacity could materially limit the scale, revenue potential and operating leverage of the Water Desalination Project relative to KMC's current planning scenarios.

***Competition from other desalination projects in the Atacama Region could reduce demand for the Water Desalination Project and exert downward pressure on prices.***

The Water Desalination Project is expected to compete with existing and future seawater desalination plants and other alternative water supply solutions in the Atacama Region and surrounding areas. If additional desalination projects are permitted, financed and constructed ahead of, or in parallel with, the Water Desalination Project, these projects may secure key customers, offer lower tariffs due to economies of scale, more favorable financing terms or different regulatory or fiscal regimes, or otherwise provide water on terms that are more attractive than those KMC can offer.

Increased regional supply of desalinated water, the development of shared or multi-client water infrastructure or the entry of larger, better-capitalized competitors could result in excess capacity and intensify competition for offtake contracts, which could in turn force KMC to accept lower prices, shorter contract terms, reduced minimum-take commitments or more onerous commercial terms in order to secure or retain customers. If competitive pressures limit KMC's ability to contract sufficient volumes at prices and on terms that allow KMC to recover its capital and operating costs and earn an adequate return, the Water Desalination Project may not achieve its expected economic or financial performance, and KMC could be required to restructure the Water Desalination Project, seek additional capital support, or impair or write down all or a portion of KMC's investment.

***Although the Water Desalination Project has obtained an EIS approval and most of the permits required to begin construction, certain key permits and land rights, including final maritime concessions and remaining easements, remain outstanding or subject to renewal and challenge.***

The Water Desalination Project has secured an approved EIS and most of the permits needed for plant site, water pipeline and power transmission works, but certain authorizations, including the maritime concession and a portion of land easements, are in process, subject to approval or re-application, or not yet fully granted. These permits and rights may be delayed, conditioned, modified, challenged or denied, and existing approvals may be subject to appeals, revisions, or changes in law, regulation or interpretation. If any required authorization is not obtained or maintained on acceptable terms, the project may not proceed to construction, may be delayed, or may need to be redesigned, which could materially and adversely affect KMC's business, financial condition and results of operations.

***The Water Desalination Project remains in a development stage and may not be completed, commissioned or operated as currently planned, on time or within budget.***

The Water Desalination Project is a large capital-intensive infrastructure project that is not yet constructed and remains subject to completion risk. The Water Desalination Project could experience significant delays or cost overruns as a result of engineering or design changes, construction difficulties, contractor performance, supply chain disruptions, inflation, labor availability, regulatory requirements, environmental or social opposition, or other factors beyond KMC's control. Any material delay in construction, increase in project costs, or failure to achieve anticipated technical performance could adversely affect the economics of the Water Desalination Project, require additional capital, or cause KMC to impair or write down its investment in the Water Desalination Project.

**Risks Related to KMC's Operations in the Republic of Chile**

***The Cerro Blanco Project is located in Chile which makes KMC vulnerable to risks associated with operating in one major geographic area.***

The Cerro Blanco Project is located within the Atacama Region of the Republic of Chile. KMC's business, financial condition, results of operations and prospects could be adversely affected by changes in, among other things, Chilean laws, regulations and governmental policies. Specifically, President Gabriel Boric, who took office in March 2022, has proposed expanding the role of the government and reducing the involvement of the private sector in the Chilean economy. These proposals included tax reforms and changes to certain aspects of the Chilean economy, including the mining industry. There can be no assurance that the Chilean economy and KMC's business and prospects will not experience material adverse effects as a result of any future civil unrest or reforms adopted to implement President Boric's agenda with respect to monetary, fiscal, tax, economic, social and other governmental policies. Particularly, changes in governmental policies relating to the mining industry and taxation may adversely affect KMC's business, financial condition, results of operations and prospects.

In addition, other adverse developments, such as financial crises resulting from inflation, monetary devaluation, foreign exchange controls, and other adverse economic and market conditions in Chilean financial and capital markets resulting from internal or international events, could occur in Chile during future periods. Any of these developments could hinder KMC's ability to explore and/or develop its mineral property and water desalination plant in Chile and could have a material adverse impact on KMC's business, results of operations, financial condition or prospects.

***Changes in laws or regulations regarding mining concessions in Chile could increase KMC's expenses.***

The Titanium Project comprises an aggregate of 52 exploitation claims in Chile. Chilean mining claims are granted under Chilean law which requires KMC to pay certain annual maintenance fees and submit certain reports. KMC's rights under these mining claims could be subject to changes in the Chilean Constitution or other applicable mining laws, which could have a material adverse impact on KMC's exploration activities and, ultimately, any exploration, development or mining activities at its Chilean mineral projects which, in turn would materially impair KMC's business, financial condition and results of operations.

***Possible changes to the Chilean Constitution and other Chilean laws could affect a range of mining and water rights, and such changes could adversely impact KMC's business, financial condition and results of operations.***

Changes in other Chilean laws may also impact KMC's operations. For example, KMC's exploration and development activities in Chile will require access to water within the Atacama Region, which is primarily an arid desert area. Thus, water use rights will be essential to KMC's operations and KMC could seek to obtain rights from the Chilean Water Authority to water from rivers and wells near KMC's operations. In 2022, the Chilean Water Code was amended to establish limits on the duration of certain water rights, to cause such rights to expire for non-use, and to give priority to human consumption, sanitation, conservation and environmental protection. If changes in Chilean laws and the Chilean Constitution, including laws relating to water rights, restrict KMC's access to key resources or increase the cost of such access or its other operating costs, KMC could experience a material adverse impact on its business, financial condition, results of operations and prospects.

***Changes in Chilean regulatory, environmental or water policies could adversely affect the Water Desalination Project.***

Chile is actively evolving its legal and regulatory framework for water resources, environmental protection and desalination infrastructure, including in connection with mining activities. New or amended laws or regulations may impose more stringent environmental, marine, social or water allocation standards, require additional mitigation or monitoring, alter concession or permitting processes, or otherwise affect the feasibility or operation of the Water Desalination Project. In addition, the Ministry of Public Works and other public bodies are promoting new desalination projects through concessions and public-private partnerships, which may affect demand, tariffs, regulatory expectations and competitive dynamics in the sector. Any adverse changes in regulatory requirements, delays in approvals, or unfavorable conditions imposed by authorities could result in higher costs, delays or restrictions on the Water Desalination Project's development and operation.

***The Water Desalination Project may face environmental, marine and social opposition, including with respect to seawater intake, brine discharge, land access and perceived impacts on local communities.***

Despite the Water Desalination Project's existing environmental approvals and mitigation plans, stakeholders may challenge the Water Desalination Project's environmental and social impacts, including potential effects on marine ecosystems, fisheries, coastal land use, local communities and other users. Community concerns, non-governmental organization campaigns, administrative or judicial challenges, or changes in social expectations could lead to additional studies, mitigation measures, monitoring obligations, or restrictions on operations, as well as reputational impacts.

If the Water Desalination Project is perceived as adversely affecting local communities or the environment, authorities may impose new conditions or limitations, and community opposition could delay construction, disrupt operations or increase costs. Failure to maintain a constructive and transparent relationship with local communities, indigenous groups, regulators and other stakeholders could materially and adversely affect the Water Desalination Project and KMC's business.

***The Cerro Blanco Project is located in an area with a high risk of earthquakes.***

The Atacama Region of Chile, where the Cerro Blanco Project is located, is a seismically active zone with a high risk of earthquakes. Historically, Atacama and nearby regions have experienced several major earthquakes. Since January 2022, Atacama has experienced numerous earthquakes, most of which were minor, but five of which were at least 5.0 in magnitude on the Richter scale. Chile may also experience volcanic activity. A major earthquake or volcanic eruption could have significant negative consequences for KMC's operations and infrastructure, such as roads, rail, and access to goods. Although KMC will maintain insurance policies that will include earthquake coverage with limits and deductibles that it considers appropriate, there can be no assurance that a future seismic or volcanic event will not have a material adverse effect on KMC's business, financial condition and results of operations.

***Chile's ratification of an international convention on rights of its indigenous and tribal peoples could impact KMC's exploration and development activities.***

Chile has ratified Convention 169 (the "<u>Indigenous Rights Convention</u>") of the International Labor Organization. The Indigenous Rights Convention established several rights of indigenous people and tribal people. Among other rights, the Indigenous Rights Convention states that indigenous groups should be (i) notified and consulted before any development on indigenous land, and (ii) have, to the extent possible, a stake in benefits resulting from the exploitation of natural resources in indigenous lands. The Chilean government addressed item (i) above through Supreme Decree No. 66, issued by the Social Development Ministry. This decree requires government entities to consult indigenous groups that may be directly affected by the adoption of legislative or administrative measures, and it also defines criteria for the projects or activities that must be reviewed through the environmental evaluation system that also require such consultation. Although the scope of these rights has not been clarified by the Chilean government, future laws or regulations to implement the Indigenous Rights Convention could affect KMC's exploration and development of its mineral project in Chile. To the extent that the new rights outlined in the Indigenous Rights Convention become laws or regulations in Chile, judicial interpretations of the convention of those laws or regulations could affect the development of KMC investment projects in lands that have been defined as indigenous, which could have a material adverse effect on its business, financial condition and results of operations. The Chilean Supreme Court has consistently held that consultation processes must be carried out in the manner prescribed by the Indigenous Rights Convention.

For example, consultation with indigenous groups on KMC's development plans could delay regulatory approvals, including environmental permits, as well as public opposition by local and/or international political, environmental and ethnic groups, particularly in environmentally sensitive areas or in areas inhabited by indigenous populations. Furthermore, the omission of the consultation process when required by law may result in the revocation or annulment of regulatory approvals, including environmental permits already granted.

If any such future law or regulation affects KMC's exploration or development plans, it could have a material adverse effect on KMC's business, financial condition and results of operations.

***KMC is and might be subject to new and upcoming labor laws and regulations in Chile and may be exposed to liabilities and potential costs for non-compliance.***

KMC is subject to recently enacted local labor laws and regulations that govern, among other things, the relationship between KMC and its employees. These new labor regulations are mainly a result of the impact of the global COVID-19 pandemic as well as to the economic and political volatility and civil unrest in Chile beginning in October and November 2019. Additionally, there have been several labor bills recently under discussion in the Chilean Congress, and therefore KMC may be subject to additional labor laws in the near future. Furthermore, there have been changes and proposed changes to various labor laws which include, without limitation, changes related to teleworking, sexual and other forms of harassment, workplace violence, maternity and paternity rights and the protection of personal, family and work life, inclusion of employees with disabilities, minimum wages, unemployment insurance benefits, employee and employer relationships, pensions, profit sharing, working hours and other matters.

Additionally, during 2023, President Boric enacted and published a law amending the Chilean Labor Code mainly regarding the reduction of working hours. This amendment reduces the ordinary working week in Chile gradually during the next five years from the present 45 hours to 40 hours, without reduction of remuneration; provided that in cases of continuous operational processes such as mining, exceptional work shifts with a maximum weekly average of 42 hours may be authorized and employers may compensate the excess over 40 hours with subsequent time off or in payment. This change in the Labor Code may result in an effective increase in labor costs in Chile with respect to both direct employees and outsourced personnel and could have a material adverse effect on KMC's prospects, business, financial condition and results of operations.

***Changes in the exchange rate between the Chilean Peso and the U.S. Dollar could have an adverse impact on KMC's financial condition and results of operations.***

Because KMC's primary operations will be conducted in Chile, most of its operating expenditures will be paid in Chilean Pesos. Therefore, KMC will be exposed to foreign exchange fluctuations when it translates its Chilean Peso-based operating results into U.S. Dollars for financial reporting purposes. The Chilean Peso has been subject to large devaluations and revaluations in the past and may be subject to significant fluctuations in the future. These fluctuations may cause KMC to recognize substantial foreign exchange gains and losses, which could significantly affect its earnings. There can be no assurance that KMC's results of operation will not experience significant negative impacts from foreign exchange losses. As a result, fluctuations in the exchange rates the Chilean person or other applicable foreign currencies to the U.S. Dollar may have a material adverse effect on KMC's business, financial condition and results of operations.

**Other Risks**

***KMC is not insured against all possible losses that could result from its mineral project development activities, including the operation of heavy equipment, and KMC may not be able to defend against lawsuits or pay judgments rendered against KMC in connection with such activities.***

KMC does currently insure against all the risks and hazards of mineral exploration, development and mining operations. KMC's business is subject to a number of risks and hazards generally, including adverse environmental conditions, industrial accidents, labor disputes, unusual or unexpected geological conditions, ground or slope failures, cave-ins, changes in the regulatory environment, natural phenomena such as inclement weather conditions, floods and earthquakes. Such occurrences could result in damage to the Titanium Project or facilities, injury or death, environmental damage to KMC's properties or the properties of third parties, delays in the ability to undertake exploration, monetary losses and possible legal liability for any of the foregoing.

Although KMC may maintain insurance to protect against certain risks in amounts that it considers reasonable, such insurance will not cover all risks associated with its activities. KMC may be unable to maintain insurance to cover certain of these risks at economically feasible premiums or at all. Insurance coverage may not continue to be available or may not be adequate to cover any resulting liability. Losses from these events may cause KMC to incur significant costs that could have a material adverse effect upon its financial performance and results of operations.

***Climate change may adversely affect KMC's operations and it may have increased costs to comply with laws and regulations relating to climate change.***

Climate change may adversely affect KMC's current and future operations. Changes to regional climates and extreme weather events in Chile, where KMC currently conduct all KMC's exploration activities, could hinder its exploration activities and any future mining operations, for example limiting the availability of water or causing disruptions in the availability of other essential commodities, and could require KMC to make additional expenditures to mitigate the impact of such events. In addition, governments at various levels are enacting laws, or tightening existing laws, to regulate, among other things, carbon emissions and energy efficiency. In Chile, a Climate Change Framework Law, published in June of 2022, sets a goal of net zero emissions of greenhouse gases by 2050, and delegates implementation of this goal to various agencies. KMC's exploration, development and future mining operations in Chile could involve the emission of greenhouse gas, and therefore it may be subject to new or tightened regulations as a result of this law. The costs, time and effort of complying with applicable laws and regulations may have a material adverse effect on KMC's business, financial condition, results of operations, prospects and its ability to commence or continue its exploration, development and future mining operations.

***Increasing attention to environmental, social, and governance, or ESG, matters may impact KMC's business.***

Increasing attention to ESG matters, including those related to climate change and sustainability, and increasing societal, investor and legislative pressure on companies to address ESG matters may result in increased costs, increased investigations and litigation or threats thereof, negative impacts on KMC's access to capital markets, and damage to its reputation. Increasing attention to climate change, for example, may result in additional governmental investigations and private litigation, or threats thereof, against KMC. In addition, some organizations that provide information to investors on corporate governance and related matters have developed ratings processes for evaluating companies on their approach to ESG matters, including climate change and climate-related risks. Such ratings are used by some investors to inform their investment and voting decisions. Unfavorable ESG ratings may lead to negative investor sentiment towards KMC and to the diversion of investment to other industries, which could have a negative impact on its access to and costs of capital. Additionally, evolving expectations on various ESG matters, including biodiversity, waste, and water, may increase costs, require changes in how KMC operate and lead to negative stakeholder sentiment.

**Risks Related to Being a Public Company**

***Pubco will incur increased costs as a result of operating as a public company, and Pubco's management will be required to devote substantial time to compliance with Pubco's public company responsibilities and corporate governance practices.***

Following the Closing of the Business Combination, Pubco will incur significant legal, accounting, and other expenses that KMC and Pubco did not incur as a private company, which Pubco expects to further increase after Pubco is no longer an "emerging growth company." The Sarbanes-Oxley Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, the listing requirements of the Nasdaq Capital Market and other applicable securities rules and regulations impose various requirements on public companies. Pubco's management and other personnel will be required to devote a substantial amount of time to compliance with these requirements. Moreover, these rules and regulations will increase Pubco's legal and financial compliance costs and will make some activities more time-consuming and costly. Pubco cannot predict or estimate the amount of additional costs Pubco will incur as a public company or the specific timing of such costs.

***Pubco will be an "emerging growth company." The reduced public company reporting requirements applicable to emerging growth companies may make Pubco Common Stock less attractive to investors.***

Pubco will qualify as an "emerging growth company," as defined in the JOBS Act. While Pubco remains an emerging growth company, it will be permitted to, and plans to, rely on exemptions from certain disclosure requirements that are applicable to other public companies that are not emerging growth companies. These provisions include: (i) an exemption from compliance with the auditor attestation requirement in the assessment of Pubco's internal control over financial reporting pursuant to Section 404 of Sarbanes-Oxley, (ii) not being required to comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements, (iii) reduced disclosure obligations regarding executive compensation arrangements in Pubco's periodic reports, registration statements and proxy statements, and (iv) exemptions from the requirements of holding a non-binding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved. As a result, the information Pubco provides will be different than the information that is available with respect to other public companies that are not emerging growth companies.

In addition, Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the exemption from complying with new or revised accounting standards provided in Section 7(a)(2)(B) of the Securities Act as long as Pubco is an emerging growth company. An emerging growth company can therefore delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies, but any such election to opt out is irrevocable.

Pubco cannot predict whether investors will find Pubco Common Stock less attractive if it relies on these exemptions. If some investors find Pubco Common Stock less attractive as a result, there may be a less active trading market for Pubco Common Stock. The market price of Pubco Common Stock may be more volatile.

Pubco expects to remain an emerging growth company until the earlier of (i) the last day of the fiscal year (1) following the fifth anniversary of the consummation of the Business Combination, (2) in which Pubco has total annual gross revenue of at least $1.235 billion, or (3) in which Pubco is deemed to be a large accelerated filer, which means the market value of Pubco Common Stock that is held by non-affiliates equaled or exceeded $700 million as of the end of that year's second fiscal quarter, and (ii) the date on which Pubco has issued more than $1.00 billion in non-convertible debt securities during the prior three-year period.

***If Pubco fails to maintain an effective system of disclosure controls and internal control over financial reporting, Pubco's ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired.***

Following the Business Combination, Pubco will be subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act and the rules and regulations of the Nasdaq Capital Market. Pubco expects that the requirements of these rules and regulations will continue to increase Pubco's legal, accounting, and financial compliance costs, make some activities more difficult, time-consuming, and costly and place significant strain on Pubco's personnel, systems, and resources.

The Sarbanes-Oxley Act requires, among other things, that Pubco maintain effective disclosure controls and procedures and internal control over financial reporting. Pubco is continuing to develop and refine its disclosure controls and other procedures that are designed to ensure that information required to be disclosed by Pubco in the reports that it will file with the SEC is recorded, processed, summarized, and reported within the time periods specified in SEC rules and forms and that information required to be disclosed in reports under the Exchange Act is accumulated and communicated to Pubco's principal executive and financial officers. KMC and following the Business Combination, Pubco, is also continuing to improve its internal control over financial reporting, which includes hiring additional accounting and financial personnel to implement such processes and controls. In order to maintain and improve the effectiveness of its disclosure controls and procedures and internal control over financial reporting, KMC has expended, and anticipate that it will continue to expend, significant resources, including accounting-related costs and significant management oversight. If any of these new or improved controls and systems do not perform as expected, Pubco may experience material weaknesses in Pubco's controls.

KMC's current controls and any new controls that Pubco develops may become inadequate because of changes in conditions in its business. Further, weaknesses in Pubco's disclosure controls and internal control over financial reporting may be discovered in the future. Any failure to develop or maintain effective controls or any difficulties encountered in their implementation or improvement could harm Pubco's results of operations or cause Pubco to fail to meet its reporting obligations and may result in a restatement of its financial statements for prior periods. Any failure to implement and maintain effective internal control over financial reporting also could adversely affect the results of periodic management evaluations and annual independent registered public accounting firm attestation reports regarding the effectiveness of Pubco's internal control over financial reporting that Pubco will eventually be required to include in its periodic reports that will be filed with the SEC. Ineffective disclosure controls and procedures and internal control over financial reporting could also cause investors to lose confidence in Pubco's reported financial and other information, which would likely have a negative effect on the trading price of Pubco Common Stock. In addition, if Pubco is unable to continue to meet these requirements, Pubco may not be able to remain listed on the Nasdaq Capital Market.

***Changes in accounting principles may cause previously unanticipated fluctuations in Pubco's financial results, and the implementation of such changes may impact Pubco's ability to meet its financial reporting obligations.***

Pubco will prepare its financial statements in accordance with GAAP in the United States, which are subject to interpretation or changes by the Financial Accounting Standards Board ("<u>FASB</u>"), the SEC, and other various bodies formed to promulgate and interpret appropriate accounting principles. New accounting pronouncements and changes in accounting principles have occurred in the past and are expected to occur in the future which may have a significant effect on Pubco's financial results. Furthermore, any difficulties in implementation of changes in accounting principles, including the ability to modify Pubco's accounting systems, could cause Pubco to fail to meet its financial reporting obligations, which could result in regulatory discipline and harm investors' confidence in Pubco.

***Pubco's management has limited experience in operating a public company.***

Pubco executive officers have limited experience in the management of a publicly traded company. The Pubco management team may not successfully or effectively manage its transition to a public company that will be subject to significant regulatory oversight and reporting obligations under federal securities laws. Their limited experience in dealing with the increasingly complex laws pertaining to public companies could be a disadvantage in that it is likely that an increasing amount of their time may be devoted to these activities which will result in less time being devoted to the management and growth of Pubco. Pubco may not have adequate personnel with the appropriate level of knowledge, experience, and training in the accounting policies, practices or internal controls over financial reporting required of public companies in the United States. The development and implementation of the standards and controls necessary for Pubco to achieve the level of accounting standards required of a public company in the United States may require costs greater than expected. It is possible that Pubco will be required to expand its employee base and hire additional employees to support its operations as a public company which will increase its operating costs in future periods.

***Pubco's business and operations could be negatively affected if it becomes subject to any securities litigation, shareholder activism, regulatory actions or compliance issues which could cause Pubco to incur significant expenses, hinder execution of business and growth strategies, including by distracting Pubco's management and impacting the price of Pubco securities.***

In the past, following periods of market volatility, shareholders have instituted securities class action litigation. Shareholder activism, which could take many forms or arise in a variety of situations, as well as the frequency of lawsuits against SPAC sponsors, has been increasing recently, especially in the context of SPAC business combinations. Volatility in the share price of Pubco securities or other reasons may in the future cause Pubco to become the target of securities litigation or shareholder activism. Securities litigation and shareholder activism, including potential proxy contests, could result in substantial costs and divert Pubco's management attention and resources from Pubco's business. Additionally, such securities litigation and shareholder activism could give rise to perceived uncertainties as to Pubco's future, adversely affect its relationships with customers and make it more difficult to attract and retain qualified personnel. Also, Pubco may be required to incur significant legal fees and other expenses related to any securities litigation and activist shareholder matters. Further, the price of Pubco securities could be subject to significant fluctuation or otherwise be adversely affected by the events, risks and uncertainties of any securities litigation and shareholder activism.

***Provisions in Pubco's governing documents and Delaware corporate law will make it more difficult to effect a change in control of Pubco, which could adversely affect the price of Pubco Common Stock.***

The Pubco Charter and the Pubco Bylaws will contain provisions that could delay or prevent changes in control or changes in Pubco's management without the consent of the Pubco Board. These provisions will include the following:

● no cumulative voting in the election of directors, which limits the ability of minority stockholders to elect director candidates;

● the exclusive right of the Pubco Board to expand the size of the Pubco Board;

● the exclusive right of the Pubco Board to elect a director to fill a vacancy, however occurring, including by an expansion of the Pubco Board, which prevents stockholders from being able to fill vacancies on the Pubco Board;

● directors may only be removed from office by the affirmative vote of the holders of at least 66 2/3% of the voting power of all of Pubco's then outstanding shares of capital stock entitled to vote on the election of such directors;

● the ability of the Pubco Board to authorize the issuance of shares of preferred stock and to determine the price and other terms of those shares, including voting or other rights or preferences, without stockholder approval, which could be used to significantly dilute the ownership of a hostile acquiror;

● the ability of the Pubco Board to alter the Pubco Bylaws without obtaining stockholder approval;

● the required approval of at least 66 2/3% of the shares entitled to vote at an election of directors to adopt, amend or repeal the Pubco Bylaws or repeal the provisions of the Pubco Charter regarding the election and removal of directors;

● prohibition on stockholder action by written consent, which forces stockholder action to be taken at an annual or special meeting of Pubco's stockholders;

● the requirement that a special meeting of stockholders may be called only by the Pubco Board, which may delay the ability of Pubco's stockholders to force consideration of a proposal or to take action, including the removal of directors; and

● advance notice procedures that stockholders must comply with in order to nominate candidates to the Pubco Board or to propose matters to be acted upon at a stockholders' meeting, which may discourage or deter a potential acquiror from conducting a solicitation of proxies to elect the acquiror's own slate of directors or otherwise attempting to obtain control of Pubco.

Pubco is also subject to the anti-takeover provisions contained in Section 203 of the Delaware General Corporation Law, or DGCL. Under Section 203, a corporation may not, in general, engage in a business combination with any holder of 15% or more of its capital stock unless the holder has held the stock for three years or, among other exceptions, the Pubco Board has approved the transaction. For a description of Pubco's capital stock, see the section titled "Description of Pubco Securities."

***Pubco's governing documents designate certain courts as the sole and exclusive forum for certain types of actions and proceedings that may be initiated by Pubco's stockholders, which could limit Pubco's stockholders' ability to obtain a favorable judicial forum for disputes with Pubco or its directors, officers or other employees.***

Additionally, the Pubco Charter and the Pubco Bylaws provide that any person or entity holding, owning, or otherwise acquiring any interest in any of Pubco's securities shall be deemed to have notice of and consented to the provisions described above.

These provisions may increase costs associated with, and/or limit a stockholder's ability to bring, a claim in a judicial forum that it finds favorable for disputes with Pubco or any of its directors, officers, other employees or stockholders, which may discourage lawsuits with respect to such claims, although Pubco Common Stockholders will not be deemed to have waived Pubco's compliance with federal securities laws and the rules and regulations thereunder. Furthermore, the enforceability of similar choice of forum provisions in other companies' certificates of incorporation has been challenged in legal proceedings, and it is possible that a court could find these types of provisions to be inapplicable or unenforceable. While the Delaware courts have determined that such choice of forum provisions are facially valid, a stockholder may nevertheless seek to bring a claim in a venue other than those designated in Pubco's governing documents, and there can be no assurance that such provisions will be enforced by a court in those other jurisdictions. If a court were to find the choice of forum provision contained in the Pubco Charter and the Pubco Bylaws to be inapplicable or unenforceable in an action, Pubco may incur additional costs associated with resolving such action in other jurisdictions, which could adversely affect Pubco's financial condition, results of operations, and liquidity.

***If securities or industry analysts do not publish research or reports about Pubco's business or publish negative reports, the market price of Pubco Common Stock could decline.***

The trading market for Pubco Common Stock will be influenced by the research and reports that industry or securities analysts publish about Pubco, Pubco's business. Pubco may be unable or slow to attract research coverage and if one or more analysts cease coverage of Pubco, the price and trading volume of Pubco's securities would likely be negatively impacted. If any of the analysts that may cover Pubco change their recommendation regarding Pubco's securities adversely, or provide more favorable relative recommendations about Pubco's competitors, the price of Pubco's securities would likely decline. If any analyst that may cover Pubco ceases covering Pubco or fails to regularly publish reports on Pubco, it could lose visibility in the financial markets, which could cause the price or trading volume of Pubco's securities to decline. If one or more of the analysts who cover Pubco downgrades Pubco Common Stock or if Pubco's reporting results do not meet their expectations, the market price of Pubco Common Stock could decline. Moreover, the market price of Pubco Common Stock may decline after the Business Combination if Pubco does not achieve the perceived benefits of the Business Combination as rapidly or to the extent anticipated by financial analysts, or the effect of the Business Combination on Pubco's financial results is not consistent with the expectations of financial analysts. Accordingly, holders of Pubco Common Stock following the consummation of the Business Combination may experience a loss as a result of a decline in the market price of Pubco Common Stock. In addition, a decline in the market price of Pubco Common Stock following the consummation of the Business Combination could adversely affect Pubco's ability to issue additional securities and to obtain additional financing in the future.

**Risks Related to the Business Combination**

***The market price of shares of Pubco Common Stock after the Business Combination will be affected by factors different from those currently affecting the market price of CDAQ Class A Ordinary Shares.***

The market price of shares of Pubco Common Stock after the Business Combination will be influenced by various factors, distinct from those affecting the market price of CDAQ Class A Ordinary Shares before the Business Combination. These include the financial performance of Pubco, economic conditions, market trends, investor psychology and political and social factors.

The market price of Pubco Common Stock may change significantly following the Business Combination. The stock market recently has experienced extreme volatility. This volatility often has been unrelated or disproportionate to the operating performance of particular companies. Public stockholders may not be able to resell their shares of Pubco Common Stock at an attractive price due to a number of factors such as those listed in "*Risks Related to the Business of Pubco and KMC*" and the following:

● results of operations that vary from the expectations of securities analysts and investors;

● results of operations that vary from those of Pubco's competitors;

● changes in expectations as to Pubco's future financial performance, including financial estimates and investment recommendations by securities analysts and investors;

● declines in the market prices of stocks generally;

● strategic actions by Pubco or its competitors;

● announcements by Pubco or its competitors of significant contracts, acquisitions, joint ventures, other strategic relationships or capital commitments;

● any significant change in Pubco's management;

● changes in general economic or market conditions or trends in Pubco's industry or markets;

● changes in business or regulatory conditions, including new laws or regulations or new interpretations of existing laws or regulations applicable to Pubco's business;

● future sales by Pubco of Pubco Common Stock or other securities;

● investor perceptions of the investment opportunity associated with Pubco Common Stock relative to other investment alternatives;

● the public's response to press releases or other public announcements by Pubco or third parties, including Pubco's filings with the SEC;

● litigation involving Pubco, Pubco's industry, or both, or investigations by regulators into the Pubco Board, Pubco's operations or those of Pubco's competitors;

● guidance, if any, that Pubco provides to the public, any changes in this guidance or Pubco's failure to meet this guidance;

● the development and sustainability of an active trading market for Pubco Common Stock;

● actions by institutional or activist shareholders;

● changes in accounting standards, policies, guidelines, interpretations or principles; and

● other events or factors, including those resulting from pandemics, natural disasters, war, acts of terrorism or responses to these events.

These broad market and industry fluctuations may adversely affect the market price of Pubco Common Stock, regardless of Pubco's actual operating performance. In addition, price volatility may be greater if the public float and trading volume of Pubco Common Stock is low.

In the past, following periods of market volatility, shareholders have instituted securities class action litigation. If Pubco was involved in securities litigation, it could have a substantial cost and divert resources and the attention of executive management from Pubco's business regardless of the outcome of such litigation.

***The consummation of the Business Combination is subject to a number of conditions and if those conditions are not satisfied or waived, the Merger Agreement may be terminated in accordance with its terms and the Business Combination may not be completed.***

The Merger Agreement is subject to a number of conditions which must be fulfilled in order to complete the Business Combination. Those conditions include, among other things: approval of the CDAQ Shareholder Approval Matters by CDAQ Shareholders; the approval of the Merger Agreement and the Ancillary Agreements by KCM stockholders absence of any laws or orders prohibiting completion of the Business Combination; effectiveness of this proxy statement/prospectus; the shares of Pubco Common Stock having been approved for listing on Nasdaq or another national securities exchange; the accuracy of the representations and warranties by all parties (subject to the materiality standards set forth in the Merger Agreement); the performance in all material respects by the parties of their covenants and agreements related to the Business Combination; the Minimum Cash Condition has been met and no occurrence of a material adverse effect on CDAQ, Pubco or KMC. These conditions to the Closing of the Business Combination may not be fulfilled in a timely manner or at all, and, accordingly, the Business Combination may not be completed.

In addition, the parties can mutually decide to terminate the Merger Agreement at any time, before or after CDAQ Shareholder approval of the CDAQ Shareholder Approval Matters, or Pubco, KMC or CDAQ may elect to terminate the Merger Agreement in certain other circumstances. For more information, see the section entitled "*Questions and Answers About the Proposals — What conditions must be satisfied or waived to complete the Business Combination?*"

***Neither the CDAQ Board nor any committee thereof obtained a fairness opinion (or any similar report or appraisal) in determining whether or not to pursue the Business Combination. Consequently, CDAQ Shareholders have no assurance from an independent source that the number of shares of Pubco Common Stock to be issued to the KMC Sellers and CDAQ Shareholders in the Business Combination is fair to CDAQ — and, by extension, CDAQ Shareholders — from a financial point of view.***

In considering the Business Combination, neither the CDAQ Board nor any committee thereof obtained a fairness opinion from an independent investment banking firm or another independent firm that commonly renders opinions that the terms of the Business Combination are fair to CDAQ Shareholders from a financial point of view. The CDAQ Board, in evaluating the Business Combination, consulted with CDAQ management and its financial, legal and other advisors and considered a number of factors, uncertainty and risks, including, but not limited to, those discussed under "*The Business Combination Proposal — CDAQ Board's Reasons for the Approval of the Business Combination*," and concluded that the Business Combination was in the commercial interests of CDAQ and the CDAQ Shareholders. The CDAQ Board believes that because of the professional experience and background of its directors, it was qualified to conclude that the Business Combination was fair from a financial perspective to CDAQ Shareholders. Accordingly, investors will be relying solely on the judgment of the CDAQ Board in valuing Pubco and KMC, and the CDAQ Board may not have properly valued such businesses. As a result, the terms may not be fair from a financial point of view to CDAQ Shareholders. The lack of a fairness opinion (or any similar report or appraisal) may also lead to an increased number of CDAQ Public Shareholders to vote against the Business Combination or demand redemption of their CDAQ Public Shares, which could potentially impact CDAQ's ability to consummate the Business Combination. For information about the standards used by the CDAQ Board in evaluating the Business Combination, see the section of this proxy statement/prospectus entitled *"The Business Combination Proposal — Background of the Business Combination with KMC.*

***The Merger Agreement contains provisions that limit CDAQ from seeking an alternative business combination. If the Business Combination is not completed, those restrictions may make it harder for CDAQ to complete an alternate business combination before the Business Combination Deadline.***

While the Merger Agreement is in effect, CDAQ may not solicit, assist, initiate, facilitate the making, submission or announcement of, or intentionally encourage any alternative transaction or acquisition proposal, such as a merger, material sale of assets or equity interests or other business combination, with any third party, even though any such alternative transaction or acquisition proposal could be more favorable to CDAQ Shareholders than the Business Combination. Further, if CDAQ holds and concludes the Meeting but the approval of the CDAQ Shareholder Approval Matters is not obtained, either CDAQ or KMC may terminate the Merger Agreement. If the Merger Agreement is terminated and the CDAQ Board seeks another business combination, these provisions will make it more difficult for CDAQ to complete an alternative business combination by the Business Combination Deadline following the termination of the Merger Agreement due to the passage of time during which these provisions have remained in effect. There can be no assurance that CDAQ will be able to find another acquisition target that would consummate a business combination or that such other business combination will be completed prior to the Business Combination Deadline. For more information, see the section entitled "*The Business Combination — Termination and Effects of Termination*."

***Neither CDAQ nor the CDAQ Shareholders will have the protection of any indemnification, escrow, price adjustment or other provisions that allow for a post-closing adjustment to be made to the total Merger Consideration in the event that any of the representations and warranties in the Merger Agreement made by Pubco or KMC or any other party thereto ultimately proves to be inaccurate or incorrect.***

The representations and warranties made by Pubco, CDAQ and KMC to each other in the Merger Agreement will not survive the Closing. As a result, CDAQ and the CDAQ Shareholders will not have the protection of any indemnification, escrow, price adjustment or other provisions that allow for a post-closing adjustment to be made to the total Merger Consideration if any representation or warranty in the Merger Agreement made by Pubco and KMC proves to be inaccurate or incorrect. Accordingly, to the extent such representations or warranties are incorrect, CDAQ and the CDAQ Shareholders would have no indemnification claim with respect thereto and its financial condition or results of operations could be adversely affected.

***The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders.***

CDAQ's Initial Shareholders have invested in us an aggregate of $7,273,098, comprised of the $25,000 purchase price for the Founder Shares and the $7,248,098 purchase price for the Private Warrants. Assuming a trading price of $10.00 per share upon consummation of CDAQ's initial business combination, the 5,310,122 Founder Shares would have an aggregate implied value of $53,101,220, despite having been originally purchased for an aggregate of $25,000 or approximately $0.005 per share. Even if the trading price of CDAQ Ordinary Shares was as low as $1.37 per share, and the Private Warrants were worthless, the value of the Founder Shares would be equal to the Initial Shareholders' initial investment in us. As a result, CDAQ's Initial Shareholders and the Sponsor are likely to be able to recoup their investment in CDAQ and make a substantial profit on that investment, even if the CDAQ Public Shares lose significant value. Accordingly, the Sponsor, and CDAQ's directors and officers who have an economic interest in the Sponsor, may have an economic incentive that differs from that of the CDAQ Public Shareholders to pursue and consummate an initial business combination, including the Business Combination, rather than to liquidate and to return all of the cash in the Trust Account to the CDAQ Public Shareholders, even if that business combination were with a riskier or less-established target business. This may have influenced the CDAQ management team's motivation in identifying and selecting KMC as CDAQ's acquisition target and seeking to consummate the Business Combination. For the foregoing reasons, CDAQ Public Shareholders should consider the CDAQ management team's financial incentive to complete the Business Combination when evaluating whether to redeem their CDAQ Public Shares in connection with the consummation of the Business Combination. See also "*Risk Factors — Risks Related to the Business Combination — Since the Sponsor and CDAQ's directors and officers have interests that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders, a conflict of interest may have existed in determining whether the Business Combination with Pubco and KMC is appropriate as CDAQ's initial business combination. Such interests include that the Sponsor will lose its entire investment in CDAQ if the Business Combination is not completed or any other business combination is not completed.*"

***CDAQ Public Shareholders who do not redeem their CDAQ Public Shares will experience immediate dilution upon Closing of the Business Combination as a result of the Founder Shares held by the Sponsor, since the value of the CDAQ Class B Ordinary Shares is likely to be substantially higher than the nominal price paid for them, as well as a result of the issuance of the shares of Pubco Common Stock in the Business Combination and the Transaction Financings.***

The issuance of a significant number of shares of Pubco Common Stock in the Business Combination and in connection with the Transaction Financings will dilute the equity interests of CDAQ Public Shareholders in Pubco following the Business Combination and may adversely affect prevailing market prices for shares of Pubco Common Stock.

In addition, the Sponsor acquired the Founder Shares at a nominal price, also significantly contributing to this dilution. "*— Risks Related to the Business Combination — The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders*."

It is anticipated that, upon the completion of the Business Combination and the consummation of the Transaction Financings, and assuming, among other things, that no CDAQ Public Shareholders exercise redemption rights with respect to their CDAQ Public Shares upon completion of the Business Combination, that 1,000,000 shares of Pubco Common Stock are to be issued to the PIPE Investors in connection with the Transaction Financing, that there are no pre-Closing transfers, distributions or forfeitures of securities held by the Sponsor, and that no shares of Pubco Common Stock are issued pursuant to the Incentive Plan, (i) the CDAQ Public Shareholders, (ii) the Sponsors (including shares to be transferred to the Non-Redemption Investors), (iii) Polar, (iv) KMC Sellers, and (v) PIPE Investors, in each case, will own approximately 0.4%, 20.6%, 5.1%, 70.1% and 3.8% of the issued and outstanding shares of Pubco Common Stock, respectively, without any conversion or exercise of notes, options or warrants.

These ownership percentage assume a $10.00 share price and other assumptions set forth in the section entitled "*Summary of the Proxy Statement/Prospectus — Ownership of Pubco After the Business Combination*," "*Questions and Answers About the Proposals — What equity stake will current CDAQ Public Shareholders, the Sponsor, and their affiliates and KMC Sellers hold in Pubco immediately after the completion of the Business Combination and the Transaction Financings?*" in this proxy statement/prospectus. As such, CDAQ Public Shareholders who do not redeem their CDAQ Public Shares will experience immediate dilution upon Closing. For more information, see the section entitled "*Summary of the Proxy Statement/Prospectus — Dilution*."

Additionally, future issuances of Pubco Common Stock, including pursuant to the Incentive Plan, may significantly dilute the equity interests of CDAQ Public Shareholders who do not redeem their CDAQ Public Shares and may adversely affect prevailing market prices for Pubco Common Stock.

Further, Pubco may also, from time to time in the future, issue additional shares of Pubco Common Stock or securities convertible into Pubco Common Stock pursuant to a variety of transactions, including acquisitions or other capital markets transactions. Issuing additional shares of its capital stock, other equity securities, or securities convertible into equity may dilute the economic and voting rights of Pubco's public stockholders, reduce the market price of Pubco Common Stock, or both. If Pubco issues preferred stock, holders of such Pubco preferred stock could have a preference with respect to liquidating distributions or a preference with respect to dividend payments that could limit Pubco's ability to pay dividends to the holders of Pubco Common Stock. Pubco's decision to issue securities in any future offering will depend on market conditions and other factors beyond its control, which may adversely affect the amount, timing or nature of its future offerings. As a result, holders of Pubco Common Stock upon the Closing, including CDAQ Public Shareholders who do not redeem their CDAQ Public Shares, will bear the risk that future offerings may reduce the market price of Pubco Common Stock and dilute their percentage ownership further.

***If CDAQ Public Shareholders who wish to exercise their redemption rights in connection with the Business Combination fail to properly demand such redemption rights, they will not be entitled to convert their CDAQ Public Shares into a pro rata portion of the Trust Account and will instead become shareholders of Pubco.***

In connection with the Business Combination, CDAQ Public Shareholders may demand that CDAQ redeem their CDAQ Public Shares at the Closing in return for a pro rata portion of the funds available in the Trust Account, calculated as of two business days prior to the Closing Date. CDAQ Public Shareholders who seek to exercise this redemption right must deliver their CDAQ Public Shares (either physically or electronically) to CST prior to the vote at the Meeting. Any CDAQ Public Shareholder who fails to properly demand redemption rights will not be entitled to redeem their CDAQ Public Shares and receive a pro rata portion of the funds available in the Trust Account and will instead exchange their CDAQ Public Shares for shares of Pubco Common Stock and become shareholders of Pubco. See the section of this proxy statement/prospectus entitled "*Extraordinary General Meeting of CDAQ Shareholders — Redemption Rights*" for the procedures to be followed.

***CDAQ Public Shareholders will not have any rights or interests in funds from the Trust Account except under certain limited circumstances as provided for in the CDAQ Memorandum and Articles, which includes in connection with the consummation of the Business Combination. Therefore, for a CDAQ Public Shareholder to liquidate their investment in CDAQ prior to such times, a CDAQ Public Shareholder may be forced to sell their CDAQ Public Shares in the open market, potentially at a loss.***

CDAQ Public Shareholders will be entitled to receive funds from the Trust Account in accordance with the provisions of the CDAQ Memorandum and Articles and only upon the earlier to occur of: (i) CDAQ's completion of the Business Combination or another business combination if the Business Combination is not consummated, and then only in connection with those CDAQ Public Shares that CDAQ Public Shareholders have properly elected to redeem, subject to the limitations described herein and as provided for in the CDAQ Memorandum and Articles, (ii) the redemption of CDAQ Public Shares if CDAQ is unable to complete a business combination by the Business Combination Deadline, subject to applicable law and as further described herein and as provided for in the CDAQ Memorandum and Articles, or (iii) in connection with an amendment to the CDAQ Memorandum and Articles prior to the consummation of the Business Combination or another business combination (a) to allow for an extension of the Business Combination Deadline or (b) with respect to other material provisions relating to (i) the holders of CDAQ Class A Ordinary Shares or (ii) pre-initial business combination activity. In no other circumstances will a CDAQ Public Shareholder have any right or interest of any kind in the Trust Account. Accordingly, for a CDAQ Public Shareholder to liquidate their investment in CDAQ prior to such times, a CDAQ Public Shareholder may be forced to sell their CDAQ Public Shares in the open market, potentially at a loss.

***The ability of CDAQ Public Shareholders to exercise redemption rights with respect to a large number of CDAQ Class A Ordinary Shares may reduce proceeds available to Pubco after Closing, reduce the public "float" of shares of Pubco Common Stock after Closing, reduce the liquidity of the trading market for the shares of Pubco Common Stock after Closing, or make it difficult to obtain or maintain the quotation, listing or trading shares of Pubco Common Stock on Nasdaq or another national securities exchange, and consequently may not allow the parties to complete the Business Combination, or optimize Pubco's capital structure following the Business Combination.***

CDAQ Public Shareholders may vote in favor of the Business Combination and still elect to redeem their shares. We do not know how many CDAQ Public Shareholders may exercise their redemption rights in connection with the Business Combination. If a larger number of CDAQ Public Shares are submitted for redemption than we initially expected, we may need to arrange for additional debt or equity financing to provide working capital to Pubco following the Closing. There can be no assurance that such debt or equity financing will be available to us if we need it or, if available, the terms will be satisfactory to us. Raising additional third-party financing may involve dilutive equity issuances or the incurrence of indebtedness at higher than desirable levels and may increase the probability that the Business Combination will be unsuccessful.

In such event, if adequate third-party financing is unavailable or only available on unreasonable terms, Pubco may not be able to obtain or maintain the listing of its securities on Nasdaq, New York Stock Exchange or another national securities exchange for lack of liquidity and may not have sufficient cash and liquidity to finance its operations as currently contemplated following the Business Combination.

***Recently, there has been a precipitous drop in the market values of companies formed through mergers involving special purpose acquisition companies. Securities of companies such as Pubco that formed through business combinations with special purpose acquisition companies such as CDAQ may experience a material decline in price relative to the share price of the special purpose acquisition companies prior to such business combinations. As a result, securities of companies such as Pubco may be more volatile than other securities and may involve special risks.***

Recently, companies that have gone public through mergers with special purpose acquisition companies have experienced significant declines in their market values, often trading below the price of the SPAC's shares prior to the business combination. These declines have been attributed to a number of factors, including include inflationary pressures, increases in interest rates and other adverse economic and market forces, challenges in meeting financial projections, limited operating histories as public companies, difficulties establishing or scaling business operations, increased redemption levels at the time of the business combination, limited liquidity and reduced analyst coverage compared to traditional IPO companies, and heightened scrutiny by regulators and investors of SPAC transactions and post-business combination companies. If there are substantial redemptions by CDAQ Public Shareholders in connection with the Business Combination, there will be a lower public float of Pubco Common Stock following the Closing, which may cause volatility in the price of Pubco securities and adversely impact Pubco's ability to secure financing following the Closing.

Therefore, investors in Pubco may experience a material decline in the value of their investment following the Business Combination. The securities of companies formed through SPAC mergers may also be subject to greater volatility and unique risks compared to other public companies, including increased scrutiny from regulators and investors. There can be no assurance that Pubco will be able to avoid similar outcomes. Investors in Pubco may therefore experience a material decline in the value of their investment following the Business Combination, and the trading price of Pubco's securities could be subject to significant fluctuations and downward pressure.

***Litigation relating to the Business Combination could result in an injunction preventing completion of the Business Combination, substantial costs to KMC, Pubco and CDAQ, and/or may adversely affect Pubco's business, financial condition or results of operations following the Business Combination.***

Legal proceedings may be initiated in connection with the Business Combination, including claims challenging the transaction or seeking to enjoin its completion. Any such litigation could result in substantial costs, divert management's attention and resources, and, if successful, could prevent or delay the completion of the Business Combination. Even if the Business Combination is completed, litigation could adversely affect Pubco's business, financial condition, or results of operations.

***Since the Sponsor and CDAQ's directors and officers have interests that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders, a conflict of interest may have existed in determining whether the Business Combination with Pubco and KMC is appropriate as CDAQ's initial business combination. Such interests include that the Sponsor will lose its entire investment in CDAQ if the Business Combination is not completed or any other business combination is not completed.***

When CDAQ Public Shareholders consider the recommendation of the CDAQ Board to vote in favor of each of the Proposals, including the Business Combination Proposal, they should consider that the Sponsor and CDAQ's directors and officers have interests in the Proposals that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders. The CDAQ Board was aware of and considered these interests, among other matters, in evaluating and negotiating the Business Combination and transaction agreements and in recommending to CDAQ Shareholders that they vote in favor of the Proposals presented at the Meeting, including the Business Combination Proposal. CDAQ Shareholders should take these interests into account in deciding whether to approve the Proposals. These interests include, among other things, the following.

● As of the date hereof, the Sponsor is the record holder of 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants, each whole warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share at a purchase price of $11.50 per share. As of the date hereof, the aggregate value of such securities is estimated to be approximately $______ million, assuming (i) the per share value of the 3,093,036 CDAQ Class B Ordinary Shares is the same as the $______ closing price of the CDAQ Class A Ordinary Shares on ______, 2026 and (ii) the per warrant value of the 4,645,398 CDAQ Private Warrants is the same as the $______ closing price of the CDAQ Public Warrant on ______, 2026. Pursuant to various non-redemption agreements, the Sponsor has agreed to transfer to the Non-Redemption Investors an aggregate of 1,492,300 Founder Shares promptly at or following the closing of an initial business combination (but no later than two (2) business days after the satisfaction of the requisite conditions to such transfer);

● If CDAQ does not consummate a business combination by the Business Combination Deadline, CDAQ will cease all operations except for the purpose of winding up, redeeming 100% of the issued and outstanding CDAQ Public Shares for cash and, subject to the approval of its remaining shareholders and its board of directors, dissolving and liquidating. In such event, the 5,310,122 Founder Shares held by the Legacy Sponsor and the Sponsor would be worthless because holders of Founder Shares are not entitled to participate in any redemption or distribution with respect to such shares. The aggregate value of the Founder Shares, assuming a per share value equal to the $______ closing price of the CDAQ Public Shares on ______, 2026, is estimated to be approximately $______ million. The Founder Shares were initially issued for an aggregate price of only $25,000. This means that if the Business Combination is consummated, the Sponsors would likely recoup their initial investment in CDAQ and make a substantial profit on that investment, even if the shares of Pubco Common Stock trade at a significant discount to the current price of the CDAQ Class A Ordinary Shares causing the CDAQ Public Shareholders to experience a negative rate of return in the Pubco;

● In order to finance transaction costs in connection with an initial business combination, the Initial Shareholders, the Sponsor or an affiliate of the Initial Shareholders or the Sponsor, or certain of the prior directors and officers or current directors and officers may, but are not obligated to, provide the Working Capital Loans to CDAQ. Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of an initial business combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of an initial business combination into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ Private Warrants. In the event that an initial business combination does not close, CDAQ may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans. CDAQ has issued two unsecured promissory notes, one of which is the Sponsor Loan Note issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000, as further described under the heading "*Information About CDAQ*," for CDAQ's working capital (including potential extension funding) needs. As of ______, 2026, $1,741,500 was outstanding under the Sponsor Note. Pursuant to the Sponsor Letter Agreement, all amounts outstanding as of the Closing under the Sponsor Loan Note shall be automatically converted, immediately prior to the Purchaser Merger, into CDAQ Class A Ordinary Shares at $10.00 per share. If the Business Combination is not consummated by the Business Combination Deadline, the Sponsor, its officers and their affiliates may not receive any payment in respect of the promissory notes, in whole or in part;

● Polar has agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones pursuant to the Polar Subscription Agreement, in order to meet the Sponsor's commitment to CDAQ under a drawdown request. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10) dollars of the Polar Capital Investment. In addition, pursuant to the Merger Agreement, immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary Shares pursuant to the Polar Subscription Agreement. As of ______, 2026, $1,500,000 was drawn down, which is unlikely to be repaid if the Business Combination is not consummated by the Business Combination Deadline;

● If CDAQ is unable to complete a business combination by the Business Combination Deadline, the Sponsor has agreed to indemnify CDAQ in the event that claims for services rendered or products sold to CDAQ or by a prospective target business reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per CDAQ Public Share and (ii) the actual amount per CDAQ Public Share held in the Trust Account as of the date of the liquidation of the Trust Account. This indemnity does not apply to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account or to any claims under CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including liabilities under the Securities Act;

● CDAQ's Sponsor, its officers and directors, and their affiliates are entitled to reimbursement for any out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's behalf, such as identifying, investigating, negotiating and completing an initial business combination. If CDAQ does not complete a business combination by the Business Combination Deadline, CDAQ may not have the cash necessary to reimburse these expenses. As of the date of this proxy statement/prospectus, none of CDAQ's Sponsor, officers and directors, or their affiliates had incurred any expenses which would be reimbursed at the Closing;

● The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor. Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor;

● The anticipated election of ______ as a director of Pubco in connection with the consummation of the Business Combination. As such, in the future, ______ will receive any cash or equity compensation that the Pubco Board determines to pay ______. For more information on Pubco director compensation, see "*Management of Pubco Following the Business Combination*;"

● CDAQ's officers and directors have not been required to, and have not, committed their full time to CDAQ's affairs, which may have resulted in a conflict of interest in allocating their time between CDAQ's operations and its business combination and their other businesses; and

● HCG MM is the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Both individuals disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

The foregoing interests present a risk that the Sponsor and CDAQ's officers and directors may be incentivized to complete a business combination with a less favorable target company or on terms less favorable to the CDAQ Public Shareholders rather than to liquidate, in which case the Sponsor would lose its entire investment. As a result, the Sponsor and CDAQ's officers and directors may have a conflict of interest in determining whether Pubco is an appropriate business with which to effectuate a business combination and/or in evaluating the terms of the Business Combination.

For additional information, see the section of this proxy statement/prospectus entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQs Directors and Executive Officers in the Business Combination*."

The Sponsor may, on or before the Closing of the Business Combination, distribute to its members some or all of the Founder Shares and Private Warrants held by it, but such distributed CDAQ securities shall remain subject to the contractual lock-up restrictions imposed by the Letter Agreement, as applicable.

The existence of personal and financial interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what he, she or they may believe is in the best interests of CDAQ and what he or she may believe is best for himself, herself or themselves in determining to recommend that CDAQ Public Shareholders vote for the Proposals. The personal and financial interests of the Sponsor and CDAQ's directors and officers may have influenced their motivation in identifying and selecting KMC as an acquisition target and completing the Business Combination.

In considering the recommendations of the CDAQ Board to vote for each of the Proposals, CDAQ Public Shareholders should consider these interests. For additional information on the interests and relationships of the Sponsor and CDAQ's directors and officers in the Business Combination, see "*Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination.*" See also "*— The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders*."

***The parties to the Merger Agreement may waive one or more of the conditions to the Business Combination or certain of the other transactions contemplated by the Merger Agreement.***

The parties to the Merger Agreement may agree to waive, in whole or in part, some of the conditions to the obligations to consummate the Business Combination or certain of the other transactions contemplated by the Merger Agreement, to the extent permitted by the CDAQ Memorandum and Articles, and applicable laws. For example, it is a condition to CDAQ's obligations to consummate the Business Combination that certain of KMC's representations and warranties are true and correct in all respects as of the Closing, subject to the materiality exceptions set forth in the Merger Agreement. However, if the CDAQ Board determines that it is in the best interest of CDAQ to waive any such breach, then the CDAQ Board may elect to waive that condition and consummate the Business Combination; provided that no party is able to waive the condition that CDAQ Shareholders approve the Business Combination Proposal.

***CDAQ's directors and officers will have discretion on whether to agree to changes or waivers in the terms of the Merger Agreement, and their interests in exercising that discretion may conflict with those of the CDAQ Shareholders.***

In the period leading up to the Closing, events may occur that, pursuant to the Merger Agreement, would require CDAQ to agree to amend the Merger Agreement, to consent to certain actions taken by Pubco or KMC or to waive or exercise rights that CDAQ is entitled to under the Merger Agreement. Such events could arise because of a request by Pubco or KMC to undertake actions that would otherwise be prohibited by the terms of the Merger Agreement or the occurrence of other events that would have a material adverse effect on Pubco's expected business strategy and would entitle CDAQ to terminate the Merger Agreement. In any of such circumstances, it would be at CDAQ's discretion, acting through the CDAQ Board, to grant its consent or waive those rights.

The existence of the financial and personal interests of one or more of the directors of CDAQ described in the preceding risk factors (and as described elsewhere in this proxy statement/prospectus) may result in a conflict of interest on the part of one or more of the directors between such director's potential beliefs in what is best for CDAQ and such director's potential beliefs in what is best for himself or herself in determining whether or not to take the requested action.

In the event that CDAQ, Pubco, KMC and the other parties to the Merger Agreement authorize an amendment to the Merger Agreement that does not require further approval by CDAQ Shareholders, CDAQ will inform CDAQ Shareholders of such amendment by press release or other public communication. In the event that CDAQ, Pubco, KMC and the other parties to the Merger Agreement authorize an amendment to the Merger Agreement that requires further approval by CDAQ Shareholders, to the extent this proxy statement/prospectus has been mailed to CDAQ Shareholders, a proxy supplement or an amended proxy statement/prospectus would be delivered to CDAQ Shareholders, and proxies would be re-solicited for approval of such amendment.

***CDAQ Shareholders who are not affiliated with the Sponsor may be exposed to greater risk as a result of becoming shareholders of Pubco through the Business Combination rather than acquiring shares of Pubco Common Stock directly in an underwritten public offering as a result of the differences between the two transaction structures, including that the Business Combination did not involve an independent due diligence review by an underwriter and that the Sponsor has conflicts of interest in connection with the Business Combination.***

Because there is no independent third-party underwriter involved in the Business Combination or the issuance of Pubco Common Stock in connection therewith, investors will not receive the benefit of any outside independent review of the respective finances and operations of CDAQ and Pubco. Underwritten public offerings of securities conducted by a licensed broker-dealer are subjected to a due diligence review by the underwriter or dealer manager to satisfy statutory duties under the Securities Act, the rules of Financial Industry Regulatory Authority, Inc. and the national securities exchange where such securities are listed. Additionally, underwriters or dealer-managers conducting such public offerings are subject to liability for any material misstatements or omissions in a registration statement filed in connection with the public offering. As no such review will be conducted in connection with the Business Combination, CDAQ Shareholders must rely on the information in this proxy statement/prospectus and will not have the benefit of an independent review and investigation of the type normally performed by an independent underwriter in a public security offering.

If Pubco became a public company through an underwritten public offering, the underwriters would be subject to liability under Section 11 of the Securities Act for material misstatements and omissions in the initial public offering registration statement. In general, an underwriter is able to avoid liability under Section 11 if it can prove that, it "had, after reasonable investigation, reasonable ground to believe and did believe, at the time the registration statement became effective, that the statements therein (other than the audited financial statements) were true and that there was no omission to state a material fact required to be stated therein or necessary to make the statements therein not misleading." In order to fulfill its duty to conduct a "reasonable investigation," an underwriter will, in addition to conducting a significant amount of due diligence on its own, usually require that an issuer's independent registered public accounting firm provide a comfort letter with respect to certain numbers included in the registration statement and will require the law firm for the issuer to include in its legal opinion to the underwriters a statement that such counsel is not aware of any material misstatements or omissions in the initial public offering registration statement ("<u>Counsel Negative Assurance Statements</u>"). Auditor comfort letters and Counsel Negative Assurance Statements are generally not required in connection with private companies going public through a merger with a SPAC, such as CDAQ, and no auditor comfort letters or Counsel Negative Assurance Statements have been requested or obtained in connection with the Business Combination or the preparation of this proxy statement/prospectus.

In addition, the amount of due diligence conducted by CDAQ and its advisors in connection with the Business Combination may not be as great as would have been undertaken by an underwriter in connection with an initial public offering of Pubco. Accordingly, it is possible that defects in KMC's business or problems with KMC management that would have been discovered if Pubco conducted an underwritten public offering will not be discovered in connection with the Business Combination, which could adversely affect the market price of Pubco Common Stock.

Unlike an underwritten initial public offering, the initial trading of Pubco Common Stock will not benefit from the book-building process undertaken by underwriters that helps to inform efficient price discovery with respect to opening trades of newly listed shares and underwriter support to help stabilize, maintain or affect the public price of the new issue immediately after listing. The lack of such a process in connection with the listing of Pubco Common Stock on applicable national securities exchange could result in diminished investor demand, inefficiencies in pricing and a more volatile public price for Pubco Common Stock during the period immediately following the listing.

Furthermore, the Sponsor and CDAQ's directors and officers have interests in the Business Combination that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders. Such interests may have influenced the CDAQ Board in making their recommendation that CDAQ Shareholders vote in favor of the Business Combination Proposal and the other Proposals. In addition, in the event the Business Combination is completed, the value of the Founder Shares will be significantly greater than the amount the Sponsor paid to purchase such shares, even if after consummation of the Business Combination the trading price of Pubco Common Stock materially declines. See "*— Since the Sponsor and* CDAQ*'s directors and officers have interests that are different from, or in addition to (and which may conflict with), the interests of CDAQ Public Shareholders, a conflict of interest may have existed in determining whether the Business Combination with Pubco and KMC is appropriate as CDAQ's initial business combination. Such interests include that the Sponsor will lose its entire investment in CDAQ if the Business Combination is not completed or any other business combination is not completed*" and the section of this proxy statement/prospectus entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination*." See also "*The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders.*"

***CDAQ did not consummate its initial business combination within 36 months of the effectiveness of the CDAQ IPO registration statement, and as such, Nasdaq delisted CDAQ's securities from Nasdaq, which could have a material adverse effect on the trading of CDAQ's securities and its ability to consummate an initial business combination.***

Nasdaq's rules and guidance currently provide that a SPAC (such as CDAQ) must satisfy certain listing conditions, including that it must complete one or more business combinations meeting certain conditions within 36 months of the effectiveness of its initial public offering registration statement (the "<u>36-Month Requirement</u>"). If a SPAC does not meet the 36-Month Requirement, it will receive a Staff Delisting Determination from Nasdaq, which, among other things, informs the SPAC that (i) its securities will be suspended as of a date certain; (ii) it has a right to request review of the Staff Delisting Determination by a Hearings Panel; and (iii) a timely request for such review will stay the suspension and delisting action pending the issuance of a written decision of the Hearings Panel. CDAQ's registration statement in connection with the CDAQ IPO was declared effective by the SEC on October 14, 2021, meaning that its deadline to complete a business combination to comply with the 36-Month Requirement was October 14, 2024.

On October 15, 2024, CDAQ received a letter from the Listing Qualifications Department of Nasdaq stating that the staff of Nasdaq ("<u>Staff</u>") has determined that its securities would be delisted from Nasdaq, the trading of the CDAQ Class A Ordinary Shares, Warrants, and Units would be suspended at the opening of business on October 22, 2024, and a Form 25-NSE will be filed with the SEC, which will remove CDAQ's securities from listing and registration on Nasdaq pursuant to the 36-Month Requirement. Since CDAQ failed to complete a Business Combination by October 14, 2024, the Nasdaq Staff concluded that CDAQ did not comply with the Nasdaq 36 Month Requirement and CDAQ's securities were subject to delisting. On October 22, 2024, the listing of CDAQ's securities on Nasdaq was suspended and on March 5, 2025, Nasdaq filed the Form 25-NSE to delist CDAQ's securities from Nasdaq. CDAQ's securities are currently quoted on an over-the-counter market and it may face significant material adverse consequences, including:

● a diminished ability to complete an initial business combination;

● a limited availability of market quotations for its securities;

● reduced liquidity for its securities;

● a determination that the CDAQ Class A Ordinary Shares is a "penny stock," which will require brokers trading in the CDAQ Class A Ordinary Shares to adhere to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for its securities;

● a limited amount of news and analyst coverage; and

● a decreased ability to issue additional securities or obtain additional financing in the future.

***If CDAQ is deemed to be an investment company under the Investment Company Act, CDAQ may be required to institute burdensome compliance requirements and its activities may be restricted, which may make it difficult for CDAQ to complete the Business Combination.***

The SEC's adopting release with respect to the 2024 SPAC Rules provided guidance relating to the potential status of SPACs as investment companies subject to regulation under the Investment Company Act and the regulations thereunder. Whether a SPAC is an investment company is dependent on specific facts and circumstances, and CDAQ can give no assurance that a claim will not be made that CDAQ has been operating as an unregistered investment company.

If CDAQ is deemed to be an investment company under the Investment Company Act, CDAQ's activities may be restricted, including (i) restrictions on the nature of its investments; and (ii) restrictions on the issuance of securities, each of which may make it difficult for CDAQ to complete the Business Combination. In addition, CDAQ may have to impose burdensome requirements, including: (i) registration as an investment company; (ii) adoption of a specific form of corporate structure; and (iii) reporting, record keeping, voting, proxy and disclosure requirements and other rules and regulations.

In order not to be regulated as an investment company under the Investment Company Act, unless CDAQ can qualify for an exclusion, CDAQ must ensure that it is engaged primarily in a business other than investing, reinvesting or trading in securities and that its activities do not include investing, reinvesting, owning, holding or trading "investment securities" constituting more than 40% of its total assets (exclusive of U.S. government securities and cash items) on an unconsolidated basis. CDAQ is mindful of the SEC's investment company definition and guidance and does not intend to complete an initial business combination with an investment company, or to acquire minority interests in other businesses or "investment securities" exceeding the permitted threshold.

To mitigate the risk that its business activities will subject CDAQ to the Investment Company Act, CDAQ's proceeds held in the Trust Account have only been invested in U.S. government treasury obligations with a maturity of 185 days or less or in any open-ended investment company that holds itself out as a money market fund selected by CDAQ meeting certain conditions of paragraphs (d)(2), (d)(3) and (d)(4) of Rule 2a-7 under the Investment Company Act which invest only in direct U.S. government treasury obligations. The holding of the assets in the Trust Account in this form is intended to be temporary and for the sole purpose of facilitating the Business Combination or another business combination. To mitigate the risk that CDAQ might be deemed to be an investment company for purposes of the Investment Company Act, which risk increases the longer that CDAQ holds investments in the Trust Account, CDAQ may, at any time, instruct CST, as trustee of the Trust Account, to liquidate the investments held in the Trust Account and instead to hold the funds in the Trust Account in cash or in an interest bearing demand deposit account at a bank. CDAQ's cash if held in these accounts may exceed any applicable FDIC insurance limits. Should events, including limited liquidity, defaults, non-performance or other adverse developments occur with respect to the banks or other financial institutions that hold CDAQ's funds, or that affect financial institutions or the financial services industry generally, or concerns or rumors about any events of these kinds or other similar risks, the value of the assets in the Trust Account could be impaired, which could have a material impact on CDAQ's operating results, liquidity, financial condition and prospects. For example, on March 10, 2023, the FDIC announced that Silicon Valley Bank had been closed by the California Department of Financial Protection and Innovation. CDAQ cannot guarantee that the banks or other financial institutions that will hold CDAQ's funds will not experience similar issues in the future.

Pursuant to the investment management trust agreement between CDAQ and CST, CST is not permitted to invest in securities or assets other than as described above. By restricting the investment of the proceeds to these instruments, and by having a business plan targeted at acquiring and growing businesses for the long term (rather than on buying and selling businesses in the manner of a merchant bank or private equity fund), CDAQ intends to avoid being deemed an "investment company" within the meaning of the Investment Company Act. The CDAQ IPO was not intended for persons who were seeking a return on investments in government securities or investment securities. The Trust Account is intended solely as a temporary depository for funds pending the earliest to occur of: (i) the completion of the Business Combination or another business combination; (ii) the redemption of any CDAQ Public Shares properly submitted in connection with a shareholder vote to amend the CDAQ Memorandum and Articles (x) in a manner that would affect the substance or timing of its obligation to redeem 100% of the CDAQ Public Shares if CDAQ does not complete the Business Combination or another business combination by the Business Combination Deadline; or (y) with respect to any other provision relating to the rights of CDAQ Public Shareholders or pre-business combination activity; or (iii) absent the consummation of a business combination by the Business Combination Deadline, return of the funds held in the Trust Account to CDAQ Public Shareholders as part of CDAQ's redemption of the CDAQ Public Shares.

CDAQ is aware of litigation claiming that certain SPACs should be considered to be investment companies. Although CDAQ believes that these claims are without merit, CDAQ cannot guarantee that it will not be deemed to be an investment company and thus subject to the Investment Company Act. Notwithstanding CDAQ's investment activities or the mitigation measures included herein, CDAQ could still be deemed to be or have been an investment company at any time since the CDAQ IPO.

If CDAQ were deemed to be subject to the Investment Company Act, compliance with these additional regulatory burdens would require additional expenses for which CDAQ has not allotted funds and may hinder its ability to complete the Business Combination or may result in its liquidation. If CDAQ is unable to complete the Business Combination or any other business combination, CDAQ Public Shareholders may only receive $______ per share on the liquidation of the Trust Account (which is the approximate amount per Public Share based on the Trust Account balance as of ______, 2026), and CDAQ Public Shareholders would also lose the possibility of an investment opportunity in Pubco or another potential business combination.

***Members of CDAQ's management team and the CDAQ Board have significant experience as founders, board members, officers, executives or employees of other companies. Certain of those persons, as well as CDAQ's affiliates, have been, may be, or may become, involved in litigation, investigations or other proceedings, including related to those companies or otherwise. The defense or prosecution of these matters could be time-consuming and could divert CDAQ management's attention, and may have an adverse effect on CDAQ, which may impede CDAQ's ability to consummate the Business Combination.***

During the course of their careers, members of CDAQ's management team and the CDAQ Board have had significant experience as founders, board members, officers, executives or employees of other companies. As a result of their involvement and positions in these companies, certain of those persons, as well as certain of CDAQ's affiliates, have been, may be or may in the future become involved in litigation, investigations or other proceedings, including relating to the business affairs of such companies, transactions entered into by such companies, or otherwise. Individual members of CDAQ's management team and the CDAQ Board also may become involved in litigation, investigations or other proceedings involving claims or allegations related to or as a result of their personal conduct, either in their capacity as a corporate officer or director or otherwise, and may be personally named in such actions and potentially subject to personal liability. Any liability from such proceedings may or may not be covered by insurance and/or indemnification, depending on the facts and circumstances. The defense or prosecution of these matters could be time-consuming. Any litigation, investigations or other proceedings and the potential outcomes of such actions may divert the attention and resources of CDAQ's management team and the CDAQ Board away from the Business Combination and may negatively affect CDAQ's reputation. CDAQ and KMC are not aware of any litigation, investigations or other proceedings that may have a material impact on the parties' ability to consummate the Business Combination.

***Changes in laws or regulations (including the adoption of policies by governing administrations), or a failure to comply with any laws and regulations, may adversely affect CDAQ's business, including CDAQ's ability to complete the Business Combination.***

CDAQ is subject to laws and regulations enacted by national, regional and local governments. These governing bodies may seek to change laws and regulations, as well as adopt new policies, including tariffs and other economic policies, that could negatively impact CDAQ or Pubco. CDAQ is also required to comply with certain SEC and other legal requirements and numerous complex tax laws. Compliance with, and monitoring of, applicable laws and regulations may be difficult, time-consuming and costly. Those laws and regulations and their interpretation and application may also change from time to time and those changes could have a material adverse effect on CDAQ's business, investments and results of operations. In addition, a failure to comply with applicable laws or regulations, as interpreted and applied, could have a material adverse effect on CDAQ's business.

On January 24, 2024, the SEC adopted the 2024 SPAC Rules which became effective on July 1, 2024, requiring, among other items, (i) additional disclosures relating to SPAC sponsors and related persons; (ii) additional disclosures relating to SPAC business combination transactions; (iii) additional disclosures relating to dilution and to conflicts of interest involving sponsors and their affiliates in both SPAC initial public offerings and business combination transactions; (iv) additional disclosures regarding projections included in SEC filings in connection with proposed business combination transactions; and (v) the requirement that both the SPAC and its acquisition target be co-registrants for business combination registration statements.

In addition, the SEC's adopting release provided the SPAC Guidance describing circumstances in which a SPAC could become subject to regulation under the Investment Company Act, including its duration, asset composition, business purpose and the activities of the SPAC and its management team in furtherance of such goals.

Compliance with the 2024 SPAC Rules and the SPAC Guidance may increase the costs of, and the time needed to complete, the Business Combination.

***If the Business Combination is not approved and CDAQ does not consummate another initial business combination by the Business Combination Deadline, then the Sponsor's CDAQ Ordinary Shares will become worthless and the expenses it has incurred will not be reimbursed. These interests may have influenced its decision to approve the Business Combination.***

The Sponsor beneficially owns 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants and the Sponsor has no redemption rights with respect to these CDAQ Ordinary Shares. If the Business Combination with Pubco or another business combination is not completed by the Business Combination Deadline, these securities will be worthless. Certain directors and executive officers of CDAQ have indirect economic interests in the Sponsor and accordingly, they may have an incentive to pursue and consummate an initial business combination, even if that business combination were with an acquisition target or on terms less favorable to CDAQ Public Shareholders than liquidation. See also "— *The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders.*"

In addition, CDAQ's officers and directors and their affiliates are entitled to reimbursement of out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's behalf, such as identifying and investigating possible acquisition targets and business combinations. These expenses will be repaid upon completion of the Business Combination with Pubco. However, if CDAQ fails to consummate the Business Combination or another initial business combination, they will not have any claim against the Trust Account for repayment or reimbursement. Accordingly, CDAQ may not be able to repay or reimburse these amounts if the Business Combination is not completed. As of September 30, 2025, no such amounts had been incurred by any of CDAQ's officers, directors or their affiliates.

For additional information, see the section of this proxy statement/prospectus entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination*."

These financial interests may have influenced the decision of CDAQ's directors to approve the Business Combination with Pubco and to continue to pursue such Business Combination. In considering the recommendations of the CDAQ Board to vote for each of the Proposals, CDAQ Shareholders should consider these interests.

***Shares of Pubco Common Stock may not meet the initial listing requirement of Nasdaq or another national securities exchange, which could limit investors' ability to make transactions in shares of Pubco Common Stock and subject Pubco to additional trading restrictions.***

In connection with the Business Combination, Pubco will be required to demonstrate its compliance with initial listing requirements of Nasdaq or another national securities exchange, which are more rigorous than the applicable continued listing requirements. Pubco will apply to have shares of Pubco Common Stock listed on Nasdaq or another national securities exchange upon consummation of the Business Combination, which listing is a condition to Closing pursuant to the Merger Agreement, unless waived by all of the parties thereto. CDAQ cannot assure CDAQ Public Shareholders that Pubco will be able to meet the initial listing requirements.

If Pubco fails to meet the initial listing requirements and Nasdaq or another national securities exchange does not list its shares of Pubco Common Stock on its exchange, none of the parties to the Merger Agreement would be required to consummate the Business Combination. In the event that all such parties elected to waive this condition, and the Business Combination were consummated without shares of Pubco Common Stock being listed on Nasdaq or on another national securities exchange, Pubco could face significant material adverse consequences, including:

● a limited availability of market quotations for shares of Pubco Common Stock;

● reduced liquidity for shares of Pubco Common Stock;

● a determination that shares of Pubco Common Stock are "penny stocks" which will require brokers trading in shares of Pubco Common Stock to adhere to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for shares of Pubco Common Stock;

● a limited amount of news and analyst coverage; and

● a decreased ability to issue additional securities or obtain additional financing in the future.

The National Securities Markets Improvement Act of 1996, which is a federal statute, prevents or preempts the states from regulating the sale of certain securities, which are referred to as "covered securities." If shares of Pubco Common Stock are not listed on Nasdaq or another national securities exchange, such shares would not qualify as covered securities and Pubco would be subject to regulation in each state in which Pubco offers its shares of Pubco Common Stock because states are not preempted from regulating the sale of securities that are not covered securities.

Even if shares of Pubco Common Stock are listed, Pubco may be unable to maintain the listing of its shares of Pubco Common Stock in the future. For more information, see "*Currently, there is no public market for the Pubco Common Stock. CDAQ Public Shareholders cannot be sure about whether the Pubco Common Stock will develop an active trading market, their market price or whether Pubco will successfully obtain authorization for listing on Nasdaq*."

***CDAQ's Sponsor is liable to ensure that proceeds of the Trust Account are not reduced by third-party claims in the event the Business Combination is not consummated. Such liability may have influenced its decision to approve the Business Combination with Pubco.***

If CDAQ does not consummate the Business Combination with Pubco or another business combination by the Business Combination Deadline, CDAQ's Sponsor will be liable to ensure that the claims of businesses, vendors or other parties to which CDAQ owes money and who did not sign a waiver forbidding claims against the Trust Account do not reduce the proceeds in the Trust Account below $10.00 per share (or any lesser amount resulting from reductions in the value of the trust assets), net of any interest withdrawn to pay taxes. If CDAQ consummates a Business Combination within the requisite time period, on the other hand, CDAQ will be liable for all these third-party claims. Neither CDAQ nor the Sponsor has any reason to believe that the Sponsor will not be able to fulfill its indemnity obligations to CDAQ. See the section of this proxy statement/prospectus entitled "*CDAQ Management's Discussion and Analysis of Financial Condition and Results of Operations*" for further information.

These personal obligations of the Sponsor may have influenced the CDAQ Board decision to approve the Business Combination with Pubco and to continue to pursue the Business Combination. In considering the recommendations of CDAQ's Board to vote for the Business Combination Proposal, and other proposals, CDAQ's shareholders should consider these interests.

***CDAQ Shareholders may be held liable for claims by third parties against CDAQ to the extent of distributions received by them.***

If CDAQ is unable to complete the Business Combination with KMC or another business combination by the end of the Business Combination Deadline, CDAQ will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible, but not more than ten (10) business days thereafter, redeem 100% of the issued and outstanding CDAQ Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account including interest earned on the funds held in the Trust Account and not previously released to CDAQ to pay its taxes, *divided by* the number of then issued and outstanding CDAQ Public Shares, which redemption will completely extinguish CDAQ Public Shareholders' rights as shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of CDAQ's remaining shareholders and the CDAQ Board, dissolve and liquidate, subject (in the case of clauses (ii) and (iii) above) to its obligations under Cayman Islands laws to provide for claims of creditors and the requirements of other applicable law. CDAQ cannot assure CDAQ Public Shareholders that it will properly assess all claims that may be potentially brought against CDAQ.

If CDAQ is forced to enter into an insolvent liquidation, any distributions received by CDAQ Shareholders could be viewed as an unlawful payment if it was proved that immediately following the date on which the distribution was made, CDAQ's liabilities exceeded its assets, or it was unable to pay its debts as they fall due in the ordinary course of business. As a result, a liquidator could seek to recover all amounts received by CDAQ Shareholders. Furthermore, CDAQ's directors may be viewed as having breached their fiduciary duties to CDAQ or CDAQ's creditors and/or may have acted in bad faith, thereby exposing themselves and CDAQ to claims, by paying CDAQ Public Shareholders from the Trust Account prior to addressing the claims of creditors. There is no assurance that claims will not be brought against CDAQ for these reasons. CDAQ and its directors and officers who knowingly and willfully authorized or permitted any distribution to be paid out of the Trust Account while CDAQ was unable to pay its debts as they fall due in the ordinary course of business would be guilty of an offense and may be liable to a fine of CI15,000 and to imprisonment for five years in the Cayman Islands.

***CDAQ's directors may decide not to enforce the indemnification obligations of the Sponsor, resulting in a reduction in the amount of funds in the Trust Account available for distribution to the CDAQ Public Shareholders.***

In the event that the proceeds in the Trust Account are reduced below the lesser of (i) $10.00 per share and (ii) the actual amount per share held in the Trust Account as of the date of the liquidation of the Trust Account if less than $10.00 per share due to reductions in the value of the assets in the Trust Account, in each case net of the interest which may be withdrawn to pay taxes, and the Sponsor asserts that it is unable to satisfy its obligations or that it has no indemnification obligations related to a particular claim, CDAQ's independent directors would determine whether to take legal action against the Sponsor to enforce its indemnification obligations.

While CDAQ currently expects that its independent directors would take legal action on CDAQ's behalf against the Sponsor to enforce its indemnification obligations to CDAQ, it is possible that CDAQ's independent directors in exercising their business judgment and subject to their fiduciary duties may choose not to do so in any particular instance if, for example, the cost of such legal action is deemed by the independent directors to be too high relative to the amount recoverable or if the independent directors determine that a favorable outcome is not likely. If CDAQ's independent directors choose not to enforce these indemnification obligations, the amount of funds in the Trust Account available for distribution to the CDAQ Public Shareholders may be reduced below $______ per share (which is the approximate amount per Public Share based on the Trust Account balance as of ______, 2026).

***CDAQ may not have sufficient funds to satisfy indemnification claims of its directors and executive officers.***

CDAQ has agreed to indemnify its officers and directors, subject to certain limitations, against all expenses, including legal fees, and against all judgments, fines and amounts paid in settlement and reasonably incurred in connection with legal, administrative or investigative proceedings. Such indemnity only applies if the person acted honestly and in good faith with a view to the best interests of the company and, in the case of criminal proceedings, the person had no reasonable cause to believe that their conduct was unlawful. Accordingly, any indemnification provided will be able to be satisfied by CDAQ only if (i) CDAQ has sufficient funds outside of its Trust Account or (ii) CDAQ consummates the Business Combination. CDAQ's obligation to indemnify its officers and directors may discourage CDAQ's shareholders from bringing a lawsuit against its officers or directors for breach of their fiduciary duty. These provisions also may have the effect of reducing the likelihood of derivative litigation against its officers and directors, even though such an action, if successful, might otherwise benefit CDAQ and its shareholders. Furthermore, a CDAQ shareholder's investment may be adversely affected to the extent CDAQ pays the costs of settlement and damage awards against its officers and directors pursuant to these indemnification provisions.

***CDAQ may not be able to complete an initial business combination with a U.S. target company should the transaction be subject to review by a U.S. government entity, such as the Committee on Foreign Investment in the United States (CFIUS), or ultimately prohibited.***

Although CDAQ is not aware of any material regulatory approvals or actions that are required for completion of the Business Combination, there can be no assurance that such additional approval or actions, if applicable, will be obtained within the required time period. This includes any potential review by a U.S. government entity, such as the Committee on Foreign Investment in the United States ("<u>CFIUS</u>") on account of certain foreign ownership restrictions on U.S. businesses.

The Sponsor currently owns 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants. HCG MM is the sole member of the Sponsor and has voting and investment discretion with respect to CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on CDAQ Board. Thomas D. Hennessy also serves as our Chief Executive Officer and Daniel J. Hennessy serves as our Chairman of the Board. Other members of the Sponsor include certain officers and directors of CDAQ, who are all U.S. citizens. The Sponsor is not controlled by any non-U.S. persons on a look-through basis. To the best of CDAQ's knowledge, the Sponsor does not have substantial ties or substantial interests with any non-U.S. persons.

CDAQ does not believe that either CDAQ or the Sponsor constitute a "foreign person" under CFIUS rules and regulations. However, if CFIUS considers us to be a "foreign person" under such rules and regulations and believes that the business of our business combination target, KMC may affect national security, we could be subject to such foreign ownership restrictions and/or CFIUS review. If the Business Combination with KMC falls within the scope of applicable foreign ownership restrictions, CDAQ may be unable to consummate the Business Combination. In addition, if the Business Combination falls within CFIUS's jurisdiction, CDAQ may be required to make a mandatory filing or determine to submit a voluntary notice to CFIUS, or to proceed with the Business Combination without notifying CFIUS and risk CFIUS intervention, before or after the Closing of the Business Combination.

Although CDAQ does not believe KMC is a U.S. business that may affect national security, CFIUS may take a different view and decide to block or delay the Business Combination, impose conditions to mitigate national security concerns with respect to the Business Combination, order us to divest all or a portion of a U.S. business of the combined company if we had proceeded without first obtaining CFIUS clearance, or impose penalties if CFIUS believes that the mandatory notification requirement applied. Additionally, the laws and regulations of other U.S. government entities may impose review or approval procedures on account of any foreign ownership by the Sponsor.

The foreign ownership limitations, and the potential impact of CFIUS, may prevent CDAQ from consummating the Business Combination with KMC. If CDAQ were to seek an initial business combination other than the Business Combination, the pool of potential targets with which it could complete an initial business combination may be limited as a result of any such regulatory restriction. Moreover, the process of any government review, whether by CFIUS or otherwise, could be lengthy. Because CDAQ has only a limited time to complete the Business Combination, our failure to obtain any required approvals by the Business Combination Deadline may require us to liquidate. If CDAQ liquidates, its CDAQ Public Shareholders may only receive $______ per share (based on the approximate amount in the Trust Account on ______, 2026), and its warrants will expire worthless. This will also cause you to lose any potential investment opportunity in KMC and the chance of realizing future gains on your investment through any price appreciation in the combined company.

***The Sponsors and CDAQ's directors and officers have entered into letter agreements with CDAQ, which requires them to vote in favor of the Business Combination, regardless of how the CDAQ Public Shareholders vote.***

The Sponsors and CDAQ's directors and officers have entered into letter agreements with CDAQ, including the Letter Agreement, pursuant to which, among other things, they have agreed to vote all of their CDAQ Ordinary Shares in favor of any proposed business combination, except that any CDAQ Public Shares that they may purchase in compliance with the requirements of Rule 14e-5 under the Exchange Act would not be voted in favor of approving the Business Combination. As of the date of this proxy statement/prospectus, the Sponsors own approximately 68.15% of the issued and outstanding CDAQ Ordinary Shares.

Each of the Business Combination Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, , the Incentive Plan Proposal and the Adjournment Proposal and the election of each director nominee pursuant to the Director Election Proposal is required to be approved by an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

The Merger Proposal is required to be approved by a special resolution of the holders of CDAQ Ordinary Shares, which requires the affirmative vote of holders of at least two-thirds of the issued and outstanding CDAQ Ordinary Shares as of the Record Date, being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

Approval of the Organizational Documents Proposals is being sought by way of an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. However, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board.

Assuming a quorum is established, a CDAQ Shareholder's failure to vote by proxy or to vote at the Meeting will have no effect on the Proposals. Abstentions and broker non-votes, while considered present for the purposes of establishing a quorum, are not treated as votes cast and will have no effect on any of the Proposals.

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

***Because CDAQ is seeking to obtain shareholder approval of the Business Combination, the Sponsor and CDAQ's directors and officers and their respective affiliates may elect to purchase CDAQ Public Shares from CDAQ Public Shareholders, subject to any limitations under Rule 14e-5 under the Exchange Act, which may influence the vote on the Business Combination and reduce the public "float" of CDAQ Class A Ordinary Shares.***

CDAQ is seeking to obtain shareholder approval of the Business Combination. Subject to compliance with applicable securities laws, including Rule 14e-5 under the Exchange Act, the Sponsor, CDAQ's directors and officers and their affiliates may purchase CDAQ Public Shares in privately negotiated transactions or in the open market prior to the record date of the Meeting, although they are under no obligation or duty to do so.

Any such purchases shall be effected at a price per share no higher than the amount per share a CDAQ Public Shareholder would receive if it elected to have its CDAQ Public Shares redeemed in connection with the Business Combination. However, they have no current commitments, plans or intentions to engage in such transactions and have not formulated any terms or conditions for any such transactions. None of the funds in the Trust Account will be used to purchase CDAQ Public Shares in such transactions. Such a purchase may include a contractual acknowledgment that such shareholder, although still the record holder of CDAQ Public Shares is no longer the beneficial owner thereof and therefore agrees not to exercise its redemption rights. In the event that the Sponsor, CDAQ's directors and officers or any of their affiliates purchase CDAQ Public Shares in privately negotiated transactions from CDAQ Public Shareholders who have already elected to exercise their redemption rights, such selling shareholders would be required to revoke their prior elections to redeem their CDAQ Public Shares. It is intended that, if Rule 10b-18 under the Exchange Act would apply to such purchases, then such purchases will comply with Rule 10b-18 under the Exchange Act, to the extent it applies, which provides a safe harbor for purchases made under certain conditions, including with respect to timing, pricing and volume of purchases. Any such purchases, together with the CDAQ Ordinary Shares currently owned by the Sponsor, could influence the vote on the Business Combination or otherwise result in the completion of the Business Combination that may not otherwise have been possible.

Additionally, at any time at or prior to the consummation of the Business Combination, subject to applicable securities laws (including with respect to material non-public information), the Sponsor, CDAQ's directors and officers and their affiliates may enter into transactions with investors and others to provide them with incentives to acquire CDAQ Public Shares or not to elect to have their CDAQ Public Shares redeemed. However, they have no current commitments, plans or intentions to engage in such transactions and have not formulated any terms or conditions for any such transactions. None of the funds in the Trust Account will be used to purchase CDAQ Public Shares in such transactions.

If such purchases are made, the public "float" of CDAQ Class A Ordinary Shares may be reduced and the number of beneficial holders of CDAQ Class A Ordinary Shares may be reduced, which may make it difficult to maintain or obtain the quotation, listing or trading of CDAQ Public Shares on Nasdaq or another securities exchange. Any such purchases will be reported pursuant to Section 13 and Section 16 of the Exchange Act to the extent such purchasers are subject to such reporting requirements.

Additionally, in the event the Sponsor, CDAQ's directors and officers or their affiliates were to purchase CDAQ Public Shares from CDAQ Public Shareholders, such purchases would be structured in compliance with the requirements of Rule 14e-5 under the Exchange Act to the extent such rule is applicable including, in pertinent part, through adherence to the following:

● CDAQ would disclose in this proxy statement/prospectus the possibility that the Sponsor, CDAQ's directors and officers or their affiliates may CDAQ Public Shares from CDAQ Public Shareholders outside the redemption process, along with the purpose of such purchases;

● if the Sponsor, CDAQ's directors and officers or their affiliates were to purchase CDAQ Public Shares from CDAQ Public Shareholders, they would do so at a price no higher than the price offered through the redemption process;

● CDAQ would include in this proxy statement/prospectus a representation that any of the CDAQ Public Shares purchased by the Sponsor, CDAQ's directors and officers or their affiliates would not be voted in favor of approving the Business Combination;

● the Sponsor, CDAQ's directors and officers or their affiliates would either not possess any redemption rights with respect to such CDAQ Public Shares or they would waive such rights; and

● CDAQ would disclose in a Form 8-K filed prior to the Extraordinary General Meeting, the following items, to the extent material:

● the amount of CDAQ Public Shares purchased outside of the redemption offer by the Sponsor, CDAQ's directors and officers or their affiliates, along with the average purchase price;

● the purpose of the purchases by the Sponsor, CDAQ's directors and officers or their affiliates;

● the impact, if any, of the purchases by the Sponsor, CDAQ's directors and officers or their affiliates on the likelihood that the Business Combination will be approved at the Extraordinary General Meeting;

● the identities of the CDAQ Shareholders who sold CDAQ Public Shares to the Sponsor, CDAQ's directors and officers or their affiliates s (if not purchased in the open market) or the nature of the CDAQ Shareholders (e.g., 5% shareholders) who sold CDAQ Public Shares to the Sponsor, CDAQ's directors and officers or their affiliates; and

● the number of CDAQ Public Shares for which CDAQ has received redemption requests pursuant to its redemption offer as of a date shortly prior to the filing date of the Form 8-K.

***CDAQ and KMC will incur transaction costs in connection with the Business Combination.***

Each of the parties to the Merger Agreement has incurred and expects that it will incur significant, non-recurring costs in connection with the consummation of the Business Combination. Pubco may also incur additional costs to retain key employees. CDAQ and Pubco will also incur significant legal, financial advisor, accounting, banking and consulting fees, fees relating to regulatory filings and notices, SEC filing fees, printing and mailing fees and other costs associated with the Business Combination. As of the date of this proxy statement/prospectus, CDAQ, KMC and Pubco estimate that they will incur approximately $5 million in aggregate transaction costs. Some of these costs are payable regardless of whether the Business Combination is completed.

**Risks Related to Ownership of Pubco Common Stock Following the Business Combination** 

***The market price of the Pubco Common Stock may be volatile or may decline regardless of Pubco's operating performance. You may lose some or all of your investment.***

The trading price of the Pubco Common Stock following completion of the Business Combination is likely to be volatile. The stock market recently has experienced extreme volatility. This volatility often has been unrelated or disproportionate to the operating performance of particular companies. You may not be able to resell your Pubco Common Stock at an attractive price due to a number of factors such as the following:

● Pubco's operating and financial performance and prospects;

● Pubco's quarterly or annual earnings or those of other companies in its industry compared to market expectations;

● the public's reaction to Pubco's press releases or other public announcements and filings with the SEC;

● the market's reaction to Pubco's reduced disclosure and other requirements as a result of being an "emerging growth company" under the JOBS Act;

● coverage by or changes in financial estimates by securities analysts or failure to meet their expectations;

● changes in the prices of titanium dioxide and other energy metals

● strategic actions by Pubco or its competitors, such as acquisitions or restructurings;

● changes in laws or regulations which adversely affect Pubco's industry or Pubco;

● changes in accounting standards, policies, guidance, interpretations or principles;

● changes in senior management or key personnel;

● adverse resolution of new or pending litigation against Pubco; and

● changes in general market, economic and political conditions in the United States, Chile and other global economies or financial markets, including those resulting from inflation, natural disasters, terrorist attacks, acts of war and responses to such events.

These market and industry factors may materially reduce the market price of Pubco Common Stock, regardless of Pubco's operating performance. In addition, price volatility may be greater if the public float and trading volume of Pubco Common Stock is low. As a result, you may suffer a loss on your investment.

***We cannot be sure about whether the shares of Pubco Common Stock will develop an active trading market or whether Pubco is able to maintain the listing of Pubco Common Stock in the future even if Pubco is successful in listing Pubco Common Stock on Nasdaq Capital Market, or any other national securities exchange, which could limit investors' ability to make transactions in shares of Pubco Common Stock and subject Pubco to additional trading restrictions.***

As part of the Business Combination, each outstanding CDAQ Class A Ordinary Share (including the CDAQ Class A Ordinary Shares issued upon conversion of the outstanding CDAQ Class B Ordinary Shares) will be converted automatically into one share of Pubco Common Stock. Pubco is a newly formed entity and prior to this transaction it has not issued any securities in the U.S. markets or elsewhere nor has there been extensive information about it, its businesses or its operations publicly available. CDAQ and Pubco have agreed to cause the shares of Pubco Common Stock to be issued in the Business Combination to be approved for listing on Nasdaq Capital Market, or any other national securities exchange, prior to the Closing of the Business Combination. CDAQ cannot assure CDAQ Public Shareholders that Pubco will be able to meet the initial listing requirements. However, Pubco may be unsuccessful in listing Pubco Common Stock on Nasdaq Capital Market, or any other national securities exchange, and even if successful, Pubco may be unable to maintain the listing of Pubco Common Stock in the future. A successful listing also does not ensure that a market for the shares of Pubco Common Stock will develop or the price at which the shares will trade. No assurance can be provided as to the demand for or trading price of the shares of Pubco Common Stock following the Closing of the Business Combination and the shares of Pubco Common Stock may trade at a price less than the current market price of the CDAQ Class A Ordinary Shares.

If Pubco fails to meet the initial listing requirements of Nasdaq or another national securities exchange does not list its shares of Pubco Common Stock on its exchange, none of the parties to the Merger Agreement would be required to consummate the Business Combination. In the event that all such parties elected to waive this condition, and the Business Combination were consummated without shares of Pubco Common Stock being listed on Nasdaq or on another national securities exchange, Pubco could face significant material adverse consequences, including:

● a limited availability of market quotations for shares of Pubco Common Stock;

● reduced liquidity for shares of Pubco Common Stock;

● to the extent that Pubco does not qualify for any of the other penny stock exemptions from under the applicable provisions of Rule 3a51-1 under the Exchange Act, a determination that shares of Pubco Common Stock are "penny stocks" which will require brokers trading in shares of Pubco Common Stock to adhere to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for shares of Pubco Common Stock;

● a limited amount of news and analyst coverage; and

● decreased ability to issue additional securities or obtain additional financing in the future

The National Securities Markets Improvement Act of 1996, which is a federal statute, prevents or preempts the states from regulating the sale of certain securities, which are referred to as "covered securities." If shares of Pubco Common Stock are not listed on the Nasdaq Capital Market or another national securities exchange, such shares would not qualify as covered securities and Pubco would be subject to regulation in each state in which Pubco offers its shares of Pubco Common Stock because states are not preempted from regulating the sale of securities that are not covered securities.

Even if Pubco is successful in listing Pubco Common Stock and developing a public market, there may not be enough liquidity in such market to enable Pubco Common Stockholders to sell their shares of Pubco Common Stock. If a public market for the shares of Pubco Common Stock does not develop, investors may not be able to re-sell their shares of Pubco Common Stock, rendering their shares illiquid and possibly resulting in a complete loss of their investment. Pubco cannot predict the extent to which investor interest in Pubco will lead to the development of an active, liquid trading market. The trading price of and demand for the shares of Pubco Common Stock following completion of the Business Combination and the development and continued existence of a market and favorable price for the shares of Pubco Common Stock will depend on a number of conditions, including the development of a market following, including by analysts and other investment professionals, the businesses, operations, results and prospects of Pubco, general market and economic conditions, governmental actions, regulatory considerations, legal proceedings and developments or other factors. These and other factors may impair the development of a liquid market and the ability of investors to sell shares at an attractive price. These factors also could cause the market price and demand for shares of Pubco Common Stock to fluctuate substantially, which may limit or prevent investors from readily selling their shares and may otherwise affect negatively the price and liquidity of the shares of Pubco Common Stock. Many of these factors and conditions are beyond the control of Pubco or shareholders of Pubco.

***A market for Pubco's shares may not develop, which could adversely affect the liquidity and price of its shares.***

The price of Pubco's securities may fluctuate significantly due to the market's reaction to the Business Combination and general market and economic conditions. An active trading market for Pubco's securities may never develop or, if developed, may not be sustained. In addition, the price of Pubco's securities can vary due to general economic conditions and forecasts, its general business condition and the release of its financial reports. Additionally, if Pubco's securities are not listed on, or become delisted from, the Nasdaq Capital Market for any reason, and are quoted on the OTC Markets, an inter-dealer automated quotation system for equity securities that is not a national securities exchange, the liquidity and price of its securities may be more limited than if it were quoted or listed on the Nasdaq Capital Market or another national securities exchange. You may be unable to sell your securities unless a market can be established or sustained.

***Securities of companies formed through mergers with SPACs such as Pubco may experience a material decline in price relative to the share price of the SPACs prior to such merger.***

CDAQ issued CDAQ Class A Ordinary Shares for $10.00 per share upon the closing of the CDAQ IPO. As with other SPACs, each CDAQ Class A Ordinary Share issued in the CDAQ IPO carries a right to redeem such share for a pro rata portion of the proceeds held in the Trust Account prior to the Closing. As of the Record Date, the redemption price per CDAQ public share was approximately $______, which is the approximate redemption amount per Public Share based on the Trust Account balance as of ______, 2026. Following the Closing, the shares of Pubco Common Stock outstanding will no longer have any such redemption right and may be dependent upon the fundamental value of Pubco, as well as other relevant factors such as market conditions and trading multiples, and the securities of other companies formed through mergers with SPACs in recent years, and may be significantly less than $10.00 per share.

***Pubco Common Stockholders will experience dilution in the future due to any exercise of existing warrants and any future issuances of equity securities in Pubco.***

Each of CDAQ and KMC has outstanding warrants which will be exchanged for Pubco Warrants upon the Closing of the Business Combination. In addition, Pubco may issue additional equity securities in the future. The exercise of Pubco Warrants and KMC Warrants, or the issuance of additional shares of Pubco Common Stock or other equity-linked securities Pubco will dilute the ownership interests of existing shareholders and may adversely affect the market price of Pubco Common Stock.

***The issuance of additional shares or convertible securities by Pubco could make it difficult for another company to acquire Pubco, may dilute the ownership of Pubco Common Stockholders and could adversely affect the price of Pubco Common Stock.***

Pubco may obtain additional financing and may issue additional shares and/or offering debt or other equity securities, including senior or subordinated notes, debt securities convertible into equity and/or preferred shares. Issuing additional shares of Pubco Common Stock, other equity securities, and/or securities convertible into equity may dilute the economic and voting rights of Pubco's existing shareholders, reduce the market price of outstanding shares of Pubco Common Stock, or both. Debt securities convertible into equity could be subject to adjustments in the conversion ratio pursuant to which certain events may increase the number of equity securities issuable upon conversion. Preferred shares, if issued, could have a preference with respect to liquidating distributions or a preference with respect to dividend payments that could limit Pubco's ability to pay dividends to the holders of Pubco Common Stock. The potential issuance of additional securities may delay or prevent a change in control of us, discourage bids for our securities at a premium to the market price, and materially and adversely affect the market price and the voting and other rights of the holders of our securities, including Pubco Common Stock. Pubco's decision to issue securities in any future offering will depend on market conditions and other factors beyond its control, which may adversely affect the amount, timing or nature of its future offerings. As a result, holders of Pubco Common Stock bear the risk that Pubco's future offerings and exercise of any options under any stock option plans that Pubco may implement may reduce the market price of Pubco Common Stock and dilute their percentage ownership.

***Since the completion of the CDAQ IPO, there has been a precipitous drop in the market values of companies formed through mergers involving SPACs. Accordingly, securities of companies such as Pubco may be more volatile than other securities and may involve special risks.***

Since the completion of the CDAQ IPO, there has been a precipitous drop in the market values of companies formed through mergers involving SPACs. These include inflationary pressures and other adverse economic and market forces have contributed to these drops in market value for SPACs. As a result, the CDAQ Class A Ordinary Shares may be subject to potential downward pressures, which may result in high levels of exercises of redemptions rights, reducing the cash available from the Trust Account. If there are substantial redemptions by CDAQ Public Shareholders in connection with the Business Combination, there will be a lower public float of Pubco Common Stock following the Closing of the Business Combination, which may cause volatility in the price of Pubco's securities and adversely impact our ability to secure financing following the Closing of the Business Combination.

***Currently, there is no public market for the Pubco Common Stock. CDAQ Public Shareholders cannot be sure about whether the Pubco Common Stock will develop an active trading market, their market price or whether Pubco will successfully obtain authorization for listing o nNasdaq.***

As part of the Business Combination, each outstanding CDAQ Class B Ordinary Share and CDAQ Public Share will be converted automatically into one share of Pubco Common Stock. Pubco is a newly formed entity and prior to this transaction it has not issued any securities in the U.S. markets or elsewhere nor has there been extensive information about it, its businesses or its operations publicly available. The parties have agreed to cause the shares of Pubco Common Stock to be issued in the Business Combination to be approved for listing on Nasdaq prior to the effective time of the Business Combination. However, Pubco may be unsuccessful in listing its Common Stock on Nasdaq, and even if successful, that listing does not ensure that a market for the Pubco Common Stock will develop or the price at which the shares will trade. No assurance can be provided as to the demand for or trading price of the Pubco Common Stock and the Pubco Common Stock may trade at a price less than the current market price of the CDAQ Public Shares.

Even if Pubco is successful in developing a public market, there may not be enough liquidity in such market to enable shareholders to sell their shares. If a public market for the Pubco Common Stock does not develop, investors may not be able to re-sell their shares, rendering their shares illiquid and possibly resulting in a complete loss of their investment. Pubco cannot predict the extent to which investor interest in Pubco will lead to the development of an active, liquid trading market. The trading price of and demand for the Pubco Common Stock following completion of the Business Combination and the development and continued existence of a market and favorable price for the Pubco Common Stock will depend on a number of conditions, including the development of a market following, including by analysts and other investment professionals, the businesses, operations, results and prospects of Pubco, general market and economic conditions, governmental actions, regulatory considerations, legal proceedings and developments or other factors. These and other factors may impair the development of a liquid market and the ability of investors to sell shares at an attractive price. These factors also could cause the market price and demand for the Pubco Common Stock to fluctuate substantially, which may limit or prevent investors from readily selling their shares and may otherwise affect negatively the price and liquidity of the Pubco Common Stock. Many of these factors and conditions are beyond the control of Pubco or Pubco shareholders.

***Pubco does not intend to pay dividends on Pubco Common Stock for the foreseeable future.***

Pubco currently intends to retain all available funds and any future earnings to fund the development and growth of its business. As a result, Pubco does not anticipate declaring or paying any cash dividends on Pubco Common Stock in the foreseeable future. Any decision to declare and pay dividends in the future will be made at the discretion of Pubco Board and will depend on, among other things, Pubco's business prospects, results of operations, financial condition, cash requirements and availability, certain restrictions related to Pubco indebtedness, industry trends and other factors that Pubco Board may deem relevant. Any such decision will also be subject to compliance with contractual restrictions and covenants in the agreements governing Pubco's current and future indebtedness. In addition, Pubco may incur additional indebtedness, the terms of which may further restrict or prevent it from paying dividends on Pubco Common Stock. As a result, you may have to sell some or all of your Pubco Common Stock after price appreciation in order to generate cash flow from your investment, which you may not be able to do. Pubco's inability or decision not to pay dividends could also adversely affect the market price of Pubco Common Stock.

***Volatility in Pubco's share price could subject Pubco to securities class action litigation.***

The market price of the shares of Pubco Common Stock may be volatile and, in the past, companies that have experienced volatility in the market price of their shares have been subject to securities class action litigation. Pubco may be the target of this type of litigation and investigations. Securities litigation against Pubco could result in substantial costs and divert management's attention from other business concerns, which could seriously harm Pubco's business.

***The financial forecasts for Pubco are based on various assumptions that may not be realized.***

Any financial forecasts or projections provided in connection with the Business Combination are based on numerous assumptions regarding future events and circumstances, many of which are beyond Pubco's control. There can be no assurance that these assumptions will prove to be accurate or that the projected results will be realized. Actual results may differ materially from those forecasted, and investors should not place undue reliance on such projections.

***Reports published by analysts, including projections in those reports that differ from Pubco's actual results, could adversely affect the price and trading volume of Pubco Common Stock.***

Pubco's management currently expects that securities research analysts will establish and publish their own periodic projections for its business. These projections may vary widely and may not accurately predict the results Pubco achieves. Pubco's share price may decline if its actual results do not match the projections of these securities research analysts. Similarly, if one or more of the analysts who write reports on Pubco downgrades its stock or publishes inaccurate or unfavorable research about its business, its share price could decline. If one or more of these analysts ceases coverage of Pubco or fails to publish reports on it regularly, its share price or trading volume could decline. While Pubco's management expects research analyst coverage, if no analysts commence coverage of Pubco, the trading price and volume for Pubco Common Stock could be adversely affected.

**Risks Related to Taxation**

***The Mergers may cause U.S. Holders to recognize gain or include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)).***

Each of CDAQ and Pubco intends for the Mergers, taken together and as part of an integrated transaction, to be treated as, and each will take the position that the Mergers should be treated as an exchange within the meaning of Section 351 of the Code. Assuming that the Mergers so qualify, and subject to the discussion below under the section entitled "U.S. Federal Income Tax Considerations":

● a U.S. Holder whose CDAQ Public Shares have a fair market value of less than $50,000 on the date of the Mergers, and who on the date of the Mergers owns (actually and constructively) less than 10% of the total combined voting power of all classes of stock of CDAQ entitled to vote and less than 10% of the total value of all classes of stock of CDAQ, will generally not recognize any gain or loss and will generally not be required to include any part of CDAQ's earnings in income pursuant to the Mergers.

● a U.S. Holder whose CDAQ Public Shares have a fair market value of $50,000 or more on the date of the Mergers, and who on the date of the Mergers owns (actually and constructively) less than 10% of the total combined voting power of all classes of stock of CDAQ entitled to vote and less than 10% of the total value of all classes of stock of CDAQ will generally recognize gain (but not loss) with respect to the shares of Pubco Common Stock received in the Mergers. As an alternative to recognizing gain, such U.S. holders may file an election to include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)) attributable to such U.S. Holder, provided certain other requirements are satisfied; and

● a U.S. Holder who on the date of the Mergers owns (actually and constructively) 10% or more of the total combined voting power of all classes of stock of CDAQ entitled to vote or 10% or more of the total value of all classes of stock of CDAQ will generally be required to include in income as a dividend the "all earnings and profits amount" (as defined in Treasury Regulations Section 1.367(b)-2(d)) attributable to the CDAQ Public Shares it directly owns.

As discussed more fully under the section entitled "*U.S. Federal Income Tax Considerations,*" CDAQ believes it is likely properly classified as a PFIC for U.S. federal income tax purposes. If CDAQ were classified as a PFIC for U.S. federal income tax purposes, then notwithstanding the U.S. federal income tax consequences of the Mergers discussed above, proposed Treasury Regulations under Section 1291(f) of the Code and certain other PFIC rules (which have retroactive proposed effective dates), if finalized in their current form, generally would require a U.S. Holder to recognize gain on the exchange of CDAQ Public Shares for shares of Pubco Common Stock pursuant to the Mergers.

Any such gain would be taxable income with no corresponding receipt of cash in the Mergers. The tax on any such gain would be imposed at the rate applicable to ordinary income and an interest charge would apply based on a complex set of rules. The proposed Treasury Regulations provide coordinating rules with other sections of the Code, including Section 367(b), which affect the manner in which the rules under such other sections apply to transfers of PFIC stock. However, it is difficult to predict whether, in what form, and with what effective date, final Treasury Regulations under Section 1291(f) of the Code and such other PFIC rules may be adopted and how any such Treasury Regulations would apply. Importantly, however, U.S. Holders that make or have made certain elections discussed further under the section entitled "*U.S. Federal Income Tax Considerations — PFIC Considerations — QEF Election and Mark-to-Market Election*" with respect to their CDAQ Public Shares are generally not subject to the same gain recognition rules under the currently proposed Treasury Regulations under Section 1291(f) of the Code.

The obligations of CDAQ and Pubco to complete the Mergers are not conditioned on the receipt of opinions of counsel to the effect that the Mergers will qualify as an exchange within the meaning of Section 351(a) of the Code for U.S. federal income tax purposes. If the Mergers do not qualify as an exchange under Section 351(a) of the Code, each U.S. Holder will generally recognize capital gain or loss, for U.S. federal income tax purposes, in an amount equal to the difference, if any, between (i) the fair market value (determined as of the Closing Date) of the Pubco Common Stock received, and (ii) the U.S. Holder's adjusted tax basis in the CDAQ Public Shares, Common Units, exchanged therefor. Special considerations apply to U.S. Holders of Public Warrants. For a discussion such considerations, and a more complete description of the material U.S. federal income tax consequences of the Mergers, see the section entitled "*U.S. Federal Income Tax Considerations*."

***The exercise of redemption rights may be treated as a sale or distribution.***

The U.S. federal income tax consequences of exercising redemption rights with respect to your CDAQ Public Shares depends on your particular facts and circumstances. It is possible that you may be treated as selling your shares and, as a result, recognize capital gain or capital loss. It is also possible that the redemption may be treated as a distribution for U.S. federal income tax purposes. Whether a redemption of shares qualifies for sale treatment will depend largely on the total number of CDAQ Ordinary Shares you are treated as owning before and after the redemption (including any shares that you constructively own as a result of owning Public Warrants and any shares that you directly or indirectly acquire pursuant to the Mergers) relative to all of the CDAQ Ordinary Shares outstanding both before and after the redemption. U.S. Holders exercising redemption rights will be subject to the potential tax consequences of the Mergers, including under Section 367 of the Code and potential tax consequences of the U.S. federal income tax rules relating to PFICs. For a more complete discussion of the U.S. federal income tax considerations of an exercise of redemption rights, see the section entitled "*U.S. Federal Income Tax Considerations — Redemptions*."

**Extraordinary General Meeting of CDAQ Shareholders**

**General**

CDAQ is furnishing this proxy statement/prospectus to CDAQ Shareholders as part of the solicitation of proxies by the CDAQ Board for use at the Meeting to be held on ______, 2026, and at any adjournment thereof. This proxy statement/prospectus provides CDAQ Shareholders with information they need to know to be able to vote or instruct their vote to be cast at the Meeting.

**Date, Time and Place**

The Meeting will be held on ______, 2026, at ______ a.m., Eastern Time. The Meeting will be held at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually over the Internet by means of a live audio webcast. You will be able to attend, vote your shares and submit questions during the Meeting via a live webcast available at *https://www.cstproxy.com/______*.

**Purpose of the Extraordinary General Meeting of Shareholders**

At the Meeting, CDAQ is asking CDAQ Shareholders to:

● consider and vote upon the Business Combination Proposal. A copy of the Merger Agreement is attached to this proxy statement/prospectus as <u>Annex A</u>;

● consider and vote upon the Merger Proposal, A copy of the Plan of Merger is attached to this proxy statement/prospectus as <u>Annex B</u>;

● consider and vote on the Pubco Charter Proposal;

● consider and vote upon the Organizational Documents Proposals;

● consider and vote upon the Director Election Proposal;

● consider and vote upon the Incentive Plan Proposal. A copy of the Incentive Plan is attached to this proxy statement/prospectus as <u>Annex E</u>; and

● consider and vote upon the Adjournment Proposal to adjourn the Meeting to a later date or dates, if it is determined by CDAQ that additional time is necessary or appropriate to complete the Business Combination or for any other reason.

**Recommendation of the CDAQ Board**

The CDAQ Board has unanimously determined that the Business Combination Proposal is in the best interests of CDAQ; has unanimously approved the Business Combination Proposal; and unanimously recommends that shareholders vote "FOR" the Business Combination Proposal, "FOR" the Merger Proposal, "FOR" the Pubco Charter Proposal, "FOR" the Organizational Documents Proposals, "FOR" the Director Election Proposal, "FOR" the Incentive Plan Proposal and "FOR" the Adjournment Proposal, if presented.

**Record Date; Issued and Outstanding Shares; CDAQ Shareholders Entitled to Vote**

CDAQ Shareholders will be entitled to vote or direct votes to be cast at the Meeting if they owned CDAQ Ordinary Shares at the close of business on ______, 2026 which is the Record Date for the Meeting. CDAQ Shareholders are entitled to one vote at the Meeting for each Ordinary Share held as of the Record Date. If you hold your shares in "street name," which means your shares are held of record by a broker, bank or nominee, you should contact your broker, bank or nominee to ensure that votes related to the shares you beneficially own are properly counted. In this regard, you must provide the broker, bank or nominee with instructions on how to vote your shares or, if you wish to attend the Meeting and vote, obtain a proxy from your broker, bank or nominee.

As of the close of business on the Record Date, there were 5,420,988 CDAQ Ordinary Shares issued and outstanding, consisting of 3,310,866 CDAQ Class A Ordinary Shares and 2,110,122 CDAQ Class B Ordinary Shares. Of these shares, 110,866 were CDAQ Public Shares, with the rest being held by the Sponsors.

**Quorum and Vote of CDAQ Shareholders**

A quorum of CDAQ Shareholders is necessary to hold a valid meeting. A quorum for the Meeting consists of the holders of at least one-third of the then issued and outstanding CDAQ Ordinary Shares (whether in person or by proxy). As of the Record Date, CDAQ Shareholders holding 1,806,997 CDAQ Ordinary Shares would be required to achieve a quorum at the Meeting. Since the CDAQ Ordinary Shares held by the Sponsor represent approximately 57.1% of the issued and outstanding CDAQ Ordinary Shares and which will count towards this quorum, CDAQ will not need any of the CDAQ Public Shares to be represented in person (including via the virtual meeting platform) or by proxy at the Meeting to have a valid quorum.

The Merger Proposal is required to be approved by a special resolution of the holders of CDAQ Ordinary Shares, which requires the affirmative vote of holders of at least two-thirds of the issued and outstanding CDAQ Ordinary Shares as of the Record Date, being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting.

Approval of the Organizational Documents Proposals is being sought by way of an ordinary resolution of CDAQ Shareholders, which requires the affirmative vote of a simple majority of the issued and outstanding CDAQ Ordinary Shares as of the Record Date being entitled to vote, present in person (including via the virtual meeting platform) or by proxy and voting thereon at the Meeting. However, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board.

Assuming a quorum is established, a CDAQ Shareholder's failure to vote by proxy or to vote at the Meeting will have no effect on the Proposals. Abstentions and broker non-votes, while considered present for the purposes of establishing a quorum, are not treated as votes cast and will have no effect on any of the Proposals.

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

**Voting Your CDAQ Ordinary Shares**

Each Ordinary Share that you own in your name entitles you to one vote. Your proxy card shows the number of CDAQ Ordinary Shares that you own. If your shares are held in "street name" or are in a margin or similar account, you should contact your broker to ensure that votes related to the CDAQ Ordinary Shares you beneficially own are properly counted.

***Voting Your CDAQ Ordinary Shares — Shareholders of Record***

There are three ways to vote your CDAQ Ordinary Shares at the Meeting:

*You Can Vote By Signing and Returning the Enclosed Proxy Card.* If you vote by proxy card, your "proxy," whose name is listed on the proxy card, will vote your CDAQ Ordinary Shares as you instruct on the proxy card. If you sign and return the proxy card but do not give instructions on how to vote your shares, your CDAQ Ordinary Shares will be voted as recommended by the CDAQ Board

"FOR" the Business Combination Proposal, "FOR" the Merger Proposal, "FOR" the Pubco Charter Proposal, "FOR" the Organizational Documents Proposals, "FOR" the Director Election Proposal, "FOR" the Incentive Plan Proposal and "FOR" the Adjournment Proposal, if presented. Votes received after a matter has been voted upon at the Meeting will not be counted.

*You Can Vote By Internet.* CDAQ Shareholders who have received a copy of the proxy card by mail may be able to vote over the Internet by visiting *https://www.cstproxy.com/______* and entering the voter control number included on your proxy card. You may vote by Internet until the polls are closed on the date of the Meeting.

*You Can Attend Meeting and Vot*e. If you attend the Meeting, you may submit your vote at the Meeting, in which case any proxy that you have given will be revoked and only the vote you cast at the Meeting will be counted.

***Voting Your Shares — Beneficial Owners***

If your CDAQ Ordinary Shares are registered in the name of your broker, bank or other agent, you are the "beneficial owner" of those CDAQ Ordinary Shares and those CDAQ Ordinary Shares are considered as held in "street name." If you are a beneficial owner of CDAQ Ordinary Shares registered in the name of your broker, bank or other agent, you should have received a proxy card and voting instructions with these proxy materials from that organization rather than directly from CDAQ. Simply complete and mail the proxy card to ensure that your vote is counted. You may be eligible to vote your CDAQ Ordinary Shares electronically over the Internet or by telephone. A large number of banks and brokerage firms offer Internet and telephone voting. If your bank or brokerage firm does not offer Internet or telephone voting information, please complete and return your proxy card in the self-addressed, postage-paid envelope provided. To vote yourself at the Meeting, you must first obtain a valid legal proxy from your broker, bank or other agent and then register in advance to attend the Meeting. Follow the instructions from your broker or bank included with these proxy materials, or contact your broker or bank to request a legal proxy form.

After obtaining a valid legal proxy from your broker, bank or other agent, to then register to attend the Meeting, you must submit proof of your legal proxy reflecting the number of your CDAQ Ordinary Shares along with your name and email address to CST. Requests for registration should be directed to proxy@continentalstock.com. Written requests can be mailed to:

Continental Stock Transfer & Trust Company

1 State Street, 30<sup>th</sup> Floor

New York, New York 10004

Telephone: 917-262-2373

Email: proxy@continentalstock.com

Requests for registration must be labelled as "Legal Proxy" and be received no later than 5:00 p.m., Eastern Time, on ______, 2026.

You will receive a confirmation of your registration by email after CDAQ receives your registration materials. You may attend the Meeting by visiting *https://www.cstproxy.com/______.* You will also need a voter control number included on your proxy card in order to be able to vote your CDAQ Ordinary Shares or submit questions during the Meeting. Follow the instructions provided to vote. CDAQ encourages you to access the Meeting prior to the start time leaving ample time for the check in.

**Share Ownership of and Voting by CDAQ Sponsor, Directors and Officers**

The Sponsors currently hold an aggregate of 5,310,122 CDAQ Ordinary Shares. The directors and officers of CDAQ do not directly own any CDAQ Ordinary Shares. The Sponsors have agreed to vote their 5,310,122 CDAQ Ordinary Shares, representing approximately 98.0% of the issued and outstanding CDAQ Ordinary Shares, in favor of each of the Proposals. As a result, with respect to each Proposal that requires approval of CDAQ Shareholders by an ordinary resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved. With respect to each Proposal that requires approval of CDAQ Shareholders by a special resolution, in addition to the Sponsors' CDAQ Ordinary Shares, CDAQ would not need any CDAQ Public Shares (assuming all issued and outstanding CDAQ Ordinary Shares are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved, and CDAQ would not need any CDAQ Public Shares (assuming a minimum number of CDAQ Ordinary Shares to achieve a quorum are voted at the Meeting) to be voted in favor of such Proposals in order to have such Proposals approved.

**Attending the Meeting**

The Meeting will be held on ______, 2026 at ______ a.m. Eastern Time. The Meeting will be held at the offices of Ellenoff Grossman & Schole LLP located at 1345 Avenue of the Americas, New York, New York 10105, and virtually over the Internet by means of a live audio webcast. You will be able to attend, vote your shares and submit questions during the Meeting via a live webcast available at *https://www.cstproxy.com/______*. You or your proxyholder will be able to attend and vote at the Meeting by visiting *https://www.cstproxy.com/______* and using a control number assigned by CST. To register and receive access to the Meeting, registered shareholders and beneficial shareholders (those holding shares through a stock brokerage account or by a bank or other holder of record) will need to follow the instructions applicable to them provided in this proxy statement/prospectus. You will need the voter control number included on your proxy card in order to be able to vote your shares or submit questions during the Meeting. If you do not have a voter control number, you will be able to listen to the Meeting only and you will not be able to vote or submit questions during the Meeting.

**Revoking Your Proxy**

If you are a CDAQ Shareholder and you give a proxy, you may revoke it at any time before it is exercised by doing any one of the following:

● you may enter a new vote by Internet or telephone;

● you may send a later-dated, signed proxy card to Compass Digital Acquisition Corp., 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448, Attn: Chief Executive Officer, so that it is received by CDAQ's Chief Executive Officer on or before the Meeting; or

● you may attend the Meeting via the live webcast noted above, revoke your proxy, and vote virtually, as indicated above.

**Who Can Answer Your Questions About Voting Your Shares**

If you are a CDAQ Shareholder and have any questions about how to vote or direct a vote in respect of your CDAQ Ordinary Shares, you may call CDAQ's proxy solicitor at ______.

**Redemption Rights**

Pursuant to the CDAQ Memorandum and Articles, any holders of CDAQ Public Shares may demand that such CDAQ Public Shares be redeemed in exchange for a pro rata share of the aggregate amount on deposit in the Trust Account (less taxes payable), calculated as of two (2) business days prior to the Closing. If a demand is properly made and the Business Combination is consummated, these shares, immediately prior to the Business Combination, will cease to be outstanding and will represent only the right to receive a pro rata share of the aggregate amount on deposit in the Trust Account which holds the proceeds of the CDAQ IPO (calculated as of two (2) business days prior to the Closing, including interest earned on the funds held in the Trust Account and not previously released to CDAQ to pay its taxes). For illustrative purposes, based on funds in the Trust Account of approximately $______ million as of ______, 2026, the estimated per share redemption price would have been $______.

In order to exercise your redemption rights, you must:

● prior to 5:00 p.m. Eastern Time on ______, 2026 (two (2) business days before the Meeting), tender your CDAQ Public Shares physically or electronically and submit a request in writing that CDAQ redeem your CDAQ Public Shares for cash to CST, CDAQ's transfer agent, at the following address:

Continental Stock Transfer & Trust Company

One State Street Plaza, 30<sup>th</sup> Floor

New York, New York 10004

Attn: SPAC Redemption Team

Email: spacredemptions@continentalstock.com

● deliver your CDAQ Public Shares either physically or electronically through DTC to CST at least two (2) business days before the Meeting. CDAQ Public Shareholders seeking to exercise their redemption rights and opting to deliver physical certificates should allot sufficient time to obtain physical certificates from CST and time to effect delivery. It is CDAQ's understanding that CDAQ Public Shareholders should generally allot at least two weeks to obtain physical certificates from Continental. However, CDAQ does not have any control over this process and it may take longer than two weeks. CDAQ Public Shareholders who hold their CDAQ Public Shares in street name will have to coordinate with their bank, broker or other nominee to have the shares certificated or delivered electronically. If you do not submit a written request and deliver your CDAQ Public Shares as described above, your CDAQ Public Shares will not be redeemed.

Any demand for redemption, once made, may be withdrawn at any time until the deadline for exercising redemption requests (and submitting shares to CST) and thereafter, with CDAQ's consent, until the Closing of the Business Combination. If you delivered your CDAQ Public Shares for redemption to CST and decide within the required timeframe not to exercise your redemption rights, you may request that CST return your CDAQ Public Shares (physically or electronically). You may make such request by contacting CST at the phone number or address listed above.

Prior to exercising redemption rights, CDAQ Public Shareholders should verify the market price of CDAQ Class A Ordinary Shares, as they may receive greater proceeds from the sale of their CDAQ Public Shares in the public market than from exercising their redemption rights if the market price per share is higher than the redemption price. There can be no assurances that you will be able to sell your CDAQ Public Shares in the open market, even if the market price per share is higher than the redemption price stated above, as there may not be sufficient liquidity in CDAQ Class A Ordinary Shares when you wish to sell your CDAQ Public Shares.

If you exercise your redemption rights, your CDAQ Public Shares will cease to be outstanding immediately prior to the consummation of the Business Combination and will only represent the right to receive a pro rata share of the aggregate amount on deposit in the Trust Account. You will no longer own those shares and will have no right to participate in, or have any interest in, the future growth of Pubco, if any. You will be entitled to receive cash for these shares only if you properly and timely demand redemption.

In connection with the CDAQ IPO, the Sponsor and CDAQ's officers and directors agreed to waive any redemption rights with respect to any CDAQ Ordinary Shares held by them in connection with the completion of the Business Combination. Such waivers are standard in transactions of this type and the Sponsor and CDAQ's officers and directors did not receive separate consideration for the waiver.

**Appraisal Rights**

CDAQ Shareholders do not have appraisal rights in connection with the Business Combination or the Company Merger under either the Cayman Companies Act or under the DGCL. CDAQ Shareholders may have appraisal rights in connection with the Purchaser Merger under the Cayman Companies Act.

Holders of record of CDAQ Ordinary Shares wishing to exercise such statutory dissenter rights and make a demand for payment of the fair value for his, her or its CDAQ Ordinary Shares must give written objection to the Purchaser Merger to CDAQ prior to the shareholder vote at the Meeting to approve the Purchaser Merger and follow the procedures set out in Section 238 of the Cayman Companies Act.

These statutory appraisal rights are separate to and mutually exclusive of the right of holders of Public Shares to elect to have their shares redeemed for cash at the applicable Redemption Price in accordance with the CDAQ Memorandum and Articles, which are discussed above in the section titled "*Questions and Answers about the Proposals* — *Do I have Redemption Rights?*". CDAQ Shareholders who elect to have their Public Shares redeemed in accordance with the CDAQ Memorandum and Articles will not be entitled to exercise statutory dissenter rights under the Cayman Companies Act.

Any CDAQ Shareholder who elects to exercise statutory dissenter rights under the Cayman Companies Act must do so in respect of all of the CDAQ Ordinary Shares that person holds and that person will lose their right to exercise their redemption rights as detailed in the CDAQ Memorandum and Articles. Shareholders are recommended to seek their own advice as soon as possible on the application and procedure to be followed in respect of the appraisal rights contained in Section 238 of the Cayman Companies Act.

It is possible that, if shareholders exercise their statutory dissenter rights, the fair value of the CDAQ Ordinary Shares determined under Section 238 of the Cayman Companies Act could be more than, the same as, or less than shareholders would obtain if they exercise their redemption rights in accordance with CDAQ Memorandum and Articles as described herein. Shareholders need not vote against any of the proposals at the Meeting in order to exercise their statutory dissenter rights under the Cayman Companies Act.

CDAQ Shareholders who do wish to exercise their statutory dissenter rights, if applicable, will be required to deliver notice to CDAQ prior to the Meeting and follow the process prescribed in Section 238 of the Cayman Companies Act. This is a separate process with different deadline requirements to the process which shareholders must follow if they wish to exercise their redemption rights in accordance with CDAQ Memorandum and Articles, which is discussed above in the section titled "*Questions and Answers about the Proposals — How do I exercise my Redemption Rights?*"

At the Effective Time, those shares belonging to dissenting shareholders ("<u>Dissenting Shares</u>") shall no longer be outstanding and shall automatically be cancelled by virtue of the Mergers, and each holder of Dissenting Shares shall cease to have any rights with respect thereto, except the right to receive the fair value of such Dissenting Shares in accordance with the provisions of Section 238 of the Cayman Companies Act. Notwithstanding the foregoing, if any such holder shall have failed to perfect or prosecute or shall have otherwise waived, effectively withdrawn or lost his, her or its rights under Section 238 of the Cayman Companies Act (including in the circumstances described in the immediately following paragraph) or a court of competent jurisdiction shall determine that such holder is not entitled to the relief provided by Section 238 of the Cayman Companies Act and such other rights as are granted by the Cayman Companies Act, then the right of such holder to be paid the fair value of such holder's Dissenting Shares under Section 238 of the Cayman Companies Act shall cease and such CDAQ Ordinary Shares shall no longer be considered Dissenting Shares for purposes hereof and such holder's CDAQ Ordinary Shares shall thereupon be deemed to have been converted into and to have become exchangeable for, as of the Effective Time the right to receive the Merger Consideration comprising one share of Pubco Common Stock for each CDAQ Ordinary Share, without any interest thereon. As a result, such shareholder will not receive any cash for their CDAQ Ordinary Shares and will become a stockholder of Pubco.

In the event that any holder of CDAQ Ordinary Shares delivers notice of their intention to exercise dissenter rights, the Company and the other parties to the Merger Agreement may in their sole discretion delay the consummation of the Business Combination in order to invoke the limitation on dissenter rights under Section 239 of the Cayman Companies Act. Section 239 of the Cayman Companies Act states that no such dissenter rights shall be available in respect of shares of any class for which an open market exists on a recognized stock exchange or recognized interdealer quotation system at the expiry date of the period allowed for written notice of an election to dissent, provided that the merger consideration constitutes inter alia shares of any company which, at the effective date of the merger, are listed on a national securities exchange. In such circumstances where the exception under Section 239 of the Cayman Companies Act is invoked, no dissenter rights shall be available to CDAQ Shareholders, including those CDAQ Shareholders who have delivered a written objection to the Merger prior to the Meeting and followed the process prescribed in Section 238 of the Cayman Companies Act in full up to such date, and each such holder's CDAQ Ordinary Shares shall thereupon be deemed to have been converted as of the Effective Time into the right to receive the merger consideration comprising one share of Pubco Common Stock for each CDAQ Ordinary Share, without any interest thereon. Accordingly, CDAQ Shareholders are not expected to ultimately have any appraisal or dissent rights in respect of their CDAQ Ordinary Shares and the certainty provided by the redemption process may be preferable for CDAQ Shareholders wishing to exchange their Public Shares for cash.

**Proxy Solicitation Costs**

CDAQ is soliciting proxies on behalf of the CDAQ Board. This solicitation is being made by mail but also may be made by telephone, on the Internet or in person. CDAQ and its directors, officers and employees may also solicit proxies in person, by telephone or by other electronic means. CDAQ will file with the SEC all scripts and other electronic communications as proxy soliciting materials. CDAQ will bear the cost of the solicitation.

CDAQ has hired ______ to assist in the proxy solicitation process. CDAQ will pay ______, a fee of $______, *plus* reimbursement of out-of-pocket expenses in connection with services relating to the Meeting.

CDAQ will ask banks, brokers and other institutions, nominees and fiduciaries to forward the proxy materials to their principals and to obtain their authority to execute proxies and voting instructions. CDAQ will reimburse them for their reasonable expenses.

**PROPOSAL 1: The Business Combination Proposal**

**General**

CDAQ Shareholders are being asked to approve the Merger Agreement and the Business Combination. CDAQ Shareholders should read carefully this proxy statement/prospectus in its entirety for more detailed information concerning the Merger Agreement, a copy of which is attached hereto as <u>Annex A</u>. Please see the section entitled "*The Business Combination — The Merger Agreement*" and "*— Ancillary Documents*" for additional information and a summary of certain terms of the Merger Agreement. You are urged to read carefully the Merger Agreement in its entirety before voting on this Proposal.

CDAQ may consummate the Business Combination only if (i) the Business Combination Proposal is approved by an ordinary resolution, being a resolution passed at the Meeting by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting, (ii) the Merger Proposal is approved by a special resolution, being a resolution passed at the Meeting by a majority of at least two-thirds of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting, and (iii) the Incentive Plan Proposal is approved by an ordinary resolution, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting.

If any of those Proposals is not approved by CDAQ Shareholders, the Business Combination will not be consummated, unless waived by the parties. Each of the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal, and the Incentive Plan Proposal are conditional upon the approval of the Business Combination Proposal. The Adjournment Proposal is not conditioned on the approval of any other proposal.

On January 6, 2026, CDAQ entered into the Merger Agreement with Pubco, Purchaser Merger Sub, Company Merger Sub and KMC for the Business Combination between CDAQ and KMC.

Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming all outstanding KMC Options and KMC Warrants. Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

**Organizational Structure**

***Prior to the Business Combination***

The following simplified diagrams illustrate the ownership structures of CDAQ, KMC and Pubco before the consummation of the Business Combination:

**CDAQ**

![](forms-4_005.jpg)

**Pubco**

![](forms-4_006.jpg)

**KMC** 

***Following the Business Combination***

The following simplified diagram illustrates the ownership structure of Pubco following the consummation of the Business Combination:

![](forms-4_008.jpg)

**Headquarters; Listing of Securities**

After completion of the transactions contemplated by the Merger Agreement:

● the corporate headquarters and principal executive offices of Pubco will be located at 701 Brickell Avenue, Suite 1550, Miami, FL 33131; and

● if Pubco's application for listing are approved, shares of Pubco Common Stock and Pubco Warrants will be traded on the Nasdaq Capital Market under the symbols "KMCM" and "KMCMW," respectively.

**Background of the Business Combination**

CDAQ is a blank check company incorporated in the Cayman Islands as an exempted company with limited liability on March 8, 2021. CDAQ was formed for the purpose of entering into merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities. On October 19, 2021, CDAQ consummated its IPO of 20,000,000 Units. Each Unit consists of one Public Share and one-third of one Public Warrant, with each whole Public Warrant entitling the holder thereof to purchase one Class A Ordinary Share for $11.50 per share. The Units were sold at a price of $10.00 per Unit, generating gross proceeds of $200,000,000. A total of $200,000,000, comprised of $196,000,000 of the proceeds from the CDAQ IPO, including $7,000,000 of the underwriters' deferred underwriting committee, and $4,000,000 of the proceeds from certain CDAQ Private Placement, was placed in the Trust Account.

On October 19, 2023, CDAQ held an extraordinary general meeting of shareholders to approve, among other things, a proposal to amend the amended and restated memorandum and articles of association to extend the date by which it must consummate an initial business combination from October 19, 2023 to July 19, 2024. In connection with the vote to approve this proposal, Public Shareholders holding 16,045,860 Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $169.1 million (approximately $10.54 per share) from the Trust Account to pay the redemption price for those Public Shares.

On July 18, 2024, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend its amended and restated memorandum and articles of association to extend the date by which CDAQ must consummate an initial business combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four times until April 19, 2025 (or such earlier date as determined by the CDAQ Board. In connection with the vote to approve this proposal, Public Shareholders holding 2,713,143 Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $29.6 million (approximately $10.92 per share) from the Trust Account to pay the redemption price for those Public Shares, and 5,681,485 Class A Ordinary Shares (including 2,481,485 Public Shares) were issued and outstanding immediately following that redemption.

On April 16, 2025, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ's restated memorandum and articles of association to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 20, 2026 or such earlier date as determined by the CDAQ Board. In connection with the vote to approve this proposal, Public Shareholders holding 2,370,619 Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $26.7 million (approximately $11.52 per share) from the Trust Account to pay the redemption price for those Public Shares, and 3,310,866 Class A Ordinary Shares (including 110,866 Public Shares) were issued and outstanding immediately following that redemption.

CDAQ's sponsor was originally Compass Digital SPAC LLC, a Delaware limited liability company. On August 30, 2023, upon the consummation of the Sponsor Handover, HCG Opportunity, LLC, a Delaware limited liability company, became the new sponsor of CDAQ.

On August 30, 2023, the Sponsor and the Legacy Sponsor entered into the Sponsor Purchase Agreement, and on August 31, 2023, the Sponsor and the Legacy Sponsor consummated the Sponsor Handover. Pursuant to the Sponsor Purchase Agreement, (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) the Sponsor agreed to cause CDAQ to pay an aggregated amount of $300,000 in cash consideration upon Closing of the Business Combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into a joinder to the Registration Rights Agreement; (iv) the Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor; (v) all of the Prior Directors or Officers of CDAQ resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as the Chief Executive Officer and the Chief Financial Officer of CDAQ, respectively; and (vi) CDAQ entered into the Letter Agreement with the Legacy Sponsor, the Sponsor and CDAQ's former officers and directors, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and CDAQ Private Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement. Immediately following the Sponsor Handover, the Legacy Sponsor retained 2,217,086 Founder Shares and 186,667 CDAQ Private Warrants, which CDAQ Private Warrants will be transferred to the Institutional Anchor Investors upon the closing of the initial business combination. On March 29, 2024, CDAQ entered into a joinder to the Letter Agreement with each of the current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

Prior to entering into the Merger Agreement, CDAQ conducted a thorough search for a potential business combination transaction, utilizing the network and investing and operating experience of its management team and the CDAQ Board. The terms of the proposed Business Combination with KMC were the result of thorough negotiations between the representatives of CDAQ and KMC, based on diligence efforts of the CDAQ management team with the support of its advisors, as further described below.

Prior to the consummation of the CDAQ IPO, neither CDAQ, nor anyone on its behalf, had any substantive discussions, formal or otherwise, with respect to a proposed transaction with KMC. The following is a brief description of the background of the negotiations between the parties, the Business Combination and related transactions.

Commencing on August 17, 2023, the date on which the Sponsor assumed the rights and obligations of the Legacy Sponsor to CDAQ, CDAQ conducted an active search for potential business combination targets, leveraging its and its advisors' relationships with company founders, executives of private and public companies, venture capitalists and growth equity fund managers, as well as the extensive network and relationships of Cohen and Company Capital Markets, a division of Cohen & Company Securities, LLC ("<u>Cohen</u>"), and other investment banks. CDAQ initiated contact with more than 110 potential targets across a broad range of sectors including, among others, software, electric vehicles, asset management, and oil and gas services.

The following chronicle of events leading up to the execution of the Merger Agreement is not intended to be a complete list of all opportunities initially evaluated or explored or discussions held by CDAQ, but sets forth the significant discussions and steps that CDAQ took prior to execution of the Merger Agreement with KMC.

***Background of CDAQ's Discussions with Targets Other Than KMC***

CDAQ met with the management teams of 61 potential targets and conducted additional due diligence with respect to 31 of these potential targets. Additional due diligence consisted of, among other things, in-person or virtual meetings the targets' shareholders and/or advisors as well as review of business and historical and projected financial information. CDAQ submitted non-binding indications of interests to 16 of these targets that it believed were most suitable for a business combination. CDAQ proceeded to submit letters of intent to six (6) of those targets. CDAQ executed a letter of intent with two (2) targets other than KMC.

● <u>Target A</u>: CDAQ and Target A, an oilfield equipment technology company, began discussing the possibility of engaging in a business combination transaction in late October 2023. Following execution of a non-disclosure agreement (an " <u>NDA</u> "), CDAQ conducted various aspects of diligence, including an on-site visit, and negotiated potential transaction terms with Target A for approximately two months, following which Target A determined to discontinue such discussions to pursue alternative transactions.

● <u>Target B</u>: Following execution of a NDA, for a period of weeks commencing in October 2024, CDAQ carried out due diligence and engaged in discussions with Target B, a telecommunications software business. CDAQ shared a letter of intent with Target B in mid-November 2024. Following some weeks of diligence and transaction negotiations, CDAQ and Target B discontinued discussions to pursue other opportunities.

● <u>Target C</u>: Following execution of an NDA, for a period of weeks commencing in late February 2024, CDAQ carried out due diligence and engaged in discussions with Target C, an autonomous technology and retail business. After initial diligence and negotiations, CDAQ and Target C mutually executed a letter of intent in late March 2024 and began confirmatory diligence. Following some weeks of diligence, CDAQ and Target C decided to mutually terminate the letter of intent, which occurred in mid-April 2024, to pursue alternative transactions.

● <u>Target D</u>: Discussions between CDAQ and Target D, a consumer-oriented luxury goods marketplace, began in early March 2024, following the parties' execution of an NDA. In April 2024, CDAQ sent Target D a letter of intent. However, in the weeks following, Hennessy Capital determined that Target D would be a better fit for another one of the SPACs it sponsored and the letter of intent from CDAQ was never executed.

● <u>Target E</u>: For a period of four months beginning in April 2024 following the execution of an NDA, CDAQ and Target E, a middle market private equity buyout firm, began discussing a possible business combination transaction. CDAQ conducted various aspects of diligence and negotiated potential transaction terms with Target E. Ultimately, CDAQ and Target E discontinued discussions to pursue other opportunities.

● <u>Target F</u>: Following execution of an NDA, for a period of months commencing in February 2024, CDAQ carried out due diligence and engaged in discussions with Target F, an independent, global, pure-play renewable energy projects developer. After initial diligence and negotiations, CDAQ and Target F mutually executed a letter of intent in early June 2024 and began confirmatory diligence. Following months of diligence and negotiation, CDAQ and Target F executed a business combination agreement in early September 2024. In November 2025, CDAQ sent Target F a letter terminating the business combination agreement.

During CDAQ's search for a business combination target, CDAQ management kept members of the CDAQ Board apprised of the details of such business combination opportunities, including overviews of the businesses, their target sectors and the material discussions with such businesses and the status thereof.

***Background of the Business Combination with KMC***

CDAQ was first introduced to KMC on October 25, 2025 by Brandon Sun, Managing Director at Cohen.

On October 29, 2025, Thomas D. Hennessy, Daniel Hennessy and Nick Geeza, along with the Cohen team, first met with Cesar A. Lopez Alarcon, Founder, Chief Executive Officer and Director of KMC, John Ryan, Founder and Vice President of Corporate Affairs of KMC and Sarah Cuddy, legal counsel and office manager of KMC. Following the introductory call, and on the same day, CDAQ sent KMC an initial list of due diligence questions. On October 29, 2025, CDAQ sent KMC an NDA, which was executed on October 31, 2025. On the same date, KMC provided written responses to the initial due diligence questions and granted CDAQ access to a virtual data room with more detailed information, including unaudited financials and KMC's SK-1300 technical report summary for the Cerro Blanco Project.

On November 4, 2025, Mr. Thomas D. Hennessy submitted a non-binding indication of interest to Messrs. Alarcon and Ryan, that included a PowerPoint presentation, which they discussed with Messrs. Thomas D. Hennessy and Geeza on a phone call on November 6, 2025. Among other things, they discussed the transaction proposal, timeline and process of a proposed business combination and CDAQ's finances.

On November 6, 2025, Messrs. Thomas D. Hennessy, Daniel Hennessy and Geeza met with Mr. Lopez and Ms. Cuddy to discuss the general structure and timeline of a proposed business combination, as well as introductory diligence matters including establishing a data room and the status of KMC's audited financial statements.

On November 11, 2025, Mr. Thomas D. Hennessy submitted a letter of intent to Messrs. Alarcon and Ryan. On November 12, 2025, Messrs. Alarcon and Ryan sent comments on the letter of intent. The comments were focused on the board composition, minimum cash condition, transaction financing, transaction expenses, working capital arrangements, exclusivity, and employee agreements among other things.

On November 15, 2025, Mr. Thomas D. Hennessy submitted a revised letter of intent to Messrs. Alarcon and Ryan. The revised letter of intent focused on the seller earnout, composition of the post-closing Pubco Board, the Legacy Sponsor promissory note, and working capital arrangements, among other things.

On November 17, 2025, Messrs. Thomas D. Hennessy and Geeza had a call with Messrs. Alarcon and Ryan, and Ms. Cuddy regarding the letter of intent. On November 18, 2025, Mr. Thomas D. Hennessy submitted a revised non-binding indication of interest to Messrs. Alarcon and Ryan. The revised non-binding indication of interest included a PowerPoint presentation reflecting the latest deal terms negotiated in connection with the letter of intent, able to be shared with KMC investors. On November 18, 2025, Mr. Thomas D. Hennessy submitted a revised letter of intent to Messrs. Alarcon and Ryan, and the letter of intent was executed by both parties on the same day.

On November 20, 2025, Messrs. Thomas D. Hennessy and Geeza, Messrs. Alarcon and Ryan and Ms. Cuddy, Ellenoff Grossman & Schole LLP, counsel for CDAQ ("<u>EGS</u>"), and Troutman Pepper Locke LLP, counsel for KMC ("<u>TPL</u>"), held a kick-off call to discuss the transaction timeline, transaction structure and drafting responsibilities.

On November 25, 2025, Mr. Geeza, Chief Finical Officer of CDAQ, met with Ms. Cuddy in Miami, Florida, where KMC's US-office is based, and discussed the transaction timeline, KMC's team and its operations in Chile.

After the kick-off call, CDAQ continued to conduct business and financial due diligence, with the assistance of Philippi Prietocarrizosa Ferrero Du & Uría S.A.S. a law firm with offices in Chile ("<u>PPU</u>") for technical mining and infrastructure due diligence, with respect to the Cerro Blanco Project, Lockton Companies LLP, an insurance consultant ("<u>Lockton</u>"), for insurance and human resources due diligence and Scott Wilson of Resource Development Associates, Inc., a consulting firm specializing in mining ("<u>RDA</u>" and collectively with Lockton and PPU the "<u>Due Diligence Advisors</u>") for to review KMC's SK-1300 technical report summary for the Cerro Blanco Project. CDAQ, EGS and the Due Diligence Advisors held weekly or bi-weekly virtual meetings and exchanged due diligence materials regarding commercial, legal, mineral resources, macro, insurance, employee benefits and other matters. The parties' representatives and advisors held weekly or bi-weekly virtual meetings to discuss progress on, and provide updates with respect to, key workstreams and other aspects of the potential business combination, investor presentation, and to periodically refine the transaction timeline and related work plans. These meetings were also typically attended by Messrs. Alarcon and Ryan and Ms. Cuddy, as representatives of KMC and Messrs. Thomas D. Hennessy and Geeza as representatives of CDAQ.

From December 9, 2025 until December 12, 2025, Messrs. Thomas D. Hennessy and Geeza travelled to Santiago, Chile to visit KMC's titanium dioxide and desalination sites. On December 9, 2025, Messrs. Thomas D. Hennessy and Geeza attended presentations at KMC's offices which covered various aspects of KMC's business including technical and legal matters. On December 10, 2025, Messrs. Thomas D. Hennessy and Geeza flew to the titanium dioxide and desalination sites and attended an onsite presentation given by Christian Feddersen, a geologist consulting for KMC. Messrs. Thomas D. Hennessy and Geeza concluded their site visits on December 11, 2025 and returned to Santiago. Mr. Thomas D. Hennessy departed Chile later that day. On December 12, 2025, Mr. Geeza met with PPU and departed Chile later that day.

On December 8, 2025, EGS delivered an initial draft of the Merger Agreement to KMC and TPL. On December 15, 2025, TPL sent CDAQ and EGS comments to the initial draft of the Merger Agreement. Among the comments were comments regarding the structure of the deal, removal of earnout consideration, covenants regarding providing financial statements of KMC and the Minimum Cash Condition, among others.

On December 15, 2025, EGS, TPL and CDAQ held a meeting to discuss key workstreams, aspects of the business combination, and key issues related to the Merger Agreement.

On December 16, 2025, EGS, CDAQ, KMC, and RDA held a board meeting where Mr. Lopez gave a presented the KMC investor presentation to the CDAQ Board. At the same meeting, Mr. Wilson provided a summary of his review of KMC's SK-1300 technical report for the Cerro Blanco Project and the potential strengths, opportunities and weaknesses of the opportunity.

On December 17, 2025, CDAQ held a board meeting. The board meeting was also attended by members of EGS, PPU, Maples, Lockton and Cohen. During such meeting, they discussed and reviewed the insurance, legal, commercial, and capital markets due diligence conducted.

On December 17, 2025, a telephonic meeting of the CDAQ Board was held, with CDAQ management and representatives of EGS, Maples, Lockton and Cohen in attendance. At the meeting, EGS provided an overview of the due diligence findings with respect to KMC to date, including a summary of the key findings from the legal, risk and benefits and macro due diligence review conducted by CDAQ's representatives and advisors. At the meeting, PPU, Lockton and RDA reviewed and discussed their respective due diligence findings, which included descriptions of KMC's assets, operations, mining rights, permits, and current risks affecting KMC's business.

On December 18, 2025, Mr. Geeza met with Mr. Lopez in Key Biscayne, Florida, to discuss KMC's capabilities and experience as a team, as well as the general timeline of the contemplated transaction.

On December 18, 2025, TPL delivered an initial draft of the KMC disclosure schedules to EGS. On January 1, 2026, EGS delivered an initial draft of the CDAQ disclosure schedules to TPL. On January 1, 2026, EGS delivered an initial draft of the other disclosure schedules to TPL. TPL and EGS exchanged several drafts of the disclosure schedules between December 18, 2025 and January 5, 2026.

On December 19, 2025, the parties, who were engaged in good faith negotiations regarding the Merger Agreement, mutually agreed in writing to extend the exclusivity obligations of CDAQ and KMC under the executed letter of intent.

On December 22, 2025, EGS circulated a revised draft of the Merger Agreement, which was intended to address the comments raised by the parties. On December 22, 2025, TPL circulated comments based on the December 22, 2025 draft of the Merger Agreement. Several iterative drafts of the Merger Agreement were exchanged by the parties between December 22, 2025 and January 5, 2026.

On December 22, 2025, the parties held an all-hands call with the CDAQ management team, the KMC management team, EGS, TPL and other representatives of the parties. The purpose of the meeting was to discuss and seek to resolve any material open business and legal issues.

On December 29, 2025, EGS circulated an initial draft of the Voting Agreement, and on December 30, 3025, EGS circulated a revised draft of the Voting Agreement and an initial draft of the Sponsor Letter Agreement. TPL confirmed that it was signed off on the forms of Voting Agreement and Sponsor Letter Agreement that had been circulated.

On December 31, 2025, EGS circulated an initial draft of the Second Letter Agreement Amendment. TPL confirmed that it was signed off on the draft of the Second Letter Agreement Amendment that had been circulated.

On January 2, 2026, EGS circulated an initial draft of the Seller Registration Rights Agreement. TPL confirmed that it was signed off on the draft of the Seller Registration Rights Agreement that had been circulated.

On January 2, 2026, EGS circulated an initial draft of the Founder Registration Rights Agreement Amendment. TPL confirmed that it was signed off on the draft of the Founder Registration Rights Agreement Amendment that had been circulated.

On January 2, 2026, a telephonic meeting of the CDAQ Board was held with CDAQ management as well as representatives of EGS and Maples and Calder (Cayman) LLP, CDAQ's Cayman Islands legal counsel ("<u>Maples</u>"), in attendance. Mr. Thomas D. Hennessy provided an update on the transaction and transaction timeline. Maples provided an overview of the board's fiduciary duties under Cayman Islands law. EGS provided the CDAQ Board with an overview of the proposed Business Combination and the key terms of the proposed Merger Agreement and the Ancillary Documents. A draft of the Merger Agreement along with a written summary of its material terms were delivered to the members of the CDAQ Board in advance of the meeting.

On January 5, 2026, a telephonic meeting of the CDAQ Board was held, with CDAQ management as well as representatives of EGS and Maples in attendance. At the meeting, EGS reviewed material updates to the Merger Agreement since the prior board meeting, and reviewed and summarized resolutions that the CDAQ Board was being asked to consider and approve in connection with the Merger Agreement and the transactions contemplated thereby. A substantially complete draft of the Merger Agreement was delivered to the members of the CDAQ Board in advance of the meeting. Following the conclusion of the meeting, by written consent resolutions, the CDAQ Board unanimously approved the Merger Agreement, the Ancillary Documents and the Business Combination.

On January 6, 2026, the parties entered into the Merger Agreement and the Ancillary Documents. On the same day, the parties issued a joint press release announcing the entry of the Merger Agreement. Since the date that the Merger Agreement was executed, the parties have held, and expect to continue to hold, regular discussions regarding the timing of the consummation of the Business Combination and various preparatory efforts in connection therewith.

On February 5, 2026, the parties to the Merger Agreement entered into Amendment No. 1 to the Merger Agreement, which corrects a scrivener's error in the Merger Agreement to clarify that the aggregate Merger Consideration to be paid to holders of all of KMC's securities (including holders of in-the-money KMC Options and KMC Warrants) will be equal to $230.0 million.

**CDAQ Board's Reasons for the Approval of the Business Combination**

The CDAQ Board considered a variety of factors in connection with its evaluation of the Business Combination. In light of the number and complexity of those factors, the CDAQ Board, as a whole, did not consider it practicable to, and did not attempt to, quantify or otherwise assign relative weights to the specific factors that it considered in reaching its determination and supporting its decision. Individual directors may have given different weight to different factors. The CDAQ Board viewed its decision as being a business judgment that was based on all of the information available and the factors presented to and considered by it. This explanation of CDAQ's reasons for the Business Combination and all other information presented in this section is forward-looking in nature and, therefore, should be read in light of the factors discussed under "*Cautionary Note Regarding Forward-Looking Statements*."

The CDAQ Board, in evaluating the Business Combination, consulted with CDAQ management and its financial, legal and other advisors. In reaching its unanimous resolution (i) that the Merger Agreement and the transactions contemplated thereby are advisable and in the best interests of CDAQ and (ii) to recommend that the CDAQ Shareholders adopt the Merger Agreement and approve the Business Combination and the other transactions contemplated by the Merger Agreement, the CDAQ Board considered a range of factors, as discussed below. The CDAQ Board viewed its decision as being based on all of the information available and the factors presented to and considered by the CDAQ Board. In addition, individual directors may have given different weights to different factors.

The CDAQ Board considered a number of factors pertaining to the Business Combination as generally supporting its decision to enter into the Merger Agreement and the transactions contemplated thereby, including, but not limited to, the following material factors:

● **KMC's Significant Addressable Market**. Macro, commercial demand, and policy tailwinds support KMC's focus on critical minerals, as global demand for critical metals continues to grow across energy storage & batteries, electric vehicles, electronics and semiconductors, industrial alloys and magnets, and defense applications, while supply remains highly concentrated.

● **KMC's Flagship Titanium Project**. KMC's 100%-owned Titanium Project in Chile is a rutile titanium dioxide asset, including an S-K 1300 compliant Measured and Indicated resource of 107 Mt at 1.78% TiO₂ and ranking among the world's top 10 rutile deposits, supported by extensive historical drilling, technical studies and existing regional infrastructure.

● **KMC's Water Desalination Project**. KMC's permitted seawater reverse-osmosis desalination project in Chile's Atacama Region is designed as a ~440 L/s regional "non-continental" water hub intended to support long-term water needs across mining, industrial, agricultural and community users, including the Titanium Project.

● **KMC's Fire Copper Project (Arizona).** KMC's 100%-owned "Fire Claims" (52 unpatented lode mining claims in Yavapai County, Arizona) provide low-cost exploration upside in a known copper district adjacent to Edge Copper's Zonia Copper Project, supporting KMC's broader strategy to build a diversified critical minerals platform.

● **KMC's Management Team Experience and Capabilities**. KMC's leadership team has decades of global experience in mining exploration, development and M&A, including experience with public company leadership and operations across multiple jurisdictions.

● **Differentiated Platform and Geographic Diversity**. KMC has a multi-jurisdiction strategy across the Americas, anchored by its Chilean titanium and water infrastructure assets and its copper exploration claims in Arizona.

● **Pipeline and Growth Opportunities**. In addition to its existing flagship assets, KMC has an established, differentiated global pipeline of high-quality mining asset acquisition targets, including several U.S. critical minerals opportunities sourced through proprietary industry relationships.

● **Project De-Risking and Value Creation Roadmap**. The CDAQ Board considered the advanced permitting status and technical work completed to date at Cerro Blanco, including environmental approvals covering key project components and ongoing metallurgy and feasibility work programs, which the CDAQ Board believes can reduce development risk relative to earlier-stage projects.

● **Due Diligence**. Due diligence examinations of KMC and discussions with KMC's management team and CDAQ's legal, risk, commercial, mining, and financial advisors concerning CDAQ's due diligence examination of KMC.

● **Negotiated Transaction**. The financial and other terms of the Merger Agreement, including the consideration deliverable to the security holders of KMC thereunder, and the fact that such terms and conditions are reasonable and were the product of arm's-length negotiations between CDAQ and KMC and that the terms of the Business Combination, including the valuation of KMC for purposes of the transaction and other information about KMC, were evaluated carefully and unanimously approved by the independent members of the CDAQ Board.

● **Other Alternatives**. Following a thorough review of other business combination opportunities reasonably available to CDAQ since the time of the CDAQ IPO, the CDAQ Board believes that the proposed Business Combination with KMC represents the most attractive opportunity for CDAQ and for investors based upon the process utilized to evaluate and assess other potential acquisition targets.

The CDAQ Board also considered a variety of uncertainties and risks and other potentially negative factors concerning the Business Combination including, but not limited to, the following:

● **Macroeconomic, Commodity and Regulatory Risks and Uncertainties**. Macroeconomic uncertainty, commodity price volatility and geopolitical and regulatory changes could adversely affect the economics and financing environment for KMC's projects and its results of operations;

● **Business Plan, Technical Work Programs and Projections May Not Be Achieved**. The risk that KMC's actual results and project milestones (including exploration, metallurgy, permitting, construction and offtake execution) may differ from the estimates reflected in the reminder of the projections and other forward-looking information presented to CDAQ;

● **Redemption and Financing Risk**. The potential that a significant number of CDAQ shareholders elect to redeem their shares prior to the consummation of the Business Combination, which could reduce cash proceeds available to Pubco following Closing if other financing is not obtained prior to Closing;

● **Shareholder Vote**. The risk that CDAQ Shareholders may fail to provide the votes necessary to effect the Business Combination;

● **Closing Conditions**. The fact that the completion of the Business Combination is conditioned on the satisfaction of certain closing conditions that are not within CDAQ's control;

● **Litigation**. The possibility of litigation challenging the Business Combination or that an adverse judgment granting permanent injunctive relief could indefinitely enjoin consummation of the Business Combination;

● **Listing and Public Company Readiness Risks**. The challenges associated with preparing KMC, a private entity with limited operating history, for the applicable disclosure, internal controls and listing requirements to which it will be subject as a publicly traded company;

● **Benefits May Not Be Achieved**. The risks that the potential benefits of the Business Combination may not be fully achieved or may not be achieved within the expected timeframe;

● **CDAQ Shareholders Receiving a Minority Position**. The risk that CDAQ Shareholders will hold a minority position in Pubco following the Business Combination;

● **Liquidation of CDAQ**. The risks and costs to CDAQ if the Business Combination is not completed, including the risk of diverting management focus and resources from other business combination opportunities, which could result in CDAQ being unable to effectuate a business combination within the timeline required by the CDAQ Memorandum and Articles;

● **Conflicts of Interest**. The risk that conflicts of interest of CDAQ's management or members of the CDAQ Board may have influenced CDAQ Board's determination to pursue the proposed Business Combination with KMC;

● **Fees and Expenses**. The fees and expenses associated with completing the Business Combination could exceed expectations; and

● **Other Risk Factors**. Various other risk factors associated with the business of KMC, including: risks related to exploration and development activities; risks related to the continuing validity of existing permitting and the ability to secure necessary future permitting; risks related to the lack of land rights necessary for the development of the Cerro Blanco Titanium Project; and risks related to community relations in Chile, project construction and operation, including the potential for legacy contractual covenants to obligate KMC to (a) enter into certain service agreements with third party suppliers and (b) appoint third-party designees to project advisory committees, and the development and commercialization of the Water Desalination Project, as described in the section entitled "*Risk Factors*" appearing elsewhere in this proxy statement/consent solicitation statement/prospectus.

In evaluating the conflicts of interest referenced above, the CDAQ Board concluded that the potentially disparate interests would be mitigated because (i) certain of these interests were disclosed in the prospectus for CDAQ IPO and are disclosed in this proxy statement/prospectus, (ii) most of these disparate interests would exist with respect to a business combination by CDAQ with any other target business or businesses, and (iii) the Sponsor will hold equity interests in Pubco with value that, after the Closing, will be based on the future performance of Pubco and the trading prices of Pubco Common Stock.

After considering the foregoing, the CDAQ Board concluded, in its business judgment, that the potential benefits to CDAQ and its shareholders relating to the Business Combination outweighed the potentially negative factors and risks relating to the Business Combination.

CDAQ did not obtain a fairness opinion (or any similar report or appraisal) in connection with the Business Combination. As a result, there is a risk that the CDAQ Board may not have properly valued KMC's business.

**Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination**

When CDAQ Public Shareholders consider the recommendation of the CDAQ Board in favor of approval of the Business Combination and other Proposals, CDAQ Public Shareholders should keep in mind that the Sponsor and CDAQ's directors and officers have interests in the Proposals that are different from, or in addition to (and which may conflict with), the interests of a CDAQ Public Shareholder as a CDAQ Shareholder. These interests include, among other things:

● As of the date hereof, the Sponsor is the record holder of 3,093,036 CDAQ Ordinary Shares and 4,645,398 CDAQ Private Warrants, each whole warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share at a purchase price of $11.50 per share. As of the date hereof, the aggregate value of such securities is estimated to be approximately $______ million, assuming (i) the per share value of the 3,093,036 CDAQ Class B Ordinary Shares is the same as the $______ closing price of the CDAQ Class A Ordinary Shares on ______, 2026 and (ii) the per warrant value of the 4,645,398 CDAQ Private Warrants is the same as the $______ closing price of the CDAQ Public Warrant on ______, 2026. Pursuant to various non-redemption agreements, the Sponsor has agreed to transfer to the Non-Redemption Investors an aggregate of 1,492,300 Founder Shares promptly at or following the closing of an initial business combination (but no later than two (2) business days after the satisfaction of the requisite conditions to such transfer);

● If CDAQ does not consummate a business combination by the Business Combination Deadline, CDAQ will cease all operations except for the purpose of winding up, redeeming 100% of the issued and outstanding CDAQ Public Shares for cash and, subject to the approval of its remaining shareholders and its board of directors, dissolving and liquidating. In such event, the 5,310,122 Founder Shares held by the Legacy Sponsor and the Sponsor would be worthless because holders of Founder Shares are not entitled to participate in any redemption or distribution with respect to such shares. The aggregate value of the Founder Shares, assuming a per share value equal to the $______ closing price of the CDAQ Public Shares on ______, 2026, is estimated to be approximately $______ million. The Founder Shares were initially issued for an aggregate price of only $25,000. This means that if the Business Combination is consummated, the Sponsors would likely recoup their initial investment in CDAQ and make a substantial profit on that investment, even if the shares of Pubco Common Stock trade at a significant discount to the current price of the CDAQ Class A Ordinary Shares causing the CDAQ Public Shareholders to experience a negative rate of return in the Pubco;

● In order to finance transaction costs in connection with an initial business combination, the Initial Shareholders, the Sponsor or an affiliate of the Initial Shareholders or the Sponsor, or certain of the prior directors and officers or current directors and officers may, but are not obligated to, provide the Working Capital Loans to CDAQ. Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of an initial business combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of an initial business combination into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ Private Warrants. In the event that an initial business combination does not close, CDAQ may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans. CDAQ has issued two unsecured promissory notes, one of which is the Sponsor Loan Note issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000, as further described under the heading "*Information About CDAQ*," for CDAQ's working capital (including potential extension funding) needs. As of ______, 2026, $1,741,500 was outstanding under the Sponsor Note. Pursuant to the Sponsor Letter Agreement, all amounts outstanding as of the Closing under the Sponsor Loan Note shall be automatically converted, immediately prior to the Purchaser Merger, into CDAQ Class A Ordinary Shares at $10.00 per share. If the Business Combination is not consummated by the Business Combination Deadline, the Sponsor, its officers and their affiliates may not receive any payment in respect of the promissory notes, in whole or in part;

● Polar has agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones pursuant to the Polar Subscription Agreement, in order to meet the Sponsor's commitment to CDAQ under a drawdown request. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10) dollars of the Polar Capital Investment. In addition, pursuant to the Merger Agreement, immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary Shares pursuant to the Polar Subscription Agreement. As of ______, 2026, $1,500,000 was drawn down, which is unlikely to be repaid if the Business Combination is not consummated by the Business Combination Deadline;

● If CDAQ is unable to complete a business combination by the Business Combination Deadline, the Sponsor has agreed to indemnify CDAQ in the event that claims for services rendered or products sold to CDAQ or by a prospective target business reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per CDAQ Public Share and (ii) the actual amount per CDAQ Public Share held in the Trust Account as of the date of the liquidation of the Trust Account. This indemnity does not apply to any claims by a third party who executed a waiver of any and all rights to seek access to the Trust Account or to any claims under CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including liabilities under the Securities Act;

● CDAQ's Sponsor, its officers and directors, and their affiliates are entitled to reimbursement for any out-of-pocket expenses incurred by them in connection with certain activities on CDAQ's behalf, such as identifying, investigating, negotiating and completing an initial business combination. If CDAQ does not complete a business combination by the Business Combination Deadline, CDAQ may not have the cash necessary to reimburse these expenses. As of the date of this proxy statement/prospectus, none of CDAQ's Sponsor, officers and directors, or their affiliates had incurred any expenses which would be reimbursed at the Closing;

● The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor. Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor;

● The anticipated election of ______ as a director of Pubco in connection with the consummation of the Business Combination. As such, in the future, ______will receive any cash or equity compensation that the Pubco Board determines to pay ______. For more information on Pubco director compensation, see "*Management of Pubco Following the Business Combination*;"

● CDAQ's officers and directors have not been required to, and have not, committed their full time to CDAQ's affairs, which may have resulted in a conflict of interest in allocating their time between CDAQ's operations and its business combination and their other businesses; and

● HCG MM is the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Both individuals disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

The foregoing interests present a risk that the Sponsor and CDAQ's officers and directors may be incentivized to complete a business combination with a less favorable target company or on terms less favorable to the CDAQ Public Shareholders rather than to liquidate, in which case the Sponsor would lose its entire investment. As a result, the Sponsor and CDAQ's officers and directors may have a conflict of interest in determining whether Pubco is an appropriate business with which to effectuate a business combination and/or in evaluating the terms of the Business Combination.

The Sponsor considered various factors in its support for the Business Combination. Some benefits to the Sponsor included the opportunity to monetize their interests in CDAQ following the Closing and obtain significant returns in Pubco, especially if Pubco performs well in the public markets. However, the Sponsor also considered detriments, such as the dilution of the Sponsor's ownership stake as described below in the section titled "*The Business Combination — Ancillary Agreements — Second Letter Agreement Amendment*."

**Consideration Received by the Sponsor and its Affiliates**

Set forth below is a summary of the terms and amount of the consideration received or to be received by the Sponsor and its affiliates in connection with the Business Combination and the Transaction Financings, the amount of securities issued or to be issued by Pubco to the Sponsor and its affiliates and the price paid or to be paid for such securities or any related financing transaction.

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|:---|:---|:---|
|  | **Interest in Securities** | **Other Consideration** |
| The Sponsor | At Closing, the Sponsor shall hold a total of 3,267,186 shares of Pubco Common Stock, which consists of (i) shares to be issued in exchange for the 1,560,736 Founder Shares held by the Sponsor, (ii) 174,150 shares underlying outstanding balance of $1,741,500 of the Sponsor Loan Note and (iii) 1,532,300 Founder Shares to be transferred by the Sponsor to the Non-Redemption Investors at or promptly following the Closing.<br>At Closing, the Sponsor will hold a total of 4,645,398 Pubco Private Warrants to purchase shares of Pubco Common Stock, which will be issued in exchange for CDAQ Private Warrants held by the Sponsor. <br>| Pursuant to the Administrative Services Agreement, CDAQ pays the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of CDAQ management team and other expenses and obligations of the Sponsor. |

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Because the Founder Shares were purchased at a nominal price, the CDAQ Public Shareholders will incur immediate dilution upon the Closing of the Business Combination. See the sections titled "*Summary of the Proxy Statement/Prospectus — Dilution*," "*Risk Factors — Risks Related to the Business Combination — The value of the Founder Shares following completion of the Business Combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of shares of Pubco Common Stock at such time is substantially less than $10.00 per share, which may create an economic incentive for the CDAQ management team to pursue and consummate the Business Combination which differs from the CDAQ Public Shareholders*" and "*Risk Factors — Risks Related to the Business Combination — CDAQ Public Shareholders who do not redeem their CDAQ Public Shares will experience immediate dilution upon Closing of the Business Combination as a result of the Founder Shares held by the Sponsor, since the value of the CDAQ Class B Ordinary Shares is likely to be substantially higher than the nominal price paid for them, as well as a result of the issuance of the shares of Pubco Common Stock in the Business Combination and the Transaction Financings.*"

The Sponsor may, on or before the Closing of the Business Combination, distribute to its members some or all of the Founder Shares and CDAQ Private Warrants held by it. Except for the intended distribution of CDAQ securities held by the Sponsor pursuant to its governing documents, there are currently no specified circumstances or arrangements under which CDAQ securities held by the Sponsor or its affiliates could be transferred, or that could result in the forfeiture, surrender or cancellation of such securities, subject to certain permitted exceptions for pre-closing distributions or transfers of Sponsor securities (subject, as applicable, to contractual lock-up restrictions).

**Potential Purchases of CDAQ Public Shares**

In connection with the CDAQ Shareholder vote to approve the Business Combination, the Sponsor, CDAQ's directors, officers, advisors or any of their respective affiliates may purchase CDAQ Public Shares in privately negotiated transactions or in the open market either prior to or following the completion of the Business Combination, although they are under no obligation to do so.

Any such purchases shall be effected at a price per share no higher than the amount per share a CDAQ Public Shareholder would receive if it elected to have its CDAQ Public Shares redeemed in connection with the Business Combination. However, they have no current commitments, plans or intentions to engage in such transactions and have not formulated any terms or conditions for any such transactions. None of the funds in the Trust Account will be used to purchase CDAQ Public Shares in such transactions. Such a purchase may include a contractual acknowledgment that such shareholder, although still the record holder of CDAQ Public Shares is no longer the beneficial owner thereof and therefore agrees not to exercise its redemption rights. In the event that the Sponsor, CDAQ's directors and officers or any of their affiliates purchase CDAQ Public Shares in privately negotiated transactions from CDAQ Public Shareholders who have already elected to exercise their redemption rights, such selling shareholders would be required to revoke their prior elections to redeem their CDAQ Public Shares. It is intended that, if Rule 10b-18 under the Exchange Act would apply to such purchases, then such purchases will comply with Rule 10b-18 under the Exchange Act, to the extent it applies, which provides a safe harbor for purchases made under certain conditions, including with respect to timing, pricing and volume of purchases. Any such purchases, together with the CDAQ Ordinary Shares currently owned by the Sponsor, could influence the vote on the Business Combination or otherwise result in the completion of the Business Combination that may not otherwise have been possible.

Additionally, at any time at or prior to the consummation of the Business Combination, subject to applicable securities laws (including with respect to material non-public information), the Sponsor, CDAQ's directors and officers and their affiliates may enter into transactions with investors and others to provide them with incentives to acquire CDAQ Public Shares or not to elect to have their CDAQ Public Shares redeemed. However, they have no current commitments, plans or intentions to engage in such transactions and have not formulated any terms or conditions for any such transactions. None of the funds in the Trust Account will be used to purchase CDAQ Public Shares in such transactions.

In the event the Sponsor, CDAQ's directors and officers or their affiliates were to purchase CDAQ Public Shares from CDAQ Public Shareholders, such purchases would be structured in compliance with the requirements of Rule 14e-5 under the Exchange Act to the extent such rule is applicable including, in pertinent part, through adherence to the following:

● CDAQ would disclose in this proxy statement/prospectus the possibility that the Sponsor, CDAQ's directors and officers or their affiliates may CDAQ Public Shares from CDAQ Public Shareholders outside the redemption process, along with the purpose of such purchases;

● if the Sponsor, CDAQ's directors and officers or their affiliates were to purchase CDAQ Public Shares from CDAQ Public Shareholders, they would do so at a price no higher than the price offered through the redemption process;

● CDAQ would include in this proxy statement/prospectus a representation that any of the CDAQ Public Shares purchased by the Sponsor, CDAQ's directors and officers or their affiliates would not be voted in favor of approving the Business Combination;

● the Sponsor, CDAQ's directors and officers or their affiliates would either not possess any redemption rights with respect to such CDAQ Public Shares or they would waive such rights; and

● CDAQ would disclose in a Form 8-K filed prior to the Extraordinary General Meeting, the following items, to the extent material:

● the amount of CDAQ Public Shares purchased outside of the redemption offer by the Sponsor, CDAQ's directors and officers or their affiliates, along with the average purchase price;

● the purpose of the purchases by the Sponsor, CDAQ's directors and officers or their affiliates;

● the impact, if any, of the purchases by the Sponsor, CDAQ's directors and officers or their affiliates on the likelihood that the Business Combination will be approved at the Extraordinary General Meeting;

● the identities of the CDAQ Shareholders who sold CDAQ Public Shares to the Sponsor, CDAQ's directors and officers or their affiliates (if not purchased in the open market) or the nature of the CDAQ Shareholders (e.g., 5% shareholders) who sold CDAQ Public Shares to the Sponsor, CDAQ's directors and officers or their affiliates; and

● the number of CDAQ Public Shares for which CDAQ has received redemption requests pursuant to its redemption offer as of a date shortly prior to the filing date of the Form 8-K.

If such purchases are made, the public "float" of CDAQ Class A Ordinary Shares may be reduced and the number of beneficial holders of CDAQ Class A Ordinary Shares may be reduced, which may make it difficult to maintain or obtain the quotation, listing or trading of CDAQ Public Shares on Nasdaq or another securities exchange. Any such purchases will be reported pursuant to Section 13 and Section 16 of the Exchange Act to the extent such purchasers are subject to such.

**Recommendation of the CDAQ Board**

After careful consideration of the matters described above, the CDAQ Board determined unanimously that each of the Business Combination Proposal, the Merger Proposal, the Pubco Charter Proposal, the Organizational Documents Proposals, the Director Election Proposal, the Incentive Plan Proposal and the Adjournment Proposal, if presented, is advisable and in the best interests of CDAQ and unanimously recommend that you vote or give instructions to vote "FOR" each of these Proposals.

The foregoing discussion of the information and factors considered by the CDAQ Board is not meant to be exhaustive but includes the material information and factors considered by the CDAQ Board as well as any other factors that the CDAQ Board deemed relevant. The CDAQ Board's decision to approve the Business Combination was based on factors existing as of the date of its approval on January 6, 2026.

**The Pubco Charter**

When the Business Combination is completed, certain rights of shareholders will be governed by the Pubco Charter and Pubco Bylaws rather than the CDAQ Memorandum and Articles and certain rights of shareholders.

This comparison is not intended to be complete and is qualified in its entirety by reference to the CDAQ Memorandum and Articles and the Pubco Charter and the Pubco Bylaws. You should read the forms of the Pubco Charter and the Public Bylaws attached to this proxy statement/prospectus as <u>Annexes C</u> and <u>D</u>, respectively, carefully and in its entirety.

At or prior to the consummation of the Business Combination, the board of directors and stockholders of Pubco will amend and restate Pubco's certificate of incorporation in the form of the Pubco Charter. The Pubco Charter will reflect the following material differences from the CDAQ Memorandum and Articles:

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| | |
|:---|:---|
| **CDAQ Memorandum and Articles** | **Pubco Charter** |
| *Corporate Purpose* | *Corporate Purpose* |
| The objects for which CDAQ is established are unrestricted and CDAQ shall have full power and authority to carry out any object not prohibited by the laws of the Cayman Islands. | The purpose is to engage in any lawful act or activity for which corporations may be organized under the DGCL. |
| *Authorized Share Capital/Capital Stock* | *Authorized Share Capital/Capital Stock* |
| CDAQ's authorized share capital is US $22,100 divided into 200,000,000 Class A ordinary shares of a par value of US $0.0001 each, 20,000,000 Class B ordinary shares of a par value of US $0.0001 each and 1,000,000 preference shares of a par value of US $0.0001 each. | The total number of shares of all classes of capital stock which Pubco shall have authority to issue is 300,000,000 shares, of which (i) 250,000,000 shares shall be a class designated as common stock, par value $0.0001 per share and (ii) 50,000,000 shares shall be a class designated as undesignated preferred stock, par value $0.0001 per share of Pubco preferred stock (the "Undesignated Preferred Stock") |

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| | |
|:---|:---|
| **CDAQ Memorandum and Articles** | **Pubco Charter** |
| *Preference Shares*.The directors of CDAQ may issue, allot and dispose of shares, with or without preferred, deferred or other rights or restrictions, whether in regard to dividends or other distributions, voting, return of capital or otherwise to such persons, at such times and on such terms as they think proper, and may also vary such rights (subject to Companies Act and the CDAQ Memorandum and Articles); and grant options with respect to such shares and issue warrants or similar instruments with respect thereto, save that the directors of CDAQ shall not allot, issue, grant options over or otherwise dispose of shares to the extent that it may affect the ability of CDAQ to carry out a "Class B Share Conversion" as set out in the CDAQ Memorandum and Articles. | *Undesignated Preferred Stock*.The Pubco Board or any authorized committee thereof is expressly authorized, to the fullest extent permitted by law, to provide by resolution or resolutions for, out of the unissued shares of Undesignated Preferred Stock, the issuance of the shares of Undesignated Preferred Stock in one or more series of such stock, and by filing a certificate of designations pursuant to the DGCL, to establish or change from time to time the number of shares of each such series, and to fix the designations, powers, including voting powers, full or limited, or no voting powers, preferences and the relative, participating, optional or other special rights of the shares of each series and any qualifications, limitations and restrictions thereof. |
| *Rights and Options*.The rights conferred upon the holders of the shares of any class issued with preferred or other rights shall not, subject to any rights or restrictions for the time being attached to the shares of that class, be deemed to be varied (i) by the creation, allotment or issue of further shares ranking pari passu therewith or shares issued with preferred or other rights or (ii) where the constitutional documents of CDAQ are amended or new constitutional documents are adopted, in each case, as a result of CDAQ undertaking a transfer by way of continuation to a jurisdiction outside the Cayman Islands. | *Rights and Options*.Pubco has the authority to create and issue rights, warrants and options or convertible securities entitling the holders thereof to subscribe for, purchase or receive shares of any class or series of Pubco's capital stock or other securities, and such rights, warrants and options shall be evidenced by instrument(s) approved by the Pubco Board or any authorized committee thereof. The Pubco Board or any authorized committee thereof is expressly authorized to set the exercise price, duration, times for exercise and other terms and conditions of such rights, warrants or options; provided, however, that the consideration to be received for any shares of capital stock subject thereto may not be less than the par value thereof. |
| *Ordinary Shares*.The directors of CDAQ may issue, allot, and dispose of shares, in such manner, on such terms and having such rights and being subjected to such restrictions as they may from time to time determine, and may also vary such rights (subject to the Cayman Companies Act and the CDAQ Memorandum and Articles); and grant options with respect to such shares and issue warrants or similar instruments with respect thereto, save that the directors of CDAQ shall not allot, issue, grant options over or otherwise dispose of shares to the extent that it may affect the ability of CDAQ to carry out a "Class B Share Conversion" as set out in the CDAQ Memorandum and Articles. | *Pubco Common Stock*.The Pubco Board is expressly authorized to provide for the issuance of shares of Pubco Common Stock from time to time. Except as may otherwise be provided in the Pubco Charter (including any certificate of designations filed with the Secretary of State of the State of Delaware establishing the terms of a series of Pubco preferred stock), each holder of Pubco Common Stock will be entitled to one vote for each share of common stock held of record by such holder on each matter properly submitted to the stockholders on which the holders of the common stock are entitled to vote. |

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| | |
|:---|:---|
| **CDAQ Memorandum and Articles** | **Pubco Charter** |
| *Directors; Classes* | *Directors; Classes* |
| The directors of CDAQ are divided into three classes: Class I, Class II and Class III. The Class I directors shall stand appointed for a term of three years expiring at CDAQ's first annual general meeting, the Class II directors shall stand appointed for a term of three years expiring at CDAQ's second annual general meeting, and the Class III directors shall stand appointed for a term of three years expiring at CDAQ's third annual general meeting. At each succeeding annual general meeting, directors shall be elected for a full term of three (3) years to succeed the directors of the class whose terms expire at such annual general meeting. | The number of Directors of Pubco will be fixed solely and exclusively by resolution duly adopted from time to time by the Pubco Board.<br>The Directors, other than those who may be elected by the holders of any series of Undesignated Preferred Stock will be classified, with respect to the term for which they severally hold office, into three classes. Such classes will be as nearly equal in number of Directors as reasonably possible. The Pubco Board will assign directors into classes at the time the classification becomes effective. The initial Class I directors will serve for a term expiring at the first annual meeting of stockholders to be held after the filing of the Pubco Charter, the initial Class II directors will serve for a term expiring at the second annual meeting of stockholders to be held after the filing of the Pubco Charter, and the initial Class III directors will serve for a term expiring at the third annual meeting of stockholders to be held after the filing of the Pubco Charter. At each annual meeting of stockholders, directors elected to succeed those directors whose terms expire will be elected for a term of office to expire at the third succeeding annual meeting of stockholders after their election. Notwithstanding the foregoing, the directors elected to each class will hold office until their successors are duly elected and qualified or until their earlier resignation, death or removal. |
| *Board Vacancies; Removal* | *Board Vacancies; Removal* |
| Directors may be appointed either to fill a vacancy in the CDAQ board of directors or as an additional director by the Directors CDAQ or by Ordinary Resolution (being the affirmative vote of a simple majority of the holders of Shares entitled to vote, voting in person or by proxy at a general meeting of CDAQ more a resolution passed in writing by all of the holders of Shares).<br>Prior to the initial business combination, CDAQ may by an Ordinary Resolution of the holders of the CDAQ Class B Ordinary Shares (being the affirmative vote of a simple majority of the holders of CDAQ Class B Ordinary Shares entitled to vote, voting in person or by proxy at a general meeting of CDAQ more a resolution passed in writing by all of the holders of CDAQ Class B Ordinary Shares) appoint any person to be a director. Any director appointed in accordance with the CDAQ Memorandum and Articles shall hold office for the remainder of the full term of the class of directors in which the vacancy occurred and until the director's successor shall have been duly elected and qualified or until his or her earlier resignation, death or removal. | Subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock to elect directors and to fill vacancies in the Pubco Board relating thereto, any and all vacancies in the Pubco Board, however occurring, including, without limitation, by reason of an increase in the size of the Pubco Board, or the death, resignation, disqualification or removal of a Director, will be filled solely and exclusively by the affirmative vote of a majority of the remaining directors then in office, even if less than a quorum of the Pubco Board, and not by the stockholders. Any director appointed in accordance with the preceding sentence will hold office for the remainder of the full term of the class of directors in which the new directorship was created or the vacancy occurred and until such director's successor shall have been duly elected and qualified or until his or her earlier resignation, death or removal.<br>Subject to the rights, if any, of any series of Undesignated Preferred Stock to elect directors and to remove any director whom the holders of any such series have the right to elect, any director (including persons elected by directors to fill vacancies in the Pubco Board) may be removed from office only with cause. Subject to the rights, if any, of any series of Undesignated Preferred Stock and any limitations imposed by law, any individual director or the entire Pubco Board may be removed from office with cause by the affirmative vote of the holders of at least 66 2/3% of the voting power of all then outstanding shares of capital stock of Pubco entitled to vote on the election of such directors. |

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| | |
|:---|:---|
| **CDAQ Memorandum and Articles** | **Pubco Charter** |
| *Stockholder/Shareholder Voting* | *Stockholder/Shareholder Voting* |
| Subject to any rights or restrictions for the time being attached to any share, every shareholder present in person and every person representing a shareholder by proxy shall, at a general meeting of CDAQ have one (1) vote for each share of which he or the person represented by proxy is the holder. | Subject to the rights, if any, of any series of Undesignated Preferred Stock, and to the requirements of law, each holder of Pubco Common Stock shall be entitled to one vote for each share of Pubco Common Stock held of record by such holder on each matter properly submitted to the stockholders on which the holders of the Pubco Common Stock are entitled to vote. Except as otherwise required by law or the Pubco Charter, at any annual or special meeting of the stockholders of Pubco, the holders of the Pubco Common Stock shall have the exclusive right to vote for the election of directors and on all other matters properly submitted to a vote of the stockholders. |
| *Stockholder/Shareholder Meetings* | *Stockholder/Shareholder Meetings* |
| The directors, the CEO, or the chairman may call a general meeting. If at any time there are no directors, any two shareholders (or if there is only one shareholder, then that shareholder) entitled to vote at general meetings may convene a general meeting in the same manner as nearly as possible as that in which general meetings may be convened by the directors. | Except as otherwise required by statute and subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock, special meetings of the stockholders of Pubco may be called only by (i) the Pubco Board of Directors acting pursuant to a resolution approved by the affirmative vote of a majority of the directors then in office, (ii) the Chairperson of the Pubco Board, or (iii) the Chief Executive Officer of Pubco, and special meetings of stockholders may not be called by any other person or persons. Only those matters set forth in the notice of the special meeting may be considered or acted upon at a special meeting of stockholders of Pubco.<br>Stockholders must comply with certain advance notice procedures to nominate candidates to Pubco or to propose matters to be acted upon at a stockholders' meeting, as provided in the Pubco Bylaws.<br>Any action required or permitted to be taken by the stockholders of Pubco at any annual or special meeting of stockholders of Pubco must be effected at a duly called annual or special meeting of stockholders and may not be taken or effected by a written consent of stockholders in lieu thereof. |

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|:---|
| **CDAQ Memorandum and Articles** |
| *Amendments to the Governing Documents* |
| Subject to the Cayman Companies Act, CDAQ may by Special Resolution alter or amend the CDAQ Memorandum and Articles in whole or in part. Prior to the closing of a business combination, only the Class B Ordinary Shares shall carry the right to vote on a Special Resolution for the purposes of amending the CDAQ Memorandum and Articles in accordance with a continuation of CDAQ out of the Cayman Islands. Except as otherwise provided by law, the Pubco Bylaws may be amended or repealed by the Pubco Board by the affirmative vote of a majority of the Directors then in office.<br> The Pubco Bylaws may be amended or repealed, at any annual meeting of stockholders, or special meeting of stockholders called for such purpose, by the affirmative vote of at least 66 2/3% of the outstanding shares of Pubco capital stock entitled to vote on such amendment or repeal, voting together as a single class; <u>provided</u>, <u>however</u>, that if the Pubco Board recommends that stockholders approve such amendment or repeal at such meeting of stockholders, such amendment or repeal shall only require the affirmative vote of the majority of the outstanding shares of Pubco capital stock entitled to vote on such amendment or repeal, voting together as a single class.<br>Whenever any vote of the holders of capital stock of Pubco is required to amend or repeal any provision of the Pubco Charter, and in addition to any other vote of holders of Pubco capital stock that is required by the Pubco Charter or by law, such amendment or repeal shall require the affirmative vote of the majority of the outstanding shares of Pubco capital stock entitled to vote on such amendment or repeal, and the affirmative vote of the majority of the outstanding shares of each class entitled to vote thereon as a class, at a duly constituted meeting of stockholders called expressly for such purpose; provided however, that the following provisions of the Pubco Charter requires the affirmative vote of the holders of at least 66 <sup>2</sup>⁄<sub>3</sub>% of the voting power of the outstanding capital stock of Pubco to be effective: |

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 the amendment provision requiring that the above provisions be amended only with a 66 <sup>2</sup>⁄<sub>3</sub>% supermajority vote.

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| | |
|:---|:---|
| *Authority of the Directors* | *Authority of the Directors* |
| The business shall be managed by the directors who may pay all expenses incurred in setting up and registering CDAQ and may exercise all the powers of CDAQ as conferred upon them in the CDAQ Memorandum and Articles and the Cayman Companies Act. | The business and affairs of Pubco are managed by or under the direction of the Pubco Board except as otherwise provided by the Certificate or required by law. |

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| | |
|:---|:---|
| **CDAQ Memorandum and Articles** | **Pubco Charter** |
| *Liability of Directors and Officers* | *Liability of Directors and Officers* |
| Cayman Islands law does not limit the extent to which a company's articles of association may provide for indemnification of officers and directors, except to the extent any such provision may be held by the Cayman Islands courts to be contrary to public policy, such as to provide indemnification against fraud or willful default. The CDAQ Memorandum and Articles provides for indemnification of officers and directors against any pending or threatened action or proceeding, costs, charges, expenses, losses, damages or liabilities incurred, other than by the director's or officer's own actual fraud, willful default or willful neglect. | A director or officer of Pubco will not be personally liable to Pubco or its stockholders for monetary damages for breach of fiduciary duty as a director or officer, except for liability (a) for any breach of the director's or officer's duty of loyalty to Pubco or its stockholders, (b) for acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law, (c) under Section 174 of the DGCL or (d) for any transaction from which the director or officer derived an improper personal benefit. If the DGCL is amended after the effective date of the Pubco Charter to authorize corporate action further eliminating or limiting the personal liability of directors or officers, then the liability of a director or officer of Pubco will be eliminated or limited to the fullest extent permitted by the DGCL, as so amended. |
| *Indemnification of Directors, Officers, Employees and Others* | *Indemnification of Directors, Officers, Employees and Others* |
| See "— *Liability of Directors and Officers*" above. | See "— *Liability of Directors and Officers*"<br> Pubco may indemnify to the fullest extent permitted by the DGCL any person made or threatened to be made a party to an action or proceeding, whether criminal, civil, administrative, arbitrative or investigative, by reason of the fact that he, she, his or her testator or intestate is or was a director, officer, employee or agent at the request of Pubco or any predecessor to Pubco or serves or served at any other legal entity as a director, officer, employee or agent at the request of Pubco. |
| *Exclusive Forum* |  |

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For more information regarding the Pubco Charter, see the section entitled "*Description of Pubco Securities*."

**Comparison of Shareholder Rights under Applicable Corporate Law Before and After the Closing of the Business Combination**

When the Business Combination is completed, the rights of the shareholders will be governed by Delaware law, including the DGCL, rather than by the laws of the Cayman Islands, including the Cayman Companies Act. Certain differences exist between the DGCL and the Cayman Companies Act that will alter certain of the rights of shareholders and affect the powers of the CDAQ Board and management following the Closing of the Business Combination.

Shareholders should consider the following summary comparison of the laws of the Cayman Islands, on the one hand, and the DGCL, on the other. This comparison is not intended to be complete and is qualified in its entirety by reference to the DGCL and the Cayman Companies Act.

The owners of a Delaware corporation's shares are referred to as "stockholders." For purposes of language consistency, in certain sections of this proxy statement/prospectus, CDAQ may continue to refer to the share owners of CDAQ as "shareholders."

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| | | |
|:---|:---|:---|
| **Provision** | **Cayman Islands** | **Delaware** |
| *Applicable legislation* | The Cayman Companies Act.<br>| General Corporation Law of the State of Delaware.<br>|
| *General Vote Required for Combinations with Interested Stockholders/Shareholders* | No similar provision. | Generally, a corporation may not engage in a business combination with an interested stockholder for a period of three years after the time of the transaction in which the person became an interested stockholder, unless the corporation opts out of the applicable statutory provision.<br>|
| *Appraisal Rights* | Under the Cayman Companies Act and subject to certain exceptions, shareholders that dissent from a merger are entitled to be paid the fair market value of their shares, which if necessary may ultimately be determined by the courts of the Cayman Islands. | Stockholders of a publicly traded corporation do, however, generally have appraisal rights in connection with a merger if they are required by the terms of a merger agreement to accept for their shares anything except: (a) shares or depository receipts of the corporation surviving or resulting from such merger; (b) shares of stock or depository receipts that will be either listed on a national securities exchange or held of record by more than 2,000 holders; (c) cash in lieu of fractional shares or fractional depository receipts described in (a) and (b) above; or (d) any combination of the shares of stock, depository receipts and cash in lieu of fractional shares or fractional depository receipts described in (a), (b) and (c) above.<br>|

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| | | |
|:---|:---|:---|
| **Provision** | **Cayman Islands** | **Delaware** |
| *Requirements for Stockholder/Shareholder Approval* | Certain matters must be approved by special resolution of the shareholders as a matter of Cayman Islands law, including alteration of the memorandum or articles of association, appointment of inspectors to examine company affairs, reduction of share capital (subject, to court approval), change of name, authorization of a plan of merger (other than a merger between a parent and a subsidiary), authorization of a transfer by way of continuation to another jurisdiction or consolidation or voluntary winding up of the company.<br>The Cayman Companies Act requires that a special resolution be passed by a majority of at least two-thirds or such higher percentage as set forth in the memorandum and articles of association, of shareholders being entitled to vote and do vote in person or by proxy at a general meeting, or by unanimous written consent of shareholders entitled to vote at a general meeting.<br>The Cayman Companies Act defines "special resolutions" only. A company's memorandum and articles of association can therefore tailor the definition of "ordinary resolutions" as a whole, or with respect to specific provisions. Under the CDAQ Memorandum and Articles an ordinary resolution must be passed at a general meeting by a simple majority of shareholders who (being entitled to do so) vote in person or by proxy at that meeting. The expression includes a unanimous resolution in writing.<br>| Subject to the certificate of incorporation, stockholder approval of mergers, a sale of all or substantially all the assets of the corporation, dissolution and amendments of governing documents requires the affirmative vote of a majority of outstanding voting power; most other stockholder approvals require a the affirmative vote of a majority of the voting power present and entitled to vote on the matter, provided a quorum is present. The Pubco Charter and Pubco Bylaws follow the statutory provision for stockholder approval. |
| *Requirement for Quorum* | The holders of at least one-third of the issued and outstanding shares of the company being individuals present in person or by proxy or if a corporation or other non-natural person by its duly authorized representative or proxy shall constitute a quorum. | Quorum is a majority of outstanding voting power unless otherwise set in the governing documents but cannot be less than one-third of shares entitled to vote at the meeting. The Pubco Charter and Pubco Bylaws follow the statutory provision and provide that the holders of a majority of voting power outstanding and entitled to vote constitutes a quorum.<br>|

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| | | |
|:---|:---|:---|
| **Provision** | **Cayman Islands** | **Delaware** |
| *Stockholder/Shareholder Consent to Action Without Meeting* | A company's articles of association may allow shareholders to pass special and ordinary resolutions in writing. Special resolutions passed in writing must be approved by all the members entitled to vote at a general meeting of the company. Ordinary resolutions passed in writing may be approved by such number of shareholders as prescribed by the company's articles of association. The CDAQ Memorandum and Articles requires an Ordinary Resolution in writing to be adopted unanimously.<br>| Unless otherwise provided in the certificate of incorporation, stockholders may act by written consent. The Pubco Charter prohibits stockholders from acting by written consent and all actions of the stockholders must be taken at an annual or a special meeting. |
| *Inspection of Books and Records* | Shareholders of Cayman Islands exempted companies have no general rights under Cayman Islands law to inspect corporate records or to obtain copies of lists of shareholders of these companies (other than copies of their memorandum and articles of association, register of mortgages and charges, and any special resolutions). Under Cayman Islands law, the names of an exempted company's current directors can be obtained from a search conducted at the Registrar of Companies.<br>| Subject to certain requirements, any stockholder may inspect the corporation's books and records for a proper purpose during the usual hours for business. |
| *Stockholder/Shareholder Lawsuits* | In the Cayman Islands, the decision to institute proceedings on behalf of a company is generally taken by the company's board of directors. A shareholder may be entitled to bring a derivative action on behalf of the company only in certain limited circumstances (e.g., where a company acts or proposes to act illegally or ultra vires (beyond the scope of its authority); the act complained of, although not ultra vires, could be effected if duly authorized by more than the number of votes which have actually been; and those who control the company are perpetrating a "fraud on the minority").<br>| A stockholder may bring a derivative suit subject to procedural requirements. Delaware is the exclusive forum for such suits as per the Pubco Charter. |

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| | | |
|:---|:---|:---|
| **Provision** | **Cayman Islands** | **Delaware** |
| *Removal of Directors* | A company's memorandum and articles of association may provide that a director may be removed for any or no reason and that, in addition to shareholders, directors may be granted the power to remove a director. | Any director or the entire board may be removed, with or without cause, by the holders of a majority of the voting power held by the shares then entitled to vote at an election of directors, except as follows: (a) unless the certificate of incorporation otherwise provides, in the case of a corporation with a classified board, stockholders may effect such removal only for cause; or (b) in the case of a corporation having cumulative voting, if less than the entire board is to be removed, no director may be removed without cause if the votes cast against such director's removal would be sufficient to elect such director if then cumulatively voted at an election of the entire board. However, because the Pubco Board will be classified after the Closing of the Business Combination, pursuant to the Pubco Charter a director may be removed from office only for cause and only by the affirmative vote of at least a majority of the total voting power of the outstanding shares of capital stock of the corporation entitled to vote in any annual election of directors or class of directors, voting together as a single class.<br>|
| *Number of Directors* | Subject to the memorandum and articles of association, the board of directors of a company may increase the size of the board and fill any vacancies. | The number of directors is fixed by, or in the manner provided by, the certificate of incorporation or the by-laws. The by-laws may provide that the board may increase the size of the board and fill any vacancies. The Pubco Charter and the Pubco Bylaws provide the number of directors is determined by resolution of the Pubco Board.<br>|
| *Classified or Staggered Boards* | Classified boards are permitted. | Classified boards are permitted. The Pubco Charter provides that the Pubco Board is classified.<br>|
| *Fiduciary Duties of Directors* | The fiduciary duties of a director of a Cayman Islands exempted company are not codified, however the courts of the Cayman Islands have held that a director owes the following fiduciary duties (a) a duty to act in what the director bona fide considers to be in the best interests of the company, (b) a duty to exercise their powers for the purposes they were conferred, (c) a duty to avoid fettering his or her discretion in the future and (d) a duty to avoid conflicts of interest and of duty.<br>| Directors must exercise a duty of care and duty of loyalty, which includes the duty to act in good faith, to the company and its stockholders. |
| *Indemnification of Directors and Officers* | Cayman Islands law does not limit the extent to which a company's memorandum and articles of association may provide for indemnification of directors and officers, except to the extent any such provision may be held by the Cayman Islands courts to be contrary to public policy, such as to provide indemnification against the consequences of the director's own actual fraud or willful default. | A corporation shall have the power to indemnify any person who was or is a party to any proceeding because such person is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another entity against expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred if the person acted in good faith and in a manner reasonably believed to be in or not opposed to the best interests of the corporation, and, with respect to any criminal proceeding, had no reasonable cause to believe his or her conduct was unlawful. If the action was brought by or on behalf of the corporation, no indemnification is made when a person is adjudged liable to the corporation unless a court determines such person is fairly and reasonably entitled to indemnity for expenses the court deems proper. |
| *Limited Liability of Directors* | Liability of directors may be limited, except with regard to their own actual fraud or willful default. | Permits the limiting or eliminating of the monetary liability of a director to a corporation or its stockholders, except with regard to breaches of duty of loyalty, intentional misconduct, unlawful stock repurchases or dividends, or improper personal benefit. |

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**Regulatory Matters**

The Business Combination and the transactions contemplated by the Merger Agreement are not subject to any additional federal or state regulatory requirement or approval, except for (i) filings with the Registrar of Companies of the Cayman Islands necessary to effectuate the Purchaser Merger, which will be filed on behalf of CDAQ with the Registrar of Companies of the Cayman Islands upon the approval of the Merger Proposal and satisfaction of all other conditions not waived by the applicable parties under the Merger Agreement and (ii) filings with the State of Delaware necessary to effectuate the Business Combination, including the Company Merger, which will be filed on behalf of KMC and Company Merger Sub with the Secretary of State of the State of Delaware upon the approval of the Business Combination Proposal, the satisfaction of all other conditions not waived by the applicable parties under the Merger Agreement.

**Anticipated Accounting Treatment**

The Business Combination will be accounted for as a reverse recapitalization, in accordance with U.S. GAAP. Under this method of accounting, CDAQ will be treated as the "acquired" company for financial reporting purposes, and KMC will be the accounting "acquirer." This determination was primarily based on the assumption that:

● KMC's stockholders will hold a majority of the voting power of Pubco after the Business Combination;

● The Pubco Board will consist of five board members, four of which will be designated by KMC and one will be designated by CDAQ;

● KMC's operations will substantially comprise the ongoing operations of Pubco; and

● KMC's senior management will comprise the senior management of Pubco.

Another determining factor was that CDAQ does not meet the definition of a "business" pursuant to ASC 805-10-55, and thus, for accounting purposes, the Business Combination will be accounted for as a reverse recapitalization, within the scope of ASC 805. The net assets of CDAQ will be stated at historical cost, with no goodwill or other intangible assets recorded.

**Appraisal Rights**

CDAQ Shareholders do not have appraisal rights in connection with the Business Combination or the Company Merger under either the Cayman Companies Act or under the DGCL. CDAQ Shareholders may have appraisal rights or Dissent Rights in connection with the Purchaser Merger under the Cayman Companies Act.

Holders of record of CDAQ Ordinary Shares wishing to exercise such statutory dissenter rights and make a demand for payment of the fair value for his, her or its CDAQ Ordinary Shares must give written objection to the Purchaser Merger to CDAQ prior to the shareholder vote at the Meeting to approve the Purchaser Merger and follow the procedures set out in Section 238 of the Cayman Companies Act.

These statutory appraisal rights are separate to and mutually exclusive of the right of holders of Public Shares to elect to have their shares redeemed for cash at the applicable Redemption Price in accordance with the CDAQ Memorandum and Articles, which are discussed above in the section titled "*Questions and Answers about the Proposals –– Do I have Redemption Rights?*" CDAQ Shareholders who elect to have their Public Shares redeemed in accordance with the CDAQ Memorandum and Articles will not be entitled to exercise statutory dissenter rights under the Cayman Companies Act.

Any CDAQ Shareholder who elects to exercise statutory dissenter rights under the Cayman Companies Act must do so in respect of all of the CDAQ Ordinary Shares that person holds and that person will lose their right to exercise their redemption rights as detailed in the CDAQ Memorandum and Articles. Shareholders are recommended to seek their own advice as soon as possible on the application and procedure to be followed in respect of the appraisal rights contained in Section 238 of the Cayman Companies Act.

It is possible that, if shareholders exercise their statutory dissenter rights, the fair value of the CDAQ Ordinary Shares determined under Section 238 of the Cayman Companies Act could be more than, the same as, or less than shareholders would obtain if they exercise their redemption rights in accordance with CDAQ Memorandum and Articles as described herein. Shareholders need not vote against any of the proposals at the Meeting in order to exercise their statutory dissenter rights under the Cayman Companies Act.

CDAQ Shareholders who do wish to exercise their statutory dissenter rights, if applicable, will be required to deliver notice to CDAQ prior to the Meeting and follow the process prescribed in Section 238 of the Cayman Companies Act. This is a separate process with different deadline requirements to the process which shareholders must follow if they wish to exercise their redemption rights in accordance with CDAQ Memorandum and Articles, which is discussed above in the section titled "*Questions and Answers about the Proposals –– How do I exercise my Redemption Rights?*"

At the Effective Time, those Dissenting Shares shall no longer be outstanding and shall automatically be cancelled by virtue of the Mergers, and each holder of Dissenting Shares shall cease to have any rights with respect thereto, except the right to receive the fair value of such Dissenting Shares in accordance with the provisions of Section 238 of the Cayman Companies Act. Notwithstanding the foregoing, if any such holder shall have failed to perfect or prosecute or shall have otherwise waived, effectively withdrawn or lost his, her or its rights under Section 238 of the Cayman Companies Act (including in the circumstances described in the immediately following paragraph) or a court of competent jurisdiction shall determine that such holder is not entitled to the relief provided by Section 238 of the Cayman Companies Act and such other rights as are granted by the Cayman Companies Act, then the right of such holder to be paid the fair value of such holder's Dissenting Shares under Section 238 of the Cayman Companies Act shall cease and such CDAQ Ordinary Shares shall no longer be considered Dissenting Shares for purposes hereof and such holder's CDAQ Ordinary Shares shall thereupon be deemed to have been converted into and to have become exchangeable for, as of the Effective Time the right to receive the Merger Consideration comprising one share of Pubco Common Stock for each CDAQ Ordinary Share, without any interest thereon. As a result, such shareholder will not receive any cash for their CDAQ Ordinary Shares and will become a stockholder of Pubco.

In the event that any holder of CDAQ Ordinary Shares delivers notice of their intention to exercise dissenter rights, the Company and the other parties to the Merger Agreement may in their sole discretion delay the consummation of the Business Combination in order to invoke the limitation on dissenter rights under Section 239 of the Cayman Companies Act. Section 239 of the Cayman Companies Act states that no such dissenter rights shall be available in respect of shares of any class for which an open market exists on a recognized stock exchange or recognized interdealer quotation system at the expiry date of the period allowed for written notice of an election to dissent, provided that the merger consideration constitutes inter alia shares of any company which, at the effective date of the merger, are listed on a national securities exchange. In such circumstances where the exception under Section 239 of the Cayman Companies Act is invoked, no dissenter rights shall be available to CDAQ Shareholders, including those CDAQ Shareholders who have delivered a written objection to the Mergers prior to the Meeting and followed the process prescribed in Section 238 of the Cayman Companies Act in full up to such date, and each such holder's CDAQ Ordinary Shares shall thereupon be deemed to have been converted as of the Effective Time into the right to receive the Merger Consideration comprising one share of Pubco Common Stock for each CDAQ Ordinary Share, without any interest thereon. Accordingly, CDAQ Shareholders are not expected to ultimately have any appraisal or dissent rights in respect of their CDAQ Ordinary Shares and the certainty provided by the redemption process may be preferable for CDAQ Shareholders wishing to exchange their Public Shares for cash.

**Required Vote and Recommendation of the CDAQ Board**

The Closing is conditioned on the approval of the Business Combination Proposal at the Meeting. The consummation of the Business Combination will require an ordinary resolution, being a resolution passed at the Meeting by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders entitled to vote thereon as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Business Combination Proposal.

The Sponsor has agreed to vote its CDAQ Ordinary Shares, representing approximately 39.70% of the issued and outstanding CDAQ Ordinary Shares, in favor of the adoption and approval of the Merger Agreement and the Business Combination and each of the CDAQ Shareholder Approval Matters as described below under "*The Business Combination — Ancillary Documents –– Sponsor Support Agreement*."

If the Business Combination Proposal is not approved, then the other Proposals (other than the Adjournment Proposal) will not be presented to the CDAQ Shareholders for a vote.

The full text of the resolution to be passed is as follows:

"RESOLVED, as an ordinary resolution, that the entry by Compass Digital Acquisition Corp. ("CDAQ") into an agreement and plan of merger, dated as of January 6, 2026 (and as may be amended or restated from time to time, the "Merger Agreement"), by and among CDAQ, Pubco, the Purchaser Merger Sub, the Company Merger Sub and KMC (each as defined in the Merger Agreement), pursuant to which: (i) Purchaser Merger Sub will merge with and into CDAQ, with the CDAQ continuing as the surviving entity and as a result of which the shareholders of the CDAQ (the "CDAQ Shareholders") will receive one share of Pubco common stock for each Class A ordinary share of par value US$0.0001 each (or Class A common stock held by such CDAQ Shareholder; and (ii) Company Merger Sub will merge with and into the KMC, with the KMC continuing as the surviving company, and as a result of which the members of the KMC will receive shares of common stock of Pubco in exchange for their membership interests in the Company, and the performance by the CDAQ of its obligations thereunder and thereby be ratified, approved, adopted and confirmed in all respects. All of the transactions contemplated by the Merger Agreement are collectively referred to as the "Business Combination."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE BUSINESS COMBINATION PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the proposals. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**The Business Combination**

*This section describes the material provisions of the Merger Agreement\ but does not purport to describe all of the terms of the Merger Agreement. The following summary is qualified in its entirety by reference to the complete text of the Merger Agreement and the Ancillary Documents. The CDAQ Shareholders and other interested parties are urged to read such agreement in its entirety because it is the primary legal document that governs the Business Combination. Unless otherwise defined herein, the capitalized terms used in this section are defined in the Merger Agreement.*

*The Merger Agreement contains representations, warranties and covenants that the respective parties made to each other as of the date of the Merger Agreement or other specific dates, including, in some cases, as of the Closing of the Business Combination. The assertions embodied in those representations, warranties and covenants were made for purposes of the contract among the respective parties and are subject to important qualifications and limitations agreed to by the parties in connection with negotiating the Merger Agreement. The representations, warranties and covenants in the Merger Agreement are also modified in important part by the disclosure schedules attached thereto which are not filed publicly and which are subject to a contractual standard of materiality different from that generally applicable to stockholders. The disclosure schedules were used for the purpose of allocating risk among the parties rather than establishing matters as facts. CDAQ does not believe that the disclosure schedules contain information that is material to an investment decision.*

**The Merger Agreement**

***General***

On January 6, 2026, CDAQ entered into the Merger Agreement with Pubco, Purchaser Merger Sub, Company Merger Sub and KMC, for a proposed Business Combination between CDAQ and KMC. KMC is a global critical minerals and infrastructure company focused on acquiring, advancing and developing assets in the Americas with projects in Chile and the United States. Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming all outstanding KMC Options and KMC Warrants. Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

***Merger Consideration***

Pursuant to the Merger Agreement, the Merger Consideration to be paid by Pubco to the KMC stockholders (excluding holders of KMC Options and KMC Warrants) at the effective time of the Mergers will be an amount equal to $230.0 million, which will be paid entirely in shares of Pubco Common Stock, with each share valued at $10.00 per share. Each KMC stockholder will receive a number of shares of Pubco Common Stock equal to the result of dividing the "Per Share Price" (as defined in the Merger Agreement) by $10.00. No fractional shares of Pubco Common Stock will be issued, instead the number of shares issued to each recipient will be rounded up to the nearest whole share. Outstanding KMC Options and KMC Warrants will be assumed by Pubco and converted into options and warrants to acquire shares of Pubco Common Stock with the same terms as the existing KMC Options and KMC Warrants, except that the exercise price and number of shares will be adjusted based on the conversion ratio of KMC Common Stock to Pubco Common Stock. The shares of Pubco Common Stock issued as Merger Consideration and the Pubco options and warrants that are issued following the assumption of KMC Options and KMC Warrants by Pubco are not subject to any contractual post-Closing lock-up or transfer restrictions.

***Representations and Warranties***

The Merger Agreement contains customary representations and warranties of CDAQ, Pubco, the Merger Subs and KMC as of the date of the Merger Agreement or other specified dates solely for the benefit of certain of the parties to the Merger Agreement, which in certain cases are subject to specified exceptions and materiality, Material Adverse Effect (as defined below), knowledge and other qualifications contained in the Merger Agreement or in information provided pursuant to certain disclosure schedules to the Merger Agreement. "<u>Material Adverse Effect</u>" as used in the Merger Agreement means, in short, with respect to any specified person or entity, any fact, event, occurrence, change or effect that has had, or would reasonably be expected to have, individually or in the aggregate, a material adverse effect upon the business, assets, liabilities, operations, results of operations or condition (financial or otherwise) of such person and its subsidiaries, taken as a whole, or the ability of such person or any of its subsidiaries on a timely basis to consummate the Transactions, in each case subject to certain customary exceptions. Certain of the representations are also subject to specified exceptions and qualifications contained in information provided pursuant to certain disclosure schedules to the Merger Agreement.

In the Merger Agreement, CDAQ made certain customary representations and warranties to KMC as of the date of the Merger Agreement and as of the Closing of the Business Combination, including, among others, with respect to (i) corporate organization, qualification to do business and good standing, (ii) authorization to enter into and be bound by the Merger Agreement and to complete the contemplated Transactions, (iii) governmental approvals and consents necessary in connection with the Business Combination, (iv) absence of conflicts with organizational documents, applicable laws and CDAQ material contracts as a result of entering into the Merger Agreement or consummating the Business Combination, (v) capitalization, (vi) proper filing of documents with the SEC and accuracy of CDAQ financial statements, (vii) absence of certain changes, (viii) compliance with laws, (ix) actions, orders and permits, (x) taxes and returns, (xi) employees and employee benefit plans, (xii) properties, (xiii) material contracts, (xiv) transactions with affiliates, (xv) the Investment Company Act, (xvi) finders and brokers, (xvii) CDAQ activities since its incorporation, (xviii) certain business practices of CDAQ, (xix) insurance, (xx) independent investigation, (xxi) accuracy of information supplied and (xxii) the Trust Account.

In the Merger Agreement, Pubco and the Merger Subs made certain customary representations and warranties to KMC, including, among others, with respect to (i) corporate organization, qualification to do business and good standing, (ii) authorization to enter into and be bound by the Merger Agreement and to complete the contemplated Transactions, (iii) governmental approvals and consents necessary in connection with the Business Combination, (iv) absence of conflicts with organizational documents, applicable laws and material contracts of the applicable party as a result of entering into the Merger Agreement or consummating the Business Combination, (v) capitalization, (vi) ownership of Pubco Common Stock, (vii) Pubco and Merger Subs activities, (viii) finders and brokers and (ix) the Investment Company Act.

In the Merger Agreement, KMC made certain customary representations and warranties to CDAQ, as of the date of the Merger Agreement and as of the Closing, including, among others, with respect to (i) corporate organization, qualification to do business and good standing, (ii) authorization to enter into and be bound by the Merger Agreement and to complete the contemplated Transactions, (iii) capitalization, (iv) subsidiaries, (v) government approvals and consents necessary in connection with the Business Combination, (vi) non-contravention, (vii) financial statements, (viii) absence of certain changes, (ix) compliance with laws, (x) KMC's permits, (xi) litigation, (xii) material contracts of KMC, (xiii) intellectual property, (xiv) taxes and returns, (xv) real property, (xvi) personal property, (xvii) title to and sufficiency of assets, (xviii) employment matters, including the representation that KMC has no employees and operates through independent contractors, (xix) benefit plans, (xx) environmental matters, (xxi) mining and desalination, including representations regarding the validity and good standing of certain Chilean mining concessions, and the necessary maritime concessions and permits for certain desalination facilities, (xxii) transactions with related persons, (xxiii) insurance, (xxiv) books and records, (xxv) certain business practices, (xxvi) the Investment Company Act, (xxvii) finders and brokers, (xxviii) independent investigation and (xxix) accuracy of information supplied.

Each party's representations, warranties and pre-Closing covenants contained in the Merger Agreement do not survive the Closing, and no party has any post-Closing indemnification obligations. Only the covenants and agreements of the parties to be performed after the Closing will survive the Closing, with such covenants and agreements surviving until fully performed. The Merger Agreement does not permit recourse against anyone other than the parties to the Merger Agreement.

***Covenants***

As described in further detail below, the Merger Agreement also contains certain covenants of the parties, which do not survive the Closing (other than those that are to be performed after the Closing). Certain of the covenants are subject to specified exceptions and qualifications contained in the Merger Agreement or in information provided pursuant to certain disclosure schedules to the Merger Agreement.

*Conduct of Business Prior to Closing by KMC*

During the Interim Period, KMC agreed to (i) conduct its business in all material respects in the ordinary course of business consistent with past practice, (ii) comply with all applicable laws applicable to it, its businesses, assets and employees and (iii) take all commercially reasonable measures necessary or appropriate to preserve intact, in all material respects, its business organizations, to keep available the services of its respective managers, directors, officers, employees and consultants, and to preserve the possession, control and condition of its material assets, all as consistent with past practice.

In addition, during the Interim Period, KMC agreed not to and to cause its subsidiaries not to, without the prior written consent of CDAQ:

● except as required to give effect to the transactions contemplated by the Merger Agreement and internal business reorganizations, amend, waive or otherwise change, in any respect, its organizational documents, except as required by applicable law;

● authorize for issuance, issue, grant, sell, pledge, dispose of or propose to issue, grant, sell, pledge or dispose of any of its equity securities or any options, warrants, commitments, subscriptions or rights of any kind to acquire or sell any of its equity securities, or other securities, including any securities convertible into or exchangeable for any of its shares or other equity securities or securities of any class and any other equity-based awards, or engage in any hedging transaction with a third person with respect to such securities, in each case other than in connection with (A) the grant of any equity awards to employees or other service providers of KMC or any of its subsidiaries in the ordinary course of business consistent with past practice, (B) the issuance of equity securities in connection with the exercise of any warrants previously issued by KMC prior to the date thereof or (C) the issuance or sale by KMC of any equity or equity linked securities of KMC;

● split, combine, recapitalize or reclassify any of its shares or other equity interests or issue any other securities in respect thereof or pay or set aside any dividend or other distribution (whether in cash, equity or property or any combination thereof) in respect of its equity interests, or directly or indirectly redeem, purchase or otherwise acquire or offer to acquire any of its securities; provided that KMC shall be permitted to effect one reverse stock split within the ratio of 1-for-2 to 1-for-20, as determined by KMC's board of directors;

● incur, create, assume, prepay or otherwise become liable for any indebtedness (directly, contingently or otherwise) in excess of $100,000 individually or $500,000 in the aggregate, make a loan or advance to or investment in any third party (other than advancement of expenses to employees in the ordinary course of business), or guarantee or endorse any indebtedness, liability or obligation of any person in excess of $100,000 individually or $500,000 in the aggregate;

● increase the compensation of its independent contractors, consultants and directors other than in the ordinary course of business, consistent with past practice, and in any event not in the aggregate by more than five percent (5%), or make or commit to make any bonus payment (whether in cash, property or securities) to any independent contractor, consultant or director, or materially increase other benefits of independent contractors, consultants or directors generally, or enter into or establish any benefit plan with, for or in respect of any current independent contractor, consultant or director, in each case other than as required by applicable law or in the ordinary course of business consistent with past practice;

● make or rescind any material election relating to taxes, settle any claim, action, suit, litigation, proceeding, arbitration, investigation, audit or controversy relating to taxes, file any amended tax return or claim for refund, or make any material change in its accounting or tax policies or procedures, in each case except as required by applicable law or in compliance with U.S. GAAP;

● transfer or license to any person or otherwise extend, materially amend or modify, permit to lapse or fail to preserve any of KMC's registered intellectual property set forth in the schedules to the Merger Agreement, or disclose to any person who has not entered into a confidentiality agreement any trade secrets;

● terminate, or waive or assign any material right under, any material contract or enter into any contract that would be a KMC material contract, in any case outside of the ordinary course of business consistent with past practice, other than entering into amendments to certain of the KMC Warrants to purchase KMC Common Stock to lower the exercise price of such KMC Warrants from $0.45 per share to $0.15 per share;

● fail to maintain its books, accounts and records in all material respects in the ordinary course of business consistent with past practice;

● establish any subsidiary or enter into any new line of business;

● revalue any of its material assets or make any material change in accounting methods, principles or practices, except to the extent required to comply with U.S. GAAP and after consulting with KMC's outside auditors;

● waive, release, assign, settle or compromise any claim, action or proceeding (including any suit, action, claim, proceeding or investigation relating to the Merger Agreement or the transactions contemplated hereby), other than waivers, releases, assignments, settlements or compromises that involve only the payment of monetary damages (and not the imposition of equitable relief on, or the admission of wrongdoing by, KMC, its subsidiaries or their respective affiliates) not in excess of $100,000 (individually or in the aggregate), or otherwise pay, discharge or satisfy any actions, liabilities or obligations, unless such amount has been reserved in the KMC's financial statements;

● acquire, including by merger, consolidation, acquisition of equity interests or assets, or any other form of business combination, any corporation, partnership, limited liability company, other business organization or any division thereof, or any material amount of assets outside the ordinary course of business consistent with past practice;

● close or materially reduce its activities, or effect any layoff or personnel reduction or change, at any of its facilities;

● make capital expenditures in excess of $1,000,000 (individually for any project (or set of related projects) or $2,000,000 in the aggregate);

● adopt a plan of complete or partial liquidation, dissolution, merger, consolidation, restructuring, recapitalization or other reorganization;

● voluntarily incur any liability or obligation (whether absolute, accrued, contingent or otherwise) in excess of $250,000 individually or $500,000 in the aggregate other than pursuant to the terms of a KMC material contract;

● sell, lease, license, transfer, exchange or swap, mortgage or otherwise pledge or encumber (including securitizations), or otherwise dispose of any material portion of its properties, assets or rights, other than KMC's desalination plant;

● enter into any agreement, understanding or arrangement with respect to the voting of equity securities of KMC;

● take any action that would reasonably be expected to significantly delay or impair the obtaining of any consents of any governmental authority to be obtained in connection with the Merger Agreement;

● accelerate the collection of any trade receivables or delay the payment of trade payables or any other liabilities other than in the ordinary course of business consistent with past practice;

● enter into, amend, waive or terminate (other than terminations in accordance with their terms) any transaction with any related person;

● take any action, or knowingly fail to take any action, which action or failure to act would reasonably be expected to prevent or impede the transactions contemplated by the Merger Agreement from qualifying for the intended tax treatment for the Transactions; or

● authorize or agree to do any of the foregoing actions.

*Conduct of Business Prior to Closing by CDAQ, Pubco and the Merger Subs*

During the Interim Period, CDAQ, Pubco, and the Merger Subs agreed to (i) conduct their respective businesses, in all material respects, in the ordinary course of business consistent with past practice, (ii) comply with all laws applicable to them and their respective businesses, assets and employees and (iii) take all commercially reasonable measures necessary or appropriate to preserve intact, in all material respects, their respective business organizations, to keep available the services of its respective managers, directors, officers, employees and consultants, and to preserve the possession, control and condition of their respective material assets, all as consistent with past practice. Notwithstanding the foregoing, CDAQ may, without prior written consent of any other party, extend the deadline by which it must complete its initial business combination by way of an amendment of the CDAQ Memorandum and Articles.

In addition, during the Interim Period, CDAQ, Pubco and the Merger Subs agreed not to, without the prior written consent of KMC:

● amend, waive or otherwise change, in any respect, its organizational documents except as required by applicable law;

● authorize for issuance, issue, grant, sell, pledge, dispose of or propose to issue, grant, sell, pledge or dispose of any of its equity securities or any options, warrants, commitments, subscriptions or rights of any kind to acquire or sell any of its equity securities, or other securities, including any securities convertible into or exchangeable for any of its equity securities or other security interests of any class and any other equity-based awards, or engage in any hedging transaction with a third person with respect to such securities;

● split, combine, recapitalize or reclassify any of its shares or other equity interests or issue any other securities in respect thereof or pay or set aside any dividend or other distribution (whether in cash, equity or property or any combination thereof) in respect of its shares or other equity interests, or directly or indirectly redeem, purchase or otherwise acquire or offer to acquire any of its securities;

● incur, create, assume, prepay or otherwise become liable for any indebtedness (directly, contingently or otherwise) in excess of $200,000 individually or $500,000 in the aggregate, make a loan or advance to or investment in any third party, or guarantee or endorse any indebtedness, liability or obligation of any person (provided, that this covenant shall not prevent CDAQ from borrowing funds necessary to finance its ordinary course administrative costs and expenses and expenses incurred in connection with the consummation of the Mergers and the other transactions contemplated by the Merger Agreement (including the consummation of any Transaction Financing and the costs and expenses necessary for an extension, up to aggregate additional indebtedness during the Interim Period of $1,500,000.

● make or rescind any material election relating to material taxes, settle any claim, action, suit, litigation, proceeding, arbitration, investigation, audit or controversy relating to taxes, file any amended tax return or claim for refund, or make any material change in its accounting or tax policies or procedures, in each case except as required by applicable law or in compliance with GAAP;

● amend, waive or otherwise change the Trust Agreement in any manner adverse to CDAQ;

● terminate, waive or assign any material right under any CDAQ material contract;

● fail to maintain its books, accounts and records in all material respects in the ordinary course of business consistent with past practice;

● establish any subsidiary or enter into any new line of business;

● fail to use commercially reasonable efforts to keep in force insurance policies or replacement or revised policies providing insurance coverage with respect to its assets, operations and activities in such amount and scope of coverage substantially similar to that which is currently in effect;

● revalue any of its material assets or make any material change in accounting methods, principles or practices, except to the extent required to comply with GAAP and after consulting CDAQ's outside auditors;

● waive, release, assign, settle or compromise any claim, action or proceeding (including any suit, action, claim, proceeding or investigation relating to the Merger Agreement or the transactions contemplated hereby), other than waivers, releases, assignments, settlements or compromises that involve only the payment of monetary damages (and not the imposition of equitable relief on, or the admission of wrongdoing by, CDAQ or its subsidiary) not in excess of $100,000 (individually or in the aggregate), or otherwise pay, discharge or satisfy any actions, liabilities or obligations, unless such amount has been reserved in CDAQ's financial statements;

● acquire, including by merger, consolidation, acquisition of equity interests or assets, or any other form of business combination, any corporation, partnership, limited liability company, other business organization or any division thereof, or any material amount of assets outside the ordinary course of business;

● make capital expenditures in excess of $100,000 individually for any project (or set of related projects) or $250,000 in the aggregate (excluding for the avoidance of doubt, incurring any expenses);

● adopt a plan of complete or partial liquidation, dissolution, merger, consolidation, restructuring, recapitalization or other reorganization (other than with respect to the Mergers);

● voluntarily incur any liability or obligation (whether absolute, accrued, contingent or otherwise) in excess of $100,000 individually or $250,000 in the aggregate (excluding the incurrence of any expenses) other than pursuant to the terms of a contract in existence as of the date of the Merger Agreement or entered into in the ordinary course of business or in accordance with the terms of the Merger Agreement during the Interim Period;

● sell, lease, license, transfer, exchange or swap, mortgage or otherwise pledge or encumber (including securitizations), or otherwise dispose of any material portion of its properties, assets or rights;

● enter into any agreement, understanding or arrangement with respect to the voting of securities of CDAQ;

● take any action that would reasonably be expected to significantly delay or impair the obtaining of any consents of any governmental authority to be obtained in connection with the Merger Agreement;

● take any action, or knowingly fail to take any action, which action or failure to act would reasonably be expected to prevent or impede the transactions contemplated by the Merger Agreement from qualifying for the intended tax treatment for the Transactions; or

● authorize or agree to do any of the foregoing actions.

*No Solicitation*

During the Interim Period, each party is subject to a customary "no-shop" covenant, pursuant to which such party may not, directly or indirectly, (i) solicit, assist, initiate or facilitate the making, submission or announcement of, or intentionally encourage, any acquisition proposal, (ii) furnish any non-public information regarding such party or its affiliates or their respective businesses, operations, assets, liabilities, financial condition, prospects or employees to any person or group (other than a party to the Merger Agreement or their respective representatives) in connection with or in response to an acquisition proposal, (iii) engage or participate in discussions or negotiations with any person or group with respect to, or that could reasonably be expected to lead to, an acquisition proposal, (iv) approve, endorse or recommend, or publicly propose to approve, endorse or recommend, any acquisition proposal, (v) negotiate or enter into any letter of intent, agreement in principle, acquisition agreement or other similar agreement related to any acquisition proposal, or (vi) release any third person from, or waive any provision of, any confidentiality agreement to which such party is a party. Each party, is also required to promptly notify the other parties of any unsolicited acquisition proposals and any requests for non-public information relating to such party or its affiliates in connection with any acquisition proposal, and to terminate any related discussions.

*Registration Statement*

CDAQ, Pubco and KMC agreed (i) to prepare and file this Registration Statement with the SEC to register the Pubco securities to be issued in replacement of CDAQ and KMC securities, (ii) that the Registration Statement will include a proxy statement for soliciting proxies from CDAQ Shareholders to vote in the Proposals at the Meeting, and (iii) a CDAQ proxy statement that will be contained therein for the purpose of soliciting proxies from CDAQ shareholders for the matters to be acted upon at a shareholders meeting to be called for CDAQ Shareholders to vote on, among other matters, the Merger Agreement and the Transactions, and CDAQ will call such shareholders meeting within 30 days after the Registration Statement has become effective. The CDAQ Board will be required to include in the Registration Statement its recommendation that CDAQ Shareholders approve the Merger Agreement and the Transactions and related matters (the "<u>CDAQ Board Recommendation</u>").

CDAQ agreed that the CDAQ Board will not change, withdraw, withhold, qualify or modify its recommendation to the CDAQ Shareholders that they vote in favor of the CDAQ Shareholder Approval Matters ("<u>Change in Recommendation</u>"), unless the CDAQ Board determines in good faith, after consultation with its outside counsel, that such Change in Recommendation is required by the CDAQ Board's fiduciary duties under applicable law. In order to make such Change in Recommendation, the CDAQ Board must (i) provide written notice to CDAQ (the "<u>Recommendation Change Notice</u>") that it is prepared to make a Change in Recommendation at least ten (10) days prior to taking such action, which notice shall specify the basis for why a failure to make an Change in Recommendation would constitute a breach of its fiduciary duties to CDAQ and its shareholders under applicable law, (ii) during the ten (10) day period after delivery of the Recommendation Change Notice, CDAQ shall negotiate in good faith with KMC regarding any revisions or adjustments to the Merger Agreement that KMC proposes to make as would enable the CDAQ Board to reaffirm the CDAQ Board Recommendation and not make such Change in Recommendation and (iii) at the end of such ten (10) day period and taking into account any changes to the terms of the Merger Agreement committed to in a binding written offer by KMC, the CDAQ Board determines in good faith (after consultation with its outside legal counsel) that the failure to make such a Change in Recommendation would constitute a breach of its fiduciary duties to CDAQ and CDAQ shareholders under applicable Law.

*Pubco Board of Directors*

The parties agreed to take all necessary actions to ensure that the Pubco Board, effective as of Closing, consists of five (5) directors, to be comprised of as follows: (i) one (1) director designated, prior to Closing, by CDAQ, and (ii) four (4) directors designated, prior to Closing, by KMC, one of whom will have served as the President and Chief Executive Officer of KMC prior to the Closing and will also serve as the Chairman of the Pubco Board. A majority of the members of the Pubco Board following the Closing will qualify as independent directors under the Nasdaq Listing Rules and any other independence criterial by applicable law. The Pubco Board will be a classified board with three (3) classes of directors serving staggered three-year terms, with the composition of each class determined prior to the Closing, subject to applicable securities exchange requirements.

*Transaction Financings*

The Merger Agreement provides that KMC, CDAQ and Pubco shall use their commercially reasonable efforts to enter into financing agreements ("<u>Financing Agreements</u>") for Transaction Financings for gross proceeds sufficient to meet the Minimum Cash Condition on such terms and structuring, and using such strategy, placement agents and approach, as CDAQ and KMC shall mutually agree. KMC, CDAQ and Pubco agree to reasonably cooperate in connection such Financing Agreements (including having KMC's senior management participate in investor meetings as reasonably requested), and further agreed not to (i) reduce the committed investment amount to be received by CDAQ, KMC or Pubco under any Financing Agreement or reduce or impair the rights of CDAQ, KMC or Pubco under any Financing Agreement or (ii) permit any amendment, modification, or waiver of any provision or remedy under, or replace any of the Financing Agreements.

*Other Covenants*

In addition to customary covenants regarding no trading, notification of certain matters, efforts, access and information, confidential information and public announcements, D&O indemnification, CDAQ public filings, tax matters, use of Trust Account proceeds and other customary covenants, the parties agreed to the following covenants:

● KMC will deliver to CDAQ certain financial statements by their delivery date set forth in the Merger Agreement.

● KMC to call a stockholders meeting as soon as practicable after the Registration Statement has become effective and use its reasonable best efforts to secure the required stockholder approval, including enforcing the Voting Agreements.

● Pubco will adopt an equity incentive plan at Closing reserving shares equal to 15% of its outstanding common stock immediately after the Closing, and will file and maintain the effectiveness of a registration statement on Form S-8 covering shares issuable under the plan as soon as practicable when available.

● KMC will use its reasonable best efforts to cause certain specified individuals to enter into new employment agreements, effective as of the Closing, with Pubco in form and substance reasonably acceptable to KMC and CDAQ.

● CDAQ will use commercially reasonable efforts to cause the insiders, including the Legacy Sponsor and other holders of CDAQ founder shares, to execute joinders to be bound by the Second Letter Agreement Amendment.

● Immediately prior to the Closing, CDAQ will issue CDAQ Class A Ordinary Shares to Polar, pursuant to the Polar Subscription Agreement, which such shares will not be eligible for redemption (the " <u>Polar Shares</u> "). At the Closing, CDAQ and Pubco will pay the amounts owed to Polar under the Polar Subscription Agreement, and the parties will use commercially reasonable efforts to register the Polar Shares pursuant to the Registration Statement or, if not registered therein, through a post-Closing registration statement.

***Conditions to Closing***

The Merger Agreement is subject to customary closing conditions, including (i) receipt of CDAQ shareholder approval, (ii) receipt of approval by KMC's stockholders of the Merger Agreement and Ancillary Agreements, (iii) completion of any antitrust expiration periods, as applicable, (iv) receipt of any specified third party and governmental authority consents, (v) no law or order preventing the Transactions, (vi) appointment of Pubco Board members at Closing, (vii) that the Registration Statement will have been declared effective by the SEC, (viii) the Minimum Cash Condition having been met at Closing, after giving effect to Trust Account redemptions, Transaction Financing proceeds and payment of CDAQ expenses and liabilities and up to $1.0 million in KMC transaction expenses, (ix) Pubco will have amended and restated its organizational documents in substantially the form attached to the Merger Agreement, (x) the Pubco Common Stock having been approved for listing on either Nasdaq Capital Market or NYSE American, as mutually determined by CDAQ and KMC, (xi) the amended Pubco organizational documents being in full force and effective, (xii) CDAQ's fulfilment of its obligations, including accuracy of CDAQ, Pubco and Merger Subs' representations and warranties, compliance with pre-Closing covenants, no Material Adverse Effect on CDAQ which is continuing and uncured, and effectiveness and/or delivery of certain specified ancillary documents and customary closing certificates and (xiii) KMC's fulfilment of its obligations, including accuracy of KMC's representations and warranties, compliance with pre-Closing covenants, no Material Adverse Effect on KMC which is continuing and uncured, and effectiveness and/or delivery of certain specified ancillary documents and customary closing certificates.

***Termination and Effects of Termination***

The Merger Agreement contains certain termination rights for different parties. If the Merger Agreement is validly terminated pursuant to the following grounds, the Merger Agreement will become void without any liability on the part of any of the parties thereto or their respective representatives except in the case of willful breach of the Merger Agreement or the fraud of a party thereto. However, confidentiality, waiver of claims against the Trust Account and certain other technical provisions will continue in effect notwithstanding termination of the Merger Agreement.

*Mutual Termination Rights*

The Merger Agreement may be terminated and the Business Combination may be abandoned by:

● mutual written consent of CDAQ and KMC;

● either CDAQ or KMC if the closing conditions are not satisfied or waived by the Outside Date (provided, that if CDAQ seeks and obtains an extension, CDAQ shall have the right by providing written notice thereof to KMC to extend the Outside Date for an additional period equal to the shortest of (i) six (6) additional months, (ii) the period ending on the last date for CDAQ to consummate its Business Combination pursuant to such extension and (iii) such period as determined by CDAQ); provided, however, the right to terminate the Merger Agreement shall not be available to a party if the breach or violation by such party or its affiliates of any representation, warranty, covenant or obligation under the Merger Agreement was the cause of, or resulted in, the failure of the Closing to occur on or before the Outside Date;

● either CDAQ or KMC if a final, non-appealable order is issued by a governmental authority permanently restraining, enjoining or otherwise prohibiting the Business Combination; or

● either CDAQ or KMC if the Meeting has been held (including any adjournment or postponement thereof) and has concluded, and the CDAQ Shareholders have duly voted, and the required CDAQ Shareholder approval was not obtained.

*CDAQ's Termination Rights*

The Merger Agreement may be terminated and the Business Combination may be abandoned by CDAQ:

● if subject to certain limitations, KMC has materially breached any of its representations, warranties, covenants or agreements or if any representation or warranty of KMC has become materially untrue or materially inaccurate and such breach or inaccuracy is incapable of being cured or is not cured within the timeframe described under the Merger Agreement;

● upon the occurrence of a Material Adverse Effect of KMC; or

● upon the failure of KMC to deliver certain required financial statements by their delivery date set forth in the Merger Agreement.

*KMC's Termination Rights* 

The Merger Agreement may be terminated and the Business Combination may be abandoned by KMC:

● if, prior to obtaining the required CDAQ Shareholder approval, the CDAQ Board makes a Change in Recommendation and has not rescinded such Change in Recommendation and reaffirmed the CDAQ Board Recommendation prior to such termination; or

● upon the occurrence of a Material Adverse Effect of CDAQ.

***Fees and Expenses***

The fees and expenses incurred in connection with the Merger Agreement and the transactions contemplated thereby will be paid by the party incurring such fees or expenses. Notwithstanding the foregoing, CDAQ and KMC have each agreed to be responsible for fifty percent (50%) of any fees, costs and expenses paid or payable as a result of or in connection with or arising from (i) the filing of this Registration Statement, (ii) submitting an application to the Nasdaq Capital Market or NYSE American for the registration of the Pubco Common Stock and/or Pubco Warrants or other regulatory filing fees (the "<u>Regulatory Expenses</u>"). There is no termination fee, however, if the Merger Agreement is terminated due to the other party's material breach, the non-terminating party will bear 100% of the Regulatory Expenses.

***Trust Account Waiver***

KMC has agreed that it and its affiliates will not have any right, title, interest or claim of any kind in or to any monies in CDAQ's Trust Account (including any distributions therefrom) held for CDAQ's public shareholders. KMC further agreed not to assert, and waived any right to assert, any claim against the Trust Account (including any distributions therefrom).

***Governing Law and Jurisdiction***

The Merger Agreement is governed by Delaware law, without giving effect to the conflict of laws principles. All actions arising out of or relating to the Merger Agreement shall be heard and determined exclusively in the Chancery Court of the State of Delaware (or, if such court lacks subject matter jurisdiction, in any appropriate Delaware State or federal court) (or in any appellate court thereof).

**Ancillary Documents**

*The foregoing descriptions of the Merger Agreement and the Ancillary Documents are qualified in their entirety by reference to the full texts or respective forms of each of the Merger Agreement and the Ancillary Documents, copies of which are filed as exhibits to the Registration Statement of which this proxy statement/prospectus forms a part.*

***Voting Agreement***

Simultaneously with the execution of the Merger Agreement, certain KMC stockholders that are insiders, or affiliates of insiders, KMC and CDAQ entered into Voting Agreements, pursuant to which, among other things, each KMC stockholder party thereto agreed (a) to support and vote in favor of the adoption of the Merger Agreement and the approval of the Transactions, subject to certain customary conditions, and (b) not to transfer any of their equity interests in KMC (or enter into any arrangement with respect thereto), subject to certain customary conditions. The Voting Agreements cover approximately 20.75% of KMC's outstanding voting securities as of the date of the Merger Agreement.

***Sponsor Letter Agreement***

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and the Sponsor entered into the Sponsor Letter Agreement, pursuant to which the Sponsor agreed to (i) vote all of its CDAQ Class A Ordinary Shares and its CDAQ Class B Ordinary Shares in favor of the Merger Agreement and the Transactions, (ii) waive certain of its anti-dilution protections on its Class B Ordinary Shares, and (iii) convert at the Closing all amounts outstanding under the Sponsor Loan Note into CDAQ Class A Ordinary Shares at $10.00 per share, and that upon the issuance and delivery of the CDAQ Class A Ordinary Shares to the Sponsor, the Sponsor Loan Note shall be deemed satisfied in full.

***Second Letter Agreement Amendment***

Simultaneously with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ officers and directors entered into the Second Letter Agreement Amendment. Pursuant to the Merger Agreement, CDAQ has agreed to use its commercially reasonable efforts to cause the Legacy Sponsor and certain other holders of CDAQ Class B Ordinary Shares to enter into the Second Letter Agreement Amendment by executing joinder agreements thereto. The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC stockholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

***Seller Registration Rights Agreement***

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into the Seller Registration Rights Agreement, pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment).

***Founder Registration Rights Agreement Amendment***

Prior to the Closing, Pubco, CDAQ, the Sponsor, the Legacy Sponsor and the other holders of registrable securities under the Founder Registration Rights Agreement will enter into the Founder Registration Rights Agreement Amendment, pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ ordinary shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities parties thereto will have substantially the same priorities and registration rights as the KMC stockholders under the Seller Registration Rights Agreement.

*The foregoing descriptions of the Merger Agreement and the Ancillary Documents are qualified in their entirety by reference to the full texts or respective forms of each of the Merger Agreement and the Ancillary Documents, copies of which are filed as exhibits to the Registration Statement of which this proxy statement/prospectus forms a part.*

**PROPOSAL 2: The MERGER Proposal**

**Overview**

In connection with the Business Combination, CDAQ Shareholders are being asked to approve and to adopt by a special resolution the Plan of Merger, substantially in the form attached to this proxy statement/prospectus as <u>Annex B</u>.

The Merger Proposal, if approved, will authorize the Purchaser Merger and the Plan of Merger. Under the Merger Agreement, the approval of the Plan of Merger is a condition to the Closing of the Business Combination, and vice versa. Pursuant to the Cayman Companies Act, the Plan of Merger is required to be approved by special resolution, and is required to implement the Business Combination.

**Required Vote and Recommendation of the CDAQ Board**

The approval of the Merger Proposal requires a special resolution under Cayman Islands law, being a resolution passed by a majority of bot less than two thirds of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Pubco Charter Proposal. The adoption of the Merger Proposal is conditioned upon the adoption of the Business Combination Proposal.

The Sponsor has agreed to vote its CDAQ Ordinary Shares in favor of the adoption and approval of the Merger Agreement and the Business Combination and each of the Purchaser Shareholder Approval Matters as described above under "*The Business Combination — Ancillary Documents — Sponsor Letter Agreement*."

The full text of the resolutions to be passed is as follows:

"RESOLVED, as a special resolution, that the Plan of Merger, by and among Compass Digital Acquisition Corp. ("CDAQ") and Titan SPAC Merger Sub Corp. ("Purchaser Merger Sub"), substantially in the form attached to the proxy statement/prospectus as <u>Annex B</u> (including the annexures thereto, the "Plan of Merger") be and is hereby authorized, approved and confirmed in all respects, that the merger of Purchaser Merger Sub with and into CDAQ with CDAQ surviving the merger as a whole owned subsidiary of Titan Holdings Corp. be and is hereby authorized, approved and confirmed in all respects and all the undertaking, property and liability of Purchaser Merger Sub vest in CDAQ by virtue of such merger pursuant to the Companies Act (As Revised) of the Cayman Islands, and that CDAQ be and is hereby authorized to enter into the Plan of Merger."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE MERGER PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. In addition, CDAQ's officers have interests in the Business Combination that may conflict with your interests as a shareholder. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**PROPOSAL 3: The Pubco Charter Proposal**

**Overview**

In connection with the Business Combination, CDAQ Shareholders are being asked to approve and to adopt by an ordinary resolution the Pubco Charter and the Pubco Bylaws, substantially in the form attached to this proxy statement/prospectus as <u>Annexes C</u> and <u>D</u>, respectively. All CDAQ Shareholders are encouraged to read the Proposed Organizational Documents in their entirety.

**Reasons for the Adoption of the Proposed Organizational Documents**

If the Business Combination is to be consummated, Pubco will adopt the Proposed Organizational Documents, substantially in the form attached to this proxy statement/prospectus, which are necessary to adequately address the needs of Pubco following the Closing. A discussion of the material provisions contained in the Proposed Organizational Documents, including its material differences with the CDAQ Memorandum and Articles, is set forth in the section entitled "*The Organizational Documents Proposals*."

**Required Vote and Recommendation of the CDAQ Board**

The approval of the Pubco Charter Proposal does not require the passing of a resolution under the CDAQ Memorandum and Articles or Cayman Islands law. Notwithstanding this, the CDAQ Board is asking CDAQ Shareholders to approve the Pubco Charter Proposal by an ordinary resolution, being a resolution passed by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Pubco Charter Proposal. The adoption of the Pubco Charter Proposal is conditioned upon the adoption of the Business Combination Proposal.

The Sponsor has agreed to vote its CDAQ Ordinary Shares in favor of the adoption and approval of the Merger Agreement and the Business Combination and each of the Purchaser Shareholder Approval Matters as described above under "*The Business Combination — Ancillary Documents — Sponsor Letter Agreement*."

The full text of the resolutions to be passed is as follows:

"**RESOLVED**, as an ordinary resolution, that the amended and restated certificate of incorporation of Pubco, in the form appended to the proxy statement/prospectus as <u>Annex C</u> (the "Pubco Charter"), and the amended and restated bylaws of Pubco, in the form appended to the proxy statement/prospectus as <u>Annex D</u> (the "Pubco Bylaws"), including the differences between the CDAQ Memorandum and Articles and the Pubco Charter and Pubco Bylaws, such differences including, without limitation, (i) the absence of the specific provisions relating to CDAQ as a blank check company included in the CDAQ Memorandum and Articles in the Pubco Charter and Pubco Bylaws, (ii) the differences in the authorized share capital of CDAQ set out in the CDAQ Memorandum and Articles and the authorized share capital of Pubco in the Pubco Charter, (iii) the differences in board classification between the CDAQ Memorandum and Articles and the Pubco Charter and the Pubco Bylaws, (iv) the differences in shareholder meeting requirements and written consent procedures between the CDAQ Memorandum and Articles and the Pubco Charter and Pubco Bylaws, and (vi) the differences in name, purpose and duration of existence between the CDAQ Memorandum and Articles and the Pubco Charter and Pubco Bylaws, be confirmed, ratified and approved."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE PUBCO CHARTER PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. In addition, CDAQ's officers have interests in the Business Combination that may conflict with your interests as a shareholder. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**PROPOSAL 4: The Organizational Documents PROPOSALS**

**Overview**

As required by SEC guidance requiring that CDAQ Shareholders have the opportunity to present their views on important corporate governance provisions, CDAQ is requesting that CDAQ Shareholders vote upon, on a non-binding advisory basis, seven proposals, by ordinary resolutions, to approve certain governance provisions in the Proposed Organizational Documents, which are separately being presented. These separate votes are not otherwise required by Cayman Islands law or Delaware law. Accordingly, the CDAQ Shareholder votes regarding the Organizational Documents Proposals are advisory votes and are not binding on CDAQ or the CDAQ Board. Furthermore, the Business Combination is not conditioned on the separate approval of the Organizational Documents Proposals. Accordingly, regardless of the outcome of the non-binding advisory vote on the Organizational Documents Proposals, the Pubco Charter will take effect upon the Closing.

The seven Organizational Documents Proposals that CDAQ is asking CDAQ Shareholders to approve in connection with the Business Combination consist of approving the following material differences between CDAQ Memorandum and Articles and the Proposal Organizational Documents, each of which would be effected by the filing of the Pubco Charter with the Secretary of State of the State of Delaware: (i) Proposal 4A **—** to approve the provision in the Pubco Charter authorizing the issuance of up to 300,000,000 shares, consisting of 250,000,000 shares of common stock, par value $0.0001 per share, and 50,000,000 shares of preferred stock, par value $0.0001 per share; (ii) Proposal 4B **—** to require the vote of at least 66 <sup>2</sup>⁄<sub>3</sub>% of the voting power of the outstanding shares of capital stock, rather than a simple majority, to amend or repeal certain provisions of the Pubco Charter; (iii) Proposal 4C — to eliminate any provisions relating to Pubco's ongoing existence and to make Pubco's existence perpetual; (iv) Proposal 4D **—** to remove certain provisions related to CDAQ's status as a special purpose acquisition company; (v) Proposal 4E **—** to provide the sole and exclusive forum for the resolution of certain stockholder litigation; (iii) Proposal 4F **—** to prohibit stockholder action by written consent; and (viii) Proposal 4G **—** to permit stockholders to remove a director from office only for cause.

The tables contained under each of Proposals 4A to 4G below set forth a summary of the material differences between CDAQ Memorandum and Articles and the Proposed Organizational Documents, as well as the reasons for proposing each of these amendments. These summaries are qualified by reference to the complete text of the Proposed Organizational Documents. The Pubco Charter and the Pubco Bylaws are attached to this proxy statement/prospectus as <u>Annexes C</u> and <u>D</u>, respectively. All stockholders are encouraged to read the Pubco Charter and the Pubco Bylaws in their entirety for a more complete description of its terms.

**Proposal 4A — Authorized Capital Stock**

This proposal is to approve the provision in the Pubco Charter authorizing the issuance of up to 300,000,000 shares, consisting of 250,000,000 shares of common stock, par value $0.0001 per share, and 50,000,000 shares of preferred stock, par value $0.0001 per share.

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|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Authorized Capital Stock** | &nbsp;&nbsp;The share capital of CDAQ is US $22,100 divided into 200,000,000 CDAQ Class A Ordinary Shares of a par value of US $0.0001 each, 20,000,000 CDAQ Class B Ordinary Shares of a par value of US $0.0001 each and 1,000,000 preference shares of a par value of US $0.0001 each. | &nbsp;&nbsp;The Pubco Charter will have 300,000,000 authorized shares of capital stock, consisting of (i) 250,000,000 shares of Pubco Common Stock and (ii) 50,000,000 shares of Pubco preferred stock. | &nbsp;&nbsp;This revision is desirable because it provides for the authorization of a number of shares of Pubco Common Stock necessary to consummate the Business Combination including, without limitation, the Transaction Financings and also provides flexibility for future issuances of Pubco Common Stock if determined by the Pubco Board from time to time to be in the best interests of Pubco without incurring the risk, delay and potential expense incident to obtaining stockholder approval for a particular issuance. The shares would be issuable for any proper corporate purpose, including future acquisitions, capital raising transactions consisting of equity or convertible debt, stock dividends or issuances under current and any future equity incentive plans, pursuant to which Pubco may provide equity incentives to employees, officers and directors. |

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**Proposal 4B — A Supermajority Vote to Amend Certificate of Incorporation**

This proposal is to approve the provisions of the Pubco Charter requiring the vote of at least 66 <sup>2</sup>⁄<sub>3</sub>% of the voting power of the outstanding shares of capital stock, rather than a simple majority to amend or repeal certain provisions of the Pubco Charter.

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| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**A Supermajority Vote to Amend Certificate of Incorporation** | &nbsp;&nbsp;Subject to the Cayman Companies Act, CDAQ may by Special Resolution alter or amend the CDAQ Memorandum and Articles in whole or in part. Prior to the closing of a business combination, only the holders of the CDAQ Class B Ordinary Shares shall carry the right to vote on a Special Resolution for the purposes of amending the CDAQ Memorandum and Articles in accordance with a continuation of CDAQ out of the Cayman Islands. &nbsp;&nbsp;Amendments to certain provisions of the Pubco Charter will require the affirmative vote of the holders of at least 66 <sup>2</sup>⁄<sub>3</sub>% of the voting power of the outstanding capital stock of Pubco to be effective. The following provisions require a 66 <sup>2</sup>⁄<sub>3</sub>% supermajority vote to be amended:<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding stockholder action by written consent;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding calling special meetings of stockholders;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding advance notice of stockholder nominations and cumulative voting;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions providing for a classified board of directors (the election and term of Pubco's directors);<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding resignation and removal of directors;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding filling vacancies on Pubco's Board and newly created directorships;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions eliminating monetary damages for breaches of fiduciary duty by a director;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the indemnification provision;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions regarding amending Pubco's Bylaws;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the provisions requiring exclusive forum in Delaware for certain stockholder litigation; and<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; the amendment provision requiring that the above provisions be amended only with a 66 <sup>2</sup>⁄<sub>3</sub>% supermajority vote. | &nbsp;&nbsp;This revision is desirable because the CDAQ Board believes that it is important to require a supermajority vote to amend certain key provisions of the Pubco Charter and Pubco Bylaws to promote stability and encourage any person seeking control of Pubco to negotiate with the Pubco Board to reach terms that are appropriate for all stockholders. |

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**Proposal 4C — Duration of Existence** 

This proposal is to approve the removal of certain provisions relating to Pubco's ongoing existence and to make Pubco's existence perpetual.

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Duration of Existence** | &nbsp;&nbsp;The CDAQ Memorandum and Articles provides that in the event CDAQ does not consummate an initial business combination within the specified period of time contained in the CDAQ Memorandum and Articles, CDAQ shall cease all operations except for the purpose of winding up. CDAQ has twenty-four (24) months from the closing date of the CDAQ IPO to consummate an initial business combination. | &nbsp;&nbsp;The Pubco Charter retains the default of perpetual existence under the DGCL. | &nbsp;&nbsp;This revision is desirable because adopting the default perpetual existence under the DGCL allows Pubco to preserve flexibility to engage in any lawful business activities permitted under the laws of the State of Delaware, thereby allowing Pubco to adapt to changing business opportunities and regulatory environments. |

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**Proposal 4D — Removal of Special Purpose Acquisition Company Provisions** 

This proposal is to approve the removal of certain provisions relating to CDAQ's status as a special purpose acquisition company.

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Provisions Specific to Special Purpose Acquisition Companies** | &nbsp;&nbsp;The CDAQ Memorandum and Articles sets forth sets various provisions related to its operations as a special purpose acquisition company prior to the consummation of an initial business combination. | &nbsp;&nbsp;The Pubco Charter does not include these special purpose acquisition company provisions because, upon consummation of the Business Combination, Pubco will not be a special purpose acquisition company. In addition, the provisions requiring that the proceeds from CDAQ's IPO be held in a trust account until a business combination or liquidation of CDAQ and the terms governing CDAQ's consummation of a proposed business combination will not be applicable to Pubco following consummation of the Business Combination. | &nbsp;&nbsp;This revision is desirable because it eliminates provisions specific to CDAQ's status as a blank check company which will serve no purpose following the Business Combination. |

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**Proposal 4E — Exclusive Forum** 

This proposal is to expressly consent to the selection of Delaware as the sole and exclusive forum for the resolution of certain stockholder litigation and the federal district courts of the United States as the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities Act.

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Exclusive Forum** | &nbsp;&nbsp;The CDAQ Memorandum and Articles do not contain a provision adopting an exclusive forum for certain shareholder litigation. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The proposed Pubco Charter will expressly provide that the Court of Chancery of the State of Delaware (or, and only if the Court of Chancery of the State of Delaware lacks subject matter jurisdiction, any state court located within the State of Delaware, or, if and only if all such state courts lack subject matter jurisdiction, the federal district court for the District of Delaware) and any appellate court therefrom shall, to the fullest extent permitted by law, be the sole and exclusive forum for<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any derivative claim or cause of action brought on behalf of Pubco;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any claim or cause of action for breach of fiduciary duty owed by any current or former director, officer or other employee, agent or stockholder of Pubco to Pubco or Pubco's stockholders;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any claim or cause of action against Pubco or any current or former director, officer or other employee of Pubco, arising out of or pursuant to any provision of the DGCL, the Pubco Charter or the Pubco Bylaws;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any claim or cause of action seeking to interpret, apply, enforce or determine the validity of the Pubco Charter or the Pubco Bylaws;<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any claim or cause of action as to which the DGCL confers jurisdiction on the Court of Chancery of the State of Delaware; and<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;●&nbsp;&nbsp;&nbsp;&nbsp; any claim or cause of action against Pubco or any current or former director, officer or other employee of Pubco, governed by the internal affairs doctrine or otherwise related to Pubco's internal affairs, in all cases to the fullest extent permitted by law and subject to the court having personal jurisdiction over the indispensable parties named as defendants.<br>Additionally, the federal district courts of the United States will be the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities Act. | &nbsp;&nbsp;This revision is desirable because having the forum selection provision allows for (i) the consolidation of multi-jurisdiction litigation, (ii) avoidance of state court forum shopping and (iii) provides efficiencies in managing the procedural aspects of securities litigation. |

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**Proposal 4F — Stockholder Action by Written Consent** 

This proposal is to approve the provisions in the proposed Pubco Charter prohibiting stockholders of Pubco from acting by written consent.

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Stockholder Action by Written Consent** | &nbsp;&nbsp;The CDAQ Memorandum and Articles contains no limitations on the ability to take shareholder action by written consent. | &nbsp;&nbsp;The Pubco Charter will provide that no action may be taken or effected by a written consent of stockholders in lieu of an annual or special meeting. | &nbsp;&nbsp;This revision is desirable because permitting action at a meeting (whether the annual meeting or a special meeting) is a fairer process than the action by written consent process as it provides all stockholders the opportunity to participate and vote. Meetings are held at a time, date and venue announced publicly in advance, and all stockholders receive prior notice of the meeting and are invited to attend the meeting and make their views known. Approval of proposals at a stockholder meeting ensures that proposals are widely disseminated to stockholders through the proxy statement and any additional soliciting materials, which must contain information about the proposed action as specified by the SEC. If a meeting is convened, the board is provided with an opportunity to present an analysis of such proposals and can present its recommendations to stockholders. The proxy statement and any additional soliciting materials must be distributed to all stockholders of record in advance of the meeting, providing stockholders with sufficient time and opportunity to consider the proposals and make a decision regarding how to vote or direct their proxies. Such procedural protections provide all stockholders the opportunity to fully consider, discuss and deliberate the merits of a proposed action prior to voting. |

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**Proposal 4G — Removal of Directors** 

This proposal is to approve the provisions in the proposed Pubco Charter permitting stockholders to remove a director from office only for cause.

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp;**CDAQ Memorandum and Articles** | &nbsp;&nbsp;**Proposed Organizational Documents** | &nbsp;&nbsp;**Reasons for the Proposed Change** |
| &nbsp;&nbsp;**Removal of Directors** | &nbsp;&nbsp;The CDAQ Memorandum and Articles provide that (i) prior to the consummation of a Business Combination, the Company may by Ordinary Resolution of the holders of the CDAQ Class B Ordinary Shares appoint any person to be a director or may by Ordinary Resolution of the holders of the CDAQ Class B Ordinary Shares remove any director; and (ii) after the consummation of a Business Combination, the Company may by Ordinary Resolution appoint any person to be a director or may by Ordinary Resolution remove any director. The CDAQ Memorandum and Articles and Cayman Islands law do note require cause for shareholders to remove a director. | &nbsp;&nbsp;The Pubco Charter will provide that directors may only be removed for cause. | &nbsp;&nbsp;This revision is desirable because it reduces the possibility that a relatively small number of stockholders could seek to implement a sudden and opportunistic change in control of the Pubco Board without showing that such directors have acted in a manner amounting to a show of cause. These changes will enhance the likelihood of continuity and stability in the composition of the Pubco Board, avoid costly takeover battles, reduce the Pubco Board's vulnerability to a hostile change of control and enhance the ability of the Pubco Board to maximize stockholder value in connection with any unsolicited offer to acquire Pubco. |

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The following is a summary of the key changes effected by the Pubco Charter, but this summary is qualified in its entirety by reference to the full text of the Pubco Charter, a copy of which is included as <u>Annex C</u>:

● authorize the issuance of up to 300,000,000 shares, consisting of 250,000,000 shares of Pubco Common Stock, and 50,000,000 shares of Pubco preferred stock;

● provide that any vote to amend or repeal Article V (Stockholder Action), Article VI (Directors), Article VII (Limitation of Liability), Article VIII (Amendment of Bylaws), Article IX (Exclusive Forum) and Article X (Amendment of Certificate of Incorporation) of the Pubco Charter shall require a vote of not less than 66 2/3% of the outstanding shares of capital stock entitled to vote on such amendment or repeal;

● make Pubco's existence the default under the DGCL which will make Pubco's existence perpetual;

● provide that the Court of Chancery of the State of Delaware (or, and only if the Court of Chancery of the State of Delaware lacks subject matter jurisdiction, any state court located within the State of Delaware, or, if and only if all such state courts lack subject matter jurisdiction, the federal district court for the District of Delaware) and any appellate court therefrom, be the sole and exclusive forum for certain stockholder litigation and the federal district courts of the United States will be the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities Act;

● delete the provisions under CDAQ Memorandum and Articles relating to CDAQ's status as a blank check company, which will serve no purpose following the Business Combination;

● provide that no action may be taken or effected by a written consent of stockholders in lieu of an annual or special meeting; and

● provide that directors may only be removed for cause.

**Reasons for the Amendments**

Each of these amendments was negotiated as part of the Business Combination. CDAQ Board's reasons for proposing each of these provisions to the Pubco Charter are set forth below.

● *Approve Pubco's authorized shares of capital stock.* The Pubco Charter provides for a number of authorized shares of capital stock necessary to consummate the Business Combination including, without limitation, the Transaction Financings and also provides flexibility for future issuances of Pubco Common Stock if determined by the Pubco Board from time to time to be in the best interests of Pubco without incurring the risk, delay and potential expense incident to obtaining stockholder approval for a particular issuance. The shares would be issuable for any proper corporate purpose, including future acquisitions, capital raising transactions consisting of equity or convertible debt, stock dividends or issuances under current and any future equity incentive plans, pursuant to which Pubco may provide equity incentives to employees, officers and directors.

● *Increasing the vote required to amend certain provisions of the Pubco Charter*. The CDAQ Board believes that it is important to require a supermajority vote to amend certain key provisions of the Pubco Charter to promote stability and encourage any person seeking control of Pubco to negotiate with the Pubco Board to reach terms that are appropriate for all stockholders.

● *Providing for Pubco's perpetual existence.* The Pubco Charter will make Pubco's existence perpetual which allows Pubco to preserve flexibility to engage in any lawful business activities permitted under the laws of the State of Delaware, thereby allowing Pubco to adapt to changing business opportunities and regulatory environments.

● *Removal of Special Purpose Acquisition Company Provisions.* The proposed Pubco Charter eliminates provisions specific to CDAQ's status as a blank check company which will serve no purpose following the Business Combination.

● *Providing that the Court of Chancery of the State of Delaware (or, and only if the Court of Chancery of the State of Delaware lacks subject matter jurisdiction, any state court located within the State of Delaware, or, if and only if all such state courts lack subject matter jurisdiction, the federal district court for the District of Delaware) and any appellate court therefrom as the sole and exclusive forum for certain stockholder litigation and the federal district courts of the United States will be the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities Act.* The CDAQ Board believes that having the federal forum selection provision allows for (i) the consolidation of multi-jurisdiction litigation, (ii) avoidance of state court forum shopping and (iii) provides efficiencies in managing the procedural aspects of stockholder litigation.

● *Providing that no action may be taken or effected by a written consent of stockholders in lieu of an annual or special meeting*. The CDAQ Board believes that permitting action at a meeting (whether the annual meeting or a special meeting) is a fairer process than the action by written consent process as it provides all stockholders the opportunity to participate and vote. Meetings are held at a time, date and venue announced publicly in advance, and all stockholders receive prior notice of the meeting and are invited to attend the meeting and make their views known. Approval of proposals at a stockholder meeting ensures that proposals are widely disseminated to stockholders through the proxy statement and any additional soliciting materials, which must contain information about the proposed action as specified by the SEC. If a meeting is convened, the board is provided with an opportunity to present an analysis of such proposals and can present its recommendations to stockholders. The proxy statement and any additional soliciting materials must be distributed to all stockholders of record in advance of the meeting, providing stockholders with sufficient time and opportunity to consider the proposals and make a decision regarding how to vote or direct their proxies. Such procedural protections provide all stockholders the opportunity to fully consider, discuss and deliberate the merits of a proposed action prior to voting.

● *Providing that directors may only be removed for cause*. The CDAQ Board believes that providing for removal of directors only for cause reduces the possibility that a relatively small number of stockholders could seek to implement a sudden and opportunistic change in control of the Pubco Board without showing that such directors have acted in a manner amounting to a show of cause. These changes will enhance the likelihood of continuity and stability in the composition of the Pubco Board, avoid costly takeover battles, reduce the Pubco Board's vulnerability to a hostile change of control and enhance the ability of the Pubco Board to maximize stockholder value in connection with any unsolicited offer to acquire Pubco.

**Required Vote and Recommendation of the CDAQ Board**

The approval of the Organizational Documents Proposals does not require the passing of resolutions under the CDAQ Memorandum and Articles or Cayman Islands law. Notwithstanding this, the CDAQ Board is asking CDAQ Shareholders to approve the Organizational Documents Proposals by ordinary resolutions, being resolutions passed by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Organizational Documents Proposals. The adoption of the Organizational Documents Proposals is conditioned upon the adoption of the Business Combination Proposal.

The full text of the resolutions to be passed is as follows:

**Resolution to be Voted Upon**

The full text of the resolution to be passed is as follows:

"RESOLVED, as an ordinary resolution, on an advisory and non-binding basis, to approve each of the following proposals (Proposals 4A-G):

***Proposal 4A***

The provisions in the Pubco Charter providing that the total number of authorized shares of capital stock, consisting of 250,000,000 shares of common stock, par value $0.0001 per share, and 50,000,000 shares of preferred stock, par value $0.0001 per share, be and hereby are confirmed, ratified and approved;

***Proposal 4B***

The provisions of the Pubco Charter providing that that the following provisions in the Pubco Charter may be amended or repealed, in whole or in part, or any provision inconsistent therewith may be adopted, only by the affirmative vote of the holders of at least 66 2/3% of the outstanding shares of capital stock entitled to vote on such amendment or repeal: Article V (Stockholder Action), Article VI (Directors), Article VII (Limitation of Liability), Article VIII (Amendment of Bylaws), Article IX (Exclusive Forum) and Article X (Amendment of Certificate of Incorporation), be and hereby are confirmed, ratified, and approved;

***Proposals 4C and 4D***

The provisions of the Pubco Charter related to the change from a blank check company with a limited time period to complete a business combination to a corporation with perpetual existence, be and hereby are confirmed, ratified and approved;

***Proposal 4E***

The provisions of the Pubco Charter expressly providing that the (i) Court of Chancery of the State of Delaware (or, and only if the Court of Chancery of the State of Delaware lacks subject matter jurisdiction, any state court located within the State of Delaware, or, if and only if all such state courts lack subject matter jurisdiction, the federal district court for the District of Delaware) and any appellate court therefrom shall, to the fullest extent permitted by law, be the sole and exclusive forum for: (a) any derivative claim or cause of action brought on behalf of Pubco; (b) any claim or cause of action for breach of fiduciary duty owed by any current or former director, officer or other employee, agent or stockholder of Pubco to Pubco or Pubco's stockholders; (c) any claim or cause of action against Pubco or any current or former director, officer or other employee of Pubco, arising out of or pursuant to any provision of the DGCL, the Pubco Charter or the Pubco Bylaws; (d) any claim or cause of action seeking to interpret, apply, enforce or determine the validity of the Pubco Charter or the Pubco Bylaws; (e) any claim or cause of action as to which the DGCL confers jurisdiction on the Court of Chancery of the State of Delaware; and (f) any claim or cause of action against Pubco or any current or former director, officer or other employee of Pubco, governed by the internal affairs doctrine or otherwise related to Pubco's internal affairs, in all cases to the fullest extent permitted by law and subject to the court having personal jurisdiction over the indispensable parties named as defendants, and (ii) federal district courts of the United States will be the exclusive forum for the resolution of any complaint asserting a cause of action under the Securities Act be and hereby are confirmed, ratified and approved.

***Proposal 4F***

The provisions of the Pubco Charter providing that no action may be taken or effected by a written consent of stockholders in lieu of an annual or special meeting be and hereby are confirmed, ratified and approved;

***Proposal 4G***

The provisions of the Pubco Charter providing that directors of Pubco may only be removed for cause are confirmed, ratified and approved."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE ORGANIZATIONAL DOCUMENTS PROPOSALS.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. In addition, CDAQ's officers have interests in the Business Combination that may conflict with your interests as a shareholder. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**PROPOSAL 5: The Director Election Proposal**

**Overview**

CDAQ Shareholders are also being asked to approve the Director Election Proposal by an ordinary resolution to elect five directors, Cesar A. López Alarcón, John P. Ryan, Kelly Earle, Timothy R. McCutcheon and ____________, effective upon the Closing, to serve for their respective terms under the Proposed Organizational Documents, or until such directors' successors have been duly elected and qualified, or until such directors' earlier death, resignation, retirement or removal.

Effective upon the Business Combination, the Pubco Board will consist of five directors in three classes, including (i) four persons who are designated, prior to the Closing, by KMC, one of whom is Cesar A. López Alarcón (who shall be a Class III director, the chairman of the Pubco Board and the president and chief executive officer of Pubco upon the Closing), one of whom is John P. Ryan (who shall be a Class II director and who qualifies as an independent director under the Nasdaq Listing Rules), and two of whom are Kelly Earle and Timothy R. McCutcheon (each of whom shall serve as Class I directors and qualify as independent directors under the Nasdaq Listing Rules), and (ii) one person designated by CDAQ, who shall be ___________(who shall be a Class II director and who qualifies as an independent director under Nasdaq rules). The Director Election Proposal will allow Pubco to elect those directors and satisfy its requirements under the Nasdaq Listing Rules to hold a meeting at which shareholders can elect directors.

The Pubco Board will be a classified board with three classes of directors, Class I, Class II and Class III, with only one class of directors being elected each year and each class serving a three-year term. Class I will consist of two (2) directors whose initial terms expire at the first annual meeting of the stockholders of Pubco following the Closing Date, Class II will consist of two (2) directors whose initial terms expire at the second annual meeting of the stockholders of Pubco following the Closing Date, and Class III will consist of one (1) director whose initial terms expire at the third annual meeting of the stockholders of Pubco following the Closing Date. There is no cumulative voting with respect to the election of directors, with the result that the holders of more than 50% of the shares voted for the election of directors can elect all of the directors.

At each annual meeting of stockholders to be held after the initial classification, the successors to directors whose terms then expire will be elected to serve from the time of election and qualification until the third annual meeting following their election and until their successors are duly elected and qualified, or their earlier resignation, removal, disqualification or death. This classification of the Pubco Board may have the effect of delaying or preventing changes in Pubco's control or management. Pubco's directors may be removed for cause by the affirmative vote of the holders of at least two-thirds (66 and <sup>2</sup>/<sub>3</sub>%) of Pubco's voting stock.

If the number of directors is hereafter changed, any increase or decrease in directorships will be so apportioned among the classes by the Pubco Board as to make all classes as nearly equal in number as is practicable, provided that no decrease in the number of directors constituting the Pubco Board will shorten the term of any incumbent director.

The CDAQ Board knows of no reason why any of the nominees will be unavailable or decline to serve as a director.

For more information on the experience of each of these director nominees, see the section entitled "*Management of Pubco Following the Business Combination*" in this proxy statement/prospectus.

**Required Vote and Recommendation of the CDAQ Board**

The approval of the Director Election Proposal does not require the passing of a resolution under the CDAQ Memorandum and Articles or Cayman Islands law. Notwithstanding this, the CDAQ Board is asking CDAQ Shareholders to approve the Director Election Proposal by ordinary resolution, being a resolution passed by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Director Election Proposal. The adoption of the Director Election Proposal is conditioned upon the adoption of each of the Business Combination Proposal, and the Incentive Plan Proposal.

The full text of the resolutions to be passed is as follows:

"RESOLVED, as an ordinary resolution, that the proposal to elect Cesar A. López Alarcón, John P. Ryan, Kelly Earle, Timothy R. McCutcheon and _________, in each case, to serve as directors of Pubco until their respective successors are duly elected and qualified, or until their earlier death, resignation or removal, be adopted and approved."

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| | |
|:---|:---|
| **Name of Director** | **Class of Director** |
| Cesar A. López Alarcón | Class III |
| John P. Ryan | Class II |
| _________ | Class II |
| Kelly Earle | Class I |
| Timothy McCutcheon | Class I |

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**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE DIRECTOR ELECTION PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. In addition, CDAQ's officers have interests in the Business Combination that may conflict with your interests as a shareholder. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**PROPOSAL 6: The Incentive Plan Proposal**

In connection with the Business Combination, CDAQ is requesting that CDAQ Shareholders vote upon a proposal by ordinary resolution to approve the Incentive Plan, which provides for awards to certain eligible service providers of Pubco. The Pubco Board and sole Pubco stockholder will adopt the Incentive Plan prior to the effectiveness of this proxy statement/prospectus.

**Purpose of the Incentive Plan**

The purpose of the Incentive Plan is to attract and retain highly qualified persons to serve as employees, non-employee consultants, advisors, independent contractors (as the terms consultants and advisors are defined and interpreted for purposes of Form S-8 under the Securities Act or any successor form) or non-employee directors (expected to be four) and promote ownership by such employees, non-employee consultants, advisors, independent contractors and non-employee directors of a greater proprietary interest in Pubco, thereby aligning their interests more closely with the interests of Pubco's stockholder. Pubco considers equity compensation to be a vital element of Pubco's compensation program and believes that the ability to grant stock awards at competitive levels is in the best interests of Pubco and future Pubco Common Stockholders. Pubco believes the Incentive Plan is critical in enabling Pubco to grant stock awards as an incentive and retention tool as Pubco competes for talent.

The following summary of the material terms of the Incentive Plan is qualified in its entirety by reference to the complete text of the Incentive Plan, which is attached hereto

**Summary of the Incentive Plan**

Prior to the effectiveness of this proxy statement/prospectus, Pubco intends to adopt the Incentive Plan. The Incentive Plan will enable Pubco to provide stock-based incentives that align the interests of employees, non-employee consultants, advisors, independent contractors and non-employee directors with those of the stockholders of Pubco by motivating its employees to achieve long-term results and rewarding them for their achievements and to attract and retain the types of employees, consultants and directors who will contribute to Pubco's long-range success.

*Eligibility*

Employees, non-employee consultants, advisors, independent contractors or non-employee directors of Pubco or its affiliates, or any potential employee (including a potential officer) of, potential non-employee consultant, advisor or independent contractor to, or potential non-employee director of, Pubco or its affiliates, who has been offered employment or service with Pubco or its affiliate, provided that such potential employee, potential non-employee consultant, advisor or independent contractor to, or potential non-employee director of, Pubco or any affiliate may not receive any payment or exercise any right relating to an award until such person has commenced employment or service with Pubco or an affiliate. Incentive stock options ("<u>ISOs</u>"), however, may only be granted to employees of Pubco and its corporate subsidiaries. As of the date of this proxy statement/prospectus, __ employees, __ consultants. Advisors and independent contractors, and __ non- employee directors are expected to be eligible to participate in the Incentive Plan.

*Administration*

Pubco will bear all expenses of the Incentive Plan and will expect that Pubco's Compensation Committee will administer the plan. The Compensation Committee will have the authority to grant awards to such eligible persons and upon such terms and conditions (not inconsistent with the provisions of the Incentive Plan) as it may consider appropriate. Among the Compensation Committee's powers will be the authority to (i) determine the form, amount and other terms and conditions of awards; (ii) clarify, construe or resolve any ambiguity in any provision of the Incentive Plan or any award agreement; (iii) amend the terms of outstanding awards, subject to the grantee's consent in certain cases and the Incentive Plan's prohibitions against repricing of awards without stockholder approval; and (iv) adopt such rules, forms, instruments and guidelines for administering the Incentive Plan as the Compensation Committee deems necessary or proper. The Compensation Committee may delegate any or all of its administrative authority to one or more of Pubco's officers, except with respect to awards to (a) "executive officers" of Pubco (as defined by Rule 3b-7 under the Exchange Act) or to any "officer" of Pubco (as defined by Rule 16a-1(f) under the Exchange Act), (b) non-employee directors or (c) persons who are expected to be subject to Section 16 of the Exchange Act. Based on service, performance and/or other factors or criteria, the Compensation Committee may, after grant of the award, accelerate the vesting of all or any part of the award. Notwithstanding the foregoing, any exercise of discretion regarding awards for non-employee directors must be approved by the Pubco Board.

*Share Reserve*

Subject to adjustment pursuant to the Incentive Plan's adjustment provisions, the maximum number of shares of Pubco Common Stock that may be granted under the plan is ______. The maximum number of shares of Pubco Common Stock that may be delivered pursuant to the exercise of incentive stock options is ______.

*Share Counting Provisions*

Shares of common stock covered by an award will only be counted as used to the extent actually used. A share of common stock issued in connection with an award under the Incentive Plan shall reduce the total number of shares of common stock available for issuance under the Incentive Plan by one; provided, however, that, upon settlement of a stock appreciation right, or SAR, the total number of shares available for issuance under the Incentive Plan shall be reduced by the gross number of shares underlying the portion of the SAR that is exercised. If any award under the Incentive Plan terminates without the delivery of shares of common stock, or is settled by delivery of fewer shares of common stock underlying the award, whether by lapse, forfeiture, cancellation or otherwise, the shares of common stock subject to such award, to the extent of any such termination, shall again be available for grant under the Incentive Plan. Notwithstanding the foregoing, upon the exercise of any such award granted in tandem with any other awards, such related awards shall be cancelled to the extent of the number of shares of common stock as to which the award is exercised, and such number of shares shall no longer be available for awards under the Incentive Plan. If any shares subject to an award granted under the Incentive Plan are withheld or applied as payment in connection with the exercise of such award or the withholding or payment of taxes related thereto or separately surrendered by the participant for any such purpose, such returned shares of common stock will be treated as having been delivered for purposes of determining the maximum number of shares remaining available for grant under the Incentive Plan and shall not again be treated as available for grant under the Incentive Plan. The number of shares available for issuance under the Incentive Plan may not be increased through the purchase of shares on the open market with the proceeds obtained from the exercise of any options or purchase rights granted under the Incentive Plan. Notwithstanding the foregoing, however, in the case of any substitute award granted in assumption of or in substitution for an entity award issued by an acquired entity, shares delivered or deliverable in connection with such substitute award shall not be counted against the number of shares reserved under the Incentive Plan (to the extent permitted by applicable stock exchange rules), and available shares of stock under a shareholder-approved plan of an acquired entity (as appropriately adjusted to reflect the transaction) also may be used for awards under the Incentive Plan, and shall not reduce the number of shares otherwise available under the Incentive Plan (subject to applicable stock exchange requirements).

If a dividend or other distribution (whether in cash, shares or other property) (excluding ordinary dividends or distributions), recapitalization, forward or reverse stock split, subdivision, consolidation or reduction of capital, reorganization, merger, consolidation, scheme of arrangement, split-up, spin-off or combination involving us or the repurchase or exchange of shares of Pubco Common Stock or other securities, or other rights to purchase shares of Pubco's securities or other similar transaction or event, affects shares of Pubco Common Stock such that the Compensation Committee determines that an adjustment is appropriate in order to prevent dilution or enlargement of the benefits (or potential benefits) provided to grantees under the Incentive Plan, the Compensation Committee shall make an equitable change or adjustment as it deems appropriate in the number and kind of securities that may be issued pursuant to awards under the Incentive Plan, the per individual limits on the awards that can be granted in any calendar year and any outstanding awards and the related exercise prices (as defined below) relating to any such awards, if any.

*Types of Awards*

The Incentive Plan will permit the grant of any or all of the following types of awards to grantees: (i) stock options, including non-qualified options and ISOs; (ii) SARs; (iii) restricted stock; (iv) deferred stock and restricted stock units; (v) performance units and performance shares; (vi) dividend equivalents; and (vii) other stock-based awards.

Generally, awards under the Incentive Plan are granted for no consideration other than prior and/or future services. Awards granted under the Incentive Plan may, in the discretion of the Compensation Committee, be granted alone or in addition to, in tandem with or in substitution for, any other award under the Incentive Plan or any other plan of ours; provided, however, that if a SAR is granted in tandem with an ISO, the SAR and ISO must have the same grant date and term, and the exercise price of the SAR may not be less than the exercise price of the related ISO. The material terms of each award will be set forth in a written or electronic award agreement between the grantee and Pubco. The agreements will specify when the award may become vested, exercisable or payable. No right or interest of a participant in any award will be subject to any lien, obligation or liability of the participant. The laws of the State of Delaware govern the Incentive Plan. The Incentive Plan will be unfunded, and Pubco will not segregate any assets for grants of awards under the Incentive Plan. The Incentive Plan will not be subject to the Employee Retirement Income Security Act of 1974, as amended, or ERISA.

Other than awards excluded from the minimum vesting requirement as set forth herein, no award may be granted under the Incentive Plan that will be eligible to vest earlier than 12 months after the date of grant and/or have a performance period of less than 12 months. Notwithstanding the foregoing, awards that result in the issuance of an aggregate of up to 5% of the shares of Pubco Common Stock available under the Incentive Plan may be granted without regard to such minimum vesting requirements. The foregoing restrictions do not limit the Compensation Committee's authority to accelerate, or provide for the acceleration of, the vesting of all or any part of any award granted under the Incentive Plan.

*Stock Options and SARs*

The Compensation Committee will be authorized to grant SARs and stock options (including ISOs except that an ISO may only be granted to an employee of Pubco or one of Pubco's parent or subsidiary corporations). A stock option allows a grantee to purchase a specified number of Pubco's shares at a predetermined price per share, or the Option Exercise Price, during a fixed period measured from the date of grant. A SAR entitles the grantee to receive the excess of the fair market value of a specified number of shares on the date of exercise over a predetermined exercise price per share, or the SAR Exercise Price. The Option Exercise Price or SAR Exercise Price will be determined by the Compensation Committee and set forth in the award agreement, but neither may be less than the fair market value of a share on the grant date (110 percent of the fair market value in case of certain ISOs or SARs granted in tandem with certain ISOs).

The term of each option or SAR will be determined by the Compensation Committee and set forth in the award agreement, except that the term may not exceed the date immediately preceding the 10-year anniversary of the date of grant (five year anniversary of the date of grant in case of certain ISOs or SARs granted in tandem with certain ISOs). Options may be exercised by payment of the purchase price through one or more of the following means: payment in cash (including personal check or wire transfer), or, with the approval of the Compensation Committee, by delivering shares of common stock previously owned by the grantee, by the withholding of shares of common stock to be acquired upon the exercise of such option or by delivering restricted shares of common stock. The Compensation Committee may also permit a grantee to pay the Option Exercise Price through the sale of shares acquired upon exercise of the option through a broker-dealer to whom the grantee has delivered irrevocable instructions to deliver sales proceeds sufficient to pay the purchase price to us. In the case of ISOs, the aggregate fair market value (determined as of the date of grant) of common stock with respect to which an ISO may become exercisable for the first time during any calendar year cannot exceed $100,000; and if this limitation is exceeded, the ISOs which cause the limitation to be exceeded will be treated as nonqualified options. No participant may be granted SARs in tandem with ISOs, which are first exercisable in any calendar year for shares of Company stock having an aggregate fair market value (determined as of the date of grant) that exceeds $100,000.

*Restricted Shares*

The Compensation Committee may award restricted shares consisting of shares of common stock which remain subject to a risk of forfeiture and may not be disposed of by grantees until certain restrictions established by the Compensation Committee lapse. The vesting conditions may be service-based (i.e., requiring continuous service for a specified period) or performance-based (i.e., requiring achievement of certain specified performance objectives) or both. Unless the award agreement eliminates such rights, a grantee receiving restricted shares will have the right to vote the restricted shares and to receive any dividends payable on such restricted shares if and at the time the restricted shares vest (such dividends to either be deemed reinvested into additional restricted shares subject to the same terms as the restricted shares to which such dividends relate or accumulated and paid in cash when the restricted shares vest). Upon termination of the grantee's affiliation with us during the restriction period (or, if applicable, upon the failure to satisfy the specified performance objectives during the restriction period), the restricted shares will be forfeited as provided in the award agreement.

*Restricted Stock Units and Deferred Stock*

The Compensation Committee may also grant restricted stock unit awards and/or deferred stock awards. A deferred stock award is the grant of a right to receive a specified number of shares of Pubco Common Stock at the end of specified deferral periods or upon the occurrence of a specified event. A restricted stock unit award is the grant of a right to receive a specified number of shares of Pubco Common Stock upon lapse of a specified forfeiture condition (such as completion of a specified period of service or achievement of certain specified performance objectives). If the service condition and/or specified performance objectives are not satisfied during the restriction period, the award will lapse without the issuance of the shares underlying such award.

Restricted stock units and deferred stock awards carry no voting or other rights associated with stock ownership. Unless the agreement eliminates such rights, however, a grantee receiving restricted stock units or deferred stock will receive dividend equivalents with respect to restricted stock units or deferred stock, and such dividend equivalents will either be deemed to be reinvested in additional shares of restricted stock units or deferred stock subject to the same terms as the shares of restricted stock or deferred stock to which such dividend equivalents relate or accumulated and paid in cash only if the related restricted stock units or deferred stock becomes vested and payable.

*Performance Units*

The Compensation Committee may grant performance units, which entitle a grantee to cash or shares of common stock conditioned upon the fulfillment of certain performance conditions and other restrictions as specified by the Compensation Committee and reflected in the award agreement. The Compensation Committee will determine the terms and conditions of such awards, including performance and other restrictions placed on these awards, which will be reflected in the award agreement.

*Performance Shares*

The Compensation Committee may grant performance shares, which entitle a grantee to a certain number of shares of common stock, conditioned upon the fulfillment of certain performance conditions and other restrictions as specified by the Compensation Committee and reflected in the award agreement. The Compensation Committee will determine the terms and conditions of such awards, including performance and other restrictions placed on these awards, which will be reflected in the award agreement.

*Dividend Equivalents*

The Compensation Committee is authorized to grant dividend equivalents, which provide a grantee the right to receive payment equal to the dividends paid on a specified number of Pubco's shares. Dividend equivalents may be paid directly to grantees upon vesting or may be deferred for later delivery under the Incentive Plan. If deferred, such dividend equivalents may be credited with interest or may be deemed to be invested in Pubco's shares, other awards or in other property. No dividend equivalents may be granted in conjunction with any grant of stock options or SARs.

*Other Stock-Based Awards*

In order to enable us to respond to material developments in the area of taxes and other legislation and regulations and interpretations thereof, and to trends in executive compensation practices, the Incentive Plan also authorizes the Compensation Committee to grant awards that are valued in whole or in part by reference to or otherwise based on shares of Pubco Common Stock. The Compensation Committee determines the terms and conditions of such awards, including consideration paid for awards granted as share purchase rights and whether awards are paid in shares or cash.

*Performance-Based Awards*

The Compensation Committee may require satisfaction of pre-established performance goals, consisting of one or more business criteria and a targeted performance level with respect to such criteria, as a condition to awards being granted or becoming exercisable or payable under the Incentive Plan, or as a condition to accelerating the timing of such events. Any applicable performance measure may be applied on a pre- or post-tax basis. An award that is intended to become exercisable, vested or payable on the achievement of performance conditions means that the award will not become exercisable, vested or payable solely on mere continued employment or service. However, such an award, in addition to performance conditions, may be subject to continued employment or service by the participant. Notwithstanding the foregoing, the vesting, exercise or payment of an award (other than a performance-based award) can be conditioned on mere continued employment or service.

*Settlement of Awards*

Awards generally may be settled in cash, shares of Pubco Common Stock, other awards or other property, in the discretion of the Compensation Committee to the extent permitted by the terms of the Incentive Plan.

*Change in Control*

If there is a merger or consolidation of Pubco with or into another corporation or a sale of substantially all of Pubco's shares or assets, or a Corporate Transaction, that results in a Change in Control (as defined in the Incentive Plan), and the outstanding awards are not assumed by the surviving company (or its parent company) or replaced with economically equivalent awards granted by the surviving company (or its parent company), the Compensation Committee will cancel any outstanding awards that are not vested and nonforfeitable as of the consummation of such Corporate Transaction (unless the terms of the Incentive Plan or the Compensation Committee accelerates the vesting of any such awards) and, with respect to any vested and nonforfeitable awards, the Compensation Committee shall either (i) allow all grantees to exercise options and SARs within a reasonable period prior to the consummation of the Corporate Transaction and cancel any outstanding options or SARs that remain unexercised upon consummation of the Corporate Transaction and/or (ii) cancel any or all of such outstanding awards (including options and SARs) in exchange for a payment (in cash, or in securities or other property) in an amount equal to the amount that the grantee would have received (net of the exercise price with respect to any options or SARs) if the vested awards were settled or distributed or such vested options and SARs were exercised immediately prior to the consummation of the Corporate Transaction. If an exercise price of the option or SAR exceeds the fair market value of Pubco's shares and the option or SAR is not assumed or replaced by the surviving company (or its parent company), such options and SARs will be cancelled without any payment to the grantee. If any other award is not vested immediately prior to the consummation of the Corporate Transaction, such award will be cancelled without any payment to the grantee. Additionally, outstanding time-based awards that are not assumed by the surviving company (or its parent company) or replaced with economically equivalent awards granted by the surviving company (or its parent company) generally shall vest and become non-forfeitable upon a Change in Control; outstanding time-based awards that are assumed by the surviving company (or its parent company) or replaced with economically equivalent awards granted by the surviving company (or its parent company) generally shall vest and become non-forfeitable upon the grantee's retirement, death, disability, or termination without cause, in each case within two years after the Change in Control (provided such accelerated vesting does not violate Section 409A of the Code). Outstanding performance-based awards that are not assumed by the surviving company (or its parent company) or replaced with economically equivalent awards granted by the surviving company (or its parent company) shall be prorated and vest at target; outstanding performance-based awards that are assumed by the surviving company (or its parent company) or replaced with economically equivalent awards granted by the surviving company (or its parent company) shall be converted into time-based awards and will become vested and non-forfeitable upon the grantee's retirement, death, disability, or termination without cause, in each case within two years after the Change in Control (provided such accelerated vesting does not violate Section 409A of the Code). The foregoing actions are subject to compliance with Section 409A of the Code.

*Amendment and Termination of the Incentive Plan*

The Incentive Plan may be amended, suspended or terminated by the Pubco Board without further shareholder approval, unless such shareholder approval of any such amendment is required by law or regulation or under the rules of any stock exchange or automated quotation system on which shares of Pubco's common stock are then listed or quoted. An amendment will be contingent on approval of Pubco's shareholders if the amendment would (i) materially increase the number of shares authorized under the Incentive Plan, (ii) expand the types of awards that may be granted under the Incentive Plan, or (iii) materially expand the class of individuals eligible to participate in the Incentive Plan. In addition, subject to the terms of the Incentive Plan, no amendment or termination of the Incentive Plan may materially and adversely affect the right of a grantee under any outstanding award granted under the Incentive Plan without the participant's consent.

Unless earlier terminated by the Pubco Board, the Incentive Plan will terminate when no shares of common stock remain reserved and available for issuance and no other awards remain outstanding or, if earlier, on the day immediately preceding the tenth anniversary of the date of adoption of the Incentive Plan by Board.

*Shareholder Rights*

No grantee will have any rights as a shareholder of Pubco until such award is settled by the issuance of common stock, other than awards for which certain voting and dividend rights or dividend equivalents may be granted.

*Transferability*

Generally, an award will be non-transferable except by will or the laws of descent and distribution, and during the lifetime of the grantee to whom the award is granted, the award may only be exercised by, or payable to, the grantee. However, the Compensation Committee may provide that awards other than ISOs or a corresponding SAR that is related to an ISO may be transferred by a grantee to any permitted transferee (as defined in the Incentive Plan). Any such transfer will be permitted only if (i) the grantee does not receive any consideration for the transfer, (ii) the Compensation Committee expressly approves the transfer and (iii) the transfer is on such terms and conditions as are appropriate for the permitted transferee. The holder of the transferred award will be bound by the same terms and conditions that governed the award during the period that it was held by the grantee, except that such transferee may only transfer the award by will or the laws of descent and distribution.

*No Repricing*

Notwithstanding any other provision of the Incentive Plan, no option or SAR may be amended to reduce the exercise or grant price nor cancelled in exchange for other options or SARs with a lower exercise or grant price or shares or cash, without shareholder approval.

*Compliance with Applicable Law*

No award shall be exercisable, vested or payable except in compliance with all applicable federal and state laws and regulations (including, without limitation, tax and securities laws), any listing agreement with any stock exchange to which Pubco is a party, and the rules of all domestic stock exchanges on which Pubco's shares may be listed.

*No Employment Rights*

Awards will not confer upon any individual any right to continue in the employ or service of Pubco or any affiliate or subsidiary.

*Recoupment of Awards*

The Incentive Plan provides that awards granted under the Incentive Plan are subject to any recoupment policy that Pubco may have in place or any obligation that Pubco may have regarding the claw-back of "incentive-based compensation" under the Exchange Act or under any applicable rules and regulations promulgated by the SEC or other applicable law or the primary stock exchange on which Pubco's shares are listed.

*Miscellaneous*

Each grantee in the Incentive Plan will remain subject to the securities trading policies adopted by Pubco from time to time with respect to the exercise of options or SARs or the sale of shares of Company stock acquired pursuant to awards granted under the Incentive Plan. A grantee shall forfeit any and all rights under an award upon notice of termination by Pubco or any affiliate for "Cause" as such term is defined in the Incentive Plan. Award agreements shall contain such other terms and conditions as the Compensation Committee may determine in its sole discretion (to the extent not inconsistent the Incentive Plan).

*New Plan Benefits*

Awards under the Incentive Plan will be granted in amounts and to individuals as determined by the Pubco Compensation Committee in its sole discretion. Certain amounts have been promised to individuals pursuant to certain employment agreement and the Pubco non-employee director compensation policy adopted by the Pubco Board.

The following table sets forth awards of options, restricted stock and RSUs that are intended to be granted by Pubco to employees and non-employee directors under the Incentive Plan, subject to (i) the consummation of the Closing, (ii) the requisite board of directors and shareholders of CDAQ and/or Pubco (as applicable) approve the Incentive Plan, (iii) the shares underlying the 2025 Equity Incentive Plan are registered on a Form S-8, and (iv) continuous employment or service (as applicable) with the Pubco through the applicable date of grant.

Cesar A. López Alarcón is eligible to receive a grant of _______ performance-based restricted stock units, subject to the Pubco Board (or its compensation committee) approval, vesting conditions established by the Pubco Board (or its compensation committee) and other conditions. The dollar value of the RSUs that will be granted will be determined based on the closing price of Pubco Common Stock on the date of grant, are not determinable at this time, and therefore are not included in the table below.

Each of Pubco's non-employee directors (Timothy R. McCutcheon, John P. Ryan, Kelly Earle and _______) are eligible to receive initial restricted grants with a grant date fair value equal to $60,000 that vest monthly over a period of 36 months, subject to continued service with the Pubco an initial stock option grants with a grant date fair value equal to $60,000, that vest monthly over a period of 36 months, subject to continued service with the Pubco, and subject to the achievement of certain performance goals. The number of shares that will be granted following the date of this proxy statement/prospectus will be determined based on the closing price of Pubco Common Stock on the date of grant, are not determinable at this time, and are therefore not included in the table below.

Incentive Plan

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Name and position** | **Dollar<br> value ($)** | **Number of<br> options** | **Number of restricted stock** | **Number of<br> units** |
| CEO |  |  |  | ____<sup>(1)</sup> |
| Executive Group |  |  |  |  |
| Non-Executive Director Group | 480000<sup>(2)</sup><sup>(3)</sup><sup>(4)</sup> |  |  |  |
| Non-Executive Officer Employee Group |  |  |  |  |

---

(1) The number of units includes the _________ time and performance-based restricted stock units granted to Mr. López, which are subject to Pubco Board (or its compensation committee) approval, vesting conditions established by the Pubco Board, and other conditions. The restricted stock units vest upon the achievement of certain performance conditions and are subject to Mr. López's continuous employment with the Pubco through the date in which the vesting conditions are satisfied. To the extent that any outstanding portion of the restricted stock units remains unvested as of Mr. López termination of employment with the Pubco, any such portion will automatically be forfeited for no consideration.

(2) The amount included includes the $120,000 grant date fair value to Messrs. McCutcheon, Ryan and ______ and Ms. Earle.

(3) The number of stock options will equal $60,000 *divided by* the closing stock price on the date of the Closing.

(4) The number of restricted shares will equal $60,000 *divided by* the closing stock price on the date of the Closing.

**U.S. Federal Income Tax Consequences**

The following is a brief summary of certain of the U.S. federal income tax consequences of certain transactions under the Incentive Plan based on the law in effect as of the date of this proxy statement/prospectus. This summary, which is presented for the information of shareholders considering how to vote on this proposal, is not intended to be exhaustive. It does not describe federal taxes other than income taxes (such as Medicare and Social Security taxes) or foreign, state, or local tax consequences. Nor does it describe tax consequences based on any grantee's particular circumstances. Each grantee in the Incentive Plan should refer to the text of the plan set forth in <u>Annex E</u> to this proxy statement/prospectus and consult with his or her own tax advisor as to specific questions relating to tax consequences of participation in the plan.

<u>Nonqualified Stock Options</u>. The grant of a nonqualified stock option will not be a taxable event. The optionee generally will recognize ordinary income upon exercise of the option, in an amount equal to the excess of the fair market value of the shares received at the time of exercise (including option shares withheld by us to satisfy tax withholding obligations) over the exercise price of the option, and generally the company will be allowed a deduction in this amount, subject to any limitations under Section 162(m) of the Internal Revenue Code of 1986 (as amended, the "<u>IRC</u>") or any other tax rule. Upon disposition of the shares received upon exercise, the optionee will recognize long-term or short-term capital gain or loss, depending upon the length of time he or she held such shares. The amount of long-term or short-term capital gain or loss recognized by the optionee upon disposition of the shares will be an amount equal to the difference between the amount realized on the disposition and the optionee's basis in the shares (which basis is ordinarily the fair market value of the shares on the date the option was exercised).

<u>ISOs</u>. Neither the grant nor the exercise of an ISO will be a taxable event for regular tax purposes, except that the alternative minimum tax may apply to the exercise. The optionee will recognize long-term capital gain or loss on a disposition of shares acquired upon exercise of the option provided the optionee does not dispose of such shares within two years from the date the option was granted or within one year after the shares were transferred to the optionee. For purposes of determining such gain or loss, the optionee's basis in such shares will, in general, be the exercise price of such option. If the optionee satisfies both of the holding periods described above, then the Company will not be allowed a deduction by reason of the exercise of the option. If the optionee disposes of the shares acquired upon exercise before satisfying both of the holding period requirements discussed above (a "<u>disqualifying disposition</u>"), his or her gain recognized on the disqualifying disposition will be taxed as ordinary income to the extent of the difference between the fair market value of the shares on the date of exercise (or, if less, the amount realized upon the disposition of the shares) and the exercise price of such option, and the Company will generally be entitled to a deduction in this amount, subject to any limitations under Section 162(m) of the IRC or any other tax rule. The gain (if any) in excess of the amount recognized as ordinary income on a disqualifying disposition will be taxed as a long-term or short-term capital gain, depending upon the length of time the recipient held the shares.

<u>SARs</u>. The grant of a SAR will not be a taxable event. The recipient of a SAR generally will recognize ordinary income upon exercise of the SAR, in an amount equal to the excess of the fair market value of the exercised shares at the time of exercise (including shares withheld by us to satisfy tax withholding obligations) over the exercise or base price of the SAR, and generally the Company will be allowed a deduction in this amount, subject to any limitations under Section 162(m) of the IRC or any other tax rule. Upon disposition of any shares received upon exercise, the recipient will recognize long-term or short-term capital gain or loss, depending upon the length of time he or she held such shares. The amount of long-term or short-term capital gain or loss recognized by the recipient upon disposition of the shares will be an amount equal to the difference between the amount realized on the disposition and the recipient's basis in the shares (which basis is ordinarily the fair market value of the shares on the date the SAR was exercised).

<u>Restricted Shares</u>. The grant of restricted stock will not be a taxable event until the award vests, unless the participant timely files an election under Section 83(b) of the IRC to be taxed at the time of grant. If the recipient makes such an election, he or she will recognize ordinary income equal to the fair market value of the shares at the time of purchase or grant less the amount paid for such shares (if any). Any gain or loss recognized upon any later disposition of the shares generally will be a capital gain or loss, and any dividends paid after the date of grant will be taxed as dividend income. If the recipient does not make an 83(b) election, the recipient will upon vesting recognize ordinary income equal to the fair market value of the shares at the time of vesting less the amount paid for such shares (if any), and any dividends that accrue and become vested similarly will be taxed as ordinary wage income. Any gain or loss recognized upon any later disposition of the shares generally will be a capital gain or loss. The Company will generally be allowed a deduction for the compensation income recognized by the recipient, subject to any limitations under Section 162(m) or any other tax rule.

<u>Restricted Stock Units, Deferred Stock, Performance Units and Performance Based Awards</u>. The grant of an award of restricted stock units (including deferred stock, performance-based awards, or performance units) will not be a taxable event. The recipient of the award generally will recognize ordinary compensation income in an amount equal to the fair market value of the shares of common stock received (or the amount of any cash payment made in lieu of shares or upon the vesting and payment of any dividend equivalents), and generally the Company will be entitled to a deduction in this amount, subject to any limitations under Section 162(m) of the IRC or any other tax rule. A recipient's basis for determining gain or loss on a subsequent disposition of these shares of common stock will be the amount the recipient must include in income with respect to the shares. Any gain or loss recognized on a disposition of the shares of common stock generally will be short-term or long-term capital gain or loss, depending on the length of time the recipient holds the shares. A recipient who makes a proper election to defer the settlement of restricted stock units will not recognize income with respect to the restricted stock units, and the Company will not be entitled to a corresponding deduction, until the end of the deferral period. At the end of the deferral period, the recipient will recognize ordinary compensation income, and the Company will be entitled to a corresponding deduction, subject to any limitations under Section 162(m) of the IRC or any other tax rule, equal to the fair market value of the shares of common stock issued at that time (or the amount of any cash payment made in lieu of shares or upon the vesting and payment of any dividend equivalents).

<u>Other Stock-Based Awards</u>. In the case of an award of restricted stock units, performance awards, dividend equivalent rights, or other stock-based, the recipient will generally recognize ordinary income in an amount equal to the fair market value of any shares received on the date of payment or delivery, provided that the award is exempt from or complies with Section 409A of the IRC.

**Equity Compensation Plan Information**

Because future awards under the Incentive Plan will be granted in the discretion of the Compensation Committee, the type, number of recipients and other terms of such awards cannot be determined at this time.

 **Required Vote and Recommendation of the CDAQ Board**

The approval of the Incentive Plan Proposal will require an ordinary resolution, being a resolution passed by a simple majority of the votes cast by, or on behalf of, the shareholders entitled to vote thereon at the Meeting. Abstentions and broker non-votes will be counted towards the quorum requirement but will not have an effect on the Incentive Plan Proposal. The adoption of the Incentive Plan Proposal is a condition to Closing and is conditioned upon the adoption of each of the Business Combination Proposal and the Director Election Proposal.

The full text of the resolutions to be passed is as follows:

"RESOLVED, as an ordinary resolution, that the Key Mining Holdings Corp. Omnibus Incentive Compensation Plan (a copy of which is attached to this proxy statement/prospectus as <u>Annex E</u>) and any form of award agreements thereunder, be approved and adopted in all respects."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE INCENTIVE PLAN PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**PROPOSAL 7: The Adjournment Proposal**

**Overview**

The Adjournment Proposal, if adopted, will allow the CDAQ Board or the Chairman of the Meeting to adjourn the Meeting to a later date or dates. The Adjournment Proposal will be presented to CDAQ Shareholders in the event that it is determined by CDAQ that additional time is necessary or appropriate to complete the Business Combination or for any other reason. In no event will the CDAQ Board adjourn the Meeting or consummate the Business Combination beyond the date by which it may properly do so under the CDAQ Memorandum and Articles and Cayman Islands law.

**Consequences if the Adjournment Proposal is Not Approved**

If the Adjournment Proposal is presented to the Meeting and is not approved by CDAQ Shareholders, the CDAQ Board or the Chairman of the Meeting will not have the power, under the CDAQ Memorandum and Articles, to adjourn the Meeting to a later date in the event it is determined by CDAQ that additional time is necessary or appropriate to complete the Business Combination or for any other reason. As a result, a new extraordinary general meeting would need to be called before the CDAQ Shareholders could vote on Proposals again.

**Required Vote and Recommendation of the CDAQ Board**

The approval of the Adjournment Proposal will require an ordinary resolution, being a resolution passed at the Meeting by a simple majority of the votes cast by, or on behalf of, the CDAQ Shareholders as, being entitled to do so, vote in person or, where proxies are allowed, by proxy at the Meeting. Abstentions and broker non-votes will not have an effect on the Adjournment Proposal. Adoption of the Adjournment Proposal is not conditioned upon the adoption of any of the other proposals.

"RESOLVED, as an ordinary resolution, that Meeting be adjourned to such later date or dates to be determined by directors of Compass Digital Acquisition Corp."

**THE CDAQ BOARD UNANIMOUSLY RECOMMENDS THAT CDAQ SHAREHOLDERS VOTE "FOR" THE APPROVAL OF THE ADJOURNMENT PROPOSAL.**

The existence of financial and personal interests of one or more of CDAQ's directors may result in a conflict of interest on the part of such director(s) between what they may believe is in the best interests of CDAQ and what they may believe is best for himself, herself or themselves in determining to recommend that CDAQ Shareholders vote for the Proposals. See the section entitled "*The Business Combination Proposal — Interests of the Sponsor and CDAQ's Directors and Executive Officers in the Business Combination"* for a further discussion.

**U.S. FEDERAL INCOME TAX CONSIDERATIONS**

The following discussion is a summary of certain U.S. federal income tax consequences (i) to U.S. Holders and Non-U.S. Holders (each as defined below, and together, the "<u>Holders</u>") of CDAQ Public Shares and Public Warrants that participate in the Business Combination, (ii) to Holders of CDAQ Public Shares that exercise their redemption rights in connection with the Business Combination, and (iii) to Holders of Pubco Common Stock that own and dispose of Pubco Common Stock after the Business Combination. The following discussion is the opinion of Ellenoff Grossman & Schole LLP and is based on the Code, the Treasury Regulations, and judicial and administrative interpretations of those laws, in each case as in effect and available as of the date of this discussion and all of which are subject to change or differing interpretations, possibly with retroactive effect. Any such change or differing interpretations could affect the tax consequences described below. There can be no assurance that the Internal Revenue Service ("<u>IRS</u>") or courts will not adopt a position that is contrary to the description included in the following summary.

This discussion is limited to Holders who hold their CDAQ Public Shares and Public Warrants as "capital assets" within the meaning of Section 1221 of the Code (generally, property held for investment) and does not address all tax considerations that may be relevant to a particular type of person considering their particular circumstances. For example, this discussion does not address the U.S. federal income tax consequences to Holders that are subject to special treatment under U.S. federal income tax law, such as:

● partnerships and other pass-through entities;

● financial institutions or financial services entities;

● broker-dealers;

● persons that are subject to the mark-to-market accounting rules under Section 475 of the Code;

● tax-exempt entities;

● governments or agencies or instrumentalities thereof;

● insurance companies;

● regulated investment companies;

● real estate investment trusts;

● specified expatriates or former long-term residents of the United States;

● persons that hold CDAQ Public Shares, as applicable, as part of a straddle, constructive sale, hedging, redemption or other integrated transaction;

● persons whose functional currency is not the U.S. dollar;

● controlled foreign corporations;

● passive foreign investment companies;

● persons required to accelerate the recognition of any item of gross income with respect to CDAQ Public Shares as a result of such income being recognized on an applicable financial statement;

● persons who actually or constructively own 5% or more of CDAQ Public Shares and Pubco Common Stock after the Business Combination, as applicable, by vote or value (except as specifically provided below); or

● the Sponsor and its affiliates.

In addition, this discussion does not address (i) any U.S. federal non-income tax consequences, including estate, gift or other tax consequences, (ii) any state, local or non-U.S. tax consequences, or (iii) the tax on net investment income or the alternative minimum tax. If an entity (or an arrangement) treated as a partnership for U.S. federal income tax purposes holds CDAQ Public Shares, Public Warrants, , the tax treatment of a partner in the partnership generally will depend on the status of the partner, the activities of the partnership, and certain determinations made at the partner level. Partnerships and partners in such a partnership should consult their tax advisors about the tax consequences to them.

For purposes of this discussion, because the components of a Unit are generally separable at the option of a Holder of such Unit, the Holder of a Unit generally should be treated, for U.S. federal income tax purposes, as the owner of the underlying Class A Ordinary Share and Public Warrant components of the Unit, and the discussion below with respect to actual Holders of CDAQ Class A Ordinary Shares also should apply to Holders of Units (as the deemed owners of the underlying CDAQ Class A Ordinary Shares that constitute a part of the Units). Accordingly, the separation of a Unit into one Class A Ordinary Share and one-half of one Public Warrant generally should not be a taxable event for U.S. federal income tax purposes. This position is not free from doubt, and no assurance can be given that the IRS would not assert, or that a court would not sustain, a contrary position. Holders of Units are urged to consult their tax advisors concerning the U.S. federal, state, local and any non-U.S. tax consequences to them.

For purposes of this description, a "U.S. Holder" means a beneficial owner of CDAQ Public Shares, Public Warrants, or, after the Business Combination, Pubco Common Stock, as applicable, that is for U.S. federal income tax purposes:

&nbsp;&nbsp;&nbsp;&nbsp;i. an
 individual citizen or resident of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;ii. a
 corporation (or other entity treated as a corporation) that is created or organized (or treated
 as created or organized) in or under the laws of the United States, any state thereof,
 or the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;iii. an
 estate whose income is includible in gross income for U.S. federal income tax purposes
 regardless of its source; or

&nbsp;&nbsp;&nbsp;&nbsp;iv. a
 trust if (i) a U.S. court can exercise primary supervision over the trust's
 administration and one or more U.S. persons are authorized to control all substantial
 decisions of the trust, or (ii) it has a valid election in effect under applicable Treasury
 Regulations to be treated as a U.S. person.

A "Non-U.S. Holder" means a beneficial owner of CDAQ Public Shares or Public Warrants or, after the Business Combination, Pubco Common Stock, as applicable, that is neither a U.S. Holder nor a partnership (or any other entity or arrangement that is treated as a partnership for U.S. federal income tax purposes).

We have not sought, and do not intend to seek, any rulings from the IRS as to any U.S. federal income tax considerations described herein. There can be no assurance that the IRS will not take positions inconsistent with the considerations discussed below or that any such positions would not be sustained by a court.

**THIS DISCUSSION IS FOR GENERAL INFORMATION PURPOSES ONLY AND IS NOT INTENDED TO BE, AND SHOULD NOT BE CONSTRUED AS, LEGAL OR TAX ADVICE TO ANY PARTICULAR HOLDER. THE U.S. FEDERAL INCOME TAX TREATMENT WITH RESPECT TO A HOLDER MAY BE AFFECTED BY MATTERS NOT DESCRIBED HEREIN AND DEPENDS IN SOME INSTANCES ON DETERMINATIONS OF FACT AND INTERPRETATIONS OF COMPLEX PROVISIONS OF U.S. FEDERAL INCOME TAX LAW FOR WHICH NO CLEAR PRECEDENT OR AUTHORITY MAY BE AVAILABLE. EACH HOLDER IS URGED TO CONSULT ITS TAX ADVISOR REGARDING THE SPECIFIC TAX CONSEQUENCES TO SUCH HOLDER OF THE MERGERS, THE EXERCISE OF ITS REDEMPTION RIGHTS, THE BUSINESS COMBINATION, AND THE OWNERSHIP AND DISPOSITION OF PUBCO COMMON STOCK AFTER THE BUSINESS COMBINATION AS A RESULT OF ITS PARTICULAR CIRCUMSTANCES, INCLUDING THE U.S. FEDERAL, STATE, LOCAL AND FOREIGN INCOME AND OTHER TAX CONSEQUENCES THEREOF.**

**<u>The Mergers</u>**

It is intended that the Mergers, taken together and as part of an integrated transaction, are intended to be treated as an exchange within the meaning of Section 351(a) of the Code (the "<u>Intended Tax Treatment</u>"). However, Section 351(e)(1) of the Code provides that even if an exchange otherwise satisfies all the requirements of Section 351(a) of the Code, Section 351 of the Code shall not apply to a transfer of property to an "investment company." Whether Pubco is an investment company for purposes of Section 351(e)(1) of the Code will depend in part on the gross value of the assets of Pubco immediately after the Business Combination which is uncertain.

The Business Combination is not conditioned on the receipt of an opinion of counsel that it will qualify for the Intended Tax Treatment, and there can be no assurance that such an opinion of counsel can or will be obtained. Consequently, no assurance can be given that the IRS will not assert, or that a court would not sustain, a position contrary to the Intended Tax Treatment.

***Tax Consequences of the Mergers to U.S. Holders***

In General

If the Intended Tax Treatment applies, a U.S. Holder generally will not recognize taxable gain or loss upon the exchange of its CDAQ Public Shares, as applicable, solely for shares of Pubco Common Stock pursuant to the Business Combination, except as provided below in the sections entitled "— *Effect of Section 367 of the Code on U.S. Holders*" and "— *PFIC Considerations*." A U.S. Holder's aggregate tax basis in the shares of Pubco Common Stock received in connection with the Business Combination will generally be the same as its aggregate tax basis in the CDAQ Public Shares, as applicable, surrendered in the transaction, increased by any amount included in the income of such U.S. Holder as a result of Section 367 of the Code (as discussed below). In addition, the holding period of shares of Pubco Common Stock received in the Business Combination generally will include the holding period of CDAQ Public Shares, as applicable, surrendered in the Business Combination.

If the Intended Tax Treatment does not apply, then a U.S. Holder that exchanges CDAQ Public Shares for Pubco Common Stock in the Business Combination generally will recognize gain or loss for U.S. federal income tax purposes in an amount equal to the difference, if any, between (i) the fair market value (determined as of the Closing Date) of the Pubco Common Stock received, and (ii) the U.S. Holder's adjusted tax basis in the CDAQ Public Shares, exchanged therefor. Any capital gain or loss recognized will be long-term capital gain or loss if the U.S. Holder's holding period for such CDAQ Public Shares exceeds one year. The deductibility of capital losses is subject to limitations.

Effect of Section 367 of the Code on U.S. Holders

*In General*

Section 367 of the Code applies to certain transactions involving foreign corporations, including transactions such as the Mergers. Subject to the discussion below under the section entitled "*— PFIC Considerations*," Section 367 of the Code imposes U.S. federal income tax on certain U.S. persons in connection with transactions that would otherwise be tax-deferred. Section 367(b) of the Code will generally apply to U.S. Holders on the date of the Mergers.

*U.S. Holders who own CDAQ Public Shares representing 10% or more (by vote and value) of the stock of CDAQ*

Subject to the discussion below under the section entitled "*— PFIC Considerations*," a U.S. Holder who on the date of the Mergers, beneficially owns (directly, indirectly, or constructively, including as a result of complicated attribution rules) 10% or more of the total combined voting power of all classes of stock of CDAQ entitled to vote or 10% or more of the total value of all classes of stock of CDAQ (a "<u>10% U.S. Shareholder</u>") generally must include in income the "all earnings and profits amount" attributable to the CDAQ Public Shares it directly owns within the meaning of the Treasury Regulations under Section 367(b) of the Code.

*U.S. Holders who own CDAQ Public Shares representing less than 10% (by vote and value) of the stock of CDAQ*

Subject to the discussion in the section entitled "— *PFIC Considerations*" below, a U.S. Holder whose CDAQ Public Shares, on the date of the Mergers, have a fair market value of $50,000 or more and who, on the date of the Mergers, is not a 10% U.S. Shareholder, generally will recognize gain (but not loss) with respect to the Pubco Common Stock received pursuant to the Mergers, unless such U.S. Holder elects to recognize the "all earnings and profits" amount attributable to such U.S. Holder as described below. Any such gain would be equal to the excess of the fair market value of such shares of Pubco Common Stock received in the Mergers, over the U.S. Holder's adjusted tax basis in the CDAQ Public Shares surrendered in exchange therefor. Subject to the PFIC rules discussed below, such gain would be capital gain and should be long-term capital gain if the U.S. Holder held the CDAQ Public Shares for more than one year.

In lieu of recognizing any gain as described in the preceding paragraph, a U.S. Holder may elect to include in income the "all earnings and profits amount" attributable to its CDAQ Public Shares under Section 367(b) of the Code. There are, however, strict conditions for making this election. This election must comply with applicable Treasury Regulations and generally must include, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;i. a
 statement that the Mergers constitute a Section 367(b) exchange (within the meaning
 of the applicable Treasury Regulations);

&nbsp;&nbsp;&nbsp;&nbsp;ii. a
 complete description of the Mergers;

&nbsp;&nbsp;&nbsp;&nbsp;iii. a
 description of any stock, securities or other consideration transferred or received in the
 Mergers;

&nbsp;&nbsp;&nbsp;&nbsp;iv. a
 statement describing the amounts required to be taken into account for U.S. federal
 income tax purposes;

&nbsp;&nbsp;&nbsp;&nbsp;v. a
 statement that the U.S. Holder is making the election that includes (A) a copy
 of the information that the U.S. Holder received from CDAQ establishing and substantiating
 the U.S. Holder's "all earnings and profits amount" with respect to
 the U.S. Holder's CDAQ Public Shares, and (B) a representation that the U.S. Holder
 has notified CDAQ or Pubco that the U.S. Holder is making the election; and

&nbsp;&nbsp;&nbsp;&nbsp;vi. certain
 other information required to be furnished with the U.S. Holder's tax return or
 otherwise furnished pursuant to the Code or the Treasury Regulations.

The election must be attached by the U.S. Holder to its timely filed U.S. federal income tax return for the year of the Mergers, and the U.S. Holder must send notice of making the election to CDAQ or Pubco no later than the date such tax return is filed. In connection with this election, CDAQ may in its discretion provide each U.S. Holder eligible to make such an election with information regarding CDAQ's earnings and profits upon written request.

A U.S. Holder who, at the time of the Mergers, is not a 10% U.S. Shareholder and whose CDAQ Public Shares have a fair market value of less than $50,000, generally should not be required to recognize any gain or loss or include any part of the "all earnings and profits amount" in income under Section 367(b) of the Code in connection with the Mergers.

PFIC Considerations

*In General*

In addition to Section 367(b) of the Code, the Mergers may be a taxable event to U.S. Holders to the extent that Section 1291(f) of the Code applies, if CDAQ is or ever was a "passive foreign investment company," or "PFIC," under Section 1297 of the Code (as discussed further in "— *Consequences if CDAQ is a PFIC*" below). A foreign corporation generally will be a PFIC for U.S. federal income tax purposes with respect to a taxable year of the foreign corporation if either:

&nbsp;&nbsp;&nbsp;&nbsp;i. at
 least 75% of its gross income in a taxable year, including its pro rata share of the gross
 income of any corporation in which it is considered to own at least 25% of the shares by
 value, is passive income; or

&nbsp;&nbsp;&nbsp;&nbsp;ii. at
 least 50% of its assets in a taxable year, ordinarily determined based on fair market value
 and averaged quarterly over the year, including its pro rata share of the assets of any corporation
 in which it is considered to own at least 25% of the shares by value, are held for the production
 of, or produce, passive income.

Passive income generally includes dividends, interest, rents and royalties (other than rents or royalties derived from the active conduct of a trade or business) and gains from the disposition of passive assets.

*PFIC Status of CDAQ*

Since CDAQ is a blank check company with no current active business and, based upon the composition of its income (i.e., interest) and assets (i.e., cash) and upon a review of its financial statements, CDAQ believes that it is likely properly classified as a PFIC.

*Consequences if CDAQ is a PFIC*

Even if the Mergers are treated as an exchange within the meaning of Section 351(a) of the Code, Section 1291(f) of the Code requires that, to the extent provided in Treasury Regulations, a U.S. person who disposes of stock of a PFIC recognizes gain notwithstanding any other provision of the Code. No final Treasury Regulations are currently in effect under Section 1291(f) of the Code. However, proposed Treasury Regulations under Section 1291(f) of the Code have been promulgated with a retroactive effective date. If finalized in their current form, the proposed Treasury Regulations would require gain recognition to U.S. Holders of CDAQ Public Shares as a result of the Mergers if:

&nbsp;&nbsp;&nbsp;&nbsp;i. CDAQ
 were classified as a PFIC at any time during such U.S. Holder's holding period
 in such CDAQ Public Shares; and

&nbsp;&nbsp;&nbsp;&nbsp;ii. the
 U.S. Holder had not timely made (a) a QEF Election (as defined below) for the first
 taxable year in which the U.S. Holder owned such CDAQ Public Shares or in which CDAQ
 was a PFIC, whichever is later (or a QEF Election along with a purging election), or (b) an
 MTM Election (as defined below) with respect to such CDAQ Public Shares.

The tax on any such recognized gain would be imposed based on a complex set of computational rules. Under these rules:

&nbsp;&nbsp;&nbsp;&nbsp;i. the
 U.S. Holder's gain will be allocated ratably over the U.S. Holder's
 holding period for such U.S. Holder's CDAQ Public Shares;

&nbsp;&nbsp;&nbsp;&nbsp;ii. the
 amount of gain allocated to the U.S. Holder's taxable year in which the U.S. Holder
 recognized the gain, or to the period in the U.S. Holder's holding period before
 the first day of the first taxable year in which CDAQ was a PFIC, will be taxed as ordinary
 income;

&nbsp;&nbsp;&nbsp;&nbsp;iii. the
 amount of gain allocated to other taxable years (or portions thereof) of the U.S. Holder
 and included in such U.S. Holder's holding period would be taxed at the highest
 tax rate in effect for that year and applicable to the U.S. Holder; and

&nbsp;&nbsp;&nbsp;&nbsp;iv. an
 additional tax equal to the interest charge generally applicable to underpayments of tax
 will be imposed on the U.S. Holder in respect of the tax attributable to each such other
 taxable year (described in the third bullet above) of such U.S. Holder.

In addition, the proposed Treasury Regulations provide coordinating rules with Section 367(b) of the Code, whereby, if the gain recognition rule of the proposed Treasury Regulations discussed in the preceding paragraph applies to a disposition of PFIC stock that results from a transfer with respect to which Section 367(b) of the Code requires the U.S. Holder to recognize gain or include an amount in income, the gain realized on the transfer is taxable under the rules described in the preceding paragraph, and the excess, if any, of the amount to be included in income under Section 367(b) of the Code over the gain realized is taxable as provided under Section 367(b) of the Code. See the discussion above under the section entitled "*— Effect of Section 367 of the Code on U.S. Holders*."

It is difficult to predict whether, in what form, and with what effective date, final Treasury Regulations under Section 1291(f) of the Code may be adopted or how any such final Treasury Regulations would apply. Therefore, U.S. Holders of CDAQ Public Shares that have not made a timely and effective QEF Election (or a QEF Election along with a purging election) or an MTM Election (each as defined below) may, pursuant to the proposed Treasury Regulations, be subject to taxation under the PFIC rules on the Mergers with respect to their CDAQ Public Shares in the manner set forth above. A U.S. Holder that has made a timely and effective QEF Election (or a QEF Election along with a purging election) or an MTM Election with respect to its CDAQ Public Shares is referred to herein as an "<u>Electing Shareholder</u>," and a U.S. Holder that is not an Electing Shareholder is referred to herein as a "<u>Non-Electing Shareholder</u>."

QEF Election and Mark-to-Market Election

The impact of the PFIC rules on a U.S. Holder of CDAQ Public Shares will depend on whether the U.S. Holder has made a timely and effective election to treat CDAQ as a "qualified electing fund" under Section 1295 of the Code for the taxable year that is the first year in the U.S. Holder's holding period of CDAQ Public Shares during which CDAQ qualified as a PFIC (a "<u>QEF Election</u>") or, if in a later taxable year, the U.S. Holder made a QEF Election along with a purging election. A purging election creates a deemed sale of the U.S. Holder's CDAQ Public Shares at their then fair market value and requires the U.S. Holder to recognize gain pursuant to the purging election subject to the special PFIC tax and interest charge rules described above. As a result of any such purging election, the U.S. Holder would increase the adjusted tax basis in its CDAQ Public Shares by the amount of the gain recognized and, solely for purposes of the PFIC rules, would have a new holding period in its CDAQ Public Shares.

A U.S. Holder's ability to make a timely and effective QEF Election (or a QEF Election along with a purging election) with respect to CDAQ is contingent upon, among other things, the provision by CDAQ of a "PFIC Annual Information Statement" to such U.S. Holder. CDAQ will endeavor to provide PFIC Annual Information Statements, upon written request, to U.S. Holders of CDAQ Public Shares with respect to each taxable year for which CDAQ determines it is or has been a PFIC. There is no assurance, however, that CDAQ will timely provide such information. An Electing Shareholder generally would not be subject to the adverse PFIC rules discussed above with respect to its CDAQ Public Shares. As a result, such an Electing Shareholder generally should not recognize gain or loss as a result of the Mergers except to the extent described under "*— Effect of Section 367 of the Code on U.S. Holders*" and subject to the discussion above under "*— Tax Consequences of the Mergers to U.S. Holders*." If an Electing Shareholder has made a QEF Election, it would instead include annually in gross income its pro rata share of the ordinary earnings and net capital gain of CDAQ, whether or not such amounts are actually distributed.

The impact of the PFIC rules on a U.S. Holder of CDAQ Public Shares may also depend on whether the U.S. Holder has made a mark-to-market election under Section 1296 of the Code. U.S. Holders who hold (actually or constructively) stock of a foreign corporation that is classified as a PFIC may annually elect to mark such stock to its market value if such stock is "marketable stock," generally, stock that is regularly traded on a national securities exchange that is registered with the SEC, including Nasdaq (an "<u>MTM Election</u>"). No assurance can be given that the CDAQ Public Shares are considered to be marketable stock for purposes of the MTM Election or whether the other requirements of this election are satisfied. If such an election is available and has been made, such U.S. Holders generally will not be subject to the special taxation rules of Section 1291 of the Code discussed herein with respect to their CDAQ Public Shares in connection with the Mergers or otherwise. Instead, in general, the U.S. Holder will include as ordinary income each year the excess, if any, of the fair market value of its CDAQ Public Shares at the end of its taxable year over its adjusted basis in its CDAQ Public Shares. The U.S. Holder also will recognize an ordinary loss in respect of the excess, if any, of its adjusted basis in its CDAQ Public Shares over the fair market value of its CDAQ Public Shares at the end of its taxable year (but only to the extent of the net amount of previously included income as a result of the MTM Election). The U.S. Holder's basis in its CDAQ Public Shares will be adjusted to reflect any such income or loss amounts, and any further gain recognized on a sale or other taxable disposition of its CDAQ Public Shares will be treated as ordinary income. However, if the MTM Election is not made by a U.S. Holder with respect to the first taxable year of its holding period for the PFIC stock, then the Section 1291 rules discussed above will apply to certain dispositions of, distributions on and other amounts taxable with respect to CDAQ Public Shares, including in connection with the Mergers.

**THE PFIC RULES ARE VERY COMPLEX. U.S. HOLDERS ARE URGED TO CONSULT THEIR TAX ADVISORS REGARDING THE CONSEQUENCES TO THEM OF THE PFIC RULES, INCLUDING, WITHOUT LIMITATION, WHETHER A QEF ELECTION (OR A QEF ELECTION ALONG WITH A PURGING ELECTION), AN MTM ELECTION OR ANY OTHER ELECTION IS AVAILABLE AND WHETHER AND HOW ANY OVERLAP RULES APPLY, AND THE CONSEQUENCES TO THEM OF ANY SUCH ELECTION OR OVERLAP RULE AND THE IMPACT OF ANY PROPOSED OR FINAL TREASURY REGULATIONS.**

***Tax Treatment of Pubco Warrants***

The appropriate U.S. federal income tax treatment of Pubco Warrants received in the Business Combination in exchange for Public Warrants is uncertain because, as described below, it is unclear whether the Mergers, in addition to qualifying as an exchange described in section 351(a) of the Code, will also qualify as a "reorganization" under Section 368 of the Code. There are many requirements that must be satisfied in order for the Business Combination to qualify as a "reorganization" under Section 368 of the Code, some of which are based upon factual determinations and others are fundamental to corporate reorganizations. For example, it is unclear as a matter of law whether an entity that may not have a historic business, such as CDAQ, can satisfy the "continuity of business enterprise" requirement under Section 368 of the Code. In addition, reorganization treatment could be adversely affected by events or actions that occur prior to or at the time of the Business Combination, some of which are outside the control of CDAQ. For example, the requirements for reorganization treatment could be affected by the magnitude of Public Share redemptions that occur in connection with the Business Combination. As a result, CDAQ's counsel is unable to opine whether the Business Combination qualifies as a reorganization under Section 368 of the Code. If the Business Combination qualifies as an exchange governed only by Section 351 of the Code (and not by section 368 of the Code), a U.S. Holder that holds no CDAQ Public Shares and whose Public Warrants automatically convert into Pubco Warrants will recognize gain or loss upon such exchange equal to the difference between the fair market value of the Pubco Warrants received and such U.S. Holder's adjusted basis in its Public Warrants. A U.S. Holder's basis in its Pubco Warrants received in the Business Combination will equal the fair market value of the Pubco Warrants. A U.S. holder's holding period in its Pubco Warrants will begin on the day after the Business Combination. If the Business Combination qualifies as a "reorganization" under Section 368 of the Code as well an exchange described in section 351(a) of the Code, a U.S. Holder whose Public Warrants automatically convert into a Pubco Warrants should not recognize gain or loss upon such exchange. In such case, a U.S. Holder's adjusted tax basis in the Pubco Warrants received should be equal to the U.S. Holder's adjusted tax basis in the Public Warrants exchanged therefor, and the holding period of the Pubco Warrants should include the holding period during which the Public Warrants exchange therefor were held by such U.S. Holder.

If the Business Combination qualifies as an exchange governed only by Section 351 of the Code (and not by Section 368 of the Code), a U.S. Holder that receives Pubco Common Stock in exchange for CDAQ Public Shares and that holds Public Warrants that automatically convert into Pubco Warrants will recognize gain (but not loss) in an amount equal to the lesser of (i) the amount of gain realized by such U.S. Holder (generally, the excess (if any) of (x) the sum of the fair market values of the Pubco Common Stock and the Pubco Warrants received by such holder over (y) such U.S. Holder's aggregate adjusted tax basis in the CDAQ Public Shares and Public Warrants exchanged therefor) and (ii) the fair market value of the Pubco Warrants received by such U.S. Holder in such exchange. To determine the amount of gain, if any, that such U.S. Holder must recognize, the holder must compute the amount of gain or loss realized as a result of the Business Combination on a share-by-share and warrant-by-warrant basis by allocating the aggregate fair market value of (i) the Pubco Common Stock and (ii) the Pubco Warrants received by such U.S. Holder among the CDAQ Public Shares and Public Warrants owned by such U.S. holder immediately prior to the Business Combination in proportion to their fair market values. Any loss realized by a U.S. Holder would not be recognized. In this case, the holding period of the Pubco Common Stock received in the Business Combination will include the holding period during which the CDAQ Public Shares exchanged therefor were held by such U.S. Holder, and the holding period of Pubco Warrants received in the Business Combination will begin on the day after the Business Combination.

If the Business Combination qualifies as a "reorganization" under Section 368 of the Code as well as an exchange governed only by Section 351 of the Code, a U.S. Holder that receives Pubco Common Stock in exchange for CDAQ Public Shares and whose Public Warrants automatically convert into a Pubco Warrants will not recognize any gain or loss upon the exchange. In such case, a U.S. Holder's tax basis in the Pubco Common Stock and the Pubco Warrants received will be equal to the U.S. Holder's basis in the CDAQ Public Shares and Public Warrants exchanged therefor, and the holding period of the Pubco Common Stock and Pubco Warrants will include the holding period during which the CDAQ Public Shares and Public Warrants exchanged therefor were held by such U.S. Holder.

U.S. holders of Public Warrants are urged to consult with their tax advisors regarding the treatment of their Public Warrants in connection with the Business Combination.

***Tax Consequences of the Mergers to Non-U.S. Holders***

The Mergers are not expected to result in any U.S. federal income tax consequences to a Non-U.S. Holder of CDAQ Public Shares unless the Mergers fail to qualify for as an exchange within the meaning of Section 351(a) of the Code (and do not otherwise qualify as a "reorganization" within the meaning of Section 368(a) of the Code) and such Non-U.S. Holder holds its CDAQ Public Shares in connection with the conduct of a trade or business in the United States (and, if required by an applicable income tax treaty, is attributable to a permanent establishment or fixed base that such Non-U.S. Holder maintains in the United States) or is a nonresident alien individual who is physically present in the United States for at least 183 days during that individual's taxable year in which the Mergers occur and meets certain other requirements.

**<u>Redemptions</u>**

***In General***

The U.S. federal income tax consequences to a Holder of CDAQ Public Shares that exercises its redemption rights with respect to its CDAQ Public Shares will depend on whether the redemption qualifies as a sale under Section 302 of the Code. Whether a redemption of CDAQ Public Shares qualifies for sale treatment will depend largely on the total number of CDAQ Ordinary Shares treated as held by a redeemed Holder before and after the redemption (including any shares treated as constructively owned by the Holder as a result of owning Public Warrants or otherwise and any shares that a Holder would directly or indirectly acquire pursuant to the Business Combination) relative to all of the stock of CDAQ outstanding both before and after the redemption. The redemption generally will be treated as a sale of shares (rather than as a corporate distribution) if the redemption (i) is "substantially disproportionate" with respect to the U.S. Holder, (ii) results in a "complete termination" of the Holder's interest in CDAQ, or (iii) is "not essentially equivalent to a dividend" with respect to the Holder. These tests are explained more fully below.

In order to meet the substantially disproportionate test, the percentage of CDAQ's outstanding voting stock actually and constructively owned by a Holder immediately following the redemption of CDAQ Public Shares must, among other requirements, be less than 80% of the percentage of CDAQ's outstanding voting stock actually and constructively owned by the Holder immediately before the redemption. There will be a complete termination of a Holder's interest in CDAQ if either (i) all of the shares actually and constructively owned by the Holder are redeemed or (ii) all of the shares actually owned by the Holder are redeemed and the Holder is eligible to waive, and effectively waives in accordance with specific rules, the attribution of stock owned by certain family members and the Holder does not constructively own any other shares (including any stock constructively owned by the Holder as a result of owning Public Warrants). The redemption will not be essentially equivalent to a dividend if the redemption results in a "meaningful reduction" of the Holder's proportionate interest in CDAQ. Whether the redemption will result in a meaningful reduction in a Holder's proportionate interest in CDAQ will depend on the particular facts and circumstances. However, the IRS has indicated in a published ruling that even a small reduction in the proportionate interest of a small minority stockholder in a publicly held corporation where such stockholder exercises no control over corporate affairs may constitute such a "meaningful reduction."

If none of the foregoing tests is satisfied, then the redemption of shares generally will be treated as a corporate distribution to the redeemed Holder.

***Tax Consequences of Exercising Redemption Rights to U.S. Holders***

If the redemption of a U.S. Holder's CDAQ Public Shares is treated as a sale, a U.S. Holder generally will recognize capital gain or loss in an amount equal to the difference between the amount of cash received in the redemption and the U.S. Holder's adjusted tax basis in the CDAQ Public Shares redeemed. Any such capital gain or loss generally will be long-term capital gain or loss if the U.S. Holder's holding period for the CDAQ Public Shares so disposed of exceeds one year. The deductibility of capital losses is subject to limitations.

If the redemption of a U.S. Holder's CDAQ Public Shares is treated as a corporate distribution, the amount of cash received in the redemption generally will constitute a dividend for U.S. federal income tax purposes to the extent paid from CDAQ's current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Distributions in excess of CDAQ's current and accumulated earnings and profits will constitute a return of capital that will be applied against and reduce (but not below zero) the U.S. Holder's adjusted tax basis in its shares. Any remaining excess will be treated as gain realized on the sale of shares and will be treated as described above.

***Tax Consequences of Exercising Redemption Rights to Non-U.S. Holders***

The U.S. federal income tax consequences to a Non-U.S. Holder of CDAQ Public Shares that exercises its redemption rights will depend on whether the redemption qualifies as a sale of shares redeemed or instead a corporate distribution, as described above under the section entitled *"— Redemptions — In General*." The U.S. federal income tax consequences to a Non-U.S. Holder will be as described below under *"— Ownership and Disposition of Pubco Common Stock — Tax Consequences to Non-U.S. Owners*."

**<u>Ownership and Disposition of Pubco Common Stock</u>**

***Tax Consequences to U.S. Holders***

Distributions on Pubco Common Stock

In general, distributions of cash or other property to U.S. Holders of Pubco Common Stock (other than certain distributions of Pubco Common Stock or rights to acquire Pubco Common Stock) generally will constitute dividends for U.S. federal income tax purposes to the extent paid from Pubco's current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Distributions in excess of current and accumulated earnings and profits generally will constitute a return of capital that will be applied against and reduce (but not below zero) the U.S. Holder's

adjusted tax basis in its Pubco Common Stock. Any remaining excess generally will be treated as gain realized on the sale or other disposition of the Pubco Common Stock, as described below under the section entitled *"— Sales or other Taxable Exchanges or Dispositions of Pubco Common Stock*."

Sales or other Taxable Exchanges or Dispositions of Pubco Common Stock

Upon a sale or other taxable disposition of Pubco Common Stock, a U.S. Holder generally will recognize capital gain or loss in an amount equal to the difference between the amount realized and the U.S. Holder's adjusted tax basis in the Pubco Common Stock. Any such capital gain or loss generally will be long-term capital gain or loss if the U.S. Holder's holding period for the Pubco Common Stock so disposed of exceeds one year. Long-term capital gains recognized by non-corporate U.S. Holders may be eligible to be taxed at reduced rates. The deductibility of capital losses is subject to limitations.

***Tax Consequences to Non-U.S. Holders***

Distributions on Pubco Common Stock

In general, distributions of cash or other property to U.S. Holders of Pubco Common Stock (other than certain distributions of Pubco Common Stock or rights to acquire Pubco Common Stock), will constitute dividends for U.S. federal income tax purposes to the extent paid from Pubco's current or accumulated earnings and profits, as determined under U.S. federal income tax principles and, provided such dividends are not effectively connected with the Non-U.S. Holder's conduct of a trade or business within the United States, Pubco (or another applicable withholding agent) will be required to withhold tax from the gross amount of the dividend at a rate of 30%, unless such Non-U.S. Holder is eligible for a reduced rate of withholding tax under an applicable income tax treaty and provides proper certification of its eligibility for such reduced rate (usually on an IRS Form W-8BEN or W-8BEN-E). Any distribution not constituting a dividend will be treated first as reducing (but not below zero) the Non-U.S. Holder's adjusted tax basis in its shares of Pubco Common Stock and, to the extent such distribution exceeds the Non-U.S. Holder's adjusted tax basis, as gain realized from the sale or other disposition of the Pubco Common Stock, which will be treated as described below under the section entitled "*— Sales or other Taxable Exchanges or Dispositions of Pubco Common Stock*."

Sales or other Taxable Exchanges or Dispositions of Pubco Common Stock

A Non-U.S. Holder generally will not be subject to U.S. federal income or withholding tax in respect of gain recognized on a sale or other taxable exchange or disposition of Pubco Common Stock, unless:

&nbsp;&nbsp;&nbsp;&nbsp;i. the
 gain is effectively connected with the conduct by the Non-U.S. Holder of a trade or
 business within the United States (and, if required by an applicable income tax treaty,
 is attributable to a permanent establishment or fixed base that such Non-U.S. Holder
 maintains in the United States);

&nbsp;&nbsp;&nbsp;&nbsp;ii. such
 Non-U.S. Holder is an individual who was present in the United States for 183 days
 or more in the taxable year of such disposition (as such days are calculated pursuant
 to Section 7701(b)(3) of the Code) and certain other requirements are met; or

&nbsp;&nbsp;&nbsp;&nbsp;iii. Pubco
 is or has been a "United States real property holding corporation" for U.S. federal
 income tax purposes at any time during the shorter of the five-year period ending on the
 date of disposition or the Non-U.S. Holder's holding period for the Pubco Common
 Stock being disposed of.

Unless an applicable treaty provides otherwise, gain described in the first bullet point above will be subject to tax at generally applicable U.S. federal income tax rates as if the Non-U.S. Holder were a U.S. resident. Any gains described in the first bullet point above of a Non-U.S. Holder that is treated as a foreign corporation for U.S. federal income tax purposes may also be subject to an additional "branch profits tax" imposed at a 30% rate (or a lower applicable income tax treaty rate). If the second bullet point applies to a Non-U.S. Holder, such Non-U.S. Holder generally will be subject to U.S. tax on such Non-U.S. Holder's net capital gain for such year (including any gain realized in connection with a redemption) at a tax rate of 30% (or a lower applicable tax treaty rate). If the third bullet point above applies to a Non-U.S. Holder, subject to certain exceptions in the case of interests that are regularly traded on an established market, gain recognized by such holder will be subject to tax at generally applicable U.S. federal income tax rates, and a buyer of such Pubco Common Stock may be required to withhold U.S. federal income tax at a rate of 15% of the amount realized upon such disposition or redemption.

**<u>Information Reporting and Backup Withholding</u>**

Dividend payments with respect to Pubco Common Stock, proceeds from the sale, exchange, redemption or other taxable disposition of Pubco Common Stock or CDAQ Public Shares and amounts received in the Business Combination may be subject to information reporting to the IRS and possible U.S. backup withholding. Backup withholding will not apply, however, to a U.S. Holder who furnishes a correct taxpayer identification number and makes other required certifications, or who is otherwise exempt from backup withholding and establishes such exempt status. A Non-U.S. holder generally will eliminate the requirement for information reporting (other than with respect to dividends) and backup withholding by providing certification of its non-U.S. status on a duly executed applicable IRS Form W-8 or by otherwise establishing an exemption. Backup withholding is not an additional tax. Amounts withheld as backup withholding may be credited against a Holder's United States federal income tax liability, and a Holder generally may obtain a refund of any excess amounts withheld under the backup withholding rules by timely filing the appropriate claim for refund with the IRS and furnishing any required information.

**<u>Foreign Account Tax Compliance Act</u>**

FATCA generally impose withholding at a rate of 30% in certain circumstances on dividends in respect of securities (including shares of Pubco Common Stock and CDAQ Public Shares) which are held by or through certain foreign financial institutions (including investment funds), unless any such institution (i) enters into, and complies with, an agreement with the IRS to report, on an annual basis, information with respect to interests in, and accounts maintained by, the institution that are owned by certain U.S. persons and by certain non-U.S. entities that are wholly or partially owned by U.S. persons and to withhold on certain payments, or (ii) if required under an intergovernmental agreement between the United States and an applicable foreign country, reports such information to its local tax authority, which will exchange such information with the U.S. authorities. An intergovernmental agreement between the United States and an applicable foreign country may modify these requirements. Accordingly, the entity through which shares of Pubco Common Stock are held will affect the determination of whether such withholding is required. Similarly, dividends in respect of shares of Pubco Common Stock and CDAQ Public Shares held by an investor that is a non-financial non-U.S. entity that does not qualify under certain exceptions will generally be subject to withholding at a rate of 30%, unless such entity either (i) certifies to the applicable withholding agent that such entity does not have any "substantial United States owners" or (ii) provides certain information regarding the entity's "substantial United States owners," which will in turn be provided to the U.S. Department of Treasury.

**EACH HOLDER IS URGED TO CONSULT THEIR TAX ADVISORS REGARDING THE TAX CONSEQUENCES TO THEM OF THE MERGERS, THE EXERCISE OF REDEMPTION RIGHTS, THE MERGERS, AND THE OWNERSHIP AND DISPOSITION OF PUBCO COMMON STOCK AFTER THE BUSINESS COMBINATION.**

**Unaudited Pro Forma Condensed Combined Financial Information**

**Introduction**

The following unaudited pro forma condensed combined financial information presents the combination of financial information of CDAQ and KMC, adjusted to give effect to the Business Combination and related transactions.

The following unaudited pro forma condensed combined balance sheet as of September 30, 2025, combines the historical unaudited balance sheet of KMC as of September 30, 2025, with the historical unaudited balance sheet of CDAQ as of September 30, 2025, giving pro forma effect to the Business Combination as if it had occurred as of September 30, 2025.

The following unaudited pro forma condensed combined statement of operations for the nine months ended September 30, 2025 combines the historical unaudited statement of operations of KMC for the nine months ended September 30, 2025 and the historical unaudited statement of operations of CDAQ for the nine months ended September 30, 2025, on a pro forma basis as if the Business Combination had occurred on January 1, 2024, the beginning of the earliest period presented.

The following unaudited pro forma condensed combined statement of operations for the year ended December 31, 2024, presents the historical audited statement of operations of KMC for the year ended December 31, 2024, with the historical audited statement of operations of CDAQ for the year ended December 31, 2024, on a pro forma basis as if the Business Combination had occurred on January 1, 2024.

The unaudited pro forma condensed combined balance sheet as of September 30, 2025, has been derived from:

● The historical unaudited financial statements of CDAQ as of September 30, 2025, and the related notes thereto included elsewhere in this proxy statement/prospectus; and

● the historical unaudited financial statements of KMC as of September 30, 2025, and the related notes thereto included elsewhere in this proxy statement/prospectus.

The unaudited pro forma condensed combined statement of operations for the nine months ended September 30, 2025, has been derived from:

● The historical unaudited financial statements of CDAQ for the nine months ended September 30, 2025, and the related notes thereto included elsewhere in this proxy statement/prospectus; and

● the historical unaudited financial statements of KMC for the nine months ended September 30, 2025, and the related notes thereto included elsewhere in this proxy statement/prospectus.

The unaudited pro forma condensed combined statement of operations for the year ended December 31, 2024, has been derived from:

● The historical audited financial statements of CDAQ for the year ended December 31, 2024, and the related notes thereto included elsewhere in this proxy statement/prospectus; and

● the historical audited financial statements of KMC for the year ended December 31, 2024, and the related notes thereto included elsewhere in this proxy statement/prospectus.

The following unaudited pro forma condensed combined financial information has been prepared in accordance with Article 11 of Regulation S-X as in effect on the date of this proxy statement/prospectus which incorporates transaction accounting adjustments. KMC and CDAQ have elected not to present any estimates related to potential synergies and other transaction effects that are reasonably expected to occur or have already occurred and will only be presenting transaction accounting adjustments in the unaudited pro forma condensed combined financial information.

This information should be read together with the financial statements and related notes, as applicable, of each of KMC and CDAQ included in this proxy statement/prospectus and the sections "*KMC's Management's Discussion and Analysis of Financial Condition and Results of Operations*" and "*CDAQ's Management's Discussion and Analysis of Financial Condition and Results of Operations*" and other financial information included elsewhere in this proxy statement/prospectus.

**Description of the Transactions**

***Share Redemptions***

On October 19, 2023, CDAQ held an extraordinary general meeting to approve proposals to amend the Amended and Restated Charter to (i) extend the date by which CDAQ must consummate an initial business combination from October 19, 2023 to July 19, 2024 and (ii) to provide for the right of a holder of CDAQ Class B Ordinary Shares, par value $0.0001 per share convert such shares into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of the business combination at the election of the holder. In connection with the vote to approve the charter amendment proposals, Public Shareholders holding 16,045,860 public shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account at approximately $10.54 per share, or approximately $169.1 million (the "<u>October 2023 Redemptions</u>").

On July 18, 2024, CDAQ held an extraordinary general meeting in lieu of an annual general meeting of shareholders to approve a proposal to amend the Amended and Restated Charter to extend the date by which CDAQ must consummate an initial business combination from July 19, 2024 to December 19, 2024 and then on a monthly basis up to four (4) times until April 19, 2025 (or such earlier date as determined by the CDAQ Board (the "<u>Second Extension Amendment Proposal</u>"). In connection with the vote to approve the Second Extension Amendment Proposal, public shareholders holding 2,713,143 public shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account at approximately $10.92 per share, or approximately $29.6 million (the "<u>July 2024 Redemptions</u>").

On April 16, 2025, CDAQ held an extraordinary general meeting in lieu of an annual general meeting of shareholders to approve a proposal to amend the Amended and Restated Charter to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 19, 2026 (or such earlier date as determined by the CDAQ Board (the "<u>2025 Extension Amendment Proposal</u>"). In connection with the vote to approve the 2025 Extension Amendment Proposal, public shareholders holding 2,370,619 public shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account at approximately $11.25 per share, or approximately $26.7 million (the "<u>April 2025 Redemptions</u>" and together with the October 2023 Redemptions and July 2024 Redemptions, the "<u>Extension Redemptions</u>").

***The Merger Agreement***

On January 6, 2026, CDAQ entered into the Merger Agreement with Pubco, Purchaser Merger Sub, Company Merger Sub and KMC, for a proposed Business Combination between CDAQ and KMC. KMC is a global critical minerals and infrastructure company focused on acquiring, advancing and developing assets in the Americas with projects in Chile and the United States. Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming all outstanding KMC Options and KMC Warrants. Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

On February 5, 2026, the parties to the Merger Agreement entered into Amendment No. 1 to the Merger Agreement, which corrects a scrivener's error in the Merger Agreement to clarify that the aggregate Merger Consideration to be paid to holders of all of KMC's securities (including holders of in-the-money KMC Options and KMC Warrants) will be equal to $230.0 million.

Pursuant to the Merger Agreement, the total Merger Consideration to be paid by Pubco to the KMC stockholders (excluding holders of KMC Options and KMC Warrants) at the Effective Time of the Mergers will be an amount equal to $230.0 million, which will be paid entirely in shares of Pubco Common Stock, with each share valued at $10.00 per share. Each KMC stockholder will receive a number of shares of Pubco Common Stock equal to the result of dividing the "Per Share Price" (as defined in the Merger Agreement) by $10.00. No fractional shares of Pubco Common Stock will be issued, instead the number of shares issued to each recipient will be rounded up to the nearest whole share. Outstanding KMC Options and KMC Warrants will be assumed by Pubco and converted into options and warrants to acquire shares of Pubco Common Stock with the same terms as the existing KMC Options and KMC Warrants, except that the exercise price and number of shares will be adjusted based on the conversion ratio of KMC Common Stock to Pubco Common Stock. The shares of Pubco Common Stock issued as Merger Consideration and the Pubco options and warrants that are issued following the assumption of KMC Options and KMC Warrants by Pubco are not subject to any contractual post-Closing lock-up or transfer restrictions.

At the Effective Time, every issued and outstanding CDAQ Public Unit shall be automatically separated and the holder thereof shall be deemed to hold one CDAQ Class A Ordinary Share and one-third (1/3rd) of a CDAQ Public Warrant. At the Effective Time, each issued and outstanding CDAQ Class A Ordinary Share that is not redeemed or converted in the closing redemption and each CDAQ Class B Ordinary Share (other than for CDAQ Public Shareholders who shall have demanded properly in writing dissenters' rights for such CDAQ Ordinary Shares in accordance with Section 238 of the Cayman Companies Act and otherwise complied with all of the provisions of the Cayman Companies Act relevant to the exercise and perfection of dissenters' rights) shall be converted automatically into and thereafter represent the right to own one share of Pubco Common Stock. Following the Effective Time, all CDAQ Ordinary Shares shall cease to be outstanding and shall automatically be canceled and shall cease to exist. At the Effective Time, each issued and outstanding CDAQ Public Warrant shall be assumed by Pubco and converted into one Pubco Public Warrant and each issued and outstanding CDAQ Private Warrant shall be assumed by Pubco and converted into one Pubco Private Warrant. At the Effective Time, the QDAC Warrants shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each of the Pubco Public Warrants shall have, and be subject to, substantially the same terms and conditions set forth in the CDAQ Public Warrants, except that in each case they shall represent the right to acquire shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares.

Simultaneously with the execution of the Merger Agreement, certain KMC stockholders that are insiders, or affiliates of insiders, KMC and CDAQ entered into Voting Agreements, pursuant to which, among other things, each KMC stockholder party thereto agreed (a) to support and vote in favor of the adoption of the Merger Agreement and the approval of the Transactions, subject to certain customary conditions, and (b) not to transfer any of their equity interests in KMC (or enter into any arrangement with respect thereto), subject to certain customary conditions. The Voting Agreements cover approximately 20.75% of KMC's outstanding voting securities as of the date of the Merger Agreement.

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and the Sponsor entered into the Sponsor Letter Agreement, pursuant to which the Sponsor agreed to (i) vote all of its CDAQ Class A Ordinary Shares and its CDAQ Class B in favor of the Merger Agreement and the Transactions, (ii) waive certain of its anti-dilution protections on its CDAQ Class B Ordinary Shares, and (iii) convert at the Closing of Business Combination (all amounts outstanding under the Sponsor Loan Note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 into CDAQ Class A Ordinary Shares at $10.00 per share, and that upon the issuance and delivery of the CDAQ Class A Ordinary Shares to the Sponsor, the Sponsor Loan Note shall be deemed satisfied in full.

In connection with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ shareholders, officers and directors entered into the Second Letter Agreement Amendment. The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC securityholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

Prior to the Closing, Pubco, CDAQ, the Sponsor, and the other holders of registrable securities under the Founder Registration Rights Agreement will enter into an amendment to the Founder Registration Rights Agreement Amendment, pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities parties thereto will have substantially the same priorities and registration rights as the KMC stockholders under the Seller Registration Rights Agreement.

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into the Seller Registration Rights Agreement, pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment).

**Accounting for the Business Combination**

The Business Combination will be accounted for as a reverse recapitalization, in accordance with U.S. GAAP. Under this method of accounting, CDAQ will be treated as the "acquired" company for financial reporting purposes, and KMC will be the accounting "acquirer." This determination was primarily based on the assumption that:

● KMC's stockholders will hold a majority of the voting power of Pubco post Business Combination;

● The Pubco Board will consist of five board members, four of which will be designated by KMC and one will be designated by CDAQ;

● KMC's operations will substantially comprise the ongoing operations of Pubco; and

● KMC's senior management will comprise the senior management of Pubco.

Another determining factor was that CDAQ does not meet the definition of a "business" pursuant to ASC 805-10-55, and thus, for accounting purposes, the Business Combination will be accounted for as a reverse recapitalization, within the scope of ASC 805. The net assets of CDAQ will be stated at historical cost, with no goodwill or other intangible assets recorded.

**Basis of Pro Forma Presentation**

Pubco has elected to provide the unaudited pro forma condensed combined financial information under two different redemption scenarios of Public Shares into cash as more fully described below:

● **Scenario 1 — Assuming No Redemptions**:&nbsp;&nbsp;&nbsp;&nbsp;This presentation assumes that no Public Shareholders exercise redemption rights with respect to their Public Shares upon consummation of the Business Combination.

● **Scenario 2 — Assuming Maximum Redemptions**:&nbsp;&nbsp;&nbsp;&nbsp;This presentation assumes that Public Shareholders holding 110,866 Public Shares exercise their redemption rights for $1.3 million in the aggregate upon consummation of the Business Combination at a redemption price of approximately $11.67 per share as of December 31, 2025. The Maximum Redemptions scenario includes all adjustments contained in the No Redemptions scenario and presents additional adjustments to reflect the effect of the Maximum Redemptions scenario.

The following tables set out the share ownership of Pubco on a pro forma basis assuming the No Redemptions scenario and the Maximum Redemptions scenario:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **No Redemptions** | **No Redemptions** | **Maximum Redemptions** | **Maximum Redemptions** |
| <br>**Pro Forma Ownership** | **Number of<br> Shares** | **Percent<br> Outstanding** | **Number of<br> Shares** | **Percent<br> Outstanding** |
| KMC Sellers | 18623329 | 70.1% | 18623329 | 70.4% |
| Public Shareholders <sup>(1)</sup> | 110866 | 0.4% |  | -% |
| Sponsors <sup>(2)</sup> | 3951972 | 14.9% | 3951972 | 14.9% |
| Non-Redemption Investors | 1532300 | 5.7% | 1532300 | 5.8% |
| Polar Shares | 1350000 | 5.1% | 1350000 | 5.1% |
| PIPE Investors | 1000000 | 3.8% | 1000000 | 3.8% |
| **Total shares of Pubco Common Stock outstanding** | **26568467** |  | **26457601**  |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The
 shares presented reflect the redemption of 16,045,860 CDAQ Public Shares on October 19, 2023,
 the redemption of 2,713,143 CDAQ Public Shares on July 18, 2024, and the redemption of 2,370,619
 CDAQ Public Shares on April 16, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes
 174,150 shares from the conversion of the Sponsor Loan Note upon the consummation
 of the Business Combination.

The following unaudited pro forma condensed combined balance sheet as of September 30, 2025, and the unaudited pro forma condensed combined statements of operations for the nine months ended September 30, 2025, and for the year December 31, 2024, are based on the historical financial statements of KMC and CDAQ. The unaudited pro forma adjustments are based on information currently available, assumptions, and estimates underlying the pro forma adjustments and are described in the accompanying notes. Actual results may differ materially from the assumptions used to present the accompanying unaudited pro forma condensed combined financial statements.

**UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET AS OF SEPTEMBER 30, 2025** 

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Scenario 1: No Additional Redemption Scenario** | **Scenario 1: No Additional Redemption Scenario** | **Scenario 1: No Additional Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** |
|  |<br>**KMC <br> (Historical)** |<br>**CDAQ <br> (Historical)** | **Transaction Accounting Adjustments** |  | **Pro Forma Combined** | **Transaction Accounting Adjustments** | **Pro Forma Combined** |
| **ASSETS** |  |  |  |  |  |  |  |
| **Current assets** |  |  |  |  |  |  |  |
| Cash and cash equivalents | $52156 | $721 | $10000000 | **A** | $7456951 | $(1293496) **F** | $6163455 |
|  |  |  | 1293496 | **B** |  |  |  |
|  |  |  | (2771000) | **C** |  |  |  |
|  |  |  | 105628 | **G** |  |  |  |
|  |  |  | (300000) | **H** |  |  |  |
|  |  |  | 250000 | **J** |  |  |  |
|  |  |  | (1500000) | **J** |  |  |  |
|  |  |  | 275600 | **M** |  |  |  |
|  |  |  | 50350 | **O** |  |  |  |
| Deposits and prepaids | 110244 |  |  |  | 110244 |  | 110244 |
| Prepaid expenses |  | 17668 |  |  | 17668 |  | 17668 |
| Due from Sponsor | - | 114586 | - |  | 114586 | - | 114586 |
| &nbsp;&nbsp;&nbsp;**Total current assets** | **162400** | **132975** | **7404074** |  | **7699449** | **(1293496)** | **6405953** |
| **Non-current assets** |  |  |  |  |  |  |  |
| Property and equipment, net | 52597 |  |  |  | 52597 |  | 52597 |
| Mineral interests | 2613634 |  | 500000 | **L** | 3113634 |  | 3113634 |
| Vat receivable | 448983 |  |  |  | 448983 |  | 448983 |
| Cash held in Trust Account |  | 1283558 | (1293496) | **B** |  |  |  |
|  |  |  | 9938 | **I** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Total non-current assets** | **3115214** | **1283558** | **(783558)** |  | **3615214** | **-** | **3615214** |
| **Total assets** | $**3277614** | $**1416533** | $**6620516** |  | $**11314663** | $**(1293496)** | $**10021167** |
| **LIABILITIES** |  |  |  |  |  |  |  |
| **Current liabilities** |  |  |  |  |  |  |  |
| Accounts payable and accrued liabilities | $928189 | $- | $- |  | $928189 | $- | $928189 |
| Accounts payable |  | 340804 |  |  | 340804 |  | 340804 |
| Accrued expenses |  | 695916 | (617073) | **C** | 78843 |  | 78843 |
| Polar Capital Investment payable - related party |  | 227273 | (477273) | **J** |  |  |  |
|  |  |  | 250000 | **J** |  |  |  |
| Non-redemption liability |  | 6025173 | (6025173) | **K** |  |  |  |
| Working Capital Loans |  | 1760872 | 105628 | **G** |  |  |  |
|  |  |  | (1866500) | **H** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Total current liabilities** | **928189** | **9050038** | **(8630391)** |  | **1347836** | **-** | **1347836** |
| **Non-current liabilities** |  |  |  |  |  |  |  |
| Derivative warrant liabilities | - | 595611 | - |  | 595611 | - | 595611 |
| &nbsp;&nbsp;&nbsp;**Total non-current liabilities** | **-** | **595611** | **-** |  | **595611** | **-** | **595611** |
| &nbsp;&nbsp;&nbsp;**Total liabilities** | **928189** | **9645649** | **(8630391)** |  | **1943447** | **-** | **1943447** |
| CDAQ Class A ordinary shares subject to possible redemption |  | 1283558 | (1293496) | **F** |  |  |  |
|  |  |  | 9938 | **I** |  |  |  |
| **SHAREHOLDERS' DEFICIT** |  |  |  |  |  |  |  |
| KMC common stock | 89514 |  | (93218) | **D** | 34 |  | 34 |
|  |  |  | 2000 | **L** |  |  |  |
|  |  |  | 1704 | **M** |  |  |  |
|  |  |  | 34 | **O** |  |  |  |
| Pubco common stock |  |  | 100 | **A** | 2656 | (11) **F** | 2645 |
|  |  |  | 1862 | **D** |  |  |  |
|  |  |  | 694 | **N** |  |  |  |
| Class A ordinary shares |  | 320 | (483) | **N** |  |  |  |
|  |  |  | 11 | **F** |  |  |  |
|  |  |  | 17 | **H** |  |  |  |
|  |  |  | 135 | **J** |  |  |  |
| Class B ordinary shares |  | 211 | (211) | **N** |  |  |  |
| Additional paid-in capital | 18561451 |  | 9999900 | **A** | 25670066 | (1293485) **F** | 24376581 |
|  |  |  | (1321000) | **C** |  |  |  |
|  |  |  | 91356 | **D** |  |  |  |
|  |  |  | (11543859) | **E** |  |  |  |
|  |  |  | 1293485 | **F** |  |  |  |
|  |  |  | 1741483 | **H** |  |  |  |
|  |  |  | (135) | **J** |  |  |  |
|  |  |  | 6025173 | **K** |  |  |  |
|  |  |  | 498000 | **L** |  |  |  |
|  |  |  | 273896 | **M** |  |  |  |
|  |  |  | 50316 | **O** |  |  |  |
| Accumulated deficit | (16301540) | (9513205) | (832927) | **C** | (16301540) |  | (16301540) |
|  |  |  | 11543859 | **E** |  |  |  |
|  |  |  | (175000) | **H** |  |  |  |
|  |  |  | 9938 | **I** |  |  |  |
|  |  |  | (9938) | **I** |  |  |  |
|  |  |  | (1022727) | **J** |  |  |  |
| &nbsp;&nbsp;&nbsp;**Total shareholders' equity (deficit)** | **2349425** | **(9512674)** | **16534465** |  | **9371216** | **(1293496)** | **8077720** |
| **Total shareholders' equity (deficit) and liabilities** | $**3277614** | $**1416533** | $**6620516** |  | $**11314663** | $**(1293496)** | $**10021167** |

---

(1) The
 unaudited pro forma condensed combined balance sheet as of September 30, 2025, combines the
 historical unaudited balance sheet of KMC as of September 30, 2025, with the historical unaudited
 balance sheet of CDAQ as of September 30, 2025.

**UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2025**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Scenario 1: No Additional Redemption Scenario** | **Scenario 1: No Additional Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** |
|  |<br>**KMC <br> (Historical)** |<br>**CDAQ <br> (Historical)** | **Transaction Accounting Adjustments** | **Pro Forma Combined** | **Transaction Accounting Adjustments** | **Pro Forma Combined** |
| Revenues | $- | $- | $- | $- | $&nbsp;&nbsp;&nbsp;&nbsp; - | $- |
| **Operating expenses** |  |  |  |  |  |  |
| Exploration expense | (518567) |  |  | (518567) |  | (518567) |
| Professional fees | (76722) |  |  | (76722) |  | (76722) |
| Officers' and directors' fees | (374521) |  |  | (374521) |  | (374521) |
| Travel | (102376) |  |  | (102376) |  | (102376) |
| General and administrative | (173612) |  |  | (173612) |  | (173612) |
| Depreciation | (72533) | (720009) |  | (792542) |  | (792542) |
| Non-redemption expense |  | (1997165) |  | (1997165) |  | (1997165) |
| Administrative expenses - related party |  | (90000) | 90000 **BB** | - | - | - |
| **Operating loss** | **(1318331)** | **(2807174)** | **90000** | **(4035505)** | **-** | **(4035505)** |
| **Loss from operations** | **(1318331)** | **(2807174)** | **90000** | **(4035505)** | **-** | **(4035505)** |
| **Other (expense) income** |  |  |  |  |  |  |
| Loss on disposal of mineral interest | (386643) |  |  | (386643) |  | (386643) |
| Exchange gain (loss) | (373149) |  |  | (373149) |  | (373149) |
| Interest earned on cash or investments held in Trust account |  | 334873 | (334873) **AA** |  |  |  |
| Change in fair value of derivative warrant liabilities | - | (476488) | - | (476488) | - | (476488) |
| **Loss before income tax expense** | **(2078123)** | **(2948789)** | **(244873)** | **(5271785)** | **-** | **(5271785)** |
| Income taxes | - | - | - | - | - | - |
| **Net loss** | $**(2078123)** | $**(2948789)** | $**(244873)** | $**(5271785)** | $**-** | $**(5271785)** |
| Basic and diluted net loss per share | $(0.02) |  |  |  |  |  |
| Basic and diluted weighted average number of common stock outstanding | 89514720 |  |  |  |  |  |
| Basic and diluted net loss per share, Class A ordinary shares subject to possible redemption |  | $(0.46) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, Class A ordinary shares subject to possible redemption |  | 1109478 |  |  |  |  |
| Basic and diluted net loss per share, non-redeemable Class A ordinary shares |  | $(0.46) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, non-redeemable Class A ordinary shares |  | 3200000 |  |  |  |  |
| Basic and diluted net loss per share, non-redeemable Class B ordinary shares |  | $(0.46) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, non-redeemable Class B ordinary shares |  | 2110122 |  |  |  |  |
| Pro forma weighted average number of shares outstanding - basic and diluted |  |  |  | 26568467 |  | 26457601 |
| Pro forma loss per share - basic and diluted |  |  |  | $(0.20) |  | $(0.20) |

---

(1) Please
 refer to Note 7 — "Net Loss per Share" for details.

(2) The
 unaudited pro forma condensed combined statement of operations for the nine months ended
 September 30, 2025, combines the historical unaudited statement of operations of KMC for
 the nine months September 30, 2025, with the historical unaudited statement of operations
 of CDAQ for the nine months ended September 30, 2025.

**UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 2024**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | | **Scenario 1: No Additional Redemption Scenario** | **Scenario 1: No Additional Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** | **Scenario 2: Maximum Redemption Scenario** |
|  |<br>**KMC <br> (Historical)** |<br>**CDAQ <br> (Historical)** | **Transaction Accounting Adjustments** | **Pro Forma Combined** | **Transaction Accounting Adjustments** | **Pro Forma Combined** |
| Revenues | $- | $- | $- | $- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; - | $- |
| **Operating costs and expenses** |  |  |  |  |  |  |
| Exploration expense | (1091400) |  |  | (1091400) |  | (1091400) |
| Professional fees | (860108) |  |  | (860108) |  | (860108) |
| Officers' and directors' fees | (553500) |  |  | (553500) |  | (553500) |
| Travel | (141011) |  |  | (141011) |  | (141011) |
| General and administrative | (570000) | (1794928) | (832927) **BB** | (3197855) |  | (3197855) |
| Depreciation | (93298) |  |  | (93298) |  | (93298) |
| Bad debt | (10664) |  |  | (10664) |  | (10664) |
| Non-redemption expense |  | (4028008) |  | (4028008) |  | (4028008) |
| Administrative expenses - related party | - | (120000) | 120000 **CC** | - | - | - |
| **Operating loss** | **(3319981)** | **(5942936)** | **(712927)** | **(9975844)** | **-** | **(9975844)** |
| **Loss from operations** | **(3319981)** | **(5942936)** | **(712927)** | **(9975844)** |  | **(9975844)** |
| **Other (expense) income** |  |  |  |  |  |  |
| Interest income | 28987 |  |  | 28987 |  | 28987 |
| Exchange gain (loss) | 6572 |  |  | 6572 |  | 6572 |
| Loss on disposal of mineral interest | (1113357) |  |  | (1113357) |  | (1113357) |
| Interest earned on cash (investments) held in Trust Account |  | 1928109 | (1928109) **AA** |  |  |  |
| Interest expense |  |  | (1197727) **DD** | (1197727) |  | (1197727) |
| Change in fair value of derivative warrant liabilities | - | 469341 | - | 469341 | - | 469341 |
| **Loss before income tax expense** | **(4397779)** | **(3545486)** | **(3838763)** | **(11782028)** | **-** | **(11782028)** |
| Income tax expense | - | - | - | - | - | - |
| **Net (loss) income** | $**(4397779)** | $**(3545486)** | $**(3838763)** | $**(11782028)** | $**-** | $**(11782028)** |
| Basic and diluted net loss per share | $(0.06) |  |  |  |  |  |
| Basic and diluted weighted average number of shares outstanding | 77222388 |  |  |  |  |  |
| Basic and diluted net loss per share, Class A ordinary shares subject to possible redemption |  | $(0.38) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, Class A ordinary shares subject to possible redemption |  | 3960705 |  |  |  |  |
| Basic and diluted net loss per share, non-redeemable Class A ordinary shares |  | $(0.38) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, non-redeemable Class A ordinary shares |  | 1739726 |  |  |  |  |
| Basic and diluted net loss per share, non-redeemable Class B ordinary shares |  | $(0.38) |  |  |  |  |
| Basic and diluted weighted average shares outstanding, non-redeemable Class B ordinary shares |  | 3570396 |  |  |  |  |
| Pro forma weighted average number of shares outstanding - basic and diluted |  |  |  | 26568467 |  | 26457601 |
| Pro forma loss per share - basic and diluted |  |  |  | $(0.44) |  | $(0.45) |

---

(1) Please
 refer to Note 7 — "Net Loss per Share" for details.

(2) The
 unaudited pro forma condensed combined statement of operations for the year ended December
 31, 2024, contains the historical audited statement of operations of KMC for the year ended
 December 31, 2024, with the historical audited statement of operations of CDAQ for the year
 ended December 31, 2024.

**NOTES TO UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS**

**Note 1 — Description of the Proposed Transactions in the Merger Agreement**

**The Merger Agreement**

On January 6, 2026, CDAQ entered into the Merger Agreement with Pubco, Purchaser Merger Sub, Company Merger Sub and KMC, for a proposed Business Combination between CDAQ and KMC. KMC is a global critical minerals and infrastructure company focused on acquiring, advancing and developing assets in the Americas with projects in Chile and the United States. Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco, and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming all outstanding KMC Options and KMC Warrants. Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

Pursuant to the Merger Agreement, the total Merger Consideration to be paid by Pubco to the KMC stockholders (excluding holders of KMC Options and KMC Warrants) at the Effective Time of the Mergers will be an amount equal to $230.0 million, which will be paid entirely in shares of Pubco Common Stock, with each share valued at $10.00 per share. Each KMC stockholder will receive a number of shares of Pubco Common Stock equal to the result of dividing the "Per Share Price" (as defined in the Merger Agreement) by $10.00. No fractional shares of Pubco Common Stock will be issued, instead the number of shares issued to each recipient will be rounded up to the nearest whole share. Outstanding KMC Options and KMC Warrants will be assumed by Pubco and converted into options and warrants to acquire shares of Pubco Common Stock with the same terms as the existing KMC Options and KMC Warrants, except that the exercise price and number of shares will be adjusted based on the conversion ratio of KMC Common Stock to Pubco Common Stock. The shares of Pubco Common Stock issued as Merger Consideration and the Pubco options and warrants that are issued following the assumption of KMC Options and KMC Warrants by Pubco are not subject to any contractual post-Closing lock-up or transfer restrictions.

At the Effective Time, every issued and outstanding CDAQ Public Unit shall be automatically separated and the holder thereof shall be deemed to hold one CDAQ Class A Ordinary Share and one-third (1/3rd) of a CDAQ Public Warrant. At the Effective Time, each issued and outstanding CDAQ Class A Ordinary Share that is not redeemed or converted in the closing redemption and each CDAQ Class B Ordinary Share (other than for CDAQ Public Shareholders who shall have demanded properly in writing dissenters' rights for such CDAQ Ordinary Shares in accordance with Section 238 of the Cayman Companies Act and otherwise complied with all of the provisions of the Cayman Companies Act relevant to the exercise and perfection of dissenters' rights) shall be converted automatically into and thereafter represent the right to own one share of Pubco Common Stock. Following the Effective Time, all CDAQ Ordinary Shares shall cease to be outstanding and shall automatically be canceled and shall cease to exist. At the Effective Time, each issued and outstanding CDAQ Public Warrant shall be assumed by Pubco and converted into one Pubco Public Warrant and each issued and outstanding CDAQ Private Warrant shall be assumed by Pubco and converted into one Pubco Private Warrant. At the Effective Time, the QDAC Warrants shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each of the Pubco Public Warrants shall have, and be subject to, substantially the same terms and conditions set forth in the CDAQ Public Warrants, except that in each case they shall represent the right to acquire shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares.

Simultaneously with the execution of the Merger Agreement, certain KMC stockholders that are insiders, or affiliates of insiders, KMC and CDAQ entered into Voting Agreements, pursuant to which, among other things, each KMC stockholder party thereto agreed (a) to support and vote in favor of the adoption of the Merger Agreement and the approval of the Transactions, subject to certain customary conditions, and (b) not to transfer any of their equity interests in KMC (or enter into any arrangement with respect thereto), subject to certain customary conditions. The Voting Agreements cover approximately 20.75% of KMC's outstanding voting securities as of the date of the Merger Agreement.

Simultaneously with the execution of the Merger Agreement, CDAQ, KMC and the Sponsor entered into the Sponsor Letter Agreement, pursuant to which the Sponsor agreed to (i) vote all of its CDAQ Class A Ordinary Shares and its CDAQ Class B in favor of the Merger Agreement and the Transactions, (ii) waive certain of its anti-dilution protections on its CDAQ Class B Ordinary Shares, and (iii) convert at the Closing of Business Combination (all amounts outstanding under the Sponsor Loan Note, dated November 21, 2024, issued by CDAQ to the Sponsor for an aggregate principal amount up to $2,500,000 into CDAQ Class A Ordinary Shares at $10.00 per share, and that upon the issuance and delivery of the CDAQ Class A Ordinary Shares to the Sponsor, the Sponsor Loan Note shall be deemed satisfied in full.

In connection with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ shareholders, officers and directors entered into the Second Letter Agreement Amendment. The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC securityholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

Prior to the Closing, Pubco, CDAQ, the Sponsor, and the other holders of registrable securities under the Founder Registration Rights Agreement will enter into an amendment to the Founder Registration Rights Agreement Amendment, pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities parties thereto will have substantially the same priorities and registration rights as the KMC stockholders under the Seller Registration Rights Agreement.

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into the Seller Registration Rights Agreement, pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment).

**Note 2 — Basis of Presentation and Accounting Policies**

The unaudited pro forma condensed combined financial information is for illustrative purposes only. The financial results may have been different had the companies always been combined. You should not rely on the unaudited pro forma condensed combined financial information as being indicative of the historical results that would have been achieved had the companies always been combined or the future results that Pubco will experience. KMC and CDAQ did not have any historical relationship prior to the Business Combination. Accordingly, no pro forma adjustments were required to eliminate activities between the companies.

The following unaudited pro forma condensed combined financial information has been prepared in accordance with Article 11 of Regulation S-X as amended by the final rule, Release No. 33-10786 "Amendments to Financial Disclosures about Acquired and Disposed Businesses." Release No. 33-10786 replaces the existing pro forma adjustment criteria with simplified Transaction Accounting Adjustments and presents the Management's Adjustments. Pubco has elected not to present Management's Adjustments and will only be presenting transaction accounting adjustments in the following unaudited pro forma condensed combined financial information.

CDAQ does not meet the definition of a "business" pursuant to ASC 805-10-55 as it is an empty listed shell holding only cash raised as part of its original equity issuance. As a result, the Business Combination does not qualify as a "business combination" within the meaning of ASC 805, *Business Combinations*; rather, the Business Combination will be accounted for as a reverse merger in accordance with U.S. GAAP. See Note 3 — Accounting for the Business Combination for more details.

The historical financial statements of KMC have been prepared in accordance with U.S. GAAP. The historical financial statements of CDAQ have been prepared in accordance with U.S. GAAP. The unaudited pro forma condensed combined financial information reflects U.S. GAAP, the basis of accounting used by KMC.

Pubco has elected to provide the unaudited pro forma condensed combined financial information under two different redemption scenarios of Public Shares into cash as more fully described below:

**●** **Scenario 1 — Assuming No Redemptions**:&nbsp;&nbsp;&nbsp;&nbsp;This presentation assumes that no Public Shareholders exercise redemption rights with respect to their Public Shares upon consummation of the Business Combination.

**●** **Scenario 2 — Assuming Maximum Redemptions:** This presentation assumes that Public Shareholders holding 110,866 Public Shares exercise their redemption rights for $1.3 million in the aggregate upon consummation of the Business Combination at a redemption price of approximately $11.67 per share as of December 31, 2025. The Maximum Redemptions scenario includes all adjustments contained in the No Redemptions scenario and presents additional adjustments to reflect the effect of the Maximum Redemptions scenario.

The following tables set out the share ownership of Pubco on a pro forma basis assuming the No Redemptions scenario and the Maximum Redemptions scenario:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **No Redemptions** | **No Redemptions** | **Maximum Redemptions** | **Maximum Redemptions** |
| <br>**Pro Forma Ownership** | **Number of<br> Shares** | **Percent<br> Outstanding** | **Number of<br> Shares** | **Percent<br> Outstanding** |
| KMC Sellers | 18623329 | 70.1% | 18623329 | 70.4% |
| Public Shareholders <sup>(1)</sup> | 110866 | 0.4% |  | -% |
| Sponsors <sup>(2)</sup> | 3951972 | 14.9% | 3951972 | 14.9% |
| Non-Redemption Investors | 1532300 | 5.7% | 1532300 | 5.8% |
| Polar Shares | 1350000 | 5.1% | 1350000 | 5.1% |
| PIPE Investors | 1000000 | 3.8% | 1000000 | 3.8% |
| **Total shares of Pubco Common Stock outstanding** | **26568467** |  | **26457601** |  |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The shares presented reflect the
redemption of 16,045,860 CDAQ Public Shares on October 19, 2023, the redemption of 2,713,143 CDAQ Public Shares on July 18, 2024, and
the redemption of 2,370,619 CDAQ Public Shares on April 16, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes
 174,150 shares from the conversion of the Sponsor Loan Note upon the consummation
 of the Business Combination.

The pro forma adjustments do not have an income tax effect as they are either (i) incurred by legal entities that are not subject to a corporate income tax, or (ii) permanently non-deductible or non-taxable based on the laws of the relevant jurisdiction.

Upon consummation of the Business Combination, management will perform a comprehensive review of the two entities' accounting policies. As a result of the review, management may identify differences between the accounting policies of the three entities which, when conformed, could have a material impact on the financial statements of Pubco. Management did not identify any differences that would have a material impact on the unaudited pro forma condensed combined financial information. As a result, the unaudited pro forma condensed combined financial information does not assume any differences in accounting policies.

**Note 3 — Accounting for the Business Combination**

The Business Combination will be accounted for as a reverse recapitalization, in accordance with U.S. GAAP. Under this method of accounting, CDAQ will be treated as the "acquired" company for financial reporting purposes, and KMC will be the accounting "acquirer." This determination was primarily based on the assumption that:

● KMC's stockholders will hold a majority of the voting power of Pubco post Business Combination;

● The Pubco Board will consist of five board members, four of which will be designated by KMC and one will be designated by CDAQ;

● KMC's operations will substantially comprise the ongoing operations of Pubco; and

● KMC's senior management will comprise the senior management of Pubco.

Another determining factor was that CDAQ does not meet the definition of a "business" pursuant to ASC 805-10-55, and thus, for accounting purposes, the Business Combination will be accounted for as a reverse recapitalization, within the scope of ASC 805. The net assets of CDAQ will be stated at historical cost, with no goodwill or other intangible assets recorded.

**Note 4 — Adjustments to Unaudited Pro Forma Condensed Combined Balance Sheet as of September 30, 2025**

The pro forma adjustments to the unaudited pro forma condensed combined balance sheet as of September 30, 2025, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;A. Reflects proceeds to be received
from the Transaction Financing of $10,000,000 at $10.00 per share for the issuance of 1,000,000 shares of Pubco Common Stock, par value
$0.0001 to meet the condition in the Merger Agreement of the minimum cash condition of at least $5.0 million at Closing, after giving
effect to Trust Account redemptions, Transaction Financing proceeds, and payment of CDAQ expenses and liabilities and up to $1.0 million
in KMC transaction expenses. CDAQ is still negotiating the terms with its potential PIPE Investors and deemed entering into such Transaction
Financings as probable.

&nbsp;&nbsp;&nbsp;&nbsp;B. Reflects the liquidation and reclassification
of $1.3 million of funds held in the Trust Account to cash that becomes available following the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;C. Represents preliminary estimated
transaction costs expected to be incurred by CDAQ and KMC of approximately $2.8 million for placement agent, legal, accounting,
and advisory fees incurred as part of the Business Combination.

For the CDAQ transaction costs of $2.0 million, $0.6 million of these fees have been accrued and $0.03 million none of these fees have been paid as of the pro forma balance sheet date. $0.5 million related to the PIPE fees have been recorded to additional paid in capital. The remaining amount of $0.8 million is reflected in an adjustment to accumulated losses.

For the KMC fees of $0.9 million, $0.05 million of these fees have been paid and none of these fees have been accrued as of the pro forma balance sheet date. The $0.8 million fees have been recorded to additional paid-in capital.

&nbsp;&nbsp;&nbsp;&nbsp;D. Represents
 the conversion of 93,554,389 shares of KMC Common Stock into 18,623,329 shares
 of Pubco Common Stock, based on the Per Share Price of $1.9906 and a conversion ratio
 of 0.19906419, upon the Closing of the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;E. Reflects the elimination of CDAQ's
historical accumulated losses after recording the transaction costs to be incurred by CDAQ of $0.8 million as described in (C) above,
the interest expense to be incurred by CDAQ of $1.2 million as described in (H) and (J) below, the adjustment to CDAQ Class A Ordinary
Shares subject to redemption of $0.01 million, and the interest earned in the Trust Account subsequent to September 30, 2025, of $0.01
million as described in (I) below.

&nbsp;&nbsp;&nbsp;&nbsp;F. The
 No Redemption scenario reflects no redemptions of Public Shares. The Maximum Redemptions
 scenario reflects the maximum redemption of 110,866 Public Shares for aggregate redemption
 payments of $1.3 million in the aggregate upon consummation of the Business Combination
 at a redemption price of approximately $11.67 per share as of December 31, 2025. The
 Maximum Redemptions scenario includes all adjustments contained in the No Redemptions scenario
 and presents additional adjustments to reflect the effect of the Maximum Redemptions scenario.

&nbsp;&nbsp;&nbsp;&nbsp;G. Reflects the additional draw on
the CDAQ Working Capital Loan of $0.6 million subsequent to September 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;H. Reflects the payment
of $0.2 million of interest expense and the payment of $0.1 million of principal on the Legacy Sponsor promissory note and the conversion
of $1.7 million of the Working Capital Loans into CDAQ Class A Ordinary Shares at $10.00 per share upon the closing of the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;I. Reflects the interest earned in
the Trust Account of $0.1 million and accretion of CDAQ Class A Ordinary Shares subject to possible redemption of $0.01 million subsequent
to September 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;J. Reflects
 the additional draw of $0.3 million on the Polar Capital Investment payable – related
 party subsequent to September 30, 2025, the recognition of $1.0 million of interest expense,
 and the payment of the return of capital of $1.5 million of the Polar Capital Investment
 payable – related party upon the closing of the Business Combination. Reflects the
 issuance of 0.9 shares of CDAQ Class A Ordinary Shares for the balance of the Polar Capital
 Investment of $1,5 million, or 1,350,000 shares, par value $0.0001 to Polar.

&nbsp;&nbsp;&nbsp;&nbsp;K. Reflects the settlement of the
non-redemption liability upon the closing of the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;L. Reflects KMC asset purchase agreement
for the Fire mining claims, subsequent to September 30, 2025, valued at $500,000 for the issuance of 2,000,000 shares of KMC Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;M. Reflects cash to be received by
KMC and 1,704,001 shares of KMC to be issued in the aggregate amount of $0.3 million, par value $0.001.

&nbsp;&nbsp;&nbsp;&nbsp;N. Reflects the conversion of CDAQ
Class A Ordinary Shares and Class B Ordinary Shares into Pubco Common Stock on a one-for-one basis upon the closing of the Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;O. Reflects
 the 335,666 KMC Warrants exercised into Pubco Common Stock at an exercisable price
 of $0.15 per share.

**Note 5 — Adjustments and Reclassifications to Unaudited Pro Forma Condensed Combined Statement of Operations for the Nine Months Ended September 30, 2025**

The pro forma adjustments included in the unaudited pro forma condensed combined statement of operations for the nine months ended September 30, 2025, are as follows:

AA. Reflects the elimination of interest income generated from the investments held in the Trust Account after giving effect to the Business Combination as if it had occurred on January 1, 2024.

BB. Reflects the elimination of administrative service fees that will cease to be paid upon the Closing.

**Note 6 — Adjustments and Reclassifications to Unaudited Pro Forma Condensed Combined Statement of Operations for the Year Ended December 31, 2024**

The pro forma adjustments included in the unaudited pro forma condensed combined statement of operations for the year ended December 31, 2024, are as follows:

AA. Reflects the elimination of interest income generated from the investments held in the Trust Account after giving effect to the Business Combination as if it had occurred on January 1, 2024.

---

| | |
|:---|:---|
| BB. | Reflects the transaction costs of CDAQ of $0.8 million as if incurred on January 1, 2024. |

---

&nbsp;&nbsp;&nbsp;&nbsp;CC. Reflects the elimination of administrative
service fees that will cease to be paid upon the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;DD. Reflects the recognition of interest
expense on the Polar Capital Investment payable and the Legacy Sponsor note as described in (H) and (J) above.

**Note 7 — Net Loss per Share**

Represents the loss per share calculated using the historical weighted average Pubco Common Stock outstanding and the issuance of additional Pubco Common Stock in connection with the Business Combination, assuming the shares were outstanding since January 1, 2024. As the Business Combination is being reflected as if it had occurred at the beginning of the period presented, the calculation of weighted average shares outstanding for basic and diluted loss per share assumes that the shares issued in connection with the Business Combination have been outstanding for the entire period presented. If the number of public shares described under the "Assuming Maximum Redemptions" scenario described above are redeemed, this calculation is retroactively adjusted to eliminate such shares for the entire period.

The unaudited pro forma condensed combined financial information has been prepared, assuming two alternative levels of redemption of Public Shares:

---

| | | |
|:---|:---|:---|
|  | **For the Nine Months Ended September 30, 2025 <br> and the Year Ended December 31, 2024** | **For the Nine Months Ended September 30, 2025 <br> and the Year Ended December 31, 2024** |
|  | **No<br> Redemptions<br> Scenario** | **Maximum <br> Redemptions<br> Scenario** |
| **Weighted average shares outstanding – basic and diluted** |  |  |
| KMC Sellers | 18623329 | 18623329 |
| Public Shareholders <sup>(1)</sup> | 110866 |  |
| Sponsors <sup>(2)</sup> | 3951972 | 3951972 |
| Non-Redemption Investors | 1532300 | 1532300 |
| Polar Shares | 1350000 | 1350000 |
| PIPE Investors | 1000000 | 1000000 |
| **Total shares of Pubco Common Stock outstanding – basic and diluted** | **26568467** | **26457601** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The shares presented reflect the
redemption of 16,045,860 CDAQ Public Shares on October 19, 2023, the redemption of 2,713,143 CDAQ Public Shares on July 18, 2024, and
the redemption of 2,370,619 CDAQ Public Shares on April 16, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes
 174,150 shares from the conversion of the Sponsor Loan Note upon the consummation
 of the Business Combination.

---

| | | |
|:---|:---|:---|
|  | **Nine Months Ended September 30, 2025** | **Nine Months Ended September 30, 2025** |
|  | **Assuming No Redemptions** | **Assuming Maximum Redemptions** |
| Pro forma net loss | $(5271785) | $(5271785) |
| Weighted average shares outstanding of Pubco Common Stock – basic and diluted | 26568467 | 26457601 |
| Net loss per share – basic and diluted | $(0.20) | $(0.20) |
| *Excluded securities: <sup>(1)</sup>* |  |  |
| CDAQ Public Warrants | 7080163 | 7080163 |
| CDAQ Private Warrants | 4832065 | 4832065 |
| KMC Options | 1164525 | 1164525 |
| KMC Warrants | 4358088 | 4358088 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The potentially dilutive outstanding
 securities were excluded from the computation of pro forma net loss per share, basic and
 diluted, because their effect would have been anti-dilutive.

---

| | | |
|:---|:---|:---|
|  | **For the Year Ended December 31, 2024** | **For the Year Ended December 31, 2024** |
|  | **Assuming No Redemptions** | **Assuming Maximum Redemptions** |
| Pro forma net loss | $(11782028) | $(11782028) |
| Weighted average shares outstanding of Pubco Common Stock – basic and diluted | 26568467 | 26457601 |
| Net loss per share – basic and diluted | $(0.44) | $(0.45) |
| *Excluded securities: <sup>(1)</sup>* |  |  |
| CDAQ Public Warrants | 7080163 | 7080163 |
| CDAQ Private Warrants | 4832065 | 4832065 |
| KMC Options | 1164525 | 1164525 |
| KMC Warrants | 4358088 | 4358088 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) The potentially dilutive outstanding
 securities were excluded from the computation of pro forma net loss per share, basic and
 diluted, because their effect would have been anti-dilutive.

**INFORMATION RELATED TO PUBCO**

Pubco is a Delaware corporation that was incorporated on December 30, 2025. Pubco's principal executive offices are located at 701 Brickell Avenue, Suite 1550, Miami, FL 33131 and its telephone number is (786) 847-3320.

**Business**

Pubco was formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities. Pubco owns no material assets and does not operate any business.

**Fiscal Year**

Pubco's fiscal year is the calendar year, ending on December 31.

**Sole Stockholder**

Prior to the consummation of the Business Combination, the sole stockholder of Pubco is CDAQ. Upon the consummation of the Business Combination, Pubco will become a new public company owned by the prior CDAQ Shareholders and the KMC Stockholders.

**Board of Directors**

Upon the consummation of the Business Combination, the number of directors of Pubco is expected to be to five persons, including four independent directors. Immediately following the consummation of the Business Combination, the composition of the Pubco Board will satisfy the applicable independence requirements under the Nasdaq Listing Rules and Rule 10A-3 of the Exchange Act.

**Legal Proceedings**

As of the date of this proxy statement/prospectus, Pubco was not party to any material legal proceedings. In the future, Pubco may become party to legal matters and claims arising in the ordinary course of business.

**Properties**

Pubco currently does not own or lease any physical property.

**Employees**

Pubco currently has no employees.

**Information About CDAQ**

*Unless the context otherwise requires, all references in this section to the "Company," "we," "us" or "our" refer to CDAQ.*

**Overview**

We are a blank check company incorporated in the Cayman Islands on March 8, 2021. CDAQ was formed for the purpose of effectuating a business combination. We are an emerging growth company and, as such, we are subject to all of the risks associated with emerging growth companies.

**Initial Public Offering**

On October 19, 2021, we consummated the CDAQ IPO of 20,000,000 Units. Each Unit consists of one CDAQ Public Share and one-third of one CDAQ Public Warrant, with each whole CDAQ Public Warrant entitling the holder thereof to purchase one CDAQ Class A Ordinary Share for $11.50 per share. The Units were sold at a price of $10.00 per CDAQ Public Unit, generating gross proceeds of $200,000,000. Certain Institutional Anchor Investors purchased an aggregate of 20,000,000 CDAQ Public Units. The Institutional Anchor Investors also purchased 1,547,727 Founder Shares from the Legacy Sponsor at the original purchase price of $0.005 per share.

We granted the over-allotment option to purchase up to an additional 3,000,000 over-allotment units at the CDAQ IPO price to cover over-allotments, if any. On November 30, 2021, the underwriters of the CDAQ IPO partially exercised the over-allotment option to purchase an additional 1,240,488 over-allotment units at a price of $10.00 per over-allotment unit, generating gross proceeds of approximately $12,404,880.

Simultaneously with the closing of the CDAQ IPO and pursuant to the CDAQ Private Warrants Purchase Agreement, we completed the private sale of an aggregate of 4,666,667 CDAQ Private Warrants to our Legacy Sponsor in the CDAQ Private Placement at a purchase price of $1.50 per CDAQ Private Warrant, generating gross proceeds of $7,000,000. Also, in connection with the partial exercise of the over-allotment option, the Legacy Sponsor purchased an additional 165,398 CDAQ Private Warrants at a purchase price of $1.50 per CDAQ Private Warrant. Concurrently with the closing of the CDAQ Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 CDAQ Private Warrants, which transfer will take place upon the closing of the initial business combination.

A total of $200,000,000, comprised of $196,000,000 of the proceeds from the CDAQ IPO and $4,000,000 of the proceeds from the CDAQ Private Placement, was placed in the Trust Account maintained by CST, acting as trustee.

Our Legacy Sponsor was CDAQ SPAC LLC, a Delaware limited liability company. As described in more detail below, on August 31, 2023, upon the consummation of the Sponsor Handover, HCG Opportunity, LLC, a Delaware limited liability company, became our Sponsor.

We must complete our initial business combination by April 20, 2026, the end of our Business Combination Deadline, unless our Business Combination Deadline is further extended. If our initial business combination is not consummated by the end of our Business Combination Deadline, then, unless the CDAQ Board shall otherwise determine, our existence will terminate, and we will distribute all amounts in the Trust Account.

**Sponsor Handover**

On August 30, 2023, the Legacy Sponsor and the Sponsor entered into the Sponsor Purchase Agreement, and on August 31, 2023, the Legacy Sponsor and the Sponsor consummated the Sponsor Handover. Pursuant to the terms of the Sponsor Purchase Agreement, at the Sponsor Handover: (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) Sponsor agreed to cause us to pay an aggregated amount of $300,000 in cash consideration upon closing of the business combination to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into the a joinder to the Registration Rights Agreement; (iv) the Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor; (v) all Prior Directors and Officers resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as our Chief Executive Officer and our Chief Financial Officer, respectively; and (vi) we entered into the an amendment to the letter agreement with the Legacy Sponsor, the Sponsor and the Prior Directors and Officers, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and CDAQ Private Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement. Immediately following the Sponsor Handover, the Legacy Sponsor retained 2,217,086 Founder Shares and 186,667 CDAQ Private Warrants, which CDAQ Private Warrants will be transferred to the Institutional Anchor Investors upon the closing of the initial business combination. On March 29, 2024, we entered into the Letter Agreement Joinder with each of our current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

**Extensions of our Business Combination Deadline**

On October 19, 2023, CDAQ held an extraordinary general meeting of shareholders to approve proposals to amend the CDAQ Memorandum and Articles to (i) extend the date by which CDAQ must consummate an initial business combination from October 19, 2023 to July 19, 2024 and (ii) provide for the right of holders of CDAQ's CDAQ Class B Ordinary Shares, to convert those shares into CDAQ Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a business combination at the election of the holders.

In connection with the vote to approve these proposals, CDAQ Public Shareholders holding 16,045,860 CDAQ Public Shares exercised their right to redeem those shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $169.1 million (approximately $10.54 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On July 18, 2024, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend the CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four times until April 19, 2025 (or such earlier date as determined by the Compass Board. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,713,143 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $29.6 million (approximately $10.92 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On April 16, 2025, CDAQ held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend CDAQ's restated memorandum and articles of association to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 20, 2026 or such earlier date as determined by the CDAQ Board. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,370,619 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $26.7 million (approximately $11.52 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 3,310,866 CDAQ Class A Ordinary Shares (including 110,866 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

CDAQ may seek to further extend the Business Combination Deadline consistent with applicable laws and regulations by amending the CDAQ Memorandum and Articles. Such an amendment would require the approval of the CDAQ Public Shareholders, who will be provided the opportunity to redeem all or a portion of their CDAQ Public Shares in connection with the vote on such approval. Such redemptions will decrease the amount held in our Trust Account and our capitalization.

***Merger Agreement***

On January 6, 2026, CDAQ entered into the Merger Agreement with Pubco, Purchaser Merger Sub, Company Merger Sub and KMC. KMC is a global critical minerals and infrastructure company focused on acquiring, advancing and developing assets in the Americas with projects in Chile and the United States. Pursuant to the Merger Agreement, (a) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity and a wholly-owned subsidiary of Pubco and with the securityholders of CDAQ receiving substantially equivalent securities of Pubco, and (b) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity and a wholly-owned subsidiary of Pubco and with KMC stockholders receiving shares of Pubco Common Stock and with Pubco assuming all outstanding KMC Options and KMC Warrants. Immediately following the Purchaser Merger, CDAQ will de-register from the Register of Companies in the Cayman Islands and domesticate as a Delaware corporation. As a result, each of CDAQ and KMC will become wholly-owned subsidiaries of Pubco following the consummation of the Business Combination and Pubco will become a publicly-traded holding company named "Key Mining Holdings Corp."

For more information about the Merger Agreement and the Business Combination, please see the section entitled "*The Business Combination*."

***Nasdaq Compliance***

CDAQ Public Units, CDAQ Public Shares and Public Warrants were each traded on the Global Market tier of Nasdaq under the symbols "CDAQU," "CDAQ" and "CDAQW", respectively. Our Units commenced public trading on October 15, 2021, and our CDAQ Public Shares and Public Warrants commenced separate public trading on December 6, 2021.

On October 15, 2024 we received a letter from the Listing Qualifications Department of Nasdaq, which stated that the staff of Nasdaq (the "<u>Nasdaq Staff</u>") had determined that (i) our securities would be delisted from Nasdaq, (ii) trading of our CDAQ Class A Ordinary Shares, Public Warrants, and Units would be suspended at the opening of business on October 22, 2024 and (iii) a Form 25-NSE would be filed with the SEC, which would remove our securities from listing and registration on Nasdaq. Under the Nasdaq 36 Month Requirement, a SPAC must complete one or more business combinations within 36 months of the effectiveness of its initial public offering registration statement. Since we failed to complete a business combination by October 14, 2024, the Nasdaq Staff concluded that we did not comply with the Nasdaq 36 Month Requirement and our securities were subject to delisting. On October 22, 2024, the listing of our securities on Nasdaq was suspended and on March 5, 2025, Nasdaq filed the Form 25-NSE to delist our securities from Nasdaq.

Following the suspension of trading on Nasdaq, our CDAQ Class A Ordinary Shares, Public Warrants, and Units are quoted on the OTCID Basic Market under the symbols "CDAQF," "CDAWF" and "CDAUF," respectively.

We remain a reporting entity under the Exchange Act with respect to continued disclosure of financial and operational information.

**Voting Restrictions in Connection with the Meeting**

CDAQ Shareholders will be entitled to vote or direct votes to be cast at the Meeting if they owned CDAQ Ordinary Shares at the close of business on ______, 2026, which is the Record Date for the Meeting. CDAQ Shareholders are entitled to one vote at the Meeting for each Ordinary Share held as of the Record Date. If you hold your shares in "street name," which means your shares are held of record by a broker, bank or nominee, you should contact your broker, bank or nominee to ensure that votes related to the CDAQ Public Shares you beneficially own are properly counted. In this regard, you must provide the broker, bank or nominee with instructions on how to vote your CDAQ Public Shares or, if you wish to attend the Meeting and vote, obtain a proxy from your broker, bank or nominee.

**Redemption Rights for CDAQ Public Shareholders upon Completion of the Business Combination**

Under the CDAQ Memorandum and Articles, in connection with any proposed initial business combination, if CDAQ seeks shareholder approval of an initial business combination, CDAQ Public Shareholders must be offered the opportunity to redeem their CDAQ Public Shares, regardless of whether they vote for or against the proposed initial business combination, subject to the limitations described in the CDAQ Memorandum and Articles as described in the CDAQ IPO Prospectus and herein. Accordingly, in connection with the Business Combination with KMC, CDAQ Public Shareholders may seek to redeem their CDAQ Public Shares in accordance with the procedures set forth in this proxy statement/prospectus.

***Redemption of CDAQ Public Shares and Liquidation if no Initial Business Combination***

The CDAQ Memorandum and Articles provides that CDAQ will have only until the Business Combination Deadline (which is April 20, 2026) to complete an initial business combination. If CDAQ has not completed an initial business combination by the Business Combination Deadline and does not seek CDAQ Shareholder approval to amend the CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination or by such earlier liquidation date as the CDAQ Board may approve, CDAQ will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but no more than ten (10) business days thereafter subject to lawfully available funds therefor, redeem the CDAQ Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account including interest earned on the funds held in the Trust Account (net of amounts previously released to CDAQ to pay its taxes and up to $100,000 of dissolution expenses), *divided by* the number of then issued and outstanding CDAQ Public Shares, which redemption will completely extinguish CDAQ Public Shareholders' rights as shareholders (including the right to receive further liquidating distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of CDAQ's remaining shareholders and the CDAQ Board, liquidate and dissolve, subject in each case to CDAQ's obligations under Cayman Islands law to provide for claims of creditors and the requirements of other applicable law.

CDAQ has entered into Letter Agreements with the Sponsor and its officers and directors, pursuant to which they have waived their rights to liquidating distributions from the Trust Account with respect to any Founder Shares or CDAQ Private Warrants held by them if CDAQ fails to complete an initial business combination by the Business Combination Deadline. However, if such persons acquire CDAQ Public Shares in or after the CDAQ IPO, they will be entitled to liquidating distributions from the Trust Account with respect to such CDAQ Public Shares if CDAQ fails to complete an initial business combination by the Business Combination Deadline.

The Sponsor and CDAQ's directors and officers have also agreed that they will not propose any amendment to the CDAQ Memorandum and Articles (i) to modify the substance or timing of CDAQ's obligation to allow redemptions in connection with an initial business combination or to redeem 100% of the CDAQ Public Shares if CDAQ does not complete an initial business combination by the Business Combination Deadline or (ii) with respect to any other material provisions relating to the rights of holders of CDAQ Class A Ordinary Shares or pre-initial business combination activity, unless CDAQ provides the CDAQ Public Shareholders with the opportunity to redeem their CDAQ Public Shares upon effectiveness of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account (which interest shall be net of taxes payable), *divided by* the number of then outstanding CDAQ Public Shares, subject to applicable law.

CDAQ expects that all costs and expenses associated with implementing its plan of dissolution, as well as payments to any creditors, will be funded from amounts remaining out of the proceeds of the CDAQ IPO and CDAQ Private Placement held outside the Trust Account and any Working Capital Loans (as defined below). However, if those funds are not sufficient to cover the costs and expenses associated with implementing CDAQ's plan of dissolution, CDAQ is not permitted to withdraw any interest earned on the Trust Account balance for such purpose.

As of ______, 2026, based on funds in the Trust Account of approximately $______ million, the per-share redemption amount received by CDAQ Public Shareholders upon CDAQ's dissolution would be $______ per share. The funds deposited in the Trust Account could, however, become subject to the claims of CDAQ's creditors, which would have higher priority than the claims of CDAQ Public Shareholders. CDAQ cannot assure you that the actual per-share redemption amount received by CDAQ Public Shareholders will not be substantially less than $______ per share. While CDAQ intends to pay such amounts, if any, CDAQ cannot assure you that it will have funds sufficient to pay or provide for all creditors' claims.

Although CDAQ seeks to have all vendors, service providers (other than WithumSmith+Brown, PC ("<u>Withum</u>"), its independent registered public accounting firm and the underwriters of the CDAQ IPO), prospective acquisition targets and other entities with which CDAQ does business execute agreements with CDAQ waiving any right, title, interest or claim of any kind in or to any monies held in the Trust Account for the benefit of the CDAQ Public Shareholders, there is no guarantee that they will execute such agreements or even if they execute such agreements that they would be prevented from bringing claims against the Trust Account including, but not limited to, fraudulent inducement, breach of fiduciary responsibility or other similar claims, as well as claims challenging the enforceability of the waiver, in each case in order to gain an advantage with respect to a claim against CDAQ's assets, including the funds held in the Trust Account. If any third party refuses to execute an agreement waiving such claims to the monies held in the Trust Account, CDAQ's management will consider whether competitive alternatives are reasonably available to CDAQ and will only enter into an agreement with such third-party if CDAQ management believes that such third party's engagement would be in the best interests of CDAQ under the circumstances. Examples of possible instances where CDAQ may engage a third party that refuses to execute a waiver include the engagement of a third-party consultant whose particular expertise or skills are believed by CDAQ management to be significantly superior to those of other consultants that would agree to execute a waiver or in cases where CDAQ management is unable to find a service provider willing to execute a waiver. Withum and the underwriters of the CDAQ IPO have not executed agreements with CDAQ waiving such claims to the monies held in the Trust Account.

In addition, there is no guarantee that such entities will agree to waive any claims they may have in the future as a result of, or arising out of, any negotiations, contracts or agreements with CDAQ and will not seek recourse against the Trust Account for any reason. In order to protect the amounts held in the Trust Account, the Sponsor has agreed that it will be liable to CDAQ if and to the extent any claims by a third party (other than Withum and the underwriters of the CDAQ IPO) for services rendered or products sold to CDAQ, or a prospective acquisition target with which CDAQ has entered into a written letter of intent, confidentiality or other similar agreement or Merger Agreement, reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per Public Share and (ii) the actual amount per Public Share held in the Trust Account as of the date of the liquidation of the Trust Account, as of the date of the liquidation of the Trust Account, if less than $10.00 per Public Share due to reductions in the value of the trust assets, in each case net of taxes, if any, and up to $100,000 of dissolution expenses, provided that such liability will not apply to any claims by a third party or prospective target business who executed a waiver of any and all rights to the monies held in the Trust Account (whether or not such waiver is enforceable) nor will it apply to any claims under CDAQ's indemnity of the underwriters of the CDAQ IPO against certain liabilities, including liabilities under the Securities Act, and CDAQ's public auditor.

However, CDAQ has not asked the Sponsor to reserve for such indemnification obligations, nor has CDAQ independently verified whether the Sponsor has sufficient funds to satisfy its indemnity obligations and CDAQ believes that the Sponsor's only assets are the CDAQ Class B Ordinary Shares and Private Warrants that it owns. Therefore, CDAQ cannot assure you that the Sponsor would be able to satisfy those obligations. As a result, if any such claims were successfully made against the Trust Account, the funds available for CDAQ's initial business combination and redemptions could be reduced to less than $10.00 per Public Share. In such event, CDAQ may not be able to complete its initial business combination and a CDAQ Public Shareholder would receive such lesser amount per Public Share in connection with any redemption of its CDAQ Public Shares. None of CDAQ's officers or directors will indemnify CDAQ for claims by third parties including, without limitation, claims by vendors and prospective acquisition targets.

In the event that the funds in the Trust Account are reduced below the lesser of (i) $10.00 per Public Share and (ii) the actual amount per Public Share held in the Trust Account as of the date of the liquidation of the Trust Account if less than $10.00 per share due to reductions in the value of the Trust Account assets, in each case less taxes payable, and the Sponsor asserts that it is unable to satisfy its indemnification obligations or that it has no indemnification obligations related to a particular claim, CDAQ's independent directors would determine whether to take legal action against the Sponsor to enforce its indemnification obligations. While CDAQ currently expects that its independent directors would take legal action on CDAQ's behalf against the Sponsor to enforce its indemnification obligations to CDAQ, it is possible that CDAQ's independent directors in exercising their business judgment may choose not to do so in any particular instance if, for example, the cost of such legal action is deemed by the independent directors to be too high relative to the amount recoverable or if the independent directors determine that a favorable outcome is not likely. Accordingly, CDAQ cannot assure you that due to claims of creditors the actual value of the per-share redemption price will not be less than $10.00 per share.

If CDAQ files a bankruptcy or winding-up petition or an involuntary bankruptcy or winding-up petition is filed against CDAQ that is not dismissed, the funds held in the Trust Account could be subject to applicable bankruptcy or insolvency law, and may be included in CDAQ's bankruptcy or insolvency estate and subject to the claims of third parties with priority over the claims of CDAQ Shareholders. To the extent any bankruptcy or insolvency claims deplete the Trust Account, CDAQ cannot assure you that it will be able to return $10.00 per share to CDAQ Public Shareholders. Additionally, if CDAQ files a bankruptcy or winding-up petition or an involuntary bankruptcy or winding-up petition is filed against CDAQ that is not dismissed, any distributions received by CDAQ Shareholders could be viewed under applicable debtor/creditor and/or bankruptcy or insolvency laws as either a "preferential transfer" or a "fraudulent conveyance." As a result, a bankruptcy or insolvency court could seek to recover some or all amounts received by CDAQ Shareholders. Furthermore, the CDAQ Board may be viewed as having breached its fiduciary duty to CDAQ's creditors and/or may have acted in bad faith, and thereby exposing itself and CDAQ to claims of punitive damages, by paying CDAQ Public Shareholders from the Trust Account prior to addressing the claims of creditors. CDAQ cannot assure you that claims will not be brought against CDAQ for these reasons.

CDAQ Public Shareholders will be entitled to receive funds from the Trust Account only (i) in the event of the redemption of the CDAQ Public Shares if CDAQ does not complete an initial business combination by the Business Combination Deadline, (ii) in connection with a shareholder vote to amend the CDAQ Memorandum and Articles (x) to modify the substance or timing of CDAQ's obligation to allow redemption in connection with its initial business combination or to redeem 100% of the CDAQ Public Shares if it does not complete an initial business combination by the Business Combination Deadline or (y) with respect to any other material provisions relating to the rights of holders of CDAQ Class A Ordinary Shares or pre-initial business combination activity or (iii) if they redeem their respective CDAQ Public Shares for cash upon the completion of CDAQ's initial business combination. In no other circumstances will a CDAQ Public Shareholder have any right or interest of any kind to or in the Trust Account. In the event CDAQ seeks shareholder approval in connection with its initial business combination, a CDAQ Public Shareholder's voting in connection with such initial business combination alone will not result in a CDAQ Public Shareholder's redeeming its CDAQ Public Shares for an applicable pro rata share of the Trust Account. Such CDAQ Public Shareholder must have also exercised its redemption rights described above. These provisions of the CDAQ Memorandum and Articles, like all provisions of the CDAQ Memorandum and Articles, may be amended with a shareholder vote, pursuant to the provisions of the CDAQ Memorandum and Articles.

**Employees**

CDAQ currently has two executive officers: Thomas D. Hennessy, Chief Executive Officer and Nick Geeza, Chief Financial Officer.

**Directors and Executive Officers** 

CDAQ's executive directors and officers are as follows as of the date of this proxy statement/prospectus:

---

| | | |
|:---|:---|:---|
| **Name** | **Age** | **Position** |
| Daniel J. Hennessy | 67 | Chairman of the Board |
| Thomas D. Hennessy | 40 | Chief Executive Officer and Director |
| Nick Geeza | 39 | Chief Financial Officer |
| Joseph Beck | 39 | Director |
| Anna Brunelle | 57 | Director |
| Kirk Hovde | 37 | Director |
| Matt Schindel | 39 | Director |

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**Daniel J. Hennessy** has served as the Chairman of our Board since August 2023. He has served as Chairman and Chief Executive Officer of Hennessy Capital Investment Corp VI (Nasdaq: HCVI), or Hennessy VI, since September 2021 and of Hennessy Capital Investment Corp. VII (Nasdaq: HCVII) since September 2024. Mr. Hennessy is also the Managing Member of Hennessy Capital Group LLC, an alternative investment firm he established in 2013 that focuses on sustainable industrial technology and infrastructure sectors. He also served as Chairman and CEO of Hennessy Capital Investment Corp. V (Nasdaq: HCIC), or Hennessy V, from October 2020 until December 2022. Mr. Hennessy served as Chairman and CEO of Hennessy Capital Acquisition Corp. IV, or Hennessy IV, from March 2019 until its Business Combination with Canoo Holdings Ltd, which closed on December 21, 2020 and is now known as Canoo Inc. (Nasdaq: GOEV). Mr. Hennessy served as a director of SIRVA Worldwide Relocation & Moving from August 2018 until August 2022. He also served as a senior advisor to PropTech Investment Corporation II (Nasdaq: PTIC), a SPAC targeting businesses in the real estate technology industry from 2021 and which closed its initial business combination with RW National Holdings (Nasdaq: SFR) in November 2022 and 7GC & Co. Holdings Inc. (Nasdaq:VII), a SPAC targeting businesses in the technology industry since 2021 and Jaguar Global Growth Corporation I (Nasdaq: JGGC) a SPAC targeting international real estate technology, since 2022. Mr. Hennessy previously served as senior advisor to PropTech Acquisition Corporation (Nasdaq: PTAC), a SPAC targeting businesses in the real estate technology industry, which closed its initial business combination with Porch.com, Inc. in December 2020. From January 2017 to October 2018, Mr. Hennessy served as Chairman of the Board and Chief Executive Officer of Hennessy Capital Acquisition Corp. III, or Hennessy III, which merged with NRC Group Holdings, LLC, a global provider of environmental compliance and waste management services, and is currently a wholly-owned subsidiary of Republic Services, Inc (NYSE: RSG) and served as a director from January 2017 to October 2019. From April 2015 to February 2017, Mr. Hennessy served as Chairman and CEO of Hennessy Capital Acquisition Corp. II, or Hennessy II, which merged with Daseke in February 2017 and is now known as Daseke, Inc. (Nasdaq: DSKE) and previously served as its Vice Chairman from February 2017 to June 2021. From September 2013 to February 2015, Mr. Hennessy served as Chairman of the Board and Chief Executive Officer of Hennessy Capital Acquisition Corp., or Hennessy I, which merged with School Bus Holdings Inc. in February 2015 and is now known as Blue Bird Corporation (Nasdaq: BLBD), and previously served as a director from September 2013 to April 2019. From 1988 to 2015, Mr. Hennessy served as a Partner at Code Hennessy & Simmons LLC ("<u>CHS</u>"), a Chicago based middle-market private equity investment firm he co-founded in 1988. Prior to forming CHS, Mr. Hennessy was employed by Citicorp from 1984 to 1988 as head of the Midwest Region for Citicorp Mezzanine Investments and Vice President and Team Leader with Citicorp Leveraged Capital Group. He began his career in 1981 in the oil and gas lending group at Continental Illinois National Bank (now Bank of America) where he was a Banking Officer. Mr. Hennessy holds a B.A. degree, magna cum laude, from Boston College and an M.B.A. from the University of Michigan Ross School of Business. Mr. Hennessy is qualified to serve as one of our directors due to his experience in private equity and public and private company board governance, as well as his background in finance and his experience with Hennessy I, Hennessy II, Hennessy III, Hennessy IV, Hennessy V, Hennessy VI and Hennessy VII.

**Thomas D. Hennessy** has served as our Chief Executive Officer and one of our directors since August 2023. He has served as a Managing Partner of Growth Strategies of Hennessy Capital Group, LLC, an alternative investment firm founded in 2013 that focuses on investing in industrial, infrastructure, real estate and sustainable technologies. Since January 2025, Mr. Hennessy has served as President, Chief Operating Officer, and director of Hennessy Capital Investment Corp. VII, a special acquisition company. Mr. Hennessy has previously served as a Chairman and CEO of Global Technology Acquisition Corp. I, a SPAC. Mr. Hennessy has previously served as a director of TortoiseEcofin Acquisition Corporation III, a SPAC. Mr. Hennessy has previously served as Chairman and Chief Executive Officer of two, a SPAC, which in March 2024 closed a business combination agreement with LatAm Logistic Properties S.A. (NYSE: LPA), a leading developer, owner, and manager of institutional quality, class A industrial and logistics real estate in Central and South America. Mr. Hennessy has previously served as a director of Jaguar Global Growth Corporation I, a SPAC, which in October 2023 closed a business combination with Captivision Inc. (Nasdaq: CAPT), a leading designer and manufacturer of architectural media display glass. Mr. Hennessy has previously served as a director of 7GC & Co. Holdings, a SPAC, which in December 2023 closed a business combination with Banzai International Inc. (Nasdaq: BNZI), a leading marketing technology company that provides data-driven marketing and sales solutions. Previously, Mr. Hennessy served as Chairman, Co-Chief Executive Officer, and President of PropTech Acquisition Corporation's business combination with Porch Group Inc. (Nasdaq: PRCH) in 2020 and subsequently served as an independent director of Porch Group. Mr. Hennessy previously served as a Portfolio Manager of Abu Dhabi Investment Authority (ADIA) and prior to that as an Investment Associate for Sam Zell's Equity International. Mr. Hennessy started his career in the Investment Bank at Credit Suisse. Mr. Hennessy holds a B.A. degree from Georgetown University and an MBA from the University of Chicago Booth School of Business. Mr. Hennessy is qualified to serve as one of our directors due to his extensive experience with SPACs and his expertise in mergers and acquisitions.

**Nick Geeza** has served as our Chief Financial Officer since August 2023. He has served as Head of Business Development of Hennessy Capital Growth Strategies, an alternative investment company, since April 2023. From May 2023 to March 2024, Mr. Geeza served as Chief Financial Officer of two (NYSE: TWOA), a SPAC, which completed its business combination with Logistic Properties of the Americas (NYSE: LPA) in March 2024. Mr. Geeza previously served as Enterprise Sales Director for Capital Preferences, Ltd., a wealth technology platform focused on using behavioral economics to reveal client preferences and drive increased assets under management for global enterprise financial institutions, since March 2022. From November 2007 to March 2022, Mr. Geeza served as Senior Vice President in the Derivative Products Group at U.S. Bank National Association, where he was responsible for developing and servicing client relationships in the National Corporate Banking Technology, Automotive and Insurance divisions. During his tenure, Mr. Geeza assisted in the development and successful implementation of a dynamic hedging platform, advised on compliance with U.S. GAAP accounting requirements, and negotiated International Swaps and Derivatives Association, Dodd-Frank, and collateral management documentation. Prior to U.S. Bank, Mr. Geeza worked at JP Morgan Chase & Co. in New York. Mr. Geeza graduated Cum Laude with a B.S. from Georgetown University and earned an MBA from the University of Chicago Booth School of Business.

**M. Joseph Beck** has served as one of our directors since August 2023. From March 2023 to March 2024, he served as a director of two (NYSE: TWOA), a SPAC, which completed its business combination with Logistic Properties of the Americas (NYSE: LPA) in March 2024. From August 2020 to November 2022, he served as Co-Chief Executive Officer, Chief Financial Officer and director of PropTech Investment Corporation II, which consummated a business combination with Appreciate Holdings, Inc. (Nasdaq: SFR). From July 2019 to December 2020, he served as Co-Chief Executive Officer, Chief Financial Officer and director of PropTech Acquisition Corporation, which consummated a business combination with Porch Group (Nasdaq: PRCH) From November 2022 to March 2024, he served as a director of Appreciate Holdings, Inc. From December 2020 to December 2023, he served as a director of 7GC & Co. Holdings Inc. (Nasdaq: VII), a SPAC targeting the technology industry, which consummates a business combination with Banzai International, Inc., a marketing technology company. From February 2021 to November 2023, Mr. Beck served as a director of Jaguar Global Growth Corporation I, a SPAC that completed its business combination with Captivision Inc. (Nasdaq: CAPT), a designer and manufacturer of architectural media glass. Mr. Beck has served as a Managing Partner of Growth Strategies of Hennessy Capital Group LLC since July 2019. From August 2012 to July 2019, Mr. Beck served as a Senior Investment Manager of ADIA. From July 2008 to August 2012, Mr. Beck served as an analyst in the Investment Banking Division of Goldman, Sachs & Co. Mr. Beck holds a B.A. degree from Yale University. Mr. Beck is qualified to serve as one of our directors due to his experience with public companies and capital markets.

**Anna Brunelle** has served as one of our directors since August 2023. She has served as the Chief Financial Officer of Ouster Inc., from August 2020 to May 2023, which completed a business combination with Colonnade Acquisition Corp., a SPAC, in March 2021, and subsequently merged with Velodyne Lidar, Inc. (previously NASDAQ: VLDR) in February 2023. Ms. Brunelle has over 20 years of experience in finance, accounting, investor relations, corporate and business development, as well as business operations and analytics. She previously served as Chief Financial Officer of Kinestral Technologies from April 2018 through May 2020 and Chief Financial Officer and Interim Chief Operating Officer of Soylent from March 2016 through October 2017. She has also served as Chief Financial Officer of GlobalLogic, Chief Financial Officer of Tivo, Inc., and Senior Consultant for Deloitte & Touche, LLP. Ms. Brunelle currently serves as a director of Bolt Threads, Inc. and Hennessy VI and previously served as a director of Halio International from March 2019 through May 2020. During her tenure in leadership positions, she has worked on successful IPOs of technology companies and completed multiple private and public acquisitions and divestitures. Ms. Brunelle received her B.S. in Business Administration (accounting concentration) from California Polytechnic State University - San Luis Obispo. Ms. Brunelle is qualified to serve as one of our directors due to her background in accounting and finance and her experience as the chief financial officer for both public and private companies and as a director.

**Kirk Hovde** has served as one of our directors since August 2023. He serves as Managing Principal & Head of Investment Banking at Hovde Group where he is responsible for leading the firm's investment banking practice, as well as evaluating the financial and strategic options of financial institutions. In this capacity, Mr. Hovde performs financial analyses and valuations of banks and thrifts, assists in the facilitation of M&A transactions and capital offerings, and assesses the impact of national and regional trends on the financial services industry. Mr. Hovde is also a member of Hovde Group's Management Operating Committee, which is tasked with the day-to-day management of the firm and implementation of the longer-term strategic plan and vision. Prior to joining Hovde Group, Mr. Hovde was with Deloitte & Touche LLP in Chicago, Illinois, where he provided assurance services to both public and private clients in a broad array of industries. These services primarily consisted of regular financial audit and Sarbanes-Oxley attestation engagements, but also included special projects for acquisitions and divestitures. Mr. Hovde, a native of Chicago, earned a Bachelor of Business Administration, double majoring in Accounting and Finance, Investment & Banking, from the School of Business at the University of Wisconsin, Madison. He is a Certified Public Accountant in the State of Illinois, has his series 7, 24, 63 and 79 FINRA licenses and has passed Level II of the CFA Program. Mr. Hovde is qualified to serve as one of our directors due to his experience in finance, M&A and capital markets.

**Matt Schindel** has served as one of our directors since August 2023. He has served as a director of TortoiseEcofin Acquisition Corporation III, a SPAC since July 2023. Mr. Schindel has more than 15 years of experience as an investor and operator of growth companies, including more than a decade in climate and renewable energy related businesses. From February 2020 to July 2023, he served as Chief Financial Officer at Snapdocs, a real estate software company that provides automation solutions for lenders, title companies, notaries, and other participants in real-estate transactions. Prior to Snapdocs, Mr. Schindel held various executive roles at Sunrun, Inc., the nation's leading residential solar, storage, and energy services company. Mr. Schindel holds a Bachelor's Degree from Harvard College. Mr. Schindel is qualified to serve as one of our directors due to his experience with public companies and capital markets.

**Family Relationships**

Other than the below, no family relationships exist between any of our directors or executive officers:

● Daniel J. Hennessey is the father of Thomas D. Hennessey;

● Daniel J. Hennessey is the uncle of Kirk Hovde; and

● Thomas D. Hennessey and Kirk Hovde are cousins.

**Number and Terms of Office of Officers and Directors**

Our Board of Directors consists of six members and is divided into three classes with only one class of directors being appointed in each year, and with each class (except for those directors appointed prior to our first general meeting) serving a three-year term. In accordance with Nasdaq corporate governance requirements, we were not required to hold an annual meeting until one year after our first fiscal year end following our listing on Nasdaq. The first extraordinary general meeting on November 2, 2023 was held in lieu of our first annual general meeting of shareholders.

The term of office of the first class of directors, consisting of Joeseph Beck and Kirk Hovde, who were re-elected by holders of our CDAQ Class B Ordinary Shares in connection with the 2024 extraordinary general meeting, will expire at the fourth annual general meeting. The term of office of the second class of directors, consisting of Thomas D. Hennessy and Matt Schindel, will expire at the second annual general meeting. The term of office of the third class of directors, consisting of Daniel J. Hennessy and Anna Brunelle, will expire at the third annual general meeting.

Only holders of CDAQ Class B Ordinary Shares have the right to appoint directors in any general meeting held prior to or in connection with the completion of our initial business combination. Holders of our CDAQ Public Shares are not entitled to vote on the appointment of directors during such time. These provisions of the CDAQ Memorandum and Articles relating to the rights of holders of CDAQ Class B Ordinary Shares to appoint directors may be amended by a special resolution passed by a majority of at least 90% of our CDAQ Ordinary Shares voting in a general meeting. Our officers are appointed by the Board of Directors and serve at the discretion of the Board of Directors, rather than for specific terms of office. The CDAQ Board is authorized to appoint officers as it deems appropriate pursuant to the CDAQ Memorandum and Articles.

**Officer and Director Compensation**

None of our officers or directors have received any cash compensation for services rendered to us, other than our Chief Financial Officer, who was paid an aggregate of $0 and $20,500 for services provided to us in 2025 and 2024, respectively. Commencing on October 19, 2021 through the earlier of closing of our initial business combination and our liquidation, we may pay our Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to our Sponsor, secretarial and administrative support services provided to members of our management team and other expenses and obligations of our Sponsor, pursuant to the Administrative Services Agreement, as assigned to our Sponsor by the Legacy Sponsor. In addition, our Sponsors, Prior Directors and Officers, officers and directors, or any of their respective affiliates are reimbursed for any out-of-pocket expenses incurred in connection with activities on our behalf such as identifying potential target businesses and performing due diligence on suitable business combinations. Our Audit Committee reviews on a quarterly basis all payments that were made by us to our Sponsors, Prior Directors and Officers, officers or directors, or our or their affiliates. Any such payments prior to an initial business combination are made from funds held outside the Trust Account. Other than quarterly Audit Committee review of such reimbursements, we do not have any additional controls in place governing our reimbursement payments to our directors and officers for their out-of-pocket expenses incurred in connection with our activities on our behalf in connection with identifying and consummating an initial business combination. Other than these payments and reimbursements, no compensation of any kind, including finder's and consulting fees, has been or will be paid by us to our Sponsors, Prior Directors and Officers, officers and directors, or any of their respective affiliates, prior to completion of our initial business combination.

After the completion of our initial business combination, directors or members of our management team who remain with us may be paid consulting or management fees from the combined company. All of these fees will be fully disclosed to shareholders, to the extent then known, in the proxy solicitation materials or tender offer materials furnished to our shareholders in connection with a proposed initial business combination, such as the KMC Registration Statement. We have not established any limit on the amount of such fees that may be paid by Pubco to our directors or members of management. It is unlikely the amount of such compensation will be known at the time of the proposed initial business combination because the directors of Pubco will be responsible for determining officer and director compensation. Any compensation to be paid to our officers will be determined, or recommended to the Pubco Board for determination, either by a compensation committee constituted solely by independent directors or by a majority of the independent directors of Pubco.

We do not intend to take any action to ensure that members of our management team maintain their positions with us after the closing of our initial business combination, although it is possible that some or all of our officers and directors may negotiate employment or consulting arrangements to remain with us after our initial business combination. The existence or terms of any such employment or consulting arrangements to retain their positions with us may influence our management's motivation in identifying or selecting a target business, but we do not believe that the ability of our management to remain with us after the closing of our initial business combination will be a determining factor in our decision to proceed with any potential business combination. We are not party to any agreements with our officers and directors that provide for benefits upon termination of employment.

**Committees of the CDAQ Board**

The CDAQ Board has three standing committees: the Audit Committee, a compensation committee (the "<u>Compensation Committee</u>") and a nominating and corporate governance committee (the "<u>Nominating Committee</u>"). Both our Audit Committee and our Compensation Committee are composed solely of independent directors. Subject to phase-in rules, the Nasdaq Listing Rules and Rule 10A-3 of the Exchange Act require that the Audit Committee of a listed company be comprised solely of independent directors, and the Nasdaq Listing Rules require that the compensation committee of a listed company be comprised solely of independent directors. Each committee operates under a charter that was approved by our Board and has the composition and responsibilities described below.

***CDAQ Audit Committee***

Anna Brunelle, Matt Schindel and Kirk Hovde serve as the members and Anna Brunelle serves as chair of the Audit Committee. All members of our Audit Committee are independent of and unaffiliated with our Sponsors. Under the applicable SEC rules, all the directors on the Audit Committee must be independent.

Each member of the Audit Committee is financially literate and our Board of Directors has determined that Anna Brunelle qualifies as an "audit committee financial expert" as defined in applicable SEC rules and has accounting or related financial management expertise.

We have adopted a charter of the Audit Committee, which details the principal functions of the Audit Committee, including:

● assisting with Board oversight of (i) the integrity of our financial statements, (ii) our compliance with legal and regulatory requirements, (iii) our independent registered public accounting firm's qualifications and independence, and (iv) the performance of our internal audit function and independent registered public accounting firm;

● the appointment, compensation, retention, replacement, and oversight of the work of the independent registered public accounting firm and any other independent registered public accounting firm engaged by us;

● pre-approving all audit and non-audit services to be provided by the independent registered public accounting firm or any other registered public accounting firm engaged by us, and establishing pre-approval policies and procedures; reviewing and discussing with the independent registered public accounting firm all relationships the registered public accounting firm has with us in order to evaluate their continued independence;

● setting clear policies for audit partner rotation in compliance with applicable laws and regulations; obtaining and reviewing a report, at least annually, from the independent registered public accounting firm describing (i) the independent registered public accounting firm's internal quality-control procedures and (ii) any material issues raised by the most recent internal quality-control review, or peer review, of the independent registered public accounting firm, or by any inquiry or investigation by governmental or professional authorities, within the preceding five years respecting one or more independent audits carried out by the firm and any steps taken to deal with such issues;

● meeting to review and discuss our annual audited financial statements and quarterly financial statements with management and the independent registered public accounting firm, including reviewing our specific disclosures under "Management's Discussion and Analysis of Financial Condition and Results of Operations"; reviewing and approving any related party transaction required to be disclosed pursuant to Item 404 of Regulation S-K promulgated by the SEC prior to us entering into such transaction; and

● reviewing with management, the independent registered public accounting firm, and our legal advisors, as appropriate, any legal, regulatory or compliance matters, including any correspondence with regulators or government agencies and any employee complaints or published reports that raise material issues regarding our financial statements or accounting policies and any significant changes in accounting standards or rules promulgated by the FASB, the SEC or other regulatory authorities.

***CDAQ Compensation Committee***

Matt Schindel and M. Joseph Beck serve as the members and Matt Schindel serves as chair of the Compensation Committee.

We have adopted a charter of the Compensation Committee, which details the principal functions of the Compensation Committee, including:

● reviewing and approving on an annual basis the corporate goals and objectives relevant to our Chief Executive Officer's compensation, evaluating our Chief Executive Officer's performance in light of such goals and objectives and determining and approving the remuneration (if any) of our Chief Executive Officer based on such evaluation;

● reviewing and making recommendations to our Board of Directors with respect to the compensation, and any incentive compensation and equity based plans that are subject to Board approval of all of our other officers;

● reviewing our executive compensation policies and plans;

● implementing and administering our incentive compensation equity-based remuneration plans;

● assisting management in complying with our proxy statement and annual report disclosure requirements;

● approving all special perquisites, special cash payments and other special compensation and benefit arrangements for our officers and employees;

● producing a report on executive compensation to be included in our annual proxy statement; and

● reviewing, evaluating and recommending changes, if appropriate, to the remuneration for directors.

Notwithstanding the foregoing, as indicated above, other than (i) the payment to our Sponsor of up to $10,000 per month pursuant to the Administrative Services Agreement for office space, utilities, salaries or other cash compensation paid to consultants to our Sponsor, secretarial and administrative support, other expenses, (ii) obligations of our Sponsor and reimbursement of expenses and (iii) the payment of an aggregate of $0 and $20,500 to our Chief Financial Officer, for services provided to us in 2025 and 2024, respectively, no compensation of any kind, including finders, consulting or other similar fees, is paid to any of our existing shareholders, officers, directors or any of their respective affiliates, prior to, or for any services they render in order to effectuate the closing of an initial business combination. Accordingly, it is likely that prior to the closing of an initial business combination, the Compensation Committee will only be responsible for the review and recommendation of any compensation arrangements entered into in connection with such initial business combination.

The charter of the Compensation Committee also provides that the Compensation Committee may, in its sole discretion, retain or obtain the advice of a compensation consultant, independent legal counsel or other adviser and will be directly responsible for the appointment, compensation and oversight of the work of any such adviser. However, before engaging or receiving advice from a compensation consultant, external legal counsel or any other adviser, the compensation committee will consider the independence of each such adviser, including the factors required by the Nasdaq Listing Rules and the SEC.

***Nominating and Corporate Governance Committee***

The members of our Nominating Committee are Kirk Hovde and M. Joseph Beck, and Kirk Hovde serves as chair of the Nominating Committee.

We have adopted a charter of the Nominating Committee, which details the purpose and responsibilities of the Nominating Committee, including:

● identifying, screening and reviewing individuals qualified to serve as directors, consistent with criteria approved by the Board, and recommending to the Board of Directors candidates for nomination for appointment at the annual general meeting or to fill vacancies on the Board of Directors;

● developing and recommending to the Board of Directors and overseeing implementation of our corporate governance guidelines;

● coordinating and overseeing the annual self-evaluation of the Board of Directors, its committees, individual directors and management in the governance of the company; and

● reviewing on a regular basis our overall corporate governance and recommending improvements as and when necessary.

The charter of the Nominating Committee also provides that the Nominating Committee may, in its sole discretion, retain or obtain the advice of, and terminate, any search firm to be used to identify director candidates, and will be directly responsible for approving the search firm's fees and other retention terms.

We have not formally established any specific, minimum qualifications that must be met or skills that are necessary for directors to possess. In general, in identifying and evaluating nominees for director, the Board of Directors considers educational background, diversity of professional experience, knowledge of our business, integrity, professional reputation, independence, wisdom, and the ability to represent the best interests of our shareholders. Prior to our initial business combination, holders of our CDAQ Public Shares do not have the right to recommend director candidates for nomination to our Board of Directors.

**Compensation Recovery and Clawback Policy**

Under the Sarbanes-Oxley Act, in the event of misconduct that results in a financial restatement that would have reduced a previously paid incentive amount, we can recoup those improper payments from our executive officers. The SEC has also adopted Rule 10D-1 under the Exchange Act (the "<u>SEC Clawback Rule</u>") that direct national stock exchanges to require listed companies to implement policies intended to recoup bonuses paid to executives if the company is found to have misstated its financial results.

On December 7, 2023, our Board of Directors approved the adoption of the Policy on Recoupment of Incentive Compensation (the "<u>Clawback Policy</u>"), with an effective date of October 2, 2023, in order to comply with the SEC Clawback Rule and the Nasdaq Listing Rules, as set forth in the Nasdaq Listing Rule 5608 (the "<u>Nasdaq Clawback Rules</u>").

The Clawback Policy provides for the mandatory recovery of erroneously awarded incentive-based compensation from our current and former executive officers as defined in the SEC Clawback Rule ("Covered Officers") in the event that we are required to prepare an accounting restatement, in accordance with the Nasdaq Clawback Rules. The recovery of such compensation applies regardless of whether a Covered Officer engaged in misconduct or otherwise caused or contributed to the requirement of an accounting restatement. Under the Clawback Policy, our Board of Directors may recoup from the Covered Officers erroneously awarded incentive compensation received within a lookback period of the three completed fiscal years preceding the date on which we are required to prepare an accounting restatement.

**Compensation Committee Interlocks and Insider Participation**

None of CDAQ's officers currently serves, or in the past year has served, as a member of the compensation committee of any entity that has one or more officers serving on the CDAQ Board.

**Code of Ethics**

We have adopted a Code of Business Conduct and Ethics (the "<u>Code of Ethics</u>") applicable to our directors, officers and employees. We have filed a copy of our Code Ethics as an exhibit to this Report. You may review the Code of Ethics by accessing our public filings at the SEC's website at *www.sec.gov*. In addition, a copy of the Code Ethics and the charters of the committees of our Board of Directors will be provided without charge upon request from us. If we make any amendments to our Code Ethics other than technical, administrative or other non-substantive amendments, or grant any waiver, including any implicit waiver, from a provision of the Code of Ethics applicable to our principal executive officer, principal financial officer, principal accounting officer or controller or persons performing similar functions requiring disclosure under applicable SEC or the Nasdaq Listing Rules, we will disclose the nature of such amendment or waiver in a Current Report on Form 8-K and on our website. The information included on or accessible through our website is not incorporated by reference this registration statement or in any other report or document we file with the SEC, and any references to our website are intended to be inactive textual references only.

**Trading Policies**

On October 14, 2021, we adopted insider trading policies and procedures governing the purchase, sale, and/or other dispositions of our securities by directors, officers and employees, which are reasonably designed to promote compliance with insider trading laws, rules and regulations, and applicable stock exchange listing standards.

**Legal Proceedings** 

To the knowledge of CDAQ's management, there is no litigation currently pending or contemplated against CDAQ, or any of its respective officers or directors in their capacity as such or against any CDAQ property.

**Periodic Reporting and Audited Financial Statements**

CDAQ has registered the CDAQ Class A Ordinary Shares under the Exchange Act and has reporting obligations, including the requirement that it file annual, quarterly and current reports with the SEC. In accordance with the requirements of the Exchange Act, CDAQ's annual report will contain financial statements audited and reported on by CDAQ's independent registered public accountants.

**CDAQ's Management's Discussion and Analysis of Financial Condition and Results of Operations**

*Unless the context otherwise requires, all references in this section to the "Company," "we," "us" or "our" refer to CDAQ. References to CDAQ "management" or CDAQ's "management team" refers to CDAQ's officers and directors.* 

*The following discussion and analysis provides information which CDAQ's management believes is relevant to an assessment and understanding of its results of operations and financial condition. This discussion and analysis should be read together with the sections of the proxy statement/prospectus entitled "Other Information Related to CDAQ", and CDAQ's audited financial statements and related notes thereto that are included elsewhere in the proxy statement/prospectus. In addition to historical financial information, this discussion and analysis contains forward-looking statements based upon current expectations that involve risks, uncertainties and assumptions. See the section entitled "Cautionary Note Regarding Forward-Looking Statements." Actual results and timing of selected events may differ materially from those anticipated in these forward-looking statements as a result of various factors, including those set forth under "Risk Factors" or elsewhere in the proxy statement/prospectus.* 

**Overview**

We are a blank check company incorporated in the Cayman Islands on March 8, 2021, formed for the purpose of effectuating a business combination. We are an emerging growth company and, as such, are subject to all of the risks associated with emerging growth companies.

We will not generate any operating revenues until after the completion of our initial business combination, at the earliest. We will generate non-operating income in the form of interest income from the proceeds derived from the CDAQ IPO and the CDAQ Private Placement.

We completed our CDAQ IPO of 20,000,000 CDAQ Public Units, each CDAQ Public Unit consisting of one CDAQ Public Share and one-third of one CDAQ Public Warrant, at $10.00 per CDAQ Public Unit on October 19, 2021.

Certain Institutional Anchor Investors that are not affiliated with us, the Legacy Sponsor, our directors, officers, or any member of our management purchased an aggregate of 20,000,000 CDAQ Public Units. The CDAQ Public Units were sold at an offering price of $10.00 per CDAQ Public Units, generating gross proceeds of $200 million.

Simultaneously with the closing of the CDAQ IPO, we consummated the sale of 4,666,667 CDAQ Private Warrants at a price of $1.50 per CDAQ Private Warrant to our Legacy Sponsor in the CDAQ Private Placement, generating gross proceeds of $7 million. Concurrently with the closing of the CDAQ Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 CDAQ Private Warrants, which transfer will be effective upon the closing of the initial business combination.

The Institutional Anchor Investors also purchased equity interests of the Legacy Sponsor equivalent to 1,547,727 Founder Shares from the Legacy Sponsor at the original purchase price of $0.005 per share.

Following the closing of the CDAQ IPO on October 19, 2021, an amount of $200,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units in the CDAQ IPO and the CDAQ Private Placement was placed in the Trust Account located in the United States and shall be invested only in U.S. government treasury obligations with a maturity of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act, which invest only in direct U.S. government treasury obligations, as determined by us. On October 19, 2023, we instructed CST to liquidate the investments held in the Trust Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with CST continuing to act as trustee, until the earlier of the consummation of the initial business combination or our liquidation. As a result, following the liquidation of investments in the Trust Account, the remaining proceeds from the CDAQ IPO and CDAQ Private Placement are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

On November 30, 2021, we consummated the sale of an additional (i) 1,240,488 over-allotment units to the underwriters, at $10.00 per over-allotment unit, and (ii) 165,398 CDAQ Private Warrants, at $1.50 per CDAQ Private Warrant, generating total gross proceeds of $12,404,880 and $248,097, respectively. The underwriters forfeited the balance of the over-allotment option. A total of $12,404,880 of the net proceeds was deposited into the Trust Account, bringing the aggregate proceeds deposited into the Trust Account in connection with our CDAQ IPO to $212,404,880. We incurred additional offering costs of $682,268 in connection with the over-allotment (of which $434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed us of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

Our management has broad discretion with respect to the specific application of the net proceeds of the CDAQ IPO and the sale of the Private Warrants, although substantially all of the net proceeds are intended to be applied generally toward consummating a business combination. The CDAQ Memorandum and Articles provide that the business combination must be with one or more target businesses that together have a fair market value equal to at least 80% of the balance in the Trust Account (less any taxes payable on interest earned on the Trust Account) at the time of the signing a definitive agreement to enter a business combination. We will only complete a business combination if the post-business combination company owns or acquires 50% or more of the outstanding voting securities of the target or otherwise acquires a controlling interest in the target sufficient for it not to be required to register as an investment company under the Investment Company Act. There is no assurance that we will be able to successfully effect a business combination.

We will provide the CDAQ Public Shareholders with the opportunity to redeem all or a portion of their CDAQ Public Shares upon the completion of a business combination either (i) in connection with a shareholder meeting called to approve the business combination or (ii) by means of a tender offer. In connection with such vote, the CDAQ Public Shareholders will be entitled to redeem their CDAQ Public Shares for a pro rata portion of the amount then in the Trust Account ($11.14 per share as of December 31, 2024, net of taxes paid and payable). There will be no redemption rights upon the completion of a business combination with respect to Warrants. These CDAQ Class A Ordinary Shares have been recorded at a redemption value and classified as temporary equity upon the completion of the CDAQ IPO, in accordance with ASC 480.

Each of our Sponsors has agreed (i) to vote its Founder Shares and any CDAQ Public Shares purchased during or after the CDAQ IPO in favor of a business combination; (ii) not to propose an amendment to the CDAQ Memorandum and Articles with respect to our pre-business combination activities prior to the closing of a business combination unless we provide dissenting CDAQ Public Shareholders with the opportunity to redeem their CDAQ Public Shares in conjunction with any such amendment; (iii) not to redeem any CDAQ Ordinary Shares (including the Founder Shares) into the right to receive cash from the Trust Account in connection with a shareholder vote to approve a business combination (or to sell any CDAQ Ordinary Shares in a tender offer in connection with a business combination if we do not seek shareholder approval in connection therewith) or a vote to amend the provisions of the CDAQ Memorandum and Articles relating to shareholders' rights of pre-business combination activity; and (iv) that the Founder Shares shall not participate in any liquidating distributions upon winding up if a business combination is not consummated. However, the Sponsors will be entitled to liquidating distributions from the Trust Account with respect to any CDAQ Public Shares purchased during or after the CDAQ IPO if we fail to complete our business combination.

If we are unable to complete a business combination by April 20, 2026 (unless extended by CDAQ Shareholder), we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but no more than ten business days thereafter, redeem the CDAQ Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to us to pay taxes (less up to $50,000 of interest to pay dissolution expenses), divided by the number of then outstanding CDAQ Public Shares, which redemption will completely extinguish CDAQ Public Shareholder's rights as shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining shareholders and our board of directors, proceed to commence a voluntary liquidation and thereby a formal dissolution of us, subject in each case to our obligations under Cayman Islands law to provide for claims of creditors and the requirements of applicable law. In the event of such distribution, it is possible that the per share value of the assets remaining available for distribution will be less than 11.58 per Public Share (net of taxes paid or payable, as of September 30, 2025).

As of September 30, 2025 and December 31, 2024, we held cash of $721 and $27,720, respectively, and current liabilities of $9,050,038 and $6,162,507, respectively. Further, we expect to continue to incur significant costs in the pursuit of our initial business combination. We cannot assure you that our plans to complete an initial business combination will be successful.

**Recent Developments**

On March 5, 2025, Nasdaq filed a Form 25-NSE to delist our securities from Nasdaq. Our CDAQ Class A Ordinary Shares, Public Warrants, and Units are quoted on the OTCID Basic Market under the symbols "CDAQF," "CDAWF" and "CDAUF," respectively. We remain a reporting entity under the Exchange Act with respect to continued disclosure of financial and operational information.

***Sponsor Handover***

On August 30, 2023, the Legacy Sponsor and the Sponsor entered into the Sponsor Purchase Agreement, and on August 31, 2023, the Legacy Sponsor and the Sponsor consummated the Sponsor Handover. Pursuant to the terms of the Sponsor Purchase Agreement, at the Sponsor Handover: (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) Sponsor agreed to cause us to pay an aggregated amount of $300,000 in cash consideration upon closing of the business combination to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into the a joinder to the Registration Rights Agreement; (iv) the Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor; (v) all Prior Directors and Officers resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as our Chief Executive Officer and our Chief Financial Officer, respectively; and (vi) we entered into the an amendment to the Letter Agreement with the Legacy Sponsor, the Sponsor and the Prior Directors and Officers.

***Extension of the Business Combination Deadline***

We initially had until October 19, 2023, 24 months from the closing of the CDAQ IPO, to consummate our initial business combination.

On October 19, 2023, we held an extraordinary general meeting of shareholders to approve proposals to amend the CDAQ Memorandum and Articles to (i) extend the Business Combination Deadline from October 19, 2023 to July 19, 2024 and (ii) provide for the right of holders of CDAQ Class B Ordinary Shares to convert such shares into CDAQ Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a business combination at the election of the holders. In connection with the vote to approve these proposals, CDAQ Public Shareholders holding 16,045,860 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $169.1 million (approximately $10.54 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On July 18, 2024, we held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, a proposal to amend the CDAQ Memorandum and Articles to extend the Business Combination Deadline from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four times until April 19, 2025 (or such earlier date as determined by the Compass Board. In connection with this vote to approve the extension of the Business Combination Deadline, CDAQ Public Shareholders holding 2,713,143 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $29.6 million (approximately $10.92 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares.

On April 16, 2025, we held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders to approve, among other things, (i) a proposal to amend CDAQ Memorandum and Articles to extend the date by which CDAQ must consummate an initial business combination from April 19, 2025 to April 20, 2026 (or such earlier date as determined by the CDAQ Board), and (ii) to eliminate the redemption limitation. In connection with the vote to approve this proposal, CDAQ Public Shareholders holding 2,370,619 CDAQ Public Shares exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account. As a result, CDAQ removed approximately $26.7 million (approximately $11.52 per share) from the Trust Account to pay the redemption price for those CDAQ Public Shares, and 3,310,866 CDAQ Class A Ordinary Shares (including 110,866 CDAQ Public Shares) were issued and outstanding immediately following that redemption.

We may seek to further extend the Business Combination Deadline consistent with applicable laws and regulations by amending the CDAQ Memorandum and Articles. Such an amendment would require the approval of our CDAQ Public Shareholders, who will be provided the opportunity to redeem all or a portion of their CDAQ Public Shares in connection with the vote on such approval. Such redemptions will decrease the amount held in our Trust Account and our capitalization.

***Business Combination with KMC***

On January 6, 2026, CDAQ, Pubco, KMC, Purchaser Merger Sub and Company Merger Sub entered into the Merger Agreement. Pursuant to the Merger Agreement, (i) CDAQ will de-register from the Register of Companies in the Cayman Islands by way of continuation and re-register in the State of Delaware so as to re-domicile as and become a Delaware corporation, (ii) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity, and (iii) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity.

On February 5, 2026, the parties to the Merger Agreement entered into Amendment No. 1 to the Merger Agreement, which corrects a scrivener's error in the Merger Agreement to clarify that the aggregate Merger Consideration to be paid to holders of all of KMC's securities (including holders of in-the-money KMC Options and KMC Warrants) will be equal to $230.0 million.

For more information about the Merger Agreement and Ancillary Documents, please see the section entitled "*The Business Combination*." A copy of the Merger Agreement is attached to this proxy statement/prospectus as <u>Annex A</u>.

***Business Combination with EEW***

On September 5, 2024, we entered into a business combination agreement (the "<u>EEW Business Combination Agreement</u>") with EEW Renewables Ltd, a company formed under the laws of England and Wales ("<u>EEW</u>"), and other parties named therein.

On November 3, 2025, CDAQ received a notice from EEW purporting to terminate the EEW Business Combination Agreement pursuant to Sections 10.1(b) and 10.1(d) thereof. On November 6, 2025, CDAQ sent a written response to EEW disputing such termination, asserting, among other things, that the representations, warranties and covenants of CDAQ set forth in the EEW Business Combination Agreement purported by EEW in the Notice to have been breached by CDAQ either were not breached at all or were not breached at a level giving rise to a termination right, and that, in any event, EEW does not have the right to terminate the EEW Business Combination Agreement due to EEW's previous and continuing breaches of certain key covenants of the EEW Business Combination Agreement. Consequently, CDAQ believes that EEW's purported termination of the EEW Business Combination Agreement is invalid under the terms of the EEW Business Combination Agreement. On November 17, 2025, CDAQ sent EEW a letter terminating the EEW Business Combination Agreement, effective immediately, pursuant to Section 10.1(e) thereof, as a result of EEW's material uncured breaches of the EEW Business Combination Agreement. The letter further seeks compensation for the losses incurred by CDAQ and the Sponsor in connection with EEW's breaches of the EEW Business Combination Agreement. The termination of the EEW Business Combination Agreement shall have the effects set forth in Section 10.2 of the EEW Business Combination Agreement.

***Founder Share Conversion***

On October 19, 2023, following the approval of the Founder Share Amendment Proposal by our shareholders at the 2023 extraordinary general meeting, the Sponsor and Legacy Sponsor converted an aggregate of 600,000 Founder Shares on a one-for-one basis into CDAQ Class A Ordinary Shares (the "<u>2023 Founder Share Conversion</u>") and waived any right to receive funds from the Trust Account with respect to the CDAQ Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

On July 24, 2024, in connection with the 2024 extraordinary general meeting and the 2024 Redemptions, the Sponsor and Legacy Sponsor also converted an aggregate of 2,600,000 Founder Shares on a one-for-one basis into CDAQ Class A Ordinary Shares and waived any right to receive funds from the Trust Account with respect to the CDAQ Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

**Results of Operations**

Our entire activity from inception up to September 30, 2025, relates to our formation, the CDAQ IPO, the search for a target business and the consummation of an initial business combination, such as the Transactions with KMC. We will not be generating any operating revenues until the closing and completion of our initial business combination, at the earliest. We generate non-operating income in the form of interest income on cash and cash equivalents or investments from the proceeds derived from the CDAQ IPO and the CDAQ Private Placement, which are partially offset by operating expenses and related party administrative expenses. We incur increased expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

For the three months ended September 30, 2025, we had a net loss of $2,051,400, consisting of $2,062,698 in loss from operations, of which $162,547 were operating expenses, including $30,000 of administrative expenses with related party and a change in fair value of non-redemption liability of $1,870,151 offset by interest earned on cash held in the Trust Account of $11,298.

For the nine months ended September 30, 2025, we had a net loss of $2,948,789, consisting of $2,807,174 in loss from operations, of which $720,009 were operating expenses, including $90,000 of administrative expenses with related party and a change in fair value of non-redemption liability of $1,997,165 , and a change in fair value of derivative warrant liabilities of $476,488 offset by interest earned on cash held in the Trust Account of $334,873.

For the three months ended September 30, 2024, we had a net loss of $4,568,210, consisting of $4,944,155 loss from operations, all of which were operating expenses, including $30,000 of administrative expenses with related party, $4,076,270 in non-redemption expense and a change in fair value of derivative warrant liabilities of $13,103, offset by interest earned on cash held in the Trust Account of $389,048.

For the nine months ended September 30, 2024, we had a net loss of $4,205,940, consisting of $5,727,957 loss from operations, all of which were operating expenses, including $90,000 of administrative expenses with related party, $4,076,270 in non-redemption expense and a change in fair value of derivative warrant liabilities of $138,182, offset by interest earned on cash held in the Trust Account of $1,660,199.

For the year ended December 31, 2024, we had a net loss of $3,545,486, consisting of $5,942,936 loss from operations (of which $1,794,928 of operating expenses, including $120,000 of administrative expenses with related party, $4,028,008 in non-redemption expense), offset by change in fair value of derivative warrant liabilities of $469,341, and interest earned on cash held in the Trust Account of $1,928,109.

For the year ended December 31, 2023, we had net income of $4,386,322, consisting of $5,490,575 loss from operations, all consisting of operating expenses, including $120,000 administrative expense with related party and a non-redemption expense of $3,444,008, offset by a change in fair value of derivative warrant liabilities of $364,515, interest earned on cash held in the Trust Account of $8,914,159, gain on settlement of professional legal fees of $351,409 and gain on settlement of deferred underwriting fees of $246,814.

**Liquidity, Capital Resources and Going Concern**

As of September 30, 2025, we had $721 in our operating bank account and a working capital deficit of $2,897,140. To date, our liquidity needs have been satisfied through (i) a payment of $25,000 from the Legacy Sponsor to cover certain expenses on our behalf in exchange for the issuance of the Founder Shares, (ii) a loan of approximately $195,000 pursuant to the IPO Promissory Note issued to an affiliate of the Legacy Sponsor, (iii) the net proceeds from the consummation of the CDAQ Private Placement not held in the Trust Account, (iv) borrowings under the 2021 Promissory Note (as defined below), (v) the Polar Capital Investment and (vi) borrowings under the Sponsor Loan Note.

As of December 31, 2024, we had $27,720 in our operating bank account and working capital deficit of $2,081,881. To date, our liquidity needs have been satisfied through (i) a payment of $25,000 from the Legacy Sponsor to cover certain expenses on our behalf in exchange for the issuance of the Founder Shares, (ii) a loan of approximately $195,000 pursuant to the IPO Promissory Note issued to an affiliate of the Legacy Sponsor, (iii) the net proceeds from the consummation of the Private Placement not held in the Trust Account, (iv) borrowings under the an unsecured promissory note (the "<u>2021 Promissory Note</u>") in the principal amount of up to $1,000,000 to YAS International, LLC (d/b/a Gupta Capital Group), an affiliate of the Legacy Sponsor, (v) the Polar Capital Investment and (vi) borrowings under the Sponsor Loan Note.

***IPO Promissory Note***

Prior to the closing of the CDAQ IPO, an affiliate of the Legacy Sponsor loaned us approximately $195,000 pursuant to a promissory note for up to $250,000 (the "<u>IPO Promissory Note</u>"). Such loans and advances were non-interest bearing and payable on the earlier of December 31, 2021 or the completion of the CDAQ IPO. The loans of $195,000 were fully repaid upon the consummation of the CDAQ IPO on October 19, 2021. No additional borrowing is available under the IPO Promissory Note.

***Working Capital Loans***

In order to finance transaction costs in connection with a business combination, the Initial Shareholders, the Sponsors or an affiliate of the Initial Shareholders or Sponsors, or certain of our Prior Directors and Officers or current directors and officers may, but are not obligated to, provide us Working Capital Loans. Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of a business combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of a business combination into warrants at a price of $1.50 per warrant. Such warrants would be identical to the CDAQ Private Warrants. In the event that a business combination does not close, we may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans.

*2021 Promissory Note*

On December 30, 2021, we issued the 2021 Promissory Note, an unsecured promissory note in the principal amount of up to $1,000,000 to GCG, an affiliate of our Legacy Sponsor. The 2021 Promissory Note bears no interest and is repayable in full upon consummation of the initial business combination. GCG has the option to convert any unpaid balance of the 2021 Promissory Note into 2021 Note Warrants to purchase CDAQ Class A Ordinary Shares equal to the principal amount of the 2021 Promissory Note so converted divided by $1.50. The terms of any such 2021 Note Warrants will be identical to the terms of the CDAQ Private Warrants. As of September 30, 2025 and December 31, 2024, there was $125,000 outstanding on the 2021 Promissory Note.

*Sponsor Loan Note*

On November 21, 2024, we issued the Sponsor Loan Note in the aggregate principal amount of up to $2,500,000 to the Sponsor. The Sponsor Loan Note bears no interest and is repayable in full upon the earlier of (i) the date on which we consummate an initial business combination and (ii) the date of our liquidation. If, prior to the business combination, the principal balance of the Sponsor Loan Note has not been paid in full, then, at the Sponsor's option and subject to certain conditions, up to $1,375,000 of the unpaid principal amount of the Sponsor Loan Note may be converted into the 2024 Note Warrants to purchase CDAQ Class A Ordinary Shares at a conversion price of $1.50 per 2024 Note Warrant. The 2024 Note Warrants shall be identical to the CDAQ Private Warrants. The 2024 Note Warrants and their underlying securities are entitled to the registration rights set forth in the Sponsor Loan Note. As of September 30, 2025 and December 31, 2024, there was $1,635,872 and $1,115,000, respectively, outstanding under the Sponsor Loan Note.

***Polar Capital Investment***

On September 6, 2023, we entered into the Polar Subscription Agreement with Polar and the Sponsor, pursuant to which Polar agreed to make the Polar Capital Investment to us of up to $1,500,000. As of September 30, 2025 and December 31, 2024, we had drawn $1,250,000 and $500,000 under the Polar Capital Investment, respectively, that was fair valued at $227,273 and $90,909, respectively.

For more information on the Polar Subscription Agreement and Polar Capital Investment, see "— *Investor Subscription Agreement*" below.

***Demand Deposit Account Transfer***

On October 19, 2023, we instructed CST to liquidate the investments held in the Trust Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with CST continuing to act as trustee, until the earlier of the consummation of our initial business combination or our liquidation. As a result, following the liquidation of investments in the Trust Account, the remaining proceeds from the CDAQ IPO and CDAQ Private Placement are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

***Going Concern***

Based on the foregoing, management believes that the Company may not have sufficient working capital to meet its anticipated obligations through the earlier of the consummation of an initial business combination or one year from the date of the accompanying unaudited condensed financial statements. Over this period, the Company will be using these funds for paying existing accounts payable, operating costs, and completing our business combination.

In connection with the Company's assessment of going concern considerations in accordance with FASB ASC Subtopic 205-40 "Presentation of Financial Statements - Going Concern," the Company has until April 20, 2026 to consummate a business combination. It is uncertain that the Company will be able to consummate a business combination by this time and the Company lacks the financial resources it needs to sustain operations for a reasonable period of time, which is considered to be one year from the date of the accompanying unaudited condensed financial statements. If a business combination is not consummated by the Business Combination Deadline, there will be a mandatory liquidation and subsequent dissolution of the Company. The Company cannot provide any assurance that (i) new financing will be available to it on commercially acceptable terms, if at all, or (ii) that its plans to consummate an initial business combination will be successful. Management has determined that the liquidity condition and mandatory liquidation should a business combination not occur, and potential subsequent dissolution raises substantial doubt about the Company's ability to continue as a going concern. The accompanying unaudited condensed financial statements do not include any adjustments that might result from the Company's inability to continue as a going concern.

***Contractual Obligations***

*Administrative Services Agreement*

Commencing on October 14, 2021, and until completion of the Company's initial business combination or liquidation, the Company may reimburse the Sponsors up to an aggregate amount of $10,000 per month for office space and secretarial and administrative support pursuant to the Administrative Services Agreement. Per the Administrative Services Agreement, it is at the Company's option as to whether or not to pay this administrative fee. The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor on August 31, 2023, in connection with the Sponsor Handover. For the three and nine months ended September 30, 2025, the total administrative expenses were $30,000 and $90,000, respectively. There was $30,000 and $90,000 paid for the three and nine months ended September 30, 2024, respectively. As of September 30, 2025 and December 31, 2024, there was $250,000 and $160,000, respectively, accrued, but not paid.

*Registration Rights*

The holders of the Founder Shares, CDAQ Private Warrants and any 2021 Note Warrants and 2024 Note Warrants (and in each case holders of their underlying securities, as applicable) are entitled to registration rights pursuant to the Registration Rights Agreement, requiring us to register such securities for resale (in the case of the Founder Shares, only after conversion to our CDAQ Class A Ordinary Shares). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that we register such securities. In addition, the holders have certain "piggy-back" registration rights with respect to registration statements filed subsequent to the consummation of a business combination and rights to require us to register for resale such securities pursuant to Rule 415 under the Securities Act. We will bear the expenses incurred in connection with the filing of any such registration statements. On August 31, 2023, the Sponsor executed the Registration Rights Agreement Joinder in connection with the Sponsor Handover.

*Underwriting Agreement*

In connection with the CDAQ IPO, the underwriters were granted the over-allotment option to purchase up to 3,000,000 over-allotment units, if any. On November 30, 2021, the underwriters purchased an additional 1,240,488 over-allotment units pursuant to the partial exercise of the over-allotment option. The over-allotment units were sold at an offering price of $10.00 per over-allotment unit, generating aggregate additional gross proceeds of $12,404,880 to us.

The underwriters of the CDAQ IPO were entitled to a cash underwriting discount of 2.00% of the gross proceeds of the CDAQ IPO, or $4,000,000 (or $4,600,000 if the over-allotment option was exercised in full) pursuant to the terms of the underwriting agreement we entered into in connection with the CDAQ IPO (the "<u>Underwriting Agreement</u>"). In addition, the underwriters were entitled to a deferred fee of three and half percent (3.50%) of the gross proceeds of the CDAQ IPO, or $7,000,000 (or $8,050,000 if the over-allotment option was exercised in full). The deferred fees were to become payable to the underwriters from the amounts held in the Trust Account solely in the event that we complete a business combination, subject to the terms of the Underwriting Agreement.

On August 11, 2023 and August 14, 2023, we received formal confirmations from Citigroup Global Markets Inc. and J.P. Morgan Securities LLC, informing us of their decisions to waive any entitlement they may have to their deferred underwriting fees payable held in the Trust Account with respect to any business combination.

On August 11, 2023 and August 14, 2023, we received formal confirmations from Citigroup Global Markets Inc. and J.P. Morgan Securities LLC, informing us of their decisions to waive any entitlement they may have to their deferred underwriting fees payable held in the Trust Account with respect to any business combination.

*Investor Subscription Agreement*

On September 6, 2023, we entered into the Polar Subscription Agreement with the Sponsor and Polar, pursuant to which Polar agreed to fund up to $1,500,000 to us, subject to certain funding milestones. Once we have reached a defined milestone, upon on at least five (5) calendar days' prior written notice, the Sponsor may require a drawdown against Polar's capital commitment, a Polar Capital Investment, in order to meet the Sponsor's commitment to us under a drawdown request. As of September 30, 2025 and December 31, 2024, we had drawn $1,250,000, on the Polar Capital Investment that was fair valued at $227,273. The Polar Capital Investment will be repaid to Polar by us upon the closing of an initial business combination. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten dollars of the Polar Capital Investment. In the event we liquidate without consummating a business combination, any amounts remaining in our cash accounts (excluding the Trust Account) will be paid by us to Polar within five (5) calendar days of the liquidation, and such amounts will be the sole recourse for Polar.

*Letter Agreement*

Our Sponsors, former and current directors and officers have entered into by the Letter Agreement with us, pursuant to which, they have waived their rights to liquidating distributions from the Trust Account with respect to any Founder Shares held by them if we fail to complete our initial business combination by the Business Combination Deadline. However, if they acquire CDAQ Public Shares in or after the CDAQ IPO, they will be entitled to liquidating distributions from the Trust Account with respect to such CDAQ Public Shares if we fail to complete our initial business combination by the Business Combination Deadline.

Additionally, pursuant to the Letter Agreement, our Sponsors, former and current directors and officers will not propose any amendment to the CDAQ Memorandum and Articles (i) to modify the substance or timing of our obligation to allow redemption in connection with our initial business combination or to redeem 100% of our CDAQ Public Shares if we do not complete our initial business combination by the Business Combination Deadline or (ii) with respect to any other material provisions relating to shareholders' rights or pre- initial business combination activity, unless we provide our CDAQ Public Shareholders with the opportunity to redeem their CDAQ Public Shares upon approval of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to us to pay our taxes, divided by the number of then outstanding CDAQ Public Shares.

*Non-Redemption Agreements*

Between October 9, 2023 and October 19, 2023, we entered into the 2023 non-redemption agreements with the Sponsor and unaffiliated third-party investors in exchange for such investors agreeing not to redeem an aggregate of 4,998,734 CDAQ Public Shares in connection with the vote to approve the Charter Amendment Proposals at the 2023 EGM ("<u>Non-Redemption Agreements</u>"). In exchange for these commitments not to redeem such CDAQ Public Shares, the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the closing of a business combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer).

We estimated the aggregate fair value of the 749,810 Founder Shares attributable to such investors pursuant to the 2023 Non-Redemption Agreements to be $3,444,008 or on a weighted average of $4.59 per share, which is estimated by taking into consideration the estimated probability of the consummation of a business combination, estimated concessions and estimated cost of carrying charges to eliminate the investors' exposure to changes in the price of their Founder Shares. The fair value of the Founder Shares was determined to be an expense in accordance with SEC Staff Accounting Bulletin Topic 5T, "Accounting for Expenses or Liabilities Paid by Principal Stockholder(s)" (the "<u>SAB 5T</u>").

Between July 15, 2024 and July 18, 2024, the Company entered into agreements with the Sponsor and unaffiliated third-party investors exchange for such investors agreeing not to redeem an aggregate of 2,475,000 CDAQ Public Shares in connection with the vote to approve the 2024 Extension Amendment Proposal at the 2024 extraordinary general meeting. In exchange for these commitments not to redeem such CDAQ Public Shares, the Sponsor agreed to transfer to such investors an aggregate of (i) 412,498 Founder Shares for the first five (5) months of the extension of the Business Combination Deadline from July 19, 2024 to December 19, 2024 and (ii) 82,498 Founder Shares per month, for each month of the extension of the Business Combination Deadline from December 19, 2024 until April 19, 2025, as needed. The Founder Shares to be transferred to such investors pursuant to the 2024 Non-Redemption Agreements are held by the Sponsor and are to be transferred in connection with the closing of the business combination. In connection with its entry into the 2024 Non-Redemption Agreements, the Company agreed that, in the event of the liquidation of the Trust Account, it will only utilize up to $50,000 of funds from the accrued interest of the Trust Account to pay any dissolution expenses if it does not effect a business combination prior to the Business Combination Deadline. As of July 15, 2024, the Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,076,270, or approximately $5.49 per share on a weighted-average basis.

On May 8, 2025, the Company entered into a non-redemption agreement with the Sponsor and an unaffiliated, third-party investor in exchange for such investor agreeing not to redeem 100,000 CDAQ Public Shares in connection with the vote to approve the 2025 Extension Amendment Proposal at the 2025 extraordinary general meeting of shareholders. In exchange for the commitment not to redeem the 100,000 CDAQ Public Shares, the Sponsor agreed to transfer to such investor (i) 20,000 Founder Shares held by the Sponsor and (ii) if the initial business combination is not completed by October 19, 2025, an additional 20,000 Founder Shares held by the Sponsor. As of May 8, 2025, the Company estimated the aggregate fair value of these 40,000 Founder Shares at $223,000, or approximately $5.56 per share on a weighted-average basis. As of September 30, 2025, pursuant to the various non-redemption agreements, the Sponsor has agreed to transfer 782,490 CDAQ Class B Ordinary Shares to the Non-Redemption Investors on or promptly after the consummation of the business combination.

As of September 30, 2025 and December 31, 2024, the Company estimated the aggregate fair value of these 782,490 and 742,490 Founder Shares, respectively, at $6,025,173 and $4,028,008, or approximately $7.70 and $5.43 per share, respectively, on a weighted-average basis. The Company considered the estimated probability of the consummation of a business combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of those CDAQ Class B Ordinary Shares. The fair value of the CDAQ Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T and classified as a liability due to the variability in the number of Founder Shares to be transferred, depending on the timing of the business combination.

**Critical Accounting Estimates**

This section is based on our condensed financial statements and notes thereto contained elsewhere in this Registration Statement which have been prepared in accordance with GAAP. The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities in our financial statements. On an ongoing basis, we evaluate our estimates and judgments, including those related to fair value of financial instruments and accrued expenses. We base our estimates on historical experience, known trends and events and various other factors that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

***Emerging Growth Company***

We are an "emerging growth company," as defined in Section 2(a) of the Securities Act, as modified by the JOBS Act, and we may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in our periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. We have elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, we, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of our financial statements with another public company that is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

***Use of Estimates***

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates.

**Critical Accounting Policies**

We have identified the following as our critical accounting policies:

***Net Loss Per Ordinary Share***

We comply with accounting and disclosure requirements of FASB ASC Topic 260, "Earnings Per Share." We have two classes of CDAQ Ordinary Shares, CDAQ Class A Ordinary Shares and CDAQ Class B Ordinary Shares. Income is shared pro rata between the two classes of CDAQ Ordinary Shares. Net loss per Ordinary Share is calculated by dividing the net loss by the weighted average of CDAQ Ordinary Shares outstanding for the respective period. We did not consider the effect of the Warrants issued in connection with the CDAQ IPO and the CDAQ Private Placement to purchase an aggregate of 1,240,488 CDAQ Ordinary Shares in the calculation of diluted loss per share because their exercise is contingent upon future events. Accretion associated with the redeemable CDAQ Class A Ordinary Shares is excluded from earnings per share as the redemption value approximates fair value.

***Warrant Liability***

We account for Warrants as either equity-classified or liability-classified instruments based on an assessment of the Warrant's specific terms and applicable authoritative guidance in ASC 480 and FASB ASC Topic 815, "Derivatives and Hedging" ("<u>ASC 815</u>"). The assessment considers whether the Warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the Warrants meet all of the requirements for equity classification under ASC 815, including whether the Warrants are indexed to our own CDAQ Ordinary Shares, among other conditions for equity classification. This assessment, which requires the use of professional judgment, is conducted at the time of Warrant issuance and as of each subsequent quarterly period end date while the Warrants are outstanding.

For issued or modified Warrants that meet all of the criteria for equity classification, the Warrants are required to be recorded as a component of additional paid-in capital at the time of issuance. For issued or modified Warrants that do not meet all the criteria for equity classification, the Warrants are required to be recorded at their initial fair value on the date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the Warrants are recognized as a non-cash gain or loss on the unaudited condensed statements of operations of the financial statements contained elsewhere in this proxy statement/prospectus.

***CDAQ Class A Ordinary Shares Subject to Redemption***

We account for our CDAQ Ordinary Shares subject to possible redemption in accordance with the guidance in ASC 480. CDAQ Ordinary Shares subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally redeemable CDAQ Ordinary Shares (including CDAQ Ordinary Shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within our control) are classified as temporary equity. At all other times, CDAQ Ordinary Shares are classified as shareholders' deficit. Our CDAQ Ordinary Shares feature certain redemption rights that are considered to be outside of our control and subject to the occurrence of uncertain future events. Accordingly, CDAQ Ordinary Shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholders' deficit section of the unaudited condensed balance sheets of the financial statements contained elsewhere in this proxy statement/prospectus.

**INFORMATION RELATED TO KMC**

*Unless the context otherwise requires, all references in this section to "we," "us" or "our," the "Company," "Key Mining" or "KMC" refer to Key Mining Corp. and its subsidiaries after giving effect to the consummation of the Business Combination.*

**Explanations of Measurements**

In this section, units of measurements may be presented using United States or metric systems. Conversion rates from United States to metric systems and from metric to United States systems are provided in the tables below. All currency amounts in this proxy statement/prospectus are in United States dollars, unless otherwise indicated.

---

| | |
|:---|:---|
| **U.S. Unit** | **Equivalent Measure in Metric System** |
| 1 acre | 0.4047 hectares |
| 1 foot | 0.3048 meters |
| 1 mile | 1.609 kilometers |
| 1 ounce (troy) | 31.103 grams |
| 1 pound | 0.4536 kilograms |
| 1 ton | 0.907 tonnes (*i.e.,* "metric tons") |

---

---

| | |
|:---|:---|
| **Metric Unit** | **Equivalent Measure in U.S. System** |
| 1 hectare | 2.47 acres |
| 1 meter | 3.28 feet |
| 1 kilometer | 0.62 miles |
| 1 gram | 0.032 ounces (troy) |
| 1 kilogram | 2.2046 pounds |
| 1 tonne | 1.102 tons |

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**Glossary of Mining Terms**

"**Albitized Gabbro**" is gabbro with a mineral composition that was altered such that albite, a type of feldspar mineral, has become a dominant constituent.

"**Anatase**" means a crystalline mineral which is the most common naturally occurring form of TiO<sub>2</sub> but which is less stable at high temperatures than rutile.

"**BLM**" means the United States Bureau of Land Management.

"**Block Model**" means a three-dimensional representation of the distribution of mineralization within a deposit which can be based on information from various sources including drilling results, soil samples from the surface or shallow subsurface, analyses of geological features, and geophysical surveys using various non-invasive technologies.

"**Breccia**" means angular clasts of various sizes that have been cemented together. Breccia typically form where rocks are broken apart and later re-cemented in areas of limited movement, such as near a fault zone, a steep mountainside or a volcanic area.

"**Claim**" means a legal right allowing its holder to conduct certain activities relating to mineralization within a defined area. In Chile, there are two types of claims, referred to as "exploration" and "exploitation" claims, each of which is defined elsewhere in this Glossary of Terms. In the United States, claims generally apply to land owned by the U.S. federal government and exist under a system established under the General Mining Law of 1872; such U.S. claims are administered by the BLM although certain states may oversee mining activities within their borders to ensure compliance with state laws and regulations. U.S. claims generally grant the holder the right to explore for and conduct mining operations at the claim site. Mining rights with respect to privately owned land in the United States are typically conveyed by means of leases. The holder of a claim, whether in Chile or the United States, may be required to obtain various permits in connection with certain exploration and extraction activities and must comply with applicable environmental laws.

"**Clast**" means a fragment of rock that is distinct from the surrounding rock and that was broken, transported, and deposited by various geological processes including erosion, weathering, and sedimentation.

"**Copper Equivalent Cut-off Grade**" means the threshold grade, typically expressed as a percentage, used to determine which parts of a mineral deposit are economically viable for extraction, taking into account multiple metals present in the deposit. Because mineral deposits often contain more than one type of metal, each with a different market value, a copper-equivalent cut-off grade allows for the evaluation of the economic potential of a deposit by expressing all metals present in the deposit in terms of their value-equivalent copper content. For example, in applying a two-tenths of one percent (0.20%) copper-equivalent cut-off grade to the gold present in a deposit, the amount of gold in the deposit must contribute value equivalent to what would be derived from a pure copper deposit with a 0.20% copper grade.

"**Core Mapping**" means the detailed examination and documentation of core samples obtained from drilling to gain insights into subsurface geology and potential mineralization.

"**Core Sample**" see "Drill Core."

"**Cut-off Grade**" means a term used in S-K 1300 to describe the grade that determines the destination of the material during mining. For purposes of establishing "prospects of economic extraction," the cut-off grade is the grade that distinguishes material deemed to have no economic value (it will not be mined in underground mining or if mined in surface mining, its destination will be the waste dump) from material deemed to have economic value (its ultimate destination during mining will be a processing facility).

"**Deposit**" means an accumulation of minerals.

"**Development Stage Property**" means a term used in S-K 1300 to describe a property that has mineral reserves disclosed but no material extraction.

"**Diamond Drilling**" means drilling a core sample with a drill bit that has industrial diamonds embedded in its cutting edge. Diamond drilling is considered a relatively accurate and reliable method for extracting core samples.

"**Dioxide**" means an oxide compound that contains two oxygen atoms. In mining, "dioxide" refers to mineralized rock in which some of the minerals, for example titanium, have combined with two oxygen atoms.

"**Drill Core**" means a cylindrical rock sample obtained by using a drilling tool that cuts a cylindrical core of rock from the subsurface.

"**Exploitation Claim**" (*concesión de explotación*) means a claim granted by the State of Chile to convey the exclusive right to establish mining operations and extract minerals for commercial purposes within a designated area. Exploitation claims do not have an expiration term, and their owners are required to pay an annual license fee in order to maintain their validity.

"**Exploration Claim**" (*concesión de exploración*) means a claim granted by the State of Chile to convey the exclusive right to explore for mineral resources within a designated area during a term of four years, upon the expiration of which its holder may apply for another term of four years (for which the holder must submit evidence of exploration work) or for an Exploitation Claim, in either case with respect to the original claim area.

"**Exploration Stage Property**" means a term used in S-K 1300 to describe a property that has no mineral reserves disclosed.

"**Feasibility Study**" means a term used in S-K 1300 to describe a comprehensive technical and economic study of the selected development option for a mineral project, which includes detailed assessments of all applicable modifying factors, as defined by S-K 1300, together with any other relevant operational factors, and detailed financial analysis that are necessary to demonstrate, at the time of reporting, that extraction is economically viable. The results of the study may serve as the basis for a final decision by a proponent or financial institution to proceed with, or finance, the development of the project.

"**Feedstock**" means material used as an input for an industrial process including the process of refining for metals and minerals. In refining for titanium dioxide, common feedstocks are the minerals ilmenite and rutile, and to a lesser extent anatase, as well as leucoxene containing altered forms of the foregoing minerals. In refining for copper, common feedstocks are copper sulfide minerals such as chalcopyrite which is typically found in igneous rocks.

"**Feldspar**" means a group of rock-forming minerals that make up a significant portion of the Earth's crust and that have an important role in the formation of many types of rocks, including igneous, metamorphic, and sedimentary rocks.

"**Formation**" means, in the context of geology or mining terms, a distinct layer of sedimentary or volcanic rock with similar physical, visual and other characteristics.

"**Gabbro**" is a coarse-grained, dark-colored, intrusive igneous rock.

"**Grade**" means the concentration of metal contained in mineralized material, which is often expressed in pounds per ton or kilograms per tonne for non-precious metals and in ounces per ton or grams per tonne for precious metals; "grade" is sometimes also expressed as a percentage which indicates the percentage that the weight of the metal content represents of the total weight of the mineralized material.

"**Granite**" means a common type of intrusive igneous rock, composed mainly of minerals like feldspar, that forms underground as magma cools and solidifies, leading to the formation of large mineral crystals within the rock.

"**Hornfels**" means fine-grained rock that has undergone mineralogical and textural changes as a result of contact metamorphism (*i.e.,* the exposure of rocks to high temperatures and low pressures from a nearby heat source such as magma or lava).

"**Igneous Rock**" means rock formed from the cooling and solidification of magma.

"**Ilmenite**" means a mineral composed of iron titanium oxide (FeTiO<sub>3</sub>). Ilmenite is a significant source of titanium.

"**Indicated Mineral Resource**" means a term used in S-K 1300 to describe that part of a mineral resource for which quantity and grade or quality are estimated on the basis of adequate geological evidence and sampling. The level of geological certainty associated with an indicated mineral resource is sufficient to allow a qualified person to apply modifying factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. Because an indicated mineral resource has a lower level of confidence than the level of confidence of a measured mineral resource, an indicated mineral resource may only be converted to a probable mineral reserve.

"**Inferred Mineral Resource**" means a term used in S-K 1300 to describe that part of a mineral resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. The level of geological uncertainty associated with an inferred mineral resource is too high to apply relevant technical and economic factors likely to influence the prospects of economic extraction in a manner useful for evaluation of economic viability. Because an inferred mineral resource has the lowest level of geological confidence of all mineral resources, which prevents the application of the modifying factors in a manner useful for evaluation of economic viability, an inferred mineral resource may not be considered when assessing the economic viability of a mining project, and may not be converted to a mineral reserve.

"**Intrusion**" means a type of igneous rock formation within the Earth's crust that results from the injection of magma into pre-existing rock. As the magma cools it solidifies to form a new rock body which is referred to as an intrusion.

"**Lava**" means magma that has erupted onto the Earth's surface.

"**Lode Mining Claim**" means a mining claim in the United States that grants the holder the right to explore for and extract minerals contained in a lode within the boundaries of the markers staked to establish the claim.

"**Lode**" means a mineral deposit within a hard rock formation.

"**Magma**" means molten (*i.e.,* in a hot, liquid state) rock beneath the Earth's surface.

**"Measured Mineral Resource**" means a term used in S-K 1300 to describe that part of a mineral resource for which quantity and grade or quality are estimated on the basis of conclusive geological evidence and sampling. The level of geological certainty associated with a measured mineral resource is sufficient to allow a qualified person to apply modifying factors, as defined in S-K 1300, in sufficient detail to support detailed mine planning and final evaluation of the economic viability of the deposit. Because a measured mineral resource has a higher level of confidence than the level of confidence of either an indicated mineral resource or an inferred mineral resource, a measured mineral resource may be converted to a proven mineral reserve or to a probable mineral reserve.

"**Metamorphic Rock**" means a type of rock resulting from a geological transformation (which typically occurs over time deep within the Earth's crust and may be due to changes in temperature or pressure and/or from chemically active fluids) from a pre-existing rock (which may have been sedimentary, igneous, or other metamorphic rock) into new rock with a different mineral composition, texture, and/or structure.

"**Mineralization**" means the concentration of metals within a body of rock or the process by which such concentration occurs.

**"Mineral Reserve**" means a term used in S-K 1300 to describe an estimate of tonnage and grade or quality of indicated and measured mineral resources that, in the opinion of a qualified person, can be the basis of an economically viable project. More specifically, it is the economically mineable part of a measured or indicated mineral resource, which includes diluting materials and allowances for losses that may occur when the material is mined or extracted.

"**Mineral Resource**" means a term used in S-K 1300 to describe a concentration or occurrence of material of economic interest in or on the Earth's crust in such form, grade or quality, and quantity that there are reasonable prospects for economic extraction. A mineral resource is a reasonable estimate of mineralization, taking into account relevant factors such as cut-off grade, likely mining dimensions, location or continuity, that, with the assumed and justifiable technical and economic conditions, is likely to, in whole or in part, become economically extractable. It is not merely an inventory of all mineralization drilled or sampled.

"**Mining**" means the extraction of valuable geological materials from the Earth.

"**NSR Royalty**" means a royalty paid in respect of the net smelter return derived from a resource extraction operation; a net smelter return is typically determined as the gross revenue from the operation, less applicable processing, transportation, insurance, and other agreed upon costs.

"**Open Pit**" means a mine excavation open to the surface.

"**Open Stope**" means a mining method whereby the ore body is accessed through a network of dugout underground spaces (sometimes referred to as stopes) often in a series of horizontal levels that may vary in size and shape depending on the ore geometry and other factors, with the ore loosened by various methods including drilling, blasting, or mechanical excavation, and the broken ore transported to the surface for processing. After ore extraction, open stopes may be filled with waste material or a combination of waste and cement to help provide stability to the underground operations

"**Outcrop**" means that part of a geologic formation or structure that appears at the surface of the earth.

"**Patented Mining Claim**" means a mining claim in which the land is owned by the claim holder.

"**Pluton**" means a large, irregularly shaped and relatively deep igneous rock body formed by an intrusion.

"**Porphyry Deposits**" means, in the context of copper resources or reserves, large-tonnage, low-grade, hydrothermal copper sulfide occurrences that are distinguished by very large volumes of altered rock and that are found within porphyritic intrusions or breccia formation.

"**PPM**" means parts per million, or the number of units of a substance present in every million units of a sample such as a soil or rock sample. PPM may be expressed as milligrams per kilogram (mg/kg) or grams per ton (g/t), depending on the mass of the sample being analyzed.

"**Pre-Feasibility Study**" means a term used in S-K 1300 to describe a comprehensive study of a range of options for the technical and economic viability of a mineral project that has advanced to a stage where a qualified person has determined (in the case of underground mining) a preferred mining method, or (in the case of surface mining) a pit configuration, and in all cases has determined an effective method of mineral processing and an effective plan to sell the product.

"**Probable Mineral Reserves**" means a term used in S-K 1300 to describe the economically mineable part of an indicated and, in some cases, a measured mineral resource.

"**Production Stage**" means a term used in S-K 1300 to describe (i) in the context of a mineral property, a property with material extraction of mineral reserves and (ii) in the context of an issuer of securities (such as common stock), an issuer that is engaged in material extraction of mineral reserves on at least one material property.

"**Proven Mineral Reserves**" means a term used in S-K 1300 to describe the economically mineable part of a measured mineral resource and can only result from conversion of a measured mineral resource.

"**Qualified Person**" or "**QP**" means a term used in S-K 1300 to describe an individual who (1) is a mineral industry professional with at least five years of relevant experience in the type of mineralization and type of deposit under consideration and in the specific type of activity that person is undertaking on behalf of us; and (2) is an eligible member or licensee in good standing of a recognized professional organization that meets certain criteria specified under S-K 1300.

"**RDA**" means Resource Development Associates, Inc., a third-party firm that employs a professional geologist whose education and experience satisfy the requirements of a qualified person and who prepared the Cerro Blanco Technical Report Summary.

"**Reclamation**" means the process of returning land to another use after mining is completed.

"**Recovery**" means that portion (usually expressed as a percentage) of the metal contained in mineralized material that is successfully extracted by processing.

"**RC Drilling**" means a drilling technique (also known as "reverse circulation drilling") where the drill cuttings are combined with air or a mixture of air and water that is sent down the outer space of the drill pipe and then brought to the surface through the inner space of the drill pipe.

"**Rutile**" is a crystalline mineral which is a naturally occurring form of TiO₂. Rutile often occurs in igneous rocks such as granite and gabbro. When found in nature, rutile often contains other substances, such as iron, niobium, tantalum, vanadium, tungsten or tin, which must be processed out to derive a commercially high-grade titanium dioxide usable in various industrial applications.

"**Sampling**" means selecting a fractional part of a mineral deposit for analysis.

"**Sediment**" means solid fragmental material that originates from weathering of rocks and is transported or deposited by air, water, or ice, or that accumulates by other natural agents, such as chemical precipitation from solution or secretion by organisms, and that forms in layers on the earth's surface at ordinary temperatures in a loose, unconsolidated form.

"**Sedimentary**" means formed by the deposition of sediment.

"**S-K 1300**" means subpart 1300 of Regulation S-K, promulgated by the U.S. Securities and Exchange Commission, which sets forth the rules and regulations for disclosure by registrants engaged in the mining industry.

"**Silicate Mineral**" means a compound that contains silicon and oxygen as its basic building blocks, and also contains a metal such as aluminum, iron, magnesium, calcium, sodium, or potassium.

"**Skarn**" means a coarse-grained metamorphic rock composed of calcium-iron-magnesium-manganese-aluminum silicate minerals that typically form by the replacement of carbonate-bearing rock in connection with magmatic hydrothermal activity.

"**Sphene**" means a calcium-titanium silicate mineral (also known as "titanite") that is a relatively rare but significant accessory mineral in a variety of rock types, including igneous, metamorphic, and some sedimentary rocks.

"**Sulfide**" means a compound of sulfur and a metallic element or elements.

"**Tailings**" means waste materials that remain from a mining operation after the desired minerals or metals are extracted from mineralized material. Tailings may include potentially harmful chemicals, and to avoid contamination of nearby soil and water tailings are sometimes stored in tailings ponds where, through evaporation and other methods, the water content of the tailings is reduced to make disposal safer.

"**Trenching**" means a preliminary exploration technique in which shallow trenches are cut in the Earth's surface to expose and examine subsurface geological features, mineralization, or rock formations.

"**Unpatented Lode Mining Claim**" means a Lode Mining Claim in which the land is not owned by the claim holder but remains under federal or state ownership.

"**Volcanic rock**" means rock formed from magma that erupted and cooled on the Earth's surface or shallow subsurface.

"**Waste**" means rock lacking sufficient grade and/or other characteristics of a desired metal or mineral.

**Overview**

KMC is a global critical minerals and infrastructure company with a portfolio of exploration-stage mineral project and a permitted regional water desalination project. The Company's flagship assets are the Cerro Blanco Project, comprised of a rutile project, from which high grade titanium dioxide (TiO<sub>2</sub>) can be processed and the permitted water desalination plant (with the maritime concession currently in the granting stage) that is being developed and positioned to supply water to regional mining, agricultural and community users, including the Titanium Project. Each of the Titanium Project and the Water Desalination Project are in the Atacama Region (also known as Region III) of the Republic of Chile.

Our principal executive offices are located at 701 Brickell Avenue, Suite 1550, Miami, Florida 33131. The offices of our two subsidiaries in Chile are located at Alonso de Monroy 2677, Suite 602A, Vitacura, Santiago, Chile 630713. Our website address is *https://keyminingcorp.com.* Information on or accessible through our website is not a part of this proxy statement/prospectus.

Our corporate structure is shown in the following diagram:

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**Corporate History**

We were incorporated on February 18, 2020 in Delaware under the name Tavros Gold Corp. On July 17, 2020, February 22, 2021, April 5, 2021 and August 8, 2023, we filed certificates of amendment to our certificate of incorporation changing our corporate name to TiO2 Minerals Corp., CopperEx Corp., Key Metals Corp. and Key Mining Corp., respectively.

On June 17, 2021, we formed Key Metals Corporation Chile SpA, a Chilean sociedad por acciones (i.e., a "company by shares") ("KM Chile"), in the Republic of Chile. On May 1, 2023, we entered into a Share Purchase Agreement, (the "GEM Purchase Agreement") with Gold Express Mines, Inc. ("GEM Nevada"), pursuant to which we agreed to purchase from GEM Nevada all of the issued and outstanding shares (the "CBT Shares") of Cerro Blanco Titanium, Inc., a Delaware corporation ("CBT"). At the time of consummation of the share purchase transaction under the GEM Purchase Agreement, CBT owned all of the issued and outstanding capital stock of Gold Express Mines SpA ("GEM Chile") which owns the mineral claims and other assets (including physical and electronic data, the rights to a physical drill core, a buyout right on a net smelter royalty, and miscellaneous geological, mining and metallurgical reports) that comprise the Cerro Blanco Project. In consideration for the CBT Shares, we issued to GEM Nevada 17.5 million shares of our common stock equivalent to approximately $2.4 million in value. See "*Certain Relationships and Related Party Transactions*." For additional information regarding the Cerro Blanco Project, see "— *Business — Our Mineral Projects*" and "— *Properties — Cerro Blanco Project*." Following our acquisition of the CBT shares, we simplified our corporate structure through an internal transaction whereby, effective May 9, 2023, CBT transferred all the outstanding shares of GEM Chile to us. As a result of that internal transaction, GEM Chile is our direct wholly owned subsidiary and CBT was dissolved.

**Our Business Strategy** 

Our business strategy is focused on the exploration, development, and acquisition of high value critical mineral assets across Chile, the United States, and select countries globally. We are also currently focused on the development of the substantially permitted water desalination plant (with the maritime concession currently in the granting stage) as core infrastructure to supply water to regional mining, agricultural and community users in northern Chile, including the Titanium Project.

We intend to build KMC as a diversified critical minerals and infrastructure platform anchored by the Cerro Blanco Project while advancing our Arizona copper-target exploration project, the Fire Copper Project. KMC also intends to acquire additional critical minerals, including rare earth element (REE) projects, in the United States and other international jurisdictions in the future. The Cerro Blanco Titanium Project and the associated Water Desalination Project are expected to remain KMC's flagship assets, providing long-term exposure to rutile-based titanium dioxide markets and contracted water-infrastructure in a tier-one mining jurisdiction. Complementing this Chilean core, KMC's Fire Copper Project, a greenfield target in Arizona expands the Company's exposure to critical minerals (copper) important for energy transition and advanced technologies.

The Titanium Project has an emphasis on rutile from which high grade titanium dioxide (TiO<sub>2</sub>) can be processed. The Water Desalination Project is designed to meet water needs of the Titanium Project and other regional water needs driven by mining and agriculture in the Atacama Desert, one of the driest non-polar deserts in the world. The Water Desalination Project is strategically positioned near the coast to supply water to regional mining, agricultural and community users, including the Cerro Blanco Titanium Project via long-distance pipelines and established power transmission routes. The Water Desalination Project has the required, fully approved EIS permit and secured easements for the necessary infrastructure under the existing EIS granted for the Titanium Project.

The Cerro Blanco Project is located in the Atacama Region (also known as Region III) of the Republic of Chile which is a highly active mining area with a mining specific labor force. We believe that Chile is a political cornerstone of South America, one of the most industrialized countries in Latin America and a suitable location for end-producers in North America. We believe that Chile has favorable mining policies. Furthermore, we believe that Chile is an established, well-functioning democracy with a free and fair election process. Moreover, according to Ernst & Young's Chile's mining and metals investment guide 2023, mining is one of the main drivers of Chile's economic activity, contributing an average of 10% of the country's jobs and 10.4% to Chile's gross domestic product over the last 10 years. Chile's presidential election resulted in the appointment of José Antonio Kast on December 14, 2025. President-elect Kast brings forward a pro-mining platform emphasizing regulatory streamlining, fiscal stability, and ongoing support for investment in strategic sectors such as copper, lithium, and industrial minerals. CNN, "Chile elects Kast as president, deepening regional shift to law-and-order politics," December 14, 2025, available at https://www.cnn.com/2025/12/14/americas/chile-election-kast-latam-intl

To execute our business strategy, we will require substantial additional financial resources. We intend to seek the necessary additional financing through the issuance of additional equity or debt securities, but there can be no assurance that such financing will be available to us in sufficient amounts, on attractive terms, on a timely basis, or at all. See "*Risk Factors — Risks Related to KMC's Financial Position and Capital Needs — KMC will require substantial additional capital to explore and/or develop the Cerro Blanco Project and KMC may be unable to raise additional capital on favorable terms or at all*."

We consider the focus of our business strategy to be justified because we believe the long-term prospects for the titanium dioxide market is strong, as described in more detail below.

**General**

We believe demand for titanium dioxide will be influenced by such factors as global economic conditions, geopolitical events, trade policies, the availability of raw materials, and technological innovations. Any significant changes in one or more of these factors could materially change future demand and prices for titanium dioxide.

**Critical Minerals Industry Overview** 

**Government Policy Support**

Several international organizations and government agencies, including the US Geological Survey (USGS), identify titanium and copper as critical minerals essential to national security, economic competitiveness and the clean energy transition. These materials are characterized by significant strategic importance, concentrated and vulnerable supply chains, and accelerating demand across defense, aerospace, electrification and advanced manufacturing sectors.

Recognition of critical mineral supply risks has driven substantial government policy initiatives, particularly in the United States. The American Energy Innovation Act of 2020 supports responsible domestic production of critical minerals and expands federal research into extraction, processing and recycling technologies relevant to these supply chains. In 2025, President Trump issued Executive Orders 14241, 14156 and 14154 directing immediate measures to increase American mineral production, expand domestic exploration and processing capacity, and establish the National Energy Dominance Council to accelerate federal permitting for critical mineral projects. Earlier, the Inflation Reduction Act (2022) established targeted tax credits, grants and procurement incentives to boost domestic US production, processing and recycling of critical minerals, while the United States' Critical Minerals Strategy (2024) outlined a comprehensive national plan to secure reliable supplies and reduce dependence on foreign sources. For this reason, the United States will be a key jurisdiction we intend to expand into as the Company expands its asset base in the future.

**Market Scale and Growth Drivers**

The broader global critical minerals market is experiencing substantial structural growth. According to DataM Intelligence, the critical minerals market was valued at approximately $328 billion in 2024 and is projected to reach $587 billion by 2032, representing a compound annual growth rate of 7.5%. This expansion is driven by multiple demands: (i) energy storage and battery technologies (expected demand growth of 96%), (ii) electric vehicles (expected demand growth of 91%), (iii) semiconductors and high-purity electronics, (iv) aerospace and defense alloys, and (v) industrial applications including magnets for renewable energy systems.

**Supply Chain Concentration and Geopolitical Risk**

Production of critical minerals is heavily concentrated among a small number of countries and operators. As of 2024, China accounts for approximately 69% of global rare earth element production, with reserves similarly concentrated, creating significant supply chain vulnerability and pricing risk for Western manufacturers and defense-industrial bases. This geographic concentration, combined with limited reserves and few major producing regions, has prompted governments across North America, Europe and Asia to pursue explicit strategies to diversify supply and increase domestic production of critical minerals.

**KMC's Positioned Exposure to Critical Minerals**

KMC's titanium and copper portfolio is strategically positioned to benefit from this structural demand environment. The Cerro Blanco Titanium Project targets rutile-bearing titanium dioxide mineralization, identified as a critical mineral by the US Department of the Interior due to its essential role in aerospace alloys, defense systems and advanced manufacturing, combined with a structural supply-demand gap in the natural rutile market. The Fire Copper Project in Arizona provides optionality to copper, a foundational metal for grid electrification and energy transition infrastructure.

Management believes that KMC's exposure to titanium through its Chilean titanium project is supported by free trade agreements with Chile that facilitate duty-free access for mineral products, established mining frameworks in Chile, and increasing corporate and geopolitical demand for supply-chain security. The Company's greenfield copper project located in Arizona is supported by favorable policy in the United States. Collectively, these critical minerals combined with their jurisdictions enhance the Company's ability to participate in the expected long-term growth of global critical mineral demand.

**The Market for Titanium Dioxide (TiO<sub>2</sub>)**

Rutile can form as a result of various geologic or chemical processes, and natural rutile may contain impurities such as iron, silica, niobium, tantalum and tin. End users often require supplies of purchased rutile to contain at least 94% titanium dioxide. Compared to other naturally occurring forms of TiO<sub>2</sub>, rutile has the highest TiO<sub>2</sub> content, typically above 90%. As a result, natural rutile is the preferred feedstock in manufacturing titanium pigment and producing titanium metal.

Titanium dioxide is a white inorganic compound that is highly reflective, has a very high melting point, is insoluble in water and is considered non-toxic within certain parameters. As a result of these unique qualities, titanium dioxide has numerous commercial uses to increase brightness, durability and/or opaqueness, including as an ingredient in paints and other coatings, plastics, cosmetics, ceramics, paper, printing ink, welding materials, and certain textiles. We expect that the rutile we may extract and process from the Cerro Blanco Project would generally be sold as a TiO<sub>2</sub> feedstock to end users in the coatings and other industries mentioned above. The following chart from S&P Global Market Intelligence indicates that Cerro Blanco contains one of the top 10 rutile deposits in the world:

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Derived from the online article "Ukraine war elevates rutile price amid tight market, multiyear drilling high" dated July 27, 2022 (*https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/ukraine-war-elevates-rutile-price-amid-tight-market-multiyear-drilling-high-71249966*) which cites S&P Global Market Intelligence, July 2022, as the source of the table. Please note that our wholly owned subsidiary GEM Chile now owns all the Cerro Blanco claims attributed in the table to Future Science Holdings Inc.

We believe that the demand for titanium dioxide in these industries is likely to increase in the long term due to, among other things, construction activity as the global economy continues to develop, urbanize and industrialize, increasing emphasis on lightweight and durable coatings in the automotive industry, and greater consumer attention to cosmetics in emerging economies.

Titanium dioxide is also used to produce titanium in its metal form. Because it easily combines with other elements, titanium usually occurs in nature in combination with other substances which often include oxygen, rather than as the pure metal. The most common minerals containing titanium are ilmenite, rutile, and titanite (also referred to as sphene). Titanium, a chemical element with the symbol *Ti* on the periodic table, has a variety of industrial uses due to its high strength-to-weight ratio, resistance to corrosion and heat, and biocompatibility. For example, titanium metal is used in the aerospace industry in aircraft structures and components, in the defense sector in military aircraft, naval vessels, and armor systems, in the automotive industry in various components where manufacturers seek to use lightweight materials to improve fuel efficiency and reduce emissions, and in the medical industry in implants and other devices. We believe that the demand for titanium metal is likely to increase in the long term due to a growing emphasis on lightweight materials for vehicles, the demand for biocompatible implants for an aging global population, projected growth in air travel, and advances in aerospace and military technologies utilizing strong and lightweight components. According to a report by the European Union, titanium is considered a critical raw material due to its scarcity, China-controlled supply chains and requirement for decarbonization of the global economy as part of the green energy transition (European Commission, Critical Raw Materials for Strategic Technologies and Sectors in the EU: A Second Foresight Study, 2023).

According to Maia Research, a private consulting firm, global titanium feedstock consumption is approximately 9.5 million tons on an annual basis, of which the majority is consumed by the pigment industry. The high-grade titanium feedstock market consumes on an annual basis approximately 2.8 million tons of contained titanium with strong demand driven from the pigment and metal industries (Maia Research, Global Nature Rutile Market Research Report, November 2025).

According to Maia Research, there have been no discoveries of major rutile deposits in over 50 years, two major western mines are expected to cease production in the next few years, and no significant projects are expected to come online in the near term. While Jacinth-Ambrosia by Iluka Resources in South Australia (discovered in 2004) produces some rutile, it mainly produces Zircon (Maia Research, Global Nature Rutile Market Research Report, November 2025). As a result, market analysts forecast limited supplies and higher prices for TiO<sub>2</sub> in the future. Based on these factors, we believe that the titanium industry is moving towards processing "dirtier" sources of feedstock (such as ilmenite, titanium slag and synthetic rutile), and that the rutile market will continue to be strong.

The following chart presents forecasted international supply and demand for natural rutile (Ti0<sub>2</sub>).

**Source: Maia Research, Global Nature Rutile Market Research Report, November 2025.**

The following table shows the average price per ton for rutile during the three years ending 2025, according to Maia Research.

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| | |
|:---|:---|
| **Rutile Prices ($U.S.) per Ton** | **Rutile Prices ($U.S.) per Ton** |
| **Time Period** | **Average Price (US$/ton)** |
| 2023 | 1486 |
| 2024 | 1410 |
| 2025 | 1469 |

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**Source: Maia Research, Global Nature Rutile Market Research Report, November 2025**.

The following chart produced by Maia sets forth the top four titanium producing countries in the world in 2024 (in 1,000 metric tonnes):

**TOP FOUR GLOBAL PRODUCERS OF TITANIUM**

**Source: Maia Research, Global Nature Rutile Market Research Report, November 2025**.

*Laws and Regulations*

Chile

Because the Cerro Blanco Project is located in the Republic of Chile, our operations at such project will be subject to Chilean laws and regulations, including those relating to mining. The principal sources of such Chilean laws and regulations include the Constitution of the Republic of Chile, Chile's Organic Constitutional Law on Mining Concessions, and Chile's Mining Code (and the regulations existing thereunder). Chile's laws and regulations pertaining to water rights and environmental protection are also applicable to mining companies.

Chile's mining laws grant to the State exclusive ownership and control of all mineral deposits in the country. However, any person (including any Chilean or foreign individual or legal entity) can acquire rights, as to specified areas, to explore for or mine all mineral deposits except oil, gas, lithium, uranium, and thorium which are reserved for the State. In this proxy statement we refer to any such right as a "claim" (although under Chilean law the term "concession" is typically used). Such rights are granted by local courts as either "exploration" claims or "exploitation" claims. An exploration claim is valid for a period of four years after it is granted by the Court, subject to payment of an annual maintenance fee. Before the end of the four-year period, the holder may either (i) request a single renewal period of four years by furnishing evidence that it has conducted exploration work in the area, or (ii) apply to convert the claim to an exploitation claim. An exploitation claim has an indefinite duration subject to payment of an annual maintenance fee. Mining claims provide the owner with the right to use water at the claim site for mining operations, and the right to defend the claim against the state and other third parties. The holder of a mining claim must obtain from the landowner access to the area required to conduct mining activities. Where the holder of the claim and landowner don't reach an agreement, or when the landowner is the State, as is the case with certain of the Cerro Blanco claims, the claim holder may bring suit against the landowner in order to obtain a mining easement, and in the suit the judge will, based on the arguments made by the parties and expert reports, establish a compensation for the use of the land. Where the landowner is a private party, as is the case with certain of the Cerro Blanco claims, the claim holder negotiates an easement directly with the private owner, provided that if the negotiations are unsuccessful, the local court may grant the easement on terms determined to be reasonable. The claim holder must indemnify the landowner for damage caused by any exploration and mining activities and must remediate environmental harm caused by such activities.

Based on a survey of mining industry participants for 2022 by the Fraser Institute, a widely recognized non-partisan research and educational organization based in Canada, Chile ranked 35<sup>th</sup> out of 62 jurisdictions for mining investment attractiveness, 38<sup>th</sup> out of 62 jurisdictions on its index for policy perception, and 26<sup>th</sup> out of 47 jurisdictions on its index for best practices mineral potential. See "*Risk Factors — Risks Related to KMC's Operations in the Republic of Chile*."

The principal environmental laws applicable to Chilean mining projects are (a) Law No. 19,300 (the Environmental Framework Law), (b) Law No. 20,417, which created the Ministry for the Environment, the Environmental Assessment Service ("*<u>Servicio de Evaluación Ambiental</u>*" or "<u>SEA</u>") and the Superintendence of the Environment ("*<u>Superintendencia del Medio Ambiente</u>*" or "<u>SMA</u>"), and (c) Supreme Decree No. 40/2012 which administers the Regulation of the Environmental Impact Assessment System ("*<u>Sistema de Evaluación de Impacto Ambiental</u>*" or "<u>SEIA</u>"). Under the foregoing system of laws and regulations, certain exploration activities, and most mining activities, require prior approval from the SEA based on an assessment of potential environmental impacts under SEIA regulations. Our expected level of exploration activities will be below applicable thresholds and are not within environmentally protected areas, and therefore we do not expect to be subject to such review at this time. For any drilling we may conduct pursuant to our exploration plans, we expect to obtain the necessary drilling rights by filing notices regarding the commencement of exploration activities with the National Geology and Mining Service ("<u>Servicio Nacional de Geología y Minería</u>" or "<u>SERNAGEOMIN</u>"). However, before we commence mining operations at the Cerro Blanco Project, it will be necessary for us to file a detailed environmental impact study (EIS) with respect to such operations and obtain approval of the EIS from the SEA. See "— *Properties — Cerro Blanco Project — Environmental Matters and Permitting*."

If our future activities generate taxable income in Chile, our subsidiaries in Chile will be subject to a 27% national corporate income tax applicable to most companies in Chile.

Mining operators in Chile may also be subject to additional mining taxes (Mining Taxes) that can vary based on the operator's level of annual mining revenue and the equivalent sales value of metric tons of fine copper (MTFC). One threshold for these taxes is 50,000 MTFC which, based on the average COMEX price for the first quarter of 2023, equates to approximately $439 million in annual sales. These Mining Taxes include:

● A profits tax on mining operators with annual mining revenue of more than 12,000 MTFC. This tax ranges from 0.4% to 26% depending on the operator's annual MTFC and profit margin.

● An *ad valorem* tax of 1% of annual mining revenue on mining operators with annual mining revenue of more than 50,000 MTFC.

However, the potential combined overall burden for Mining Taxes on mining operators (including (i) the corporate income tax (which is currently 27% of corporate taxable income), and (ii) a hypothetical dividend withholding tax equivalent to a value which, including the corporate income tax described under item (i) above, generates a 35% aggregate tax burden over corporate taxable income) and (iii) the Mining Taxes) is limited to either 45.5% or 46.5% of net mining operational taxable income, depending on whether the mining operator's average 6-year sales value does not exceed 80,000 MTFC or exceeds 80,000 MTFC, respectively.

**Our Mineral Projects**

*Cerro Blanco Project*

Our wholly owned subsidiary GEM Chile is the direct owner of 52 mining claims covering a total of 10,537 hectares located in the Atacama Region of Chile. Fifty of these mining claims are exploitation claims and two are exploration claims. In January 2023, GEM Chile purchased 26 of the 52 Cerro Blanco claims from Manquehue Asesorías Mineras SpA ("<u>MAM Chile</u>"); and in May 2023, we purchased the parent of GEM Chile from GEM Nevada. In connection with its purchase of these 26 claims (two of which are exploration claims), GEM Chile agreed to satisfy certain obligations owed by MAM Chile to an unrelated third party from whom MAM Chile acquired 23 of such 26 claims in 2022, including (i) the obligation to pay such third party a royalty of 2% of the "net smelter return" from minerals extracted from such 23 claims; provided that such royalty may be terminated at our option by payment of $1,950,000 to the third party, (ii) the obligation to buy and use at such 23 claims water produced from a desalination plant to be constructed and controlled by the third party, and (iii) the obligation to appoint an individual designated by the third party to an advisory committee for the Cerro Blanco Project, for a monthly fee of $1,500. On May 4, 2023, GEM Chile acquired 26 additional exploitation claims (which are located near the 26 claims acquired from MAM Chile) from Ignacio Joaquín López Alarcón, who acquired the exploitation claims on April 21, 2023, through an auction bid process resulting from a foreclosure for unpaid taxes by the prior owner. Further information about the Cerro Blanco Project is set forth in this proxy statement under the caption *"— Properties — Cerro Blanco Project*."

*The Fire Copper Project and Other Future Mining Property Acquisitions*

The 100% owned "Fire claims" (the "<u>Fire Copper Project</u>") located in Yavapai County, Arizona consists of 52 unpatented lode mining claims staked adjacent to Edge Copper's Zonia Copper Project in central Arizona's Walnut Grove district. According to the Zonia Project's "NI 43-101 Resource Estimate for the Zonia Project 2024 Update" having an effective date of August 27, 2024 prepared by Moose Mountain Technical Services of British Columbia, available at https://minedocs.com/27/Zonia-TR-Amended-08272024.pdf, the Zonia Copper Project is a brownfield open-pit copper oxide development with heap-leach SX-EW processing, existing infrastructure and a substantial copper resource base. No technical data has yet been collected on the Company's Fire Copper Project and it is solely a greenfield prospective copper-target at present. From the Company's perspective, the Fire Copper Project's potential value at present, lies primarily in its strategic position immediately northeast of third-party Edge Copper's Zonia Copper Project.

On December 31, 2025, KMC acquired the Fire Copper Project from EastWest Ventures LLC ("<u>EastWest Ventures</u>"). EastWest Ventures was a related party at the time of the acquisition transaction. See the section entitled "*Certain Relationships and Related Person Transactions — KMC Relationships and Related Party Transactions*."

The Fire Copper Project is not considered material to the Company's financial condition, results of operations, or future prospects, and the Company's obligations with respect to these properties are limited to payment of annual BLM licensing fees and related administrative matters. Management continues to review and assess additional critical mineral project opportunities that may enhance the Company's asset portfolio.

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The Company may continue to enhance the value of its assets from time to time by acquiring interests in other critical mineral projects that management believes have potential for significant value-appreciation through exploration and development. Such future projects may be located in the United States or global jurisdictions which the Company believes to be favorable to mining.

*Competition*

The mining industry is highly competitive. Mining companies compete for, among other things, mining properties from which minerals and other substances can be profitably extracted; personnel with technical expertise to find, develop, and operate mining properties; labor to operate the properties; and capital to finance the development of such properties. Many of our competitors have financial and technical resources substantially greater than ours. Several large mining companies are vertically integrated and explore for, mine, refine, and market metallic minerals on a global basis. Our relatively small size and limited capital resources, and current or future competition, could have a material adverse effect on our ability to develop our mineral projects, recruit and retain qualified personnel, or acquire the capital needed to fund our operations and develop mining projects. See "*Risk Factors — Risks Related to the Mining Industry*."

*Environmental, Social and Governance*

We endeavor to use environmental, social and governance, or ESG, principles in all phases of our operations, including our exploration, development and other mining-related activities. In the areas near our projects in the Atacama Region of Chile, we work to build good relationships with key stakeholders to increase the economic and social benefits from our activities. In all our operations, we will endeavor to use best industry practices to limit environmental impacts and ensure worker safety. In addition, our board of directors intends to work with management to identify additional areas to pursue effective ESG policies, potentially including increased use of clean and/or renewable energy in our mining operations, conserving water use, reducing our environmental footprint, utilizing a diverse workforce from local communities, improving health and safety performance, promoting cultural heritage and protecting biodiversity.

**Overview of the Water Desalination Project**

The Water Desalination Project, held through our Chilean subsidiary GEM Chile, is a permitted, multi-purpose seawater reverse osmosis facility to be located south of Punta Guacolda near Huasco, in Chile's Atacama Region, in proximity to the Titanium Project. The Water Desalination Project is designed as a regional "non-continental" water hub with an authorized capacity of approximately 440 liters per second (L/s) of desalinated seawater, intended to supply long-term water needs of mining, industrial, agricultural and community users in a structurally water-constrained district of northern Chile, including the Titanium Project. The Water Desalination Project is designed as shared regional infrastructure, enabling users to secure consistent, non-continental water supply under offtake-contracts that can reduce the individual offtaker's capital expenditures compared to standalone desalination solutions.

**Water Desalination Market in Chile**

The World Resources Institute currently ranks Chile among the 20 countries facing the highest levels of water stress globally ("25 Countries Housing One Quarter of the Population Face Extremely High Water Stress," World Resources Institute, August 16, 2023, https://www.wri.org/insights/highest-water-stressed-countries). Chile has one of Latin America's most active seawater desalination markets, driven primarily by the copper mining industry in its arid northern regions and by increasing water stress for urban and industrial users (International Bar Association, August 31, 2025, https://www.ibanet.org/chile-desalination-challenge).

Chile's more than 4,000-kilometer coastline contrasts with extremely dry inland mining districts and several water-stressed urban centers. Policymakers and private operators are increasingly turning to large-scale seawater desalination as a strategic water-supply solution for the Chile's industrial, agricultural and community needs.

Desalination capacity in Chile is concentrated in the northern regions where mining operations predominate and water scarcity is most acute. The Atacama Desert, where much of Chile's copper mining occurs, is among the driest places in the world, with some locations experiencing no measurable rainfall for over a decade. This extreme aridity makes conventional water sources inadequate for large-scale industrial operations, necessitating alternative water-supply solutions such as desalination.

*Existing and Planned Capacity in Chile* 

Currently, Chile has approximately 24 large seawater desalination plants in operation with combined installed capacity exceeding 12,000 liters per second, and additional plants under construction or advanced development. Most existing facilities are located in the northern regions of Tarapacá, Antofagasta, Atacama and Coquimbo, which coincide with Chile's principal copper mining districts and several coastal cities that depend on desalinated seawater for human consumption and industrial use (Inventory of Desalination Plants in Chile, November 30, 2025 https://www.acades.cl/catastro-de-plantas-de-agua-de-mar/).

*Role of Mining and Future Demand for Water Desalination* 

Market participants expect continued growth in water desalination and other alternative water-supply sources in Chile as utilities, mining companies and industrial users seek secure, climate-resilient water supplies and reduce their exposure to increasing water stress.

The U.S. International Trade Administration notes that Chilean copper producers have become major users and sponsors of water desalination projects as they reduce reliance on continental freshwater and respond to stricter environmental and social expectations. Sector studies indicate that seawater (both raw and desalinated) will supply a growing majority of total water consumed by Chilean copper mining over the next decade, with seawater use expected to more than double by the early 2030s (From Freshwater to Seawater: Water Demand in Chilean Copper Mining Outlook, AX Legal June 17, 2025 https://ax.legal/2025/06/17/from-freshwater-to-seawater-water-demand-in-chilean-copper-mining-outlook/)

Desalinated seawater is predicted to continue to supply a growing majority of total water consumed by Chilean mining projects over the next five to ten years. The Chilean Copper Commission (COCHILCO) projects that by 2031, approximately 47% of water used in Chile's mining sector will be sourced from the ocean, compared to approximately 25% in 2020. This represents a transformation in the sector's water supply strategy, impacting infrastructure development, capital allocation, and operational costs across the mining and water desalination industries. Government of Chile, Mining industry to build 15 new desalination plants by 2028, https://www.gob.cl/en/news/mining-industry-build-15-new-desalination-plants-2028-use-seawater-will-almost-equal-use-fresh-water-decade/

*Water Desalination Infrastructure*

Desalination plants take seawater and convert it into freshwater using a process called reverse osmosis. Large reverse-osmosis desalination plants combined with high-pressure pumping systems and long-distance pipelines transport water from the coast to high-altitude mine sites. Seawater is first captured from the ocean under a maritime concession, which authorizes the intake and discharge infrastructure on the coastline. The water then passes through pre-treatment filters and is pumped at high pressure through semi-permeable membranes that separate the salt from the water. This process produces freshwater for industrial or municipal use and a brine stream that is returned to the sea in compliance with environmental requirements.

To transport the water inland, projects typically require easements for pipelines and power lines, as well as land for the plant site, pumping stations and storage tanks. In mining regions, the freshwater is then moved through long-distance pipelines and high-pressure booster stations to reach high-altitude facilities. This technology provides a reliable water supply independent of freshwater basins and is widely used in Chile's northern mining districts.

**The Water Desalination Project**

The Water Desalination Project is being advanced toward a "ready-to-build" stage and is supported by an approved EIS that authorizes: (i) a 440 L/s seawater reverse osmosis plant; (ii) seawater intake and brine discharge works; (iii) storage and pumping facilities; (iv) a water pipeline corridor of approximately 74 km from the coast to the Titanium Project (including approximately 10–12 km from marine works to the plant site and a desalinated water pipeline to the mine area); and (v) an approximately 12 km, 13.8 kV power line and related auxiliary infrastructure connecting to Chile's national grid. Most site, pipeline and power easements covered by the EIS have been secured, and we are advancing remaining land rights and a major maritime concession for the marine components.

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Located in the Huasco area of the Atacama Region, where mining and agriculture compete for scarce surface and groundwater, the Water Desalination Project is intended to reduce reliance on continental freshwater resources and to support Chile's broader policy shift toward desalinated seawater in mining, industrial and community applications. Our current development plan contemplates an approximately two-year construction period from a final investment decision to commercial operation and targets a minimum plant capacity factor of approximately 93% of the permitted 440 L/s design.

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*<u>Technical Configuration</u>*

Under the approved EIS, the Water Desalination Project comprises conventional seawater reverse osmosis process trains with pre-treatment, high-pressure membrane systems, post-treatment, brine management and energy-recovery systems, together with brine dispersion measures and intake design intended to mitigate marine impacts. In a conventional configuration of the type contemplated in the EIS, overall water recovery is expected to be in the range of approximately 45%–50%.

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**Currently Plant Configuration (440 L/s capacity)**

*Future Expansion Potential* 

We have developed an enhanced OARO case that contemplates integrating osmotically assisted reverse osmosis, or OARO, technology licensed from Toyobo/Mitsubishi. The OARO configuration is expected to increase overall water recovery from 45%-50% to approximately 66%, reducing brine volume and potentially lowering unit water costs and discharge impacts, at an estimated incremental capital cost of approximately 25% relative to the base 440 L/s design and a conceptual total plant capacity of approximately 57,000 m³/day (about 660 L/s). Any increase in permitted capacity above 440 L/s would require an amendment to the existing EIS and approval by the relevant Chilean environmental authorities, and cost and return estimates for the OARO Case remain under review and may change as engineering work progresses.

*Commercial Strategy, Offtake and Use by the Titanium Project* 

We view the Water Desalination Project as a core infrastructure asset intended to generate long-term, contracted cash flows from a diversified portfolio of mining, utility, agricultural and community customers. The current commercial strategy is to secure primarily U.S. dollar-denominated and inflation-indexed, long-term take-or-pay (or take-or-pay-like) water purchase agreements for most of the plant's capacity prior to or concurrent with project financing, with remaining capacity allocated to shorter-term or higher-priced volumes, including potential supply to local communities and utilities.

In July 2025 GEM Chile entered into a non-binding indication of interest with Agrosuper Chile that sets out principal commercial terms for a potential future long-term water supply agreement. Under this indication of interest, Agrosuper anticipates future desalinated water requirements of approximately 100–150 L/s and has agreed that, while the Water Desalination Project is in operation and has available capacity, it will seek water pricing and supply proposals from GEM Chile, retaining full discretion to accept or reject any proposal. The indication of interest does not create any binding purchase or sale obligation and does not restrict GEM Chile or any future project vehicle or partner from contracting with other third-party offtakers. The indication of interest expires on July 24, 2024, unless extended by mutual written consent. In addition to the non-binding indication of interest with Agrosuper, we are engaged in ongoing, non-binding discussions with other third-party prospective industrial, mining and community water offtake customers in the Huasco region.

Under the purchase agreement for a portion of the Titanium Project's mining concessions (23 of the total 52) comprising the Titanium Project, we are currently obligated to procure desalinated water used for the Titanium Project from a third-party water provider that has shared its intention to develop a separate water desalination facility, however, as of the date of this proxy statement/prospectus such third party's water desalination facility is not permitted or constructed. If, at the time the Titanium Project commences production or otherwise requires a secure water supply and such third-party is unable to deliver the needed volume, the Company would allocate approximately 80–85 L/s of capacity from the Water Desalination Project to meet the Titanium Project's needs. Until the Titanium Project has a need for water supply, we intend to fully allocate the entire 440 L/s to third-party offtakers who wish to purchase water from the Water Desalination Project and continue to seek third-party offtakers for the future as we continue to develop the Water Desalination Project toward ready to build phase.

*Capital Requirements and Financing Plan* 

Based on our present engineering and third-party cost engineering cost estimation study provided in 2024 by ILF Ingeniería Chile Limitada, the Water Desalination Project will require an aggregate capital investment of approximately $260 million, including direct and indirect construction costs, contingencies and construction management, but excluding downstream distribution infrastructure such as water pipelines to individual offtakers. The Company's internal estimates anticipate the desalination plant capital cost to be within a range of approximately $200 million to $250 million; however, this estimate remains preliminary and is subject to change as engineering, contracting and market conditions evolve (particularly if the Company pursues the OARO Case and obtains the necessary government approvals or makes other design optimizations for the OARO Case).

We have developed an initial project-level financing concept that contemplates funding a substantial portion of total capital requirements with non-recourse or limited-recourse project debt, with the balance funded through equity contributions from us, proceeds from a proposed business combination and related offerings, and/or capital provided by a strategic or financial partner. We will be required to obtain significant additional capital to fund the Water Desalination Project and we may not be able to obtain such financing on acceptable terms or at all. Delays in reaching financial close, higher-than-expected construction or operating costs, lower-than-expected contracted offtake volumes or prices, or adverse changes in credit markets could require us to seek additional capital, re-sequence or scale back project components, or reduce its ownership interest in the Water Desalination Project in favor of an infrastructure partner.

*Development Strategy and BNP Paribas Engagement* 

We engaged BNP Paribas Securities Corp. ("<u>BNPP</u>") as our exclusive financial advisor for the Water Desalination Project because of BNPP's experience financing large-scale water and desalination infrastructure in Chile and the broader Latin American region. In 2024, BNPP acted as one of the lead arrangers and lenders on the approximately US$860–883 million project financing for the Aconcagua / Aguas Pacífico desalination plant and related aqueduct system in central Chile, a multi-client facility. Water desalination infrastructure being a core focus of BNPP's regional project-finance business positions them as a strong partner to maximize value for KMC's Water Desalination Project.

BNPP's engagement is in connection with a potential strategic partnership, joint venture or acquisition transaction involving all or part of the Water Desalination Project, as well as related CDAQ Private Placements of equity or equity-linked securities for GEM Chile or other project vehicles; BNPP has no obligation to underwrite or provide financing. BNPP supports KMC's team with respect to financial modeling, optimization of the technical and commercial configuration and preparation of marketing materials and data rooms for prospective partners, lenders and offtakers. Our objective is to leverage BNPP's desalination and water-infrastructure experience in Latin America and its global network to identify and negotiate a strategic partner and project-level financing package capable of supporting a final investment decision and the advancement of the Water Desalination Project from its current development stage into construction and long-term operation.

*Environmental, Social and Governance Considerations* 

The Water Desalination Project is expected to contribute to regional water security by substituting desalinated seawater for freshwater in a basin experiencing chronic water stress. The Water Desalination Project's permitting framework has been developed under Chilean environmental law and, with respect to prospective lenders and strategic partners, is being evaluated against international environmental and social standards, including the Equator Principles and the International Finance Corporation Performance Standards, through an Environmental and Social Action Plan.

Plant design incorporates energy-recovery equipment, intake and brine dispersion systems and other mitigation measures intended to reduce environmental impacts associated with seawater abstraction, brine discharge and energy consumption; however, such measures cannot eliminate environmental, regulatory or community-related risks. We expect that continued engagement with local stakeholders, municipalities, indigenous and fishing communities and other affected parties will be an important element of maintaining social license to operate, particularly in relation to marine impacts, land access along the pipeline corridor and allocation of water among industrial and community users.

*Regulatory and Policy Environment*

Chile has adopted a range of measures to facilitate desalination and diversify water sources, including clearer rules for seawater use, streamlined procedures for strategic projects, and proposals for shared "water highways" and regional desalination hubs. Chilean regulators and courts continue to focus on environmental review of marine discharge, energy use and coastal ecosystems, with policy discussions emphasizing the need to pair desalination with renewable power to mitigate greenhouse-gas emissions and local environmental impacts ("Chile's Water Shift: From Drought to National Blueprint for Reuse and Desalination," International Desalination and Reuse Association (IDRA), August 15, 2025, https://idrawater.org/news/chiles-water-shift-from-drought-to-national-blueprint-for-reuse-and-desalination/).

**Facilities and Equipment**

We lease and maintain our executive office at 701 Brickell Avenue, Suite 1550, Miami, Florida 33131. We also lease the KM Chile office in Santiago, Chile. We do not currently own any real property. During the remainder of 2024, we will be purchasing, constructing, upgrading and maintaining various items of equipment, facilities and other infrastructure needed for our exploration activities at the Cerro Blanco Project in Chile, including water pipelines and pumping systems, electrical power lines and transmission systems, and camps and other facilities for personnel. We believe that we have, or will be able to purchase or construct, adequate facilities and equipment for our planned exploration activities at the Cerro Blanco Project in Chile, on a timely basis as needed and at commercially reasonable prices. See "*Risk Factors — Risks Related to KMC's Financial Position and Capital Needs — KMC will require substantial additional capital to explore and/or develop the Cerro Blanco Project and KMC may be unable to raise additional capital on favorable terms or at all*."

**Employees and Independent Contractors**

As of December 31, 2024, we have engaged eight consultants. Five consultants serve us full-time and three consultants serve us part-time. These consultants provide management, technical, administrative, accounting and legal services to the Company. During the next 18 months at least, we expect that we will obtain all other services necessary to our administrative and operational activities, including mineral exploration and development activities, by utilizing independent contractors in Chile or the United States. We believe adequate third-party contractors, including geologists, mining engineers, drilling contractors, and construction companies, are available in the Atacama Region of Chile to perform our mineral exploration, development and other activities over the next 18 to 24 months. We believe independent contractors will be an efficient use of our resources, providing us greater flexibility in our cost structure until we commence mining operations, if at all, which would likely require us to hire full-time or part-time employees in Chile. However, there are risks associated with our planned reliance upon third parties for substantial parts of our activities. See "*Risk Factors — Risks Related to the Business of Pubco and KMC — KMC may rely on joint ventures or other third-party contracts to conduct key aspects of its operations*."

**Legal proceedings**

KMC is not currently a party to any material legal proceedings. However, from time to time it is possible that we could become involved in legal proceedings or be subject to claims that arise from the conduct of our business. Regardless of their outcome, any such proceedings or claims could have an adverse impact on us because of the costs of defending or settling such matters, as well as the possible diversion of personnel and other resources and other factors; and there can be no assurances that favorable outcomes will be obtained in any such matters.

**Properties**

*The information regarding the Cerro Blanco Project that is set forth in this proxy statement/prospectus, including in this "Properties" section: (i) is, except where attributed to another source, derived from the technical report summary titled "S-K 1300 Technical Report Summary for the Cerro Blanco Rutile Titanium Bearing Mineral Deposit, Region III, Atacama, Chile" dated August 7, 2023, revised December 6, 2023 and as further revised on February 2, 2026 (the "<u>Cerro Blanco Technical Report Summary</u>"), a copy of which is filed as Exhibit 96.1 to the Registration Statement of which this proxy statemen/prospectus forms a part; and (ii) does not purport to be a complete summary of, is subject to all the assumptions, qualifications and procedures set out in, and is qualified in its entirety with reference to the full text of, the Cerro Blanco Technical Report Summary. The Cerro Blanco Technical Report Summary was prepared in accordance with S-K 1300 and is dated and signed by Resource Development Associates, Inc., or RDA. RDA is a third-party firm that employs a professional geologist whose education and experience satisfy the requirements of a "qualified person" under S-K 1300 and who prepared the Cerro Blanco Technical Report Summary. Neither RDA nor such qualified person has any interest in us. RDA has approved the summary of the Cerro Blanco Technical Report Summary set forth in this "Properties" section.*

*For a description of the key assumptions, parameters and methods used to estimate mineral resources disclosed in this proxy statement, as well as data verification procedures and a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, sociopolitical, marketing or other relevant factors, please review the Cerro Blanco Technical Report Summary each of which is incorporated by reference in this proxy statement/prospectus.*

***Summary of Our Mineral Projects***

As summarized below, KMC's portfolio includes two critical mineral projects in both Chile and the United States, with Cerro Blanco as the flagship titanium dioxide asset and a complementary copper exploration project*.* For additional information about the projects, see "— *Business — Our Mineral Projects*." Only one of our projects, the Cerro Blanco Project, is material to our business or financial condition. A technical report summary pursuant to S-K 1300 with respect to the Cerro Blanco Project is filed as exhibit 96.1 to the Registration Statement of which this proxy statement/prospectus is a part. A summary of such technical report summary is set forth below under the captions "— *Business — Our Mineral Projects — Cerro Blanco Project*."

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| | | | |
|:---|:---|:---|:---|
|  | ***Location*** | ***Description of mineral rights,***<br> ***form of ownership and acreage.*** | ***Mineralization*** |
| **Cerro Blanco Project** |  | Fifty-Two claims covering 10,537 hectares. Our subsidiary GEM Chile is the direct owner of the claims. Twenty-three of the claims are subject to a 2% NSR royalty that may be cancelled at our option for a payment of $1,950,000. | Rutile, which we intend to refine to a high-grade form of titanium dioxide (TiO<sub>2</sub>). |
| **Fire Copper Project** | Yavapai County, Arizona | Fifty-two unpatented lode mining claims. KMC ownership of the claims is recorded with the BLM. | Possible undiscovered deposits of copper hosted in oxide setting. |

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The following maps show the locations of our two projects.

![](imgs-4_004.jpg)

![](imgs-4_005.jpg)

<u>Exploration Stage Company</u>. None of our mineral projects has an operating mine or has ever produced any mineral in commercial quantities. We have not demonstrated the existence of mineral reserves at any of our projects, and therefore each of our projects is in the exploration stage and KMC is considered an exploration stage company. KMC is not conducting any on-site exploration activities at any of our projects, although we have plans to commence certain exploration activities at the Cerro Blanco Project. See "— *Properties — Cerro Blanco Project— Exploration and Related Programs*." We expect to remain an exploration stage company for the foreseeable future. To exit the exploration stage, become a development stage issuer and, ultimately, commence mining at any of our projects, it will be necessary for us to demonstrate the existence of proven or probable mineral reserves at one or more of our projects, and complete one or more feasibility studies that would enable us to obtain financing on reasonable terms and in amounts sufficient to establish and operate the applicable mining operations.

<u>Summary of Resource Estimates.</u> The following table summarizes our mineral resource estimates as shown in the Cerro Blanco Technical Report Summary.

For purposes of estimating the measured, indicated and inferred mineral resources at the Cerro Blanco Project presented in the table below, RDA used the following parameters to determine the reasonable prospects for economic extraction of saleable TiO<sub>2</sub> through open pit mining methods: mining cost of $2.00 per tonne, recovery of 85%, processing costs of $15.00 per tonne, a selling price of $3,500.00 per tonne, and a point of reference of *in situ* mineralization prior to extraction by open pit mining methods. These parameters yield a cut-off grade of 1.0% TiO<sub>2</sub> which RDA used in estimating the Cerro Blanco Project mineral resources reported in the table below.

Amounts in the table have been rounded and may not sum due to rounding.

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** | **Summary of Mineral Resources** |
|  | **Measured mineral resources** | **Measured mineral resources** | **Indicated mineral resources** | **Indicated mineral resources** | **Measured + indicated<br> mineral resources** | **Measured + indicated<br> mineral resources** | **Inferred mineral<br> resources** | **Inferred mineral<br> resources** |
| **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: | **CERRO BLANCO PROJECT** (Chile, Atacama Region)<br> Effective Date: August 7, 2023: |
|  | **Amount** | **Grades/ qualities** | **Amount** | **Grades/ qualities** | **Amount** | **Grades/ qualities** | **Amount** | **Grades/ qualities** |
| ******Titanium Dioxide (TiO<sub>2 </sub>)*** (amounts are in millions of metric tons):*** | 56.3 | 1.80% | 50.6 | 1.75% | 106.8 | 1.78% | 67.6 | 1.38% |

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<u>Internal Controls</u>. Our internal controls relating to quality assurance and quality control (QA/QC) to date have consisted primarily of reviewing records maintained by prior owners of the Cerro Blanco claims as to the chain of custody of samples, including samples used for lab analyses, and satisfying ourselves that the procedures followed with respect to such custody was consistent with industry standards. As noted below, we plan to conduct additional exploration activities that involve sampling.

Before commencing those activities, and conducting assays of such sampling and the reporting of results from those assays, we intend to establish sampling and analytical QA/QC protocols that are consistent with industry standards including, without limitation, the following: (i) for the project's data, establishing an accurate, reliable and defensible database that can be used to produce updated estimates of mineralization and feasibility studies; (ii) sampling to verify known mineralization; (iii) confirming that samples (from both surface collection or drilling) are of the highest possible quality; (iv) establishing procedures to ensure the security and integrity of samples from point of origin to analytical laboratory; and (v) implementing industry-standard QA/QC procedures to confirm the accuracy and reliability of the laboratory analyses, including the use of duplicate samples (*i.e.,* two or more samples from the same sample submitted to the laboratory for analysis as if they were separate samples), blanks (*i.e.,* samples containing no detectable mineralization) and standards (*i.e.,* samples with known assay values), and confirming assay values from the original assay laboratory by submitting the same sample to a second laboratory.

***Cerro Blanco Project***

<u>Description and Location</u>. The Cerro Blanco Project consists of fifty-two (52) claims covering 10,537 hectares located in the commune of Freirina which is part of the Atacama Region (also known as Region III) of the Republic of Chile. The project comprises nine identified prospects, known as Las Carolinas, La Cantera, Honorios Creek, Hippo Ear, Quartz Creek, Bono, Algodón, Chascones, and Eli. We consider the Las Carolinas, La Cantera, and Eli prospects to be the most promising areas for exploration and, ultimately, mining at the Cerro Blanco Project, and our long-term plans to develop the Cerro Blanco Project are focused on the claims located in those three prospects. Accordingly, the resource estimates reported in the Cerro Blanco Technical Report Summary are based on data relating to the Las Carolinas, La Cantera, and Eli prospects.

The project area has a maximum altitude of approximately 1,200 meters above sea level. The project is approximately 525 kilometers north of the city of Santiago, the capital of Chile, approximately 39 kilometers west of city of Vallenar, the capital of Huasco Province, and approximately 25 kilometers east of the Pacific Ocean port town of Huasco. More specifically, the project is approximately 14.5 kilometers due south of Freirina, a small town located on highway C-46 which is the roadway connecting the town of Huasco to the city of Vallenar. The project can be reached by driving south approximately 15 kilometers over a non-improved road that starts from C-46 approximately seven kilometers east of Freirina. The project's map coordinates are 28°38.5' south latitude, and 71°4.5' west longitude. Fifty of the Cerro Blanco claims are exploitation claims and two are exploration claims. The following maps show the location of the Cerro Blanco Project.

![](forms-4_019.jpg)

The following map shows the layout of the Cerro Blanco claims. Certain of the map legends use the term "concessions" which is the term used in Chile for mining claims.

Cerro Blanco Project Mineral Claims

![](forms-4_020.jpg)

The Cerro Blanco Project is an "exploration stage property" which, under S-K 1300, is a property without mineral reserves disclosed. No mining operations have ever been conducted at the Cerro Blanco project by us or any previous owner. Subject to the receipt of adequate funding in the future (which, for the avoidance of doubt, does not include funds raised in this offering) and the lock-up period described in the "Underwriting" section of this proxy statement, our activities at the Cerro Blanco Project will be exploratory in nature, after which we anticipate we may complete the further exploration activities described below in this proxy statement under the sub-caption "— Exploration and Related Programs." Through such further exploration activities, we expect to develop additional information to more precisely identify and quantify deposits of TiO<sub>2</sub>-bearing mineralization at the project and to determine the types and locations of mines to be used for extracting such deposits. We also anticipate that such additional information may allow us, in conjunction with a qualified person, to upgrade a substantial portion of the mineral resources described in this proxy statement to mineral reserves, thus making the Cerro Blanco Project a development stage property under S-K 1300 and, thereafter, to prepare a Feasibility study that will enable us to obtain the necessary financing to commence mining operations at the project.

<u>Terrain and Climate</u>. The regional terrain has hills of gentle to moderate relief with sparse vegetation. The Cerro Blanco Project area consists primarily of hills of a gentle relief and wide large valleys, some places incised by ancient drainages and/or fault scarps. The project has an elevation ranging from approximately 400 meters to approximately 1,200 meters above sea level and has minimal vegetation consisting mostly of desert scrub and cacti. The project area has a very arid, high-altitude desert climate suitable for exploration during the entire year. Rainfall is occasional and irregular, and in some years only received during winter (*i.e.,* mid-June to mid-September). The coastline near the port of Huasco generally has a northeast alignment at approximately 15 degrees on the compass.

<u>Geology and Mineralization</u>. The Cerro Blanco Project is located between the central belt of intrusions in the northern belt of the Freirina fault zone, and west of the Vallenar-La Serena iron belt. The dominant rock formations holding rutile deposits at the project are granodiorite and leucotonalite, which are types of igneous rocks. Intrusions of plutonic rocks form about 80% of the outcrops in the area. These plutonic rocks vary from granites to gabbro and are distributed in three linear north-northeast trending belts, with the Cerro Blanco Project being located within the eastern belt. The Cerro Blanco Project area contains several titanium-bearing minerals, including rutile, which is usually contained in albitized gabbro, as well as ilmenite, anatase, sphene, and titanomagnetite. In preparing the mineral resource estimates for the Cerro Blanco Technical Report Summary, RDA considered mineralization from rocks composed at least 80% of either rutile or leucoxene containing the titanium-bearing minerals anatase, ilmenite, titanomagnetite or sphene. To gain additional insight into the rutile + leucoxene mineralization at the project, we intend to conduct core mapping of the data from previous drilling programs and our future exploration activity described below, subject to the receipt of adequate funding in the future (which, for the avoidance of doubt, does not include funds raised in this offering).

<u>Ownership</u>. Our wholly owned subsidiary GEM Chile is the direct owner of the Cerro Blanco claims. In connection with its purchase of 23 of the 52 claims comprising the Cerro Blanco project, GEM Chile assumed certain obligations the seller of the claims owed to an unrelated third party, including (i) the obligation to pay such third party an NSR royalty of 2% with respect to minerals extracted from the 23 claims (provided we may terminate such royalty obligation by paying the third party $1,950,000) and (ii) the obligation to buy and use processed water for the Cerro Blanco Project from a desalination plant controlled by the third party. All of the claims we plan to develop at the Las Carolinas, La Cantera, and Eli prospects are subject to the 2% NSR royalty.

<u>Surface Access</u>. The land where the claims comprising the Las Carolinas, La Cantera, and Eli prospects are located is owned by the State of Chile and managed by the Chilean Ministry of National Assets (the *Ministerio de Bienes Nacionales* or the MBN). Typically, the MBN grants easements to mining claim holders without complication (provided legal requirements are met) as a consequence of a trial conducted in civil courts, where the compensation to be paid by the latter is determined. The other Cerro Blanco claims are located on land owned by private owners, including a Chilean agribusiness company. Access to the Las Carolinas, La Cantera, and Eli prospects is available via public roadway, although we will require easements from one or more private landowners for an access corridor for power transmission lines and a water pipeline, and we plan to begin negotiations for that purpose in 2024. We believe most of the private landowners do not presently intend to use the surface areas at or nearby the Cerro Blanco claims, and therefore we do not anticipate any material difficulty negotiating acceptable access rights.

<u>Infrastructure</u>. The project can be reached by driving south approximately 15 kilometers over a non-improved road that starts from Highway C-46 approximately seven kilometers east of Freirina. Close proximity to Highway 5 which runs the length of Chile provides good access and distribution for necessary supplies. The Pacific Ocean port of Huasco is capable of handling 70,000-metric-ton ships. Although there is currently no infrastructure at the Cerro Blanco Project site, we believe that the Atacama Region has adequate infrastructure resources for exploration and, if applicable, mining activities at the project, including independent contractors who supply energy, water, transportation, labor, processing facilities, camps and related residence facilities, tailings storage facilities, and port facilities. High-tension power lines pass approximately 15 kilometers to the north of the project along the Vallenar-Huasco highway.

As noted above, we agreed to obtain water for 23 of the Cerro Blanco claims from a desalination plant controlled by a third-party affiliate of a prior owner of the claims and, subject to availability, we currently expect to use such water source for exploration and mining activities at all Cerro Blanco claims. However, if this third party's proposed desalinization plant is not operational during some or all of our further exploration activities described below, we may need to obtain water from a different source. We believe there are adequate alternative sources of water, including from the Water Desalination Project. The Water Desalination Project is a permitted, multi-purpose seawater reverse osmosis facility. The Water Desalination Project is designed as a regional "non-continental" water hub with an authorized capacity of approximately 440 liters per second (L/s) of desalinated seawater, intended to supply long-term water needs of mining, industrial, agricultural and community users in a structurally water-constrained district of northern Chile, including the Titanium Project. Under the approved EIS, the Water Desalination Project comprises conventional seawater reverse osmosis process trains with pre-treatment, high-pressure membrane systems, post-treatment, brine management and energy-recovery systems, together with brine dispersion measures and intake design intended to mitigate marine impacts. In a conventional configuration of the type contemplated in the EIS, overall water recovery is expected to be in the range of approximately 45%–50%. Prior to the time the Water Desalination Project is operational we will source water from the Huasco River which is approximately 15 kilometers north of the project; from other desalinization plants in the Atacama region; and potentially from subterranean wells within the local pediment gravels immediately north and west of the project. During our exploration activities, we expect that our water supply will be delivered by tank trucks. If KMC is ultimately able to begin mining operations at the Cerro Blanco Project, our water needs will increase substantially, and we would expect to have water delivered to the project by pipeline.

<u>Environmental Matters and Permitting</u>. We believe that the size and location of the exploration activities that we expect to conduct in the next 18 months will not require that we file and obtain approval of any environmental filings or other material governmental approvals. Therefore, we expect that we will be able to proceed with drilling and other exploration activities at the Cerro Blanco Project by filing notices regarding the commencement of exploration activities with the National Geology and Mining Service ("*Servicio Nacional de Geología y Minería*" or "SERNAGEOMIN").

Under Chilean law, mining (as opposed to exploration) generally requires approval of an environmental impact study, or EIS, from the Environmental Assessment Service ("*Servicio de Evaluación Ambiental*" or "SEA") based on an assessment of potential environmental impacts. An EIS was submitted by the previous owner White Mountain Titanium in 2013 with respect to a prospective open-pit mining project at the Las Carolinas, La Cantera, and Eli prospects, and the SEA approved that EIS in 2015. In 2024, the approved EIS was successfully transferred to the name of GEM Chile, the Chilean subsidiary holding the Cerro Blanco Project. The mining activities we expect to engage in at the Cerro Blanco Project are similar to but smaller in overall scope than the activities approved by the SEA in 2015. For this reason, the Company does not believe, or have any indication to believe, that it is necessary to submit a new EIS for review by the SEA. Approval of an EIS can be a lengthy and uncertain process which could involve local citizens, and there is no assurance that we will secure the necessary approval to conduct mining activities at the project in the manner or on a timing we consider optimal should the current EIS not apply to the Company's planned mining activities.

<u>Exploration History</u>. We have not conducted any drilling, soil sampling or similar on-site exploration activity at the Cerro Blanco Project. Chilean governmental reports dating from as early as 1953 report the existence of rutile deposits in the project area. However, the first exploration activity at the project known to us occurred in 1990 or 1991 by a prior owner who conducted surface rock sampling, geological mapping and 450 meters of trenching. Such activity, and substantially all the exploration activities at the project described below, were conducted at the claims comprising the Las Carolinas, La Cantera, and Eli prospects which are subject to the NSR royalty described above.

In 1992, a subsidiary of Phelps Dodge acquired an option with respect to the project and conducted more extensive surface rock sampling and, in late 1992 and early 1993, completed 1,200 meters of diamond drilling and 6,000 meters of percussion drilling. In 1993, Phelps Dodge extracted two 15-ton samples for metallurgical testing. Phelps Dodge purchased the project in 1996 and conducted further metallurgical testing in 1997 with results suggesting that the project could produce rutile with a TiO<sub>2</sub> content of 95% or more.

In 1999, Phelps Dodge sold the project to Dorado Mineral Resources NL, who conducted a preliminary processing test, which produced high grade rutile, and commissioned geologists and other third parties to review prior exploration programs, estimate the project's mineralization, analyze the possibility of a mining project in highest density drilling, and collect a second bulk sample of 25 tons for metallurgical testing. During this work by Dorado, the project area was geologically re-mapped. Ownership of the project was acquired by Kinrade Resources Limited in 2001 and then by White Mountain Titanium Corporation, or White Mountain, in 2003.

During its ownership of the project, White Mountain conducted drilling programs as follows: (i) in 2004, a program of 12 diamond drill holes was completed, and data from this drilling, and from drilling completed by Phelps Dodge, was used by third party consultants to prepare a project resource estimate; (ii) in 2006, 16 diamond drill holes totaling 2,451 meters were cut (of which 15 were from the Las Carolinas Prospect), (iii) in 2008, 32 diamond drill holes totaling 4,684 meters were cut from the Eli prospect; and (iv) in 2010 and 2011, 54 diamond drill holes totaling 7,047 meters were cut as infill on previously drilled areas of the on Las Carolinas prospect. Samples obtained in 2006, 2008 and 2010-11 that showed visible rutile mineralization were assayed in 3-meter intervals by a lab in in Canada. In 2009, White Mountain commissioned pilot plant tests based on over 250 tons of material extracted through a blasting program; these tests provided information for developing further engineering studies and related purposes, and confirmed earlier laboratory scale results that showed the ability to extract high grade rutile from the project. In 2012, White Mountain commissioned a magnetic geophysical terrestrial survey on an area of approximately 22.5 square kilometers centered on the Las Carolinas prospect.

<u>Exploration and Related Programs</u>. We plan to conduct additional drilling, primarily at the Las Carolinas and La Cantera prospects, including, (i) in-fill drilling which will increase the density of data points within previously drilled areas in order to better understand the characteristics of the mineral deposits of the areas; (ii) step-out drilling to explore whether mineralization may exist beyond the boundaries of the areas that we currently believe hold mineral deposits; and (iii) geotechnical diamond drilling to collect data related to the stability and behavior of the rock and soil at possible project mining sites. We also may conduct trenching, sampling (including geochemical sampling), mapping (including surface, magnetic and geological mapping), and initial diamond drilling on prospects located near the Las Carolinas and La Cantera prospects as well as other Cerro Blanco prospects that we believe may have promising geophysical signatures or high grades of surface TiO<sub>2</sub>. Our future exploration program is similar to the exploration activities outlined by RDA in the Cerro Blanco Technical Report Summary, and our estimated budget for such exploration program is approximately $3 million which, for the avoidance of doubt, will be partially funded from the proceeds associated with this offering. Our ability to complete the balance of our planned exploration program depends on the availability to us of adequate financial resources, which cannot be assured. See "*Risk Factors — Risks Related to KMC's Financial Position and Capital Needs — KMC will require substantial additional capital to explore and/or develop the Cerro Blanco Project and KMC may be unable to raise additional capital on favorable terms or at all*."

Based on our understanding of the soil and topography at the Cerro Blanco project, we currently believe the prospect areas that we would mine initially are suited for an open pit mine, although our final decision as to the type of mine could change depending on the results of our further exploration work.

In the fall of 2024, we initiated a pilot-scale metallurgical program with SGS Lakefield in Toronto designed to refine the process flowsheet for rutile concentrate production and to generate engineering data that would support a future feasibility study and detailed design work. Samples from such rutile concentrate will be provided to potential Tio2 offtakers. Subject to the completion of additional drilling, feasibility studies, financing and construction, our current development plan contemplates the potential commencement of commercial production at the Cerro Blanco Titanium Project as early as the first quarter of 2029.

<u>About RDA and its Qualified Person Employee</u>. RDA, through one of its employees who is a qualified person under S-K 1300 criteria, performed a detailed review of the Cerro Blanco drill and geological data to confirm the accuracy and reliability of the data used in the resource estimates provided below, and also visited the project site. The historical exploration data used in the Cerro Blanco project resource estimates was obtained through documented procedures and involved verification and validation of exploration and production data, prior to consideration of geological modelling or mineral resource estimation. No limitations were placed on RDA or its qualified person employee to conduct data verification. The sampling methods, security, and analytical procedures used by prior owners of the project in their drilling campaigns were deemed by RDA and its qualified person employee as adequate for an exploration stage project. RDA and its qualified person employee were not aware of any significant risks or uncertainties that could be expected to affect the reliability of the resource estimates presented in this proxy statement/prospectus. In the opinion of RDA and its qualified person employee, the data was suitable and adequate for the estimation of mineral resources at the Cerro Blanco project.

<u>Resource Estimates</u>. The mineral resources presented in the table below were estimated in accordance with the principles of S-K 1300. Resource estimates were constrained by a three-dimensional solid model developed from geological and analytical data using a block size of ten cubic meters. The block grades were estimated by Ordinary Kriging, Inverse Distance Squared (ID2) and Nearest Neighbor (NN) methods using 3-meter down hole drill composites. The drill hole data and the 3-D geological modeling used for the resource estimates were derived from the database prepared in 2011 by a White Mountain geologist. Eighty-seven White Mountain diamond drill holes were used for the resource estimation. Whole rock analyses were available for all 87 holes. A total of 43 Phelps Dodge drill holes (7 diamond drill holes and 36 percussion holes) were used. Eight Phelps Dodge percussion drill holes were twinned by White Mountain in 2006 with RC drill holes. RC drilling results were prioritized against the percussion drill hole in the database. The estimated resources were validated graphically and analytically. The graphical validation was performed on screen by grade comparison between estimated blocks versus drill holes samples grades. RDA and its qualified person employee believe there is good correlation between the drill hole data and estimated blocks.

The resource estimates presented in the table below are based on the Las Carolinas, La Cantera, and Eli prospects, the locations of which are highlighted on the following map.

![](forms-4_021.jpg)

For purposes of estimating the measured, indicated and inferred mineral resources at the Cerro Blanco Project presented in the table below, RDA used the following parameters to determine the reasonable prospects for economic extraction of saleable TiO<sub>2</sub> through open pit mining methods: mining cost of $2.00 per tonne, recovery of 85%, processing costs of $15.00 per tonne, a selling price of $3,500.00 per tonne, and a point of reference of *in situ* mineralization prior to extraction by open pit mining methods. These parameters yield a cut-off grade of 1.0% TiO<sub>2</sub> which RDA used in estimating the Cerro Blanco Project mineral resources reported in the table below. Amounts in the table have been rounded and may not sum due to rounding.

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates | Cerro Blanco Project Mineral Resource Estimates |
| <br>**Prospect** | **Measured <br> (million <br> metric <br> tons)** | **TiO<sub>2</sub> %** | **Indicated <br> (million <br> metric <br> tons)** | **TiO<sub>2</sub> %** | **M&I <br> (million <br> metric <br> tons)** | **TiO<sub>2</sub> %** | **Inferred <br> (million <br> metric <br> tons)** | **TiO<sub>2</sub> %** |
| ***TiO<sub>2</sub> Resource <br> (above 1% TiO<sub>2 </sub>)*** |  |  |  |  |  |  |  |  |
| Las Carolinas | 47.0 | 1.90 | 40.5 | 1.88 | 87.5 | 1.89 | 7.7 | 1.97 |
| La Cantera |  |  |  |  |  |  | 52.5 | 1.31 |
| Eli | 9.3 | 1.26 | 10.1 | 1.24 | 19.4 | 1.25 | 7.4 | 1.26 |
| **Total Resource** | **56.3** | **1.80** | **50.6** | **1.75** | **106.8** | **1.78** | **67.6** | **1.38** |

---

The effective date of the estimate is August 7, 2023. Mineral resources are not mineral reserves and do not meet the threshold for reserve modifying factors, such as economic viability, that would allow for conversion to mineral reserves. There is no certainty that any part of the mineral resources estimated will be converted to mineral reserves. Numbers in the table have been rounded to reflect the accuracy of the estimate and may not sum due to rounding.

**KMC's Management's discussion AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS**

*You should read the following discussion and analysis of KMC's consolidated financial condition and results of operations together with KMC's audited consolidated financial statements and the related notes thereto included elsewhere in this proxy statement/prospectus. This discussion and analysis and other parts of this proxy statement/prospectus contain forward-looking statements based upon current beliefs, plans and expectations related to future events and KMC's future financial performance that involve risks, uncertainties, and assumptions, such as statements regarding KMC's intentions, plans, objectives, and expectations for KMC's business. KMC's actual results and the timing of selected events could differ materially from those described in or implied by these forward-looking statements as a result of several factors, including those set forth in the section titled "Risk Factors." See also the section titled "Cautionary Note Regarding Forward-Looking Statements."*

**Overview**

KMC is a global critical minerals and infrastructure company with a portfolio of exploration-stage mineral projects and a permitted water desalination plant (with the maritime concession currently in the granting stage). KMC's flagship assets are the Cerro Blanco Project, comprised of the Titanium Project, and the Water Desalination Project. Each of the Titanium Project and the Water Desalination Project are in the Atacama Region (also known as Region III) of the Republic of Chile.

To date, KMC has funded its operations primarily with proceeds from the sale of its equity securities. From KMC's inception on February 18, 2020 to September 30, 2025, KMC has received approximately $13.2 million in net proceeds from sales of its equity securities. Since KMC's inception on February 18, 2020, KMC has incurred significant losses and it expects to continue to incur losses for the foreseeable future. KMC's net losses were $2,078,123 and $4,397,779 for nine months ended September 30, 2025 and the year ended December 31, 2024, respectively. As of September 30, 2025, KMC had an accumulated deficit of $16,301,540. KMC may never achieve or sustain profitability. The Cerro Blanco Project has not commenced commercial production, and commercial production at the Cerro Blanco Project will require significant capital and expenditures. To become and remain profitable, KMC must generate significant revenues at one or more of KMC's mineral projects or desalination project, which will require KMC to be successful in a range of challenging activities.

**Recent Developments**

*SQM Exploration Agreement* 

On August 30, 2021, KMC's wholly owned subsidiary KM Chile entered into an agreement (the "<u>SQM Exploration Agreement</u>") with *Sociedad Química y Minera de Chile S.A*. (translated as "Chemical and Mining Company of Chile Inc.") ("<u>SQM</u>"). The SQM Exploration Agreement granted KM Chile the right to explore for copper and other metallic mineral substances on 158 mining claims which cover 37,755 hectares in the Atacama Region of Chile (the "<u>Fiel Rosita Project</u>"). SQM is the direct owner of the Fiel Rosita Project mining claims. The SQM Exploration Agreement provided KM Chile the opportunity, subject to the satisfaction of certain conditions to become an 80% partner in a Chilean entity to be formed with SQM for the purpose of exploiting the metallic mineral substances at the Fiel Rosita Project in Chile. On April 30, 2024, pursuant to the SQM Exploration Agreement, KM Chile delivered a termination notice to SQM. As a result, all KM Chile's and SQM's obligations under the SQM Agreement terminated, and there is no carrying value of the Fiel Rosita asset as at September 30, 2025 and December 31, 2024. KMC's business strategy does not involve exploring for copper at the Fiel Rosita Project. KMC's business strategy is focused on the exploration for mineral deposits at the Titanium Project and the commercialization of Desalination Project.

*GEM Purchase Agreement* 

On May 1, 2023, KMC entered into the GEM Purchase Agreement with GEM Nevada pursuant to which KMC agreed to purchase from GEM Nevada all of the issued and outstanding shares of CBT. At the time of consummation of the share purchase transaction under the GEM Purchase Agreement, CBT owned all of the issued and outstanding capital stock of GEM Chile, which owns the mineral concessions and other assets (including physical and electronic data, the rights to a physical drill core, a buyout right on a net smelter royalty, and miscellaneous geological, mining and metallurgical reports) that comprise the Cerro Blanco Project. In consideration for the CBT Shares, KMC issued to GEM Nevada shares of KMC Common Stock that, as agreed with GEM Nevada, had an aggregate value of approximately $2.4 million. As of the closing date of the GEM Purchase Agreement, (i) Cesar López, KMC's President and Chief Executive Officer and a director, beneficially owned 4.08% of the issued and outstanding shares of capital stock of GEM Nevada, (ii) Enrique Correa, KMC's Country Manager (KM Chile) and a director, beneficially owned 0.41% of the issued and outstanding shares of capital stock of GEM Nevada, (iii) John Ryan, KMC's Vice President of Corporate Affairs and Co-Founder, was the Chief Executive Officer of GEM Nevada, a director of GEM Nevada, a director of CBT and a director of GEM Chile, and beneficially owned 3.15% of the issued and outstanding shares of capital stock of GEM Nevada, and (iv) Howard Crosby, one of KMC's directors, was a director and executive officer of GEM Nevada, and a director and Vice President of CB and beneficially owned 3.15% of the issued and outstanding shares of capital stock of GEM Nevada. Each of Messrs. Ryan and Crosby is entitled to his pro rata distribution of any shares of KMC Common Stock that GEM Nevada may distribute to its stockholders. Following the acquisition of the CBT shares, KMC simplified its corporate structure through an internal transaction whereby, effective May 9, 2023, CBT transferred all the outstanding shares of GEM Chile to KMC. As a result of that transaction, GEM Chile is a direct wholly owned subsidiary of KMC and CBT was an inactive wholly owned subsidiary formally dissolved.

*2023 Warrant Exercises*

From July 2023 to November 2023, in order to induce the exercise of outstanding warrants to purchase KMC Common Stock, KMC agreed, upon the exercise of such warrants, to issue a new warrant to purchase one share of KMC Common Stock at an exercise price of $2.40 per share for a period of four years from the date of issuance; *provided however*, in the event that (A) either (i) KMC did not close an initial public offering on or prior to April 30, 2024; or (ii) shares of KMC Common Stock or other equity securities of KMC were not registered under Section 12(b) of the Exchange Act , and (B) KMC Common Stock or other equity securities were not listed on the Nasdaq Stock Market LLC or the NYSE American by April 30, 2024, then the exercise price of the new warrants would be reduced to $1.80 per share and the expiration date of such warrants would be extended by one year. Effective May 1, 2024, the exercise price of such warrants was reduced to $1.80 and the expiration date for such warrants was extended by one year. KMC received $3,039,989 in gross proceeds in connection with these warrant exercises, and KMC issued new warrants to purchase an aggregate of 1,688,884 shares of KMC Common Stock.

*2024 Financing*

From August 21, 2024 to January 10, 2025, KMC entered into securities purchase agreement with various investors, pursuant to which KMC issued (i) an aggregate of 12,292,332 shares of KMC Common Stock at a purchase price per share equal to $0.25, resulting in gross proceeds to KMC of $3,073,083, and (ii) warrants (the "<u>2024 Investor Warrants</u>") to purchase an aggregate of 6,146,196 shares of KMC Common Stock. Each 2024 Investor Warrant had an exercise price of $0.45 per share, was immediately exercisable and can be exercised at any time after their original issuance until the five-year anniversary of the date of original issuance. Of the total proceeds from the 2024 Financing, 210,000 shares were issued through a debt-for-shares exchange. In this transaction, KMC settled three outstanding invoices for officers' and directors' fees totaling $52,500 by issuing shares at a price of $0.25 per share in lieu of making cash payments. All three parties participating in the exchange entered into debt settlement agreements.

In connection with the 2024 Financing, KMC issued warrants to the placement agent to purchase up to 1,555,500 shares of KMC Common Stock. Each warrant had an exercise price of $0.45 per share, was immediately exercisable and can be exercised at any time after their original issuance until the 10-year anniversary of the date of original issuance.

*Fire Mining Claims* 

On December 31, 2025, EastWest Ventures entered into and closed an asset purchase agreement with KMC for the sale of 52 unpatented lode mining claims located in Yavapai County, Arizona, commonly referred to as the Fire Mining Claims, including all minerals and ores in, upon, or under the claims. Under the purchase agreement, KMC acquired only the Fire Mining Claims in exchange for a total purchase price of 2,000,000 restricted shares of KMC Common Stock valued at $0.25 per share. Sarah Cuddy, the sole member manager of EastWest Ventures, also serves as a consultant to KMC, providing office management, administration and legal support services. Ms. Cuddy is the spouse of Cesar López, KMC's Chief Executive Officer and a director.

*Business Combination with CDAQ* 

On January 6, 2026, CDAQ, Pubco, KMC, Purchaser Merger Sub and Company Merger Sub entered into the Merger Agreement. Pursuant to the Merger Agreement, (i) CDAQ will de-register from the Register of Companies in the Cayman Islands by way of continuation and re-register in the State of Delaware so as to re-domicile as and become a Delaware corporation, (ii) Purchaser Merger Sub will merge with and into CDAQ, with CDAQ continuing as the surviving entity, and (iii) Company Merger Sub will merge with and into KMC, with KMC continuing as the surviving entity.

For more information about the Merger Agreement and Ancillary Documents, please see the section entitled "*The Business Combination*." A copy of the Merger Agreement is attached to this proxy statement/prospectus as <u>Annex A</u>.

**Operating Expenses**

***Exploration Expenses***

KMC conducts exploration activities under mining concessions in Chile. KMC expects exploration expenses to increase significantly as KMC continues to expand its exploration activities at the Cerro Blanco Project and KMC's other exploration properties. KMC's exploration expenses primarily consist of drilling and assay costs, engineering and other geological and support costs at the Cerro Blanco Project.

***General and Administrative Expenses***

KMC's general and administrative expenses consist of consultant fees and other general administration costs. KMC's general and administrative expenses are expected to increase significantly as it prepares to operate as a public company. KMC expects higher costs related to consultants, benefits, compliance and corporate governance, stock exchange listing fees, transfer agent and other shareholder-related fees, and other administrative costs.

***Professional Fees Expense***

KMC's professional fees expenses consist of legal, accounting and audit fees. KMC's professional fees expenses are expected to increase significantly. KMC expects higher costs due to additional reporting requirements of a public company.

***Officers' and Directors' fees***

KMC's officer's and directors' fees consist of salaries and stock-based compensation. KMC expects its officers' and directors' fees to increase as a public company and the granting of stock-based compensation.

**Income Taxes**

As KMC has incurred substantial losses to date, it may receive further benefits in the form of deferred tax assets that can reduce its future income tax liabilities, if it is more likely than not that the benefit will be realized before expiration. Historically, KMC has not recognized these potential benefits in its financial statements and have fully reserved for such net deferred tax assets, as KMC believes it is more likely than not that the full benefit of these net deferred tax assets will not be realized before expiration.

**Results of Operations**

*Nine Months Ended September 30, 2025 Compared to Nine Months Ended September 30, 2024*

For the nine months ended September 30, 2025, KMC experienced a net loss of $2,078,123 compared to a net loss of $3,603,594 for the nine months ended September 30, 2024. The $1,525,471 decrease in net loss was primarily attributable to the following:

Exploration expense decreased to $518,567 for the nine months ended September 30, 2025, compared to $757,566 for the nine months ended September 30, 2024, due to the cancellation of the Fiel Rosita Project.

General and administrative expense decreased to $173,612 for the nine months ended September 30, 2025, compared to $409,958 for the nine months ended September 30, 2024, primarily due to decreased costs over all general and administrative expenses.

Professional fees decreased to $76,722 for the nine ended September 30, 2025, compared to $757,943 for the nine months ended September 30, 2024, primarily due to expenses related to an offering and decreased audit and legal fees in 2025.

Officers' and director's fees decreased to $374,521 for the nine months ended September 30, 2025, compared to $423,000 for the nine months ended September 30, 2024, primarily due the President taking over the roll of Chief Financial Officer.

Travel expense decreased to $102,376 for the nine months ended September 30, 2025, compared to $109,811 for the nine months ended September 30, 2024, primarily due the decreased travel to the project sites located outside of the United States.

Depreciation expense increased to $72,533 for the nine months ended September 30, 2025, compared to $65,751 for the nine months ended September 30, 2024, primarily due to the Company acquiring property and equipment.

Other expense decreased to $759,792 for the nine months ended September 30, 2025, compared to $1,082,565 for the nine months ended September 30, 2024, primarily as a result of the disposal of mineral claims in the United States which resulted in a loss on disposal of mineral interests of $1,113,357 in 2024, and by currency exchange loss on translation of foreign operations in 2025.

***Year Ended December 31, 2024 Compared to Year Ended December 31, 2023***

For the year ended December 31, 2024, KMC experienced a net loss of $4,397,780 compared to a net loss of $5,530,199 for the year ended December 31, 2023. The $1,132,419 decrease in net loss was primarily attributable to the following:

Exploration expense decreased to $1,091,400 for the year ended December 31, 2024, compared to $2,560,764 for the year ended December 31, 2023, due to the cancellation of the Fiel Rosita project.

General and administrative expense increased to $570,000 for the year ended December 31, 2024, compared to $318,003 for the year ended December 31, 2023, primarily due to increased consulting fees.

Professional fees decreased to $860,108 for the year ended December 31, 2024, compared to $1,237,073 for the year ended December 31, 2023, primarily due to expenses related an offering and increased audit and legal fees in 2023.

Officers' and director's fees increased to $553,500 for the year ended December 31, 2024, compared to $550,658 for the year ended December 31, 2023, primarily due to less stock-based compensation vesting.

Travel expense decreased to $141,011 for the year ended December 31, 2024, compared to $435,953 for the year ended December 31, 2023, primarily due the decreased travel to the project sites located outside of the United States.

Depreciation expense increased to $93,298 for the year ended December 31, 2024, compared to $21,414 for the year ended December 31, 2023, primarily due to the Company acquiring property and equipment.

Other expense increased to $1,077,798 for the year ended December 31, 2024, compared to $406,334 for the year ended December 31, 2023, primarily as a result of the disposal of mineral claims in the U.S., which resulted in a loss on disposal of mineral interests of $1,113,357 offset by currency exchange gains on translation of foreign operations.

**Cash Flows**

As of September 30, 2025, KMC had cash and cash equivalents of $52,156 compared to $582,012 at September 30, 2024. The decrease in cash and cash equivalents was primarily due to continued costs of operating the business and maintaining KMC's mineral properties.

As of September 30, 2025, KMC had related party debt of $135,000 in officers' and directors' fees and consulting fees due to the wife of the President of KMC compared to $855 at September 30, 2024. KMC had no outstanding lines of credit or other bank financing arrangements as of September 30, 2025 and 2024. KMC had certain payment obligations related to the Fiel Rosita project, however as a result of the termination of the SQM Exploration Agreement subsequent to March 31, 2024, KMC has no further payment obligations. During the nine months ended September 30, 2025 and 2024 KMC received $946,560 and $907,083, respectively, in net proceeds for the sale of its equity securities in private placement and warrant exercises.

As of December 31, 2024, KMC had cash and cash equivalents of $650,969 compared to $752,606 at December 31, 2023. The decrease in cash and cash equivalents was primarily due to continued costs of operating the business and maintaining its mineral properties.

As of December 31, 2024, KMC had no related party debt compared to $6,432 at December 31, 2023. KMC had no outstanding lines of credit or other bank financing arrangements as of December 31, 2024 and 2023. KMC had certain payment obligations related to the Fiel Rosita Project, however as a result of the termination of the SQM Exploration Agreement subsequent to March 31, 2024, KMC has no further payment obligations. During the year ended December 31, 2024 and 2023, KMC received $1,706,997 and $5,302,500, respectively, in net proceeds for the sale of its equity securities in private placement and warrant exercises.

Based on KMC's current business plans, KMC believes that KMC' existing cash and cash equivalents and funds received in the Mergers, will be sufficient for KMC to fund its operating expenses and capital expenditure requirements for the next 18 months. This estimate is based on certain significant assumptions, which are uncertain and may turn out to be incorrect. KMC is focused on its forward-looking liquidity needs. KMC is evaluating its ongoing fixed cost structure as well as decisions related to project retention, advancement and development. KMC will be required to raise additional capital or take other measures to fund future exploration, including, but not limited to, the activities associated with the Cerro Blanco Project described in this proxy statement/prospectus under *"—Properties — Exploration and Related Programs*." Significant development activities, if warranted, will require KMC arranges for financing in advance of planned expenditures. In addition, KMC expects to continue to increase its current financial resources with external financings as long as its long-term business needs require KMC to do so.

**Liquidity and Capital Resources**

The following table presents KMC's sources and uses of cash for the periods indicated:

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| | | |
|:---|:---|:---|
|  | **Nine Months Ended September 30,** | **Nine Months Ended September 30,** |
|  | **2025** | **2024** |
| Net cash used in operating activities | $(1552219) | $(2081543) |
| Net cash provided by (used in) investing activities |  | 998131 |
| Net cash provided by financing activities | 946560 | 907083 |
| Effect of foreign exchange on cash | 6845 | 5736 |
| Increase (decrease) in cash and cash equivalents | (598814) | (170593) |
| Cash and cash equivalents at the beginning of the period | 650969 | 752606 |
| Cash and cash equivalents at the end of the period | $52155 | $582013 |

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Cash used by operating activities was $1,552,219 and $2,081,543 for the nine months ended September 30, 2025 and 2024, respectively. The $529,324 decrease between September 30, 2025 and September 30, 2024 was primarily due to a decrease in net loss and a decrease in loss on disposal of mineral interest.

Cash provided by investing activities was $0 and $998,131 for the nine months ended September 30, 2025 and 2024, respectively. The $998,131 decrease between September 30, 2025 and September 30, 2024 was primarily due to the redemption of a $1,000,000 certificate of deposit to earn additional interest in 2024.

Cash provided by financing activities was $946,560 and $907,083 for the nine months ended September 30, 2025 and 2024, respectively. Cash provided by financing activities in all periods primarily relates to sales of common stock and exercise of warrants.

On August 26, 2024, KMC commenced an offering (the "<u>2024 Private Placement Offering</u>") for the sale of up to 10,000,000 shares of KMC Common Stock at a price per share equal to $0.25 per share, and one-half (1/2) of a five-year warrant (the "<u>Private Placement Warrants</u>"). Each whole 2024 Private Placement Warrant entitles the holder thereof to purchase one share of KMC Common Stock at a price of $0.45 per share and only whole warrants are exercisable. KMC sold a total of 12,082,332 shares of KMC Common Stock and 6,041,166 2024 Private Placement Warrants. KMC received net proceeds from the 2024 Private Placement Offering of $2,653,557 after commissions and offering expenses paid by KMC. The final closing of the 2024Private Placement Offering occurred on January 10, 2025

In connection with the 2024 Private Placement Offering, KMC paid a broker-dealer placement agent (the "Placement Agent"), a 13% cash commission on the gross proceeds plus a $25,000 placement fee and other costs for a total of $367,025. KMC also issued warrants to purchase 1,555,500 shares of KMC Common Stock to the Placement Agent. Each of these warrants entitles the holder thereof to purchase one share of KMC Common Stock at a price of $0.25 per share and has a term of 10 years from the date of issuance.

The following table presents KMC's sources and uses of cash for the periods indicated:

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| | | |
|:---|:---|:---|
|  | **Year Ended<br> December 31,** | **Year Ended<br> December 31,** |
|  | **2024** | **2023** |
| Net cash used in operating activities | $(2794725) | $(4837420) |
| Net cash provided by (used in) investing activities | 990516 | (1585639) |
| Net cash provided by financing activities | 1706997 | 5302500 |
| Effect of foreign exchange on cash | (4426) | (1766) |
| Increase (decrease) in cash and cash equivalents | (101637) | (1122325) |
| Cash and cash equivalents at the beginning of the period | 752606 | 1874931 |
| Cash and cash equivalents at the end of the period | $650969 | $752606 |

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Cash used by operating activities was $2,794,725 and $4,837,420 for the years ended December 31, 2024 and 2023, respectively. The $2,042,695 decrease between December 31, 2024 and December 31, 2023 was primarily due to a decrease in net loss and an increase in loss on disposal of mineral interest.

Cash provided/used by investing activities was $990,516 and $1,585,639 for the years ended December 31, 2024 and 2023, respectively. The $2,576,155 increase between December 31, 2024 and December 31, 2023 was primarily due to the redemption of a $1,000,000 certificate of deposit to earn additional interest in 2024.

Cash provided by financing activities was $1,706,997 and $5,302,500 for the years ended December 31, 2024 and 2023, respectively. Cash provided by financing activities in all periods primarily relates to sales of common stock and exercise of warrants.

**Off-Balance Sheet Arrangements**

KMC did not have any off-balance sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K promulgated under the Securities Exchange Act of 1934, as amended.

**Critical Accounting Policies and Estimates**

The discussion of KMC's financial condition and results of operations is based upon its consolidated financial statements, which have been prepared in accordance with generally accepted accounting principles in the United States, or GAAP. The preparation of these financial statements requires KMC to make estimates and judgments that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. KMC evaluates its estimates and assumptions on an ongoing basis. The results of KMC's analysis form the basis for making assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions, and the impact of such differences may be material to KMC's consolidated financial statements.

Critical accounting policies are those policies that, in management's view, are most important in the portrayal of KMC's financial condition and results of operations. The notes to the consolidated financial statements also include disclosure of significant accounting policies. The methods, estimates and judgments that KMC uses in applying its accounting policies have a significant impact on the results that KMC reports in its financial statements. These critical accounting policies require KMC to make difficult and subjective judgments, often as a result of the need to make estimates regarding matters that are inherently uncertain.

*<u>Mineral Interests</u>*

Mineral interests consist of the legal right to explore, extract, and retain the benefits from mineral deposits. Mining assets include mineral rights which are considered tangible assets under which are required to be recognized at fair value as of the acquisition date. As a result, the direct costs to acquire mineral rights are initially capitalized as tangible assets. Mineral rights include costs associated with acquiring patented and unpatented mining claims.

KMC expenses all mineral exploration costs as incurred as it is still in the exploration stage. If KMC identifies proven and probable reserves in its investigation of its properties and upon development of a plan for operating a mine, it would enter the development stage and capitalize future costs until production is established. When a property reaches the production stage, the related capitalized costs are amortized on a units-of-production basis over the proven and probable reserves following the commencement of production. Interest expense allocable to the cost of developing mining properties and to construct new facilities is capitalized until assets are ready for their intended use.

To date, KMC has not established the commercial feasibility of any exploration prospects; therefore, all exploration costs are being expensed.

Stock Based Compensation

KMC periodically issues stock options and warrants to employees and non-employees for services and for financing costs. The fair value of KMC's stock option and warrant grants is estimated using the Black-Scholes Option Pricing model, which uses certain assumptions related to the fair value of KMC Common Stock, risk-free interest rates, expected stock price volatility, expected life of the stock options or warrants, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes Option Pricing model and the stock award's vesting terms. For stock price volatility, KMC utilizes the average volatility of a group of peer companies that are of a similar nature to KMC. The assumptions used in the Black-Scholes Option Pricing model could materially affect compensation expense recorded in future periods.

Because KMC Common Stock is not yet traded on a stock exchange or in the over-the-counter market, the fair value of common stock issued on a non-cash basis is determined based on the most recent cash sales of KMC Common Stock adjusted for any restrictions or other equity instruments issued in connection with the non-cash transaction.

*<u>Functional Currency</u>*

Items included in the financial statements of each of KMC and its subsidiaries are measured using the currency of the primary economic environment in which the entity operates (the "<u>functional currency</u>"). The functional and reporting currency of KMC and its former subsidiary CBT, are the U.S. Dollar ("<u>USD</u>" or "<u>$</u>"). The functional currency of KMC's Chilean subsidiaries, KMC-Chile and GEM Chile, are the Chilean Peso. All amounts in these consolidated financial statements are in USD, unless otherwise stated.

Transactions in currencies other than the entity's functional currency are recorded at the exchange rate prevailing at the dates of the transactions. Monetary assets and liabilities are translated using the period end foreign exchange rate. Non-monetary assets and liabilities are translated using the historical rate. All gains and losses on translation of these foreign currency transactions are included in the consolidated statements of operations.

**Quantitative and Qualitative Disclosures about Market Risk**

*Interest Rate Risk*

KMC is exposed to market risk related to changes in interest rates. KMC had cash and cash equivalents of $52,156 as of September 30, 2025 and $650,969 as of December 31, 2024. KMC's exposure to interest rate risk is not significant and a hypothetical 1% change in interest rates during any of the periods presented would not have had a material impact on KMC's financial statements included elsewhere in this proxy statement/prospectus.

*Foreign Currency*

KMC's functional currency is the U.S. Dollar. As of the date of this proxy statement/prospectus, KMC is exposed to foreign currency rate risk related to various third-party service contracts denominated in foreign currencies. A hypothetical 10% change in exchange rates during any of the periods presented would not have had a material impact on KMC's financial statements included elsewhere in this proxy statement/prospectus.

**Going Concern Assessment**

KMC's consolidated financial statements included elsewhere in this proxy statement/prospectus have been prepared on a basis which assumes KMC is a going concern. As discussed in Note 2 to those financial statements, KMC has suffered recurring losses from operations, does not expect to generate revenues or operating cash flows for the foreseeable future, and has stated that substantial doubt exists about KMC's ability to continue as a going concern. KMC's ability to continue as a going concern may be viewed unfavorably by current and prospective investors, as well as by analysts and creditors. This may in turn make it more difficult for KMC to raise the additional financing necessary to continue to operate its business and KMC may be forced to significantly alter its business strategy, substantially curtail its current operations, or cease operations altogether. Based on KMC's current business plans, KMC believes that existing cash and cash equivalents and the funds received in the Mergers will be sufficient for KMC to fund its operating expenses and capital expenditures requirements through at least the next 18 months. This estimate is based on certain significant assumptions, which are uncertain and may turn out to be incorrect.

**Emerging Growth Company**

KMC is an emerging growth company ("<u>EGC</u>"), as defined in the Jumpstart Our Business Startups Act (the "Jobs Act"), and may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not EGCs, including that an EGC can take advantage of the extended transition period afforded by the JOBS Act for the implementation of new or revised accounting standards. KMC has elected to use the extended transition period for complying with new or revised accounting standards, and as a result of this election, its consolidated financial statements may not be comparable to companies that comply with public company effective dates for ASUs. KMC may take advantage of these exemptions up until it is no longer an EGC.

**Internal Control over Financial Reporting**

KMC's management is responsible for establishing and maintaining effective internal control over financial reporting for our Company. Internal control over financial reporting is a process to provide reasonable assurance regarding the reliability of KMC's financial reporting and the preparation of financial statements for external purposes in accordance with GAAP. Internal control over financial reporting includes maintaining records that in reasonable detail accurately and fairly reflect KMC's transactions; providing reasonable assurance that transactions are recorded as necessary for preparation of KMC's financial statements; providing reasonable assurance that receipts and expenditures of KMC's assets are made in accordance with management's authorization; and providing reasonable assurance that unauthorized acquisition, use or disposition of KMC's assets that could have a material effect on the financial statements would be prevented or detected on a timely basis. Because of its inherent limitations, internal control over financial reporting is not intended to provide absolute assurance that a misstatement of our financial statements would be prevented or detected. KMC's management has concluded that the consolidated financial statements included elsewhere in this proxy statement/prospectus present fairly, in all material respects, KMC's financial position, results of operation and cash flows in conformity with GAAP.

An evaluation was conducted under the supervision and with the participation of KMC's management of the effectiveness of the design and operation of KMC's internal control over financial reporting in accordance with the Committee of Sponsoring Organizations of the Treadway Commission's 2013 Integrated Framework. Based on that evaluation, KMC's management concluded that its internal control over financial reporting was not effective as of December 31, 2024 and December 31, 2023. Management has identified the following material weaknesses:

● KMC did not employ a sufficient number of staff to maintain optimal segregation of duties;

● KMC's management had the override of its internal control over financial reporting;

● KMC had insufficient communication of key transaction to its accounting personnel;

● KMC did not properly disclose related party transactions;

● KMC ack a sufficient number of independent members of our board of directors;

● communication among our personal of key transactions; and

● KMC's independent registered public accounting firm discovered material adjustments during its audit and interim review procedures.

KMC has begun implementation of a plan to remediate the material weaknesses described above. These remediation measures are ongoing and include hiring additional accounting personnel and implementing additional policies, procedures and controls. The implementation of these remediation measures is in the early stages and will require validation and testing of the design and operating effectiveness of internal control over financial reporting over a sustained period of financial reporting cycles. As a result, the timing of when KMC will be able to fully remediate the material weaknesses is uncertain, and KMC may not fully remediate these material weaknesses during fiscal year 2026.

If KMC fails to maintain effective internal control over financial reporting in the future, it could result in a material misstatement of its financial statements that would not be prevented or detected on a timely basis, which could cause investors to lose confidence in KMC's financial information or cause Pubco's stock price to decline. KMC's independent registered public accounting firm has not assessed the effectiveness of its internal control over financial reporting and, under the JOBS Act, will not be required to provide an attestation report on the effectiveness of KMC's internal control over financial reporting so long as KMC qualifies as an emerging growth company, which may increase the risk that weaknesses or deficiencies in KMC's internal control over financial reporting go undetected.

**Management of Pubco Following the Business Combination**

**Management and the Pubco Board**

Upon the Closing of the Business Combination, the business and affairs of Pubco will be managed by or under the direction of the Pubco Board. The executive officers and directors of Pubco, their ages as of February 3, 2026, and their positions upon the Closing of the Business Combination will be the following:

---

| | | |
|:---|:---|:---|
| **Name** | **Age** | **Position(s)** |
| ***Executive Officers*** |  |  |
| Cesar A. López Alarcón | 61 | President, Chief Executive Officer and Director |
| <sup>(1)</sup> |  | Chief Operations Officer |
| <sup>(1)</sup> |  | Chief Financial Officer |
| ***Non-Employee Directors*** |  |  |
| ______ | ___ | Director Nominee |
| John P. Ryan<sup>(1)</sup> | 65 | Director Nominee |
| Kelly Earle<sup>(1)</sup> | 41 | Director Nominee |
| Timothy R. McCutcheon<sup>(1)</sup> | 53 | Director Nominee |

---

(1) The
 Pubco Board intends to appoint a Chief Financial Officer and Chief Operating Officer prior to the effectiveness of the Registration
 Statement of which this proxy statement/prospectus forms a part and appoint ___________, John P. Ryan, Kelly Earle and Timothy R.
 McCutcheon as directors upon the Closing of the Business Combination

(1) CDAQ
intends to nominate a person to serve on the Pubco Board prior to the effectiveness of the Registration Statement of which this
proxy statement/prospectus forms a part and the Pubco Board intends to appoint such nominee as a director upon the Closing of the Business
Combination.

**Executive Officers**

**Cesar A. López Alarcón** *— President, Chief Executive Officer and Director*

Mr. López is one of KMC's co-founders and has served as KMC's President and Chief Executive Officer and a director since February 2020. From November 2018 to October 2020, Mr. López served as President and Chief Executive Officer of New Energy Metals, a minerals and metals mining company. Since September 2019, Mr. López has served as a director of CopperEx Resources Corporation, a Canadian mineral exploration company. From 2011 to 2015, he served as founder partner, Chief Executive Officer and a member of the board of directors of Aegean Metals Group, a mineral exploration Company (TSX: AGN). From 2005 to 2009, he served as a founding partner and Chief Executive Officer of AQM Copper, Inc., and from 2003 to 2009, he served as a founding partner and director of Centenario Copper Corporation. From 2006 to 2010, he served as a director of White Mountain Titanium Corporation, a titanium mining company. Mr. López has been a member of the Chilean Bar Association since 1989, and a member of the Rocky Mountain Mineral Law Foundation since 1997. Mr. López received his law degree from the Universidad Gabriela t Mistral in Chile in 1988, a Masters of Laws (LLM) in International Law and Legal Studies from Golden Gate University in 1995 and a master's degree in mineral economics from Universidad de Chile in 2014.

The Pubco Board believes that Mr. López is qualified to serve on the Pubco Board due to the valuable experience he brings in his capacity as KMC's and Pubco's President and Chief Executive Officer along with his extensive experience and knowledge of KMC's and Pubco's industry.

**Non-Employee Directors**

**CDAQ Director** – *Director Nominee*

***John P. Ryan*** *— Director Nominee*

Mr. Ryan has served as KMC's Vice President of Corporate Affairs from April 2023 and as KMC's Corporate Secretary since May 2021. Since December 2021, Mr. Ryan has served as a Vice President and Director of LGX Energy, Inc., an oil and gas exploration company. Since June 2020, Mr. Ryan has served as the Chief Executive Officer and Chairman of the board of directors of Gold Express Mines, Inc., a multi-commodity mining company focused on the discovery, development and production of precious and base metal assets. Since September 2013, Mr. Ryan has served as Chief Executive Officer of Premium Exploration, Inc., which filed for bankruptcy protection in August 2015. From November 2016 to September 2020, Mr. Ryan served as a director of Bunker Hill Mining Corp., a development stage mining company, and for a portion of that time Mr. Ryan also served as Interim CEO. Mr. Ryan obtained his bachelor of science degree in mining engineering from the University of Idaho in 1985, and his juris doctor from Boston College Law School in 1992.

The Pubco Board believes that Mr. Ryan is qualified to serve on the Pubco Board due to his extensive experience and knowledge of KMC's and Pubco's industry.

**Kelly Earle** — *Director Nominee*

Ms. Earle will become a member of Pubco's Board upon the Closing of the Business Combination. Ms. Earle is a geologist, investor relations, corporate advisory and marketing professional. In February 2013, Ms. Earle founded K. Earle Consulting, an investor relations and corporate development services company for junior mining companies. From April 2016 to December 2021, Ms. Earle served as Vice President, Communications to Skeena Resources Limited, a Canadian mining exploration and development company, and from January 2021 to December 2022, she served as its Senior Vice President, Corporate Development. From April 2018 to December 2022, Ms. Earle served as an advisor to the British Columbia Regional Mining Alliance, a regional partnership between industry and provincial government representatives to promote mining investment in the Gold Triangle of northwest British Columbia, Canada. From April 2021 to December 2021, Ms. Earle served as a member of the board of directors of QuestEx Gold & Copper Ltd., a mining company with precious and base metal projects in British Columbia, Canada. From January 2019 to July 2020, Ms. Earle served as a member of the board of directors of New Energy Metals Corp., a mining company with energy metals assets in South America. From November 2018 to March 2021, Ms. Earle served as Industry Mentor and Advisory Board Chair for the Center for Advanced Subsurface Earth Resource Models. From September 2013 to January 2015, Ms. Earle served as Investor Relations Officer to Aegean Metals Group Inc., a mining company, and from June 2011 to June 2013, she served as Corporate Communications Manager to Altan Nevada Minerals Ltd. and Altan Rio Minerals Ltd., two junior mining companies with assets in Nevada and Mongolia. Ms. Earle obtained her bachelor of science degree in geology from the University of British Columbia and her CPIR (Certified Professional Investor Relations) designation through the Ivey School of Business at Western University.

The Pubco Board believes that Ms. Earle is qualified to serve on the Pubco Board due to her extensive experience and knowledge of KMC's and Pubco's industry.

**Timothy R. McCutcheon** — *Director Nominee*

Mr. McCutcheon will become a member of the Pubco Board upon the Closing of the Business Combination. Mr. McCutcheon is a capital markets professional and corporate manager with over 25 years' business experience. Since August 2024, Mr. McCutcheon has served as CEO of Talisman Metals PLC, a mineral exploration company with assets in Morocco. From June 2016 to December 2020, Mr. McCutcheon served as President of Wealth Minerals Ltd., a company that is developing lithium assets in Chile, and he currently serves as a Strategic Advisor to Wealth Minerals Ltd. From August 2016 to August 2019, Mr. McCutcheon served as Chief Executive Officer and a director of Ashanti Gold Corp., a gold mining and exploration company. From January 2009 to August 2018, Mr. McCutcheon served as a director of Ovoca Gold PLC, a gold mining and exploration company, and from April 2006 to July 2009, Mr. McCutcheon served as a partner of DBM Capital Partners, a boutique mining resource merchant bank and a company he founded. From January 2003 to April 2006, Mr. McCutcheon served as Head Metals and Mining Analyst to Aton Capital, a European brokerage firm. Mr. McCutcheon obtained his bachelor's degree in history and his MBA in finance from Columbia University.

The Pubco Board believes that Mr. McCutcheon is qualified to serve on the Pubco Board due to his extensive experience and knowledge of KMC's and Pubco's industry and his experience in the capital markets.

***Strategic Advisor to the Pubco Board***

**Tom Henricksen**

Mr. Henricksen has been a freelance consultant geologist since July 1996 and has provided his services to numerous companies carrying out exploration for gold and base metals around the world. Mr. Henricksen currently serves as the Chief Geologist in Turkey and Georgia for Silk Road Metals, a metals company, since 2019 and as a consultant geologist for Coeur Mining, Inc., a mining company, from 2014 to 2018. Mr. Henricksen has also served as the consultant geologist for Inca One Gold Corp., a metals company, since March 2015. Previous to this, Mr. Henricksen served as a consultant for New Energy Metals, Old World Metals, and Forte Cu between January 2016 and August 2020. Additionally, Mr. Henricksen served as the Vice President of Exploration for Indigo Exploration, a geological exploration company, from January 2013 to August 2020 and as the President and Chief Executive Officer of Plan B Minerals, a minerals company, from 2012 to 2019. In 2018, Mr. Henricksen, was awarded the Colin Spence Award for excellence in global mineral exploration in connection with his role in discovery the Hot Maden hybrid VMS/epithermal deposit in Turkey. Mr. Henricksen received his bachelors of science in geology from the University of Wisconsin-Oshkosh in 1969 and his Ph.D. in Economic Geology from Oregon State University in 1974.

**Family Relationships**

There are no family relationships among Pubco's directors and executive officers.

**Board Composition and Election of Directors**

Pubco's business and affairs will be organized under the direction of the Pubco Board. It is anticipated that the Pubco Board will consist of five members upon the Closing of the Business Combination. Cesar A. López Alarcón will serve as Chair of the Pubco Board. The primary responsibilities of the Pubco Board will be to provide oversight, strategic guidance, counseling and direction to Pubco's management. The Pubco Board will meet on a regular basis and additionally as required.

After the Closing of the Business Combination, the number of directors will be fixed by the Pubco Board, subject to the terms of Pubco's amended and restated certificate of incorporation and amended and restated bylaws that will become effective at the Closing of the Business Combination. Each of Pubco's directors will continue to serve as a director until the election and qualification of his or her successor, or until his or her earlier death, resignation or removal.

**Classified Board of Directors** 

In accordance with Pubco's amended and restated certificate of incorporation, which will become effective at the Effective Time, Pubco's directors will be divided into three classes serving staggered three-year terms. At each annual meeting of stockholders, a class of directors will be subject to re-election for a three-year term. As a result, only one class of directors will be elected at each annual meeting of Pubco's stockholders, with the other classes continuing for the remainder of their respective three-year terms. Pubco's then current directors will be divided among the three classes as follows:

● the Class I directors will be Kelly Earle and Timothy McCutcheon and their term will expire at the first annual meeting of stockholders held following the Closing of the Business Combination;

● the Class II directors will be ______ and John P. Ryan, and their terms will expire at the second annual meeting of stockholders held following the Closing of the Business Combination; and

● the Class III director will be Cesar A. López Alarcón and his term will expire at the third annual meeting of stockholders held following the Closing of the Business Combination.

**Role of Board in Risk Oversight**

Upon the Closing of the Business Combination, risk assessment and oversight will be an integral part of Pubco's governance and management processes. The Pubco Board will encourage management to promote a culture that incorporates risk management into Pubco's corporate strategy and day-to-day business operations. Management will discuss strategic and operational risks at regular management meetings and conduct specific strategic planning and review sessions during the year that include a focused discussion and analysis of the risks facing Pubco. Throughout the year, senior management will review these risks with the Pubco Board at regular board meetings as part of management presentations that focus on particular business functions, operations or strategies, and presents the steps taken by management to mitigate or eliminate such risks.

The Pubco Board will not have a standing risk management committee, but rather will administer this oversight function directly through the Pubco Board as a whole, as well as through various standing committees of the Pubco Board that address the risks inherent in their respective areas of oversight. While the Pubco Board will be responsible for monitoring strategic risk exposure, the Pubco Audit Committee will oversee management of financial reporting, compliance and litigation risks, as well as the steps management has taken to monitor and control such exposures. The Pubco nominating and corporate governance committee manages risks associated with the independence of the Pubco Board, potential conflicts of interest and the effectiveness of the Pubco Board and the Pubco Compensation Committee will be responsible for overseeing the management of risks relating to Pubco's executive compensation policies, plans and arrangements and the extent to which those policies or practices increase or decrease risks for Pubco.

**Director Independence**

In connection with the Business Combination, Pubco will apply to list its common stock on The Nasdaq Capital Market. Under the Nasdaq Listing Rules, independent directors must comprise a majority of a listed company's board of directors. In addition, the Nasdaq Listing Rules require that each member of a listed company's audit, compensation and nominating and governance committees be independent. Under the Nasdaq Listing Rules, a director will only qualify as an "independent director" if, in the opinion of that company's board of directors, that person does not have a relationship that would interfere with the exercise of independent judgment in carrying out the responsibilities of a director.

Audit committee members must also satisfy the independence criteria set forth in Rule 10A-3 under the Exchange Act. In order to be considered independent for purposes of Rule 10A-3, a member of an audit committee of a listed company may not, other than in his or her capacity as a member of the audit committee, the board of directors or any other board committee: (i) accept, directly or indirectly, any consulting, advisory or other compensatory fee from the listed company or any of its subsidiaries; or (ii) be an affiliated person of the listed company or any of its subsidiaries. Pubco intends to satisfy the audit committee independence requirements of Rule 10A-3 as of the Closing of the Business Combination.

Additionally, compensation committee members must not have a relationship with Pubco that is material to the director's ability to be independent from management in connection with the duties of a compensation committee member. Pubco intends to satisfy the compensation committee independence requirements as of the Closing of the Business Combination.

Prior to the completion of the Business Combination, the parties undertook a review of the independence of the individuals named above as director nominees and determined that each of the director nominees, other than Messrs. López and Ryan, will qualify as independent directors, as defined under the rules of the Nasdaq Listing Rules, and the Pubco Board will consist of a majority of "independent directors," as defined under the rules of the SEC and the Nasdaq Listing Rules relating to director independence requirements. In addition, Pubco will be subject to the rules of the SEC and the Nasdaq Listing Rules relating to the membership, qualifications, and operations of the audit committee, as discussed below.

**Board Committees**

Effective upon the Closing of the Business Combination, the Pubco Board will have three standing committees: an audit committee, a compensation committee, and a nominating and corporate governance committee. Following the Closing of the Business Combination, copies of the charters for each committee will be available on Pubco's website. Information contained on or accessible through Pubco's website is not a part of this proxy statement/prospectus, and the inclusion of Pubco's website address in this proxy statement/prospectus is an inactive textual reference only.

***Audit Committee***

The Pubco Audit Committee will consist of _________. _____________ and __________. The Pubco Board expects to determine that each member of the Pubco Audit Committee is independent under the Nasdaq Listing Rules and Rule 10A-3(b)(1) of the Exchange Act. The chair of the Pubco Audit Committee will be __________. The Pubco Board expects to determine that each member of the audit committee can read and understanding fundamental consolidated financial statements and that _________ is an "audit committee financial expert" as such term is currently defined in Item 407(d)(5) of Regulation S-K. The Pubco Audit Committee will be directly responsible for, among other things:

● appointing, evaluating, and overseeing a firm to serve as Pubco's independent registered public accounting firm to audit Pubco's consolidated financial statements;

● ensuring the independence of the independent registered public accounting firm;

● discussing the scope and results of the audit with the independent registered public accounting firm and reviewing, with management and that firm, Pubco's interim and year-end operating results;

● establishing procedures for employees to anonymously submit concerns about questionable accounting or audit matters;

● considering the adequacy of Pubco's internal controls and internal audit function;

● monitoring and reviewing legal, regulatory, and administrative compliance to the extent affecting Pubco's financial results;

● reviewing proposed waivers of the code of business conduct and ethics for directors and executive officers;

● reviewing and recommending changes or amendments to the code of business and conduct and ethics;

● reviewing material related party transactions or those that require disclosure;

● determining and reviewing risk assessment guidelines and policies, including cybersecurity risks, financial risk exposure, and internal controls regarding information security; and

● approving or, as permitted, pre-approving all audit and non-audit services to be performed by the independent registered public accounting firm.

***Compensation Committee***

The Pubco Compensation Committee will consist of __________, ___________ and ___________. The Pubco Board expects to determine that each member of this committee is a non-employee director, as defined by Rule 16b-3 promulgated under the Exchange Act and meets the requirements for independence under the Nasdaq Listing Rules. The chair of the Pubco Compensation Committee is expected to be _______. The compensation committee will be responsible for, among other things:

● reviewing and approving the compensation of Pubco's executive officers and recommending that the Pubco Board approves the compensation of Pubco's Chief Executive Officer;

● reviewing and recommending to the Pubco Board the compensation of Pubco's directors;

● administering Pubco's stock and equity incentive plans and overseeing regulatory compliance related to such plans;

● reviewing and approving, or making recommendations to the Pubco Board with respect to, incentive compensation and equity plans; and

● reviewing Pubco's overall compensation philosophy.

***Nominating and Corporate Governance Committee***

The Pubco nominating and corporate governance committee will consist of ____________, _______________ and __________. The Pubco Board expects to determine that each member of the nominating and corporate governance committee meets the requirements for independence under the Nasdaq Listing Rules. The chair of the Pubco nominating and corporate governance committee will be __________. The nominating and corporate governance committee will be responsible for, among other things:

● developing and recommending selection criteria for new directors for the Pubco Board;

● identifying and recommending candidates for membership on the Pubco Board;

● reviewing and determining board director independence annually and, as needed, as potential conflicts of interest arise;

● reviewing and recommending Pubco's corporate governance guidelines and policies;

● overseeing the process of evaluating the performance of the Pubco Board; and

● assisting the Pubco Board on corporate governance matters.

**Compensation Committee Interlocks and Insider Participation**

None of the intended members of Pubco's compensation committee has ever been an executive officer or employee of Pubco. None of Pubco's intended executive officers currently serves, or has served during the last completed fiscal year, on the compensation committee or board of directors of any other entity that has one or more executive officers that will serve as a member of the Pubco Board or the Pubco Compensation Committee.

In connection with the Business Combination, the Pubco Board will adopt a code of business conduct and ethics that will apply to all of Pubco's directors, officers, and employees. The code of business conduct and ethics will cover fundamental ethics and compliance-related principles and practices such as accurate accounting records and financial reporting, avoiding conflicts of interest, the protection and use of Pubco's property and information, and compliance with legal and regulatory requirements. Pubco's code of business conduct and ethics will be posted on the investor relations section of Pubco's website at keyminingcorp.com. Pubco intends to disclose any amendments to Pubco's code of business conduct and ethics, or waivers of its requirements, on Pubco's website to the extent required by the applicable rules and exchange requirements.

**Clawback Policy** 

In connection with the Business Combination, the Pubco Board will adopt a clawback policy to apply to Pubco's officers. The clawback policy will be intended to comply with the requirements of Exchange Act Rule 10D-1 and any implementing regulations adopted by Nasdaq and will apply if Pubco is required to prepare an accounting restatement resulting from material noncompliance with financial reporting requirements under the federal securities laws. The clawback policy will require certain incentive compensation that was received after the clawback policy's effective date and erroneously awarded based on the restated financial results to be promptly repaid.

**Limitation on Liability and Indemnification Matters**

Pubco's amended and restated certificate of incorporation and amended and restated bylaws, each of which will each become effective upon the Closing of the Business Combination, will limit Pubco's directors' liability and may indemnify Pubco's directors and officers to the fullest extent permitted under DGCL. The DGCL provides that directors of a corporation will not be personally liable for monetary damages for breach of their fiduciary duties as directors, except for liability for any:

● any breach of the director's duty of loyalty to Pubco or its stockholders;

● act or omission not in good faith or that involves intentional misconduct or a knowing violation of law;

● unlawful payment of dividends or unlawful stock repurchases or redemptions as provided in Section 174 of the DGCL; or

● any transaction from which the director derived an improper benefit.

The DGCL and Pubco's amended and restated bylaws provide that Pubco will, in certain situations, indemnify Pubco's directors and officers and may indemnify other employees and other agents, to the fullest extent permitted by law.

Pubco intends to enter into indemnification agreements with each of Pubco's directors and officers. These indemnification agreements may require Pubco, among other things, to indemnify Pubco's directors and officers for some expenses, including attorneys' fees, judgments, penalties, fines, and settlement amounts incurred by a director or officer in any action or proceeding arising out of his or her service as one of Pubco's directors or officers, or any of Pubco's subsidiaries or any other company or enterprise to which the person provides services at Pubco's request. Subject to certain limitations, Pubco's indemnification agreements also require Pubco to advance expenses incurred by Pubco's directors, officers, and key employees for the defense of any action for which indemnification is required or permitted.

Pubco will maintain a directors' and officers' insurance policy pursuant to which Pubco's directors and officers are insured against liability for actions taken in their capacities as directors and officers. Pubco believes that these provisions in Pubco's amended and restated certificate of incorporation and amended and restated bylaws and these indemnification agreements are necessary to attract and retain qualified persons as directors and officers.

The limitation of liability and indemnification provisions in Pubco's amended and restated certificate of incorporation and amended and restated bylaws may discourage stockholders from bringing a lawsuit against Pubco's directors and officers for breach of their fiduciary duty. They may also reduce the likelihood of derivative litigation against Pubco's directors and officers, even though an action, if successful, might benefit Pubco and its stockholders. Further, a stockholder's investment may be adversely affected to the extent that Pubco pays the costs of settlement and damage awards against directors and officers as required by these indemnification provisions.

At present, there is no pending litigation or proceeding involving any of Pubco's directors, officers or employees for which indemnification is sought and Pubco is not aware of any threatened litigation that may result in claims for indemnification.

Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers or control persons, Pubco has been advised that in the opinion of the SEC, such indemnification is against public policy, as expressed in the Securities Act and is therefore unenforceable.

**BENEFICIAL OWNERSHIP OF SECURITIES**

The following table and accompanying footnotes set forth information regarding (i) the beneficial ownership of CDAQ Ordinary Shares, as of ______, 2026 and (ii) expected beneficial ownership of shares of Pubco Common Stock immediately following completion of the Business Combination, assuming both that the CDAQ Public Shareholders elect to redeem no CDAQ Public Shares and alternatively that the CDAQ Public Shareholders elect to redeem the maximum amount of the CDAQ Public Shares.

This ownership information is provided in respect of:

● each person who is the beneficial owner of more than 5% of the issued and outstanding CDAQ Ordinary Shares;

● each of CDAQ's current executive officers and directors;

● all of CDAQ's current executive officers and directors as a group;

● each person expected to be the beneficial owner of more than 5% of the issued and outstanding shares of Pubco Common Stock after the completion of the Business Combination;

● each of Pubco's current executive officers and directors;

● each person who is expected to become an executive officer or a director of Pubco upon completion of the Business Combination; and

● all of Pubco's expected executive officers and directors as a group.

Beneficial ownership is determined according to the rules of the SEC, which generally provide that a person has beneficial ownership of a security if he, she or it possesses sole or shared voting or investment power over that security, including options and warrants that are currently exercisable or exercisable within 60 days.

Pursuant to the CDAQ Memorandum and Articles, each Ordinary Share entitles the holder to one vote per share, except as otherwise described herein. Pursuant to the Pubco Charter, each share of Pubco Common Stock will entitle the holder to one vote per share. Each share of Pubco Common Stock will not entitle the holder to vote on any matters except as required by law.

Beneficial ownership of CDAQ Ordinary Shares prior to the completion of the Business Combination is based on 5,420,988 CDAQ Ordinary Shares issued and outstanding as of the date of this proxy statement/prospectus.

The expected beneficial ownership of shares of Pubco Common Stock immediately following completion of the Business Combination assumes two scenarios:

● No Redemptions: This scenario assumes no CDAQ Public Shareholders exercise their redemption rights.

● Maximum Redemptions: This scenario assumes that CDAQ Public Shareholders choose to exercise their redemption rights in respect of the 110,866 CDAQ Public Shares. The Maximum Redemptions amount reflects the maximum number of CDAQ Public Shares that can be redeemed such that sufficient funds are available to pay all transaction costs to be paid prior to or upon the Closing of the Business Combination.

The beneficial ownership information below also assumes that the number of outstanding securities and securities convertible or exercisable within 60 days of ______, 2026 of each of CDAQ and Pubco are the same as the number of such securities outstanding and convertible or exercisable upon consummation of the Business Combination. Based on the foregoing assumptions, we estimate that there would be 26,568,467 shares of Pubco Common Stock issued and outstanding immediately following the consummation of the Business Combination in the No Redemptions scenario, and 26,457,601 shares of Pubco Common Stock issued and outstanding immediately following the consummation of the Business Combination in the Maximum Redemptions scenario. Both scenarios assume that 18,623,329 shares of Pubco Common Stock will be issued to the KMC Sellers. If the actual facts are different from the foregoing assumptions, the ownership figures in Pubco and the columns under No Redemptions and Maximum Redemptions in the table that follows will be different.

Unless otherwise noted in the footnotes to the following table, and subject to applicable community property laws, the persons and entities named in the table have sole voting and investment power with respect to their beneficially owned securities. Except as indicated in the footnotes to the table, each of the security holders listed below has sole voting and investment power with respect to CDAQ Ordinary Shares or shares of Pubco Common Stock owned by such shareholders.

**Pre-Business Combination Beneficial Ownership Table of CDAQ**

The following table sets forth information regarding the beneficial ownership of CDAQ Ordinary Shares as of ______, 2026, based on information obtained from the persons named below, with respect to the beneficial ownership of CDAQ Ordinary Shares, by:

● each person known by CDAQ to be the beneficial owner of more than 5% of outstanding CDAQ Ordinary Shares;

● each of CDAQ's executive officers and directors; and

● all of CDAQ's executive officers and directors as a group.

In the table below, percentage ownership is based on 5,420,988 CDAQ Ordinary Shares, consisting of (i) 3,310,866 CDAQ Class A Ordinary Shares and (ii) 2,110,122 CDAQ Class B Ordinary Shares, issued and outstanding as of ______, 2026. On all matters to be voted upon, except for the election of directors of the board, holders of the CDAQ Class A Ordinary Shares and CDAQ Class B Ordinary Shares vote together as a single class, unless otherwise required by applicable law. Currently, all of the CDAQ Class B Ordinary Shares are convertible into CDAQ Class A Ordinary Shares on a one-for-one basis.

Unless otherwise indicated, we believe that all persons named in the table have sole voting and investment power with respect to all CDAQ Ordinary Shares beneficially owned by them. The following table does not reflect record or beneficial ownership of the Private Warrants as these Private Warrants are not exercisable within 60 days of the Record Date.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **CDAQ Class A Ordinary Shares** | **CDAQ Class A Ordinary Shares** | **CDAQ Class B Ordinary Shares** | **CDAQ Class B Ordinary Shares** | **Approximate** |
| <br>**Name and Address of Beneficial Owner (1)** | **Number of Shares Beneficially Owned** | **Approximate Percentage of Class** | **Number of Shares Beneficially Owned** | **Approximate Percentage of Class** | **Percentage of Total Outstanding CDAQ Ordinary Shares** |
| HCG Opportunity, LLC (the Sponsor) (2) | 2260941 | 68.3% | 832095 | 39.43% | 39.70% |
| Daniel J. Hennessy (2) | 2260941 | 68.3% | 832095 | 39.43% | 39.70% |
| Thomas D. Hennessy (2) | 2260941 | 68.3% | 832095 | 39.43% | 39.70% |
| Nick Geeza |  |  |  |  |  |
| Joseph Beck |  |  |  |  |  |
| Anna Brunelle |  |  |  |  |  |
| Kirk Hovde |  |  |  |  |  |
| Matt Schindel |  |  |  |  |  |
| All directors and executive officers as a group (7 individuals) | 2260941 | 68.3% | 832095 | 39.43% | 39.70% |
| **Other 5% Shareholders** |  |  |  |  |  |
| Compass Digital SPAC LLC (our Legacy Sponsor) (3) | 939059 | 28.4% | 1278027 | 60.57% | 28.45% |
| Sea Otter Securities Group LLC (4) | 841098 | 25.4% |  |  | 10.79% |
| Citadel Parties (5) | 752899 | 22.7% |  |  | 9.66% |

---

(1) Unless
 otherwise noted, the principal business address of each of the following entities or individuals is c/o 195 US Hwy 50, Suite 207,
 Zephyr Cove, NV 89488.

(2) HCG
 Opportunity MM, or HCG MM, the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary
 Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ
 Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the
 CDAQ Board. Messrs. Hennessy disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

(3) According
 to a Schedule 13G filed with the SEC on February 14, 2023 by the Legacy Sponsor. These amounts include (i) 105,000 CDAQ Class A Ordinary
 Shares and 91,647 CDAQ Class B Ordinary Shares held by our prior independent directors and (ii) 591,978 CDAQ Class A Ordinary Shares
 and 591,978 CDAQ Class B Ordinary Shares held by certain Institutional Anchor Investors, who hold membership interests in the Legacy
 Sponsor. The principal business address of the Legacy Sponsor is 3626 N. Hall St., Suite 910, Dallas, Texas, 75219.

(4) According
 to a Schedule 13G/A filed with the SEC on November 3, 2021 by Sea Otter Securities Group LLC, a Delaware limited liability company
 (" <u>Sea Otter</u> "). The number of CDAQ Public Shares held by Sea Otter is reported as of October 26, 2021, which does
 not reflect any redemption of shares by Sea Otter in connection with the Extension Redemptions or any other transactions after October
 26, 2021, or in connection with the Non-Redemption Agreements. Accordingly, the number of CDAQ Public Shares and the percentages
 set forth in the table may not reflect Sea Otter's current beneficial ownership. The principal business address of Sea Otter
 is 107 Grand St, 7th Floor, New York, New York 10013.

(5) According
 to a Schedule 13G/A filed with the SEC on February 14, 2023 by (i) Citadel Advisors LLC, a Delaware limited liability company that
 holds 752,750 CDAQ Public Shares (" <u>Citadel Advisors</u> "), (ii) Citadel Advisors Holdings LP, a Delaware limited partnership
 that holds 752,750 CDAQ Public Shares (" <u>CAH</u> "), (iii) Citadel GP LLC, a Delaware limited liability company that
 holds 752,750 CDAQ Public Shares (" <u>CGP</u> "), (iv) Citadel Securities LLC, a Delaware limited liability company that
 holds 149 CDAQ Public Shares (" <u>Citadel Securities</u> "), (v) Citadel Securities Group LP, a Delaware limited partnership
 that holds 149 CDAQ Public Shares ("CALC4"), (vi) Citadel Securities GP, a Delaware general partnership that holds 149
 CDAQ Public Shares LLC (" <u>CSGP</u> ") and (vii) Mr. Kenneth Griffin, a U.S. citizen that holds 752,899 CDAQ Public Shares
 (" <u>Mr. Griffin</u>," collectively with Citadel Advisors, CAH, CGP, Citadel Securities, CALC4 and CSGP, the " <u>Citadel Parties</u> "). The CDAQ Public Shares reported by the Citadel Parties are owned by Citadel Credit Master Fund LLC, a Delaware
 limited liability company (" <u>CCMF</u> "), and Citadel Securities. Citadel Advisors is the portfolio manager for CCMF.
 CAH is the sole member of Citadel Advisors. CGP is the general partner of CAH. CALC4 is the non-member manager of Citadel Securities.
 CSGP is the general partner of CALC4. Mr. Griffin is the President and Chief Executive Officer of CGP, and owns a controlling interest
 in CGP and CSGP. The number of CDAQ Public Shares held by the Citadel Parties is reported as of December 31, 2022, which does not
 reflect any redemption of shares by the Citadel Parties in connection with the Extension Redemptions or any other transactions after
 December 31, 2022, or in connection with the Non-Redemption Agreements. Accordingly, the number of CDAQ Public Shares and the percentages
 set forth in the table may not reflect the Citadel Parties' current beneficial ownership. The principal business address of
 each of the Citadel Parties is Southeast Financial Center, 200 S. Biscayne Blvd., Suite 3300, Miami, Florida 33131.

**Post-Business Combination Beneficial Ownership Table of Pubco**

The following tables sets forth information regarding the expected beneficial ownership of Pubco Common Stock following the Closing, assuming "No Redemptions" and "Maximum Redemptions" of CDAQ Public Shareholders exercising their redemption rights in connection with the Business Combination, based on information obtained from the persons named below, with respect to the beneficial ownership of Pubco Common Stock, by:

● each person expected to be the beneficial owner of more than 5% of the issued and outstanding shares of Pubco Common Stock after the completion of the Business Combination;

● each of Pubco's current executive officers and directors;

● each person who is expected to become an executive officer or a director of Pubco upon completion of the Business Combination; and

● all of Pubco's expected executive officers and directors as a group.

No Redemptions

In the table below, percentage ownership is based on 26,568,467 shares of Pubco Common Stock. This scenario assumes that: (i) no CDAQ Public Shareholders exercise their redemption rights; (ii) there are no pre-Closing transfers, distributions or forfeitures of securities held by the Sponsor; and (iii) no shares of Pubco Common Stock are issued and outstanding under the Incentive Plan. Numbers may vary if the number of CDAQ Public Shares redeemed is different.

---

| | | |
|:---|:---|:---|
| | **Pubco Common Stock** | **Pubco Common Stock** |
| <br>**Name and Address of Beneficial Owner<sup>(1)</sup>** | **Number of <br> Shares <br> Beneficially <br> Owned** | **Approximate <br> Percentage <br> of Class** |
| Cesar A. López Alarcón<sup>(2)</sup> | 1353636 | 5.0% |
| John P. Ryan<sup>(3)</sup> | 478451 | 1.8% |
| Kelly Earle |  |  |
| Timothy R. McCutcheon |  |  |
| CDAQ Director |  |  |
| All Directors and Executive Officers as a group (5 individuals) <sup>(4)</sup> | 1832087 | 6.8% |
| **Other 5% Shareholders** |  |  |
| Gold Express Mines<sup>(5)</sup> | 1329441 | 5.0% |
| Thomas Hamilton <sup>(6)</sup> | 2057980 | 7.6% |
| HCG Opportunity, LLC<sup>(7)</sup> | 6206134 | 23.4% |

---

\* Less than 1%.

(1) Unless otherwise noted, the business address of each of the following entities or individuals is 701 Brickell Avenue, Suite 1550, Miami, FL 33131.

(2) Consists of (i) 955,508 shares of Pubco Common Stock and (ii) stock options to purchase 398,128 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(3) Consists of (i) 359,012 shares of Pubco Common Stock and (ii) stock options to purchase 119,439 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(4) Consists of (i) 1,314,520 shares of Pubco Common Stock and (ii) stock options to purchase 517,567 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026

(5) John P. Ryan, Howard Crosby, James Czirr and Terrence Dunne are the directors of Gold Express Mines Inc.'s ("<u>GEM</u>") board of directors. Any action by GEM with respect to us or shares of our common stock, including voting and dispositive decisions, requires a vote of three out of the four directors of the board of directors. Under the so-called "rule of three," because voting and dispositive decisions are made by three out of the four directors of the board of directors, none of the directors is deemed to be a beneficial owner of securities held by GEM. Accordingly, none of the directors on GEM's board of directors is deemed to have or share beneficial ownership of our shares of common stock held by GEM. The business address of GEM is 61/2 North 2<sup>nd</sup> Avenue, Suite 201, Walla Walla, WA 99362.

(6) Consists of (i) 1,540,413 shares of Pubco Common Stock and (ii) warrants to purchase 517,567 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(7) Consists of (i) 1,560,736 shares of Pubco Common Stock and (ii) warrants to purchase 4,645,398 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026. HCG Opportunity MM, or HCG MM, the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Messrs. Hennessy disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

Maximum Redemptions

In the table below, percentage ownership is based on 26,457,601 shares of Pubco Common Stock expected to be issued immediately following Closing. This scenario assumes that: (i) CDAQ Public Shareholders choose to exercise their redemption rights in respect of the 110,866 CDAQ Public Shares and (ii) no shares of Pubco Common Stock are issued and outstanding under the Incentive Plan. The Maximum Redemptions amount reflects the maximum number of CDAQ Public Shares that can be redeemed such that sufficient funds are available to pay all transaction costs to be paid prior to or upon the Closing of the Business Combination. Numbers may vary, including if not all CDAQ Public Shareholders redeem their CDAQ Public Shares.

---

| | | |
|:---|:---|:---|
| | **Pubco Common Stock** | **Pubco Common Stock** |
| <br>**Name and Address of Beneficial Owner<sup>(1)</sup>** | **Number of <br> Shares <br> Beneficially <br> Owned** | **Approximate <br> Percentage <br> of Class** |
| Cesar A. López Alarcón<sup>(2)</sup> | 1353636 | 5.0% |
| John P. Ryan<sup>(3)</sup> | 478451 | 1.8% |
| Kelly Earle |  |  |
| Timothy R. McCutcheon |  |  |
| CDAQ Director |  |  |
| All Directors and Executive Officers as a group (5 individuals) <sup>(4)</sup> | 1832087 | 6.8% |
| **Other 5% Shareholders** |  |  |
| Gold Express Mines<sup>(5)</sup> | 1329441 | 5.0% |
| Thomas Hamilton <sup>(6)</sup> | 2057980 | 7.6% |
| HCG Opportunity, LLC<sup>(7)</sup> | 6206134 | 23.5% |

---

\* Less than 1%.

(1) Unless otherwise noted, the business address of each of the following entities or individuals is 701 Brickell Avenue, Suite 1550, Miami, FL 33131.

(2) Consists of (i) 955,508 shares of Pubco Common Stock and (ii) stock options to purchase 398,128 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(3) Consists of (i) 359,012 shares of Pubco Common Stock and (ii) stock options to purchase 119,439 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(4) Consists of (i) 1,540,413 shares of Pubco Common Stock and (ii) stock options to purchase 517,567 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(5) John P. Ryan, Howard Crosby, James Czirr and Terrence Dunne are the directors of Gold Express Mines Inc.'s ("<u>GEM</u>") board of directors. Any action by GEM with respect to us or shares of our common stock, including voting and dispositive decisions, requires a vote of three out of the four directors of the board of directors. Under the so-called "rule of three," because voting and dispositive decisions are made by three out of the four directors of the board of directors, none of the directors is deemed to be a beneficial owner of securities held by GEM. Accordingly, none of the directors on GEM's board of directors is deemed to have or share beneficial ownership of our shares of common stock held by GEM. The business address of GEM is 61/2 North 2nd Avenue, Suite 201, Walla Walla, WA 99362.

(6) Consists of (i) 1,540,412 shares of Pubco Common Stock and (ii) warrants to purchase 517,567 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026.

(7) Consists of (i) 1,560,736 shares of Pubco Common Stock and (ii) warrants to purchase 4,645,398 shares of Pubco Common Stock that may be exercised within 60 days of February 4, 2026. HCG Opportunity MM, or HCG MM, the sole member of the Sponsor and has voting and investment discretion with respect to the CDAQ Ordinary Shares held of record by the Sponsor. Thomas D. Hennessy and Daniel J. Hennessy are the sole members of HCG MM and serve on the CDAQ Board. Thomas D. Hennessy also serves as the Chief Executive Officer of CDAQ and Daniel J. Hennessy serves as the Chairman of the CDAQ Board. Messrs. Hennessy disclaim beneficial ownership of such CDAQ Ordinary Shares, other than their pecuniary interests therein.

**EXECUTIVE AND DIRECTOR COMPENSATION**

**CDAQ** 

None of CDAQ officers or directors have received any cash compensation for services rendered to it, other than its Chief Financial Officer, who was paid an aggregate of $0 and $20,500 for services provided to CDAQ in 2025 and 2024, respectively. Commencing on October 19, 2021 through the earlier of closing of its initial business combination and its liquidation, CDAQ may pay the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of its management team and other expenses and obligations of the Sponsor, pursuant to the Administrative Services Agreement, as assigned to the Sponsor by the Legacy Sponsor. In addition, the Sponsors, Prior Directors and Officers, officers and directors, or any of their respective affiliates are reimbursed for any out-of-pocket expenses incurred in connection with activities on CDAQ's behalf such as identifying potential target businesses and performing due diligence on suitable business combinations. CDAQ's Audit Committee reviews on a quarterly basis all payments that were made by us to the Sponsors, Prior Directors and Officers, officers or directors, or its or their affiliates. Any such payments prior to an initial business combination are made from funds held outside the Trust Account. Other than quarterly Audit Committee review of such reimbursements, CDAQ does not have any additional controls in place governing its reimbursement payments to its directors and officers for their out-of-pocket expenses incurred in connection with CDAQ's activities on its behalf in connection with identifying and consummating an initial business combination. Other than these payments and reimbursements, no compensation of any kind, including finder's and consulting fees, has been or will be paid by CDAQ to the Sponsors, Prior Directors and Officers, officers and directors, or any of their respective affiliates, prior to completion of an initial business combination.

After the completion of an initial business combination, directors or members of our management team who remain with CDAQ may be paid consulting or management fees from the combined company. All of these fees will be fully disclosed to shareholders, to the extent then known, in the proxy solicitation materials or tender offer materials furnished to CDAQ Shareholders in connection with a proposed initial business combination. CDAQ has not established any limit on the amount of such fees that may be paid by the combined company to its directors or members of management. It is unlikely the amount of such compensation will be known at the time of the proposed initial business combination, because the directors of the post-combination business will be responsible for determining officer and director compensation. Any compensation to be paid to our officers will be determined, or recommended to the CDAQ Board for determination, either by a compensation committee constituted solely by independent directors or by a majority of the independent directors on the CDAQ Board.

CDAQ does not intend to take any action to ensure that members of its management team maintain their positions with us after the closing of its initial business combination, although it is possible that some or all of its officers and directors may negotiate employment or consulting arrangements to remain with it after its initial business combination. __, CDAQ's __, is expected to serve on the Pubco Board after the Business Combination. The existence or terms of any such employment or consulting arrangements to retain their positions with it may influence CDAQ's management's motivation in identifying or selecting a target business but CDAQ does not believe that the ability of its management to remain with it after the closing of its initial business combination will be a determining factor in its decision to proceed with any potential business combination. CDAQ is not party to any agreements with its officers and directors that provide for benefits upon termination of employment.

**KMC**

KMC's named executive officers, or NEOs, for the year ended December 31, 2025, which consist of its current principal executive officer, and KMC's other most highly compensated executive officer, are:

● Cesar A. López Alarcón, KMC's President and Chief Executive Officer; and

● Enrique Correa, Country Manager of KM Chile.

**Summary Compensation Table**

The following table provides information regarding the compensation earned by KMC's NEOs for the years ended December 31, 2025 and 2024.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Name and principal position** | **Year** | **Salary <br> ($)** | **Bonus <br> ($)** | **Option <br> awards <br> ($)** | **Non-equity <br> incentive <br> plan <br> compensation <br> ($)** | **All other <br> compensation <br> ($)** | **Total <br> ($)** |
| **Cesar A. López Alarcón** | 2025 | 180000 | – |  | – |  | 180000 |
| &nbsp;&nbsp;&nbsp;*President and Chief Executive Officer* | 2024 | 180000 | – |  | – |  | 180000 |
| **Enrique Correa** | 2025 | 144000 | – |  | – |  | 144000 |
| &nbsp;&nbsp;&nbsp;*Country Manager <br> (KM Chile)* | 2024 | 144000 | – |  | – |  | 144000 |

---

**Narrative Disclosure to the Summary Compensation Table**

***Elements of Compensation***

The compensation of KMC's NEOs generally consists of base salary and long-term incentive compensation in the form of equity awards as described below, however for fiscal year 2025, KMC's compensation program consisted entirely of salary.

*Base Salary*

The base salary payable to the NEOs is intended to provide a fixed component of compensation reflecting each of their skill set, experience, role, responsibilities, and contributions. Mr. López's initial base salary was specified in his consulting agreement, as described below, and Mr. Correa's initial base salary was specified in his consulting agreement, as described below. For fiscal year 2025, Messrs. López's and Correa's annual base salary rates were $180,000 and 144,000, respectively.

*Long Term Equity Incentives*

KMC did not grant any long-term equity incentives to KMC's NEOs during fiscal year 2025.

***Compensation and Consulting Arrangements with KMC's NEOs***

*Cesar A. López Alarcón Consulting Agreement and Other Compensation Arrangements*

In September 2021, in his capacity as Chief Executive Officer and a director, KMC issued to Mr. López an option to purchase 500,000 shares of its common stock at an exercise price of $0.30 per share. The option vested as to 125,000 shares on the date of grant and as to 125,000 shares on each of March 13, 2022, December 13, 2022 and September 13, 2023. The expiration date of the option is September 12, 2028.

In January 2022, KMC entered into a consulting agreement with Mr. López, or the López Consulting Agreement. The López Consulting Agreement provides that he will serve as KMC's Chief Executive Officer and sets his annual base compensation at $180,000 payable in equal monthly installments. The López Consulting Agreement may be terminated by Mr. Lopez upon not less than 30 days written notice to KMC and may be terminated by KMC upon not less than 60 days' written notice to Mr. Lopez. Additionally, KMC may terminate the López Consulting Agreement immediately (unless otherwise noted below) upon the occurrence of any of the following: (i) any willful failure by Mr. López in the performance of any of the services under his consulting agreement; (ii) the conviction of Mr. López of a criminal or summary conviction offence related to the retainer of Mr. López under his consulting agreement, or any act involving money or other property involving KMC or any affiliate of KMC which would constitute a crime in the jurisdiction involved; (iii) any act of fraud, misappropriation, dishonesty, embezzlement or similar conduct against KMC, any affiliate of KMC, a supplier or service provider to KMC or any affiliate or a customer of KMC or any affiliate; (iv) the use by Mr. López of illegal drugs or the habitual and disabling use of alcohol or drugs; (v) any material breach of any of the terms of the consulting agreement by Mr. López which breach remains uncured after the expiration of five days following the delivery of written notice of such breach to Mr. López by KMC; (vi) any threatened or actual attempt by Mr. López to secure any personal profit in connection with the business of KMC or any of its affiliates or any of their respective corporate opportunities, or the appropriation of a maturing business opportunity of KMC or any of its affiliates; (vii) any act by Mr. López which is materially injurious to KMC or its business or that of any of its affiliates; (viii) any material breach by Mr. López of any of the policies governing the affairs of KMC and the conduct of its directors, officers, employees and consultants that may be applicable to Mr. López by virtue of the indemnification provisions of the consulting agreement; (ix) conduct by Mr. López amounting to inattention to, or substandard performance of, the services under the consulting agreement, which failure or conduct remains uncured after the expiration of 10 days following the delivery of written notice of such failure or conduct to Mr. López by KMC; (x) Mr. López commits an act of bankruptcy, is adjudicated bankrupt or otherwise becomes subject to the provisions of bankruptcy legislation in any state, or if a receiver, liquidator or receiver manager is appointed for the assets or business of Mr. López; (xi) substantially all of the assets of KMC are sold; (xii) a majority of the outstanding voting shares of KMC are sold, exchanged or otherwise disposed of in a single transaction or series of related transactions; (xiii) KMC terminates its business and liquidates its respective assets; (xiv) KMC is merged or consolidated in a transaction in which KMC's stockholders receive less than 50% percent of the outstanding voting shares of the new or continuing corporation; or (xv) Mr. López is, in the reasonable judgement of KMC, unable to efficiently and competently perform and carry out the required services under the consulting agreement. Upon a termination by KMC as a result of the occurrence of any of the events above, Mr. López shall be entitled to receive all accrued and unpaid annual base compensation and payment of any expenses incurred by not yet reimbursed.

The López Consulting Agreement also contains customary non-competition provisions that extend for up to six months following the termination of the consulting agreement. The López Consulting Agreement also provides that he may receive and use for his own benefit unsolicited mineral exploration project submissions directed to Mr. López or his agent for companies other than KMC, and Mr. López is not under any obligation to make any such submissions known to KMC or to offer to KMC an opportunity to review or participate in the same. Finally, the López Consulting Agreement provides that Mr. López may receive unsolicited mineral exploration project submissions directed to KMC, or to Mr. López as agent for KMC, which submissions Mr. López will promptly deliver to KMC for consideration by KMC and if KMC has not notified Mr. López in writing within 30 days of receipt thereof by KMC that it intends to act upon such unsolicited mineral or mineral exploration project submissions, then Mr. López will have the right to consider such submissions for his own use and benefit and KMC will thereafter not have any further right to such submission.

In connection with Business Combination, Pubco has entered into a new employment agreement, or the López Employment Agreement, that will be effective upon Closing of the Business Combination and replace the López Consulting Agreement. The López Employment Agreement provides for at-will employment and sets forth an annual base salary of $375,000, a target annual bonus opportunity at 70% of base salary, and eligibility to participate generally in employee benefit plans and the equity incentive plan.

Accordingly, as required by the López Employment Agreement, the Pubco Board granted to Mr. López under the Incentive Plan, effective upon the Closing of the Business Combination,

● RSUs which shall become earned and fully vested upon the completion of a feasibility study (including any 'bankable' or 'definitive' feasibility study) for the Titanium Project that is prepared in compliance with Regulation S-K, Subpart 1300 and summarized in a technical report summary signed by a qualified person that concludes the project is economically viable for development and production, in each case as determined and certified in good faith by the Compensation Committee of Pubco;

● RSUs which shall become earned and vested in equal tranches upon Pubco's or any of its subsidiaries' execution of an offtake agreement (or series of related agreements) with one or more investment-grade counterparties for the purchase of titanium concentrate from the Titanium Project providing, in aggregate, for committed annual contract quantities of at least 10,000 tonnes per annum per tranche on arm's-length terms consistent with industry practice, up to an aggregate cap of 52,500 tonnes per annum. Each full 10,000-tonne per annum tranche of committed offtake so contracted, as determined and certified by the Compensation Committee of Pubco;

● RSUs which shall become earned and fully vested upon Pubco's or any of its subsidiaries' execution of a development or joint venture agreement with an investment-grade strategic partner pursuant to which such partner is obligated to fund, arrange funding for, or otherwise be financially responsible (in whole or in material part) for advancing the Water Desalination Project to ready-to-build status, evidenced by receipt of all material permits and approvals required to commence construction and completion of a Class 3 or better capital cost estimate and implementation schedule, as determined and certified by the Compensation Committee of Pubco;

● RSUs which shall become earned and fully vested upon Pubco's or any of its subsidiaries' execution of a water supply or offtake agreement(s) for the Water Desalination Project with one or more mining, industrial, agricultural, municipal or community users providing, in aggregate, for the allocation and committed purchase of at least 300 L/s of desalinated water capacity (out of the project's currently anticipated and permitted installed capacity totaling 440 L/s), while preserving the remaining capacity for the Company's own water needs at the Titanium Project, as determined and certified by the Compensation Committee of Pubco;

● RSUs which shall become earned and fully vested upon Pubco's or any of its subsidiaries' acquisition of a direct or indirect interest of not less than a majority equity stake in one or more mining properties that, individually or in the aggregate, constitute a material mining property for purposes of Regulation S-K, Subpart 1300, as determined in good faith by the Pubco Board and disclosed as such in Pubco's SEC filings, and that is supported by an initial assessment (technical report in compliance with Regulation S-K, Subpart 1300), pre-feasibility study or feasibility study demonstrating a mineral resource or reserve of at least the economic equivalent of 250,000 tonnes of contained gold or gold-equivalent metal, as determined and certified by the Compensation Committee of Pubco; and

● RSUs which shall become earned and fully vested upon the completion and public disclosure by Pubco of a technical report summary prepared in compliance with Regulation S-K, Subpart 1300 by a qualified person, declaring for the first time a maiden mineral resource estimate on a greenfield exploration property (whether currently held or subsequently acquired by Pubco or any of its subsidiaries) which the Pubco Board determines in good faith constitutes a material mining property under Regulation S-K, Subpart 1300, having regard to the tonnage, grade/quality and projected economic significance of such mineral resource, as determined and certified by the Committee.

The López Employment Agreement provides for severance benefits upon a termination of Mr. López's employment by KMC without "cause", or his resignation for "good reason", subject to Mr. López's execution of a general release of claims. The severance benefits are: (i) payment within 30 days following termination of all accrued and unpaid base salary and of any expenses that have been incurred but are unpaid, (ii) to provide Mr. López with vested plan benefits that by their terms extend beyond the termination of Mr. López's employment, (iii) payment to Mr. López of an amount equal to Mr. López's base salary as in effect immediately preceding the date of termination for a period of 24 months, to be paid in equal monthly or more frequent installments as are customary under Pubco's payroll practices from time to time, (iv) payment of any amount equal to Mr. López's annual bonus for any completed calendar year, to the extent earned for such year and unpaid as of the date of termination, and (iv) continuation of his health care (medical, dental and vision) plan coverage provided to Mr. López and his spouse and dependents at the time of the date of termination for 12 months after the date of termination.

The López Employment Agreement eliminates Mr. López's right under the López Consulting Agreement (as described above) to use for his own benefit any unsolicited mineral exploration project submissions that were directed to Mr. López or his agent for companies other than Pubco, and has eliminated the fact that Mr. López has no obligation to make any such submissions known to Pubco or to offer to Pubco an opportunity to review or participate in the same. Additionally, the López Employment Agreement eliminates Mr. López's right under the López Consulting Agreement to use for his own benefit any unsolicited mineral exploration project submissions that were directed to KMC, or to Mr. López as agent for Pubco, if Pubco failed to provide notice to Mr. López that it did not intend to act on such unsolicited mineral exploration project submissions.

The López Employment Agreement includes customary confidentiality and work product assignment covenants, and an agreement by Mr. López that he will not solicit KMC's current or former employees contractors, customers or suppliers either during the period of his employment with Pubco or the one-year period after the termination or expiration of his employment with Pubco.

*Enrique Correa's Consulting Agreement*

In September 2021, KMC issued to Mr. Correa, an option to purchase 400,000 shares of KMC Common Stock at an exercise price of $0.30 per share. The option vested as to 100,000 shares on the date of grant and as to 100,000 shares on each of March 13, 2022, December 13, 2022 and September 13, 2023. The expiration date of the option is September 12, 2028.

In October 2021, KM Chile entered into a consulting agreement, or the Correa Consulting Agreement, with Mr. Correa and Inversiones ZT Financial Group SpA, an entity affiliated with Mr. Correa. The Correa Consulting Agreement provides for that he will serve as KM Chile's country manager and sets his annual base compensation at $144,000 payable in equal monthly installments. The Correa Consulting Agreement is for an indefinite term. The Correa Consulting Agreement may be terminated by Mr. López upon not less than 30 days written notice to KM Chile and may be terminated by KM Chile upon not less than 30 days' written notice to Mr. López. Upon a termination, Mr. Correa shall be entitled to receive all accrued and unpaid annual base compensation, payment of any expenses incurred by not yet reimbursed.

**Outstanding Equity Awards at Fiscal Year-End**

The following table provides information regarding the outstanding equity awards held by KMC's NEOs as of December 31, 2025.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | **Option Awards** | **Option Awards** | **Option Awards** | **Option Awards** |
| <br>**Name** | <br>**Grant Date** | **Number of <br> Securities <br> Underlying <br> Unexercised <br> Options (#) <br> (Exercisable)** | **Number of <br> Securities <br> Underlying <br> Unexercised <br> Options (#) <br> (Unexercisable)** | **Option <br> Exercise <br> Price <br> ($)** | **Option <br> Expiration <br> Date** |
| Cesar A. López Alarcón | 09/13/2021 | 500000<sup>(1)</sup> |  | 0.30 | 09/12/2028 |
| Enrique Correa | 09/13/2021 | 400000<sup>(2)</sup> |  | 0.30 | 09/12/2028 |

---

(1) This
 option vested with respect to 125,000 of the shares on September 13, 2021, March 13, 2022, December 13, 2022 and September 13, 2023.

(2) This
 option vested with respect to 100,000 of the shares on September 13, 2021, March 13, 2022, December 13, 2022 and September 13, 2023.

**Equity Incentive Plans**

***Omnibus Incentive Compensation Plan***

In connection with the Business Combination, CDAQ is requesting that CDAQ Shareholders vote upon a proposal by ordinary resolution to approve the Incentive Plan, which provides for awards to certain eligible service providers of Pubco. The Pubco Board and sole Pubco stockholder will adopt the Incentive Plan prior to the effectiveness of this proxy statement/prospectus. See the section entitled "*– Summary of the Incentive Plan*" for a further discussion.

**Other Benefits**

Pubco currently does not provide any welfare benefits (i.e. health, dental, life, vision and disability insurance) to any of its employees.

Pubco does not maintain any 401(k) or defined benefit pension plans or nonqualified deferred compensation plans.

**Rule 10b5-1 Sales Plans**

Pubco's directors and executive officers may adopt written plans, known as Rule 10b5-1 plans, in which they will contract with a broker to buy or sell Pubco Common Stock on a periodic basis. Under a Rule 10b5-1 plan, a broker executes trades pursuant to parameters established by the director or officer when entering into the plan, without further direction from them. The director or officer may amend or terminate a Rule 10b5-1 plan subject to compliance with Pubco's insider trading policy. Pubco's directors and executive officers also may buy or sell additional shares outside of a Rule 10b5-1 plan when they are not in possession of material nonpublic information subject to compliance with Pubco's insider trading policy.

**KMC DIRECTOR COMPENSATION**

**Non-Employee Director Compensation**

The following table presents the total compensation earned by each of KMC's non-employee directors in the year ended December 31, 2025. Other than as described below, none of KMC's non-employee directors received any other compensation in the year ended December 31, 2025.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name and principal position** | **Fees <br> earned <br> or paid <br> in cash <br> ($)** | **Option <br> awards <br> ($)** | **Non-equity <br> incentive <br> plan <br> compensation <br> ($)** | **All other <br> compensation <br> ($)** | **Total <br> ($)** |
| **Howard Crosby** | 52500 | – |  | – | 52500 |
| **John May** | 30000 | – |  | – | 30000 |

---

***Non-Employee Director Compensation Policy***

KMC does not have a formal policy to provide any cash or equity compensation to its non-employee directors for their service on KMC's board of directors or committees of KMC's board of directors. KMC has entered into the following agreements, amended certain agreements, and granted the following awards:

● In
 September 2021, KMC's board of directors issued to Mr. Crosby options to purchase 150,000 shares of its common stock at an
 exercise price of $0.30 per share. The options vested as to 37,500 shares of KMC Common Stock on the date of grant and March 13,
 2022, 25,000 shares of KMC Common Stock on September 13, 2022 and March 13, 2023, and will vest as to 25,000 shares of KMC Common
 Stock on September 13, 2023. The options will terminate on September 12, 2028.

**PUBCO DIRECTOR COMPENSATION**

In connection with Business Combination, the Pubco Board intends to adopt the following non-employee director compensation policy, to be effective upon the Closing of the Business Combination.

---

| | |
|:---|:---|
| **Compensation Elements: Non-Employee Director Compensation Policy** | |
| **Cash** |  |
| &nbsp;&nbsp;&nbsp;Annual Cash Retainer | $45000 |
| **Annual Committee Chair Retainer** |  |
| &nbsp;&nbsp;&nbsp;Audit | $10000 |
| &nbsp;&nbsp;&nbsp;Compensation Committee | $7500 |
| &nbsp;&nbsp;&nbsp;Nominating & Corporate Governance | $7500 |
| **Annual Committee Member Retainer** |  |
| &nbsp;&nbsp;&nbsp;Audit | $5000 |
| &nbsp;&nbsp;&nbsp;Compensation | $3000 |
| &nbsp;&nbsp;&nbsp;Nominating & Corporate Governance | $3000 |
| **Equity** |  |
| &nbsp;&nbsp;&nbsp;Initial Restricted Stock Grant<sup>(1)</sup> | $60000 |
| &nbsp;&nbsp;&nbsp;Initial Stock Option Grant<sup>(2)</sup> | $60000 |
| &nbsp;&nbsp;&nbsp;Annual Restricted Stock Grant<sup>(3)</sup> | $35000 |
| &nbsp;&nbsp;&nbsp;Annual Stock Option Grant<sup>(4)</sup> | $35000 |

---

(1) Initial
 restricted stock grants will generally vest monthly over a period of 36 months, subject to continued service with the Company.

(2) Initial
 stock option grants will generally vest monthly over a period of 36 months, subject to continued service with the Company.

**CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS**

**CDAQ's Relationships and Related Party Transactions**

In March 2021, an affiliate of the Legacy Sponsor paid $25,000, or approximately $0.005 per share, to cover certain of CDAQ's offering costs, in exchange for an aggregate of 5,750,000 Founder Shares, which were subsequently transferred to the Legacy Sponsor. Prior to the closing of the CDAQ IPO, an affiliate of the Legacy Sponsor loaned us an aggregate of up to $250,000 under the IPO Promissory Note. Such loans and advances were non-interest bearing and payable on the earlier of December 31, 2021 or the completion of the CDAQ IPO. The loans of $195,000 were fully repaid upon the consummation of the CDAQ IPO on October 19, 2021.

The Legacy Sponsor committed, pursuant to a written agreement, to purchase an aggregate of 4,666,667 CDAQ Private Warrants (or 5,066,667 CDAQ Private Warrants if the over-allotment option was exercised in full), each exercisable to purchase one Class A Ordinary Share at $11.50 per share, at a price of $1.50 per whole CDAQ Private Warrant, or $7,000,000 in the aggregate (or $7,600,000 if the over-allotment option was exercised in full), in the CDAQ Private Placement, which occurred concurrently with the closing of the CDAQ IPO. On November 30, 2021, the underwriters of the CDAQ IPO purchased an additional 1,240,488 over-allotment units pursuant to the partial exercise of the over-allotment option. The over-allotment units were sold at an offering price of $10.00 per over-allotment unit, generating aggregate additional gross proceeds of $12,404,880.

On November 30, 2021, in connection with the partial exercise of the over-allotment option, the Legacy Sponsor surrendered 439,878 Founder Shares. Also, in connection with the partial exercise of the over-allotment option, the Legacy Sponsor purchased an additional 165,398 CDAQ Private Warrants at a purchase price of $1.50 per whole CDAQ Private Warrant. The CDAQ Private Warrants are identical to the Public Warrants sold in the CDAQ IPO, except that the CDAQ Private Warrants, so long as they are held by our Legacy Sponsor or its permitted transferees, (i) will not be redeemable by CDAQ, (ii) may not (including the CDAQ Class A Ordinary Shares issuable upon exercise of these CDAQ Private Warrants), subject to certain limited exceptions, be transferred, assigned or sold by the holders until 30 days after the completion of our initial business combination, (iii) may be exercised by the holders on a cashless basis and (iv) are entitled to registration rights. The CDAQ Private Warrants may not, subject to certain limited exceptions, be transferred, assigned or sold by the holder. If CDAQ does not complete its initial business combination by the Business Combination Deadline, the CDAQ Private Warrants will expire worthless. The CDAQ Private Warrants are subject to the transfer restrictions described below.

**Sponsor Handover**

On August 30, 2023, the Sponsors entered into the Sponsor Purchase Agreement, and on August 31, 2023, the Sponsors consummated the Sponsor Handover. Pursuant to the terms of the Sponsor Purchase Agreement, at the Sponsor Handover: (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 CDAQ Private Warrants to the Sponsor; (ii) the Sponsor agreed to cause us to pay an aggregated amount of $300,000 in cash consideration upon Closing of the Business Combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of $125,000 under the 2021 Promissory Note); (iii) the Sponsor entered into the Registration Rights Agreement Joinder; (iv) the Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor; (v) all Prior Directors and Officers resigned, and each member of our management team was appointed by our Sponsor; and (vi) we entered into the Insider Agreement Amendment with the Sponsors and the Prior Directors and Officers.

On March 29, 2024, CDAQ entered into the Letter Agreement Joinder with each of our directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

**Founder Share Conversions**

On October 19, 2023, following the approval of the Founder Share Amendment Proposal by CDAQ shareholders at the 2023 extraordinary general meeting, CDAQ issued an aggregate of 600,000 CDAQ Class A Ordinary Shares to the Sponsors upon the conversion of an equal number of CDAQ Class B Ordinary Shares held by the Sponsors as Founder Shares in the 2023 Founder Share Conversion.

On July 24, 2024, in connection with the 2024 extraordinary general meeting and the 2024 Redemptions, the Sponsors also converted an aggregate of 2,600,000 Founder Shares on a one-for-one basis into CDAQ Class A Ordinary Shares in the 2024 Founder Share Conversion.

The CDAQ Class A Ordinary Shares issued in the Founder Share Conversions are subject to the same restrictions as applied to the CDAQ Class B Ordinary Shares before the Founder Share Conversions, including the Sponsors' agreement not to transfer, assign or sell any of its Founder Shares until the earlier to occur of: (i) one year after the completion of a Business Combination or (ii) the date on which we complete a liquidation, merger, capital share exchange or similar transaction that results in our shareholders having the right to exchange their CDAQ Ordinary Shares for cash, securities or other property. Notwithstanding the foregoing, if the last reported sale price of the CDAQ Class A Ordinary Shares equals or exceeds $12.00 per share (as adjusted for share splits, share dividends, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 150 days after the Business Combination, the Founder Shares will be released from the lock-up.

**Administrative Services Agreement**

CDAQ currently utilizes office space at 195 US Hwy 50, Suite 207, Zephyr Cove, NV 89488, from the Sponsor as our executive offices. Commencing on October 14, 2021, CDAQ may pay the Sponsor up to $10,000 per month for office space, utilities, salaries or other cash compensation paid to consultants to the Sponsor, secretarial and administrative support services provided to members of the management team and other expenses and obligations of the Sponsor, pursuant to the Administrative Services Agreement. Upon completion of its initial business combination or its liquidation, CDAQ will cease paying these monthly fees. There was an aggregate amount of $160,000 and $40,000 outstanding for the years ending December 31, 2024 and 2023, respectively, and there was $120,000 expenses incurred during the years ending December 31, 2024 and 2023. For the nine months ended September 30, 2025, the total administrative expenses were $90,000. As of September 30, 2025 and December 31, 2024, there was $250,000 and $160,000, respectively, accrued, but not paid. The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor on August 31, 2023 in connection with the Sponsor Handover.

**Compensation**

No compensation of any kind, including finder's and consulting fees, has been or will be paid by CDAQ to the Sponsors, Prior Directors and Officers, members of our management team, or any of their respective affiliates, for services rendered prior to or in connection with the completion of an initial business combination. In addition, these individuals are reimbursed for any out-of-pocket expenses incurred in connection with activities on our behalf such as identifying potential target businesses and performing due diligence on suitable business combinations. CDAQ's Audit Committee reviews on a quarterly basis all payments that were made by CDAQ to the Sponsors, Prior Directors and Officers, members of CDAQ's management team or CDAQ or their affiliates.

After our initial business combination, members of CDAQ's management team who remain with CDAQ may be paid consulting, management or other fees from the combined company with any and all amounts being fully disclosed to our shareholders, to the extent then known, in the proxy solicitation or tender offer materials, as applicable, furnished to our shareholders, such as the Pubco Registration Statement. It is unlikely the amount of such compensation will be known at the time of distribution of such tender offer materials or at the time of a general meeting held to consider our initial business combination, as applicable, as it will be up to the directors of the post-combination business to determine executive officer and director compensation.

**Working Capital Loans and Promissory Notes**

In order to finance transaction costs in connection with an intended initial business combination, our Initial Shareholders, Sponsors or an affiliate of the Initial Shareholders or Sponsors, or certain of our Prior Directors and Officers or current directors and officers may, but are not obligated to, loan us Working Capital Loans as may be required on a non-interest basis. If we complete an initial business combination, we would repay such Working Capital Loans. In the event that the initial business combination does not close, we may use a portion of the working capital held outside the Trust Account to repay such Working Capital Loans but no proceeds from our Trust Account would be used for such repayment. Up to $1,500,000 of such Working Capital Loans may be convertible into warrants of the post Business Combination entity at a price of $1.50 per whole warrant at the option of the lender at the time of the Business Combination. Such warrants would be identical to the CDAQ Private Warrants. Prior to the completion of our initial business combination, we do not expect to seek loans from parties other than our Sponsors or an affiliate of our Sponsors as we do not believe third parties will be willing to loan such funds and provide a waiver against any and all rights to seek access to funds in our Trust Account.

On December 30, 2021, we issued the 2021 Promissory Note, an unsecured promissory note in the principal amount of up to $1,000,000 to GCG, an affiliate of our Legacy Sponsor. The 2021 Promissory Note bears no interest and is repayable in full upon consummation of the initial business combination. GCG has the option to convert any unpaid balance of the 2021 Promissory Note into 2021 Note Warrants to purchase one share of CDAQ Class A Ordinary Shares equal to the principal amount of the 2021 Promissory Note so converted divided by $1.50. The terms of any such 2021 Note Warrants will be identical to the terms of our existing CDAQ Private Warrants held by GCG. As of December 31, 2024 and 2023, we had borrowed an aggregate of $125,000 under the 2021 Promissory Note, respectively. As of September 30, 2025, there was $125,000 outstanding on the 2021 Promissory Note.

On November 21, 2024, we issued the Sponsor Loan Note in the aggregate principal amount of up to $2,500,000 to the Sponsor. The Sponsor Loan Note was issued in connection with advances the Sponsor has previously made and may make in the future to us for working capital expenses. The Sponsor Loan Note bears no interest and is repayable in full upon the earlier of (i) the date on which we consummate an initial business combination and (ii) the date of our liquidation. If, prior to the Business Combination, the principal balance of the Sponsor Loan Note has not been paid in full, then, at the Sponsor's option and subject to certain conditions, up to $1,375,000 of the unpaid principal amount of the Sponsor Loan Note may be converted into the 2024 Note Warrants to purchase CDAQ Class A Ordinary Shares at a conversion price of $1.50 per 2024 Note Warrant. The 2024 Note Warrants shall be identical to the CDAQ Private Warrants. The 2024 Note Warrants and their underlying securities are entitled to the registration rights set forth in the Sponsor Loan Note. As of September 30, 2025, there was $1,635,872, outstanding under the Sponsor Loan Note. As of December 31, 2024 and 2023, there was $1,115,000 and $0, respectively, outstanding under the Sponsor Loan Note.

**Polar Capital Investment**

On September 6, 2023, CDAQ entered into the Polar Subscription Agreement with the Sponsor and Polar, pursuant to which Polar agreed to fund up to $1,500,000 to CDAQ, subject to certain funding milestones. Once we have reached a defined milestone, upon on at least five (5) calendar days' prior written notice, the Sponsor may require a drawdown against Polar's capital commitment, a Polar Capital Investment, in order to meet the Sponsor's commitment to us under a drawdown request. The Polar Capital Investment will be repaid to Polar by us upon the closing of an initial business combination. Polar may elect to receive such repayment (i) in cash or (ii) in CDAQ Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten (10) dollars of the Polar Capital Investment. In addition, pursuant to the Merger Agreement, immediately prior to the Closing, CDAQ shall issue to Polar 1,350,000 CDAQ Class A Ordinary Shares pursuant to the Polar Subscription Agreement. In the event CDAQ liquidates without consummating a Business Combination, any amounts remaining in our cash accounts (excluding the Trust Account) will be paid by CDAQ to Polar within five (5) calendar days of the liquidation, and such amounts will be the sole recourse for Polar. As of September 30, 2025, we had drawn $1,250,000 under the Polar Capital Investment, respectively, that was fair valued at $227,273. As of December 31, 2024 and 2023, CDAQ had drawn $1,250,000 and $500,000 under the Polar Capital Investment, respectively, that was fair valued at $227,273 and $90,909, respectively.

Any of the foregoing payments to our Sponsors, repayments of loans from our Sponsors, or affiliates of our Sponsors, or repayments of any Working Capital Loans and the Polar Capital Investment prior to our initial business combination will be made using funds held outside the Trust Account.

**Non-Redemption Agreements**

Between October 9, 2023 and October 19, 2023, we entered into the 2023 Non-Redemption Agreements with the Sponsor and unaffiliated third-party investors in exchange for such investors agreeing not to redeem an aggregate of 4,998,734 CDAQ Public Shares in connection with the vote to approve the Charter Amendment Proposals at the 2023 extraordinary general meeting. In exchange for these commitments not to redeem the 2023 Non-Redeemed Shares, the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the Closing of the Business Combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer).

Between July 17, 2024 and July 18, 2024, CDAQ entered into the 2024 Non-Redemption Agreements with the Sponsor and unaffiliated, third-party investors in exchange for such investors agreeing not to redeem an aggregate of 2,475,000 CDAQ Public Shares in connection with the vote to approve the 2024 Extension Amendment Proposal at the 2024 extraordinary general meeting. In exchange for these commitments not to redeem the 2024 Non-Redeemed Shares, the Sponsor agreed to transfer to such investors an aggregate of (i) 412,498 Founder Shares held by the Sponsor for the first five (5) months of the extension of the Business Combination Deadline from July 19, 2024 to December 19, 2024 pursuant to the 2024 Extension Amendment Proposal and (ii) 82,498 Founder Shares held by the Sponsor per month, for each additional month of the extension of the Business Combination Deadline from December 19, 2024 until April 19, 2025, as needed pursuant to the 2024 Extension Amendment Proposal, in connection with the Closing of the Business Combination, provided that (i) the investors did not exercise their redemption rights with respect to the 2024 Non-Redeemed Shares in connection with the 2024 extraordinary general meeting and (ii) the 2024 Extension Amendment Proposal was approved.

In connection with CDAQ's entry into the 2024 Non-Redemption Agreements, CDAQ also agreed that, in the event of the liquidation of the Trust Account, CDAQ will only utilize up to $50,000 of funds from the accrued interest of the Trust Account to pay any dissolution expenses if CDAQ do not effect a Business Combination prior to the Business Combination Deadline.

**Registration Rights**

The holders of the Founder Shares, CDAQ Private Warrants and any 2021 Note Warrants and 2024 Note Warrants (and in each case holders of their underlying securities, as applicable) are entitled to registration rights pursuant to the Registration Rights Agreement, requiring CDAQ to register such securities for resale (in the case of the Founder Shares, only after conversion to CDAQ Class A Ordinary Shares). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that we register such securities. In addition, the holders have certain "piggy-back" registration rights with respect to registration statements filed subsequent to the consummation of a Business Combination and rights to require CDAQ to register for resale such securities pursuant to Rule 415 under the Securities Act. CDAQ will bear the expenses incurred in connection with the filing of any such registration statements. On August 31, 2023, the Sponsor executed the Registration Rights Agreement Joinder in connection with the Sponsor Handover.

**Letter Agreement**

The Sponsors, Prior Directors and Officers, and directors and officers have entered into the Letter Agreement, as amended, with CDAQ, pursuant to which, they have waived their rights to liquidating distributions from the Trust Account with respect to any Founder Shares held by them if CDAQ fails to complete its initial business combination by the Business Combination Deadline. However, if the Sponsors or Prior Directors and Officers acquire CDAQ Public Shares in or after the CDAQ IPO, they will be entitled to liquidating distributions from the Trust Account with respect to such CDAQ Public Shares if CDAQ fails to complete its initial business combination by the Business Combination Deadline.

Additionally, pursuant to the Letter Agreement, as amended, they will not propose any amendment to the CDAQ Memorandum and Articles (i) to modify the substance or timing of our obligation to allow redemption in connection with CDAQ's initial business combination or to redeem 100% of our CDAQ Public Shares if CDAQ does not complete our initial business combination by the Business Combination Deadline or (ii) with respect to any other material provisions relating to shareholders' rights or pre- initial business combination activity, unless CDAQ provides its CDAQ Public Shareholders with the opportunity to redeem their CDAQ Public Shares upon approval of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust account, including interest earned on the funds held in the Trust Account and not previously released to CDAQ to pay its taxes, divided by the number of then outstanding CDAQ Public Shares.

For more information on the agreements entered into in connection with the Business Combination, see *"The Business Combination — Ancillary Documents".*

**KMC's Relationships and Related Party Transactions**

The following includes a summary of transactions since January 1, 2023 and any currently proposed transactions to which KMC was or is expected to be a participant in which (1) the amount involved exceeded or will exceed the lesser of $120,000 or one percent of KMC's average total assets at year end for the last two completed fiscal years, and (2) any of KMC's directors, executive officers, or holders of more than 5% of KMC's capital stock, or any affiliate or member of the immediate family of the foregoing persons, had or will have a direct or indirect material interest, other than compensation and other arrangements that are described under the section titled "*Executive and Director Compensation — KMC*."

Except as set forth below, KMC believes the terms obtained or consideration that KMC paid or received, as applicable, in connection with the transactions described below were comparable to terms available or the amounts that KMC would pay or receive, as applicable, in arm's-length transactions.

On May 1, 2023, KMC entered into the GEM Purchase Agreement with GEM Nevada, pursuant to which KMC agreed to purchase from GEM Nevada all of the issued and outstanding shares of CBT. At the time of consummation of the share purchase transaction under the GEM Purchase Agreement, CBT owned all of the issued and outstanding capital stock of GEM Chille which owns the mineral concessions and other assets (including physical and electronic data, the rights to a physical drill core, a buyout right on a net smelter royalty, and miscellaneous geological, mining and metallurgical reports) that comprise the Cerro Blanco Project. In consideration for the CBT Shares, KMC issued to GEM Nevada shares of KMC Common Stock that, as agreed with GEM Nevada, had an aggregate value of approximately $2.4 million. As of the closing date of the GEM Purchase Agreement, (i) Cesar López, KMC's President and Chief Executive Officer and a director, beneficially owned 4.08% of the issued and outstanding shares of capital stock of GEM Nevada, (ii) Enrique Correa, KMC's Country Manager (KM Chile) and a director, beneficially owned 0.41% of the issued and outstanding shares of capital stock of GEM Nevada, (iii) John Ryan, KMC's Vice President of Corporate Affairs and Co-Founder, was the Chief Executive Officer of GEM Nevada, a director of GEM Nevada, a director of CBT and a director of GEM Chile, and beneficially owned 3.15% of the issued and outstanding shares of capital stock of GEM Nevada, and (iv) Howard Crosby, one of KMC's directors, was a director and executive officer of GEM Nevada, and a director and Vice President of CB and beneficially owned 3.15% of the issued and outstanding shares of capital stock of GEM Nevada. Each of Messrs. Ryan and Crosby is entitled to his pro rata distribution of any shares of KMC Common Stock that GEM Nevada may distribute to its stockholders. Following the acquisition of the CBT shares, KMC simplified its corporate structure through an internal transaction whereby, effective May 9, 2023, CBT transferred all the outstanding shares of GEM Chile to KMC. As a result of that transaction, GEM Chile is a direct wholly owned subsidiary of KMC and CBT was an inactive wholly owned subsidiary formally dissolved.

***Engagement for Legal Services.*** KMC's Chilean subsidiary, KM Chile has engaged Chile Inc., a mining law firm located in Santiago, Chile, to provide legal services to KM Chile with respect to the mining properties located in Chile. Ignacio López, a partner of Chile Inc., is the brother of Cesar López, KMC's Chief Executive Officer and a director. Since January 1, 2023, KM Chile has paid Chile Inc. an aggregate of $135,386 for the legal services provided to KM Chile and paid KM Chile a contingent success fee of $157,298 for successfully reducing the Chilean annual mining licensing fees in 2024.

***Engagement of Accounting and Bookkeeping Services.*** KM Chile has engaged Lopez y Cia., a law firm offering accounting and bookkeeping services located in Santiago, Chile. An employee of Lopez y Cia manages KM Chile's books and records, tax filings and various back-office matters. Cesar López, KMC's Chief Executive Officer and a director, is the sole owner of Lopez y Cia. Since January 1, 2023, KM Chile has paid Lopez y Cia an aggregate of $162,296.

***Office Management Consultant.*** Sarah Cuddy serves as a consultant to KMC providing office management, administration and legal support services. Ms. Cuddy is the spouse of Cesar López, KMC's Chief Executive Officer and a director. Ms. Cuddy is paid based on monthly services provided to KMC, which varies from month to month. Since January 1, 2023,KMC has paid Ms. Cuddy an aggregate of $144,157.

***Service Agreement.*** GEM Chile entered into a service agreement with Manquehue Asesorias Mineras SpA, a Chilean *sociedad por acciones* (*i.e.*, a "company by shares") ("<u>Manquehue</u>"), on January 1, 2023. Manquehue is controlled by Cesar López, KMC's Chief Executive Officer and a director. Under the agreement, Manquehue agreed to provide management services for the Cerro Blanco Project, which included geological, metallurgical, engineering, legal and property maintenance services for a fixed period of seven months, which ended on August 1, 2023. Pursuant to the terms of the agreement, GEM Chile agreed to pay Manquehue a monthly fee of $56,000 plus any value added taxes. Since January 1, 2023, GEM Chile has paid $187,060 to Manquehue in fees under the agreement to Manquehue for services rendered. There are no further obligations pursuant to the services agreement with Manquehue

***Asset Purchase Agreement with Critical Minerals Corp.*** On August 21, 2023, KMC entered into an asset purchase agreement with Critical Minerals Corp. ("<u>Critical Minerals</u>") for the purchase of a mineral exploration project called the Crystal Mountain Colorado Pegmatite Project, or the Crystal Mountain Project, which relates to 64 patented lode mining claims located in the Fort Collins area in Larimer County, Colorado. The total purchase price for the Crystal Mountain Project consisted of (i) $125,000 in cash; (ii) $57,500 to cover certain outstanding debt of Critical Minerals; and (iii) the issuance of options to purchase up to an aggregate of 1,050,000 shares of KMC Common Stock. The options are exercisable as follows: (a) options to purchase up to 500,000 shares of KMC Common Stock may be exercised at a price of $1.25 per share until August 21, 2026; (b) options to purchase up to 500,000 shares of KMC Common Stock may be exercised at a price of $2.50 per share until August 21, 2028; and (c) options to purchase up to 50,000 shares of KMC Common Stock may be exercised at a price of $1.35 per share until August 21, 2026. Critical Minerals is controlled by Sarah Cuddy, the spouse of Cesar López, KMC's Chief Executive Officer and a director, and Enrique Correa, Country Manager (KM Chile). Each of Ms. Cuddy and Mr. Correa is entitled to his or her pro rata distribution of any shares of KMC Common Stock that Critical Minerals distributes to its stockholders upon the exercise of the stock options received as a part of the purchase price for the Crystal Mountain Project.

***Asset Purchase Agreement with EastWest Ventures LLC.*** On December 31, 2025, EastWest Ventures LLC ("<u>EastWest Ventures</u>") entered into and closed an asset purchase agreement with KMC for the sale of 52 unpatented lode mining claims located in Yavapai County, Arizona, commonly referred to as the Fire Mining Claims, including all minerals and ores in, upon, or under the claims. Under the purchase agreement, KMC acquired only the Fire Mining Claims in exchange for a total purchase price of 2,000,000 restricted shares of KMC Common Stock valued at $0.25 per share. Sarah Cuddy, the sole member manager of EastWest Ventures LLC, also serves as a consultant to KMC, providing office management, administration and legal support services. Ms. Cuddy is the spouse of Cesar López, KMC's Chief Executive Officer and a director.

**Pubco's Relationships and Related Party Transactions**

***Policies and Procedures for Related Party Transactions***

Pubco will adopt a written related party transaction policy, to be effective at the Closing of the Business Combination, setting forth the policies and procedures for the review and approval or ratification of related-party transactions. This policy will cover any transaction, arrangement or relationship or any series of similar transactions, arrangements or relationships, in which the combined company were or are to be a participant and a related party had or will have a direct or indirect material interest, as determined by the audit committee of combined company's board of directors, including, without limitation, purchases of goods or services by or from the related party or entities in which the related party has a material interest, and indebtedness, guarantees of indebtedness or employment by the combined company of a related party.

**DESCRIPTION OF PUBCO SECURITIES**

*As a result of the Mergers and pursuant to the Merger Agreement, (i) CDAQ Shareholders (including the Sponsor) will receive shares of Pubco Common Stock in the Purchaser Merger and (ii) each of the KMC Holders will receive shares of Pubco Common Stock in the Company Merger.*

*The following description summarizes the terms of Pubco's capital stock but does not purport to be complete, and it is qualified in its entirety by reference to the applicable provisions of Delaware law and the Proposed Organizational Documents.*

**General**

The authorized capital stock of Pubco will consist of 250,000,000 shares of Pubco Common Stock, par value $0.0001 per share, and 50,000,000 shares of Pubco preferred stock, par value $0.0001 per share. Pubco expects to have approximately 26,568,467 shares of Pubco Common Stock outstanding immediately after the consummation of the Business Combination, assuming that none of CDAQ's outstanding CDAQ Class A Ordinary Shares are redeemed in connection with the Business Combination, or approximately 26,457,601 shares of Pubco Common Stock outstanding immediately after the consummation of the Business Combination in the Maximum Redemption scenario. For more information on the assumptions underlying the number of shares described in the foregoing as being issuable on the Closing Date, please see "*Risk Factors — Risks Related to the Business Combination.*" The actual number of shares of Pubco Common Stock issuable on the Closing Date will be determined pursuant to the terms of the respective Subscription Agreements and the Merger Agreement, as applicable

The following summary describes all material provisions of Pubco capital stock. You are urged to read the Pubco Charter and the Pubco Bylaws in their entirety (forms of which are attached to this proxy statement/prospectus as <u>Annex C</u> and <u>Annex D</u>, respectively) as well as the applicable provisions of the DGCL.

**Common Stock**

*Voting Rights*

Each holder of Pubco Common Stock is entitled to one vote for each share on all matters submitted to a vote of the stockholders, including the election of directors. Pubco Common Stockholders do not have cumulative voting rights in the election of directors. Accordingly, holders of a majority of the voting shares are able to elect all of the directors.

*Dividends*

Subject to preferences that may be applicable to any then outstanding preferred stock, holders of Pubco Common Stock are entitled to receive dividends, if any, as may be declared from time to time by the Pubco Board out of legally available funds.

*Liquidation*

In the event of Pubco's liquidation, dissolution or winding up, holders of Pubco Common Stock will be entitled to share ratably in the net assets legally available for distribution to stockholders after the payment of all of Pubco's debts and other liabilities and the satisfaction of any liquidation preference granted to the holders of any then outstanding shares of preferred stock.

*Rights and Preferences*

Holders of Pubco Common Stock have no preemptive, conversion, subscription or other rights, and there are no redemption or sinking fund provisions applicable to Pubco Common Stock. The rights, preferences and privileges of the holders of Pubco Common Stock are subject to and may be adversely affected by the rights of the holders of shares of any series of Pubco preferred stock that Pubco may designate in the future.

**Preferred Stock**

The Pubco Charter authorizes a total of 50,000,000 shares of preferred stock.

Under the terms of Pubco Charter, the Pubco Board is authorized to direct Pubco to issue shares of preferred stock in one or more series without stockholder approval. The Pubco Board has the discretion to determine the terms, rights, preferences, privileges and restrictions, including voting rights, dividend rights, conversion rights, redemption privileges and liquidation preferences, of each series of preferred stock.

The purpose of authorizing the Pubco Board to issue preferred stock and determine its rights and preferences is to eliminate delays associated with a stockholder vote on specific issuances. The issuance of preferred stock, while providing flexibility in connection with possible acquisitions, future financings and other corporate purposes, could have the effect of making it more difficult for a third party to acquire, or could discourage a third party from seeking to acquire, a majority of Pubco's outstanding voting stock. Pubco have no present plans to issue any shares of preferred stock.

**Authorized but Unissued Shares**

The authorized but unissued shares of Pubco Common Stock and Pubco preferred stock will be available for future issuance after the Business Combination without stockholder approval, subject to any limitations imposed by the Nasdaq Listing Rules. These additional shares may be used for a variety of corporate finance transactions, acquisitions and employee benefit plans. The existence of authorized but unissued and unreserved Pubco Common Stock and Pubco preferred stock could make it more difficult or discourage an attempt to obtain control of Pubco by means of a proxy contest, tender offer, merger or otherwise.

**Warrants**

***KMC Warrants***

At the Closing of the Business Combination, certain accredited investors will hold KMC Warrants to purchase an aggregate of 5,473,220 shares of Pubco Common Stock at a weighted average exercise price of $1.60 per share and have an exercise period of either four, five or 10 years from the date of issuance. The exercise price of the KMC Warrants will be adjusted and the number of shares of Pubco Common Stock to be issued upon exercise of the KMC Warrants will be adjusted upon the occurrence of, among other things, the payment of a stock dividend, a stock split, the merger, consolidation, reclassification, reorganization, partial or complete liquidation, purchase of substantially all the assets of Pubco, or other change in the capital structure of Pubco. In addition, the KMC Warrants include certain weighted average anti-dilution provisions in connection with future issuances by Pubco of securities which would entitle the holder to acquire Pubco Common Stock below the then applicable exercise price.

***Public Warrants***

Each whole Pubco Public Warrant will entitle the registered holder to purchase one share of Pubco Common Stock at a price of $11.50 per share, subject to adjustment as discussed below, at any time commencing 30 days after the completion of the Business Combination. Pursuant to the Warrant Agreement (as defined below), a Pubco Public Warrant holder may exercise its Pubco Public Warrants only for a whole number of shares of Pubco Common Stock. This means only a whole warrant may be exercised at a given time by a Pubco Public Warrant holder. No fractional Pubco Public Warrants will be issued upon separation of the units and only whole Pubco Public Warrants will trade. The Pubco Public Warrants will expire five years after the Closing Date, at 5:00 p.m., New York City time, or earlier upon redemption or liquidation.

Pubco will not be obligated to deliver any shares of Pubco Common Stock pursuant to the exercise of a Pubco Public Warrant and will have no obligation to settle such Pubco Public Warrant exercise unless a registration statement under the Securities Act with respect to the shares of Pubco Common Stock underlying the Pubco Public Warrants is then effective and a prospectus relating thereto is current, subject to Pubco satisfying its obligations described below with respect to such registration. No Pubco Public Warrant will be exercisable and Pubco will not be obligated to issue shares of Pubco Common Stock upon exercise of a Pubco Public Warrant unless the share of Pubco Common Stock issuable upon such Pubco Public Warrant exercise has been registered, qualified or deemed to be exempt under the securities laws of the state of residence of the registered holder of the Pubco Public Warrants. In the event that the conditions in the two immediately preceding sentences are not satisfied with respect to a Pubco Public Warrant, the holder of such Pubco Public Warrant will not be entitled to exercise such Pubco Public Warrant and such Pubco Public Warrant may have no value and expire worthless. In no event will Pubco be required to net cash settle any Pubco Public Warrant.

Pubco is registering the shares of Pubco Common Stock issuable upon exercise of the Pubco Public Warrants in the Registration Statement of which this proxy statement/prospectus forms a part. However, because the Pubco Public Warrants will be exercisable until their expiration date of up to five years after the completion of the Business Combination, in order to comply with the requirements of Section 10(a)(3) of the Securities Act following the consummation of the Business Combination, under the terms of the Warrant Agreement, Pubco will agree that, as soon as practicable, but in no event later than 30 business days, after the Closing of the Business Combination, Pubco will use its commercially reasonable efforts to file with the SEC a post-effective amendment to the Registration Statement of which this proxy statement/prospectus forms a part or a new registration statement covering the registration under the Securities Act of the shares of Pubco Common Stock issuable upon exercise of the Pubco Public Warrants and thereafter will use its commercially reasonable efforts to cause the same to become effective within 60 business days following the Business Combination and to maintain a current prospectus relating to the shares of Pubco Common Stock issuable upon exercise of the Pubco Public Warrants until the expiration of the Pubco Public Warrants in accordance with the provisions of the Warrant Agreement. If a registration statement covering the shares of Pubco Common Stock issuable upon exercise of the Pubco Public Warrants is not effective by the sixtieth (60) business day after the Closing of the Business Combination, Pubco Public Warrant holders may, until such time as there is an effective registration statement and during any period when Pubco will have failed to maintain an effective registration statement, exercise Pubco Public Warrants on a "cashless basis" in accordance with Section 3(a)(9) of the Securities Act or another exemption. Notwithstanding the above, if the shares of Pubco Common Stock are at the time of any exercise of a Pubco Public Warrant not listed on a national securities exchange such that they satisfy the definition of a "covered security" under Section 18(b)(1) of the Securities Act, Pubco may, at its option, require holders of Pubco Public Warrants who exercise their Pubco Public Warrants to do so on a "cashless basis" in accordance with Section 3(a)(9) of the Securities Act and, in the event Pubco so elects, Pubco will not be required to file or maintain in effect a registration statement.

*Redemption of Warrants When the Price Per Share of Pubco Common Stock Equals or Exceeds $18.00*

Once the Pubco Public Warrants become exercisable, Pubco may redeem the outstanding Pubco Public Warrants:

● in whole and not in part;

● at a price of $0.01 per Pubco Public Warrant;

● upon a minimum of 30 days' prior written notice of redemption, which Pubco refers to as the 30-day redemption period; and

● if, and only if, the closing price of Pubco Common Stock equals or exceeds $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which Pubco sends the notice of redemption to the Pubco Public Warrant holders (the " <u>Reference Value</u> ").

If and when the Pubco Public Warrants become redeemable by Pubco, Pubco may exercise its redemption right even if Pubco is unable to register or qualify the underlying securities for sale under all applicable state securities laws. However, Pubco will not redeem the Pubco Public Warrants unless an effective registration statement under the Securities Act covering the Pubco Common Stock issuable upon exercise of the Pubco Public Warrants is effective and a current prospectus relating to those shares of Pubco Common Stock is available throughout the 30-day redemption period.

Pubco has established the last of the redemption criteria discussed above to prevent a redemption call unless there is, at the time of the call, a significant premium to the Pubco Public Warrant exercise price. If the foregoing conditions are satisfied and Pubco issues a notice of redemption of the Pubco Public Warrants, each Pubco Public Warrant holder will be entitled to exercise his, her or its Pubco Public Warrants prior to the scheduled redemption date. Any such exercise would not be done on a "cashless" basis and would require the exercising Pubco Public Warrant holder to pay the exercise price for each Pubco Public Warrant being exercised. However, the price of the Pubco Common Stock shares may fall below the $18.00 redemption trigger price (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like) as well as the $11.50 (for whole shares) Pubco Public Warrant exercise price after the redemption notice is issued.

*Redemption of Pubco Public Warrants When the Price Per Share of Pubco Common Stock Equals or Exceeds $10.00*

Once the Pubco Public Warrants become exercisable on or after the Closing Date, Pubco may redeem the outstanding Pubco Public Warrants:

● at $0.10 per Pubco Public Warrant upon a minimum of 30 days' prior written notice of redemption, provided that holders will be able to exercise their Pubco Public Warrants on a cashless basis prior to redemption and receive the number of shares determined by reference to the table set forth under "*Description of Pubco Securities — Warrants —Public Warrants*" based on the redemption date and the "fair market value" of Pubco Common Stock;

● if, and only if, the Reference Value (as defined above under "— *Redemption of Pubco Public Warrants When the Price Per Shares of Pubco Common Stock Equals or Exceeds $18.00*") equals or exceeds $10.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like); and

● if the Reference Value is less than $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like), the Pubco Private Warrants must also concurrently be called for redemption on the same terms (except as described herein with respect to a holder's ability to cashless exercise its Pubco Private Warrants) as the outstanding Pubco Public Warrants, as described above.

The numbers in the table below represent the number of shares of Pubco Common Stock that a Pubco Public Warrant holder will receive upon exercise in connection with a redemption by Pubco pursuant to this redemption feature, based on the "fair market value" of Pubco Common Stock on the corresponding redemption date (assuming holders elect to exercise their Pubco Public Warrants and such Pubco Public Warrants are not redeemed for $0.10 per Pubco Public Warrant), determined based on volume-weighted average price of Pubco Common Stock as reported during the 10 trading days immediately following the date on which the notice of redemption is sent to the holders of Pubco Public Warrants, and the number of months that the corresponding redemption date precedes the expiration date of the Pubco Public Warrants, each as set forth in the table below. Pubco will provide its Pubco Public Warrants with the final fair market value no later than one business day after the 10-trading day period described above ends.

The share prices set forth in the column headings of the table below will be adjusted as of any date on which the number of shares issuable upon exercise of a Pubco Public Warrant or the exercise price of Pubco Public Warrants are adjusted as set forth under the heading "*— Anti-dilution Adjustments*" below. If the number of shares issuable upon exercise of a Pubco Public Warrant is adjusted, the adjusted share prices in the column headings will equal the share prices immediately prior to such adjustment, multiplied by a fraction, the numerator of which is the exercise price of the Pubco Public Warrant after such adjustment and the denominator of which is the price of the Pubco Public Warrant immediately prior to such adjustment. In such an event, the number of shares in the table below shall be adjusted by multiplying such share amounts by a fraction, the numerator of which is the number of shares deliverable upon exercise of a Pubco Public Warrant immediately prior to such adjustment and the denominator of which is the number of shares deliverable upon exercise of a Pubco Public Warrant is so adjusted. If the exercise price of the Pubco Public Warrant is adjusted as a result of raising capital in connection with the initial business combination, the adjusted share prices in the column headings will by multiplied by a fraction, the numerator of which is the higher of the Market Value and the Newly Issued Price as set forth under the heading "—Anti-dilution Adjustments" and the denominator of which is $10.00.

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| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** | **Fair Market Value of Class A Ordinary Shares** |
| <br>**Redemption Date (period to expiration of warrants)** | **≤$10.00** | **$11.00** | **$12.00** | **$13.00** | **$14.00** | **$15.00** | **$16.00** | **$17.00** | **≥$18.00** |
| 60 months | 0.261 | 0.281 | 0.297 | 0.311 | 0.324 | 0.337 | 0.348 | 0.358 | 0.361 |
| 57 months | 0.257 | 0.277 | 0.294 | 0.310 | 0.324 | 0.337 | 0.348 | 0.358 | 0.361 |
| 54 months | 0.252 | 0.272 | 0.291 | 0.307 | 0.322 | 0.335 | 0.347 | 0.357 | 0.361 |
| 51 months | 0.246 | 0.268 | 0.287 | 0.304 | 0.320 | 0.333 | 0.346 | 0.357 | 0.361 |
| 48 months | 0.241 | 0.263 | 0.283 | 0.301 | 0.317 | 0.332 | 0.344 | 0.356 | 0.361 |
| 45 months | 0.235 | 0.258 | 0.279 | 0.298 | 0.315 | 0.330 | 0.343 | 0.356 | 0.361 |
| 42 months | 0.228 | 0.252 | 0.274 | 0.294 | 0.312 | 0.328 | 0.342 | 0.355 | 0.361 |
| 39 months | 0.221 | 0.246 | 0.269 | 0.290 | 0.309 | 0.325 | 0.340 | 0.354 | 0.361 |
| 36 months | 0.213 | 0.239 | 0.263 | 0.285 | 0.305 | 0.323 | 0.339 | 0.353 | 0.361 |
| 33 months | 0.205 | 0.232 | 0.257 | 0.280 | 0.301 | 0.320 | 0.337 | 0.352 | 0.361 |
| 30 months | 0.196 | 0.224 | 0.250 | 0.274 | 0.297 | 0.316 | 0.335 | 0.351 | 0.361 |
| 27 months | 0.185 | 0.214 | 0.242 | 0.268 | 0.291 | 0.313 | 0.332 | 0.350 | 0.361 |
| 24 months | 0.173 | 0.204 | 0.233 | 0.260 | 0.285 | 0.308 | 0.329 | 0.348 | 0.361 |
| 21 months | 0.161 | 0.193 | 0.223 | 0.252 | 0.279 | 0.304 | 0.326 | 0.347 | 0.361 |
| 18 months | 0.146 | 0.179 | 0.211 | 0.242 | 0.271 | 0.298 | 0.322 | 0.345 | 0.361 |
| 15 months | 0.130 | 0.164 | 0.197 | 0.230 | 0.262 | 0.291 | 0.317 | 0.342 | 0.361 |
| 12 months | 0.111 | 0.146 | 0.181 | 0.216 | 0.250 | 0.282 | 0.312 | 0.339 | 0.361 |
| 9 months | 0.090 | 0.125 | 0.162 | 0.199 | 0.237 | 0.272 | 0.305 | 0.336 | 0.361 |
| 6 months | 0.065 | 0.099 | 0.137 | 0.178 | 0.219 | 0.259 | 0.296 | 0.331 | 0.361 |
| 3 months | 0.034 | 0.065 | 0.104 | 0.150 | 0.197 | 0.243 | 0.286 | 0.326 | 0.361 |
| 0 months |  |  | 0.042 | 0.115 | 0.179 | 0.233 | 0.281 | 0.323 | 0.361 |

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The exact fair market value and redemption date may not be set forth in the table above, in which case, if the fair market value is between two values in the table or the redemption date is between two redemption dates in the table, the number of shares of Pubco Common Stock to be issued for each Pubco Public Warrant exercised will be determined by a straight-line interpolation between the number of shares set forth for the higher and lower fair market values and the earlier and later redemption dates, as applicable, based on a 365 or 366-day year, as applicable. For example, if the volume-weighted average price of Pubco Common Stock as reported during the 10 trading days immediately following the date on which the notice of redemption is sent to the holders of the Pubco Public Warrants is $11.00 per share, and at such time there are 57 months until the expiration of the Pubco Public Warrants, holders may choose to, in connection with this redemption feature, exercise their Pubco Public Warrants for 0.277 shares of Pubco Common Stock for each whole Pubco Public Warrant.

For an example where the exact fair market value and redemption date are not as set forth in the table above, if the volume-weighted average price of Pubco Common Stock as reported during the 10 trading days immediately following the date on which the notice of redemption is sent to the holders of the Pubco Public Warrants is $13.50 per share, and at such time there are 38 months until the expiration of the Pubco Public Warrants, holders may choose to, in connection with this redemption feature, exercise their Pubco Public Warrants for 0.298 shares of Pubco Common Stock shares for each whole Pubco Public Warrant. In no event will the Pubco Public Warrants be exercisable in connection with this redemption feature for more than 0.361 shares of Pubco Common Stock per Pubco Public Warrant (subject to adjustment).

This redemption feature is structured to allow for all of the outstanding Pubco Public Warrants to be redeemed when the shares of Pubco Common Stock are trading at or above $10.00 per share, which may be at a time when the trading price of Pubco Common Stock is below the exercise price of the Pubco Public Warrants. Pubco has established this redemption feature to provide Pubco with the flexibility to redeem the Pubco Public Warrants without the Pubco Public Warrants having to reach the $18.00 per share threshold set forth above under *"—Redemption of Warrants When the Price Per Share of Pubco Common Stock Equals or Exceeds $18.00*." Holders choosing to exercise their Pubco Public Warrants in connection with a redemption pursuant to this feature will, in effect, receive a number of shares of Pubco Common Stock for their Pubco Public Warrants based on an option pricing model with a fixed volatility input as of the date of this proxy statement/prospectus. This redemption right provides Pubco with an additional mechanism by which to redeem all of the outstanding Pubco Public Warrants, and therefore have certainty as to Pubco's capital structure as the Pubco Public Warrants would no longer be outstanding and would have been exercised or redeemed. Pubco will be required to pay the applicable redemption price to Pubco Public Warrant holders if Pubco chooses to exercise this redemption right and it will allow Pubco to quickly proceed with a redemption of the Pubco Public Warrants if Pubco determines it is in Pubco's best interest to do so. As such, Pubco would redeem the Pubco Public Warrants in this manner when Pubco believes it is in Pubco's best interest to update Pubco's capital structure to remove the Pubco Public Warrants and pay the redemption price to the Pubco Public Warrant holders.

As stated above, Pubco can redeem the Pubco Public Warrants when the shares of Pubco Common Stock are trading at a price starting at $10.00, which is below the exercise price of $11.50, because it will provide certainty with respect to Pubco's capital structure and cash position while providing Pubco Public Warrant holders with the opportunity to exercise their Pubco Public Warrants on a cashless basis for the applicable number of shares. If Pubco chooses to redeem the Pubco Public Warrants when the shares of Pubco Common Stock are trading at a price below the exercise price of the Pubco Public Warrants, this could result in the Pubco Public Warrant holders receiving fewer shares of Pubco Common Stock than they would have received if they had chosen to wait to exercise their Pubco Public Warrants for Pubco Common Stock if and when such shares of Pubco Common Stock were trading at a price higher than the exercise price of $11.50.

No fractional Pubco Common Stock will be issued upon exercise. If, upon exercise, a holder would be entitled to receive a fractional interest in a share, Pubco will round down to the nearest whole number of the number of shares of Pubco Common Stock to be issued to the holder.

*Redemption Procedures.* A holder of a Pubco Public Warrant may notify in writing in the event it elects to be subject to a requirement that such holder will not have the right to exercise such Pubco Public Warrant, to the extent that after giving effect to such exercise, such person (together with such person's affiliates), to the warrant agent's actual knowledge, would beneficially own in excess of 4.9% or 9.8% (as specified by the holder) of the Pubco Common Stock outstanding immediately after giving effect to such exercise.

*Anti-dilution Adjustments.* If the number of outstanding Pubco Common Stock is increased by a share capitalization payable in Pubco Common Stock, or by a split-up of common stock or other similar event, then, on the effective date of such share capitalization, split-up or similar event, the number of shares of Pubco Common Stock issuable on exercise of each Pubco Public Warrant will be increased in proportion to such increase in the outstanding shares of Pubco Common Stock. A rights offering to holders of shares of Pubco Common Stock entitling holders to purchase Pubco Common Stock at a price less than the "historical fair market value" (as defined below) will be deemed a share capitalization of a number of shares of Pubco Common Stock equal to the product of (i) the number of shares of Pubco Common Stock actually sold in such rights offering (or issuable under any other equity securities sold in such rights offering that are convertible into or exercisable for Pubco Common Stock) and (ii) one minus the quotient of (x) the price per Pubco Common Stock paid in such rights offering and (y) the historical fair market value. For these purposes (i) if the rights offering is for securities convertible into or exercisable for Pubco Common Stock, in determining the price payable for Pubco Common Stock, there will be taken into account any consideration received for such rights, as well as any additional amount payable upon exercise or conversion and (ii) "historical fair market value" means the volume weighted average price of Pubco Common Stock as reported during the ten (10) trading day period ending on the trading day prior to the first date on which the Pubco Common Stock trade on the applicable exchange or in the applicable market, regular way, without the right to receive such rights.

In addition, if Pubco, at any time while the Pubco Public Warrants are outstanding and unexpired, pay a dividend or make a distribution in cash, securities or other assets to the holders of Pubco Common Stock on account of such Pubco Common Stock (or other securities into which the Pubco Public Warrants are convertible), other than (a) as described above, (b) certain Pubco Common Stock cash dividends, (c) to satisfy the redemption rights of the holders of Pubco Common Stock in connection with the Business Combination, or (d) in connection with the redemption of Pubco Common Stock upon Pubco's failure to complete the Business Combination, then the Pubco Public Warrant exercise price will be decreased, effective immediately after the effective date of such event, by the amount of cash and/or the fair market value of any securities or other assets paid on each share of Pubco Common Stock in respect of such event.

If the number of outstanding Pubco Common Stock is decreased by a consolidation, combination, reverse share split or reclassification of Pubco Common Stock or other similar event, then, on the effective date of such consolidation, combination, reverse share split, reclassification or similar event, the number of shares of Pubco Common Stock issuable on exercise of each Pubco Public Warrant will be decreased in proportion to such decrease in outstanding Pubco Common Stock.

Whenever the number of shares of Pubco Common Stock purchasable upon the exercise of the Pubco Public Warrants is adjusted, as described above, the Pubco Public Warrant exercise price will be adjusted by multiplying the Pubco Public Warrant exercise price immediately prior to such adjustment by a fraction (x) the numerator of which will be the number of shares of Pubco Common Stock purchasable upon the exercise of the Pubco Public Warrants immediately prior to such adjustment, and (y) the denominator of which will be the number of shares of Pubco Common Stock so purchasable immediately thereafter.

In addition, if (x) Pubco issues additional Pubco Common Stock or equity-linked securities for capital raising purposes in connection with the Closing of the Business Combination at an issue price or effective issue price of less than $9.20 per Pubco Common Stock (with such issue price or effective issue price to be determined in good faith by the Pubco Board and, in the case of any such issuance to CDAQ's sponsors or their affiliates, without taking into account any Founder Shares held by CDAQ Initial Shareholders or such affiliates, as applicable, prior to such issuance) (the "<u>Newly Issued Price</u>"), (y) the aggregate gross proceeds from such issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of the Business Combination on the date of the completion of Business Combination (net of redemptions), and (z) the volume-weighted average trading price of Pubco Common Stock during the 20 trading day period starting on the trading day prior to the day on which the Business Combination is completed (such price, the "<u>Market Value</u>") is below $9.20 per share, the exercise price of the Pubco Public Warrants will be adjusted (to the nearest cent) to be equal to 115% of the higher of the Market Value and the Newly Issued Price, the $18.00 per share redemption trigger price described adjacent to "*Redemption of Pubco Public Warrants When the Price Per Share of Pubco Common Stock Equals or Exceeds $18.00*" will be adjusted (to the nearest cent) to be equal to 180% of the higher of the Market Value and the Newly Issued Price, and the $10.00 per share redemption trigger price described adjacent to the caption "R*edemption of Pubco Public Warrants When the Price Per Share of Pubco Common Stock Equals or Exceeds $10.00*" will be adjusted (to the nearest cent) to be equal to the higher of the Market Value and the Newly Issued Price.

In case of any reclassification or reorganization of the outstanding Pubco Common Stock (other than those described above or that solely affects the par value of such Pubco Common Stock), or in the case of any merger or consolidation of Pubco with or into another corporation (other than a consolidation or merger in which Pubco is the continuing corporation and that does not result in any reclassification or reorganization of Pubco's issued and outstanding Pubco Common Stock), or in the case of any sale or conveyance to another corporation or entity of the assets or other property of Pubco as an entirety or substantially as an entirety in connection with which Pubco is dissolved, the holders of the Pubco Public Warrants will thereafter have the right to purchase and receive, upon the basis and upon the terms and conditions specified in the Pubco Public Warrants and in lieu of the Pubco Common Stock immediately theretofore purchasable and receivable upon the exercise of the rights represented thereby, the kind and amount of Pubco Common Stock or other securities or property (including cash) receivable upon such reclassification, reorganization, merger or consolidation, or upon a dissolution following any such sale or transfer, that the holder of the Pubco Public Warrants would have received if such holder had exercised their Pubco Public Warrants immediately prior to such event. If less than 70% of the consideration receivable by the holders of Pubco Common Stock in such a transaction is payable in the form of Pubco Common Stock in the successor entity that is listed for trading on a national securities exchange or is quoted in an established over-the-counter market, or is to be so listed for trading or quoted immediately following such event, and if the registered holder of the Pubco Public Warrants properly exercises the Pubco Public Warrant within thirty days following public disclosure of such transaction, the Pubco Public Warrant exercise price will be reduced as specified in the Warrant Agreement based on the Black-Scholes Warrant Value (as defined in the Warrant Agreement) of the Pubco Public Warrant. The purpose of such exercise price reduction is to provide additional value to holders of the Pubco Public Warrants when an extraordinary transaction occurs during the exercise period of the Pubco Public Warrants pursuant to which the holders of the Pubco Public Warrants otherwise do not receive the full potential value of the Pubco Public Warrants.

The Pubco Public Warrants were issued in registered form under a warrant agreement between CST, as warrant agent, and CDAQ. The warrant agreement provides that the terms of the Pubco Public Warrants may be amended without the consent of any holder in certain circumstances, including, (i) to cure any ambiguity, (ii) correct any defective provision or (iii) to make any modifications or amendments that are necessary in the good faith determination of the Pubco Board (taking into account then existing market precedents) to allow for all Pubco Public Warrants to be classified as equity in Pubco's financial statements (provided that no such amendment or modification pursuant to the proceeding clause (iii) may increase the exercise price or shorten the exercise period), but other amendments or modifications require the approval by the holders of at least a majority of the then outstanding Pubco Public Warrants to make any change that adversely affects the interests of the registered holders provided that, solely with respect to such other modification or amendment to the terms of only the Pubco Private Warrants or any provision of the warrant agreement with respect to only the Pubco Private Warrants, such modification or amendment shall require the vote or written consent of the holders of (x) at least a majority of the number of the then-outstanding Pubco Public Warrants and (y) at least a majority of the number of the then-outstanding Pubco Private Warrant. You should review a copy of the warrant agreement, which will be filed as an exhibit to the Registration Statement of which this proxy statement/prospectus is a part, for a complete description of the terms and conditions applicable to the Pubco Public Warrants.

The Pubco Public Warrants may be exercised upon surrender of the Pubco Public Warrant certificate on or prior to the expiration date at the offices of the warrant agent, with the exercise form on the reverse side of the Pubco Public Warrant certificate completed and executed as indicated, accompanied by full payment of the exercise price (or on a cashless basis, if applicable), by certified or official bank check payable to Pubco, for the number of shares of Pubco Public Warrants being exercised. The Pubco Public Warrant holders do not have the rights or privileges of holders of Pubco Common Stock and any voting rights until they exercise their Pubco Public Warrants and receive Pubco Common Stock.

After the issuance of Pubco Common Stock shares upon exercise of the Pubco Public Warrants, each holder will be entitled to one vote for each share held of record on all matters to be voted on by stockholders.

No fractional shares will be issued upon exercise of the Pubco Public Warrants. If, upon exercise of the Pubco Public Warrants, a holder would be entitled to receive a fractional interest in a share, Pubco will, upon exercise, round down to the nearest whole number, the number of shares of Pubco Common Stock to be issued to the Pubco Public Warrant holder.

*Exclusive Forum Provision*. Pubco's Warrant Agreement will provide that, subject to applicable law, (i) any action, proceeding or claim against Pubco arising out of or relating in any way to the Warrant Agreement, including under the Securities Act, will be brought and enforced in the courts of the State of New York or the United States District Court for the Southern District of New York, and (ii) that Pubco irrevocably submits to such jurisdiction, which jurisdiction shall be the exclusive forum for any such action, proceeding or claim. Pubco will waive any objection to such exclusive jurisdiction and that such courts represent an inconvenient forum.

**Pubco Private Warrants**

The Pubco Private Warrants (including the Pubco Common Stock issuable upon exercise of such CDAQ Private Warrants) will not be transferable, assignable or salable until 30 days after the completion of the business Combination and they will not be redeemable by Pubco so long as they are held by the Sponsor, its members or any of their permitted transferees. The Sponsor or its permitted transferees, have the option to exercise the Pubco Private Warrants on a cashless basis. Except as described below, the Pubco Private Warrants have terms and provisions that are identical to those of the Pubco Public Warrants. If the Pubco Private Warrants are held by holders other than the Sponsor or its permitted transferees, the Pubco Private Warrants will be redeemable by Pubco and exercisable by the holders on the same basis as the Pubco Public Warrants.

Except as described under "*—Redemption of Pubco Public Warrants When the Price Per Pubco Common Stock Equals or Exceeds $10.00*," if holders of the Pubco Private Warrants elect to exercise them on a cashless basis, they would pay the exercise price by surrendering his, her or its Pubco Private Warrants for that number of shares of Pubco Common Stock equal to the quotient obtained by dividing (x) the product of the number of shares of Pubco Common Stock underlying the Pubco Private Warrants, multiplied by the excess of the "historical fair market value" of the Pubco Common Stock over the exercise price of the Pubco Private Warrants by (y) the fair market value. For these purposes, the "historical fair market value" will mean the average reported closing price of Pubco Common Stock for the 10 trading days ending on the third trading day prior to the date on which the notice of Pubco Private Placement Warrant exercise is sent to the warrant agent. The reason that Pubco has agreed that these Pubco Private Warrants will be exercisable on a cashless basis so long as they are held by the Sponsor or its permitted transferees is because it is not known at this time whether they will be affiliated with Pubco following the Business Combination. If they remain affiliated with Pubco, their ability to sell Pubco securities in the open market will be significantly limited. Pubco expects to have policies in place that prohibit insiders from selling Pubco securities except during specific periods of time. Even during such periods of time when insiders will be permitted to sell Pubco securities, an insider cannot trade in Pubco securities if he or she is in possession of material non-public information. Accordingly, unlike CDAQ Public Shareholders who could exercise their Pubco Private Warrants and sell the Pubco Common Stock received upon such exercise freely in the open market in order to recoup the cost of such exercise, the insiders could be significantly restricted from selling such securities. As a result, Pubco believes that allowing the holders to exercise such Pubco Private Warrants on a cashless basis is appropriate.

**Exclusive Venue**

**Limitations on Liability and Indemnification of Officers and Directors**

The Pubco Charter will limit the liability of Pubco directors to the fullest extent permitted by the DGCL, and the Pubco Bylaws provide that Pubco will indemnify them to the fullest extent permitted by such law. Pubco has entered into and expects to continue to enter into agreements to indemnify Pubco's directors, executive officers and other employees as determined by the Pubco Board. Under the terms of such indemnification agreements, Pubco is required to indemnify each of its directors and officers, to the fullest extent permitted by the laws of the State of Delaware, if the basis of the indemnitee's involvement was by reason of the fact that the indemnitee is or was a director or officer of Pubco, or any of its subsidiaries, or was serving at Pubco's request in an official capacity for another entity. Pubco must indemnify its officers and directors against all reasonable fees, expenses, charges and other costs of any type or nature whatsoever, including any and all expenses and obligations paid or incurred in connection with investigating, defending, being a witness in, participating in (including on appeal), or preparing to defend, be a witness or participate in any completed, actual, pending or threatened action, suit, claim or proceeding, whether civil, criminal, administrative or investigative, or establishing or enforcing a right to indemnification under the indemnification agreements. The indemnification agreements also require Pubco if so requested, to advance all reasonable fees, expenses, charges and other costs that such director or officer incurred, provided that such person will return any such advance if it is ultimately determined that such person is not entitled to indemnification by Pubco. Any claims for indemnification by Pubco's directors and officers may reduce Pubco's available funds to satisfy successful third-party claims against Pubco and may reduce the amount of money available to Pubco.

**Anti-Takeover Effects of Provisions of the Pubco Charter, the Pubco Bylaws and Delaware Law**

Certain provisions of Delaware law and the Pubco Charter and the Pubco Bylaws contain provisions that may delay, defer or discourage another party from acquiring control of Pubco. Pubco expects that these provisions, which are summarized below, will discourage coercive takeover practices or inadequate takeover bids. These provisions are also designed to encourage persons seeking to acquire control of Pubco to first negotiate with the Pubco Board, which Pubco believes may result in an improvement of the terms of any such acquisition in favor of Pubco Common Stockholders. However, they also give the Pubco Board the power to discourage acquisitions that some stockholders may favor.

***Classified Board of Directors***

The Pubco Charter provides that the Pubco Board is divided into three classes, with the classes as nearly equal in number as possible and, following the expiration of specified initial terms for each class, each class serving three-year staggered terms. In addition, the Pubco Charter provides that directors may only be removed from the Pubco Board with cause. These provisions may have the effect of deferring, delaying or discouraging hostile takeovers, or changes in control of Pubco or its management.

***Requirements for Advance Notification of Stockholder Meetings, Nominations and Proposals***

The Pubco Charter provides that special meetings of the stockholders may be called only by (i) the Pubco Board acting pursuant to a resolution approved by the affirmative vote of a majority of the directors then in office, (ii) the chairperson of the Pubco Board, or (iii) the chief executive officer of Pubco, and special meetings of stockholders may not be called by any other person or persons. The Pubco Charter and the Pubco Bylaws prohibit the conduct of any business at a special meeting other than as specified in the notice for such meeting. In addition, any stockholder who wishes to bring business before an annual meeting or nominate directors must comply with the advance notice requirements set forth in the proposed bylaws. These provisions may have the effect of deferring, delaying or discouraging hostile takeovers or changes in control of Pubco or its management.

***Stockholder Action by Written Consent***

Pursuant to Section 228 of the DGCL, any action required to be taken at any annual or special meeting of the stockholders may be taken without a meeting, without prior notice and without a vote if a consent or consents in writing, setting forth the action so taken, is signed by the holders of outstanding stock having not less than the minimum number of votes that would be necessary to authorize or take such action at a meeting at which all shares of Pubco Common Stock entitled to vote thereon were present and voted, unless the Pubco Charter provides otherwise. The Pubco Charter precludes stockholder action by written consent.

***Approval for Amendment of Certificate of Incorporation and Bylaws***

The Pubco Charter further provides that the affirmative vote of holders of at least 66 2/3% of the voting power of all of the then outstanding shares of voting stock, voting as a single class, is required to amend certain provisions of the Pubco Charter, including provisions relating to the size of the board, removal of directors, special meetings, actions by written consent and cumulative voting. The affirmative vote of holders of at least 66 2/3% of the voting power of all of the then outstanding shares of voting stock, voting as a single class, is required to amend or repeal the Pubco Bylaws, although the Pubco Bylaws may be amended by a simple majority vote of the Pubco Board.

**Transfer Agent and Registrar**

The transfer agent and registrar for Pubco Common Stock will be Continental Stock Transfer & Trust Company.

**Listing**

Following the completion of the Business Combination, the shares of Pubco Common Stock and Pubco Warrants will be traded on Nasdaq under the symbols "KMCM" and "KMCMW," respectively.

**COMPARISON OF SHAREHOLDERS' RIGHTS**

See the section entitled "*Proposal 1 - The Business Combination Proposal - Comparison of Shareholder Rights under Applicable Corporate Law Before and After the Closing of the Business Combination*."

**SHARES ELIGIBLE FOR FUTURE SALE**

*Business Combination Shares*

Pubco will issue up to 26,568,467 shares of Pubco Common Stock to the KMC Sellers and CDAQ shareholders in connection with the Business Combination. All of the shares of Pubco Common Stock issued in connection with the Business Combination will be freely transferable by persons other than by CDAQ and KMC's "affiliates" without restriction or further registration under the Securities Act, subject to any lock-up restrictions. Sales of substantial amounts of CDAQ Class A Ordinary Shares (which, in connection with the Business Combination, will be converted into Pubco Common Stock) in the public market could adversely affect prevailing market prices of Pubco Common Stock.

*Second Letter Agreement Amendment*

Simultaneously with the execution of the Merger Agreement, Pubco, CDAQ, the Sponsor and certain other CDAQ officers and directors entered into the Second Letter Agreement Amendment. The Second Letter Agreement Amendment (i) adds Pubco as a party to the Letter Agreement and (ii) amends the terms of the lock-up set forth in the Letter Agreement to be consistent with the lack of a contractual lock-up on the Pubco securities issued to KMC stockholders in the Company Merger, such that effective upon Closing, the post-Closing lock-up provisions are deleted in their entirety and any post-Closing lock-up with respect to any Pubco securities owned by any party thereto will be eliminated. On January 13, 2026, the Legacy Sponsor executed a joinder to the Second Letter Agreement Amendment.

*Seller Registration Rights Agreement*

Prior to the Closing, Pubco and certain KMC stockholders who are reasonably expected to be an executive officer, director and/or affiliate of Pubco immediately after the Closing will enter into the Seller Registration Rights Agreement, pursuant to which each KMC stockholder party thereto will be granted substantially the same priorities and registration rights as the Sponsor and other holders or registrable securities under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment.

*Founder Registration Rights Agreement Amendment*

Prior to the Closing, Pubco, CDAQ, the Sponsor, the Legacy Sponsor and the other holders of registrable securities under the Founder Registration Rights Agreement will enter into the Founder Registration Rights Agreement Amendment, pursuant to which Pubco will assume the registration obligations of CDAQ under the Founder Registration Rights Agreement, have such rights apply to the shares of Pubco Common Stock in lieu of CDAQ Ordinary Shares, and the Sponsor, the Legacy Sponsor and the other holders of registrable securities parties thereto will have substantially the same priorities and registration rights as the KMC stockholders under the Seller Registration Rights Agreement.

*Rule 144*

Pursuant to Rule 144 under the Securities Act ("<u>Rule 144</u>"), a person who has beneficially owned restricted shares of Pubco Common Stock for at least six months would be entitled to sell their securities provided that (i) such person is not deemed to have been an affiliate of Pubco at the time of, or at any time during the three months preceding, a sale and (ii) Pubco is subject to the Exchange Act periodic reporting requirements for at least three months before the sale and have filed all required reports under Section 13 or 15(d) of the Exchange Act during the twelve months (or such shorter period as Pubco was required to file reports) preceding the sale.

Persons who have beneficially owned restricted shares of Pubco Common Stock for at least six months but who are affiliates of Pubco at the time of, or at any time during the three months preceding, a sale, would be subject to additional restrictions, by which such person would be entitled to sell within any three-month period only a number of securities that does not exceed the greater of:

● 1% of the total number of Pubco Common Stock then outstanding; or

● the average weekly reported trading volume of the Pubco Common Stock during the four calendar weeks preceding the filing of a notice on Form 144 with respect to the sale.

Sales by affiliates of Pubco under Rule 144 are also limited by manner of sale provisions and notice requirements and to the availability of current public information about Pubco.

*Restrictions on the Use of Rule 144 by Shell Companies or Former Shell Companies*

Rule 144 is not available for the resale of securities initially issued by shell companies (other than business combination related shell companies) or issuers that have been at any time previously a shell company. However, Rule 144 also includes an important exception to this prohibition if the following conditions are met:

● the issuer of the securities that was formerly a shell company has ceased to be a shell company;

● the issuer of the securities is subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act;

● the issuer of the securities has filed all Exchange Act reports and material required to be filed, as applicable, during the preceding 12 months (or such shorter period that the issuer was required to file such reports and materials), other than Form 8-K reports; and

● at least one year has elapsed from the time that the issuer filed current Form 10 type information with the SEC, which is expected to be filed promptly after completion of the Business Combination, reflecting its status as an entity that is not a shell company.

As of the date of this proxy statement/prospectus, there were 110,866 CDAQ Public Shares outstanding. All of these shares are freely tradable without restriction or further registration under the Securities Act, except for any shares held by one of CDAQ's affiliates within the meaning of Rule 144 under the Securities Act.

As of the date of this proxy statement/prospectus, there were a total of 11,912,228 CDAQ Warrants outstanding, consisting of 7,080,163 CDAQ Public Warrants and 4,832,065 CDAQ Private Warrants. Each warrant is exercisable for one Class A Ordinary Share (or one share of Pubco Common Stock post-Business Combination), at a price of $11.50 per share, subject to adjustment, in accordance with the terms of the Warrant Agreement entered into in connection with the CDAQ IPO. The CDAQ Public Warrants are freely tradable, except for any warrants held by one of CDAQ's affiliates within the meaning of Rule 144 under the Securities Act.

**TICKER SYMBOL, MARKET PRICE AND DIVIDENDS**

***Ticker Symbols and Market Prices***

The CDAQ Class A Ordinary Shares, CDAQ Public Units and CDAQ Public Warrants are currently quoted on OTCID Basic Market under the symbols "CDAQF," "CDAQUF" and "CDAQWF," respectively. As of ______, 2026, the Record Date for the Meeting, the closing price for each of the CDAQ Class A Ordinary Shares, Units and Public Warrants was $______, $______, and $______, respectively. Holders of CDAQ Class A Ordinary Shares, Units and Public Warrants should obtain current market quotations for the securities. The market price of CDAQ Class A Ordinary Shares, Units and Public Warrants could vary at any time prior to the Closing. Market price information regarding CDAQ Class B Ordinary Shares is not provided here because there is no established public trading market for CDAQ Class B Ordinary Shares.

There is currently no public market for the equity securities of KMC or Pubco. We are applying to list shares of Pubco Common Stock and Pubco Warrants on the Nasdaq Capital Market upon the Closing under the ticker symbols "KMCM" and "KMCMW," respectively.

***Dividends***

CDAQ, Pubco and KMC have not paid any cash dividends on their equity securities to date and do not intend to pay cash dividends prior to the completion of the Business Combination. The payment of cash dividends by Pubco in the future will be dependent upon the revenues and earnings, if any, capital requirements and general financial condition subsequent to the completion of the Business Combination. Following the completion of the Business Combination, the Pubco Board will consider whether or not to institute a dividend policy. It is presently intended that Pubco will retain its earnings for use in business operations and, accordingly, it is not anticipated that the Pubco Board will declare dividends in the foreseeable future. Further, if Pubco incurs further indebtedness, its ability to declare dividends may be limited by restrictive covenants Pubco may agree to in connection therewith.

**OTHER SHAREHOLDER COMMUNICATIONS**

CDAQ Shareholders and interested parties may communicate with the CDAQ Board, any committee chairperson or the non-management directors as a group by writing to the CDAQ Board or committee chairperson in care of Compass Digital Acquisition Corp., 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448. Following the Business Combination, such communications should be sent in care of Pubco at 701 Brickell Avenue, Suite 1550, Miami, FL 33131 and its telephone number is (786) 847-3320. Each communication will be forwarded, depending on the subject matter, to the CDAQ Board, the appropriate committee chairperson or all non-management directors.

**LEGAL MATTERS**

The validity of the shares of Pubco Common Stock to be issued in connection with the Business Combination will be passed upon by Troutman Pepper Locke LLP. The material U.S. federal income tax consequences of the Business Combination will be passed upon by Ellenoff Grossman & Schole LLP. Certain legal matters as to Cayman Islands law will be passed upon for CDAQ by Maples and Calder (Cayman) LLP.

**EXPERTS**

The financial statements of CDAQ as of December 31, 2024 and 2023, and for the years ended December 31, 2024 and 2023 appearing in this proxy statement/prospectus have been audited by WithumSmith+Brown, PC, an independent registered public accounting firm, as set forth in their report thereon, appearing elsewhere in this proxy statement/prospectus, and are included in reliance on such report given on the authority of such firm as experts in accounting and auditing.

The financial statements of KMC as of December 31, 2024 and 2023, and for each of the two years in the period ended December 31, 2024 included in this proxy statement/prospectus have been so included in reliance on the report of Fruci & Associates II, PLLC, an independent registered public accounting firm, given on the authority of said firm as experts in auditing and accounting.

The technical information appearing in this proxy statement/prospectus concerning the Cerro Blanco Project was derived from the S-K 1300 Technical Report Summary for the Cerro Blanco Rutile Titanium Bearing Mineral Deposit, Region III, Atacama, Chile, dated August 7, 2023, revised December 6, 2023, as further revised February 2, 2026, prepared by Resource Development Associates Inc., independent mining consultants.

**HOUSEHOLDING INFORMATION**

Unless CDAQ has received contrary instructions, CDAQ may send a single copy of this proxy statement/prospectus to any household at which two or more CDAQ Shareholders reside if CDAQ believes the CDAQ Shareholders are members of the same family. This process, known as "householding," reduces the volume of duplicate information received at any one household and helps to reduce CDAQ's expenses. However, if CDAQ Shareholders prefer to receive multiple sets of CDAQ's disclosure documents at the same address this year or in future years, the CDAQ Shareholders should follow the instructions described below. Similarly, if an address is shared with another CDAQ Shareholder and together both of the CDAQ Shareholders would like to receive only a single set of CDAQ's disclosure documents, the CDAQ Shareholders should follow these instructions: If the CDAQ Ordinary Shares are registered in the name of the CDAQ Shareholder, the CDAQ Shareholder should contact CDAQ's offices at Compass Digital Acquisition Corp., 195 US HWY 50, Suite 207, Zephyr Cove, NV 89448. If a bank, broker or other nominee holds the shares, the CDAQ Shareholder should contact the bank, broker or other nominee directly.

**SOLICITATION OF PROXIES**

CDAQ will bear the expenses incurred in connection with the printing and mailing of this proxy statement/prospectus. To assist in the solicitation of proxies, CDAQ has retained ______ as its proxy solicitor, for a fee of $______ *plus* reimbursement of out-of-pocket expenses for their services. CDAQ and its proxy solicitor may also request banks, brokers, trustees and other intermediaries holding CDAQ Ordinary Shares beneficially owned by others to send this proxy statement/prospectus to, and obtain proxies from, the beneficial owners and may reimburse such record holders for their reasonable out-of-pocket expenses in so doing. Solicitation of proxies by mail may be supplemented by telephone and other electronic means, advertisements and personal solicitation by the directors, officers or employees of CDAQ. No additional compensation will be paid to CDAQ's directors, officers or employees for solicitation.

**SHAREHOLDER PROPOSALS**

If the Business Combination is consummated and Pubco holds a 2027 annual meeting of shareholders, it will provide notice of or otherwise publicly disclose the date on which the 2027 annual meeting of shareholders will be held. For any proposal to be considered for inclusion in Pubco's proxy statement and form of proxy for submission to the shareholders at Pubco's 2027 annual meeting of shareholders, assuming consummation of the Business Combination, it must be submitted in writing and comply with the requirements of Rule 14a-8 of the Exchange Act and the Pubco Bylaws. Since the 2027 annual meeting would be Pubco's first annual meeting of shareholders, such proposals must be received by Pubco at its offices at 701 Brickell Avenue, Suite 1550, Miami, FL 33131 at reasonable time before Pubco begins to print and mail the 2027 annual meeting proxy materials in order to be considered for inclusion in Pubco's proxy materials for the 2027 annual meeting.

In addition, if the Business Combination is consummated, the Pubco Bylaws will provide notice procedures for shareholders to nominate a person as a director and to propose business to be considered by shareholders at a meeting. To be timely, a shareholder's notice must be delivered to Pubco at 701 Brickell Avenue, Suite 1550, Miami, FL 33131, not later than the close of business on the 90<sup>th</sup> day nor earlier than the opening of business on the 120<sup>th</sup> day before the anniversary date of the immediately preceding annual meeting of shareholders if such meeting is to be held on a day which is not more than 30 days in advance of the anniversary of the previous year's annual meeting or not later than 60 days after the anniversary of the previous year's annual meeting. Nominations and proposals also must satisfy other requirements set forth in the Pubco Bylaws. The Pubco Board may refuse to acknowledge the introduction of any shareholder proposal not made in compliance with the foregoing procedures.

**Where You Can Find More Information**

CDAQ files reports, proxy statements and other information with the SEC as required by the Exchange Act. Pubco will file, upon the effectiveness of this proxy statement/prospectus, reports, proxy statements/prospectuses and other information with the SEC as required by the Exchange Act. You can read CDAQ's and Pubco's SEC filings, including this proxy statement/prospectus, on the Internet at the SEC's website at *http://www.sec.gov*.

CDAQ will also make available free of charge electronic copies of its filings upon request. Information and statements contained in this proxy statement/prospectus or any annex to this proxy statement/prospectus are qualified in all respects by reference to the copy of the relevant contract or other annex filed as an exhibit to this proxy statement/prospectus.

All information contained in this document relating to CDAQ has been supplied by CDAQ, and all such information relating to Pubco has been supplied by Pubco. Information provided by one entity does not constitute any representation, estimate or projection of the other entity.

If you would like additional copies of this document or if you have questions about the Business Combination, you should contact via phone or in writing:

Compass Digital Acquisition Corp.

195 US HWY 50, Suite 207

Zephyr Cove, NV 89448

Attn: Thomas D. Hennessy

(775) 339-1671

Email: ______

You may also obtain these documents by requesting them in writing or by telephone from CDAQ's proxy solicitor at:

______

If you are a CDAQ Shareholder and would like to request documents, please do so by ______, 2026 to receive them before the Meeting. If you request any documents from CDAQ, CDAQ will mail them to you by first class mail or another equally prompt means.

Neither CDAQ, KMC, nor Pubco has authorized anyone to give any information or make any representation about the Business Combination or their companies that is different from, or in addition to, that contained in this proxy statement/prospectus or in any of the materials that have been incorporated in this proxy statement/prospectus. Therefore, if anyone does give you information of this sort, you should not rely on it. If you are in a jurisdiction where offers to exchange or sell, or solicitations of offers to exchange or purchase, the securities offered by this proxy statement/prospectus or the solicitation of proxies is unlawful, or if you are a person to whom it is unlawful to direct these types of activities, then the offer presented in this proxy statement/prospectus does not extend to you. The information contained in this proxy statement/prospectus speaks only as of the date of this proxy statement/prospectus unless the information specifically indicates that another date applies.

**ENFORCEABILITY OF CIVIL LIABILITY**

CDAQ is a Cayman Islands exempted company. If CDAQ does not change its jurisdiction of incorporation from the Cayman Islands to Delaware by effecting a domestication following the Mergers, you may have difficulty serving legal process within the United States upon CDAQ. You may also have difficulty enforcing, both in and outside the United States, judgments you may obtain in U.S. courts against CDAQ in any action, including actions based upon the civil liability provisions of U.S. federal or state securities laws. Furthermore, CDAQ has been advised by Maples Calder (Cayman) LLP, our Cayman Islands legal counsel, that the courts of the Cayman Islands are unlikely (i) to recognize or enforce against CDAQ judgments of courts of the United States obtained against us or our directors or officers predicated upon the civil liability provisions of the securities laws of the United States or any state in the United States; and (ii) in original actions brought in the Cayman Islands, to impose liabilities against us or our directors or officers predicated upon the civil liability provisions of the securities laws of the United States or any state in the United States, so far as the liabilities imposed by those provisions are penal in nature. In those circumstances, although there is currently no statutory enforcement or treaty between the United States and the Cayman Islands providing for enforcement of judgments obtained in the United States, the courts of the Cayman Islands will recognize and enforce a foreign money judgment of a foreign court of competent jurisdiction without retrial on the merits based on the principle that a judgment of a competent foreign court imposes upon the judgment debtor an obligation to pay the sum for which judgment has been given provided certain conditions are met. For a foreign judgment to be enforced in the Cayman Islands, such judgment must be final and conclusive, given by a court of competent jurisdiction (the courts of the Cayman Islands will apply the rules of Cayman Islands private international law to determine whether the foreign court is a court of competent jurisdiction, and must not be in respect of taxes or a fine or penalty, inconsistent with a Cayman Islands judgment in respect of the same matter, impeachable on the grounds of fraud or obtained in a manner, and or be of a kind the enforcement of which is, contrary to natural justice or the public policy of the Cayman Islands. Furthermore, it is uncertain that Cayman Islands courts would enforce: (1) judgments of U.S. courts obtained in actions against us or other persons that are predicated upon the civil liability provisions of the U.S. federal securities laws; or (2) original actions brought against us or other persons predicated upon the Securities Act. Maples Calder (Cayman) LLP has informed us that there is uncertainty with regard to Cayman Islands law relating to whether a judgment obtained from the U.S. courts under civil liability provisions of the securities laws will be determined by the courts of the Cayman Islands as penal, punitive in nature. A Cayman Islands Court may stay enforcement proceedings if concurrent proceedings are being brought elsewhere. However, CDAQ may be served with process in the United States with respect to actions against CDAQ arising out of or in connection with violation of U.S. federal securities laws relating to offers and sales of CDAQ's securities by serving CDAQ's U.S. agent irrevocably appointed for that purpose.

**TRANSFER AGENT AND REGISTRAR**

The transfer agent for CDAQ's securities is the Continental Stock Transfer & Trust Company. The transfer agent for Pubco's securities will be Continental Stock Transfer & Trust Company.

**INDEX TO FINANCIAL STATEMENTS**

**COMPASS DIGITAL ACQUISITION CORP.**

---

| | |
|:---|:---|
| **UNAUDITED CONDENSED FINANCIAL STATEMENTS** | **Page** |
| &nbsp;&nbsp;&nbsp;[Condensed Balance Sheets as of September 30, 2025 (Unaudited) and December 31, 2024](#a_003) | F-2 |
| &nbsp;&nbsp;&nbsp;[Unaudited Condensed Statements of Operations for the Three and Nine Months Ended September 30, 2025 and 2024](#a_004) | F-3 |
| &nbsp;&nbsp;&nbsp;[Unaudited Condensed Statements of Changes in Shareholders' Deficit for the Three and Nine Months Ended September 30, 2025 and 2024](#a_005) | F-4 |
| &nbsp;&nbsp;&nbsp;[Unaudited Condensed Statements of Cash Flows for the Nine Months Ended September 30, 2025 and 2024](#a_006) | F-5 |
| &nbsp;&nbsp;&nbsp;[Notes to Unaudited Condensed Financial Statements](#a_007) | F-6 |

---

---

| | |
|:---|:---|
| **AUDITED FINANCIAL STATEMENTS** | **Page** |
| [Report of Independent Registered Public Accounting Firm](#f_001) (PCAOB ID Number 100) | F-22 |
| Financial Statements: |  |
| &nbsp;&nbsp;&nbsp;[Balance Sheets as of December 31, 2024 and 2023](#f_003) | F-23 |
| &nbsp;&nbsp;&nbsp;[Statements of Operations for the years ended December 31, 2024 and 2023](#f_004) | F-24 |
| &nbsp;&nbsp;&nbsp;[Statements of Changes in Shareholders' Deficit for the years ended December 31, 2024 and 2023](#f_005) | F-25 |
| &nbsp;&nbsp;&nbsp;[Statements of Cash Flows for the years ended December 31, 2024 and 2023](#f_006) | F-26 |
| &nbsp;&nbsp;&nbsp;[Notes to Financial Statements](#f_007) | F-27 |

---

**KEY MINING CORP.** 

---

| | |
|:---|:---|
| **CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (UNAUDITED)** | **Page** |
| &nbsp;&nbsp;&nbsp;[Condensed Consolidated Interim Balance Sheets as of September 30, 2025 (unaudited) and December 31, 2024](#f3_001) | F-45 |
| &nbsp;&nbsp;&nbsp;[Condensed Consolidated Interim Statements of Operations for the Three and Nine Months Ended September 30, 2025 and 2024 (unaudited)](#f3_002) | F-46 |
| &nbsp;&nbsp;&nbsp;[Condensed Consolidated Interim Statements of Stockholders' Equity for the Three and Nine Months Ended September 30, 2025 and 2024 (unaudited)](#f3_003) | F-47 |
| &nbsp;&nbsp;&nbsp;[Condensed Consolidated Interim Statements of Cash Flows for the Nine Months Ended September 30, 2025 and 2024 (unaudited)](#f3_004) | F-48 |
| &nbsp;&nbsp;&nbsp;[Notes to Condensed Consolidated Interim Financial Statements (unaudited)](#f3_005) | F-49 |

---

---

| | |
|:---|:---|
| **CONSOLIDATED FINANCIAL STATEMENTS** | **Page** |
| [Report of Independent Registered Public Accounting Firm](#sj_001) (PCAOB ID Number 05525) | F-58 |
| &nbsp;&nbsp;&nbsp;[Consolidated Balance Sheets as of December 31, 2024 and 2023](#f4_001) | F-59 |
| &nbsp;&nbsp;&nbsp;[Consolidated Statements of Operations for the years ended December 31, 2024 and 2023](#f4_002) | F-60 |
| &nbsp;&nbsp;&nbsp;[Consolidated Statements of Stockholder's Equity for the years ended December 31, 2024 and 2023](#f4_003) | F-61 |
| &nbsp;&nbsp;&nbsp;[Consolidated Statements of Cash Flows for the years ended December 31, 2024 and 2023](#f4_004) | F-62 |
| &nbsp;&nbsp;&nbsp;[Notes to Consolidated Financial Statements](#f4_005) | F-63 |

---

**COMPASS DIGITAL ACQUISITION CORP.**

**CONDENSED BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | **September 30, 2025**<br>**(unaudited)** | **December 31, 2024** |
| ASSETS |  |  |
| Current assets |  |  |
| &nbsp;&nbsp;&nbsp;Cash | $721 | $27720 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 17668 | 24898 |
| &nbsp;&nbsp;&nbsp;Due from sponsor | 114586 | - |
| Total current assets | 132975 | 52618 |
| &nbsp;&nbsp;&nbsp;Cash held in Trust Account | 1283558 | 27637300 |
| Total assets | $1416533 | $27689918 |
| LIABILITIES, CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION, AND SHAREHOLDERS' DEFICIT |  |  |
| Current liabilities |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $340804 | $165912 |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 695916 | 501314 |
| &nbsp;&nbsp;&nbsp;Polar Capital Investment payable – related party | 227273 | 227273 |
| &nbsp;&nbsp;&nbsp;Non-redemption liability | 6025173 | 4028008 |
| &nbsp;&nbsp;&nbsp;Working Capital Loans | 1760872 | 1240000 |
| Total current liabilities | 9050038 | 6162507 |
| &nbsp;&nbsp;&nbsp;Derivative warrant liabilities | 595611 | 119123 |
| Total liabilities | 9645649 | 6281630 |
| Commitments and Contingencies (Note 6) |  |  |
| Class A Ordinary Shares subject to possible redemption, $0.0001 par value; 110,866 and 2,481,485 shares at $11.58 and $11.14 per share redemption value at September 30, 2025 and December 31, 2024, respectively | 1283558 | 27637300 |
| Shareholders' Deficit |  |  |
| Preference shares, $0.0001 par value; 1,000,000 shares authorized; none issued and outstanding at September 30, 2025 and December 31, 2024 |  |  |
| Class A Ordinary Shares, $0.0001 par value; 200,000,000 shares authorized; 3,200,000 shares issued and outstanding (excluding the 110,866 and 2,481,485 shares subject to possible redemption) at September 30, 2025 and December 31, 2024 | 320 | 320 |
| Class B Ordinary Shares, $0.0001 par value; 20,000,000 shares authorized, 2,110,122 issued and outstanding at September 30, 2025 and December 31, 2024 | 211 | 211 |
| Accumulated deficit | (9513205) | (6229543) |
| Total shareholders' deficit | (9512674) | (6229012) |
| Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption, and Shareholders' Deficit | $1416533 | $27689918 |

---

*The accompanying notes are an integral part of these unaudited condensed financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**UNAUDITED CONDENSED STATEMENTS OF OPERATIONS**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For The Three<br> Months Ended<br> September 30, 2025** | **For The Three<br> Months Ended<br> September 30, 2024** | **For The Nine<br> Months Ended<br> September 30, 2025** | **For The Nine<br> Months Ended<br> September 30, 2024** |
| General and administrative expense | $162547 | $837885 | $720009 | $1561687 |
| Non-redemption expense | 1870151 | 4076270 | 1997165 | 4076270 |
| Administrative expenses - related party | 30000 | 30000 | 90000 | 90000 |
| **Loss from operations** | (2062698) | (4944155) | (2807174) | (5727957) |
| Change in fair value of derivative warrant liabilities |  | (13103) | (476488) | (138182) |
| Interest earned on cash or investments held in Trust Account | 11298 | 389048 | 334873 | 1660199 |
| **Net loss** | $(2051400) | $(4568210) | $(2948789) | $(4205940) |
| Weighted average shares of Class A Ordinary Shares outstanding subject to possible redemption, basic and diluted | 110866 | 2982827 | 1109478 | 4451979 |
| Basic and diluted net loss per share- Class A Ordinary Shares subject to possible redemption | $**(0.38)** | $**(0.55)** | $**(0.46)** | $**(0.43)** |
| Weighted average shares of non-redeemable Class A Ordinary Shares outstanding, basic and diluted | 3200000 | 2550000 | 3200000 | 1254745 |
| Basic and diluted net loss per share- non-redeemable Class A Ordinary Shares | $**(0.38)** | $**(0.55)** | $**(0.46)** | $**(0.43)** |
| Weighted average shares of non-redeemable Class B Ordinary Shares outstanding, basic and diluted | 2110122 | 2760122 | 2110122 | 4055377 |
| Basic and diluted net loss per share- non-redeemable Class B Ordinary Shares | $**(0.38)** | $**(0.55)** | $**(0.46)** | $**(0.43)** |

---

*The accompanying notes are an integral part of these unaudited condensed financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**UNAUDITED CONDENSED STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT**

**FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Class A** | **Class A** | **Class B** | **Class B** | | | |
|  | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | | | |
|  | **Shares** | **Amount** | **Shares** | **Amount** | **Additional**<br>**Paid-in**<br>**Capital** |<br>**Accumulated**<br>**Deficit** | **Total**<br>**Shareholders'**<br>**Deficit** |
| **Balance as of January 1, 2025** | **3200000** | $**320** | **2110122** | $**211** | $**-** | $**(6229543)** | $**&nbsp;&nbsp;&nbsp;&nbsp;(6229012)** |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  |  | (242531) | (242531) |
| Net loss | - | - | - | - | - | (483071) | (483071) |
| **Balance as of March 31, 2025 (unaudited)** | **3200000** | **320** | **2110122** | **211** | **-** | **(6955145)** | **(6954614)** |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  |  | (81044) | (81044) |
| Net loss | - | - | - | - | - | (414318) | (414318) |
| **Balance as of June 30, 2025 (unaudited)** | **3200000** | **320** | **2110122** | **211** | **-** | **(7450507)** | **(7449976)** |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  |  | (11298) | (11298) |
| Net loss | - | - | - | - | - | (2051400) | (2051400) |
| **Balance as of September 30, 2025 (unaudited)** | **3200000** | $**320** | **2110122** | $**211** | $**-** | $**(9513205)** | $**(9512674)** |

---

 

**FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | | | |
|  | **Class A** | **Class A** | **Class B** | **Class B** | | | |
|  | **Shares** | **Amount** | **Shares** | **Amount** | **Additional**<br>**Paid-In**<br>**Capital** |<br>**Accumulated**<br>**Deficit** | **Total**<br>**Shareholders'**<br>**Deficit** |
| **Balance as of January 1, 2024** | **600000** | $**60** | **4710122** | $**471** | $**-** | $**(1369588)** | $**&nbsp;&nbsp;&nbsp;&nbsp;(1369057)** |
| Allocation of Polar Capital Investment payable proceeds to equity instrument |  |  |  |  | 204549 |  | 204549 |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  | (204549) | (427418) | (631967) |
| Net loss | - | - | - | - | - | (113190) | (113190) |
| **Balance as of March 31, 2024 (unaudited)** | **600000** | **60** | **4710122** | **471** | **-** | **(1910196)** | **(1909665)** |
| Capital contribution from Sponsor |  |  |  |  | 295000 |  | 295000 |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  | (295000) | (344184) | (639184) |
| Net income | - | - | - | - | - | 475460 | 475460 |
| **Balance as of June 30, 2024 (unaudited)** | **600000** | **60** | **4710122** | **471** | **-** | **(1778920)** | **(1778389)** |
| Conversion of Class B Ordinary Shares into Class A Ordinary Shares | 2600000 | 260 | (2600000) | (260) |  |  |  |
| Capital contribution from Sponsor |  |  |  |  | 120000 |  | 120000 |
| Allocation of Polar Capital Investment payable proceeds to equity instrument |  |  |  |  | 409091 |  | 409091 |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  | (529091) | 140043 | (389048) |
| Net loss | - | - | - | - | - | (4568210) | (4568210) |
| **Balance as of September 30, 2024 (unaudited)** | **3200000** | $**320** | **2110122** | $**211** | $**-** | $**(6207087)** | $**(6206556)** |

---

 

*The accompanying notes are an integral part of these unaudited condensed financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS**

---

| | | |
|:---|:---|:---|
|  | **For The Nine<br> Months Ended<br> September 30, 2025** | **For The Nine<br> Months Ended<br> September 30, 2024** |
| **Cash Flows from Operating Activities** |  |  |
| Net loss | $(2948789) | $(4205940) |
| Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;Interest earned on cash or investments held in Trust Account | (334873) | (1660199) |
| &nbsp;&nbsp;&nbsp;Change in fair value of derivative warrant liabilities | 476488 | 138182 |
| &nbsp;&nbsp;&nbsp;Non-redemption expense | 1997165 | 4076270 |
| Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 7230 | 12006 |
| &nbsp;&nbsp;&nbsp;Due from sponsor | (114586) |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | 174892 |  |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 194602 | 464179 |
| **Net cash used in operating activities** | (547871) | (1175502) |
| **Cash Flows from Investing Activities:** |  |  |
| Cash withdrawn from Trust Account in connection with redemption | 26688615 | 29638365 |
| **Net cash provided by investing activities** | 26688615 | 29638365 |
| **Cash Flows from Financing Activities** |  |  |
| Proceeds from Polar Capital Investment payable-related party |  | 750000 |
| Redemption of ordinary shares | (26688615) | (29638365) |
| Proceeds from Working Capital Loans | 520872 |  |
| Capital contribution from Sponsor |  | 415000 |
| **Net cash used in financing activities** | (26167743) | (28473365) |
| **Net (decrease) in cash** | (26999) | (10502) |
| **Cash - beginning of period** | 27720 | 44046 |
| **Cash - end of period** | $721 | $33544 |
| **Supplemental disclosure of non-cash investing and financing activities:** |  |  |
| Allocation of Polar Capital Investment payable proceeds to equity instrument | $— | $(908636) |

---

*The accompanying notes are an integral part of these unaudited condensed financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

**NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS**

Compass Digital Acquisition Corp. (the "Company") is a blank check company incorporated in the Cayman Islands on March 8, 2021. The Company was formed for the purpose of effectuating a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (the "Business Combination"). The Company is an early-stage and emerging growth company and, as such, the Company is subject to all of the risks associated with early-stage and emerging growth companies.

As of September 30, 2025, the Company had not yet commenced any operations. All activity for the period from March 8, 2021 (inception) through September 30, 2025 relates to the Company's formation, the initial public offering that was consummated by the Company on October 19, 2021 (the "Initial Public Offering" or "IPO"), which is described below, and the search for a target business with which to consummate an initial Business Combination. The Company will not generate any operating revenues until after the completion of its initial Business Combination, at the earliest. The Company generates non-operating income in the form of interest income from the proceeds derived from the Initial Public Offering and the Private Placement (as defined below). The Company has selected December 31 as its fiscal year end.

The Company's sponsor was originally Compass Digital SPAC LLC (the "Legacy Sponsor"), until August 31, 2023 and has been HCG Opportunity, LLC, a Delaware limited liability company (the "Sponsor," together, with the Legacy Sponsor, the "Sponsors"), since August 31, 2023 (see Note 5).

The Registration Statement on Form S-1 for the Initial Public Offering, initially filed with the Securities and Exchange Commission (the "SEC") on September 14, 2021, as amended (File No. 333-259502), was declared effective on October 14, 2021 (the "IPO Registration Statement"). On October 19, 2021, the Company consummated the Initial Public Offering of 20,000,000 units ("Units" and, with respect to the (i) Class A Ordinary Shares (as defined below) included in the Units offered, the "Public Shares" and (ii) redeemable warrants included in the Units offered, the "Public Warrants"), at $10.00 per Unit, generating gross proceeds of $200,000,000. Each Unit consists of one Class A Ordinary Share, par value $0.0001 per share, of the Company (the "Class A Ordinary Shares"), and one-third of one Public Warrant (see Note 3).

Certain institutional anchor investors that are not affiliated with the Company, the Legacy Sponsor, or the Company's officers, directors, or any member of the Company's management ("Management" and such investors, the "Institutional Anchor Investors") purchased an aggregate of 20,000,000 Units in the Initial Public Offering. The Units were sold at an offering price of $10.00 per Unit, generating gross proceeds of $200,000,000.

Simultaneously with the closing of the Initial Public Offering, the Company consummated the sale of 4,666,667 warrants (the "Private Placement Warrants," and together with the Public Warrants, the "Warrants") to the Legacy Sponsor at a price of $1.50 per Private Placement Warrant, generating gross proceeds of $7,000,000 (such sale, the "Private Placement") (see Note 4). Concurrently with the closing of the Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 Private Placement Warrants, which transfer will take place upon the closing of the initial Business Combination.

The Institutional Anchor Investors also purchased a portion of the equity interests of the Legacy Sponsor equivalent to 1,547,727 Founder Shares (as defined in Note 5) from the Legacy Sponsor at the original purchase price of $0.004 per share. The Founder Shares may be converted into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders and will be automatically converted into Class A Ordinary Shares at the Business Combination on a one-for-one basis, subject to adjustment as provided in its Amended and Restated Memorandum and Articles of Association (as amended and currently in effect, the "Amended and Restated Charter").

Transaction costs amounted to $11,929,189, consisting of $4,000,000 of underwriting fees, $7,000,000 of deferred underwriting fees and $929,189 of other offering costs. Of these transaction fees, the Company subsequently obtained a discount related to the underwriter fees of $199,999 and expensed $631,124 related to the allocation of offering costs and Founder Shares to Warrant expense. Other non-cash transaction costs include the fair value in excess of consideration of $10,414,655 in relation to Founder Shares purchased by Institutional Anchor Investors. Subsequent to the Initial Public Offering close, there was an additional $676,712 in related transaction offering costs incurred, of which $37,917 related to the allocation of offering costs and Founder Shares to Warrant expense in 2021.

Following the closing of the Initial Public Offering on October 19, 2021, an amount of $200,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units in the Initial Public Offering and the sale of the Private Placement Warrants in the Private Placement was placed in a trust account located in the United States (the "Trust Account") to be invested only in U.S. government treasury obligations with a maturity of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act of 1940, as amended (the "Investment Company Act"), which invest only in direct U.S. government treasury obligations, as determined by the Company, until the earlier of: (i) the completion of a Business Combination and (ii) the distribution of the Trust Account, as described below. On October 19, 2023, the Company instructed Continental Stock Transfer & Trust Company, the trustee of the Trust Account ("Continental"), to liquidate the investments held in the Trust Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with Continental continuing to act as trustee, until the earlier of the consummation of the initial Business Combination or the Company's liquidation. As a result, following the liquidation of investments in the Trust Account, the remaining proceeds from the Initial Public Offering and Private Placement are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

The underwriters of the Initial Public Offering notified the Company of their intention to partially exercise the over-allotment option on November 30, 2021 (the "Over-Allotment Option"). As such, on November 30, 2021, the Company consummated the sale of an additional 1,240,488 units (the "Over-Allotment Units"), at $10.00 per Over-Allotment Unit, and the sale of an additional 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880 and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds of the exercise of the Over-Allotment Option was deposited into the Trust Account, bringing the aggregate proceeds deposited into the Trust Account in connection with the Initial Public Offering to $212,404,880. The Company incurred additional offering costs of $682,268 in connection with the exercise of the Over-Allotment Option (of which $434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed the Company of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

Management has broad discretion with respect to the specific application of the net proceeds of the Initial Public Offering and the Private Placement, although substantially all of the net proceeds are being applied generally toward consummating a Business Combination. The Company will only complete a Business Combination if the post-Business Combination company owns or acquires 50% or more of the outstanding voting securities of the target or otherwise acquires a controlling interest in the target sufficient for it not to be required to register as an investment company under the Investment Company Act. There is no assurance that the Company will be able to successfully effect a Business Combination.

The Company will provide its holders of the outstanding Public Shares (the "Public Shareholders") with the opportunity to redeem all or a portion of their Public Shares upon the completion of a Business Combination either (i) in connection with a shareholder meeting called to approve the Business Combination or (ii) by means of a tender offer. In connection with a proposed Business Combination, the Company may seek shareholder approval of a Business Combination at a meeting called for such purpose at which shareholders may seek to redeem their shares without voting, and if they do vote, irrespective of whether they vote for or against a Business Combination.

If the Company seeks shareholder approval of a Business Combination and it does not conduct redemptions pursuant to the tender offer rules, the Amended and Restated Charter provides that a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a "group" (as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the "Exchange Act")), will be restricted from seeking redemption rights with respect to more than an aggregate of 15% of the Public Shares without the Company's prior written consent.

The Public Shareholders will be entitled to redeem their Public Shares for a pro rata portion of the amount then in the Trust Account ($11.58 per Public Share as of September 30, 2025, plus any pro rata interest earned on the funds held in the Trust Account and not previously released to the Company to pay its tax obligations). There will be no redemption rights upon the completion of a Business Combination with respect to the Warrants. These Class A Ordinary Shares were recorded at a redemption value and classified as temporary equity upon the completion of the Initial Public Offering, in accordance with the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 480 "Distinguishing Liabilities from Equity" ("ASC 480").

If a shareholder vote is not required and the Company does not decide to hold a shareholder vote for business or other legal reasons, the Company will, pursuant to its Amended and Restated Charter, offer such redemption pursuant to the tender offer rules of the SEC, and file tender offer documents containing substantially the same information as would be included in a proxy statement with the SEC prior to completing a Business Combination.

The Sponsors have agreed (i) to vote their Founder Shares and any Public Shares purchased during or after the Initial Public Offering in favor of a Business Combination; (ii) not to propose an amendment to the Amended and Restated Charter with respect to the Company's pre-Business Combination activities prior to the closing of a Business Combination unless the Company provides dissenting public shareholders with the opportunity to redeem their Public Shares in conjunction with any such amendment; (iii) not to redeem any shares (including the Founder Shares) into the right to receive cash from the Trust Account in connection with a shareholder vote to approve a Business Combination (or to sell any shares in a tender offer in connection with a Business Combination if the Company does not seek shareholder approval in connection therewith) or a vote to amend the provisions of the Amended and Restated Charter relating to shareholders' rights of pre-Business Combination activity; and (iv) that the Founder Shares shall not participate in any liquidating distributions upon winding up if a Business Combination is not consummated. However, the Sponsors will be entitled to liquidating distributions from the Trust Account with respect to any Public Shares purchased during or after the Initial Public Offering if the Company fails to complete its Business Combination.

If the Company is unable to complete a Business Combination by April 20, 2026 (the "Combination Period"), the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but no more than ten business days thereafter subject to lawfully available funds therefor, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to the Company (less taxes payable and up to $50,000 of interest to pay dissolution expenses), divided by the number of then outstanding Public Shares, which redemption will completely extinguish Public Shareholders' rights as shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining shareholders and the Company's board of directors (the "Board of Directors"), liquidate and dissolve, subject in each case to its obligations under Cayman Islands law to provide for claims of creditors and the requirements of applicable law. In the event of such distribution, it is possible that the per share value of the assets remaining available for distribution will be less than the Initial Public Offering price per Unit of $10.00.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

The Sponsors have agreed that they will be liable to the Company if and to the extent any claims by a third party (other than the independent registered public accounting firm) for services rendered or products sold to the Company, or a prospective target business with which the Company has entered into a written letter of intent, confidentiality or similar agreement or Business Combination agreement, reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per Public Share and (ii) the actual amount per Public Share held in the Trust Account as of the day of liquidation of the Trust Account, if less than $10.00 per share due to reductions in the value of the Trust Account assets, less taxes payable, provided that such liability will not apply to any claims by a third party or prospective target business who executed a waiver of any and all rights to monies held in the Trust Account (whether or not such waiver is enforceable) nor will it apply to any claims under the Company's indemnity of the underwriters of the Initial Public Offering against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the "Securities Act"). However, the Company has not asked the Sponsors to reserve for such indemnification obligations, nor has the Company independently verified whether the Sponsors have sufficient funds to satisfy their indemnity obligations and believe that the Sponsors' only assets are securities of the Company. Therefore, the Company cannot assure its shareholders that the Sponsors would be able to satisfy those obligations. None of the Company's officers or directors will indemnify the Company for claims by third parties including, without limitation, claims by vendors and prospective target businesses. The Company seeks to reduce the possibility that the Sponsors will have to indemnify the Trust Account due to claims of creditors by endeavoring to have all vendors, service providers, prospective target businesses or other entities, with which the Company does business, execute agreements with the Company waiving any right, title, interest or claim of any kind in or to monies held in the Trust Account.

***Sponsor Handover***

On August 30, 2023, the Legacy Sponsor and the Sponsor entered into an agreement (the "Sponsor Purchase Agreement"), and on August 31, 2023, the Legacy Sponsor and the Sponsor consummated the transactions contemplated thereby (the "Sponsor Handover"). Pursuant to the terms of the Sponsor Purchase Agreement, at the Sponsor Handover: (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 Private Placement Warrants to the Sponsor; (ii) the Sponsor agreed to cause the Company to pay an aggregated amount of $300,000 in cash consideration upon closing of the Business Combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) the Sponsor entered into a joinder to the Company's registration rights agreement, dated October 14, 2021 (the "Registration Rights Agreement"); (iv) the Legacy Sponsor assigned the existing administrative services agreement with the Company, dated October 14, 2021 (the "Administrative Services Agreement") to the Sponsor; (v) all of the members of the Board of Directors and officers of the Company resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as the Chief Executive Officer and the Chief Financial Officer of the Company, respectively; and (vi) the Company entered into an amendment to the existing Letter Agreement, dated October 14, 2021 (as amended, the "Letter Agreement"). with the Legacy Sponsor, the Sponsor and the Company's former officers and directors, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and Private Placement Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement.

On March 29, 2024, the Company entered into a joinder to Letter Agreement with each of the current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

***Extensions of the Combination Period***

At the extraordinary general meeting of shareholders held by the Company on October 19, 2023 (the "2023 EGM"), to approve proposals to amend the Amended and Restated Charter to (i) extend the date by which the Company must consummate an initial business combination from October 19, 2023 to July 19, 2024 (the "2023 Extension Amendment Proposal") and (ii) to provide for the right of holders of the Company's Class B Ordinary Shares, par value $0.0001 per share (the "Class B Ordinary Shares," and together with the Class A Ordinary Shares, the "Ordinary Shares"), to convert such shares into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders (the "Founder Share Amendment Proposal" and together with the 2023 Extension Amendment Proposal, the "Charter Amendment Proposals").

In connection with the vote to approve the Charter Amendment Proposals, Public Shareholders holding 16,045,860 Public Shares (after giving effect to withdrawals of redemptions) exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account (the "2023 Redemptions"). As a result, approximately $169.1 million (approximately $10.54 per share) was removed from the Trust Account to pay such holders.

On July 18, 2024, the Company held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders (the "2024 EGM") to approve, among other things, a proposal to amend the Amended and Restated Charter to extend the date by which the Company must consummate an initial Business Combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four (4) times until April 19, 2025 (or such earlier date as determined by the Board of Directors (the "2024 Extension Amendment Proposal").

In connection with the vote to approve the 2024 Extension Amendment Proposal, Public Shareholders holding 2,713,143 Public Shares (after giving effect to withdrawals of redemptions) exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account (the "2024 Redemptions"). As a result of the 2024 Redemptions, approximately $29.6 million (approximately $10.92 per share) was removed from the Trust Account to pay such holders.

On April 16, 2025, the Company held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders (the "2025 EGM") to approve, among other things, a proposal to amend the Amended and Restated Charter to extend the date by which the Company must consummate an initial Business Combination from April 19, 2025 to April 20, 2026 (or such earlier date as determined by the Board of Directors (the "2025 Extension Amendment Proposal").

In connection with the vote to approve the 2025 Extension Amendment Proposal, Public Shareholders holding 2,370,619 Public Shares (after giving effect to withdrawals of redemptions) exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account (the "2025 Redemptions"). As a result of the 2025 Redemptions, approximately $26.7 million (approximately $11.25 per share) was removed from the Trust Account to pay such holders.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

***Founder Share Conversions***

On October 19, 2023, following the approval of the Founder Share Amendment Proposal at the 2023 EGM, the Sponsors also converted an aggregate of 600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares (the "2023 Founder Share Conversion") and waived any right to receive funds from the Trust Account with respect to the Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

On July 24, 2024, in connection with the 2024 EGM and the 2024 Redemptions, the Sponsors also converted an aggregate of 2,600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares (the "2024 Founder Share Conversion") and waived any right to receive funds from the Trust Account with respect to the Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

***Business Combination Agreement***

On September 5, 2024, the Company entered into a Business Combination Agreement (as amended, restated or otherwise modified from time to time, the "Business Combination Agreement") with (i) the Sponsor, in the capacity as the representative from and after the closing of the transactions contemplated by the Business Combination Agreement (the "Closing") for the shareholders of the Company, (ii) upon execution of a joinder thereto, a to-be-formed Cayman Islands exempted company to be named "EEW Renewables Corp" ("Pubco"), (iii) upon execution of a joinder thereto, a to-be-formed Cayman Islands exempted company and wholly-owned subsidiary of Pubco to be named "EEW Merger Sub" ("Merger Sub"), (iv) EEW Renewables Ltd, a company formed under the laws of England and Wales ("EEW"), (v) the shareholders of EEW named therein that executed and delivered the Business Combination Agreement on the signing date (together with any transferees of ordinary shares of EEW prior to the Closing that either sign a joinder agreement to become a party thereto, or that become bound thereby pursuant to the drag-along rights to be set forth in EEW's amended organizational documents (collectively, the "Sellers"), and (vi) E.E.W. Global Holding Limited, in the capacity as the representative for the Sellers in accordance with the terms and conditions of the Business Combination Agreement.

Pursuant to the Business Combination Agreement, subject to the terms and conditions set forth therein, at the Closing, (a) Merger Sub will merge with and into the Company, with the Company continuing as the surviving entity (the "Merger"), as a result of which, (i) the Company shall become a wholly-owned subsidiary of Pubco, and (ii) each issued and outstanding security of the Company immediately prior to the Effective Time (as defined in the Business Combination Agreement) shall no longer be outstanding and shall automatically be cancelled, in exchange for the right of the holder thereof to receive a substantially equivalent security of Pubco, and (b) Pubco shall acquire all of the issued and outstanding ordinary shares of EEW from the Sellers in exchange for Pubco ordinary shares (the "Share Exchange"), all upon the terms and subject to the conditions set forth in the Business Combination Agreement and in accordance with the applicable provisions of the Companies Act (Revised) of the Cayman Islands and the laws of England and Wales (the Merger, the Share Exchange and the other transactions contemplated by the Business Combination Agreement and the ancillary documents, together, the "Transactions"), and any outstanding convertible securities of EEW will be terminated; and (c) as a result of such Transactions, the Company and EEW each will become a wholly-owned subsidiary of Pubco, and Pubco will become a publicly traded company upon the Closing.

*Share Exchange and Consideration*

The base consideration to be paid to the Sellers is $300,000,000 (subject to increase to the extent that the Company's unpaid transaction expenses and cash liabilities as of the Closing that the Sponsor does not pay in cash exceeds $5,000,000, and subject to decrease to the extent that the amount of EEW's unpaid transaction expenses is more than $5,000,000), and will be paid entirely in the form of newly issued ordinary shares of Pubco, par value $0.0001 per share (the "Pubco Ordinary Shares"), with each share valued at $10.00 (such shares, the "Exchange Shares").

In addition to the base consideration as set forth above, the Sellers will be entitled to receive up to an additional 4,200,000 Pubco Ordinary Shares, subject to equitable adjustment for share splits, share dividends, combinations, recapitalizations and the like after the Closing, including to account for any equity securities into which such shares are exchanged or converted (the "Earnout Shares"), as additional consideration from Pubco in the event that:

(i) If during the 3-year period after the Closing (the "Earnout Period"), the volume-weighted average price for Pubco Ordinary Shares for 20 out of 30 consecutive trading days is at least: (i) $11.00 per share, the Sellers will receive 50% of the Earnout Shares and (ii) $12.00 per share, the Sellers will receive the remaining 50% of the Earnout Shares; or

(ii) If Pubco's consolidated earnings before interest, taxes, depreciation, and amortization for the fiscal year ended April 30, 2025 equals or exceeds $41.9 million, subject to certain adjustments, the Sellers will receive all of the Earnout Shares.

If there is a change-in-control transaction during the Earnout Period, to the extent that the express or implied price per Pubco Ordinary Share in such transaction is equal to or greater than the applicable share price targets as set forth above, the vesting of such Earnout Shares will accelerate, and the Earnout Shares will be issuable upon the closing of such transaction.

On November 3, 2025, the Company received a notice (the "Notice") from EEW purporting to terminate the Business Combination Agreement pursuant to Sections 10.1(b) and 10.1(d) thereof. On November 6, 2025, the Company sent a written response to EEW disputing such termination, asserting, among other things, that the representations, warranties and covenants of the Company set forth in the Business Combination Agreement purported by EEW in the Notice to have been breached by the Company either were not breached at all or were not breached at a level giving rise to a termination right, and that, in any event, EEW does not have the right to terminate the Business Combination Agreement due to EEW's previous and continuing breaches of certain key covenants of the Business Combination Agreement. Consequently, the Company believes that EEW's purported termination of the Business Combination Agreement is invalid under the terms of the Business Combination Agreement.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

***Liquidity and Going Concern***

As of September 30, 2025, the Company had $721 in its operating bank accounts and a working capital deficit of $2,891,890.

To date, the Company's liquidity needs have been satisfied through (i) a payment of $25,000 from the Legacy Sponsor to cover certain expenses on behalf of the Company in exchange for the issuance of the Founder Shares, (ii) a loan of approximately $195,000 from the Legacy Sponsor pursuant to a promissory note for up to $250,000 (the "IPO Promissory Note"), (iii) the net proceeds from the consummation of the Private Placement not held in the Trust Account, (iv) the Polar Capital Investment (as defined in Note 5), and (v) the Working Capital Loans (as defined in Note 5) pursuant to the 2021 Promissory Note and the 2024 Promissory Note (each as defined in Note 5). The Company fully repaid the IPO Promissory Note on October 19, 2021. No additional borrowing is available under the IPO Promissory Note (see Note 5).

As of September 30, 2025, the Company had drawn $1,250,000 from the Polar Capital Investment that was fair valued at $227,273, $125,000 outstanding from the 2021 Working Capital Loans (as defined below) and $1,635,872 outstanding from the 2024 Working Capital Loan (see Note 5).

Based on the foregoing, Management believes that the Company may not have sufficient working capital to meet its anticipated obligations through the earlier of the consummation of an initial Business Combination or one year from the date of the accompanying unaudited condensed financial statements. Over this period, the Company will be using these funds for paying existing accounts payable, operating costs, and completing our Business Combination.

In connection with the Company's assessment of going concern considerations in accordance with FASB ASC Subtopic 205-40 "Presentation of Financial Statements – Going Concern," the Company has until April 20, 2026 to consummate a Business Combination. It is uncertain that the Company will be able to consummate a Business Combination by this time and the Company lacks the financial resources it needs to sustain operations for a reasonable period of time, which is considered to be one year from the date of the accompanying unaudited condensed financial statements. If a Business Combination is not consummated with the Combination Period, there will be a mandatory liquidation and subsequent dissolution of the Company. The Company cannot provide any assurance that (i) new financing will be available to it on commercially acceptable terms, if at all, or (ii) that its plans to consummate an initial Business Combination will be successful. Management has determined that the liquidity condition and mandatory liquidation should a Business Combination not occur, and potential subsequent dissolution raises substantial doubt about the Company's ability to continue as a going concern. The accompanying unaudited condensed financial statements do not include any adjustments that might result from the Company's inability to continue as a going concern.

**NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

***Basis of Presentation***

The accompanying unaudited condensed financial statements are presented in conformity with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X of the SEC. Certain information or footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted, pursuant to the rules and regulations of the SEC for interim financial reporting. Accordingly, they do not include all the information and footnotes necessary for a complete presentation of financial position, results of operations, or cash flows. In the opinion of Management, the accompanying unaudited condensed financial statements reflect all adjustments, which include only normal recurring adjustments necessary for the fair statement of the balances and results for the periods presented. Operating results for the three and nine months ended September 30, 2025 are not necessarily indicative of the results that may be expected through December 31, 2025.

The accompanying unaudited condensed financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024 as filed with the SEC on March 25, 2025.

***Emerging Growth Company***

The Company is an "emerging growth company," as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company's financial statements with another public company, which is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

***Risks and Uncertainties***

The Company's ability to complete an initial Business Combination may be adversely affected by various factors, many of which are beyond the Company's control. The Company's ability to consummate an initial Business Combination could be impacted by, among other things, changes in laws or regulations, downturns in the financial markets or in economic conditions, inflation, fluctuations in interest rates, increases in tariffs, supply chain disruptions, declines in consumer confidence and spending, public health considerations, and geopolitical instability, such as the military conflicts in Ukraine and the Middle East. The Company cannot at this time predict the likelihood of one or more of the above events, their duration or magnitude or the extent to which they may negatively impact the Company's ability to complete an initial Business Combination.

***Use of Estimates***

The preparation of the accompanying unaudited condensed financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the accompanying unaudited condensed financial statements and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires Management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the accompanying unaudited condensed financial statements, which Management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates.

***Cash and Cash Equivalents***

The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had $721 and $27,720 of cash and no cash equivalents as of September 30, 2025 and December 31, 2024, respectively.

***Cash Held in Trust Account***

At September 30, 2025 and December 31, 2024, the Company had $1,283,558 and $27,637,300, respectively, in cash held in the Trust Account. At September 30, 2025 and December 31, 2024, all of the assets held in the Trust Account were held in demand deposit accounts.

***Class A Ordinary Shares Subject to Redemption***

The Company accounts for its Ordinary Shares subject to possible redemption in accordance with the guidance in ASC 480. Ordinary Shares subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally redeemable Ordinary Shares (including Ordinary Shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company's control) are classified as temporary equity. At all other times, Ordinary Shares are classified as shareholders' deficit. The Ordinary Shares feature certain redemption rights that are considered to be outside of the Company's control and subject to the occurrence of uncertain future events. Accordingly, Ordinary Shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholders' deficit section of the accompanying condensed balance sheets. For the three and nine months ended September 30, 2025 and 2024, the Company recorded accretion on the Class A Ordinary Shares of $11,298 and $334,873, and $389,048 and $1,660,199, respectively, to redemption value related to the interest in the Trust Account.

***Income Taxes***

The Company complies with the accounting and reporting requirements of FASB ASC Topic 740, "Income Taxes" ("ASC 740"), which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in future taxable or deductible amounts, based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized.

ASC 740 prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits, if any, as income tax expense. There were no unrecognized tax benefits and no amounts accrued for interest and penalties as of September 30, 2025 and December 31, 2024. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

The Company is considered to be an exempted Cayman Islands company with no connection to any other taxable jurisdiction and is presently not subject to income taxes or income tax filing requirements in the Cayman Islands or the United States. Therefore, the Company's tax provision was zero for the periods presented.

***Offering Costs Associated with the Initial Public Offering***

Offering costs consisted of legal, accounting, underwriting fees and other costs incurred through the accompanying unaudited condensed balance sheet dates that are directly related to the Initial Public Offering. Upon the completion of the Initial Public Offering, the offering costs were allocated using the relative fair values of the Class A Ordinary Shares and Warrants. The costs allocated to Warrants were recognized in other expenses, and those related to the Class A Ordinary Shares were charged against the carrying value of the Class A Ordinary Shares. The Company complies with the requirements of FASB ASC Topic 340-10-S99-1, "Other Assets and Deferred Costs."

***Net Loss Per Ordinary Share***

The Company complies with the accounting and disclosure requirements of FASB ASC Topic 260, "Earnings Per Share." The Company has two classes of Ordinary Shares: Class A Ordinary Shares and Class B Ordinary Shares. Net loss is shared pro rata between the two classes of Ordinary Shares. Net (loss) per Ordinary Share is calculated by dividing net loss by the weighted average number of Ordinary Shares outstanding for the respective period. As of September 30, 2025 and 2024, the inclusion of financial instruments in the calculation of earnings per share is contingent on a future event. As a result, diluted net loss per Ordinary Share is the same as basic net loss per Ordinary Share for the periods presented. Accretion associated with the redeemable Class A Ordinary Shares is excluded from earnings per share as the redemption value approximates fair value.

The following table presents a reconciliation of the numerator and denominator used to compute basic and diluted net loss per share for each class of Ordinary Shares:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | For The Three<br> Months Ended<br> September 30, 2025 | For The Three<br> Months Ended<br> September 30, 2024 | For The Nine<br> Months Ended<br> September 30, 2025 | For The Nine<br> Months Ended<br> September 30, 2024 |
| Redeemable Class A Ordinary Shares |  |  |  |  |
| Numerator: Net loss allocable to Redeemable Class A Ordinary Shares |  |  |  |  |
| Net loss allocable to Redeemable Class A Ordinary Shares | $(41954) | $(1643104) | $(509629) | $(1918107) |
| Denominator: Weighted Average Share Outstanding, Redeemable Class A Ordinary Shares |  |  |  |  |
| Basic and diluted weighted average shares outstanding, Redeemable Class A Ordinary Shares | 110866 | 2982827 | 1109478 | 4451979 |
| Basic and diluted net loss per share, Class A ordinary shares subject to possible redemption | $(0.38) | $(0.55) | $(0.46) | $(0.43) |
| Non-Redeemable Class A Ordinary Shares |  |  |  |  |
| Numerator: Net loss allocable to non-redeemable Class A Ordinary Shares |  |  |  |  |
| Net loss allocable to non-redeemable Class A Ordinary Shares | $(1210938) | $(1404680) | $(1469893) | $(540599) |
| Denominator: Weighted Average Non-Redeemable Class A Ordinary Shares | 3200000 | 2550000 | 3200000 | 1254745 |
| Basic and diluted net loss per share, non-redeemable Class A Ordinary Shares | $(0.38) | $(0.55) | $(0.46) | $(0.43) |
| Non-Redeemable Class B Ordinary Shares |  |  |  |  |
| Numerator: Net loss allocable to non-redeemable Class B Ordinary Shares |  |  |  |  |
| Net loss allocable to non-redeemable Class B Ordinary Shares | $(798508) | $(1520426) | $(969267) | $(1747234) |
| Denominator: Weighted Average Non-Redeemable Class B Ordinary Shares | 2110122 | 2760122 | 2110122 | 4055377 |
| Basic and diluted net loss per share, non-redeemable Class B Ordinary Shares | $(0.38) | $(0.55) | $(0.46) | $(0.43) |

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**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

***Warrant Liability***

The Company accounts for its Warrants as either equity-classified or liability-classified instruments based on an assessment of the warrant's specific terms and applicable authoritative guidance in ASC 480 and FASB ASC Topic 815, "Derivatives and Hedging" ("ASC 815"). The assessment considers whether the Warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the Warrants meet all of the requirements for equity classification under ASC 815, including whether the Warrants are indexed to the Company's own Ordinary Shares, among other conditions for equity classification. This assessment, which requires the use of professional judgment, is conducted at the time of Warrant issuance and as of each subsequent quarterly period end date while the Warrants are outstanding.

For issued or modified Warrants that meet all of the criteria for equity classification, the Warrants are required to be recorded as a component of additional paid-in capital at the time of issuance. For issued or modified Warrants that do not meet all the criteria for equity classification, the Warrants are required to be recorded at their initial fair value on the date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the Warrants are recognized as a non-cash gain or loss on the accompanying unaudited condensed statements of operations.

***Derivative Financial Instruments***

The Company evaluates its financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives in accordance with ASC 815. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value on the grant date and is then re-valued at each reporting date, with changes in the fair value reported in the accompanying unaudited condensed statements of operations. The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are accounted in the accompanying condensed balance sheets as current or non-current based on whether or not net-cash settlement or conversion of the instrument could be required within 12 months of the balance sheet date.

The Company accounts for the conversion features in the Working Capital Loans under ASC 815. The conversion features were classified as a derivative liability and the Company has determined that the fair value was immaterial at September 30, 2025 and December 31, 2024.

***Concentration of Credit Risk***

Financial instruments that potentially subject the Company to concentration of credit risk consist of a cash account in a financial institution which, at times may exceed the Federal Deposit Insurance Corporation coverage limit of $250,000. Any loss incurred or a lack of access to such funds could have a significant adverse impact on the Company's financial condition, results of operations, and cash flows.

***Fair Value of Financial Instruments***

The fair value of the Company's assets and liabilities, which qualify as financial instruments under FASB ASC Topic 820, "Fair Value Measurement" ("ASC 820"), approximates the carrying amounts represented in the accompanying condensed balance sheets, primarily due to their short-term nature, except for the derivative warrant liabilities (see Note 10).

The Company applies ASC 820, which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines "fair value" as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company's principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity' own assumptions based on market data and the entity's judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances.

Level 1-Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities.

Level 2-Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals.

Level 3-Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

***Recent Accounting Pronouncements***

Management does not believe that any recently issued, but not yet effective, accounting standards updates, if currently adopted, would have a material effect on the accompanying unaudited condensed financial statements.

**NOTE 3 - INITIAL PUBLIC OFFERING**

On October 19, 2021, the Company sold 20,000,000 Units at a purchase price of $10.00 per Unit, generating gross proceeds of $200,000,000, and incurring offering costs of $11,929,189, consisting of $4,000,000 of underwriting fees, $7,000,000 of deferred underwriting fees and $929,189 of other offering costs. Each Unit consists of one Public Share and one-third of one Public Warrant. Each whole Public Warrant entitles the holder to purchase one Class A Ordinary Share at an exercise price of $11.50 per whole share.

The Institutional Anchor Investors purchased an aggregate of 20,000,000 Units at the offering price of $10.00 per Unit.

The underwriters notified the Company of their intention to partially exercise the Over-Allotment Option on November 30, 2021. As such, on November 30, 2021, the Company consummated the sale of an additional 1,240,488 Units, at $10.00 per Unit, and the sale of an additional 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880 and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds was deposited into the Trust Account, bringing the aggregate proceeds held in the Trust Account to $212,407,824, including $2,944 in interest. The Company incurred additional offering costs of $682,269 in connection with the exercise of the Over-Allotment Option (of which $434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed the Company of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

**NOTE 4 - PRIVATE PLACEMENT**

Simultaneously with the closing of the Initial Public Offering, the Legacy Sponsor purchased 4,666,667 Private Placement Warrants at a price of $1.50 per Private Placement Warrant, generating total proceeds of $7,000,000 to the Company. Substantially concurrently with the closing of the Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 Private Placement Warrants, which transfer will take place upon the closing of the initial Business Combination. In connection with the partial exercise of the Over-Allotment option, the Legacy Sponsor purchased an additional 165,398 Private Placement Warrants at a purchase price of $1.50 per whole Private Placement Warrant.

Each Private Placement Warrant is identical to the Public Warrants, except there are no redemption rights or liquidating distributions from the Trust Account with respect to Private Placement Warrants, which will expire worthless if the Company does not consummate a Business Combination within the Combination Period.

**NOTE 5 - RELATED PARTY TRANSACTIONS**

***Founder Shares***

On March 9, 2021, the Company issued an aggregate of 5,750,000 Class B Ordinary Shares (the "Founder Shares") to the Legacy Sponsor for an aggregate purchase price of $25,000. On May 13, 2021, the Legacy Sponsor transferred an aggregate of 721,402 Founder Shares to the Company's independent directors at their original issue price. The Founder Shares include an aggregate of up to 750,000 shares subject to forfeiture by the Legacy Sponsor to the extent that the Over-Allotment Option was not exercised in full or in part, so that the Legacy Sponsor would collectively own, on an as-converted basis, 20% of the Company's issued and outstanding shares after the Initial Public Offering. On November 30, 2021, the underwriters partially exercised the Over-Allotment Option to purchase an additional 1,240,488 Units. As a result, the Company forfeited 439,878 Class B Ordinary Shares. On October 19, 2023, the Sponsors converted an aggregate of 600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares in the 2023 Founder Share Conversion. As of September 30, 2025 and December 31, 2024, the Company had 2,110,122 Class B Ordinary Shares issued and outstanding.

Pursuant to the Letter Agreement, the Sponsors have agreed not to transfer, assign or sell any of their Founder Shares until the earlier to occur of: (i) one year after the completion of a Business Combination or (ii) the date on which the Company completes a liquidation, merger, capital share exchange or similar transaction that results in the Company's shareholders having the right to exchange their Ordinary Shares for cash, securities or other property. Notwithstanding the foregoing, if the last sale price of the Class A Ordinary Shares exceeds $12.00 per share (as adjusted for share splits, share dividends, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 120 days after the Business Combination, the Founder Shares will be released from the lock-up.

In connection with the closing of the Initial Public Offering, the Legacy Sponsor sold equity interest of the Legacy Sponsor equivalent to 1,547,727 Founder Shares to the Institutional Anchor Investors at the original purchase price of $0.004 per share. The Company estimated the aggregate fair value of the Founder Shares attributable to the Institutional Anchor Investors to be $6.73 per share. The fair value of the Founder Shares was valued based on the probability of the Company completing a Business Combination and marketability. The excess of the fair value of the Founder Shares was determined to be an offering cost in accordance with SEC Staff Accounting Bulletin Topic 5A, "Expensing of Offering" and SEC Staff Accounting Bulletin Topic 5T, "Accounting for Expenses or Liabilities Paid by Principal Stockholder(s)" ("SAB 5T"). Accordingly, the offering cost was allocated to the separable financial instruments issued in the Initial Public Offering based on a relative fair value basis, compared to total proceeds received. Offering costs related to the Founder Shares amounted to $10,414,655, of which $10,062,469 was charged to shareholders' deficit upon the completion of the Initial Public Offering and $352,186 was expensed to the accompanying unaudited condensed statements of operations and included in transaction costs attributable to Warrant liabilities.

***Sponsor Employment Agreement***

The Sponsor has entered into employment agreements, which include base salaries and bonuses for employees who may support both the Company and its affiliated entities. Under the terms of employment agreements, the Sponsor may pay employee compensation through any entity it controls, including the Company. Management determines that allocating base salary and discretionary bonuses ratably among its affiliated entities is a fair and standard practice, as employees typically support multiple entities simultaneously. This approach ensures that compensation costs are proportionally shared based on the benefit each affiliated entity receives, preventing any single entity from bearing an unfair share of shared expenses. It aligns with common practices in multi-entity investment platforms, while still allowing management the flexibility to adjust allocations based on specific operational or financial considerations. Consistent with this, certain portions of payroll have been allocated to the Company. As of the three and nine months ended September 30, 2025, the Company incurred and paid payroll and bonuses in the amount of $395 and $36,969, respectively. These amounts are included in the Company's general and administrative expenses on the accompanying unaudited condensed statements of operations. In connection with the employment agreements, as of September 30, 2025, the Company paid $114,586 on the behalf of the Sponsor which is reflected as a due from sponsor on the accompanying condensed balance sheets and will be paid at the consummation of a business combination.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

In connection with the Non-Redemption Agreements (as defined in Note 6), the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the closing of the Business Combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer). The Company estimated the aggregate fair value of the 749,810 Class B Ordinary Shares attributable to such investors to be $3,444,008 or on a weighted average of $4.59 per share as of October 19, 2023, which is estimated by taking into considerations the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of those Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T.

In connection with the 2024 Non-Redemption Agreements (as defined in Note 6), the Sponsor agreed to transfer a total of 412,498 Founder Shares (representing the transfer for the first five months of the extension period) to the investors, promptly following the closing of the Business Combination. Additionally, the Sponsor will transfer an additional 82,498 shares for each month of extension from December 2024 through April 2025. In total, up to 742,490 Founder Shares may be transferred to the investors. The Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,076,270, or approximately $5.49 per share on a weighted-average basis as of July 15, 2024.

On May 8, 2025, the Company entered into a non-redemption agreement with the Sponsor and an unaffiliated, third-party investor in exchange for such investor agreeing not to redeem 100,000 Public Shares in connection with the vote to approve the 2025 Extension Amendment Proposal at the 2025 EGM. In exchange for the commitment not to redeem the 100,000 Public Shares, the Sponsor agreed to transfer to such investor (i) 20,000 Founder Shares held by the Sponsor and (ii) if the initial Business Combination is not completed by October 19, 2025, an additional 20,000 Founder Shares held by the Sponsor. As of May 8, 2025, the Company estimated the aggregate fair value of these 40,000 Founder Shares at $223,000, or approximately $5.56 per share on a weighted-average basis. As of September 30, 2025, pursuant to the various non-redemption agreements, the Sponsor has agreed to transfer 782,490 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination.

As of September 30, 2025 and December 31, 2024, the Company estimated the aggregate fair value of these 782,490 and 742,490 Founder Shares, respectively, at $6,025,173 and $4,028,008, or approximately $7.70 and $5.43 per share, respectively, on a weighted-average basis. The Company considered the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of those Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T and classified as a liability due to the variability in the number of Founder Shares to be transferred, depending on the timing of the Business Combination.

***Working Capital Loans***

In order to finance transaction costs in connection with a Business Combination, the Sponsors, affiliates of the Sponsors, or the Company's former officers and directors or current directors or officers may, but are not obligated to, loan the Company funds as may be required (such loan from the Legacy Sponsor, its affiliates or the former officer and directors, the "2021 Working Capital Loan," and such loan from the Sponsor, its affiliates or the current directors or offices, the "2024 Working Capital Loan," and together, the "Working Capital Loans"). Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of a Business Combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of a Business Combination into warrants at a price of $1.50 per warrant. These warrants would be identical to the Private Placement Warrants. In the event that a Business Combination does not close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans.

*2021 Promissory Note Payable – Legacy Sponsor*

On December 30, 2021, there was a written agreement in place for the 2021 Working Capital Loan. The Company issued an unsecured promissory note (the "2021 Promissory Note") in the principal amount of up to $1,000,000 to YAS International, LLC (d/b/a Gupta Capital Group), an affiliate of the Legacy Sponsor ("GCG"). The 2021 Promissory Note bears no interest and is repayable in full upon consummation of the initial Business Combination. GCG has the option to convert any unpaid balance of the 2021 Promissory Note into warrants to purchase one share of Class A Ordinary Shares equal to the principal amount of the 2021 Promissory Note so converted divided by $1.50 (the "2021 Note Warrants"). The terms of any such 2021 Note Warrants will be identical to the terms of the Private Placement Warrants. As of September 30, 2025 and December 31, 2024, there was $125,000 outstanding on the 2021 Working Capital Loan. The Company determined that the conversion option embedded in its Legacy Working Capital Loan should be bifurcated and accounted for as a derivative in accordance with ASC 815. However, the exercise price of the underlying 2021 Note Warrants was greater than the closing price of the Private Placement Warrants as of September 30, 2025 and December 31, 2024, and when the 2021 Working Capital Loan was drawn on. The Company believes that the likelihood of GCG's exercise of the option to convert to 2021 Note Warrants is de minimis. As a result, the Company recorded zero liability related to the conversion option on the 2021 Working Capital Loan.

*2024 Promissory Note – related party*

On November 21, 2024, there was a written agreement in place for the 2024 Working Capital Loan. The Sponsor agreed to loan the Company up to $2,500,000 pursuant to a promissory note (the "2024 Promissory Note"). The 2024 Promissory Note is non-interest bearing, unsecured and due on the earlier of (i) upon the consummation of an initial Business Combination or (ii) the date of liquidation. The Company may use a portion of proceeds held outside the Trust Account to repay the 2024 Promissory Note, but no proceeds held in the Trust Account can be used to repay the 2024 Promissory Note. If prior to an initial business combination, the 2024 Promissory Note has not been paid in full, then at the Sponsor's option up to $1,350,000 of unpaid principal balance may be converted into warrants (the "2024 Note Warrants") at a price of $1.50 per 2024 Note Warrant. The 2024 Note Warrants would be identical to the Private Placement Warrants.

As of September 30, 2025 and December 31, 2024, there was $1,760,872 and $1,240,000, respectively, outstanding on the 2024 Promissory Note. The Company determined that the conversion option embedded in its 2024 Promissory Note should be bifurcated and accounted for as a derivative in accordance with ASC 815.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

Through the date of this filing, the Company has drawn an additional $27,000 on the 2024 Promissory Note. The total outstanding balance on the 2024 Promissory Note is $1,662,872.

However, the exercise price of the underlying 2024 Note Warrants was greater than the closing price of the Private Placement Warrants as of September 30, 2025, and when the 2024 Promissory Notes were drawn on. The Company believes that the likelihood of the Sponsor's exercise of the option to convert to 2024 Note Warrants is de minimis. As a result, the Company recorded zero liability related to the conversion option on the 2024 Promissory Note.

***Polar Capital Investment Payable – related party***

On September 6, 2023, the Company entered into a subscription agreement (the "Polar Subscription Agreement") with the Sponsor and Polar Multi-Strategy Master Fund ("Polar"), pursuant to which Polar agreed to fund up to $1,500,000 to Company, subject to certain funding milestones. Once the Company has reached a defined milestone, upon on at least five (5) calendar days' prior written notice, the Sponsor may require a drawdown against the capital commitment in order to meet the Sponsor's commitment to the Company under a drawdown request (such funded amounts, the "Polar Capital Investment"). The Polar Capital Investment will be repaid to Polar by the Company upon the closing of an initial Business Combination. Polar may elect to receive such repayment (i) in cash or (ii) in Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten dollars of the Polar Capital Investment. The Company must (i) to the extent feasible and in compliance with all applicable laws and regulations, register the shares issued to Polar as part of any registration statement issuing shares before or in connection with the closing of a Business Combination or (ii) if no such registration statement is filed in connection with the closing of a Business Combination, promptly register such shares pursuant to the first registration statement filed by the Company or the surviving entity following a Business Combination, which shall be filed no later than 30 days after the closing of a Business Combination and declared effective no later than 90 days after the closing of a Business Combination. In consideration of the Polar Capital Investment, the Company has agreed to issue, or cause the surviving entity in the Business Combination to issue, 0.9 of a Class A ordinary share of the surviving entity for each dollar of the Polar Capital Investment funded as of or prior to the closing of the Business Combination. Upon certain events of default under the Polar Subscription Agreement, the Company (or the surviving entity, as applicable) must issue to Polar an additional 0.1 of a Class A ordinary share for each dollar of the Capital Investment funded as of the date of such default, and for each month thereafter until such default of failure is cured, subject to certain limitations provided for therein. In the event the Company liquidates without consummating a Business Combination, any amounts remaining in the Company's cash accounts (excluding the Trust Account) will be paid to Polar by the Company within five (5) calendar days of the liquidation, and such amounts will be the sole recourse for Polar. As of September 30, 2025 and December 31, 2024, the Company had drawn $1,250,000 on the Polar Capital Investment.

The Company determined that the conversion option embedded in Polar Capital Investment should be bifurcated and accounted for as a derivative in accordance with ASC 815. The Company selected the fair value method in the allocation of proceeds to the debt and equity instruments issued in connection with the Polar Capital Investment. As of September 30, 2025 and December 31, 2024, an aggregate of $1,022,727 had been allocated as debt discount to reduce the fair value of the Polar Capital Investment to $227,273 as liabilities on the accompanying balance sheets. Further, as of September 30, 2025 and 2024, $0 and $204,549, respectively, is allocated to non-redeemable Class A Ordinary Shares and presented as additional paid-in capital on the accompanying unaudited condensed statements of changes in shareholders' deficit.

***Administrative Services Agreement***

Commencing on October 14, 2021, and until completion of the Company's initial Business Combination or liquidation, the Company may reimburse the Sponsors up to an aggregate amount of $10,000 per month for office space and secretarial and administrative support pursuant to the Administrative Services Agreement. Per the Administrative Services Agreement, it is at the Company's option as to whether or not to pay this administrative fee. The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor on August 31, 2023, in connection with the Sponsor Handover. For the three and nine months ended September 30, 2025, the total administrative expenses were $30,000 and $90,000, respectively. There was $30,000 and $90,000 paid for the three and nine months ended September 30, 2024, respectively. As of September 30, 2025 and December 31, 2024, there was $250,000 and $160,000, respectively, accrued, but not paid.

**NOTE 6 - COMMITMENTS AND CONTINGENCIES**

***Registration Rights***

The holders of the Founder Shares, Private Placement Warrants and any 2021 Note Warrants or 2024 Note Warrants (and in each case, holders of their underlying securities, as applicable) are entitled to registration rights pursuant to the Registration Rights Agreement, requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to the Class A Ordinary Shares). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders have certain "piggyback" registration rights with respect to registration statements filed subsequent to the consummation of a Business Combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities Act. The Company will bear the expenses incurred in connection with the filing of any such registration statements. On August 31, 2023, the Sponsor executed a joinder to the Registration Rights Agreement in connection with the Sponsor Handover.

***Underwriting Agreement***

In connection with the Initial Public Offering, the underwriters were granted a 45-day option from the date of the prospectus to purchase up to 3,000,000 additional Units to cover over-allotments, if any. On November 30, 2021, the underwriters purchased an additional 1,240,488 Units pursuant to the partial exercise of the Over-Allotment Option. The Units issued upon the exercise of the Over-Allotment Option were sold at an offering price of $10.00 per Unit, generating aggregate additional gross proceeds of $12,404,880 to the Company.

The underwriters of the Initial Public Offering were entitled to a cash underwriting discount of 2.00% of the gross proceeds of the Initial Public Offering, or $4,000,000 (or $4,600,000 if the Over-Allotment Option was exercised in full). In addition, the underwriters were entitled to a deferred fee of three and half percent (3.50%) of the gross proceeds of the Initial Public Offering, or $7,000,000 (or $8,050,000 if the Over-Allotment Option was exercised in full).

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

On August 11, 2023 and August 14, 2023, the Company received formal confirmations from Citigroup Global Markets Inc. and J.P. Morgan Securities LLC of their decisions to waive any entitlement they may have to their deferred underwriting fees payable held in the Trust Account with respect to any Business Combination.

***Non-Redemption Agreements***

Between October 9, 2023 and October 19, 2023, the Company entered into agreements with the Sponsor and unaffiliated third-party investors in exchange for such investors agreeing not to redeem an aggregate of 4,998,734 Public Shares in connection with the vote to approve the Charter Amendment Proposals at the 2023 EGM (the "2023 Non-Redemption Agreements"). In exchange for these commitments not to redeem such Public Shares, the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the closing of the Business Combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer). The Company estimated the aggregate fair value of the 749,810 Class B Ordinary Shares attributable to such investors to be $3,444,008 or on a weighted average of $4.59 per share, as of October 19, 2023, which is estimated by taking into considerations the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of those Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T.

Between July 15, 2024 and July 18, 2024, the Company entered into agreements with the Sponsor and unaffiliated third-party investors (the "2024 Non-Redemption Agreements") in exchange for such investors agreeing not to redeem an aggregate of 2,475,000 Public Shares in connection with the vote to approve the 2024 Extension Amendment Proposal at the 2024 EGM. In exchange for these commitments not to redeem such Public Shares, the Sponsor agreed to transfer to such investors an aggregate of (i) 412,498 Founder Shares for the first five (5) months of the extension of the Combination Period from July 19, 2024 to December 19, 2024 and (ii) 82,498 Founder Shares per month, for each month of the extension of the Combination Period from December 19, 2024 until April 19, 2025, as needed. The Founder Shares to be transferred to such investors pursuant to the 2024 Non-Redemption Agreements are held by the Sponsor and are to be transferred in connection with the closing of the Business Combination. In connection with its entry into the 2024 Non-Redemption Agreements, the Company agreed that, in the event of the liquidation of the Trust Account, it will only utilize up to $50,000 of funds from the accrued interest of the Trust Account to pay any dissolution expenses if it does not effect a Business Combination prior to the end of the Combination Period. As of July 15, 2024, the Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,076,270, or approximately $5.49 per share on a weighted-average basis.

On May 8, 2025, the Company entered into a non-redemption agreement (the "2025 Non-Redemption Agreements") with the Sponsor and an unaffiliated, third-party investor in exchange for such investor agreeing not to redeem 100,000 Public Shares in connection with the vote to approve the 2025 Extension Amendment Proposal at the 2025 EGM. In exchange for the commitment not to redeem the 100,000 Public Shares, the Sponsor agreed to transfer to such investor (i) 20,000 Founder Shares held by the Sponsor and (ii) if the initial Business Combination is not completed by October 19, 2025, an additional 20,000 Founder Shares held by the Sponsor. As of May 8, 2025, the Company estimated the aggregate fair value of these 40,000 Founder Shares at $223,000, or approximately $5.56 per share on a weighted-average basis. As of September 30, 2025, pursuant to the various non-redemption agreements, the Sponsor has agreed to transfer 782,490 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination.

As of September 30, 2025 and December 31, 2024, the Company estimated the aggregate fair value of these 782,490 and 742,490 Founder Shares, respectively, at $6,025,173 and $4,028,008, or approximately $7.70 and $5.43 per share, respectively, on a weighted-average basis. The Company considered the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of those Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T and classified as a liability due to the variability in the number of Founder Shares to be transferred, depending on the timing of the Business Combination.

**NOTE 7 – DERIVATIVE WARRANT LIABILITIES**

The Company issued 11,912,228 Warrants in connection with the Initial Public Offering and partial exercise of the Over-Allotment Option (including 6,666,667 Public Warrants and 4,666,667 Private Placement Warrants at the time of Initial Public Offering, and additional 413,496 Public Warrants and 165,398 Private Placement Warrants at the time of the partial exercise of the Over-Allotment Option) in accordance with the guidance contained in ASC 815-40. Such guidance provides that because the Warrants do not meet the criteria for equity treatment thereunder, each Warrant was recorded as a liability. Accordingly, the Company has classified each Warrant as a liability at its fair value. This liability is subject to re-measurement at each balance sheet date. With each such re-measurement, the Warrant liability will be adjusted to fair value, with the change in fair value recognized in the Company's condensed statements of operations.

Public Warrants may only be exercised for a whole number of shares. No fractional shares will be issued upon exercise of the Public Warrants. The Public Warrants will become exercisable 30 days after the consummation of a Business Combination. The Public Warrants will expire five years from the consummation of a Business Combination or earlier upon redemption or liquidation.

The Company will not be obligated to deliver any Class A Ordinary Shares pursuant to the exercise of a Public Warrant and will have no obligation to settle such Public Warrant exercise unless a registration statement under the Securities Act covering the issuance of the Class A Ordinary Shares issuable upon exercise of the Public Warrants is then effective and a prospectus relating thereto is current, subject to the Company satisfying its obligations with respect to registration. No Public Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any shares to holders seeking to exercise their Public Warrants, unless the issuance of the shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption from registration is available.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

The Company has agreed that as soon as practicable, but in no event later than 15 business days, after the closing of a Business Combination, it will use its commercially reasonable efforts to file with the SEC a post-effective amendment to the IPO Registration Statement or a new registration statement covering the registration, under the Securities Act of the Class A Ordinary Shares issuable upon exercise of the Public Warrants. The Company will use its commercially reasonable efforts to cause such registration statement to become effective and to maintain a current prospectus relating to those Class A Ordinary Shares until the Warrants expire or are redeemed, as specified in the warrant agreement, dated October 14, 2021, that the Company entered into with Continental, as warrant agent (the "Warrant Agreement"). If a registration statement covering the Class A Ordinary Shares issuable upon exercise of the Warrants is not effective by the 60th business day after the closing of a Business Combination, warrant holders may, until such time as there is an effective registration statement and during any period when the Company will have failed to maintain an effective registration statement, exercise warrants on a "cashless basis" in accordance with Section 3(a)(9) of the Securities Act or another exemption.

Redemption of Warrants when the price per Class A Ordinary Share equals or exceeds $18.00. Once the Warrants become exercisable, the Company may redeem the Warrants for redemption:

● in whole and not in part;

● at a price of $0.01 per Public Warrant;

● upon a minimum of 30 days' prior written notice of redemption, which is referred to as the 30-day redemption period; and

● if, and only if, the closing price of the Class A Ordinary Shares equals or exceeds $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders (the "Reference Value").

The Company will not redeem the Warrants as described above unless an effective registration statement under the Securities Act covering the issuance of the Class A Ordinary Shares issuable upon exercise of the Warrants is then effective and a current prospectus relating to those Class A Ordinary Shares is available throughout the 30-day redemption period. If and when the Warrants become redeemable by the Company, the Company may exercise its redemption right even if the Company is unable to register or qualify the underlying securities for sale under all applicable state securities laws.

Redemption of Warrants when the price per Class A Ordinary Shares share equals or exceeds $10.00. Once the Warrants become exercisable, the Company may redeem the Warrants for redemption:

● in whole and not in part;

● at $0.10 per Warrant upon a minimum of 30 days' prior written notice of redemption, provided that holders will be able to exercise their warrants on a cashless basis prior to redemption and receive the number of shares determined by reference to the table set forth under "Description of Securities - Warrants - Public Shareholders' Warrants" in the IPO Registration Statement based on the redemption date and the "fair market value" of the Class A Ordinary Shares;

● if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like); and

● if the Reference Value is less than $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like), the Private Placement Warrants must also concurrently be called for redemption on the same terms (except as described herein with respect to a holder's ability to cashless exercise its warrants) as the outstanding Public Warrants, as described above.

If and when the Public Warrants become redeemable by the Company, the Company may not exercise its redemption right if the issuance of shares of ordinary shares upon exercise of the warrants is not exempt from registration or qualification under applicable state blue sky laws or the Company is unable to effect such registration or qualification.

The exercise price and number of Class A Ordinary Shares issuable upon exercise of the Warrants may be adjusted in certain circumstances including in the event of a share dividend, or recapitalization, reorganization, merger or consolidation. Additionally, in no event will the Company be required to net cash settle the Public Warrants. If the Company is unable to complete a Business Combination within the Combination Period and the Company liquidates the funds held in the Trust Account, holders of Warrants will not receive any of such funds with respect to their Warrants, nor will they receive any distribution from the Company's assets held outside of the Trust Account with the respect to such Warrants. Accordingly, the Warrants may expire worthless. If the Company calls the Public Warrants for redemption, Management will have the option to require all holders that wish to exercise the Public Warrants to do so on a "cashless basis," as described in the Warrant Agreement. The exercise price and number of Ordinary Shares issuable upon exercise of the Public Warrants may be adjusted in certain circumstances including in the event of a share dividend, extraordinary dividend or recapitalization, reorganization, merger or consolidation.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

In addition, if (i) the Company issues additional Class A Ordinary Shares or equity-linked securities for capital raising purposes in connection with the closing of its initial Business Combination at an issue price or effective issue price of less than $9.20 per share of Class A Ordinary Shares (with such issue price or effective issue price to be determined in good faith by the Board of Directors and, in the case of any such issuance to the Sponsors or its affiliates, without taking into account any Founder Shares held by the Sponsors or such affiliates, as applicable, prior to such issuance) (the "Newly Issued Price"), (ii) the aggregate gross proceeds from such issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of the initial Business Combination on the date of the consummation of such initial Business Combination (net of redemptions), and (iii) the volume weighted average trading price of the Ordinary Shares during the 20 trading day period starting on the trading day prior to the day on which the Company consummates its initial Business Combination (such price, the "Market Value") is below $9.20 per share, the exercise price of the Warrants will be adjusted (to the nearest cent) to be equal to 115% of the higher of the Market Value and the Newly Issued Price and the $18.00 per share redemption trigger price described above will be adjusted (to the nearest cent) to be equal to 180% of the greater of the Market Value and the Newly Issued Price.

The Private Placement Warrants are identical to the Public Warrants included in the Units sold in the Initial Public Offering, except that the Private Placement Warrants are not and the Ordinary Shares issuable upon the exercise of the Private Placement Warrants are not transferable, assignable or saleable until 30 days after the completion of a Business Combination, subject to certain limited exceptions. Additionally, the Private Placement Warrants are exercisable on a cashless basis and are non-redeemable so long as they are held by the initial purchasers or their permitted transferees. If the Private Placement Warrants are held by someone other than the initial purchasers or their permitted transferees, the Private Placement Warrants are redeemable by the Company and exercisable by such holders on the same basis as the Public Warrants.

**NOTE 8 - CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION**

The Class A Ordinary Shares feature certain redemption rights that are considered to be outside of the Company's control and subject to the occurrence of future events. The Company is authorized to issue 200,000,000 Class A Ordinary Shares with a par value of $0.0001 per share. Holders of the Class A Ordinary Shares are entitled to one vote for each share. As of September 30, 2025 and December 31, 2024, there were 3,310,866 and 5,681,485 Class A Ordinary Shares outstanding, respectively, of which 110,866 and 2,481,485, respectively, shares were subject to possible redemption and classified outside of permanent equity in the Company's condensed balance sheets.

The reconciliation of Class A Ordinary Shares subject to possible redemption is as follows:

---

| | |
|:---|:---|
| Class A Ordinary Shares subject to possible redemption at December 31, 2023 | $55347556 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 1928109 |
| Less: |  |
| Redemption of Class A Ordinary Shares | (29638365) |
| Class A Ordinary Shares subject to possible redemption at December 31, 2024 | 27637300 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 242531 |
| Class A Ordinary Shares subject to possible redemption at March 31, 2025 | 27879831 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 81044 |
| Less: |  |
| Redemption of Class A Ordinary Shares | (26688615) |
| Class A Ordinary Shares subject to possible redemption at June 30, 2025 | 1272260 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 11298 |
| Class A Ordinary Shares subject to possible redemption at September 30, 2025 | $1283558 |

---

**NOTE 9 – SHAREHOLDERS' DEFICIT**

***Preference Shares***

The Company is authorized to issue 1,000,000 preference shares with $0.0001 par value. As of September 30, 2025 and December 31, 2024, there were no preference shares issued or outstanding.

***Class A Ordinary Shares***

The Company is authorized to issue up to 200,000,000 Class A Ordinary Shares, $0.0001 par value per share. Holders of the Class A Ordinary Shares are entitled to one vote for each share. As of September 30, 2025 and December 31, 2024, there were 3,310,866 and 5,681,485 Class A Ordinary Shares issued and outstanding, respectively. Of the outstanding Class A Ordinary Shares, 110,866 and 2,481,485 shares were subject to possible redemption at September 30, 2025 and December 31, 2024, respectively, and therefore classified outside of permanent equity.

***Class B Ordinary Shares***

The Company is authorized to issue up to 20,000,000 Class B Ordinary Shares, $0.0001 par value per share. Holders of the Class B Ordinary Shares are entitled to one vote for each share. At September 30, 2025 and December 31, 2024, there were 2,110,122 Class B Ordinary Shares issued and outstanding. The Company originally issued 5,750,000 Class B Ordinary Shares, and 439,878 Class B Ordinary Shares were forfeited in the partial exercise of the Over-Allotment Option. On October 19, 2023, following approval by the Company's shareholders of the Founder Share Amendment Proposal at the 2023 EGM, the Sponsors converted an aggregate of 600,000 Class B Ordinary Shares on a one-for-one basis into Class A Ordinary Shares in the 2023 Founder Share Conversion.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

As of December 31, 2023, pursuant to the 2023 Non-Redemption Agreements, the Sponsor agreed to transfer 749,810 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination. On July 15, 2024, the Sponsors converted an aggregate of 2,600,000 Class B Ordinary Shares on a one-for-one basis into Class A Ordinary Shares in the 2024 Founder Share Conversion. As of September 30, 2025, pursuant to the various non-redemption agreements, the Sponsor has agreed to transfer 782,490 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination.

The Class B Ordinary Shares may be converted into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders and will be automatically converted into Class A Ordinary Shares at the time of the Business Combination on a one-for-one basis, subject to adjustment for share splits, share dividends, reorganizations, recapitalizations and the like. In the case that additional Class A Ordinary Shares, or equity linked securities, are issued or deemed issued in excess of the amounts offered in the Initial Public Offering and related to the closing of a Business Combination, the ratio at which Class B Ordinary Shares shall convert into Class A Ordinary Shares will be adjusted (unless the holders of a majority of the outstanding Class B Ordinary Shares agree to waive such adjustment with respect to any such issuance or deemed issuance) so that the number of Class A Ordinary Shares issuable upon conversion of all Class B Ordinary Shares will equal, in the aggregate, on an as converted basis, 20% of the sum of the total number of all Ordinary Shares outstanding upon the completion of the Initial Public Offering plus all Class A Ordinary Shares and equity linked securities issued or deemed issued in connection with a Business Combination (excluding any shares or equity linked securities issued, or to be issued, to any seller in a Business Combination, and any 2021 Note Warrants or 2024 Note Warrants). Holders of Founder Shares may also elect to convert those Class B Ordinary Shares into an equal number of Class A Ordinary Shares, subject to adjustment as provided above, at any time.

The Company may issue additional ordinary or preference shares to complete its Business Combination or under an employee incentive plan after completion of its Business Combination.

**NOTE 10 - FAIR VALUE MEASUREMENTS**

The following table presents information about the Company's assets and liabilities that are measured at fair value at September 30, 2025 and December 31, 2024, and indicates the fair value hierarchy of the valuation inputs the Company utilized to determine such fair value:

---

| | | | | |
|:---|:---|:---|:---|:---|
| Description | Level | September 30, 2025 | Level | December 31, 2024 |
| Liabilities: |  |  |  |  |
| Private Placement Warrants <sup>(1)</sup> | Level 2 | $241603 | Level 2 | $48321 |
| Public Warrants <sup>(1)</sup> | Level 2 | $354008 | Level 2 | $70802 |
| Non-redemption Liability <sup>(1)</sup> | Level 3 | $6025173 | Level 3 | $4028008 |
| Polar Capital Investment Payable | Level 3 | $227273 | Level 3 | $227273 |

---

(1) Measured
 at fair value on a recurring basis.

***Warrants***

The Warrants are accounted for as liabilities pursuant to ASC 815-40 and are measured at fair value as of each reporting date. Changes in the fair value of the Warrants are recorded in the accompanying unaudited condensed statements of operations at the end of each period. Transfers to/from Levels 1, 2 and 3 are recognized at the beginning of the reporting period in which a change in valuation technique or methodology occurs. The Warrants are accounted for as liabilities in accordance with ASC 815-40, and are presented within warrant liabilities on the accompanying balance sheets. The warrant liabilities are measured at fair value at inception and on a recurring basis, with changes in fair value presented within change in fair value of warrant liabilities in the accompanying unaudited condensed statements of operations.

Upon consummation of the Initial Public Offering on October 19, 2021, the Warrants were classified as Level 3 due to unobservable inputs used in the initial valuation. On December 9, 2021, the Public Warrants surpassed the 52-day threshold waiting period to be publicly traded in accordance with the IPO Registration Statement. Once publicly traded, the observable input qualifies the liability for treatment as a Level 1 liability. The estimated fair value of the Public Warrants was transferred from a Level 1 measurement to a Level 2 measurement due to lack of trading activity as of December 31, 2024 and 2023. As the transfer of Private Placement Warrants to anyone outside of a small group of individuals who are permitted transferees would result in the Private Placement Warrants having substantially the same terms as the Public Warrants, the Company determined that the fair value of each Private Placement Warrant is equivalent to that of each Public Warrant, with an insignificant adjustment for short-term marketability restrictions. As such, the Private Placement Warrants were classified as Level 2 as it references the price of Public Warrants.

The following table presents the changes in the fair value of warrant liabilities:

---

| | | | |
|:---|:---|:---|:---|
|  | Private Placement | Public | Warrant Liabilities |
| Fair value as of December 31, 2024 | $48321 | $70802 | $119123 |
| Change in fair value <sup>(1)</sup> | 50253 | 73633 | 123886 |
| Fair value as of March 31, 2025 | $98574 | $144435 | $243009 |
| Change in fair value <sup>(1)</sup> | 143029 | 209573 | 352602 |
| Fair value as of June 30, 2025 | $241603 | $354008 | $595611 |
| Change in fair value <sup>(1)</sup> |  |  |  |
| Fair value as of September 30, 2025 | $241603 | $354008 | $595611 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | Private Placement | Public | Warrant Liabilities |
| Fair value as of December 31, 2023 | $238704 | $349760 | $588464 |
| Change in fair value <sup>(1)</sup> | 205846 | 301615 | 507461 |
| Fair value as of March 31, 2024 | $444550 | $651375 | $1095925 |
| Change in fair value <sup>(1)</sup> | (155109) | (227273) | (382382) |
| Fair value as of June 30, 2024 | $289441 | $424102 | $713543 |
| Change in fair value <sup>(1)</sup> | 5315 | 7788 | 13103 |
| Fair value as of September 30, 2024 | $294756 | $431890 | $726646 |

---

(1) Changes
 in fair value are recognized in change in fair value of derivative warrant liabilities in the accompanying unaudited condensed statements
 of operations.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS**

**SEPTEMBER 30, 2025**

**NOTE 11 - SEGMENT INFORMATION**

ASC Topic 280, "Segment Reporting," establishes standards for companies to report in their financial statement information about operating segments, products, services, geographic areas, and major customers. Operating segments are defined as components of an enterprise that engage in business activities from which it may recognize revenues and incur expenses, and for which separate financial information is available that is regularly evaluated by the Company's chief operating decision maker ("CODM"), or group, in deciding how to allocate resources and assess performance.

The Company's CODM has been identified as the Chief Executive Officer, who reviews the assets, operating results, and financial metrics for the Company as a whole to make decisions about allocating resources and assessing financial performance. Accordingly, management has determined that there is only one reportable segment.

The CODM assesses performance for the single segment and decides how to allocate resources based on net income or loss that also is reported on the condensed statements of operations as net income or loss. The measure of segment assets is reported on the condensed balance sheets as total assets. When evaluating the Company's performance and making key decisions regarding resource allocation, the CODM reviews several key metrics included in net income or loss and total assets, which include the following:

---

| | | |
|:---|:---|:---|
|  | September 30, 2025 | December 31, 2024 |
| Cash | $721 | $27720 |
| Cash held in Trust Account | $1283558 | $27637300 |

---

---

| | | |
|:---|:---|:---|
|  | For the Three<br> Months Ended<br> September 30, 2025 | For the Three<br> Months Ended<br> September 30, 2024 |
| General and administrative expenses | $162547 | $837885 |
| Interest earned on cash held in Trust Account | $11298 | $389048 |

---

---

| | | |
|:---|:---|:---|
|  | For the Nine<br> Months Ended<br> September 30, 2025 | For the Nine<br> Months Ended<br> September 30, 2024 |
| General and administrative expenses | $720009 | $1561687 |
| Interest earned on cash held in Trust Account | $334873 | $1660199 |

---

The CODM reviews interest earned on the Trust Account to measure and monitor shareholder value and determine the most effective strategy of investment with the Trust Account funds while maintaining compliance with the Trust Agreement.

General and administrative expenses are reviewed and monitored by the CODM to manage and forecast cash to ensure enough capital is available to complete a business combination or similar transaction within the business combination period. The CODM also reviews general and administrative expenses to manage, maintain and enforce all contractual agreements to ensure costs are aligned with all agreements and budget. General and administrative expenses, as reported on the condensed statements of operations, are the significant segment expenses provided to the CODM on a regular basis.

All other segment items included in net income or loss are reported on the condensed statements of operations and described within their respective disclosures.

**NOTE 12 - SUBSEQUENT EVENTS**

The Company evaluated events that have occurred after the condensed balance sheet date up through the date the accompanying unaudited condensed financial statements were issued. Based upon the review, Management did not identify any other subsequent events, that would have required adjustment or disclosure in the accompanying unaudited condensed financial statements, except as follows:

On October 3, 2025, the Company drew an additional $250,000 under the Polar working capital loan to fund ongoing operating expenses.

On November 3, 2025, the Company received the Notice from EEW purporting to terminate the Business Combination Agreement pursuant to Sections 10.1(b) and 10.1(d) thereof. On November 6, 2025, the Company sent a written response to EEW disputing such termination, asserting, among other things, that the representations, warranties and covenants of the Company set forth in the Business Combination Agreement purported by EEW in the Notice to have been breached by the Company either were not breached at all or were not breached at a level giving rise to a termination right, and that, in any event, EEW does not have the right to terminate the Business Combination Agreement due to EEW's previous and continuing breaches of certain key covenants of the Business Combination Agreement. Consequently, the Company believes that EEW's purported termination of the Business Combination Agreement is invalid under the terms of the Business Combination Agreement.

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

To the Shareholders and the Board of Directors of

Compass Digital Acquisition Corp.:

**Opinion on the Financial Statements**

We have audited the accompanying balance sheets of Compass Digital Acquisition Corp. (the "Company") as of December 31, 2024 and 2023, the related statements of operations, changes in shareholders' deficit, and cash flows for the years then ended, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023 and the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States of America.

**Going Concern**

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the financial statements, if the Company is unable to raise additional funds to alleviate liquidity needs and complete a business combination by April 19, 2025, then the Company will cease all operations except for the purpose of liquidating. The liquidity condition and date for mandatory liquidation and subsequent dissolution raises substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 1. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

**Basis for Opinion**

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ WithumSmith+Brown, PC

We have served as the Company's auditor since 2023.

New York, New York

March 24, 2025

PCAOB Number 100

**COMPASS DIGITAL ACQUISITION CORP.**

**BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | **DECEMBER 31, 2024** | **DECEMBER 31, 2023** |
| **ASSETS** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash | $27720 | $44046 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 24898 | 35635 |
| **Total current assets** | 52618 | 79681 |
| &nbsp;&nbsp;&nbsp;Cash held in Trust Account | 27637300 | 55347556 |
| **Total Assets** | $**27689918** | $**55427237** |
| **LIABILITIES, ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION, AND SHAREHOLDERS' DEFICIT** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $165912 | $476567 |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 501314 | 167798 |
| &nbsp;&nbsp;&nbsp;Polar Capital Investment payable – related party | 227273 | 90909 |
| &nbsp;&nbsp;&nbsp;Non-redemption liability | 4028008 |  |
| &nbsp;&nbsp;&nbsp;Working Capital Loans | 1240000 | 125000 |
| **Total current liabilities** | 6162507 | 860274 |
| &nbsp;&nbsp;&nbsp;Derivative warrant liabilities | 119123 | 588464 |
| **Total liabilities** | 6281630 | 1448738 |
| **Commitments and Contingencies (Note 6)** |  |  |
| Class A Ordinary Shares subject to possible redemption, $0.0001 par value; 2,481,485 and 5,194,628 shares at $11.14 and 10.65 per share at December 31, 2024 and 2023, respectively | 27637300 | 55347556 |
| **Shareholders' deficit** |  |  |
| Preference shares, $0.0001 par value; 1,000,000 shares authorized; none issued or outstanding at December 31, 2024 and 2023 |  |  |
| Class A Ordinary Shares, $0.0001 par value; 200,000,000 shares authorized; 3,200,000 and 600,000 shares issued and outstanding, respectively (excluding 2,481,485 and 5,194,628 shares subject to possible redemption at December 31, 2024 and 2023, respectively) | 320 | 60 |
| Class B Ordinary Shares, $0.0001 par value; 20,000,000 shares authorized; 2,110,122 and 4,710,122 shares issued and outstanding at December 31, 2024 and 2023, respectively | 211 | 471 |
| Accumulated deficit | (6229543) | (1369588) |
| **Total Shareholders' Deficit** | (6229012) | (1369057) |
| **Total Liabilities, Class A Ordinary Shares Subject to Possible Redemption, and Shareholders' Deficit** | $**27689918** | $**55427237** |

---

*The accompanying notes are an integral part of these financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**STATEMENTS OF OPERATIONS**

---

| | | |
|:---|:---|:---|
|  | **Year Ended<br> December 31, 2024** | **Year Ended<br> December 31, 2023** |
| Operating expenses | $1794928 | $1926567 |
| Administrative expenses – related party | 120000 | 120000 |
| Non-redemption expense | 4028008 | 3444008 |
| **Loss from operations** | (5942936) | (5490575) |
| Interest earned on cash (investments) held in Trust Account | $1928109 | $8914159 |
| Change in fair value of derivative warrant liabilities | 469341 | 364515 |
| Gain on settlement of deferred underwriting fees attributable to Public Warrants |  | 246814 |
| Gain on settlement of professional legal fees | - | 351409 |
| **Net (loss) income** | $**(3545486)** | $**4386322** |
| Weighted average shares outstanding of Class A Ordinary Shares subject to possible redemption, basic and diluted | 3960705 | 17987355 |
| Basic and diluted net (loss) income per share- Class A Ordinary Shares subject to possible redemption | $(0.38) | $0.19 |
| Weighted average shares outstanding of non-redeemable Class A Ordinary Shares Ordinary Shares, basic and diluted | 1739726 | 121644 |
| Basic and diluted net (loss) income per share- non-redeemable Class A Ordinary Shares Ordinary Shares | $(0.38) | $0.19 |
| Weighted average shares outstanding of non-redeemable Class B Ordinary Shares Ordinary Shares, basic and diluted | 3570396 | 5188478 |
| Basic and diluted net (loss) income per share- non-redeemable Class B Ordinary Shares Ordinary Shares | $(0.38) | $0.19 |

---

*The accompanying notes are an integral part of these financial statements.*

 

 

*.***COMPASS DIGITAL ACQUISITION CORP.**

**STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Class A** | **Class A** | **Class B** | **Class B** | | | |
|  | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | **Ordinary Shares** | | | |
|  | **Shares** | **Amount** | **Shares** | **Amount** | **Additional**<br>**Paid-in**<br>**Capital** |<br>**Accumulated**<br>**Deficit** | **Total**<br>**Shareholders'**<br>**Deficit** |
| **Balance – December 31, 2022** | **-** | $**-** | **5310122** | $**531** | $**-** | $**(8356114)** | $**&nbsp;&nbsp;&nbsp;&nbsp;(8355583)** |
| Conversion of Class B Ordinary Shares to Class A Ordinary Shares | 600000 | 60 | (600000) | (60) |  |  |  |
| Fair value of Ordinary Shares issued in satisfaction of professional legal fees |  |  |  |  |  | 523000 | 523000 |
| Return of excess contribution capital to Legacy Sponsor |  |  |  |  |  | (49093) | (49093) |
| Fair value of Class B Ordinary Shares issued pursuant to Non-Redemption Agreements |  |  |  |  | 3444008 |  | 3444008 |
| Allocation of Polar Capital Investment payable proceeds to equity instrument |  |  |  |  | 409091 |  | 409091 |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  | 3853099 | 2126297 | (1726802) |
| Net income | - | - | - | - | - | 4386322 | 4386322 |
| **Balance - December 31, 2023** | **600000** | $**60** | **4710122** | $**471** | $**-** | $**(1369588)** | $**(1369057)** |
| Allocation of Polar Capital Investment payable proceeds to equity instrument |  |  |  |  | 613640 |  | 613640 |
| Conversion of Class B Ordinary Shares into Class A Ordinary Shares | 2600000 | 260 | (2600000) | (260) |  |  |  |
| Accretion of Class A Ordinary Shares to redemption amount |  |  |  |  | (613640) | (1314469) | (1928109) |
| Net loss | - | - | - | - | - | (3545486) | (3545486) |
| **Balance - December 31, 2024** | **3200000** | $**320** | **2110122** | $**211** | $**-** | $**(6229543)** | $**(6229012)** |

---

 

*The accompanying notes are an integral part of these financial statements.*

 

 

**COMPASS DIGITAL ACQUISITION CORP.**

**STATEMENTS OF CASH FLOWS**

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024** | **Year ended**<br>**December 31, 2023** |
| **Cash flows from operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net (loss) income | $(3545486) | $4386322 |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net (loss) income to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest earned on cash (investments) held in Trust Account | (1928109) | (8914159) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of professional legal fees |  | (351409) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on settlement of deferred underwriting fees attributable to Public Warrants |  | (246814) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of derivative Warrant liabilities | (469341) | (364515) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-redemption expense | 4028008 | 3444008 |
| &nbsp;&nbsp;&nbsp;Change in operating assets and liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | 10741 | 305330 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Account payable | (310655) | 397465 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | 333516 | 167798 |
| **Net cash used in operating activities** | (1881326) | (1175974) |
| **Cash flows from investing activities** |  |  |
| Trust Account withdrawal - redemption | 29638365 | 169088048 |
| **Net cash provided by investing activities** | 29638365 | 169088048 |
| **Cash flows from financing activities** |  |  |
| Proceeds from Polar Capital Investment payable-related party | 750000 | 500000 |
| Proceeds of Working Capital Loans | 1115000 | 35000 |
| Repayment of Working Capital Loans |  | (177500) |
| Return of excess contribution capital to Legacy Sponsor |  | (49093) |
| Due to related party |  | (24821) |
| Redemption of Class A Ordinary Shares | (29638365) | (169088048) |
| **Net cash used in financing activities** | (27773365) | (168804462) |
| **Net decrease in cash** | (16326) | (892388) |
| **Cash, beginning of period** | 44046 | 936434 |
| **Cash, end of period** | $27720 | $44046 |
| **Supplemental disclosure of non-cash investing and financing activities** |  |  |
| Fair value of Ordinary Shares issued in satisfaction of professional legal fees | $- | $523000 |
| Deferred underwriting fees waiver | $- | $7187357 |
| Allocation of Polar Capital Investment payable proceeds to equity instrument | $613640 | $409091 |
| Accretion of Class A Ordinary Shares to redemption value | $1928109 | $1726802 |

---

*The accompanying notes are an integral part of these financial statements.*

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

**NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS**

Compass Digital Acquisition Corp. (the "Company") is a blank check company incorporated in the Cayman Islands on March 8, 2021. The Company was formed for the purpose of effectuating a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses (the "Business Combination"). The Company is an early-stage and emerging growth company and, as such, the Company is subject to all of the risks associated with early-stage and emerging growth companies.

As of December 31, 2024, the Company had not yet commenced any operations. All activity for the period from March 8, 2021 (inception) through December 31, 2024 relates to the Company's formation, the initial public offering that was consummated by the Company on October 19, 2021 (the "Initial Public Offering" or "IPO"), which is described below, and the search for a target business with which to consummate an initial Business Combination. The Company will not generate any operating revenues until after the completion of its initial Business Combination, at the earliest. The Company generates non-operating income in the form of interest income from the proceeds derived from the Initial Public Offering and the Private Placement (as defined below). The Company has selected December 31 as its fiscal year end.

The Company's sponsor was originally Compass Digital SPAC LLC (the "Legacy Sponsor"), until August 31, 2023 and has been HCG Opportunity, LLC, a Delaware limited liability company (the "Sponsor," together, with the Legacy Sponsor, the "Sponsors"), since August 31, 2023 (see Note 5).

The Registration Statement on Form S-1 for the Initial Public Offering, initially filed with the Securities and Exchange Commission (the "SEC") on September 14, 2021, as amended (File No. 333-259502), was declared effective on October 14, 2021 (the "IPO Registration Statement"). On October 19, 2021, the Company consummated the Initial Public Offering of 20,000,000 units ("Units" and, with respect to the (i) Class A Ordinary Shares (as defined below) included in the Units offered, the "Public Shares" and (ii) redeemable warrants included in the Units offered, the "Public Warrants"), at $10.00 per Unit, generating gross proceeds of $200,000,000. Each Unit consists of one Class A Ordinary Share, par value $0.0001 per share, of the Company (the "Class A Ordinary Shares"), and one-third of one Public Warrant (see Note 3).

Certain institutional anchor investors that are not affiliated with the Company, the Legacy Sponsor, or the Company's officers, directors, or any member of the Company's management ("Management" and such investors, the "Institutional Anchor Investors") purchased an aggregate of 20,000,000 Units in the Initial Public Offering. The Units were sold at an offering price of $10.00 per Unit, generating gross proceeds of $200,000,000.

Simultaneously with the closing of the Initial Public Offering, the Company consummated the sale of 4,666,667 warrants (the "Private Placement Warrants," and together with the Public Warrants, the "Warrants") to the Legacy Sponsor at a price of $1.50 per Private Placement Warrant, generating gross proceeds of $7,000,000 (such sale, the "Private Placement") (see Note 4). Concurrently with the closing of the Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 Private Placement Warrants, which transfer will take place upon the closing of the initial Business Combination.

The Institutional Anchor Investors also purchased a portion of the equity interests of the Legacy Sponsor equivalent to 1,547,727 Founder Shares (as defined in Note 5) from the Legacy Sponsor at the original purchase price of $0.004 per share. The Founder Shares may be converted into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders and will be automatically converted into Class A Ordinary Shares at the Business Combination on a one-for-one basis, subject to adjustment as provided in its Amended and Restated Memorandum and Articles of Association (as amended and currently in effect, the "Amended and Restated Charter").

Transaction costs amounted to $11,929,189, consisting of $4,000,000 of underwriting fees, $7,000,000 of deferred underwriting fees and $929,189 of other offering costs. Of these transaction fees, the Company subsequently obtained a discount related to the underwriter fees of $199,999 and expensed $631,124 related to the allocation of offering costs and Founders Shares to Warrant expense. Other non-cash transaction costs include the fair value in excess of consideration of $10,414,655 in relation to Founder Shares purchased by Institutional Anchor Investors. Subsequent to the Initial Public Offering close, there was an additional $676,712 in related transaction offering costs incurred, of which $37,917 related to the allocation of offering costs and Founders Shares to Warrant expense in 2021.

Following the closing of the Initial Public Offering on October 19, 2021, an amount of $200,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units in the Initial Public Offering and the sale of the Private Placement Warrants in the Private Placement was placed in a trust account located in the United States (the "Trust Account") to be invested only in U.S. government treasury obligations with a maturity of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act of 1940, as amended (the "Investment Company Act"), which invest only in direct U.S. government treasury obligations, as determined by the Company, until the earlier of: (i) the completion of a Business Combination and (ii) the distribution of the Trust Account, as described below. On October 19, 2023, the Company instructed Continental Stock Transfer & Trust Company, the trustee of the Trust Account ("Continental"), to liquidate the investments held in the Trust Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with Continental continuing to act as trustee, until the earlier of the consummation of the initial Business Combination or the Company's liquidation. As a result, following the liquidation of investments in the Trust Account, the remaining proceeds from the Initial Public Offering and Private Placement are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

The underwriters of the Initial Public Offering notified the Company of their intention to partially exercise the over-allotment option on November 30, 2021 (the "Over-Allotment Option"). As such, on November 30, 2021, the Company consummated the sale of an additional 1,240,488 units (the "Over-Allotment Units"), at $10.00 per Over-Allotment Unit, and the sale of an additional 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880 and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds of the exercise of the Over-Allotment Option was deposited into the Trust Account, bringing the aggregate proceeds deposited into the Trust Account in connection with the Initial Public Offering to $212,404,880. The Company incurred additional offering costs of $682,268 in connection with the exercise of the Over-Allotment Option (of which $434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed the Company of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

Management has broad discretion with respect to the specific application of the net proceeds of the Initial Public Offering and the Private Placement, although substantially all of the net proceeds are being applied generally toward consummating a Business Combination. The Nasdaq Stock Market LLC ("Nasdaq") rules provide that the Business Combination must be with one or more target businesses that together have a fair market value equal to at least 80% of the balance in the Trust Account (less any taxes payable on interest earned on the Trust Account) at the time of the signing a definitive agreement to enter a Business Combination. The Company will only complete a Business Combination if the post-Business Combination company owns or acquires 50% or more of the outstanding voting securities of the target or otherwise acquires a controlling interest in the target sufficient for it not to be required to register as an investment company under the Investment Company Act. There is no assurance that the Company will be able to successfully effect a Business Combination.

The Company will provide its holders of the outstanding Public Shares (the "Public Shareholders") with the opportunity to redeem all or a portion of their Public Shares upon the completion of a Business Combination either (i) in connection with a shareholder meeting called to approve the Business Combination or (ii) by means of a tender offer. In connection with a proposed Business Combination, the Company may seek shareholder approval of a Business Combination at a meeting called for such purpose at which shareholders may seek to redeem their shares without voting, and if they do vote, irrespective of whether they vote for or against a Business Combination. The Company will proceed with a Business Combination only if the Company has net tangible assets of at least $5,000,001 either immediately prior to or upon such closing of a Business Combination and, if the Company seeks shareholder approval, a majority of the outstanding shares voted are voted in favor of the Business Combination.

If the Company seeks shareholder approval of a Business Combination and it does not conduct redemptions pursuant to the tender offer rules, the Amended and Restated Charter provides that a Public Shareholder, together with any affiliate of such shareholder or any other person with whom such shareholder is acting in concert or as a "group" (as defined under Section 13 of the Securities Exchange Act of 1934, as amended (the "Exchange Act")), will be restricted from seeking redemption rights with respect to more than an aggregate of 15% of the Public Shares without the Company's prior written consent.

The Public Shareholders will be entitled to redeem their Public Shares for a pro rata portion of the amount then in the Trust Account ($11.14 per Public Share as of December 31, 2024, plus any pro rata interest earned on the funds held in the Trust Account and not previously released to the Company to pay its tax obligations). There will be no redemption rights upon the completion of a Business Combination with respect to the Warrants. These Class A Ordinary Shares were recorded at a redemption value and classified as temporary equity upon the completion of the Initial Public Offering, in accordance with the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 480 "Distinguishing Liabilities from Equity" ("ASC 480").

If a shareholder vote is not required and the Company does not decide to hold a shareholder vote for business or other legal reasons, the Company will, pursuant to its Amended and Restated Charter, offer such redemption pursuant to the tender offer rules of the SEC, and file tender offer documents containing substantially the same information as would be included in a proxy statement with the SEC prior to completing a Business Combination.

The Sponsors have agreed (i) to vote their Founder Shares and any Public Shares purchased during or after the Initial Public Offering in favor of a Business Combination; (ii) not to propose an amendment to the Amended and Restated Charter with respect to the Company's pre-Business Combination activities prior to the closing of a Business Combination unless the Company provides dissenting public shareholders with the opportunity to redeem their Public Shares in conjunction with any such amendment; (iii) not to redeem any shares (including the Founder Shares) into the right to receive cash from the Trust Account in connection with a shareholder vote to approve a Business Combination (or to sell any shares in a tender offer in connection with a Business Combination if the Company does not seek shareholder approval in connection therewith) or a vote to amend the provisions of the Amended and Restated Charter relating to shareholders' rights of pre-Business Combination activity; and (iv) that the Founder Shares shall not participate in any liquidating distributions upon winding up if a Business Combination is not consummated. However, the Sponsors will be entitled to liquidating distributions from the Trust Account with respect to any Public Shares purchased during or after the Initial Public Offering if the Company fails to complete its Business Combination.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

If the Company is unable to complete a Business Combination by April 19, 2025 (assuming all four (4) monthly extensions pursuant to the 2024 Extension Amendment Proposal (as defined in Note 11) are used) (the "Combination Period"), the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but no more than ten business days thereafter subject to lawfully available funds therefor, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to the Company (less taxes payable and up to $50,000 of interest to pay dissolution expenses), divided by the number of then outstanding Public Shares, which redemption will completely extinguish Public Shareholders' rights as shareholders (including the right to receive further liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining shareholders and the Company's board of directors (the "Board of Directors"), liquidate and dissolve, subject in each case to its obligations under Cayman Islands law to provide for claims of creditors and the requirements of applicable law. In the event of such distribution, it is possible that the per share value of the assets remaining available for distribution will be less than the Initial Public Offering price per Unit of $10.00.

The Sponsors have agreed that they will be liable to the Company if and to the extent any claims by a third party (other than the independent registered public accounting firm) for services rendered or products sold to the Company, or a prospective target business with which the Company has entered into a written letter of intent, confidentiality or similar agreement or Business Combination agreement, reduce the amount of funds in the Trust Account to below the lesser of (i) $10.00 per Public Share and (ii) the actual amount per Public Share held in the Trust Account as of the day of liquidation of the Trust Account, if less than $10.00 per share due to reductions in the value of the Trust Account assets, less taxes payable, provided that such liability will not apply to any claims by a third party or prospective target business who executed a waiver of any and all rights to monies held in the Trust Account (whether or not such waiver is enforceable) nor will it apply to any claims under the Company's indemnity of the underwriters of the Initial Public Offering against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the "Securities Act"). However, the Company has not asked the Sponsors to reserve for such indemnification obligations, nor has the Company independently verified whether the Sponsors have sufficient funds to satisfy their indemnity obligations and believe that the Sponsors' only assets are securities of the Company. Therefore, the Company cannot assure its shareholders that the Sponsors would be able to satisfy those obligations. None of the Company's officers or directors will indemnify the Company for claims by third parties including, without limitation, claims by vendors and prospective target businesses. The Company seeks to reduce the possibility that the Sponsors will have to indemnify the Trust Account due to claims of creditors by endeavoring to have all vendors, service providers, prospective target businesses or other entities, with which the Company does business, execute agreements with the Company waiving any right, title, interest or claim of any kind in or to monies held in the Trust Account.

***Sponsor Handover***

On August 30, 2023, the Legacy Sponsor and the Sponsor entered into an agreement (the "Sponsor Purchase Agreement"), and on August 31, 2023, the Legacy Sponsor and the Sponsor consummated the transactions contemplated thereby (the "Sponsor Handover"). Pursuant to the terms of the Sponsor Purchase Agreement, at the Sponsor Handover: (i) the Legacy Sponsor transferred 3,093,036 Founder Shares and 4,645,398 Private Placement Warrants to the Sponsor; (ii) the Sponsor agreed to cause the Company to pay an aggregated amount of $300,000 in cash consideration upon closing of the Business Combination at the Legacy Sponsor's direction to entities or accounts as directed by the Legacy Sponsor (including the repayment of the $125,000 balance of the note payable to the Legacy Sponsor); (iii) Sponsor entered into a joinder to the Company's registration rights agreement, dated October 14, 2021 (the "Registration Rights Agreement"); (iv) the Legacy Sponsor assigned the existing administrative services agreement with the Company, dated October 14, 2021 (the "Administrative Services Agreement") to the Sponsor; (v) all of the members of the Board of Directors and officers of the Company resigned, and Daniel J. Hennessy, Thomas D. Hennessy, Anna Brunelle, Kirk Hovde, Matt Schindel and M. Joseph Beck were appointed as directors and Thomas D. Hennessy and Nick Geeza were appointed as the Chief Executive Officer and the Chief Financial Officer of the Company, respectively; and (vi) the Company entered into an amendment to the existing Letter Agreement, dated October 14, 2021 (as amended, the "Letter Agreement"). with the Legacy Sponsor, the Sponsor and the Company's former officers and directors, pursuant to which the Sponsor became a party to the Letter Agreement and all Founder Shares and Private Placement Warrants transferred to the Sponsor remain subject to the terms of the Letter Agreement.

On March 29, 2024, the Company entered into a Joinder to Letter Agreement with each of the current directors and officers, which is effective as of the Sponsor Handover on August 31, 2023.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

***Extensions of the Combination Period***

At the extraordinary general meeting of shareholders held by the Company on October 19, 2023 (the "2023 EGM"), to approve proposals to amend the Amended and Restated Charter to (i) extend the date by which the Company must consummate an initial business combination from October 19, 2023 to July 19, 2024 (the "2023 Extension Amendment Proposal") and (ii) to provide for the right of holders of the Company's Class B Ordinary Shares, par value $0.0001 per share (the "Class B Ordinary Shares," and together with the Class A Ordinary Shares, the "Ordinary Shares"), to convert such shares into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders (the "Founder Share Amendment Proposal" and together with the 2023 Extension Amendment Proposal, the "Charter Amendment Proposals").

In connection with the vote to approve the Charter Amendment Proposals, Public Shareholders holding 16,045,860 Public Shares (after giving effect to withdrawals of redemptions) exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account (the "2023 Redemptions"). As a result, approximately $169.1 million (approximately $10.54 per share) was removed from the Trust Account to pay such holders.

On July 18, 2024, the Company held an extraordinary general meeting of shareholders in lieu of an annual general meeting of shareholders (the "2024 EGM") to approve, among other things, a proposal to amend the Amended and Restated Charter to extend the date by which the Company must consummate an initial Business Combination from July 19, 2024 to December 19, 2024, and then on a monthly basis up to four (4) times until April 19, 2025 (or such earlier date as determined by the Board of Directors (the "2024 Extension Amendment Proposal").

In connection with the vote to approve the 2024 Extension Amendment Proposal, Public Shareholders holding 2,713,143 Public Shares (after giving effect to withdrawals of redemptions) exercised their right to redeem such shares for a pro rata portion of the funds in the Trust Account (the "2024 Redemptions"). As a result of the 2024 Redemptions, approximately $29.6 million (approximately $10.92 per share) was removed from the Trust Account to pay such holders.

***Founder Share Conversions***

On October 19, 2023, following the approval of the Founder Share Amendment Proposal at the 2023 EGM, the Sponsors also converted an aggregate of 600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares (the "2023 Founder Share Conversion") and waived any right to receive funds from the Trust Account with respect to the Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

On July 24, 2024, in connection with the 2024 EGM and the 2024 Redemptions, the Sponsors also converted an aggregate of 2,600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares (the "2024 Founder Share Conversion") and waived any right to receive funds from the Trust Account with respect to the Class A Ordinary Shares received upon such conversion and acknowledged that such shares will be subject to all of the restrictions applicable to the original Founder Shares under the terms of the Letter Agreement.

***Business Combination Agreement***

On September 5, 2024, the Company entered into a Business Combination Agreement (as amended, restated or otherwise modified from time to time, the "Business Combination Agreement") with (i) the Sponsor, in the capacity as the representative from and after the closing of the transactions contemplated by the Business Combination Agreement (the "Closing") for the shareholders of the Company, (ii) upon execution of a joinder thereto, a to-be-formed Cayman Islands exempted company to be named "EEW Renewables Corp" ("Pubco"), (iii) upon execution of a joinder thereto, a to-be-formed Cayman Islands exempted company and wholly-owned subsidiary of Pubco to be named "EEW Merger Sub" ("Merger Sub"), (iv) EEW Renewables Ltd, a company formed under the laws of England and Wales ("EEW"), (v) the shareholders of EEW named therein that executed and delivered the Business Combination Agreement on the signing date (together with any transferees of ordinary shares of EEW prior to the Closing that either sign a joinder agreement to become a party thereto, or that become bound thereby pursuant to the drag-along rights to be set forth in EEW's amended organizational documents (collectively the "Sellers"), and (vi) E.E.W. Global Holding Limited, in the capacity as the representative for the Sellers in accordance with the terms and conditions of the Business Combination Agreement.

Pursuant to the Business Combination Agreement, subject to the terms and conditions set forth therein, at the Closing, (a) Merger Sub will merge with and into the Company, with the Company continuing as the surviving entity (the "Merger"), as a result of which, (i) the Company shall become a wholly-owned subsidiary of Pubco, and (ii) each issued and outstanding security of the Company immediately prior to the Effective Time (as defined in the Business Combination Agreement) shall no longer be outstanding and shall automatically be cancelled, in exchange for the right of the holder thereof to receive a substantially equivalent security of Pubco, and (b) Pubco shall acquire all of the issued and outstanding ordinary shares of EEW from the Sellers in exchange for Pubco ordinary shares (the "Share Exchange"), all upon the terms and subject to the conditions set forth in the Business Combination Agreement and in accordance with the applicable provisions of the Companies Act (Revised) of the Cayman Islands and the laws of England and Wales (the Merger, the Share Exchange and the other transactions contemplated by the Business Combination Agreement and the ancillary documents, together, the "Transactions"), and any outstanding convertible securities of EEW will be terminated; and (c) as a result of such Transactions, the Company and EEW each will become a wholly-owned subsidiary of Pubco, and Pubco will become a publicly traded company upon the Closing.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

*Share Exchange and Consideration*

The base consideration to be paid to the Sellers is $300,000,000 (subject to increase to the extent that the Company's unpaid transaction expenses and cash liabilities as of the Closing that the Sponsor does not pay in cash exceeds $5,000,000, and subject to decrease to the extent that the amount of EEW's unpaid transaction expenses is more than $5,000,000), and will be paid entirely in the form of newly issued ordinary shares of Pubco, par value $0.0001 per share (the "Pubco Ordinary Shares"), with each share valued at $10.00 (such shares, the "Exchange Shares").

In addition to the base consideration as set forth above, the Sellers will be entitled to receive up to an additional 4,200,000 Pubco Ordinary Shares, subject to equitable adjustment for share splits, share dividends, combinations, recapitalizations and the like after the Closing, including to account for any equity securities into which such shares are exchanged or converted (the "Earnout Shares"), as additional consideration from Pubco in the event that:

(i) If during the 3-year period after the Closing (the "Earnout Period"), the volume-weighted average price for Pubco Ordinary Shares for 20 out of 30 consecutive trading days is at least: (i) $11.00 per share, the Sellers will receive 50% of the Earnout Shares and (ii) $12.00 per share, the Sellers will receive the remaining 50% of the Earnout Shares; or

(ii) If Pubco's consolidated earnings before interest, taxes, depreciation, and amortization for the fiscal year ended April 30, 2025 equals or exceeds $41.9 million, subject to certain adjustments, the Sellers will receive all of the Earnout Shares.

If there is a change-in-control transaction during the Earnout Period, to the extent that the express or implied price per Pubco Ordinary Share in such transaction is equal to or greater than the applicable share price targets as set forth above, the vesting of such Earnout Shares will accelerate, and the Earnout Shares will be issuable upon the closing of such transaction.

***Liquidity and Going Concern***

As of December 31, 2024, the Company had $27,720 in its operating bank accounts and a working capital deficit of $2,081,881.

To date, the Company's liquidity needs have been satisfied through (i) a payment of $25,000 from the Legacy Sponsor to cover certain expenses on behalf of the Company in exchange for the issuance of the Founder Shares, (ii) a loan of approximately $195,000 from the Legacy Sponsor pursuant to a promissory note for up to $250,000 (the "IPO Promissory Note"), (iii) the net proceeds from the consummation of the Private Placement not held in the Trust Account, (iv) the Polar Capital Investment (as defined in Note 5), (v) the Working Capital Loans (as defined in Note 5) pursuant to the 2021 Promissory Note and the 2024 Promissory Note (each as defined in Note 5). The Company fully repaid the IPO Promissory Note on October 19, 2021. No additional borrowing is available under the IPO Promissory Note (see Note 5).

As of December 31, 2024, the Company had drawn $1,250,000 from the Polar Capital Investment that was fair valued at $227,273, $125,000 outstanding from the 2021 Working Capital Loans and $1,115,000 outstanding from the 2024 Working Capital Loan (see Note 5).

Based on the foregoing, Management believes that the Company may not have sufficient working capital to meet its anticipated obligations through the earlier of the consummation of an initial Business Combination or one year from the date of the accompanying financial statements. Over this period, the Company will be using these funds for paying existing accounts payable, operating costs, identifying and evaluating prospective initial Business Combination candidates, performing due diligence on prospective target businesses, paying for travel expenditures, selecting the target business to merge with or acquire, and structuring, negotiating and consummating the Business Combination.

In connection with the Company's assessment of going concern considerations in accordance with FASB ASC Subtopic 205-40 "Presentation of Financial Statements – Going Concern," the Company has until April 19, 2025 if all remaining monthly extensions pursuant to the 2024 Extension Amendment Proposal are used, to consummate a Business Combination. It is uncertain that the Company will be able to consummate a Business Combination by this time and the Company lacks the financial resources it needs to sustain operations for a reasonable period of time, which is considered to be one year from the date of the accompanying financial statements. If a Business Combination is not consummated with the Combination Period, there will be a mandatory liquidation and subsequent dissolution of the Company. The Company cannot provide any assurance that (i) new financing will be available to it on commercially acceptable terms, if at all, or (ii) that its plans to consummate an initial Business Combination will be successful. Management has determined that the liquidity condition and mandatory liquidation should a Business Combination not occur, and potential subsequent dissolution raises substantial doubt about the Company's ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the Company's inability to continue as a going concern.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

**NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

***Basis of Presentation***

 **

The accompanying financial statements are presented in conformity with accounting principles generally accepted in the United States of America ("GAAP") and pursuant to the rules and regulations of the SEC.

***Emerging Growth Company***

The Company is an "emerging growth company," as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2022, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company's financial statements with another public company, which is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

***Risks and Uncertainties***

Various social and political circumstances in the United States and around the world (including wars and other forms of conflict, including rising trade tensions between the United States and China, and other uncertainties regarding actual and potential shifts in the United States and foreign, trade, economic and other policies with other countries, terrorist acts, security operations and catastrophic events such as fires, floods, earthquakes, tornadoes, hurricanes and global health epidemics) may contribute to increased market volatility and economic uncertainties or deterioration in the United States and worldwide. These market volatilities could adversely affect the Company's ability to complete a Business Combination. In response to the conflict between nations, the United States and other countries have imposed sanctions or other restrictive actions against certain countries. Any of the above factors, including sanctions, export controls, tariffs, trade wars and other governmental actions, could have a material adverse effect on the Company's ability to complete a Business Combination and the value of the Company's securities.

Management continues to evaluate the impact of these types of risks on the industry and has concluded that while it is reasonably possible that these types of risks could have a negative effect on the Company's financial position, results of its operations and/or search for a target company, the specific impact is not readily determinable as of the date of the accompanying financial statements. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty.

***Use of Estimates***

The preparation of the accompanying financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the accompanying financial statements and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires Management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the accompanying financial statements, which Management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

***Cash and Cash Equivalents***

The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had $27,720 and $44,046 of cash and no cash equivalents as of December 31, 2024 and 2023, respectively.

***Cash Held in Trust Account***

At December 31, 2024 and 2023, the Company had $27,637,300 and $55,347,556, respectively, in cash held in the Trust Account.

At December 31, 2024 and 2023, all of the assets held in the Trust Account were held in cash. Gains and losses resulting from the change in fair value of these investments are included in interest earned on cash or investments held in Trust Account in the accompanying statements of operations.

 ****

***Class A Ordinary Shares Subject to Redemption***

The Company accounts for its Ordinary Shares subject to possible redemption in accordance with the guidance in ASC 480. Ordinary Shares subject to mandatory redemption (if any) are classified as a liability instrument and are measured at fair value. Conditionally redeemable Ordinary Shares (including Ordinary Shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company's control) are classified as temporary equity. At all other times, Ordinary Shares are classified as shareholders' deficit. The Ordinary Shares feature certain redemption rights that are considered to be outside of the Company's control and subject to the occurrence of uncertain future events. Accordingly, Ordinary Shares subject to possible redemption are presented at redemption value as temporary equity, outside of the shareholders' deficit section of the accompanying balance sheets.

For the year ended December 31, 2024 and 2023, the Company recorded accretion on the Class A Ordinary Shares of $1,928,109 and $8,914,159, respectively, to redemption value related to the interest in the Trust Account. For the year ended December 31, 2024 and 2023, the Class A Ordinary Shares Subject to Redemption were reduced by $29,638,365 and $169,088,048, respectively, related to redemptions. For the year ended December 31, 2024 and 2023, the Class A Ordinary Shares Subject to Redemption was increased by $0 and $7,187,357, respectively, related to the waiver of deferred underwriting fees attributable to the Class A Ordinary Shares Subject to Redemption.

***Income Taxes***

The Company complies with the accounting and reporting requirements of FASB ASC Topic 740, "Income Taxes" ("ASC 740"), which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in future taxable or deductible amounts, based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized.

ASC 740 prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits, if any, as income tax expense. There were no unrecognized tax benefits and no amounts accrued for interest and penalties as of December 31, 2024 and 2023. The Company is currently not aware of any issues under review that could result in significant payments, accruals or material deviation from its position.

The Company is considered to be an exempted Cayman Islands company with no connection to any other taxable jurisdiction and is presently not subject to income taxes or income tax filing requirements in the Cayman Islands or the United States. Therefore, the Company's tax provision was zero for the period presented.

***Offering Costs Associated with the Initial Public Offering***

Offering costs consisted of legal, accounting, underwriting fees and other costs incurred through the accompanying balance sheet dates that are directly related to the Initial Public Offering. Upon the completion of the Initial Public Offering, the offering costs were allocated using the relative fair values of the Class A Ordinary Shares and Warrants. The costs allocated to Warrants were recognized in other expenses, and those related to the Class A Ordinary Shares were charged against the carrying value of Class A Ordinary Shares. The Company complies with the requirements of the FASB ASC Topic 340-10-S99-1, "Other Assets and Deferred Costs."

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

***Net (Loss) Income Per Ordinary Share***

The Company complies with the accounting and disclosure requirements of FASB ASC Topic 260, "Earnings Per Share." The Company has two classes of Ordinary Shares Class A Ordinary Shares and Class B Ordinary Shares. Income is shared pro rata between the two classes of Ordinary Shares. Net (loss) income per Ordinary Share is calculated by dividing the net (loss) income by the weighted average of Ordinary Shares outstanding for the respective period. As of December 31, 2024 and 2023, the inclusion of financial instruments in the calculation of earnings per share is contingent on a future event. As a result, diluted net (loss) income per Ordinary Share is the same as basic net (loss) income per Ordinary Share for the years presented. Accretion associated with the redeemable Class A Ordinary Shares is excluded from earnings per share as the redemption value approximates fair value.

The following table presents a reconciliation of the numerator and denominator used to compute basic and diluted net (loss) income per share for each class of ordinary shares:

---

| | | |
|:---|:---|:---|
|  | **For The Year Ended<br> December 31, 2024** | **For The Year Ended<br> December 31, 2023** |
| **Redeemable Class A Ordinary Shares** |  |  |
| *Numerator: Net (loss) income allocable to Redeemable Class A Ordinary Shares* | $(1514771) | $3386561 |
| *Denominator: Weighted Average Share Outstanding, Redeemable Class A Ordinary Shares* |  |  |
| Basic and diluted weighted average shares outstanding, Redeemable Class A Ordinary Shares | 3960705 | 17987355 |
| **Basic and diluted net (loss) income per share, Redeemable Class A Ordinary Shares** | $(0.38) | $0.19 |
| **Non-Redeemable Class A Ordinary Shares** |  |  |
| *Numerator: Net (loss) income allocable to non-redeemable Class A Ordinary Shares* |  |  |
| Net income allocable to non-redeemable Class A Ordinary Shares | $(665332) | $22902 |
| *Denominator: Weighted Average Non-Redeemable Class A Ordinary Shares* | 1739726 | 121644 |
| **Basic and diluted net (loss) income per share, non-redeemable Class A Ordinary Shares** | $(0.38) | $0.19 |
| **Non-Redeemable Class B Ordinary Shares** |  |  |
| *Numerator: Net (loss) income allocable to non-redeemable Class B Ordinary Shares* |  |  |
| Net (loss) income allocable to non-redeemable Class B Ordinary Shares | $(1365443) | $976858 |
| *Denominator: Weighted Average Non-Redeemable Class B Ordinary Shares* | 3570396 | 5188478 |
| **Basic and diluted net (loss) income per share, non-redeemable Class B Ordinary Shares** | $(0.38) | $0.19 |

---

 ****

***Warrant Liability***

The Company accounts for its Warrants as either equity-classified or liability-classified instruments based on an assessment of the warrant's specific terms and applicable authoritative guidance in ASC 480 and FASB ASC Topic 815, "Derivatives and Hedging" ("ASC 815"). The assessment considers whether the Warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the Warrants meet all of the requirements for equity classification under ASC 815, including whether the Warrants are indexed to the Company's own Ordinary Shares, among other conditions for equity classification. This assessment, which requires the use of professional judgment, is conducted at the time of Warrant issuance and as of each subsequent quarterly period end date while the Warrants are outstanding.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

For issued or modified Warrants that meet all of the criteria for equity classification, the Warrants are required to be recorded as a component of additional paid-in capital at the time of issuance. For issued or modified Warrants that do not meet all the criteria for equity classification, the Warrants are required to be recorded at their initial fair value on the date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the Warrants are recognized as a non-cash gain or loss on the accompanying statements of operations.

***Derivative Financial Instruments***

The Company evaluates its financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives in accordance with ASC 815. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value on the grant date and is then re-valued at each reporting date, with changes in the fair value reported in the accompanying statements of operations. The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are accounted in the accompanying balance sheets as current or non-current based on whether or not net-cash settlement or conversion of the instrument could be required within 12 months of the balance sheet date.

The Company accounts for the conversion features in the Working Capital Loans under ASC 815. The conversion features were classified as a derivative liability and the Company has determined that the fair value was immaterial at December 31, 2024 and 2023.

***Concentration of Credit Risk***

Financial instruments that potentially subject the Company to concentration of credit risk consist of a cash account in a financial institution which, at times may exceed the Federal Deposit Insurance Corporation coverage limit of $250,000. Any loss incurred or a lack of access to such funds could have a significant adverse impact on the Company's financial condition, results of operations, and cash flows.

***Fair Value of Financial Instruments***

The fair value of the Company's assets and liabilities, which qualify as financial instruments under FASB ASC Topic 820, "Fair Value Measurement" ("ASC 820"), approximates the carrying amounts represented in the accompanying balance sheets, primarily due to their short-term nature, except for the derivative warrant liabilities (see Note 10).

The Company applies ASC 820, which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines "fair value" as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company's principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity' own assumptions based on market data and the entity's judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances.

Level 1-Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities.

Level 2-Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals.

Level 3-Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities.

***Recent Accounting Pronouncements***

 ****

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in this ASU require disclosures, on an annual and interim basis, of significant segment expenses that are regularly provided to the chief operating decision maker ("CODM"), as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. The ASU requires that a public entity disclose the title and position of the CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and deciding how to allocate resources. Public entities will be required to provide all annual disclosures currently required by Topic 280 in interim periods, and entities with a single reportable segment are required to provide all the disclosures required by the amendments in this ASU and existing segment disclosures in Topic 280. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company adopted ASU 2023-07 as required for the year ended December 31, 2024. The adoption requires the Company to provide additional disclosures, but otherwise it does not materially impact the financial statements.

Management does not believe that any other recently issued, but not yet effective, accounting standards updates, if currently adopted, would have a material effect on the accompanying financial statements.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

**NOTE 3 - INITIAL PUBLIC OFFERING**

On October 19, 2021, the Company sold 20,000,000 Units at a purchase price of $10.00 per Unit, generating gross proceeds of $200,000,000, and incurring offering costs of $11,929,189, consisting of $4,000,000 of underwriting fees, $7,000,000 of deferred underwriting fees and $929,189 of other offering costs. Each Unit consists of one Public Share and one-third of one Public Warrant. Each whole Public Warrant entitles the holder to purchase one Class A Ordinary Share at an exercise price of $11.50 per whole share.

The Institutional Anchor Investors purchased an aggregate of 20,000,000 Units at the offering price of $10.00 per Unit.

The underwriters notified the Company of their intention to partially exercise the Over-Allotment Option on November 30, 2021. As such, on November 30, 2021, the Company consummated the sale of an additional 1,240,488 Units, at $10.00 per Unit, and the sale of an additional 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880 and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds was deposited into the Trust Account, bringing the aggregate proceeds held in the Trust Account to $212,407,824, including $2,944 in interest. The Company incurred additional offering costs of $682,269 in connection with the exercise of the Over-Allotment Option (of which $434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed the Company of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

**NOTE 4 - PRIVATE PLACEMENT**

Simultaneously with the closing of the Initial Public Offering, the Legacy Sponsor purchased 4,666,667 Private Placement Warrants at a price of $1.50 per Private Placement Warrant, generating total proceeds of $7,000,000 to the Company. Substantially concurrently with the closing of the Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667 Private Placement Warrants, which transfer will take place upon the closing of the initial Business Combination. In connection with the partial exercise of the Over-Allotment option, the Legacy Sponsor purchased an additional 165,398 Private Placement Warrants at a purchase price of $1.50 per whole Private Placement Warrant.

Each Private Placement Warrant is identical to the Public Warrants, except there are no redemption rights or liquidating distributions from the Trust Account with respect to Private Placement Warrants, which will expire worthless if the Company does not consummate a Business Combination within the Combination Period.

**NOTE 5 - RELATED PARTY TRANSACTIONS**

***Founder Shares***

On March 9, 2021, the Company issued an aggregate of 5,750,000 Class B Ordinary Shares (the "Founder Shares") to the Legacy Sponsor for an aggregate purchase price of $25,000. Also, on May 13, 2021, the Legacy Sponsor transferred an aggregate of 721,402 Founder Shares to the Company's independent directors at their original issue price. The Founder Shares include an aggregate of up to 750,000 shares subject to forfeiture by the Legacy Sponsor to the extent that the Over-Allotment Option was not exercised in full or in part, so that the Legacy Sponsor would collectively own, on an as-converted basis, 20% of the Company's issued and outstanding shares after the Initial Public Offering. On November 30, 2021, the underwriters partially exercised the Over-Allotment Option to purchase an additional 1,240,488 Units. As a result, the Company forfeited 439,878 Class B Ordinary Shares. On October 19, 2023, the Sponsors converted an aggregate of 600,000 Founder Shares on a one-for-one basis into Class A Ordinary Shares in the 2023 Founder Share Conversion. As of December 31, 2024 and 2023, the Company had 2,110,122 Class B Ordinary Shares issued and outstanding.

Pursuant to the Letter Agreement, the Sponsors have agreed not to transfer, assign or sell any of their Founder Shares until the earlier to occur of: (i) one year after the completion of a Business Combination or (ii) the date on which the Company completes a liquidation, merger, capital share exchange or similar transaction that results in the Company's shareholders having the right to exchange their Ordinary Shares for cash, securities or other property. Notwithstanding the foregoing, if the last sale price of the Class A Ordinary Shares or exceeds $12.00 per share (as adjusted for share splits, share dividends, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 120 days after the Business Combination, the Founder Shares will be released from the lock-up.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

In connection with the closing of the Initial Public Offering, the Legacy Sponsor sold equity interest of the Legacy Sponsor equivalent to 1,547,727 Founder Shares to the Institutional Anchor Investors at the original purchase price of $0.004 per share. The Company estimated the aggregate fair value of the Founder Shares attributable to the Institutional Anchor Investors to be $6.73 per share. The fair value of the Founder Shares was valued based on the probability of the Company completing a Business Combination and marketability. The excess of the fair value of the Founder Shares was determined to be an offering cost in accordance with SEC Staff Accounting Bulletin Topic 5A, "Expensing of Offering" and SEC Staff Accounting Bulletin Topic 5T, "Accounting for Expenses or Liabilities Paid by Principal Stockholder(s)" ("SAB 5T"). Accordingly, the offering cost was allocated to the separable financial instruments issued in the Initial Public Offering based on a relative fair value basis, compared to total proceeds received. Offering costs related to the Founder Shares amounted to $10,414,655, of which $10,062,469 was charged to shareholders' deficit upon the completion of the Initial Public Offering and $352,186 was expensed to the accompanying statements of operations and included in transaction costs attributable to Warrant liabilities.

In connection with the Non-Redemption Agreements (as defined in Note 6), the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the closing of the Business Combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer). The Company estimated the aggregate fair value of the 749,810 Class B Ordinary Shares attributable to such investors to be $3,444,008 or on a weighted average of $4.59 per share as of October 19, 2023, which is estimated by taking into considerations the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of their Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T.

In connection with the 2024 Non-Redemption Agreements (as defined in Note 6), the Sponsor agreed to transfer a total of 412,498 Founder Shares (representing the transfer for the first five months of the extension period) to the investors, promptly following the closing of the Business Combination. Additionally, the Sponsor will transfer an additional 82,498 shares for each month of extension from December 2024 through April 2025. In total, up to 742,490 Founder Shares may be transferred to the investors. The Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,076,270, or approximately $5.49 per share on a weighted-average basis as of July 15, 2024. As of December 31, 2024, the Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,028,008, or approximately $5.43 per share on a weighted-average basis. This estimate considers factors such as the probability of consummation of the Business Combination, estimated concessions, and the cost of carrying charges to mitigate the investors' exposure to fluctuations in the price of the Founder Shares. The fair value of these Founder Shares was determined to be an expense in accordance with SAB 5T and classified as a liability due to the variability in the number of Founder Shares to be transferred, depending on the timing of the Business Combination.

***Working Capital Loans***

In order to finance transaction costs in connection with a Business Combination, the Sponsors, affiliates of the Sponsors, or the Company's former officers and directors or current directors or officers may, but are not obligated to, loan the Company funds as may be required (such loan from the Legacy Sponsor, its affiliates or the former officer and directors, the "2021 Working Capital Loan", and such loan from the Sponsor, its affiliates or the current directors or offices, the "2024 Working Capital Loan", and together, the "Working Capital Loans"). Such Working Capital Loans would be evidenced by promissory notes. The notes would either be repaid upon consummation of a Business Combination, without interest, or, at the lender's discretion, up to $1,500,000 of notes may be converted upon consummation of a Business Combination into warrants at a price of $1.50 per warrant. These warrants would be identical to the Private Placement Warrants. In the event that a Business Combination does not close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans.

*2021 Promissory Note Payable – Legacy Sponsor*

On December 30, 2021, there was a written agreement in place for the 2021 Working Capital Loan. The Company issued an unsecured promissory note (the "2021 Promissory Note") in the principal amount of up to $1,000,000 to YAS International, LLC (d/b/a Gupta Capital Group), an affiliate of the Legacy Sponsor ("GCG"). The 2021 Promissory Note bears no interest and is repayable in full upon consummation of the initial Business Combination. GCG has the option to convert any unpaid balance of the 2021 Promissory Note into 2arrants to purchase one share of Class A Ordinary Shares equal to the principal amount of the 2021 Promissory Note so converted divided by $1.50 (the "2021 Note Warrants"). The terms of any such 2021 Note Warrants will be identical to the terms of the Private Placement Warrants. As of December 31, 2024 and 2023, there was $125,000 outstanding on the 2021 Working Capital Loan. The Company determined that the conversion option embedded in its Legacy Working Capital Loan should be bifurcated and accounted for as a derivative in accordance with ASC 815. However, the exercise price of the underlying 2021 Note Warrants was greater than the closing price of the Private Placement Warrants as of December 31, 2024 and 2023, and when the 2021 Working Capital Loan was drawn on. The Company believes that the likelihood of GCG's exercise of the option to convert to 2021 Note Warrants is de minimis. As a result, the Company recorded zero liability related to the conversion option on the 2021 Working Capital Loan.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

*2024 Promissory Note – related party*

On November 21, 2024, there was a written agreement in place for the 2024 Working Capital Loan. The Sponsor agreed to loan the Company up to $2,500,000 pursuant to a promissory note (the "2024 Promissory Note"). The 2024 Promissory Note is non-interest bearing, unsecured and due on the earlier of (i) upon the consummation of an initial Business Combination or (ii) the date of liquidation. The Company may use a portion of proceeds held outside the Trust Account to repay the 2024 Promissory Note, but no proceeds held in the Trust Account can be used to repay the 2024 Promissory Note. If prior to an initial business combination, the 2024 Promissory Note has not been paid in full, then at the Sponsor's option up to $1,350,000 of unpaid principal balance may be converted into warrants (the "2024 Note Warrants") at a price of $1.50 per 2024 Note Warrant. The 2024 Note Warrants would be identical to the Private Placement Warrants.

As of December 31, 2024 and 2023, there was $1,115,000 and $0, respectively, outstanding on the 2024 Promissory Note. The Company determined that the conversion option embedded in its 2024 Promissory Note should be bifurcated and accounted for as a derivative in accordance with ASC 815. However, the exercise price of the underlying 2024 Note Warrants was greater than the closing price of the Private Placement Warrants as of December 31, 2024, and when the 2024 Promissory Notes were drawn on. The Company believes that the likelihood of the Sponsor's exercise of the option to convert to 2024 Note Warrants is de minimis. As a result, the Company recorded zero liability related to the conversion option on the 2024 Promissory Note.

***Polar Capital Investment Payable – related party***

On September 6, 2023, the Company entered into a subscription agreement (the "Polar Subscription Agreement") with the Sponsor and Polar Multi-Strategy Master Fund ("Polar"), pursuant to which Polar agreed to fund up to $1,500,000 to Company, subject to certain funding milestones. Once the Company has reached a defined milestone, upon on at least five (5) calendar days' prior written notice, the Sponsor may require a drawdown against the capital commitment in order to meet the Sponsor's commitment to the Company under a drawdown request (such funded amounts, the "Polar Capital Investment"). The Polar Capital Investment will be repaid to Polar by the Company upon the closing of an initial Business Combination. Polar may elect to receive such repayment (i) in cash or (ii) in Class A Ordinary Shares at a rate of one Class A Ordinary Share for each ten dollars of the Polar Capital Investment. The Company must (i) to the extent feasible and in compliance with all applicable laws and regulations, register the shares issued to Polar as part of any registration statement issuing shares before or in connection with the closing of a Business Combination or (ii) if no such registration statement is filed in connection with the closing of a Business Combination, promptly register such shares pursuant to the first registration statement filed by the Company or the surviving entity following a Business Combination, which shall be filed no later than 30 days after the closing of a Business Combination and declared effective no later than 90 days after the closing of a Business Combination. In consideration of the Polar Capital Investment, the Company has agreed to issue, or cause the surviving entity in the Business Combination to issue, 0.9 of a Class A ordinary share of the surviving entity for each dollar of the Polar Capital Investment funded as of or prior to the closing of the Business Combination. Upon certain events of default under the Polar Subscription Agreement, the Company (or the surviving entity, as applicable) must issue to Polar an additional 0.1 of a Class A ordinary share for each dollar of the Capital Investment funded as of the date of such default, and for each month thereafter until such default of failure is cured, subject to certain limitations provided for therein. In the event the Company liquidates without consummating a Business Combination, any amounts remaining in the Company's cash accounts (excluding the Trust Account) will be paid to Polar by the Company within five (5) calendar days of the liquidation, and such amounts will be the sole recourse for Polar. As of December 31, 2024 and 2023, the Company had drawn $1,250,000 and $500,000, respectively, on the Polar Capital Investment.

The Company determined that the conversion option embedded in Polar Capital Investment should be bifurcated and accounted for as a derivative in accordance with ASC 815. The Company selected the fair value method in the allocation of proceeds to the debt and equity instruments issued in connection with the Polar Capital Investment. As of December 31, 2024, an aggregate of $1,022,727 had been allocated as debt discount to reduce the fair value of the Polar Capital Investment to $227,273 as liabilities on the accompanying balance sheets. As of December 31, 2023, $409,091 had been allocated as debt discount to reduce the fair value of the Polar Capital Investment to $90,909 as liabilities on the accompanying balance sheets. Further, as of December 31, 2024 and 2023, $613,640 and $409,091, respectively, is allocated to non-redeemable Class A Ordinary Shares and presented as additional paid in capital on the accompanying statements of changes in shareholders' deficit.

***Administrative Services Agreement***

Commencing on October 14, 2021, and until completion of the Company's initial Business Combination or liquidation, the Company may reimburse the Sponsors up to an aggregate amount of $10,000 per month for office space and secretarial and administrative support pursuant to the Administrative Services Agreement. Per the Administrative Services Agreement, it is at the Company's option as to whether or not to pay this administrative fee. The Legacy Sponsor assigned the Administrative Services Agreement to the Sponsor on August 31, 2023, in connection with the Sponsor Handover. For the years ended December 31, 2024 and 2023, the total administrative expenses were $120,000. As of December 31, 2024 and 2023, there was $160,000 and $40,000 accrued, but not paid.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

**NOTE 6 - COMMITMENTS AND CONTINGENCIES**

 ****

***Registration Rights***

The holders of the Founder Shares, Private Placement Warrants and any 2021 Note Warrants or 2024 Note Warrants (and in each case, holders of their underlying securities, as applicable) are entitled to registration rights pursuant to the Registration Rights Agreement, requiring the Company to register such securities for resale (in the case of the Founder Shares, only after conversion to the Class A Ordinary Shares). The holders of the majority of these securities are entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders have certain "piggyback" registration rights with respect to registration statements filed subsequent to the consummation of a Business Combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities Act. The Company will bear the expenses incurred in connection with the filing of any such registration statements. On August 31, 2023, the Sponsor executed a joinder to the Registration Rights Agreement in connection with the Sponsor Handover.

***Underwriting Agreement***

In connection with the Initial Public Offering, the underwriters were granted a 45-day option from the date of the prospectus to purchase up to 3,000,000 additional Units to cover over-allotments, if any. On November 30, 2021, the underwriters purchased an additional 1,240,488 Units pursuant to the partial exercise of the Over-Allotment Option. The Units issued upon the exercise of the Over-Allotment Option were sold at an offering price of $10.00 per Unit, generating aggregate additional gross proceeds of $12,404,880 to the Company.

The underwriters of the Initial Public Offering were entitled to a cash underwriting discount of 2.00% of the gross proceeds of the Initial Public Offering, or $4,000,000 (or $4,600,000 if the Over-Allotment Option was exercised in full). In addition, the underwriters were entitled to a deferred fee of three and half percent (3.50%) of the gross proceeds of the Initial Public Offering, or $7,000,000 (or $8,050,000 if the Over-Allotment Option was exercised in full).

On August 11, 2023 and August 14, 2023, the Company received formal confirmations from Citigroup Global Markets Inc. and J.P. Morgan Securities LLC of their decisions to waive any entitlement they may have to their deferred underwriting fees payable held in the Trust Account with respect to any Business Combination. Out of the release of $7,434,171 deferred underwriting fees, $7,187,357 was charged against accumulated deficit in the accompanying balance sheets as of December 31, 2023 and $246,814 is reflected as a gain on settlement of deferred underwriting fees in the accompanying statements of operations.

***Financial Advisory Agreements***

The Company entered into two financial advisory agreements in September and December 2022, respectively, with financial advisors in connection with the Business Combinations. The Company agreed to pay success fees for signed letters of intent and any successful acquisition. Success fees ranged from $50,000 to $1,250,000. The Company agreed to also reimburse the financial advisors for all reasonable and documented expenses, subject to limitations and prior written consent of the Company. Both agreements were terminated in August 2023, and no expense was outstanding as of December 31, 2024 or 2023.

***Non-Redemption Agreements***

 ****

Between October 9, 2023 and October 19, 2023, the Company entered into agreements with the Sponsor and unaffiliated third-party investors in exchange for such investors agreeing not to redeem an aggregate of 4,998,734 Public Shares in connection with the vote to approve the Charter Amendment Proposals at the 2023 EGM (the "2023 Non-Redemption Agreements"). In exchange for these commitments not to redeem such Public Shares, the Sponsor agreed to transfer to such investors an aggregate of 749,810 Founder Shares held by the Sponsor promptly following the closing of the Business Combination (but no later than two business days after the satisfaction of the requisite conditions to such transfer). The Company estimated the aggregate fair value of the 749,810 Class B Ordinary Shares attributable to such investors to be $3,444,008 or on a weighted average of $4.59 per share, as of October 19, 2023, which is estimated by taking into considerations the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of their Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

Between July 15, 2024 and July 18, 2024, the Company entered into agreements with the Sponsor and unaffiliated third-party investors (the "2024 Non-Redemption Agreements") in exchange for such investors agreeing not to redeem an aggregate of 2,475,000 Public Shares in connection with the vote to approve the 2024 Extension Amendment Proposal at the 2024 EGM. In exchange for these commitments not to redeem such Public Shares, the Sponsor agreed to transfer to such investors an aggregate of (i) 412,498 Founder Shares for the first five (5) months of the extension of the Combination Period from July 19, 2024 to December 19, 2024 and (ii) 82,498 Founder Shares per month, for each month of the extension of the Combination Period from December 19, 2024 until April 19, 2025, as needed. The Founder Shares to be transferred to such investors pursuant to the 2024 Non-Redemption Agreements are held by the Sponsor and are to be transferred in connection with the closing of the Business Combination. In connection with its entry into the 2024 Non-Redemption Agreements, the Company agreed that, in the event of the liquidation of the Trust Account, it will only utilize up to $50,000 of funds from the accrued interest of the Trust Account to pay any dissolution expenses if it does not effect a Business Combination prior to the end of the Combination Period. As of July 15, 2024, the Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,076,270, or approximately $5.49 per share on a weighted-average basis. As of December 31, 2024, the Company estimated the aggregate fair value of these 742,490 Founder Shares at $4,028,008, or approximately $5.43 per share on a weighted-average basis. The Company considered the estimated probability of the consummation of a Business Combination, estimated concessions and estimated cost of carrying charges to eliminate the investor's exposure to changes in the price of their Class B Ordinary Shares. The fair value of the Class B Ordinary Shares was determined to be an expense in accordance with SAB 5T and classified as a liability due to the variability in the number of Founder Shares to be transferred, depending on the timing of the Business Combination.

**NOTE 7 – DERIVATIVE WARRANT LIABILITIES**

The Company issued 11,912,228 Warrants in connection with the Initial Public Offering and partial exercise of the Over-Allotment Option (including 6,666,667 Public Warrants and 4,666,667 Private Placement Warrants at the time of Initial Public Offering, and additional 413,496 Public Warrants and 165,398 Private Placement Warrants at the time of the partial exercise of the Over-Allotment Option) in accordance with the guidance contained in ASC 815-40. Such guidance provides that because the Warrants do not meet the criteria for equity treatment thereunder, each Warrant was recorded as a liability. Accordingly, the Company has classified each Warrant as a liability at its fair value. This liability is subject to re-measurement at each balance sheet date. With each such re-measurement, the Warrant liability will be adjusted to fair value, with the change in fair value recognized in the Company's statements of operations.

Public Warrants may only be exercised for a whole number of shares. No fractional shares will be issued upon exercise of the Public Warrants. The Public Warrants will become exercisable 30 days after the consummation of a Business Combination. The Public Warrants will expire five years from the consummation of a Business Combination or earlier upon redemption or liquidation.

The Company will not be obligated to deliver any Class A Ordinary Shares pursuant to the exercise of a Public Warrant and will have no obligation to settle such Public Warrant exercise unless a registration statement under the Securities Act covering the issuance of the Class A Ordinary Shares issuable upon exercise of the Public Warrants is then effective and a prospectus relating thereto is current, subject to the Company satisfying its obligations with respect to registration. No Public Warrant will be exercisable for cash or on a cashless basis, and the Company will not be obligated to issue any shares to holders seeking to exercise their Public Warrants, unless the issuance of the shares upon such exercise is registered or qualified under the securities laws of the state of the exercising holder, or an exemption from registration is available.

 ****

The Company has agreed that as soon as practicable, but in no event later than 15 business days, after the closing of a Business Combination, it will use its commercially reasonable efforts to file with the SEC a post-effective amendment to the IPO Registration Statement or a new registration statement covering the registration, under the Securities Act of the Class A Ordinary Shares issuable upon exercise of the Public Warrants. The Company will use its commercially reasonable efforts to cause such registration statement to become effective and to maintain a current prospectus relating to those Class A Ordinary Shares until the Warrants expire or are redeemed, as specified in the warrant agreement, dated October 14, 2021, that we entered into with Continental, as warrant agent (the "Warrant Agreement"). If a registration statement covering the Class A Ordinary Shares issuable upon exercise of the Warrants is not effective by the 60th business day after the closing of a Business Combination, warrant holders may, until such time as there is an effective registration statement and during any period when the Company will have failed to maintain an effective registration statement, exercise warrants on a "cashless basis" in accordance with Section 3(a)(9) of the Securities Act or another exemption.

Redemption of Warrants when the price per Class A Ordinary Share equals or exceeds $18.00. Once the Warrants become exercisable, the Company may redeem the Warrants for redemption:

● in whole and not in part;

● at a price of $0.01 per Public Warrant;

● upon a minimum of 30 days' prior written notice of redemption, which is referred to as the 30-day redemption period; and

● if, and only if, the closing price of the Class A Ordinary Shares equals or exceeds $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders (the "Reference Value").

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

The Company will not redeem the Warrants as described above unless an effective registration statement under the Securities Act covering the issuance of the Class A Ordinary Shares issuable upon exercise of the Warrants is then effective and a current prospectus relating to those Class A Ordinary Shares is available throughout the 30-day redemption period. If and when the Warrants become redeemable by the Company, the Company may exercise its redemption right even if the Company is unable to register or qualify the underlying securities for sale under all applicable state securities laws.

Redemption of Warrants when the price per Class A Ordinary Shares share equals or exceeds $10.00. Once the Warrants become exercisable, the Company may redeem the Warrants for redemption:

● in whole and not in part;

● at $0.10 per Warrant upon a minimum of 30 days' prior written notice of redemption, provided that holders will be able to exercise their warrants on a cashless basis prior to redemption and receive the number of shares determined by reference to the table set forth under "Description of Securities - Warrants - Public Shareholders' Warrants" in the IPO Registration Statement based on the redemption date and the "fair market value" of the Class A Ordinary Shares;

● if, and only if, the Reference Value equals or exceeds $10.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like); and

● if the Reference Value is less than $18.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like), the Private Placement Warrants must also concurrently be called for redemption on the same terms (except as described herein with respect to a holder's ability to cashless exercise its warrants) as the outstanding Public Warrants, as described above.

If and when the Public Warrants become redeemable by the Company, the Company may not exercise its redemption right if the issuance of shares of ordinary shares upon exercise of the warrants is not exempt from registration or qualification under applicable state blue sky laws or the Company is unable to effect such registration or qualification.

The exercise price and number of Class A Ordinary Shares issuable upon exercise of the Warrants may be adjusted in certain circumstances including in the event of a share dividend, or recapitalization, reorganization, merger or consolidation. Additionally, in no event will the Company be required to net cash settle the Public Warrants. If the Company is unable to complete a Business Combination within the Combination Period and the Company liquidates the funds held in the Trust Account, holders of Warrants will not receive any of such funds with respect to their Warrants, nor will they receive any distribution from the Company's assets held outside of the Trust Account with the respect to such Warrants. Accordingly, the Warrants may expire worthless. If the Company calls the Public Warrants for redemption, Management will have the option to require all holders that wish to exercise the Public Warrants to do so on a "cashless basis," as described in the Warrant Agreement. The exercise price and number of Ordinary Shares issuable upon exercise of the Public Warrants may be adjusted in certain circumstances including in the event of a share dividend, extraordinary dividend or recapitalization, reorganization, merger or consolidation.

In addition, if (i) the Company issues additional Class A Ordinary Shares or equity-linked securities for capital raising purposes in connection with the closing of its initial Business Combination at an issue price or effective issue price of less than $9.20 per share of Class A Ordinary Shares (with such issue price or effective issue price to be determined in good faith by the Board of Directors and, in the case of any such issuance to the Sponsors or its affiliates, without taking into account any Founder Shares held by the Sponsors or such affiliates, as applicable, prior to such issuance) (the "Newly Issued Price"), (ii) the aggregate gross proceeds from such issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of the initial Business Combination on the date of the consummation of such initial Business Combination (net of redemptions), and (iii) the volume weighted average trading price of the Ordinary Shares during the 20 trading day period starting on the trading day prior to the day on which the Company consummates its initial Business Combination (such price, the "Market Value") is below $9.20 per share, the exercise price of the Warrants will be adjusted (to the nearest cent) to be equal to 115% of the higher of the Market Value and the Newly Issued Price and the $18.00 per share redemption trigger price described above will be adjusted (to the nearest cent) to be equal to 180% of the greater of the Market Value and the Newly Issued Price.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

The Private Placement Warrants are identical to the Public Warrants included in the Units sold in the Initial Public Offering, except that the Private Placement Warrants are not and the Ordinary Shares issuable upon the exercise of the Private Placement Warrants are not transferable, assignable or saleable until 30 days after the completion of a Business Combination, subject to certain limited exceptions. Additionally, the Private Placement Warrants are exercisable on a cashless basis and are non-redeemable so long as they are held by the initial purchasers or their permitted transferees. If the Private Placement Warrants are held by someone other than the initial purchasers or their permitted transferees, the Private Placement Warrants are redeemable by the Company and exercisable by such holders on the same basis as the Public Warrants.

**NOTE 8 - CLASS A ORDINARY SHARES SUBJECT TO POSSIBLE REDEMPTION**

The Class A Ordinary Shares feature certain redemption rights that are considered to be outside of the Company's control and subject to the occurrence of future events. The Company is authorized to issue 200,000,000 Class A Ordinary Shares with a par value of $0.0001 per share. Holders of the Class A Ordinary Shares are entitled to one vote for each share. As of December 31, 2024 and 2023, there were 5,681,485 and 5,794,628 Class A Ordinary Shares outstanding, respectively, of which 2,481,485 and 5,194,628, respectively, were subject to possible redemption and classified outside of permanent equity in the Company's balance sheets.

The reconciliation of Class A Ordinary Shares subject to possible redemption is as follows.

---

| | |
|:---|:---|
| Class A Ordinary Shares subject to possible redemption at December 31, 2022 | $215521445 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 1726802 |
| Waiver of Class A Ordinary Shares issuance costs | 7187357 |
| Less: |  |
| Redemption of Class A Ordinary Shares | (169088048) |
| Class A Ordinary Shares subject to possible redemption at December 31, 2023 | 55347556 |
| Plus: |  |
| Accretion of Class A Ordinary Shares to redemption value | 1928109 |
| Less: |  |
| Redemption of Class A Ordinary Shares | (29638365) |
| Class A Ordinary Shares subject to possible redemption at December 31, 2024 | $27637300 |

---

**NOTE 9 – SHAREHOLDERS' DEFICIT**

***Preference Shares***

The Company is authorized to issue 1,000,000 preference shares with $0.0001 par value. As of December 31, 2024 and 2023, there were no preference shares issued or outstanding.

***Class A Ordinary Shares***

 ****

The Company is authorized to issue up to 200,000,000 Class A Ordinary Shares, $0.0001 par value per share. Holders of the Class A Ordinary Shares are entitled to one vote for each share. As of December 31, 2024 and 2023, there were 5,681,485 and 5,794,628 Class A Ordinary Shares issued and outstanding, respectively. Of the outstanding Class A Ordinary Shares, 2,481,485 and 5,194,628 were subject to possible redemption at December 31, 2024 and 2023, and therefore classified outside of permanent equity.

***Class B Ordinary Shares***

 ****

The Company is authorized to issue up to 20,000,000 Class B Ordinary Shares, $0.0001 par value per share. Holders of the Class B Ordinary Shares are entitled to one vote for each share. At December 31, 2024 and 2023, there were 2,110,122 and 4,710,122 Class B Ordinary Shares issued and outstanding, respectively. The Company originally issued 5,750,000 Class B Ordinary Shares, and 439,878 Class B Ordinary Shares were forfeited in the partial exercise of the Over-Allotment Option. On October 19, 2023, following approval by the Company's shareholders of the Founder Share Amendment Proposal at the 2023 EGM, the Sponsors converted an aggregate of 600,000 Class B Ordinary Shares on a one-for-one basis into Class A Ordinary Shares in the 2023 Founder Share Conversion. As of December 31, 2023, pursuant to the 2023 Non-Redemption Agreements, the Sponsor agreed to transfer 749,810 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination. On July 15, 2024, the Sponsors converted an aggregate of 2,600,000 Class B Ordinary Shares on a one-for-one basis into Class A Ordinary Shares in the 2024 Founder Share Conversion. As of December 31, 2024, pursuant to the 2024 Non-Redemption Agreements, the Sponsor agreed to transfer 83,332 Class B Ordinary Shares to certain investors on or promptly after the consummation of the Business Combination.

The Class B Ordinary Shares may be converted into Class A Ordinary Shares on a one-for-one basis at any time and from time to time prior to the closing of a Business Combination at the election of the holders and will be automatically converted into Class A Ordinary Shares at the time of the Business Combination on a one-for-one basis, subject to adjustment for share splits, share dividends, reorganizations, recapitalizations and the like. In the case that additional Class A Ordinary Shares, or equity linked securities, are issued or deemed issued in excess of the amounts offered in the Initial Public Offering and related to the closing of a Business Combination, the ratio at which Class B Ordinary Shares shall convert into Class A Ordinary Shares will be adjusted (unless the holders of a majority of the outstanding Class B Ordinary Shares agree to waive such adjustment with respect to any such issuance or deemed issuance) so that the number of Class A Ordinary Shares issuable upon conversion of all Class B Ordinary Shares will equal, in the aggregate, on an as converted basis, 20% of the sum of the total number of all Ordinary Shares outstanding upon the completion of the Initial Public Offering plus all Class A Ordinary Shares and equity linked securities issued or deemed issued in connection with a Business Combination (excluding any shares or equity linked securities issued, or to be issued, to any seller in a Business Combination, and any 2021 Note Warrants or 2024 Note Warrants). Holders of Founder Shares may also elect to convert their Class B Ordinary Shares into an equal number of Class A Ordinary Shares, subject to adjustment as provided above, at any time.

The Company may issue additional ordinary or preference shares to complete its Business Combination or under an employee incentive plan after completion of its Business Combination.

**NOTE 10 - FAIR VALUE MEASUREMENTS**

The following table presents information about the Company's assets and liabilities that are measured at fair value on a recurring basis at December 31, 2024, and December 31, 2023, and indicates the fair value hierarchy of the valuation inputs the Company utilized to determine such fair value:

SCHEDULE OF ASSETS MEASURED AT FAIR VALUE ON A RECURRING BASIS

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Description** | **Level** | **December 31, 2024** | **Level** | **December 31, 2023** |
| **Liabilities:** |  |  |  |  |
| Private Placement Warrants <sup>(1)</sup> | Level 2 | $48321 | Level 2 | $238704 |
| Public Warrants <sup>(1)</sup> | Level 2 | $70802 | Level 2 | $349760 |
| Non-redemption Liability <sup>(1)</sup> | Level 3 | $4028008 | N/A | $- |
| Polar Capital Investment Payable | Level 3 | $227273 | Level 3 | $90909 |

---

(1) Measured
 at fair value on a recurring basis.

***Warrants***

The Warrants are accounted for as liabilities pursuant to ASC 815-40 and are measured at fair value as of each reporting date. Changes in the fair value of the Warrants are recorded in the accompanying statements of operations at the end of each period. Transfers to/from Levels 1, 2 and 3 are recognized at the beginning of the reporting period in which a change in valuation technique or methodology occurs. The Warrants are accounted for as liabilities in accordance with ASC 815-40, and are presented within warrant liabilities on the accompanying balance sheets. The warrant liabilities are measured at fair value at inception and on a recurring basis, with changes in fair value presented within change in fair value of warrant liabilities in the accompanying statements of operations.

Upon consummation of the Initial Public Offering on October 19, 2021, the Warrants were classified as Level 3 due to unobservable inputs used in the initial valuation. On December 9, 2021, the Public Warrants surpassed the 52-day threshold waiting period to be publicly traded in accordance with the IPO Registration Statement. Once publicly traded, the observable input qualifies the liability for treatment as a Level 1 liability. The estimated fair value of the Public Warrants was transferred from a Level 1 measurement to a Level 2 measurement due to lack of trading activity as of December 31, 2023. As the transfer of Private Placement Warrants to anyone outside of a small group of individuals who are permitted transferees would result in the Private Placement Warrants having substantially the same terms as the Public Warrants, the Company determined that the fair value of each Private Placement Warrant is equivalent to that of each Public Warrant, with an insignificant adjustment for short-term marketability restrictions. As such, the Private Placement Warrants were classified as Level 2 as it references the price of Public Warrants.

The following table presents the changes in the fair value of warrant liabilities:

SCHEDULE OF CHANGES IN FAIR VALUE OF WARRANT LIABILITIES

---

| | | | |
|:---|:---|:---|:---|
|  | **Private Placement** | **Public** | **Warrant Liabilities** |
| Fair value as of December 31, 2023 | $238704 | $349760 | $588464 |
| Change in fair value <sup>(1)</sup> | (190383) | (278958) | (469341) |
| Fair value as of December 31, 2024 | $48321 | $70802 | $119123 |

---

(1) Changes
 in fair value are recognized in changes in fair value of warrant liabilities in the accompanying statements of operations.

**COMPASS DIGITAL ACQUISITION CORP.**

**NOTES TO FINANCIAL STATEMENTS**

**NOTE 11 - SEGMENT INFORMATION**

ASC Topic 280, "Segment Reporting," establishes standards for companies to report in their financial statement information about operating segments, products, services, geographic areas, and major customers. Operating segments are defined as components of an enterprise that engage in business activities from which it may recognize revenues and incur expenses, and for which separate financial information is available that is regularly evaluated by the Company's chief operating decision maker, or group, in deciding how to allocate resources and assess performance.

The Company's CODM has been identified as the Chief Executive Officer, who reviews the assets, operating results, and financial metrics for the Company as a whole to make decisions about allocating resources and assessing financial performance. Accordingly, management has determined that there is only one reportable segment.

The CODM assesses performance for the single segment and decides how to allocate resources based on net income or loss that also is reported on the statement of operations as net income or loss. The measure of segment assets is reported on the balance sheet as total assets. When evaluating the Company's performance and making key decisions regarding resource allocation, the CODM reviews several key metrics included in net income or loss and total assets, which include the following:

SCHEDULE OF SEGMENT ASSETS

---

| | | |
|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2023** |
| Cash | $27720 | $44046 |
| Cash held in Trust Account | $27637300 | $55347556 |

---

---

| | | |
|:---|:---|:---|
|  | **For the Year Ended December 31, 2024** | **For the Year Ended December 31, 2023** |
| Operating expenses | $1794928 | $1926567 |
| Interest earned on marketable securities held in Trust Account | $1928109 | $8914159 |

---

The CODM reviews interest earned on the Trust Account to measure and monitor shareholder value and determine the most effective strategy of investment with the Trust Account funds while maintaining compliance with the Trust Agreement.

General and administrative expenses are reviewed and monitored by the CODM to manage and forecast cash to ensure enough capital is available to complete a business combination or similar transaction within the business combination period. The CODM also reviews general and administrative costs to manage, maintain and enforce all contractual agreements to ensure costs are aligned with all agreements and budget. General and administrative costs, as reported on the statement of operations, are the significant segment expenses provided to the CODM on a regular basis.

All other segment items included in net income or loss are reported on the statement of operations and described within their respective disclosures.

**NOTE 12 - SUBSEQUENT EVENTS**

The Company evaluated events that have occurred after the balance sheet date up through the date the accompanying financial statements were issued. Based upon the review, Management did not identify any other subsequent events, that would have required adjustment or disclosure in the accompanying financial statements, except as follows:

Through the date of this filing, the Company has drawn an additional $266,019 on the 2024 Promissory Note. The total aggregate outstanding balance on the 2024 Promissory Note $1,381,019.

On March 5, 2025, Nasdaq filed a Form 25-NSE to delist the Company's securities from Nasdaq.

On March 13, 2025, the Company filed a preliminary proxy statement in connection with an upcoming extraordinary general meeting in lieu of an annual general meeting of its shareholders to, among other things, seek (i) an extension of the Combination Period from April 19, 2025 to April 20, 2026 and (ii) to eliminate from the Amended and Restated Charter the limitation that the Company may not redeem Public Shares to the extent that such redemption would result in the Company having net tangible assets (as determined in accordance with Rule 3a51-1(g)(1) of the Exchange Act) of less than $5,000,001.

**KEY MINING CORP.** 

**CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | September 30<br>2025 | December 31<br>2024 |
|  | (unaudited) | |
| **ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;**CURRENT ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $52156 | $650969 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposits and prepaids | 110244 | 161552 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred offering costs | - | 122789 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Assets | 162400 | 935310 |
| &nbsp;&nbsp;&nbsp;**FIXED ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | 52597 | 125130 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Fixed Assets | 52597 | 125130 |
| &nbsp;&nbsp;&nbsp;**OTHER ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mineral interests | 2613634 | 3000277 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vat receivable | 448983 | 381459 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Other Assets | 3062617 | 3381736 |
| &nbsp;&nbsp;&nbsp;**TOTAL ASSETS** | $3277614 | $4442176 |
| **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
| &nbsp;&nbsp;&nbsp;**CURRENT LIABILITIES** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $928189 | $838402 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Warrant liability | - | 122789 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Liabilities | 928189 | 961191 |
| &nbsp;&nbsp;&nbsp;**TOTAL LIABILITIES** | 928189 | 961191 |
| &nbsp;&nbsp;&nbsp;**COMMITMENTS AND CONTINGENCIES (NOTE 3)** |  |  |
| &nbsp;&nbsp;&nbsp;**STOCKHOLDERS' EQUITY** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred stock, $0.001 par value, 20,000,000 shares authorized, none issued and outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common stock, $0.001 par value, 200,000,000 shares authorized; 89,514,388 and 77,222,388 shares issued and outstanding | 89514 | 77222 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 18561451 | 15867685 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock and warrants to be issued |  | 1759497 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (16301540) | (14223419) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Stockholders' Equity | 2349425 | 3480985 |
| &nbsp;&nbsp;&nbsp;**TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY** | $3277614 | $4442176 |

---

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

**KEY MINING CORP.** 

**CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS (unaudited)**

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| | | | | |
|:---|:---|:---|:---|:---|
|  | Three Months Ended | Three Months Ended | Nine Months Ended | Nine Months Ended |
|  | September 30,<br> 2025 | September 30,<br> 2024 | September 30, <br>2025 | September 30,<br> 2024 |
| **REVENUES** | $- | $- | $- | $- |
| **OPERATING EXPENSES** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Exploration expense | 171838 | 35888 | 518567 | 757566 |
| &nbsp;&nbsp;&nbsp;Professional fees | 12481 | 71011 | 76722 | 757943 |
| &nbsp;&nbsp;&nbsp;Officers' and directors' fees | 124940 | 141000 | 374521 | 423000 |
| &nbsp;&nbsp;&nbsp;Travel | 30375 | 17738 | 102376 | 109811 |
| &nbsp;&nbsp;&nbsp;General and administrative | 39782 | 77182 | 173612 | 406958 |
| &nbsp;&nbsp;&nbsp;Depreciation | 24178 | 21678 | 72533 | 65751 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**TOTAL OPERATING EXPENSES** | 403594 | 364497 | 1318331 | 2521029 |
| **LOSS FROM OPERATIONS** | (403594) | (364497) | (1318331) | (2521029) |
| **OTHER INCOME (EXPENSES)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Interest income |  | 483 |  | 28987 |
| &nbsp;&nbsp;&nbsp;Loss on disposal of mineral interest | (386643) | (1113357) | (386643) | (1113357) |
| &nbsp;&nbsp;&nbsp;Exchange gain (loss) | (300068) | (126808) | (373149) | 1805 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**TOTAL OTHER INCOME (EXPENSES)** | (686711) | (1239682) | (759792) | (1082565) |
| **LOSS BEFORE TAXES** | (1090305) | (1604179) | (2078123) | (3603594) |
| **INCOME TAXES** | - | - | - | - |
| **NET LOSS** | $(1090305) | (1604179) | (2078123) | (3603594) |
| &nbsp;&nbsp;&nbsp;NET LOSS PER COMMON SHARE, |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BASIC AND DILUTED | $(0.01) | $(0.02) | $(0.02) | $(0.05) |
| &nbsp;&nbsp;&nbsp;WEIGHTED AVERAGE NUMBER OF COMMON STOCK SHARES |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OUTSTANDING, BASIC AND DILUTED | 89514720 | 77222161 | 89514720 | 77222161 |

---

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

**KEY MINING CORP.**

**CONDENSED CONSOLIDATED INTERIM STATEMENTs OF STOCKHOLDERS' EQUITY (unaudited)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Common Stock** | **Common Stock** | | | | |
|  | **Shares** | **Amount** | **Additional<br> Paid-In**<br>**Capital** | **Stock and<br> Warrants**<br>**to be Issued** | **Accumulated**<br>**Deficit** | **Total<br> Shareholders'**<br>**Equity** |
| Balance, December 31, 2023 | 77222388 | $77222 | $15867685 | $- | $(9825640) | $6119267 |
| Net loss | - | - | - | - | (1002848) | (1002848) |
| Balance, March 31, 2024 | 77222388 | $77222 | $15867685 | $- | $(10828488) | $5116419 |
| Net loss | - | - | - | - | (996567) | (996567) |
| Balance, June 30, 2024 | 77222388 | 77222 | $15867685 | $- | $(11825055) | $4119852 |
| Common stock and warrants to be issued for cash |  |  |  | 907083 |  | 907083 |
| Common stock and warrants to be issued for officers' and director's fees |  |  |  | 52500 |  | 52500 |
| Net loss | - | - | - | - | (1604179) | (1604179) |
| Balance, September 30, 2024 | 77222388 | $77222 | $15867685 | $959583 | $(13429234) | $3475256 |
| Balance, December 31, 2024 | 77222388 | $77222 | $15867685 | $1759497 | $(14223419) | $3480985 |
| Common stock and warrants to be issued for cash | 7730000 | 7730 | 1699267 | (1706997) |  |  |
| Common stock and warrants issued to officers and directors | 210000 | 210 | 52290 | (52500) |  |  |
| Common stock and warrants issued for cash | 4352000 | 4352 | 942208 |  |  | 946560 |
| Net loss | - | - | - | - | (608710) | (608710) |
| Balance, March 31, 2025 | 89514388 | $89514 | $18561450 | $- | $(14832129) | $3818835 |
| Net Loss | - | - | - | - | (379107) | (379107) |
| Balance, June 30, 2025 | 89514388 | 89514 | 18561450 |  | (15211236) | 3439728 |
| Net loss | - | - | - | - | (1090305) | (1090305) |
| Balance September 30, 2025 | 89514388 | $89514 | $18561450 | $- | $(16301540) | $2349424 |

---

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

**KEY MINING CORP.** 

**CONSENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS (unaudited)**

---

| | | |
|:---|:---|:---|
|  | Nine Months Ended | Nine Months Ended |
|  | September 30, <br>2025 | September 30,<br> 2024 |
| **CASH FLOWS FROM OPERATING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss | $(2078123) | $(3603594) |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 72533 | 65751 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of mineral interests | 386643 | 1113357 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange loss | (6845) | (5736) |
| &nbsp;&nbsp;&nbsp;Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Contingent receivable |  | 22600 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expense and deposits | 51309 | (7760) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vat receivable | (67524) | (48536) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | 89788 | 382375 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used by operating activities | (1552219) | (2081543) |
| **CASH FLOWS FROM INVESTING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition of property and equipment |  | (1869) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Redemption of certificate of deposit | - | 1000000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by investing activities | - | 998131 |
| **CASH FLOWS FROM FINANCING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of common stock and warrants, net of issuance costs | 946560 | 907083 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by financing activities | 946560 | 907083 |
| **EFFECT OF FOREIGN EXCHANGE ON CASH AND CASH EQUIVALENTS** | 6845 | 5736 |
| **DECREASE IN CASH AND CASH EQUIVALENTS** | (598814) | (170593) |
| **Cash, beginning of period** | 650969 | 752606 |
| **Cash, end of period** | $52155 | $582013 |
| **SUPPLEMENTAL CASH FLOW INFORMATION** |  |  |
| **Interest paid** | $- | $- |
| **Income taxes paid** | $- | - |
| **NON-CASH INVESTING AND FINANCING ACTIVITIES:** |  |  |
| **Warrants issued for placement agent fees (Note 4)** | $127975 | $- |

---

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

**NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS**

Key Mining Corp., ("KMC") along with its wholly owned subsidiaries Key Metals Corporation Chile SpA ("KM Chile") and Gold Express Mines, SpA ("GEM Chile") (collectively, the "Company") is a mining and exploration company for non-ferrous and precious metals, primarily gold, silver, lead, zinc, copper and titanium. KMC was incorporated on February 18, 2020 in Delaware under the name Tavros Gold Corp. On July 17, 2020, February 22, 2021, April 5, 2021 and August 8, 2023, the Company filed certificates of amendment to our certificate of incorporation with the Secretary of State of the State of Delaware changing our corporate name to TiO2 Minerals Corp., CopperEx Corp., Key Metals Corp. and Key Mining Corp. respectively.

**NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

The condensed consolidated interim financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States ("U.S. GAAP") and have been consistently applied in the preparation of the condensed consolidated interim financial statements. The Company has adopted a December 31 fiscal year end. These unaudited condensed consolidated interim financial statements do not include all of the disclosures required by generally accepted accounting principles in the United States of America for complete financial statements. These unaudited condensed consolidated interim financial statements should be read in conjunction with the Company's audited consolidated financial statements for the year ended December 31, 2024.

In the opinion of management, the unaudited condensed consolidated interim financial statements furnished herein include all adjustments, all of which are of a normal recurring nature, necessary for a fair statement of the results for the interim period presented. Operating results for the nine-month period ended September 30, 2025 are not necessarily indicative of the results that may be expected for the year ending December 31, 2025.

The consolidated financial statements include the Company and the following wholly owned subsidiaries:

&nbsp;&nbsp;&nbsp;&nbsp;● Key Metals Corporation
Chile SpA ("KM Chile") as of June 17, 2021

● Cerro Blanco Titanium, Inc. ("CBT") as of May 1, 2023

● Gold Express Mines
SpA ("GEM Chile"), subsidiary of CBT, as of May 1, 2023

All intercompany accounts and transactions have been eliminated.

Earnings (Losses) Per Share

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the year. Fully-diluted earnings (loss) per share is computed by dividing net income (loss) by the sum of the weighted-average number of common shares outstanding and the additional common shares that would have been outstanding if potential common shares had been issued. Potential common shares are not included in the computation of fully diluted earnings per share if their effect is antidilutive. At September 30, 2025 and 2024, the Company had 28,078,546 and 20,376,892 respectively, total warrants and stock options outstanding.

Cash and Cash Equivalents

Cash equivalents are comprised of certain highly liquid investments with maturities of three months or less when purchased. The Company maintains its cash in bank deposit accounts, which at times, may exceed federally insured limits. As of September 30, 2025 and December 31, 2024, the Company had approximately $0 and $340,965, respectively in excess of federally-insured limits.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Cash held in foreign bank accounts as of September 30, 2025 and December 31, 2024 was approximately $33,230 and $60,004.

Certificate of Deposit

Certificates of deposit are carried at amortized cost. As of December 31, 2023, the Company's certificate of deposit of $1,000,000 matured on March 21, 2024 and was cashed in on that date, the Company received approximately $25,405 of interest.

Going Concern

As shown in the accompanying financial statements, the Company has incurred cumulative operating losses since inception on February 18, 2020. As of September 30, 2025, the Company has limited financial resources with which to achieve its objectives and attain profitability and positive cash flows from operations. As shown in the accompanying balance sheets, the Company has an accumulated deficit of $16,301,540.

Achievement of the Company's objectives will depend on its ability to obtain additional financing to generate revenue from current and planned business operations.

The Company plans to fund its future operations by potential sales of its common stock or by issuing debt securities. However, there is no assurance that the Company will be able to achieve these objectives, therefore substantial doubt about its ability to continue as a going concern exists.

New Accounting Pronouncements

Accounting standards that have been issued or proposed by the Financial Accounting Standards Board ("FASB") that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures.

**NOTE 3 – MINERAL INTERESTS**

The Company's mineral interests at September 30, 2025 and December 31, 2024 are as follows:

---

| | | |
|:---|:---|:---|
|  | **September 30<br> 2025** | **December 31<br> 2024** |
| **Chile** |  |  |
| &nbsp;&nbsp;&nbsp;Cerro Blanco | $2216568 | $2216568 |
| &nbsp;&nbsp;&nbsp;Ivan | 100000 | 100000 |
| **US** |  |  |
| &nbsp;&nbsp;&nbsp;Bell Copper |  | 325000 |
| &nbsp;&nbsp;&nbsp;Soldier Creek |  | 61643 |
| &nbsp;&nbsp;&nbsp;Trout Creek |  |  |
| &nbsp;&nbsp;&nbsp;Crystal Mountain | 297066 | 297066 |
|  | $2613634 | $3000277 |

---

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Chilean Properties:

Cerro Blanco

On May 1, 2023, the Company purchased all the outstanding shares of Cerro Blanco Titanium, Inc, ("CBT") a Delaware corporation, for 17,500,000 shares of the Company's common stock with a fair value of $0.139 per share or $2,432,500 in total. CBT's assets included its 100% ownership of Gold Express SpA ("GEM Chile"), a Chilean company. The Company acquired CBT from Gold Express Mines, Inc. with which the Company has board directors in common. Directors of the Company collectively own approximately 11% of the outstanding shares of Gold Express Mines, Inc. on the date of the transaction. The transaction was deemed to be an asset acquisition under U.S. GAAP. Per ASC 805-10-55-5A, an asset acquisition is defined as substantially all of the fair value of the acquired asset is concentrated in a single asset or group of similar assets. The Company believes that the concentrated asset in the acquisition is the underlying mineral assets.".

The total consideration associated with acquisition has been provisionally allocated to the acquired net assets based on their estimated fair values on the acquisition date as follows:

---

| | |
|:---|:---|
| Cash | $42900 |
| Prepaid expense and deposits | 1507 |
| Prepaid expense – related party | 170850 |
| VAT credit receivable | 1347 |
| Mineral interests, including mineral and royalty rights | 2216568 |
| Accounts payable | (672) |
|  | $2432500 |

---

The fair value of the shares of common stock issued was based on the most recent sale of the Company common stock for cash. To calculate the fair value of a share of common stock separate from the warrant, the Company determined the fair value of the warrant using the Black Scholes model with the following inputs:

---

| | |
|:---|:---|
| Unit Price | $0.25 |
| Exercise Price | $0.45 |
| Term | 5 years |
| Volatility based on peer companies historical volatility | 152.6% |
| Risk-free interest rate | 3.27% |

---

Based on these inputs, each one-half warrants had an estimated fair value of $0.111. Each share of common stock was deemed to have an estimated fair value of $.25 less $0.111 or $0.139 per share.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Cerro Blanco mineral interests include 52 mining concessions in Chile. Upon acquiring CBT and the related mining concessions, the Company assumed obligations under an agreement with an unrelated third party associated with future activity including (i) the obligation to pay the third party a royalty of 2% of the NSR from minerals extracted from certain concessions; provided that half of such royalty may be repurchased from the third party for $1,950,000, (ii) the obligation to buy and use at certain concessions water produced from a desalination plant controlled by the third party, and (iii) the obligation to appoint an individual designated by the third party to an advisory committee associated with the Cerro Blanco project, for a monthly fee of $1,500.

Ivan

On February 9, 2023, the Company entered into an agreement to purchase two mineral concessions for exploration in the Exploradora District of Chile from Manquehue Asesoria Mineras SpA, a company owned by the President of the Company. The Company paid $100,000 for these concessions.

US Properties:

On August 23, 2022, the Company entered into an agreement to purchase 152 unpatented mining claims and assume an existing lease for an additional 54 unpatented mining claims from Gold Express Mines, Inc. with which the Company has board directors in common. Directors of the Company collectively own approximately 7% of the outstanding shares of Gold Express Mines, Inc. on the date of the transaction. The Company issued 6,000,000 shares of common stock with a fair value of $0.25 per share, for a total purchase price of $1,500,000. The following projects were acquired:

Soldier Creek Project

The Soldier Creek claims consist of 73 unpatented mining claims located in Tooele County, Utah. The property's primary focus is copper. The purchase price of $450,000 was allocated to these claims.

On August 31, 2024, the Company elected to dispose of 63 of these claims, by not paying maintenance fees on them. The Company retained 10 claims. As a result, a loss on disposal was recorded in the amount of $388,357.

On August 31, 2025, the Company elected to dispose the remaining 10 claims. As a result, a loss on disposal was recorded in the amount of $61,643.

Bell Copper Project

The Bell Copper Annex claims consist of 79 unpatented mining claims located in Mohave County, Arizona. These claims lie to the west of a new copper porphyry discovery made by Bell Copper. The purchase price of $650,000 was allocated to these claims.

On August 31, 2024, the Company elected to dispose of 69 of these claims, by not paying maintenance fees on them. The Company retained 10 claims. As a result, a loss on disposal was recorded in the amount of $325,000.

On August 31, 2025, the Company elected to dispose the remaining 10 claims. As a result, a loss on disposal was recorded in the amount of $325,000.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Trout Creek Project

The Trout Creek Project consists of 54 unpatented mining claims located in Sanders County, Montana. The claims cover the majority of the mineralized portions of the Revett Formation which outcrop in the north limb of the Trout Creek anticline, comprising deposits of copper and low-silver. The purchase price of $400,000 was allocated to these claims.

The Trout Creek mineral lease requires annual payments of $12,000 and annual maintenance fees beginning in 2023. The Company has a three-year drilling requirement, as defined in the lease agreement. The agreement also provides for a Net Smelter Royalty ("NSR"), on all development and production of ores and minerals extracted, milled and sold, if any. At the end of the five-year lease, the Company has the option to purchase the claims for $100,000. The NSR will remain in effect after the execution of this purchase option. The lessor and the Company have a director in common.

On August 31, 2024, the Company elected to dispose of this lease. As a result, a loss on disposal was recorded in the amount of $400,000.

Crystal Mountain

On August 21, 2023, the Company purchased the Crystal Mountain Colorado Pegmatite Project from Critical Minerals Corp., which is controlled by Sarah Cuddy, the wife of the President of the Company and Enrique Correa, the Company's Chilean Manager. The project consists of 64 unpatented mining claims located in the Fort Collins area in Larimer County, Colorado. The Company paid $182,500 in cash and granted the following options:

● 500,000 at an exercise price of $1.25 for a term of five years

● 500,000 at an exercise price of $2.50 for a term of five years

● 50,000 at an exercise price of $1.35 for a term of three years

● To calculate the fair value the options the Company determined the fair value using the Black Scholes model with the following inputs:

---

| | | | |
|:---|:---|:---|:---|
| Unit Price | $0.139 | 0.139 | 0.139 |
| Exercise Price | $1.25 | 2.50 | 1.35 |
| Term | 5 years | 5 years | 3 years |
| Volatility based on peer companies historical volatility | 162.14% | 162.14% | 122.06% |
| Risk-free interest rate | 4.4% | 4.4% | 4.63% |
| Estimated fair value per option | $.1156 | .1086 | .0494 |
| Fair value | $57800 | 54300 | 2470 |

---

The unit price was based on the most recent cash sale of the Company's common stock. See Cerro Blanco discussion above.

**NOTE 4 – STOCKHOLDERS' EQUITY**

Upon formation the authorized capital of the Company was 220,000,000 shares consisting of 200,000,000 shares of common stock, par value $0.001 and 20,000,000 shares of preferred stock, par value $0.001.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Preferred Stock

The Preferred stock may be issued, from time to time, in one or more series as determined by the Board of Directors. The designations, voting rights, amounts of preference upon distribution of assets, rates of dividends, premiums of redemption, conversion rights and other variations, if any, the qualifications, limitations or restrictions thereof, if any, of the Preferred Stock, and of each series thereof, are fixed by the Board of Directors in a resolution or resolutions adopted by the Board of Directors providing for the issue of such series of Preferred Stock.

At September 30, 2025 and September 30, 2024, there have been no series of Preferred Stock designated.

Common Stock

Each holder of Common Stock is entitled to one vote per share for matters submitted to a vote, and to receive dividends if and when declared, however, subject to any limitations contained in the features of the Preferred Stock. Upon liquidation or winding down of the Company, the holders of the Common Stock shall be entitled to receive all the remaining assets of the Company after distribution in full of the preferential amounts, if any, to be distributed to the holders of the Preferred Stock.

During the nine months ended September 30, 2025, the Company had the following equity transactions:

● Issued 7,730,000 common stock units previously recorded as "to be issued" at December 31, 2024;

● Issued 210,000 common stock units to officers' and directors' fees of $52,500 previously recorded as "to be issued" at December 31, 2024.

● Issued 4,352,000 common stock units for cash of 946,560 .

During the nine months ended September 30, 2024, the Company had the following equity transactions:

● Received $907,083 for 4,099,332 common stock units included in "to be issued"

● Recorded as "to be issued" $52,500 for 210,000 common stock units to Officers and Directors for services

2024 Private Placement:

On August 26, 2024, the Company had an offering (the "Private Placement") for sale of up to 10,000,000 additional shares of common stock at $0.25 per share, and one-half (1/2) of a five-year warrant ("Placement Warrants"). Each full Placement Warrant has the ability to purchase one share of Common Stock for a Placement Warrant exercise price of $0.45 per share of Common Stock, which was closed on January 10, 2025. A total of 12,082,332 units were sold and issued, for a total of $2,653,557, net of related fees and commissions. Additionally, 210,000 units were issued to officers' and directors' for services valued at $52,500.

The Company engaged an investment company ("Investment Company") who assisted the Company in arranging the Private Placement. The Company paid the Investment Company a 13% cash commission on the gross proceeds through December 31, 2024 in the amount of $195,585, plus a $25,000 placement fee, and a bank escrow fee of $5,000 from the proceeds of the first closing for a total of $225,585. In addition, at the date of the final closing, the Investment Company will be issued warrants to purchase 15% of the total number of common stock sold in the Offering. These warrants have an exercise price equal to the price at which Common Stock shares were sold in the Offering and expire ten years from their issuance. A total of 1,555,500 warrants were issued to the placement agent in April 2025, at which time, the deferred offering costs and warrant liability were moved to additional paid in capital resulting in a net zero change.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

Warrants

The following is a summary of stock purchase warrant activity for the nine months ended September 30, 2025 and year ended December 31, 2024:

---

| | | | |
|:---|:---|:---|:---|
|  | | Weighted Avg<br> Price | Weighted Avg<br> Life |
| December 31, 2023 | 14526880 | $0.47 | 5.76 |
| Issued for: |  |  |  |
| &nbsp;&nbsp;&nbsp;Private placement of units |  |  |  |
| &nbsp;&nbsp;&nbsp;Placement agent - commission |  |  |  |
| Exercised |  |  |  |
| Forfeited or Expired | - |  |  |
| December 31, 2024 | 14526880 | $0.41 | 4.83 |
| Issued for: |  |  |  |
| &nbsp;&nbsp;&nbsp;Private placement of units | 6146166 | 0.45 | 4.05 |
| &nbsp;&nbsp;&nbsp;Placement agent - commission | 1555500 | 0.25 | 9.57 |
| &nbsp;&nbsp;&nbsp;Exercised |  |  |  |
| Forfeited or Expired |  |  |  |
| September 30, 2025 | 22228546 | $.42 | 4.48 |

---

The outstanding warrants had no intrinsic value at September 30, 2025 and December 31, 2024.

Stock Options

The Company did not issue any options during the period ended September 30, 2025 or the year ended December 31, 2024.

The following is a summary of stock option activity for the nine months ended September 30, 2025 and year ended December 31, 2024:

---

| | | | |
|:---|:---|:---|:---|
|  | **Issued** | **Weighted Avg<br> Price** | **Weighted Avg<br> Life (in years)** |
| Outstanding December 31, 2023 | 5850000 | $0.58 | 4.69 |
| Granted |  |  |  |
| Exercised |  |  |  |
| Forfeited or expired | - |  |  |
| Outstanding December 31, 2024 | 5850000 | 0.58 | 3.69 |
| Granted |  |  |  |
| Exercised |  |  |  |
| Forfeited or expired |  |  |  |
| Vested and exercisable at September 30, 2025 | 5850000 | $0.58 | 2.94 |

---

The options have no intrinsic value as of September 30, 2025 and December 31, 2024.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

**NOTE 5 – RELATED PARTY TRANSACTIONS**

In addition to transactions disclosed in Note 3, the Company has the following additional related party transactions.

For the nine months ended September 30, 2025 and 2024, the Company recognized directors' fees and officers' fees expense as follows.

---

| | | |
|:---|:---|:---|
|  | **September 30,** | **September 30,** |
|  | **2025** | **2024** |
| Paid in cash or accrued | $374521 | $423000 |
|  | $374521 | $423000 |

---

The Company's board of directors established director fees and officer compensation as follows:

● Each director that is not an officer and the Vice President of Corporate Affairs/Corporate Secretary of the Company: $2,500 to $5,000 per month,

● President of the Company: $180,000 per year, and

● Chief Financial Officer $7,500 per month. (This role has not been filled since 10/2024)

● General Manager of KM Chile: $144,000 per year.

As of September 30, 2025, the Company has no separate employment nor severance agreements with any officers or directors.

On July 16, 2020, the Company received $1,237 from an officer and director, this amount is recorded as an accrued liability at December 31, 2023. This amount was paid on January 24, 2024.

During the three months ended September 30, 2025 and 2024, KM Chile and GEM Chile recognized legal expense of $15,260 and $8,717, respectively from Chile Inc, a company owned by a relative of the Company's President. During the nine months ended September 30, 2025 and 2024, KM Chile and GEM Chile recognized legal expense of $45,187 and $47,544, respectively. In addition, during the nine months ended September 30, 2025 and 2024, the Company entered into an agreement with Chile Inc. whereby Chile Inc. would receive a success fee equal to 15% of any savings it was able to achieve on the reduction of the annual mining licensing fees in Chile. Pursuant to this agreement, Chile Inc. was paid US $35,270 and $157,298 during the nine months ended September 30, 2025 and 2024, respectively.

During the three months ended September 30, 2025 and 2024, the Company recognized $30,000 and $25,000, respectively for consulting fees to the wife of the Company's president. During the nine months ended September 30, 2025 and 2024, the Company recognized $90,000 and $85,000, respectively.

**KEY MINING CORP.**

**NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS** 

**September 30, 2025 and 2024**

**(unaudited)**

During the three months ended September 30, 2025 and 2024, the Company recognized accounting fees of $11,250 and $22,200, respectively to a company owned by the President. During the nine months ended September 30, 2025 and 2024, the Company recognized accounting fees of $33,750 and $51,100, respectively.

**NOTE 6 – SUBSEQUENT EVENTS**

On January 6, 2026, the Company signed a Business Combination Agreement with Compass Digital Acquisition Corp.

On December 31, 2025, the Company signed an Asset Purchase Agreement for fifty-two unpatented mining claims known as the Fire Mining Claims located in Arizona. Per the terms of the agreement the Company recorded 2,000,000 shares of common stock as "to be issued" valued at $500,000.

In December 2025, the Company received $210,600 in cash for 1,404,001 shares of common stock recorded as "to be issued".

On November 30, 2025, the Company recorded 200,000 shares of common stock, recorded as "to be issued, for $50,000 to Chile Inc for the reduction of the annual mining license fees in Chile for 2026.

In accordance with ASC 855, "Subsequent Events," the Company has analyzed its operations subsequent to January 13, 2026, the date these financial statements were issued, and has determined that it does not have any material subsequent event to disclose in these financial statements other than the above**.**

![](audit_001.jpg)

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

To the Board of Directors and Stockholders of Key Mining Corp.

**Opinion on the Financial Statements**

We have audited the accompanying consolidated balance sheets of Key Mining Corp. ("the Company") as of December 31, 2024, and 2023, and the related consolidated statements of operations, stockholders' equity, and cash flows for each of the two years in the period ended December 31, 2024, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024, and 2023, and the results of its operations and its cash flows for each of the two years in the period ended December 31, 2024, in conformity with accounting principles generally accepted in the United States of America.

**Going Concern**

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 2 to the financial statements, the Company has an accumulated deficit, net losses, and negative cash flows from operations. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 2. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

**Basis for Opinion**

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB and in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

**Critical Audit Matters**

The critical audit matters communicated below are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate.

***Mineral Interests (Note 4 to the financial statements)***

*Description of the Critical Audit Matter* 

The Company initially capitalizes direct costs for acquiring mineral rights as tangible assets. This includes costs for patented and unpatented mining claims. The Company currently expenses all mineral exploration costs as they are incurred, reflecting its ongoing exploration stage. Interest expenses related to developing mining properties and constructing facilities are capitalized until the assets are ready for use. The evaluation of mineral interests for impairment involves significant judgments and estimates, particularly in assessing whether indicators of impairment exist and in determining the recoverability of the carrying value.

*How the Critical Audit Matter Was Addressed in the Audit*

Our principal audit procedures to evaluate management's calculation and recording of mineral interests and impairment of mineral interests included the following:

● We evaluated the appropriateness and consistency of management's methods and assumptions used in the identification, recognition, and measurement of the Company's mineral interests.

● We performed an analysis of management's estimates including the relevance and reliability of inputs in the estimate both at the inception of asset acquisition and at the point of impairment.

![](audit_002.jpg)

Fruci & Associates II, PLLC – PCAOB ID #05525

We have served as the Company's auditor since 2024.

Spokane, Washington

April 30, 2025

**KEY MINING CORP.** 

**CONSOLIDATED BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | December 31<br>2024 | December 31<br>2023 |
| **ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;**CURRENT ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $650969 | $752606 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certificate of deposit |  | 1000000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposits and prepaids | 161552 | 192214 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred offering costs | 122789 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivable | - | 22600 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Assets | 935310 | 1967420 |
| &nbsp;&nbsp;&nbsp;**FIXED ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | 125130 | 208943 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Fixed Assets | 125130 | 208943 |
| &nbsp;&nbsp;&nbsp;**OTHER ASSETS** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mineral interests | 3000277 | 4113634 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vat receivable | 381459 | 312518 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Other Assets | 3381736 | 4426152 |
| &nbsp;&nbsp;&nbsp;**TOTAL ASSETS** | $4442176 | $6602515 |
| **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
| &nbsp;&nbsp;&nbsp;**CURRENT LIABILITIES** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | $838402 | $483248 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Warrant liability | 122789 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Liabilities | 961191 | 483248 |
| &nbsp;&nbsp;&nbsp;**TOTAL LIABILITIES** | 961191 | 483248 |
| &nbsp;&nbsp;&nbsp;**COMMITMENTS AND CONTINGENCIES (NOTES 3 and 4)** |  |  |
| &nbsp;&nbsp;&nbsp;**STOCKHOLDERS' EQUITY** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred stock, $0.001 par value, 20,000,000 shares authorized, none issued and outstanding |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common stock, $0.001 par value, 200,000,000 shares authorized; 77,222,388 and 77,222,388 shares issued and outstanding | 77222 | 77222 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 15867685 | 15867685 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock to be issued | 1759497 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (14223419) | (9825640) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Stockholders' Equity | 3480985 | 6119267 |
| &nbsp;&nbsp;&nbsp;**TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY** | $4442176 | $6602515 |

---

The accompanying notes are an integral part of these consolidated financial statements.

**KEY MINING CORP.** 

**CONSOLIDATED STATEMENTS OF OPERATIONS** 

---

| | | |
|:---|:---|:---|
|  | Year Ended | Year Ended |
|  | December 31, 2024 | December 31, 2023 |
| **REVENUES** | $- | $- |
| **OPERATING EXPENSES** |  |  |
| &nbsp;&nbsp;&nbsp;Exploration expense | 1091400 | 2560764 |
| &nbsp;&nbsp;&nbsp;Professional fees | 860108 | 1237073 |
| &nbsp;&nbsp;&nbsp;Officers' and directors' fees | 553500 | 550658 |
| &nbsp;&nbsp;&nbsp;Travel | 141011 | 435953 |
| &nbsp;&nbsp;&nbsp;General and administrative | 570000 | 318003 |
| &nbsp;&nbsp;&nbsp;Depreciation | 93298 | 21414 |
| &nbsp;&nbsp;&nbsp;Bad debt | 10664 | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**TOTAL OPERATING EXPENSES** | 3319981 | 5123865 |
| **LOSS FROM OPERATIONS** | (3319981) | (5123865) |
| **OTHER INCOME (EXPENSES)** |  |  |
| &nbsp;&nbsp;&nbsp;Interest income | 28987 | 1320 |
| &nbsp;&nbsp;&nbsp;Exchange gain (loss) | 6572 | (32654) |
| &nbsp;&nbsp;&nbsp;Impairment of mineral interest |  | (375000) |
| &nbsp;&nbsp;&nbsp;Loss on disposal of mineral interest | (1113357) | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**TOTAL OTHER INCOME (EXPENSES)** | (1077798) | (406334) |
| **LOSS BEFORE TAXES** | (4397779) | (5530199) |
| **INCOME TAXES** | - | - |
| **NET LOSS** | $(4397779) | $(5530199) |
| &nbsp;&nbsp;&nbsp;NET LOSS PER COMMON SHARE, |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BASIC AND DILUTED | $(0.06) | $(0.08) |
| &nbsp;&nbsp;&nbsp;WEIGHTED AVERAGE NUMBER OF |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;COMMON STOCK SHARES |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OUTSTANDING, BASIC AND DILUTED | 77222388 | 65502181 |

---

The accompanying notes are an integral part of these consolidated financial statements.

**KEY MINING CORP.**

**CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | Common Stock | Common Stock | | | | |
|  | Shares | Amount | Additional Paid-in<br>Capital | Stock to be<br>Issued | Accumulated<br>Deficit | Total Stockholders'<br>Equity |
| Balance, December 31, 2022 | 39380400 | $39379 | $7687008 | $198250 | $(4295441) | $3629196 |
| Common stock issued for cash at $0.25 per share | 10000 | 10 | 2490 | (2500) |  |  |
| Common stock units issued for cash at $0.25 | 12600000 | 12600 | 2727900 | (195750) |  | 2544750 |
| Common stock issued for acquisition of company | 17500000 | 17500 | 2415000 |  |  | 2432500 |
| Common stock issued doe to exercise of warrants, net of issuance costs | 6755760 | 6757 | 2729243 |  |  | 2736000 |
| Common stock to be issued for services | 976228 | 976 | 134720 |  |  | 135696 |
| Stock options issued for mineral interest |  |  | 114566 |  |  | 114566 |
| Stock based compensation |  |  | 56758 |  |  | 56758 |
| Net loss |  |  |  |  | (5530199) | (5530199) |
| Balance, December 31, 2023 | 77222388 | 77222 | 15867685 |  | (9825640) | 6119267 |
| Common stock units to be issued for cash at $0.25 |  |  |  | 1706997 |  | 1706997 |
| Common stock units to be issued for officers' and directors' fees |  |  |  | 52500 |  | 52500 |
| Net loss | - | - | - | - | (4397779) | (4397779) |
| Balance, December 31, 2024 | 77222388 | 77222 | 15867685 | 1759497 | (14223419) | 3480985 |

---

The accompanying notes are an integral part of these consolidated financial statements.

**KEY MINING CORP.** 

**CONSOLIDATED STATEMENTS OF CASH FLOWS**

---

| | | |
|:---|:---|:---|
|  | Year Ended | Year Ended |
|  | December 31, <br>2024 | December 31,<br> 2023 |
| **CASH FLOWS FROM OPERATING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss | $(4397779) | $(5530199) |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of mineral interest | 1113357 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of mineral interest |  | 375000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 93298 | 21414 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock based compensation |  | 56758 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common stock units to be issued for officers' and directors' fees |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bad debt | 10664 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized foreign exchange loss | 4426 | 1768 |
| &nbsp;&nbsp;&nbsp;Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expense and deposits | 30661 | 127515 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vat receivable | (68941) | (285662) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other receivable | 11936 | (22600) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities | 407653 | 418586 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used by operating activities | (2794725) | (4837420) |
| **CASH FLOWS FROM INVESTING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition of mineral interests |  | (457500) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition of property and equipment | (9484) | (171039) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchase of certificate of deposit |  | (1000000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Redemption of certificate of deposit | 1000000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash received in acquisition of company (Note 4) | - | 42900 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided/(used) by investing activities | 990516 | (1585639) |
| **CASH FLOWS FROM FINANCING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of common stock and warrants, net of issuance costs |  | 2566500 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of common stock units to be issued | 1706997 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from the exercise of warrants, net of cash issuance costs | - | 2736000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by financing activities | 1706997 | 5302500 |
| **EFFECT OF FOREIGN EXCHANGE ON CASH AND CASH EQUIVALENTS** | (4426) | (1766) |
| **INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS** | (101637) | (1122325) |
| **Cash, beginning of year** | 752606 | 1874931 |
| **Cash, end of year** | $650969 | $752606 |
| **SUPPLEMENTAL CASH FLOW INFORMATION** |  |  |
| **Interest paid** | - | - |
| **Income taxes paid** | - | - |
| **NON-CASH INVESTING AND FINANCING ACTIVITIES:** |  |  |
| **Common stock issued for accounts payable** | $52500 | $- |
| Common stock issued for acquisition of company (Note 4) | $- | $2432500 |
| Stock issuance costs paid with inducement warrants (Note 5) | $— | $706852 |
| Stock options issued for prepaid expense (Note 5) | $— | $135696 |
| Stock options issued for mineral interests | $- | $114566 |

---

The accompanying notes are an integral part of these consolidated financial statements.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

**NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS**

DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

Key Mining Corp., ("KMC") along with its wholly owned subsidiaries Key Metals Corporation Chile SpA ("KM Chile") and Gold Express Mines, SpA ("GEM Chile") (collectively, the "Company") is a mining and exploration company for non-ferrous and precious metals, primarily gold, silver, lead, zinc, copper and titanium. KMC was incorporated on February 18, 2020 in Delaware under the name Tavros Gold Corp. On July 17, 2020, February 22, 2021, April 5, 2021 and August 8, 2023, the Company filed certificates of amendment to our certificate of incorporation with the Secretary of State of the State of Delaware changing our corporate name to TiO2 Minerals Corp., CopperEx Corp., Key Metals Corp. and Key Mining Corp. respectively.

**NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

This summary of significant accounting policies of Key Mining Corp. is presented to assist in understanding the Company's consolidated financial statements. The consolidated financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States ("U.S. GAAP") and have been consistently applied in the preparation of the consolidated financial statements. The Company has adopted a December 31 fiscal year end.

On January 24, 2024 the Company effected a one-for-four reverse stock split of the Company's common stock. The reverse stock split became effective on January 24, 2024. The par value and authorized shares of common stock and convertible preferred stock were not adjusted as a result of the stock split. All share and per share amounts in the financial statements and notes have been retroactively adjusted for all periods presented to give effect to this stock split, including reclassifying an amount equal to the increase in par value of common stock from additional paid-in capital.

On September 20, 2024 the Company effected a four-for-one stock split of the Company's common stock. The stock split became effective on September 20, 2024. The par value and authorized shares of common stock and convertible preferred stock were not adjusted as a result of the reverse stock split. All share and per share amounts in the financial statements and notes have been retroactively adjusted for all periods presented to give effect to this reverse stock split, including reclassifying an amount equal to the reduction in par value of common stock to additional paid-in capital.

Consolidation

The consolidated financial statements incorporate the financial statements of KMC and its wholly owned subsidiaries:

● Key Metals Corporation Chile SpA ("KM Chile") as of June 17, 2021

● Cerro Blanco Titanium, Inc. ("CBT") as of May 1, 2023

● Gold Express Mines SpA ("GEM Chile"), subsidiary of CBT, as of May 1, 2023

All intercompany accounts and transactions have been eliminated.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Earnings (Losses) Per Share

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the year. Fully-diluted earnings (loss) per share is computed by dividing net income (loss) by the sum of the weighted-average number of common shares outstanding and the additional common shares that would have been outstanding if potential common shares had been issued. Potential common shares are not included in the computation of fully diluted earnings per share if their effect is antidilutive. At December 31, 2024 and December 31, 2023, the Company had 24,347,046 and 20,376,880, respectively, total warrants and stock options outstanding that can potentially be dilutive.

Cash and Cash Equivalents

Cash equivalents are comprised of certain highly liquid investments with maturities of three months or less when purchased. The Company maintains its cash in bank deposit accounts, which at times, may exceed federally insured limits. As of December 31, 2024 and December 31, 2023, the Company had approximately $340,965 and $1,205,872, respectively in excess of federally-insured limits.

Cash held in foreign bank accounts as of December 31, 2024 and December 31, 2023 was approximately $60,004 and $46,734.

Certificate of Deposit

Certificates of deposit are carried at amortized cost. As of December 31, 2023, the Company's certificate of deposit of $1,000,000 matured on March 21, 2024 and was cashed in on that date.

Estimates

The preparation of financial statements in accordance with U.S. GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities known to exist as of the date the financial statements are published, and the reported amounts of revenues and expenses during the reporting period. Uncertainties with respect to such estimates and assumptions are inherent in the preparation of the Company's consolidated financial statements; accordingly, it is possible that the actual results could differ from these estimates and assumptions and could have a material effect on the reported amounts of the Company's financial position and results of operations. Significant estimates and assumptions underlying these consolidated financial statements include estimates in the calculation of stock-based compensation, impairment for long lived assets, and valuation allowances on the deferred tax assets.

Fair Value of Financial Instruments

The Company's financial instruments include cash. All instruments are accounted for on a historical cost basis, which, due to the short maturity of these financial instruments, approximates fair value at December 31, 2024 and December 31, 2023.

The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. In addition, the fair value of liabilities should include consideration of non-performance risk, including the party's own credit risk. Fair value measurements do not include transaction costs. A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:

Level 1. Observable inputs such as quoted prices in active markets;

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and

Level 3. Unobservable inputs in which there is little of no market data, which require the reporting entity to develop its own assumptions.

The Company did not have any assets or liabilities measured at fair value on a recurring basis at December 31, 2024 and December 31, 2023.

Functional Currency

Items included in the financial statements of each of the Company and its subsidiary are measured using the currency of the primary economic environment in which the entity operates ("the functional currency"). The functional and reporting currency of the Company and its subsidiaries, KM Chile, GEM Chile and CBT, is the U.S. Dollar ("USD" or "$"). All amounts in these consolidated financial statements are in USD, unless otherwise stated.

Transactions in currencies other than the entity's functional currency are recorded at the exchange rate prevailing at the dates of the transactions. Monetary assets and liabilities are translated using the period end foreign exchange rate. Non-monetary assets and liabilities are translated using the historical rate. All gains and losses on translation of these foreign currency transactions are included in the consolidated statements of operations.

Mineral Interests

Mineral interests consist of the legal right to explore, extract, and retain at least a portion of the benefits from mineral deposits. Mining assets include mineral rights which are considered tangible assets under which are required to be recognized at fair value as of the acquisition date. As a result, the direct costs to acquire mineral rights are initially capitalized as tangible assets. Mineral rights include costs associated with acquiring patented and unpatented mining claims.

The Company expenses all mineral exploration costs as incurred as it is still in the exploration stage. If the Company identifies proven and probable reserves in its investigation of its properties and upon development of a plan for operating a mine, it would enter the development stage and capitalize future costs until production is established. When a property reaches the production stage, the related capitalized costs are amortized on a units-of-production basis over the proven and probable reserves following the commencement of production. Interest expense allocable to the cost of developing mining properties and to construct new facilities is capitalized until assets are ready for their intended use.

To date, the Company has not established the commercial feasibility of any exploration prospects; therefore, all exploration costs are being expensed.

Property and Equipment

The Company records its property and equipment at historical cost. The Company expenses maintenance and repairs as incurred. Upon disposition of fixed assets, the gross cost and accumulated depreciation are written off and the difference between the proceeds and the net book value is recorded as a gain or loss on sale of assets. The Company depreciates its fixed assets over their respective estimated useful lives ranging from three to fifteen years.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Impairment of Long-lived Assets

We review and evaluate the net carrying value of long-lived assets for impairment upon the occurrence of events or changes in circumstances that indicate that the related carrying amounts may not be recoverable.

For purposes of evaluating the recoverability of buildings and equipment, the recoverability test is performed using undiscounted net cash flows related to the assets or asset group. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets or asset group.

For purposes of evaluating the recoverability of mineral interests, this would include events and circumstances such as our inability to obtain all the necessary permits, changes in the legal status of our mineral properties, government actions, the results of exploration activities and technical evaluations and changes in economic conditions, including the price of commodities or input prices. Such evaluations compare estimated future net cash flows with our carrying costs and future obligations on an undiscounted basis.

If it is determined that the estimated future undiscounted cash flows are less than the carrying value of the long-lived asset, an impairment loss will be recorded. Where estimates of future net cash flows are not determinable and where other conditions indicate the potential for impairment, management uses available market information and/or third-party valuation experts to assess if the carrying value can be recovered and to estimate fair value.

Leases

Contracts that meet the definition of a lease are classified as operating or financing leases and are recorded on the balance sheet as both a right-of-use asset and lease liability, calculated by discounting fixed lease payments over the lease term at the rate implicit in the lease or the Company's incremental borrowing rate. Lease liabilities are increased by interest and reduced by payments each period, and the right-of-use asset is amortized over the lease term. For operating leases, interest on the lease liability and the amortization of the right-of-use asset result in straight-line rent expense over the lease term. Variable lease expenses are recorded when incurred. The Company is utilizing practical expedient for leases with a term of 12 months or less. Mineral leases are excluded from this treatment

Going Concern

As shown in the accompanying financial statements, the Company has incurred cumulative operating losses since inception on February 18, 2020. As of December 31, 2024, the Company has limited financial resources with which to achieve its objectives and attain profitability and positive cash flows from operations. As shown in the accompanying balance sheets, the Company has an accumulated deficit of $14,223,419.

Achievement of the Company's objectives will depend on its ability to obtain additional financing to generate revenue from current and planned business operations.

The Company plans to fund its future operations by potential sales of its common stock or by issuing debt securities. However, there is no assurance that the Company will be able to achieve these objectives, therefore substantial doubt about its ability to continue as a going concern exists.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Provision for Taxes

Income taxes are provided based upon the liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carry forwards, and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all-of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of the changes in tax laws and rates of the date of enactment.

The Company records uncertain tax positions on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. The Company is not aware of uncertain tax positions at December 31, 2024 and December 31, 2023.

The Company recognizes interest and penalties related to unrecognized tax benefits on the income tax expense line in the accompanying consolidated statement of operations. Accrued interest and penalties are included on the related tax liability line in the consolidated balance sheet, there were no interest and penalties expenses or accrued interest and penalties for the year ended December 31, 2024 and December 31, 2023.

Stock Based Compensation

Stock based compensation arrangements are accounted for at fair value on the date of grant. For awards with graded vesting, the fair value of each tranche is measured separately and recognized over its respective vesting period on a straight line basis. The Company recognizes forfeitures as they occur.

The fair value of stock options is determined using a Black-Scholes valuation model. Option pricing models require the input of subjective assumptions including the length of time employees will retain their vested stock options before exercising them, expected share price volatility, and interest rate. Changes in the input assumptions can materially affect the fair value estimate and the Company's net loss.

The fair value of other share-based awards is based on the valuation of the common stock on the date of grant. The fair value of time-based awards that are ultimately expected to vest is recognized as an expense on a straight-line basis over the requisite service period.

Asset Retirement Obligations and Remediation Costs

Mineral properties are subject to standards for mine reclamation that have been established by various governmental agencies. Asset retirement obligations are related to the retirement of the mine, if a reasonable estimate of fair value can be determined. These obligations are initially measured at fair value with the resulting cost capitalized at the present value of estimated reclamation costs. An asset and a related liability are recorded for the present value of these costs. The liability is accreted and the asset amortized over the life of the related asset. Adjustments are made for changes resulting from either the timing or amount of the original present value estimate underlying the obligation. If there is an impairment to an asset's carrying value and a decision is made to permanently close the property, changes to the liability are recognized and charged to the provision for closed operations and environmental matters. The Company had no asset retirement obligations or accrued remediation costs as of December 31, 2024 and 2023.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Current Expected Credit Loss (CECL)

Under CECL, the allowance for credit losses is an estimate of the expected credit losses on financial assets measured at amortized cost, which is measured using relevant information about past events, including historical credit loss experience on financial assets with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the financial assets. An allowance will be created upon the origination or acquisition of a financial asset measured at amortized cost. The allowance will then be updated at subsequent reporting dates. The allowance for credit losses under CECL is a valuation account, measured as the difference between the financial assets' amortized cost basis and the amount expected to be collected on the financial assets (i.e., lifetime credit losses). The Company performed the CECL analysis on its other receivable and VAT receivable and the Company determined that the adoption of CECL did not have a material impact on the financial statements and no material credit loss allowance existed as of December 31, 2024 and 2023.

Segment Reporting

The Company has not yet begun generating revenue from its planned principal operation and operates as a single reportable segment. The principal executive officer of the Company is the chief operating decision maker who assesses performance based combined net income from operations.

New Accounting Pronouncements

During the year ended December 31, 2024, the Company adopted Accounting Standards Update ("ASU") ASU 2023-07, Segment Reporting (Topic 280) Improvements to Reportable Segment Disclosures. The update improves the disclosures about a public entity's reportable segments. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024.

Accounting standards that have been issued or proposed by the Financial Accounting Standards Board ("FASB") that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures.

**NOTE 3 – MINING EXPLORATION AGREEMENT**

On August 20, 2021, the Company, through its subsidiary, entered into a Mining Exploration Agreement and Promise to Incorporate a Company ("SQM Agreement") with Sociedad Quimicay Mineral De Chile S.A. ("SQM). Pursuant to the SQM Agreement, the Company has the right to perform exploration work on the copper mining rights owned by SQM in the Fiel Rosita District of Chile, comprising approximately 37,755 hectares. The term of the SQM Agreement is six years, subject to earn-in requirements as well as non-reimbursable minimum exploration expense, both detailed below. The Company is required to provide a feasibility study for the project to SQM after which the Company and SQM will agree to move ahead in an 80/20 partnership towards development and construction of the project. Lease payments for the property are outlined below:

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

On June 23, 2023, the SQM Agreement was amended to change the dates of the minimum exploration expenditures, which were previously August 31, to December 31 of each year, and to change to final installment payment to December 31, 2027. Lease payments for the property are outlined below, reflecting the amendment:

On December 28, 2023, the SQM Agreement was amended to change the date of the minimum exploration expenditure, which was previously August 31, 2022 to December 31, 2023, to August 31, 2022 to July 31, 2024 in consideration of payment of $200,000. Lease payments for the property are outlined below, reflecting the amendment:

**Annual payments to SQM**

SCHEDULE OF ANNUAL LEASE PAYMENTS

---

| | |
|:---|:---|
| Date Due | Amount |
| Initial payment August 20, 2021 (paid August 20, 2021) | $75000 |
| August 30, 2022 (paid August 30, 2022) | 125000 |
| August 30, 2023 (paid August 25, 2023) | 175000 |
| August 30, 2024 | 500000 |
| August 30, 2025 | 1000000 |
| August 30, 2026 | 2000000 |
| August 30, 2027 | 6125000 |
| Total | $10000000 |

---

Required minimum work commitments on or prior to each anniversary date are as follows:

**Minimum exploration expenditures**

---

| | |
|:---|:---|
| Date Due | Amount |
| From Aug 30, 2021 to Aug 30, 2022 | 325281 |
| From Aug 31, 2022 to July 31, 2024 | 2174719 |
| From January 1, 2024 to December 31, 2024 | 3000000 |
| From January 1, 2025 to December 31, 2025 | 4000000 |
| From January 1, 2026 to December 31, 2026 | 5000000 |
| From January 1, 2027 to December 31, 2027 | 5500000 |
| Total | $20000000 |

---

Any exploration expenses incurred by KMC in excess of the minimum exploration expense during a given period shall be carried over to the next period, except an excess overall will not be reimbursable to KMC. If KMC falls short of the minimum exploration expense during a given period, it may directly pay the difference to SQM within thirty calendar days of the end of the corresponding period, or it may, only once, increase the minimum exploration expense for the following period. The Company did not meet the minimum exploration expense spending through August 31, 2022 and has elected to increase the minimum exploration expense for the following period.

On April 30, 2024, pursuant to the SQM Exploration Agreement, KM Chile delivered a termination notice to SQM. As a result, all KM Chile's and SQM's obligations under the SQM Agreement terminated. The Company recorded an impairment charge of $375,000 during the year ended December 31, 2023 and there is no carrying value of the Fiel Rosita asset as at December 31, 2024 or 2023.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

**NOTE 4 – MINERAL INTERESTS**

The Company's mineral interests at December 31, 2024 and December 31, 2023 are as follows:

---

| | | |
|:---|:---|:---|
|  | December 31<br> 2024 | December 31<br> 2023 |
| **Chile** |  |  |
| &nbsp;&nbsp;&nbsp;Cerro Blanco | $2216568 | $2216568 |
| &nbsp;&nbsp;&nbsp;Fiel Rosita (see Note 3) |  |  |
| &nbsp;&nbsp;&nbsp;Ivan | 100000 | 100000 |
| **US** |  |  |
| &nbsp;&nbsp;&nbsp;Bell Copper | 325000 | 650000 |
| &nbsp;&nbsp;&nbsp;Soldier Creek | 61643 | 450000 |
| &nbsp;&nbsp;&nbsp;Trout Creek |  | 400000 |
| &nbsp;&nbsp;&nbsp;Crystal Mountain | 297066 | 297066 |
|  | $3000277 | $4113634 |

---

<u>Chilean Properties</u>:

Cerro Blanco

On May 1, 2023, the Company purchased all the outstanding shares of Cerro Blanco Titanium, Inc, ("CBT") a Delaware corporation, for 17,500,000 shares of the Company's common stock with a fair value of $0.139 per share or $2,432,500 in total. CBT's assets included its 100% ownership of Gold Express SpA ("GEM Chile"), a Chilean company. The Company acquired CBT from Gold Express Mines, Inc. with which the Company has board directors in common. Directors of the Company collectively own approximately 11% of the outstanding shares of Gold Express Mines, Inc. on the date of the transaction. The transaction was deemed to be an asset acquisition under U.S. GAAP. Per ASC 805-10-55-5A, an asset acquisition is defined as substantially all of the fair value of the acquired asset is concentrated in a single asset or group of similar assets. The Company believes that the concentrated asset in the acquisition is the underlying mineral assets.".

The total consideration associated with acquisition has been provisionally allocated to the acquired net assets based on their estimated fair values on the acquisition date as follows:

---

| | |
|:---|:---|
| Cash | $42900 |
| Prepaid expense and deposits | 1507 |
| Prepaid expense – related party | 170850 |
| VAT credit receivable | 1347 |
| Mineral interests, including mineral and royalty rights | 2216568 |
| Accounts payable | (672) |
|  | $2432500 |

---

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

The fair value of the shares of common stock issued was based on the most recent sale of the Company common stock for cash. In 2023, the Company sold units consisting of one share of common stock and one-half warrant to purchase common stock for $0.25 per unit. See "Private Placement" in Note 5. To calculate the fair value of a share of common stock separate from the warrant, the Company determined the fair value of the warrant using the Black Scholes model with the following inputs:

---

| | |
|:---|:---|
| Unit Price | $0.25 |
| Exercise Price | $0.45 |
| Term | 5 years |
| Volatility based on peer companies historical volatility | 152.6% |
| Risk-free interest rate | 3.27% |

---

Based on these inputs, each one-half warrants had an estimated fair value of $0.111. Each share of common stock was deemed to have an estimated fair value of $.025 less $0.111 or $0.139 per share.

Cerro Blanco mineral interests include 52 mining concessions in Chile. Upon acquiring CBT and the related mining concessions, the Company assumed obligations under an agreement with an unrelated third party associated with future activity including (i) the obligation to pay the third party a royalty of 2% of the NSR from minerals extracted from certain concessions; provided that half of such royalty may be repurchased from the third party for $1,950,000, (ii) the obligation to buy and use at certain concessions water produced from a desalination plant controlled by the third party, and (iii) the obligation to appoint an individual designated by the third party to an advisory committee associated with the Cerro Blanco project, for a monthly fee of $1,500.

Ivan

On February 9, 2023, the Company entered into an agreement to purchase two mineral concessions for exploration in the Exploradora District of Chile from Manquehue Asesoria Mineras SpA, a company owned by the President of the Company. The Company paid $100,000 for these concessions.

<u>US Properties</u>:

On August 23, 2022, the Company entered into an agreement to purchase 152 unpatented mining claims and assume an existing lease for an additional 54 unpatented mining claims from Gold Express Mines, Inc. with which the Company has board directors in common. Directors of the Company collectively own approximately 7% of the outstanding shares of Gold Express Mines, Inc. on the date of the transaction. The Company issued 6,000,000 shares of common stock with a fair value of $0.25 per share, for a total purchase price of $1,500,000. The following projects were acquired:

Soldier Creek Project

The Soldier Creek claims consist of 73 unpatented mining claims located in Tooele County, Utah. The property's primary focus is copper. The purchase price of $450,000 was allocated to these claims.

On August 31, 2024, the Company elected to dispose of 63 of these claims, by not paying maintenance fees on them. The Company retained 10 claims. As a result, a loss on disposal was recorded in the amount of $388,357.00

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Bell Copper Project

The Bell Copper Annex claims consist of 79 unpatented mining claims located in Mohave County, Arizona. These claims lie to the west of a new copper porphyry discovery made by Bell Copper. The purchase price of $650,000 was allocated to these claims.

On August 31, 2024, the Company elected to dispose of 69 of these claims, by not paying maintenance fees on them. The Company retained 10 claims. As a result, a loss on disposal was recorded in the amount of $325,000.

Trout Creek Project

The Trout Creek Project consists of 54 unpatented mining claims located in Sanders County, Montana. The claims cover the majority of the mineralized portions of the Revett Formation which outcrop in the north limb of the Trout Creek anticline, comprising deposits of copper and low-silver. The purchase price of $400,000 was allocated to these claims.

The Trout Creek mineral lease requires annual payments of $12,000 and annual maintenance fees beginning in 2023. The Company has a three-year drilling requirement, as defined in the lease agreement. The agreement also provides for a Net Smelter Royalty ("NSR"), on all development and production of ores and minerals extracted, milled and sold, if any. At the end of the five-year lease, the Company has the option to purchase the claims for $100,000. The NSR will remain in effect after the execution of this purchase option. The lessor and the Company have a director in common.

On August 31, 2024, the Company elected to dispose of this lease. As a result, a loss on disposal was recorded in the amount of $400,000.00

Crystal Mountain

On August 21, 2023, the Company purchased the Crystal Mountain Colorado Pegmatite Project from Critical Minerals Corp., which is controlled by Sarah Cuddy, the wife of the President of the Company and Enrique Correa, the Company's Chilean Manager. The project consists of 64 unpatented mining claims located in the Fort Collins area in Larimer County, Colorado. The Company paid $182,500 in cash and granted the following options:

● 500,000 at an exercise price of $1.25 for a term of five years

● 500,000 at an exercise price of $2.50 for a term of five year s

● 50,000 at an exercise price of $1.35 for a term of three years

● To calculate the fair value the options the Company determined the fair value using the Black Scholes model with the following inputs:

---

| | | | |
|:---|:---|:---|:---|
| Unit Price | $0.139 | 0.139 | 0.139 |
| Exercise Price | $1.25 | 2.50 | 1.35 |
| Term | 5 years | 5 years | 3 years |
| Volatility based on peer companies historical volatility | 162.14% | 162.14% | 122.06% |
| Risk-free interest rate | 4.4% | 4.4% | 4.63% |
| Estimated fair value per option | $.1156 | .1086 | .0494 |
| Fair value | $57800 | 54300 | 2470 |

---

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

The unit price was based on the most recent cash sale of the Company's common stock. See Cerro Blanco discussion above.

**NOTE 5 – STOCKHOLDERS' EQUITY**

Upon formation the authorized capital of the Company was 220,000,000 shares consisting of 200,000,000 shares of common stock, par value $0.001 and 20,000,000 shares of preferred stock, par value $0.001.

Preferred Stock

The Preferred stock may be issued, from time to time, in one or more series as determined by the Board of Directors. The designations, voting rights, amounts of preference upon distribution of assets, rates of dividends, premiums of redemption, conversion rights and other variations, if any, the qualifications, limitations or restrictions thereof, if any, of the Preferred Stock, and of each series thereof, are fixed by the Board of Directors in a resolution or resolutions adopted by the Board of Directors providing for the issue of such series of Preferred Stock.

At December 31, 2024 and December 31, 2023, there have been no series of Preferred Stock designated.

Common Stock

Each holder of Common Stock is entitled to one vote per share for matters submitted to a vote, and to receive dividends if and when declared, however, subject to any limitations contained in the features of the Preferred Stock. Upon liquidation or winding down of the Company, the holders of the Common Stock shall be entitled to receive all the remaining assets of the Company after distribution in full of the preferential amounts, if any, to be distributed to the holders of the Preferred Stock.

During the year ended December 31, 2024, the Company had the following equity transactions:

● 7,730,332 common stock units to be issued for cash, net of offering costs in the amount of $1,706,997 ;

● 210,000 common stock units to be issued for accrued officers' and directors' fees of $52,500 ; and

During the year ended December 31, 2023, the Company had the following equity transactions:

● Issued 900,000 shares of common stock that were included in "to be issued" at December 31, 2022;

● Issued 11,700,000 common stock units for cash, net of offering costs in the amount of $2,544,750 (see description under "Private Placement" below);

● Issued 17,500,000 shares of common stock for the acquisition of a Cerro Blanco Titanium, Inc valued at $0.139 per share or $2,432,500 ;

● Issued 6,755,760 shares of common stock upon the exercise of 6,755,760 warrants for $3,039,990 in cash. Issuance costs incurred associated with the exercise were $303,990 in cash and $706,852 for the fair value of inducement warrants issued with each exercise (see "Warrants" below). Net cash proceeds were $2,736,000 .

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

● Issued 976,228 shares of common stock for services valued at $135,696 , which can be terminated after March 15, 2024 for cause. 25% of the shares of common stock vest immediately, 25% vest in three months, 25% in six months and 25% vest in twelve months .

<u>2024 Private Placement</u>:

On August 26, 2024, the Company had an offering (the "Private Placement") for sale of up to 10,000,000 additional shares of common stock at $0.25 per share, and one-half (1/2) of a five-year warrant ("Placement Warrants"). Each full Placement Warrant has the ability to purchase one share of Common Stock for a Placement Warrant exercise price of $0.45 per share of Common Stock. As of December 31, 2023, a total of 7,730,332 units have been sold, but not issued, for a total of $1,706,998, net of related fees and commissions. Additionally, 210,000 units were issued to officers' and directors' for services valued at $52,500

The Company engaged an investment company ("Investment Company") who assisted the Company in arranging the Private Placement. The Company paid the Investment Company a 13% cash commission on the gross proceeds through December 31, 2024 in the amount of $195,585, plus a $25,000 placement fee, and a bank escrow fee of $5,000 from the proceeds of the first closing for a total of $225,585. In addition, at the date of the final closing, the Investment Company will be issued warrants to purchase 15% of the total number of common stock sold in the Offering. These warrants have an exercise price equal to the price at which Common Stock shares were sold in the Offering and expire ten years from their issuance. A total of 902,700 warrants were earned by the placement agent as of December 31, 2024, $122,789 was recorded as warrant liability and deferred offering costs on the balance sheet.

<u>Private Placement</u>:

On August 30, 2022, the Company had an offering (the "Private Placement") for sale of up to 24,000,000 additional shares of common stock (may be increased up to 28,000,000 shares) at $0.25 per share, and one-half (1/2) of a five-year warrant ("Placement Warrants"). Each full Placement Warrant has the ability to purchase one share of Common Stock for a Placement Warrant exercise price of $0.45 per share of Common Stock. As of December 31, 2022, a total of 5,264,400 units have been sold for a total of $1,115,007, net of related fees and commissions. Of this total, 4,364,400 shares were issued in 2022 and 900,000 were issued in early 2023.

The Company engaged an investment company ("Investment Company") who assisted the Company in arranging the Private Placement. The Company paid the Investment Company a 13% cash commission on the gross proceeds through December 31, 2022 in the amount of $171,093, plus a $25,000 placement fee from the proceeds of the first closing for a total of $196,093. In addition, at the date of the final closing, the Investment Company was issued warrants to purchase 15% of the total number of common stock sold in the Offering. These warrants have an exercise price equal to the price at which Common Stock shares were sold in the Offering and expire ten years from their issuance. A total of 2,544,672 warrants were earned, which were issued on February 23, 2023.

On September 8, 2022, the Company entered into a separate agreement with the Investment Company to provide business advisory and consulting services associated with the private placement through January 31, 2023. As compensation for the services, the Company issued warrants totaling 3,500,004 shares of the Company's Common Stock at $0.25 per share which will expire ten years from issuance during the year ended December 31, 2022.

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Warrants

The following is a summary of stock purchase warrant activity for the years ended December 31, 2024 and 2023:

---

| | | | |
|:---|:---|:---|:---|
|  | | Weighted Avg<br> Price | Weighted Avg<br> Life |
| December 31, 2022 | 6132204 | $- |  |
| Issued for: |  |  |  |
| &nbsp;&nbsp;&nbsp;Private placement of units | 5850000 | 0.45 |  |
| &nbsp;&nbsp;&nbsp;Placement agent - commission | 2544672 | 0.25 |  |
| &nbsp;&nbsp;&nbsp;Inducement to exercise | 6755536 | 0.45 |  |
| Exercised | (6755536) |  |  |
| Forfeited or Expired | - |  |  |
| December 31, 2023 | 14526880 | $0.47 | 5.76 |
| Issued for: |  |  |  |
| &nbsp;&nbsp;&nbsp;Private placement of units |  |  |  |
| &nbsp;&nbsp;&nbsp;Placement agent - commission |  |  |  |
| Exercised |  |  |  |
| Forfeited or Expired | - |  |  |
| December 31, 2024 | 14526880 | $0.41 | 4.83 |

---

Through December 31, 2023, the Company received $3,039,990 in cash upon the exercise of the inducement to exercise warrants. The Company pays a 10% commission on all cash received upon the exercise of warrants to the Investment Company. The net cash received by the Company was $2,736,000.

From June 2023 to November 2023, in order to induce the exercise of outstanding warrants, the Company agreed, upon the exercise of such warrants, to issue a new warrant to purchase one share of the Company's common stock at an exercise price of $0.60 for a period of four years of the date of issuance. The exercise price could be reduced to $0.45 and the expiration price extended one year as follows:

● In the event that either (i) the Company does not close a planned stock offering on or prior to April 30, 2024; or (ii) our shares of common stock or other equity securities of the Company are not registered under Section 12(b) of the Securities Exchange Act of 1934, as amended, or the Exchange Act; and

● The Company's common stock or other equity securities are not listed on the Nasdaq Stock Market LLC or the NYSE American by April 30, 2024.

Subsequent to the year ended December 31, 2023, the warrants exercise price and maturity date were adjusted accordingly as the listing did not occur by April 30, 2024.

The fair value of the inducement warrants to be issued in connection with warrants exercised was $706,852. The Company determined the fair value using the Black Scholes model with the following inputs:

---

| | |
|:---|:---|
| Unit Price | $0.139 |
| Exercise Price | $0.45 |
| Term | 5 Years |
| Volatility | 133% – 150 |
| Risk-free interest rate | 4.68% – 4.72 |

---

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

For the year ended December 31, 2023, the fair value of the inducement warrants represents an incremental cost directly attributable to the exercise of existing warrants and resulted in a decrease of $706,852 in the overall proceeds recognized for the exercise. The issuance of the inducement warrants increased additional paid in capital by the same amount. The overall impact on total equity was nil.

Stock Options

During the year ended December 31, 2021, the Company granted 5,600,000 stock options to officers and directors with a fair value of $1,308,319 and 200,000 stock options for services with a fair value of $38,569. Of the total 5,800,000 options granted during the period, 1,000,000 vested immediately. The remaining 4,800,000 options vest over a two-year period from date of grant. At December 31, 2023, 1,000,000 of these options expired. During the years ended December 31, 2024 and 2023, stock based compensation of $0 and $56,758, respectively, was recognized on the vesting of these options.

During the year ended December 31, 2023, the Company issued 1,050,000 options in connection with its acquisition of the Crystal Mountain mineral interest. See Note 4.

The Company did not issue any options during the year ended December 31, 2024.

The following is a summary of stock option activity for the years ended December 31, 2024 and 2023:

---

| | | | |
|:---|:---|:---|:---|
|  | **Issued** | **Weighted Avg Price** | **Weighted Avg Life (in years)** |
| Outstanding December 31, 2022 | 5800000 | $0.58 | 4.89 |
| Granted (See Note 4) | 1050000 |  |  |
| Exercised |  |  |  |
| Forfeited or expired | (1000000) |  |  |
| Outstanding December 31, 2023 | 5850000 | $0.58 | 4.69 |
| Granted |  | $- |  |
| Exercised |  |  |  |
| Forfeited or expired | - |  |  |
| Outstanding December 31, 2024 | 5850000 | 0.58 | 3.69 |
| Vested and exercisable at December 31, 2024 | 5850000 | $0.58 | 3.69 |

---

The options have no intrinsic value as of December 31, 2024 and 2023.

**NOTE 6 – INCOME TAXES**

No benefit (provision) has been recognized for the years ended December 31, 2024 and 2023. The United States and Chile components of net loss for the years ended December 31, 2024 and 2023 are as follows:

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| United States | (2717912) | (1940858) |
| Chile | (1679867) | (3589341) |
| &nbsp;&nbsp;&nbsp;Net loss | (4397779) | (5530199) |

---

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

Reconciliation of the statutory federal income tax rates consists of the following:

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| Federal statutory rate | 21.0% | 21.0% |
| Non-deductible item: stock based compensation |  | (0.2)% |
| Change in valuation allowance | (21.0)% | (20.8)% |
|  | -% | -% |

---

Significant components of the deferred tax assets at an anticipated tax rate of 21% for the period of December 31, 2024 to December 31, 2023 are as follows:

---

| | | |
|:---|:---|:---|
|  | **2024** | **2023** |
| Deferred tax asset |  |  |
| &nbsp;&nbsp;&nbsp;Net operating loss | $(2704072) | $1780538 |
|  | 2704072 | 1780538 |
| Valuation allowance | (2704072) | (1780538) |
| Net deferred tax asset | $- | $- |

---

At December 31, 2024, the Company had available federal net operating loss carry forwards to reduce future taxable income. The amount available was approximately $6.0 million for federal purposes, with no expiration which are subject to an 80% limitation upon utilization. Given the Company's history of net operating losses, management has determined that it is more likely than not that the Company will not be able to realize the tax benefit of the net operating loss carry forwards. Accordingly, the Company has recognized a valuation allowance that offsets the deferred tax asset for this benefit. The amount of the valuation allowance could be reduced in the near-term if estimates of future benefits and consolidated taxable income, based on subsequently available evidence, can be deemed to be reliable in order to determine the likelihood of realizing the deferred tax asset. The change in the valuation allowance during the years ended December 31, 2024 and 2023 was $923,534.

The Company files income tax returns in the U.S. federal jurisdiction. The Company is also subject to state filing requirements and files respective tax returns accordingly. Additionally, a Chilean tax return is filed for the respective activities of KMC Chile. Tax returns for the years 2020-2024 remain subject to examinations but there are currently no ongoing exams in any taxing jurisdiction.

**NOTE 7 – RELATED PARTY TRANSACTIONS**

In addition to transactions disclosed in Note 4, the Company has the following additional related party transactions.

For the years ended December 31, 2024 and 2023, the Company recognized directors' fees and officers' fees expense as follows.

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2024** | **2023** |
| Paid in cash or accrued | $501000 | $493900 |
| Stock based compensation | 52500 | 56758 |
|  | $553500 | $550658 |

---

**KEY MINING CORP.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**December 31, 2024 and 2023**

The Company's board of directors established director fees and officer compensation as follows:

● Each director that is not an officer and the Vice President of Corporate Affairs/Corporate Secretary of the Company: $2,500 to $5,000 per month,

● President of the Company: $180,000 per year, and

● Chief Financial Officer $7,500 per month.

● General Manager of KM Chile: $144,000 per year.

As of December 31, 2024, the Company has no separate employment nor severance agreements with any officers or directors.

On July 16, 2020, the Company received $1,237 from an officer and director, this amount is recorded as an accrued liability at December 31, 2023. This amount was paid on January 24, 2024.

During the years ended December 31, 2024 and 2023, KM Chile recognized legal expense of $8,636 and $66,750, respectively from Chile Inc, a company owned by a relative of the Company's President.

During the years ended December 31, 2024 and 2023, the Company recognized $115,000 and $70,759, respectively for consulting fees to the wife of the Company's president.

During the years ended December 31, 2024 and 2023, the Company recognized accounting fees of $64,116 and $53,628, respectively to a company owned by the President.

With the acquisition of CBT on May 1, 2023 (Note 4), the Company assumed a contract with Manquehue Asesorías Mineras SpA ("MAM Chile"), a Chilean company, which is wholly owned by the Company's president. Under the contract, MAM Chile is to provide geological, metallurgical, engineering, legal and property maintenance services for a fixed period of seven months at $56,000 per month. The former owner of CBT advanced $397,036 to MAM Chile prior to the acquisition of CBT by the Company. The balance of the prepaid amount was $170,850 on the date the Company acquired CBT. Activity associated with this prepayment for the period from acquisition to September 30, 2023 is as follows:

---

| | |
|:---|:---|
| Balance acquired on May 1, 2023 | $170850 |
| Additional prepayment in June 2023 | 16210 |
| Consulting expense recognized for the period from acquisition to September 30, 2023 | (187060) |
| Balance at December 31, 2023 | $— |

---

From the date of acquisition to September 30, 2023, $187,060, respectively, in exploration expense, respectively, associated with this contract. As of September 30, 2023, the Company has no further obligations with MAM Chile.

**NOTE 8 – SUBSEQUENT EVENTS**

The Company is not aware of any subsequent events through the date of this filing that require disclosure or recognition in these financial statements.

Subsequent to year end the Company received $946,560 in cash for 4,352,000 common stock units, net of issuance fees.

Subsequent to year end the Company issued 12,292,332 shares of common stock previously recorded as "to be issued".

**Annex A**

***Certain personally identifiable information has been omitted from this exhibit pursuant to item 601(a)(6) of Regulation S-K. [\*\*\*] indicates that information has been redacted*.**

**AGREEMENT AND PLAN OF MERGER**

by and among

**COMPASS DIGITAL ACQUISITION CORP.**,

as the Purchaser,

**TITAN HOLDINGS CORP.**, as Pubco,

**TITAN SPAC MERGER SUB CORP.**,

as Purchaser Merger Sub,

**TITAN MERGER SUB INC.**,

as Company Merger Sub,

and

**KEY MINING CORP.**, as the Company,

**Dated as of January 6, 2026**

**<u>table of contents</u>**

---

| | | |
|:---|:---|:---|
| | | **<u>Page</u>** |
| ARTICLE I MERGER | ARTICLE I MERGER | A-8 |
| 1.1. | The Purchaser Merger. | A-8 |
| 1.2. | The Company Merger. | A-8 |
| 1.3. | Effective Time. | A-8 |
| 1.4. | Effect of the Merger. | A-8 |
| 1.5. | Organizational Documents of the Surviving Corporations. | A-9 |
| 1.6. | Directors and Officers of the Surviving Corporations. | A-9 |
| 1.7. | Amended Pubco Organizational Documents. | A-9 |
| 1.8. | Merger Consideration. | A-9 |
| 1.9. | Effect of Purchaser Merger on Issued and Outstanding Securities of the Purchaser and Purchaser Merger Sub. | A-10 |
| 1.10. | Effect of Company Merger on Issued Securities of the Company and Company Merger Sub. | A-12 |
| 1.11. | Effect of Mergers on Issued and Outstanding Securities of Pubco. | A-13 |
| 1.12. | Exchange Procedures. | A-13 |
| 1.13. | Domestication. | A-15 |
| 1.14. | Withholding. | A-15 |
| 1.15. | Tax Consequences. | A-15 |
| 1.16. | Taking of Necessary Action; Further Action. | A-16 |
| 1.17. | Appraisal and Dissenter's Rights. | A-16 |
| ARTICLE II CLOSING | ARTICLE II CLOSING | A-16 |
| 2.1. | Closing. | A-16 |
| ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE PURCHASER | ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE PURCHASER | A-17 |
| 3.1. | Organization and Standing. | A-17 |
| 3.2. | Authorization; Binding Agreement. | A-17 |
| 3.3. | Governmental Approvals. | A-17 |
| 3.4. | Non-Contravention. | A-18 |
| 3.5. | Capitalization. | A-18 |
| 3.6. | SEC Filings and Purchaser Financials. | A-19 |
| 3.7. | Absence of Certain Changes. | A-20 |
| 3.8. | Compliance with Laws. | A-20 |
| 3.9. | Actions; Orders; Permits. | A-20 |
| 3.10. | Taxes and Returns. | A-20 |
| 3.11. | Employees and Employee Benefit Plans. | A-21 |
| 3.12. | Properties. | A-21 |
| 3.13. | Material Contracts. | A-21 |
| 3.14. | Transactions with Affiliates. | A-21 |
| 3.15. | Investment Company Act. | A-21 |
| 3.16. | Finders and Brokers. | A-21 |
| 3.17. | Purchaser Activities. | A-22 |
| 3.18. | Certain Business Practices. | A-22 |
| 3.19. | Insurance. | A-22 |

---

---

| | | |
|:---|:---|:---|
| 3.20. | Independent Investigation. | A-23 |
| 3.21. | Information Supplied. | A-23 |
| 3.22. | Trust Account. | A-23 |
| ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE PURCHASER, PUBCO AND THE MERGER SUBS | ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE PURCHASER, PUBCO AND THE MERGER SUBS | A-24 |
| 4.1. | Organization and Standing. | A-24 |
| 4.2. | Authorization; Binding Agreement. | A-24 |
| 4.3. | Governmental Approvals. | A-24 |
| 4.4. | Non-Contravention. | A-25 |
| 4.5. | Capitalization. | A-25 |
| 4.6. | Ownership of Exchange Shares. | A-25 |
| 4.7. | Pubco and Merger Sub Activities. | A-25 |
| 4.8. | Finders and Brokers. | A-25 |
| 4.9. | Investment Company Act. | A-26 |
| ARTICLE V REPRESENTATIONS AND WARRANTIES OF THE COMPANY | ARTICLE V REPRESENTATIONS AND WARRANTIES OF THE COMPANY | A-26 |
| 5.1. | Organization and Standing. | A-26 |
| 5.2. | Authorization; Binding Agreement. | A-26 |
| 5.3. | Capitalization. | A-27 |
| 5.4. | Subsidiaries. | A-28 |
| 5.5. | Governmental Approvals. | A-28 |
| 5.6. | Non-Contravention. | A-28 |
| 5.7. | Financial Statements. | A-29 |
| 5.8. | Absence of Certain Changes. | A-30 |
| 5.9. | Compliance with Laws. | A-30 |
| 5.10. | Company Permits. | A-30 |
| 5.11. | Litigation. | A-30 |
| 5.12. | Material Contracts. | A-31 |
| 5.13. | Intellectual Property. | A-32 |
| 5.14. | Taxes and Returns. | A-34 |
| 5.15. | Real Property. | A-35 |
| 5.16. | Personal Property. | A-36 |
| 5.17. | Title to and Sufficiency of Assets. | A-36 |
| 5.18. | Employee Matters. | A-37 |
| 5.19. | Benefit Plans. | A-37 |
| 5.20. | Environmental Matters. | A-37 |
| 5.21. | Mining; Desalination. | A-39 |
| 5.22. | Transactions with Related Persons. | A-40 |
| 5.23. | Insurance. | A-40 |
| 5.24. | Books and Records. | A-41 |
| 5.25. | Certain Business Practices. | A-41 |
| 5.26. | Investment Company Act. | A-41 |
| 5.27. | Finders and Brokers. | A-41 |
| 5.28. | Independent Investigation. | A-41 |
| 5.29. | Information Supplied. | A-42 |

---

---

| | | |
|:---|:---|:---|
| ARTICLE VI COVENANTS | ARTICLE VI COVENANTS | A-42 |
| 6.1. | Access and Information. | A-42 |
| 6.2. | Conduct of Business of the Company. | A-43 |
| 6.3. | Conduct of Business of the Purchaser. | A-46 |
| 6.4. | Annual and Interim Financial Statements. | A-48 |
| 6.5. | Purchaser Public Filings. | A-49 |
| 6.6. | No Solicitation. | A-49 |
| 6.7. | No Trading. | A-50 |
| 6.8. | Notification of Certain Matters. | A-50 |
| 6.9. | Efforts. | A-50 |
| 6.10. | Tax Matters. | A-52 |
| 6.11. | Transfer Taxes. | A-52 |
| 6.12. | Further Assurances. | A-52 |
| 6.13. | The Registration Statement. | A-53 |
| 6.14. | Required Company Stockholder Approval. | A-54 |
| 6.15. | Public Announcements. | A-54 |
| 6.16. | Confidential Information. | A-55 |
| 6.17. | Post-Closing Board of Directors and Executive Officers. | A-56 |
| 6.18. | Indemnification of Directors and Officers; Tail Insurance. | A-57 |
| 6.19. | Trust Account Proceeds. | A-57 |
| 6.20. | Pubco Incentive Equity Plan. | A-57 |
| 6.21. | Employment Agreements. | A-58 |
| 6.22. | Transaction Financing. | A-58 |
| 6.23. | Insider Letter Amendment Joinders. | A-58 |
| 6.24. | Polar Subscription Agreement. | A-58 |
| ARTICLE VII CLOSING CONDITIONS | ARTICLE VII CLOSING CONDITIONS | A-59 |
| 7.1. | Conditions to Each Party's Obligations. | A-59 |
| 7.2. | Conditions to Obligations of the Company. | A-60 |
| 7.3. | Conditions to Obligations of the Purchaser. | A-61 |
| 7.4. | Frustration of Conditions. | A-62 |
| ARTICLE VIII TERMINATION AND EXPENSES | ARTICLE VIII TERMINATION AND EXPENSES | A-63 |
| 8.1. | Termination. | A-63 |
| 8.2. | Effect of Termination. | A-64 |
| 8.3. | Fees and Expenses. | A-65 |
| ARTICLE IX WAIVERS AND RELEASES | ARTICLE IX WAIVERS AND RELEASES | A-65 |
| 9.1. | Waiver of Claims Against Trust. | A-65 |
| ARTICLE X MISCELLANEOUS | ARTICLE X MISCELLANEOUS | A-66 |
| 10.1. | Non-Survival of Representations and Warranties and Agreements. | A-66 |
| 10.2. | Notices. | A-66 |
| 10.3. | Binding Effect; Assignment. | A-67 |
| 10.4. | Third Parties. | A-67 |
| 10.5. | Governing Law; Jurisdiction. | A-68 |
| 10.6. | WAIVER OF JURY TRIAL. | A-68 |
| 10.7. | Specific Performance. | A-68 |

---

---

| | | |
|:---|:---|:---|
| 10.8. | Severability. | A-68 |
| 10.9. | Amendment. | A-69 |
| 10.10. | Waiver. | A-69 |
| 10.11. | Entire Agreement. | A-69 |
| 10.12. | Interpretation. | A-69 |
| 10.13. | Counterparts. | A-70 |
| 10.14. | Legal Representation. | A-70 |
| ARTICLE XI DEFINITIONS | ARTICLE XI DEFINITIONS | A-71 |
| 11.1. | Certain Definitions. | A-71 |
| 11.2. | Section References. | A-82 |

---

**<u>INDEX OF EXHIBITS</u>**

---

| | |
|:---|:---|
| **Exhibit** | **Description** |
| Exhibit A | Form of Voting Agreement |
| Exhibit B | Sponsor Letter Agreement |
| Exhibit C | Insider Letter Amendment |
| Exhibit D | Form of Seller Registration Rights Agreement |
| Exhibit E | Form of Founder Registration Rights Agreement Amendment |
| Exhibit F | Form of Amended Pubco Organizational Documents |

---

**AGREEMENT AND PLAN OF MERGER**

This Agreement and Plan of Merger (this "***Agreement***") is made and entered into as of January 6, 2026, by and among (i) **Compass Digital Acquisition Corp.**, a Cayman Islands exempted company (together with its successors, the "***Purchaser***"), (ii) **Titan Holdings Corp.**, a Delaware corporation and a direct wholly owned subsidiary of the Purchaser ("***Pubco****"*), (iii) **Titan SPAC Merger Sub Corp.**, a Cayman Islands exempted company and a direct wholly owned subsidiary of Pubco ("***Purchaser Merger Sub***"), (iv) **Titan Merger Sub Inc.**, a Delaware corporation and a direct wholly owned subsidiary of Pubco ("***Company Merger Sub***", and, together with Purchaser Merger Sub, the "***Merger Subs***," and the Merger Subs collectively with the Purchaser and Pubco, the "***Purchaser Parties***"), and (v) **Key Mining Corp.**, a Delaware corporation (the "***Company***"). The Purchaser, Pubco, the Merger Subs and the Company are sometimes referred to herein individually as a "***Party***" and, collectively, as the "***Parties***".

**RECITALS:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. Pubco is a newly incorporated Delaware corporation that is wholly-owned by the Purchaser, and Pubco owns all of the issued and outstanding equity interests of Purchaser Merger Sub and Company Merger Sub, each of which is a newly organized entity formed for the sole purpose of effecting the Mergers (as defined below).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B. Upon the terms and subject to the conditions set forth herein, the Parties desire and intend to effect a business combination transaction pursuant to which (i) Purchaser Merger Sub will merge with and into the Purchaser, with the Purchaser continuing as the surviving entity (the "***Purchaser Merger***"), and with holders of ordinary shares of the Purchaser receiving shares of common stock of Pubco, (ii) Company Merger Sub will merge with and into the Company, with the Company continuing as the surviving entity (the "***Company Merger***," and together with the Purchaser Merger, the "***Mergers***"), and with holders of common stock of the Company receiving shares of common stock of Pubco, holders of Company Options (as defined below) having their Company Options assumed by Pubco and with such Company Options being replaced by Assumed Options (as defined below) and holders of Company Warrants (as defined below) having their Company Warrants assumed by Pubco and with such Company Warrants being replaced by Assumed Warrants (as defined below), (iii) as a result of the Mergers, the Purchaser and the Company will become direct wholly-owned subsidiaries of Pubco and Pubco will become a publicly traded company, and (iv) following the Purchaser Merger, the Purchaser will de-register from the Register of Companies in the Cayman Islands by way of continuation out of the Cayman Islands and into the State of Delaware and domesticate as a Delaware corporation (the "***Domestication***") pursuant to and in accordance with Section 388 of the Delaware General Corporation Law (as amended, the "***DGCL***") and Part XII of the Companies Act (Revised) of the Cayman Islands (the "***Companies Act***");.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C. The board of directors of the Company has unanimously (i) determined that the Company Merger is fair, advisable and in the best interests of the Company and its stockholders, (ii) approved this Agreement and the transactions contemplated hereby, including the Company Merger, and the performance by the Company of its obligations hereunder, upon the terms and subject to the conditions set forth herein, and (iii) determined to recommend to its stockholders the approval and adoption of this Agreement and the transactions contemplated hereby, including the Company Merger;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D. The boards of directors of Pubco, the Purchaser and the Merger Subs have each (i) determined that the Mergers are fair, advisable and in the best interests of their respective companies and equityholders, (ii) approved this Agreement and the transactions contemplated hereby, including the Mergers and the Purchaser Plan of Merger (as defined below), and the performance by each such Party of its obligations hereunder, upon the terms and subject to the conditions set forth herein, and (iii) determined to recommend to their respective equityholders the approval and adoption of this Agreement and the transactions contemplated hereby, including the Mergers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E. The Purchaser has received voting and support agreements in the form attached as <u>Exhibit A</u> hereto (collectively, the "***Voting Agreements***") signed by the Company and certain holders of Company Common Stock (as defined herein), pursuant to which, among other things, each such holder has agreed to vote in favor of this Agreement and the Company Merger, on the terms and subject to the conditions set forth in the Voting Agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;F. Simultaneously with the execution and delivery of this Agreement, HCG Opportunity, LLC, a Delaware limited liability company (the "***Sponsor***"), the Company and the Purchaser have entered into a letter agreement, the form of which is attached as <u>Exhibit B</u> hereto (the "***Sponsor Letter Agreement***"), pursuant to which, among other things, the Sponsor has agreed to (i) vote in favor of this Agreement and the transactions contemplated hereby (including the Mergers), (ii) to waive certain of its anti-dilution protection on its Founder Shares, and (iii) convert at the Closing certain of its loans made to the Purchaser prior to the Closing into Pubco Common Stock at $10.00 per share, all on the terms and subject to the conditions set forth in the Sponsor Letter Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;G. Simultaneously with the execution and delivery of this Agreement, the Purchaser, Pubco, the Company and the Sponsor have entered into an amendment to the Insider Letter (as defined below), a copy of which is attached as <u>Exhibit C</u> hereto (the "***Insider Letter Amendment***"), pursuant to which (i) at the Closing, Pubco shall assume and be assigned the rights and obligations of the Purchaser under the Insider Letter, and (ii) there will be no post-Closing lock-up with respect to any Pubco Securities owed by any SPAC Insider (as defined below) party thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;H. Simultaneously with the Closing, Pubco and the Insider Sellers will execute and deliver a Registration Rights Agreement, in substantially the form attached as <u>Exhibit D</u> hereto (the "***Seller Registration Rights Agreement***"), which Registration Rights Agreement will provide the Insider Sellers party thereto substantially the same priorities and registration rights as the Sponsor and other "Holder" parties under the Founder Registration Rights Agreement (as amended by the Founder Registration Rights Agreement Amendment), and which Seller Registration Rights Agreement will become effective as of the Closing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I. Simultaneously with the Closing, Pubco, the Purchaser, the Sponsor and the other "Holders" under the Founder Registration Rights Agreement and the Purchaser NRA Holders will execute and deliver an amendment to the Founder Registration Rights Agreement, in substantially the form attached as <u>Exhibit E</u> hereto (the "***Founder Registration Rights Agreement Amendment***"), to, among other matters, have Pubco assume the registration obligations of Purchaser under the Founder Registration Rights Agreement and have such rights apply to the Pubco Securities and pursuant to which the Sponsor and the other "Holder" parties thereto will have substantially the same priorities and registration rights as the Insider Sellers under the Seller Registration Rights Agreement, and which Founder Registration Rights Agreement Amendment will become effective as of the Closing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;J. Each of the Parties intends for U.S. federal income tax purposes that (a) this Agreement constitutes and hereby is adopted as a "plan of reorganization" within the meaning of Treasury Regulations Sections 1.368-2(g) and 1.368-3(a), and (b) the Mergers shall, collectively, constitute an exchange governed by the provisions of Section 351 of the Code (clauses (a)-(b), the "***Intended Tax Treatment***").

**NOW, THEREFORE**, in consideration of the premises set forth above, which are incorporated in this Agreement as if fully set forth below, and the representations, warranties, covenants, and agreements contained in this Agreement, and intending to be legally bound hereby, the Parties hereto agree as follows:

**ARTICLE I MERGER**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1. <u>The Purchaser Merger</u>. At the Effective Time and subject to and upon the terms and conditions of this Agreement and in accordance with the applicable provisions of Companies Act and other applicable Law, Purchaser Merger Sub and the Purchaser shall consummate the Purchaser Merger, pursuant to which Purchaser Merger Sub shall be merged with and into the Purchaser, following which the separate corporate existence of Purchaser Merger Sub shall cease to exist, Purchaser Merger Sub will be struck off the Register of Companies in the Cayman Islands, and Purchaser shall continue as the surviving company (within the meaning of the Companies Act) in the Purchaser Merger in accordance with the Purchaser Plan of Merger and the Companies Act. The Purchaser as the surviving company after the Purchaser Merger is hereinafter sometimes referred to as "***Purchaser Surviving Corporation***" (provided, that references to the Purchaser for periods after the Effective Time shall include Purchaser Surviving Corporation). As a result of the Purchaser Merger, the Purchaser Surviving Corporation will become a wholly-owned subsidiary of Pubco.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2. <u>The Company Merger</u>. At the Effective Time and subject to and upon the terms and conditions of this Agreement and in accordance with the applicable provisions of the DGCL, Company Merger Sub and the Company shall consummate the Company Merger, pursuant to which Company Merger Sub shall be merged with and into the Company, following which the separate corporate existence of Company Merger Sub shall cease and the Company shall continue as the surviving corporation in the Company Merger. The Company as the surviving corporation after the Company Merger is hereinafter sometimes referred to as "***Company Surviving Corporation***" (provided, that references to the Company for periods after the Effective Time shall include Company Surviving Corporation), and together with Purchaser Surviving Corporation, the "***Surviving Corporations***" (provided, that notwithstanding the Company Merger, the Company will not be included within the meaning of the term Purchaser Parties for purposes of this Agreement). As a result of the Company Merger, the Company Surviving Corporation will become a wholly-owned subsidiary of Pubco.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3. <u>Effective Time</u>. Subject to the conditions of this Agreement, the Parties shall cause (i) the Purchaser Merger to be consummated by filing a plan of merger together with such other documents as may be required in accordance with the applicable provisions of the Companies Act in form and substance reasonably acceptable to the Company and the Purchaser (the "***Purchaser Plan of Merger***") with the Cayman Islands Registrar in accordance with the applicable provisions of the Companies Act, and (ii) cause the Company Merger to be consummated by filing a certificate of merger in form and substance reasonably acceptable to the Company and the Purchaser and executed by the Company and Company Merger Sub (the "***Company Certificate of Merger***") with the Secretary of State of the State of Delaware in accordance with the applicable provisions of the DGCL, with each of the Mergers to be consummated and effective simultaneously at 5:00 p.m. New York City time on the Closing Date or at such other date and/or time as may be agreed in writing by the Company and the Purchaser and specified in each of the Purchaser Plan of Merger and the Company Certificate of Merger (the "***Effective Time***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4. <u>Effect of the Merger</u>. At the Effective Time, the effect of the Mergers shall be as provided in this Agreement, the Purchaser Plan of Merger, the Company Certificate of Merger and the applicable provisions of the DGCL, the Companies Act and other applicable Law. Without limiting the generality of the foregoing, and subject thereto, at the Effective Time all the property, rights, agreements, privileges, powers and franchises of Purchaser Merger Sub and Company Merger Sub shall vest in Purchaser Surviving Corporation and Company Surviving Corporation, respectively, and all debts, liabilities, obligations and duties of Purchaser Merger Sub and Company Merger Sub shall become the debts, liabilities, obligations and duties of Purchaser Surviving Corporations and Company Surviving Corporation, respectively, including in each case the rights and obligations of each such Party under this Agreement and the Ancillary Documents from and after the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.5. <u>Organizational Documents of the Surviving Corporations</u>. At the Effective Time, (i) the memorandum and articles of association of Purchaser Merger Sub shall become the memorandum and articles of association of Purchaser Surviving Corporation, until thereafter changed or amended as provided therein or by the Companies Act, except that the name of Purchaser Surviving Corporation shall be changed to "KMC Corp.", and (ii) each of the certificate of incorporation and bylaws of Company Merger Sub shall become the certificate of incorporation and the bylaws of Company Surviving Corporation, respectively, until thereafter changed or amended as provided therein or by applicable Law, except that the name of Company Surviving Corporation in such Organizational Documents shall be "Key Mining Corp.". The Parties acknowledge and agree that after the Closing, they shall not use the name "Compass Digital" or any similar name without the prior written consent of the Sponsor and that the rights to use the "Compass Digital" name (and any similar name) shall remain with the Sponsor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6. <u>Directors and Officers of the Surviving Corporations</u>. At the Effective Time, (i) the directors and officers the Purchaser Surviving Corporation shall be the same as the board of directors and executive officers of Pubco, each to hold office in accordance with the Organizational Documents of the Purchaser Surviving Corporation until its successors are duly elected or appointed and qualified or their earlier death, resignation, or removal, and (ii) the board of directors and executive officers of Company Merger Sub shall be the initial board of directors and executive officers of the Company Surviving Corporation, each to hold office in accordance with the certificate of incorporation and bylaws of the Company Surviving Corporation until their respective successors are duly elected or appointed and qualified or their earlier death, resignation, or removal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7. <u>Amended Pubco Organizational Documents</u>. Effective upon the Effective Time, Pubco shall amend and restate its Organizational Documents to be in substantially the form attached as <u>Exhibit F</u> hereto (the "***Amended Pubco Organizational Documents***"), including to change the name of Pubco to "Key Mining Holdings Corp.".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.8. <u>Merger Consideration</u>. The aggregate consideration to be paid to holders of the Company Stock as of immediately prior to the Effective Time (collectively, the "***Sellers***") pursuant to the Company Merger shall be an amount equal to Two Hundred and Thirty Million U.S. Dollars ($230,000,000) (the "***Merger Consideration***"). The total portion of the Merger Consideration amount payable to all Sellers (which, for the avoidance of doubt, excludes holders of Company Options and Company Warrants) (the "***Seller Merger Consideration***") will be paid in the form of shares of Pubco Common Stock, each valued at $10.00 per share. Each Seller will receive, for each share of Company Common Stock held (but excluding shares of Company Common Stock that are Company Dissenting Shares and any Company Common Stock described in <u>Section 1.10(b)</u>), an amount equal to the Per Share Price, which will be paid in the form of Pubco Common Stock, with each share of Pubco Common Stock valued at $10.00 per share. The holders of Company Options that are outstanding immediately prior to the Effective Time shall receive such number of Assumed Options as described in <u>Section 1.10(c)</u> with such terms and conditions as described in <u>Section 1.10(c)</u>, and the holders of Company Warrants that are outstanding immediately prior to the Effective Time shall receive such number of Assumed Warrants as described in <u>Section 1.10(d)</u> with such terms and conditions as described in <u>Section 1.10(d)</u>. For the avoidance of doubt, other than holders of Company Options who execute and deliver Assumed Option Agreements in accordance with <u>Section 1.10(c)</u> and holders of Company Warrants, no holder of Company Securities will receive any consideration under or in connection with this Agreement unless they are holders of Company Common Stock as of the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.9. <u>Effect of Purchaser Merger on Issued and Outstanding Securities of the Purchaser and Purchaser Merger Sub</u>. At the Effective Time, by virtue of the Purchaser Merger, and without any action on the part of any Party or the holders of securities of any Party:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Purchaser Public Units*. At the Effective Time, every issued and outstanding Purchaser Public Unit shall be automatically separated and the holder thereof shall be deemed to hold one Purchaser Class A Ordinary Share and one-third (1/3<sup>rd</sup>) of a Purchaser Public Warrant, which underlying Purchaser Securities shall be converted in accordance with the applicable terms of this <u>Section 1.9</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Purchaser Ordinary Shares*. At the Effective Time, each issued and outstanding Purchaser Class A Ordinary Share that is not redeemed or converted in the Closing Redemption and Purchaser Class B Ordinary Share (other than Purchaser Dissenting Shares or those described in <u>Section 1.9(d)</u> below) shall be converted automatically into and thereafter represent the right to own one share of Pubco Common Stock. Following the Effective Time, all Purchaser Ordinary Shares shall cease to be outstanding and shall automatically be canceled and shall cease to exist. The holders of Purchaser Ordinary Shares outstanding immediately prior to the Effective Time shall cease to have any rights with respect to such Purchaser Ordinary Shares, except as provided herein or under applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Purchaser Warrants*. At the Effective Time, each issued and outstanding Purchaser Public Warrant shall be assumed by Pubco and converted into one Pubco Public Warrant and each issued and outstanding Purchaser Private Warrant shall be assumed by Pubco and converted into one Pubco Private Warrant. At the Effective Time, the Purchaser Warrants shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each of the Pubco Public Warrants shall have, and be subject to, substantially the same terms and conditions set forth in the Purchaser Public Warrants, except that in each case they shall represent the right to acquire shares of Pubco Common Stock in lieu of Purchaser Ordinary Shares. At or prior to the Effective Time, Pubco shall take all corporate action necessary to reserve for future issuance, and shall maintain such reservation for so long as any of the Pubco Public Warrants remain outstanding, a sufficient number of shares of Pubco Common Stock for delivery upon the exercise of such Pubco Public Warrants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Treasury Shares*. At the Effective Time, if there are any shares of Purchaser that are owned by Purchaser as treasury shares, such shares shall be canceled and extinguished without any conversion thereof or payment therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Purchaser Merger Sub Shares*. At the Effective Time, each ordinary share of Purchaser Merger Sub outstanding immediately prior to the Effective Time shall be converted into an equal number of ordinary shares of Purchaser Surviving Corporation, with the same rights, powers and privileges as the shares so converted and shall constitute the only outstanding shares of Purchaser Surviving Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Transfers of Ownership*. If any certificate for securities of Purchaser is to be issued in a name other than that in which the certificate surrendered in exchange therefor is registered, it will be a condition of the issuance thereof that the certificate so surrendered will be properly endorsed (or accompanied by an appropriate instrument of transfer) and otherwise in proper form for transfer and that the person requesting such exchange will have paid to Purchaser or any agent designated by it any transfer or other Taxes required by reason of the issuance of a certificate for securities of Purchaser in any name other than that of the registered holder of the certificate surrendered, or established to the satisfaction of Purchaser or any agent designated by it that such tax has been paid or is not payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *No Liability*. Notwithstanding anything to the contrary in this <u>Section 1.9</u>, none of the Surviving Purchaser Corporation, Pubco or any other Party hereto shall be liable to any Person for any amount properly paid to a public official pursuant to any applicable abandoned property, escheat or similar law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Surrender of Purchaser Certificates*. Securities issued upon the surrender of Purchaser Securities in accordance with the terms hereof shall be deemed to have been issued in full satisfaction of all rights pertaining to such securities, provided that any restrictions on the sale and transfer of Purchaser Securities shall also apply to the Pubco Securities so issued in exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Lost, Stolen or Destroyed Purchaser Certificates*. In the event any certificates shall have been lost, stolen or destroyed, Pubco shall issue in exchange for such lost, stolen or destroyed certificates or securities, as the case may be, upon the making of an affidavit of that fact by the holder thereof, such securities, as may be required pursuant to this <u>Section 1.9</u>; provided, however, that Pubco may, in its discretion and as a condition precedent to the issuance thereof, require the owner of such lost, stolen or destroyed certificates to agree to indemnify Pubco and the Purchaser Surviving Corporation, or deliver a bond in such sum as it may reasonably direct as indemnity against any claim that may be made against the Purchaser Surviving Corporation or Pubco, with respect to the certificates alleged to have been lost, stolen or destroyed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) *Purchaser Dissenting Shares*. Notwithstanding any provision of this Agreement to the contrary and to the extent available under the Companies Act, the Purchaser Ordinary Shares that are issued and outstanding immediately prior to the Effective Time and that are held by Purchaser shareholders who shall have demanded properly in writing dissenters' rights for such Purchaser Ordinary Shares in accordance with Section 238 of the Companies Act and otherwise complied with all of the provisions of the Companies Act relevant to the exercise and perfection of dissenters' rights (the "***Purchaser Dissenting Shares***" and the holders of such Purchaser Dissenting Shares being the "***Purchaser Dissenting Shareholders***") shall be automatically canceled and cease to exist at the Effective Time and shall thereafter represent only the right to be paid by the Purchaser Surviving Corporation the fair value of such Purchaser Dissenting Shares and such other rights provided pursuant to Section 238 of the Companies Act and shall not be converted into, and such Purchaser Dissenting Shareholders shall have no right to receive, Pubco Common Stock, unless and until such Purchaser shareholder fails to perfect his, her or its right to dissenters' rights under the Companies Act. The Purchaser Ordinary Shares owned by any Purchaser shareholder who fails to perfect his, her or its dissenters' rights pursuant to the Companies Act shall be canceled and converted into, and become exchangeable for, as of the Effective Time, the right to receive Pubco Common Stock pursuant to <u>Section 1.9(b)</u>, without any interest thereon. Prior to the Closing, Purchaser shall give the Company notice as promptly as practicable of any demands for dissenters' rights received by Purchaser and any withdrawals of such demands. If any Purchaser shareholder gives to Purchaser, before the Required Purchaser Shareholder Approval is obtained at the Purchaser Shareholder Meeting, written objection to the Purchaser Merger (each, a "***Written Objection***") in accordance with Section 238(2) of the Companies Act (i) Purchaser shall, in accordance with Section 238(4) of the Companies Act, as promptly as practicable give written notice of the authorization of the Purchaser Merger (the "***Authorization Notice***") to each such Purchaser shareholder who has made a Written Objection, and (ii) Purchaser and Company may, but are not obliged to, delay the commencement of the Closing and the filing of the Purchaser Plan of Merger with the Cayman Islands Registrar, until at least twenty (20) days shall have elapsed since the date on which the Authorization Notice is given (being the period allowed for written notice of an election to dissent under Section 238(5) of the Companies Act, as referred to in Section 239(1) of the Companies Act), but in any event subject to the satisfaction or waiver of all of the conditions set forth in <u>ARTICLE VII</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.10. <u>Effect of Company Merger on Issued Securities of the Company and Company Merger Sub.</u> At the Effective Time, by virtue of the Company Merger and without any action on the part of any Party or the holders of securities of any Party:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Company Common Stock*. Subject to clause (b) below and excluding any Company Dissenting Shares, each share of Company Common Stock issued and outstanding immediately prior to the Effective Time will automatically be cancelled and cease to exist in exchange for the right to receive a number of shares of Pubco Common Stock equal to the result obtained by dividing the Per Share Price by $10.00 per share (the "***Conversion Ratio***"). As of the Effective Time, each Company Stockholder shall cease to have any other rights in and to the Company or the Company Surviving Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Treasury Stock*. Notwithstanding clause (a) above or any other provision of this Agreement to the contrary, at the Effective Time, if there are any shares of Company Common Stock that are owned by the Company as treasury shares or owned by any direct or indirect Subsidiary of the Company immediately prior to the Effective Time, such shares of Company Common Stock shall be canceled and shall cease to exist and no consideration will be delivered or deliverable in exchange therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Company Options*. Each outstanding Company Option (whether vested or unvested) shall be assumed by Pubco and automatically converted into an option for shares of Pubco Common Stock (each, an "***Assumed Option***"). Subject to the subsequent sentence, each Assumed Option will be subject to the terms and conditions set forth in the existing agreement for such Company Option (except any references therein to the Company or Company Common Stock will instead mean Pubco and Pubco Common Stock, respectively). Each Assumed Option shall: (i) have the right to acquire a number of shares of Pubco Common Stock equal to (as rounded down to the nearest whole number) the product of (A) the number of shares of Company Common Stock which the Company Option had the right to acquire immediately prior to the Effective Time, multiplied by (B) the Conversion Ratio; (ii) have an exercise price equal to (as rounded up to the nearest whole cent) the quotient of (A) the exercise price of the Company Option (in U.S. Dollars), divided by (B) the Conversion Ratio; and (iii) be subject to the same vesting schedule as the applicable Company Option. Pubco shall take all corporate action necessary to reserve for future issuance, and shall maintain such reservation for so long as any of the Assumed Options remain outstanding, a sufficient number of shares of Pubco Common Stock for delivery upon the exercise of such Assumed Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Company Warrants*. Each outstanding Company Warrant shall be assumed by Pubco and automatically converted into a warrant for shares of Pubco Common Stock (each, an "***Assumed Warrant***"), subject to the terms and conditions of the Company Warrant (except any references therein to the Company or Company Common Stock will instead mean Pubco and Pubco Common Stock, respectively). Each Assumed Warrant shall: (i) have the right to acquire a number of shares of Pubco Common Stock equal to (as rounded down to the nearest whole number) the product of (A) the number of shares of Company Common Stock which the Company Warrant had the right to acquire immediately prior to the Effective Time, multiplied by (B) the Conversion Ratio; and (ii) have an exercise price equal to (as rounded up to the nearest whole cent) the quotient of (A) the exercise price of the Company Warrant (in U.S. Dollars), divided by (B) the Conversion Ratio. Pubco shall take all corporate action necessary to reserve for future issuance, and shall maintain such reservation for so long as any of the Assumed Warrants remain outstanding, a sufficient number of shares of Pubco Common Stock for delivery upon the exercise of such Assumed Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Other Company Convertible Securities*. Any Company Convertible Security other than a Company Option or Company Warrant, if not exercised or converted prior to the Effective Time into Company Common Stock shall be cancelled, retired and terminated and thereby cease to represent any right to acquire, be exchanged for or convert into Company Common Stock or any other security or otherwise receive payment of cash or other consideration therefor, whether upon any contingency or valuation or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Company Dissenting Shares*. Each of the Company Dissenting Shares issued and outstanding immediately prior to the Effective Time shall be cancelled and cease to exist in accordance with <u>Section 1.17</u> and shall thereafter represent only the right to receive the applicable payments set forth in <u>Section 1.17</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Company Merger Sub Shares.* At the Effective Time, all shares of common stock of Company Merger Sub outstanding immediately prior to the Effective Time shall be converted into an equal amount of shares of common stock of Company Surviving Corporation, with the same rights, powers and privileges as the shares so converted and shall constitute the only shares of capital stock in Company Surviving Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.11. <u>Effect of Mergers on Issued and Outstanding Securities of Pubco.</u> At the Effective Time, by virtue of the Mergers and without any action on the part of any Party or the holders of securities of the Purchaser or the Company, all of the shares of Pubco issued and outstanding immediately prior to the Effective Time shall be canceled and extinguished and no consideration will be delivered or deliverable in exchange therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.12. <u>Exchange Procedures.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) As promptly as reasonably practicable following the date of this Agreement, but in no event later than ten (10) Business Days prior to the Closing Date, the Purchaser, the Company and Pubco shall appoint Continental Stock Transfer & Trust Company, or another agent reasonably acceptable to the Company and Purchaser (the "***Exchange Agent***") and enter into an exchange agent agreement with the Exchange Agent for the purpose of (i) collecting letters of transmittal and other documents from the holders of Company Common Stock; and (ii) exchanging share of Company Common Stock on the stock transfer books of the Company that is outstanding immediately prior to the Effective Time for the consideration issuable in respect of such Company Common Stock pursuant to <u>Section 1.10(a)</u> (after giving effect to any required Tax withholding as provided under <u>Section 1.13</u>) and on the terms and subject to the other conditions set forth in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) At the Effective Time, Pubco shall deposit, or cause to be deposited, with the Exchange Agent, for the benefit of the holders of Company Common Stock, and for exchange in accordance with this <u>Section 1.12</u> through the Exchange Agent, (i) evidence of Pubco Common Stock in book entry form representing the aggregate consideration issuable pursuant to <u>Section 1.10(a)</u> in exchange for the Company Common Stock outstanding immediately prior to the Effective Time, after giving effect to any required Tax withholding as provided under <u>Section 1.13</u>. All Pubco Common Stock in book entry form representing the aggregate consideration issuable pursuant to <u>Section 1.10(a)</u> deposited with the Exchange Agent shall be collectively referred to in this Agreement as the "***Exchange Fund***."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Promptly after the Effective Time, the Exchange Agent shall send to each holder of Company Common Stock a letter of transmittal for use in exchanging Company Common Stock in a form satisfactory to the Purchaser and the Company (a "***Letter of Transmittal***") (which shall specify that the delivery of book entry shares or warrants in respect of the consideration to which such holder is entitled pursuant to this <u>Article I</u> shall be effected, and risk of loss and title shall pass, only upon proper delivery of a duly executed Letter of Transmittal and Company Certificate (or a Lost Certificate Affidavit), as applicable, together with such other documents as may reasonably be requested by the Exchange Agent, to the Exchange Agent) for use in such exchange. Until so surrendered, Company Certificate shall represent after the Effective Time for all purposes only the right to receive the consideration attributable to such Company Certificate pursuant to this <u>Article I</u>. Upon surrender to the Exchange Agent of: (i) any stock certificates or other instruments representing the Company Common Stock, if any, or book entry shares representing the Company Common Stock (collectively, the "***Company Certificates***"), or in the case of a lost, stolen or destroyed Company Certificate, upon delivery of Lost Certificate Affidavit (and indemnity, if required) in the manner provided in <u>Section 1.12(f)</u>, for cancellation; (ii) a duly executed Letter of Transmittal; and (iii) any related documentation reasonably requested by the Exchange Agent in connection therewith, each such holder shall be entitled to receive in exchange therefore, and the Exchange Agent shall issue in book entry form, the consideration payable pursuant to the provisions of this <u>Article I</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If shares of Pubco Common Stock are to be issued in a name other than that in which the Company Certificates surrendered in exchange therefor are registered, it will be a condition to the issuance thereof that the Company Certificates so surrendered will be properly endorsed (if applicable) and otherwise in proper form for transfer and that the Persons requesting such exchange will have paid to the Exchange Agent any transfer or other taxes required by reason of the issuance of the shares of Pubco Common Stock in any name other than that of the registered holder of the Company Certificates surrendered, or established to the satisfaction of the Exchange Agent that such tax has been paid or is not payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary contained in this Agreement, no fraction of a share of Pubco Common Stock will be issued by Pubco by virtue of this Agreement or the Mergers or the other transactions contemplated hereby, and each Person who would otherwise be entitled to a fraction of a share of Pubco Common Stock (after aggregating all fractional shares of Pubco Common Stock that otherwise would be received by such holder) shall instead have the number of shares of Pubco Common Stock issued to such Person rounded up in the aggregate to the nearest whole share of Pubco Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) In the event any Company Certificate shall have been lost, stolen or destroyed, upon the making of an affidavit of that fact (a "***Lost Certificate Affidavit***") by the Person claiming such Company Certificate to be lost, stolen or destroyed and, if required by Pubco, the posting by such Person of a bond in customary amount and upon such terms as may be reasonably required by Pubco as indemnity against any claim that may be made against it with respect to such Company Certificate, Pubco will issue or cause to be issued the number of shares of Pubco Common Stock for which such lost, stolen or destroyed Company Certificates are exchangeable at the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) No interest will be paid or accrued on the Pubco Common Stock to be issued pursuant to this <u>Article I</u> (or any portion thereof). From and after the Effective Time, until surrendered or transferred, as applicable, in accordance with this <u>Section 1.12</u>, each share of Company Common Stock shall solely represent the right to receive the number of shares of Pubco Common Stock that such share of Company Common Stock is entitled to receive pursuant to <u>Section 1.10(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) At the Effective Time, the stock transfer books of the Company shall be closed and there shall be no transfers of Company Common Stock that were outstanding immediately prior to the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any portion of the Exchange Fund that remains unclaimed by the Company Stockholders twelve (12) months following the Closing Date shall be delivered to Pubco or as otherwise instructed by Pubco, and any Company Stockholder who has not exchanged his, her or its Company Common Stock for the Pubco Common Stock in accordance with this <u>Section 1.12</u> prior to that time shall thereafter look only to Pubco for the issuance of the Pubco Common Stock without any interest thereon. No Party, including Pubco, the Surviving Corporations or any of their respective Affiliates, shall be liable to any Person in respect of any consideration delivered to a public official pursuant to any applicable abandoned property, unclaimed property, escheat, or similar Law. Any Pubco Common Stock remaining unclaimed by the Company Stockholders immediately prior to such time when the amounts would otherwise escheat to or become property of any Governmental Authority shall become, to the extent permitted by applicable Law, the property of Pubco, free and clear of any claims or interest of any Person previously entitled thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Prior to the Effective Time, the Company shall send to each holder of a Company Option a customary letter of transmittal in form and substance reasonably acceptable to Purchaser which shall specify that the delivery of Assumed Options shall be effected in exchange for the Company Options upon the Effective Time. The Company shall include with each such letter of transmittal a notice and acknowledgment to be executed by such holder that such holder's Company Options are being converted into Assumed Options in accordance with the terms and conditions set forth in this Agreement without further obligation on the part of the Company or Pubco and that the holder of such Company Options has no further rights or claims to any further equity in the Company in respect of such Company Option other than such conversion. The Company shall use its commercially reasonable efforts to obtain duly executed copies of all such acknowledgments, and Pubco shall not issue Assumed Options for Company Options until it shall have received from each holder thereof (x) such letter of transmittal, completed and duly executed by such holder, with respect to such Company Option, and (y) a duly executed counterpart to the agreement for the Assumed Option in form and substance to be mutually agreed by Purchaser and the Company reasonably and in good faith (an "***Assumed Option Agreement***"), which, among other matters, will release the Company from its obligations with respect to the Company Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Prior to the Effective Time, the Company shall send to each holder of a Company Warrant a customary letter of transmittal in form and substance reasonably acceptable to Purchaser which shall specify that the delivery of Assumed Warrants shall be effected in exchange for the Company Warrants upon the Effective Time. The Company shall include with each such letter of transmittal a notice and acknowledgment to be executed by such holder that such holder's Company Warrants are being converted into Assumed Warrants in accordance with the terms and conditions set forth in this Agreement without further obligation on the part of the Company or Pubco and that the holder of such Company Warrants has no further rights or claims to any further equity in the Company in respect of such Company Warrant other than such conversion. The Company shall use its commercially reasonable efforts to obtain duly executed copies of all such acknowledgments. The conversion and issuance of Assumed Warrants shall be effective as of the Effective Time in accordance with <u>Section 1.10(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.13. <u>Domestication</u>. Immediately after the Closing, Purchaser Surviving Corporation shall de-register from the Register of Companies in the Cayman Islands as an exempted company and transfer by way of continuation from the Cayman Islands and to the State of Delaware so as to re-domicile as and become a Delaware corporation pursuant to the Companies Act and the applicable provisions of the DGCL, and the Purchaser Surviving Corporation shall adopt new Organizational Documents for a Delaware corporation in a form to be mutually agreed by the Purchaser and the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.14. <u>Withholding</u>. Each of the Purchaser, the Company, Pubco, and the Exchange Agent and each of their respective Affiliates shall be entitled to deduct and withhold (or cause to be deducted and withheld) from any amount payable pursuant to this Agreement such amounts as are required to be deducted and withheld under applicable Tax Law. To the extent that amounts are so withheld and timely remitted to the applicable Governmental Authority, such withheld amounts shall be treated for all purposes of this Agreement as having been paid to the Person in respect of which such deduction and withholding was made. The Parties shall cooperate in good faith to eliminate or reduce any such deduction or withholding (including through the request and provision of any statements, forms or other documents to reduce or eliminate any such deduction or withholding).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.15. <u>Tax Consequences.</u> It is intended that for U.S. federal income tax purposes that (a) this Agreement constitute and hereby is adopted as a "plan of reorganization" within the meaning of Treasury Regulations Sections 1.368-2(g) and 1.368-3(a), and (b) the Mergers shall, collectively, constitute an exchange governed by the provisions of Section 351 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.16. <u>Taking of Necessary Action; Further Action</u>. If, at any time after the Effective Time, any further action is necessary or desirable to carry out the purposes of this Agreement and to vest Purchaser Surviving Corporation and Company Surviving Corporation with full right, title and possession to all assets, property, rights, agreements, privileges, powers and franchises of Purchaser Merger Sub and Company Merger Sub, respectively, the then current officers and directors of Purchaser Surviving Corporation, Company Surviving Corporation and Pubco shall take all such lawful and necessary action, so long as such action is not inconsistent with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.17. <u>Appraisal and Dissenter's Rights</u>. No Company Stockholder who has validly exercised its appraisal rights pursuant to Section 262 of the DGCL (a "***Company Dissenting Stockholder***") with respect to its Company Common Stock (such shares, "***Company Dissenting Shares***") shall be entitled to receive any portion of the Stockholder Merger Consideration with respect to the Company Dissenting Shares owned by such Company Dissenting Stockholder unless and until such Company Dissenting Stockholder shall have effectively withdrawn or lost its appraisal rights under the DGCL. Each Company Dissenting Stockholder shall be entitled to receive only the payment resulting from the procedure set forth in Section 262 of the DGCL with respect to the Company Dissenting Shares owned by such Company Dissenting Stockholder. The Company shall give the Purchaser (i) prompt notice of any written demands for appraisal, attempted withdrawals of such demands, and any other instruments served pursuant to applicable Laws that are received by the Company or Pubco relating to any Company Dissenting Stockholder's rights of appraisal and (ii) the opportunity to participate in all negotiations and proceedings with respect to demand for appraisal under the DGCL. Neither the Company nor Pubco shall, except with the prior written consent of the Purchaser, voluntarily make any payment with respect to any demands for appraisal, offer to settle or settle any such demands or approve any withdrawal of any such demands.

**ARTICLE II CLOSING**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1. <u>Closing</u>. Subject to the satisfaction or waiver of the conditions set forth in Article VII, the consummation of the transactions contemplated by this Agreement (the "***Closing***") shall take place electronically by exchange of closing deliverables as promptly as reasonably practicable, but in no event later than the second (2<sup>nd</sup>) Business Day, after all the conditions set forth in Article VII have been satisfied or waived (other than those conditions that by their nature are to be satisfied at the Closing, but subject to satisfaction or waiver of such conditions), or at such other date, time or place as the Purchaser and the Company may agree (the date and time at which the Closing is actually held being the "***Closing Date***").

**ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE PURCHASER**

Except as set forth in (i) the disclosure schedules delivered by the Purchaser to the Company on the date hereof (the "***Purchaser Disclosure Schedules***"), the Section numbers of which are numbered to correspond to the Section numbers of this Agreement to which they refer, or (ii) the SEC Reports filed with the SEC prior to the date hereof and that are available on the SEC's website through EDGAR prior to the date hereof (excluding any disclosures in any "risk factors" section that do not constitute statements of fact, disclosures in any forward-looking statements disclaimers and other disclosures that are generally cautionary, predictive or forward-looking in nature), the Purchaser represents and warrants to the Company, as of the date hereof and as of the Closing, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1. <u>Organization and Standing</u>. The Purchaser is an exempted company duly incorporated, validly existing and in good standing under the Laws of the Cayman Islands. The Purchaser has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted. The Purchaser is duly qualified or licensed and in good standing to do business in each jurisdiction in which the character of the property owned, leased, or operated by it or the nature of the business conducted by it makes such qualification or licensing necessary, except where the failure to be so qualified or licensed or in good standing can be cured without material cost or expense. The Purchaser has heretofore made available to the Company accurate and complete copies of its Organizational Documents, as currently in effect. The Purchaser is not in violation of any provision of its Organizational Documents in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2. <u>Authorization; Binding Agreement</u>. The Purchaser has all requisite corporate power and authority to execute and deliver this Agreement and each Ancillary Document to which it is a party, to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby, subject to obtaining the Required Purchaser Shareholder Approval. The execution and delivery of this Agreement and each Ancillary Document to which the Purchaser is a party and the consummation of the transactions contemplated hereby and thereby (a) have been duly and validly authorized by the board of directors of the Purchaser, and (b) other than the Required Purchaser Shareholder Approval, no other corporate proceedings, other than as set forth elsewhere in the Agreement, on the part of the Purchaser are necessary to authorize the execution and delivery of this Agreement and each Ancillary Document to which it is a party or to consummate the transactions contemplated hereby and thereby. This Agreement has been, and each Ancillary Document to which the Purchaser is a party shall be when delivered, duly and validly executed and delivered by the Purchaser and, assuming the due authorization, execution and delivery of this Agreement and such Ancillary Documents by the other parties hereto and thereto, constitutes, or when delivered shall constitute, the valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms, except to the extent that enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization and moratorium laws and other laws of general application affecting the enforcement of creditors' rights generally or by any applicable statute of limitation or by any valid defense of set-off or counterclaim, and the fact that equitable remedies or relief (including the remedy of specific performance) are subject to the discretion of the court from which such relief may be sought (collectively, the "***Enforceability Exceptions***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3. <u>Governmental Approvals</u>. Except as otherwise described in <u>Schedule 3.3</u>, no Consent of or with any Governmental Authority, on the part of the Purchaser is required to be obtained or made in connection with the execution, delivery or performance by the Purchaser of this Agreement and each Ancillary Document to which it is a party or the consummation by the Purchaser of the transactions contemplated hereby and thereby, other than (a) pursuant to Antitrust Laws, (b) such filings as contemplated by this Agreement, (c) any filings required with the SEC with respect to the transactions contemplated by this Agreement, (d) applicable requirements, if any, of the Securities Act, the Exchange Act, and/ or any state "blue sky" securities Laws, and the rules and regulations thereunder, and (e) where the failure to obtain or make such Consents or to make such filings or notifications, would not reasonably be expected to have a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4. <u>Non-Contravention</u>. Except as otherwise described in <u>Schedule 3.4</u>, the execution and delivery by the Purchaser of this Agreement and each Ancillary Document to which it is a party, the consummation by the Purchaser of the transactions contemplated hereby and thereby, and compliance by the Purchaser with any of the provisions hereof and thereof, will not (a) conflict with or violate any provision of the Purchaser's Organizational Documents, (b) subject to obtaining the Consents from Governmental Authorities referred to in <u>Section 3.3</u> hereof, and the waiting periods referred to therein having expired, and any condition precedent to such Consent or waiver having been satisfied, conflict with or violate any Law, Order or Consent applicable to the Purchaser or any of its properties or assets, or (c) (i) violate, conflict with or result in a breach of, (ii) constitute a default (or an event which, with notice or lapse of time or both, would constitute a default) under, (iii) result in the termination, withdrawal, suspension, cancellation or modification of, (iv) accelerate the performance required by the Purchaser under, (v) result in a right of termination or acceleration under, (vi) give rise to any obligation to make payments or provide compensation under, (vii) result in the creation of any Lien upon any of the properties or assets of the Purchaser under, (viii) give rise to any obligation to obtain any third party Consent or provide any notice to any Person, or (ix) give any Person the right to declare a default, exercise any remedy, claim a rebate, chargeback, penalty or change in delivery schedule, accelerate the maturity or performance, cancel, terminate or modify any right, benefit, obligation or other term under, any of the terms, conditions or provisions of, any Purchaser Material Contract, except for any deviations from any of the foregoing clauses (b) or (c) that would not reasonably be expected to have a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5. <u>Capitalization.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Purchaser has an authorized share capital of $22,100 comprised of: (i) 220,000,000 Purchaser Ordinary Shares, consisting of 200,000,000 Purchaser Class A Ordinary Shares, par value $0.0001 per share, of which 5,681,485 Purchaser Class A Ordinary Shares are issued and outstanding as of the date of this Agreement, and 20,000,000 Purchaser Class B Ordinary Shares, par value $0.0001 per share, of which 2,110,122 Purchaser Class B Ordinary Shares are issued and outstanding as of the date of this Agreement, and (ii) 1,000,000 Purchaser Preference Shares. The issued and outstanding Purchaser Securities are set forth on <u>Schedule 3.5(a)</u>. There are no issued or outstanding Purchaser Preferred Shares. All outstanding Purchaser Securities (other than the Purchaser Warrants) are duly authorized, validly issued, fully paid and non-assessable and (i) are not subject to or issued in violation of any purchase option, right of first refusal, preemptive right, subscription right or any similar right or (ii) were not issued, granted, offered or sold in violation of any provision of the DGCL, any other applicable Law, the Purchaser's Organizational Documents or any Contract to which the Purchaser is a party or by which it or its securities are bound. The Purchaser Warrants are legally binding obligations of the Purchaser enforceable in accordance with their terms. None of the outstanding shares or other Purchaser Securities has been granted, offered, sold or issued in violation of any applicable securities Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth in <u>Schedule 3.5(a)</u> and <u>Schedule 3.5(b)</u> there are no Equity Securities of the Purchaser, whether or not outstanding. Except as set forth in <u>Schedule 3.5(a)</u> or <u>Schedule 3.5(b)</u> there are no (i) outstanding options, warrants, puts, calls, convertible securities, preemptive or similar rights, (ii) bonds, debentures, notes or other Indebtedness having general voting rights or that are convertible or exchangeable into securities having such rights or (iii) subscriptions or other rights, agreements, arrangements, Contracts or commitments of any character (other than this Agreement and the Ancillary Documents), (A) relating to the issued or unissued shares of the Purchaser or (B) obligating the Purchaser to issue, transfer, deliver or sell or cause to be issued, transferred, delivered, sold or repurchased any options or shares or securities convertible into or exchangeable for such shares, or (C) obligating the Purchaser to grant, extend or enter into any such option, warrant, call, subscription or other right, agreement, arrangement or commitment for such capital shares. Other than the Closing Redemption (or any redemption in connection with an Extension) or as expressly set forth in this Agreement, there are no outstanding obligations of Purchaser to repurchase, redeem or otherwise acquire any shares of the Purchaser or to provide funds to make any investment (in the form of a loan, capital contribution or otherwise) in any Person. Except as set forth in <u>Schedule 3.5(b)</u>, there are no shareholders agreements, voting trusts or other agreements or understandings to which the Purchaser is a party with respect to the voting of any shares of Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) All Indebtedness of the Purchaser as of the date of this Agreement is disclosed on <u>Schedule 3.5(c)</u>. No Indebtedness of Purchaser contains any restriction upon (i) the prepayment of any of such Indebtedness, (ii) the incurrence of Indebtedness by the Purchaser, or (iii) the ability of the Purchaser to grant any Lien on its properties or assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Since the date of incorporation of the Purchaser, and except as contemplated by this Agreement, the Purchaser has not declared or paid any distribution or dividend in respect of its shares and has not repurchased, redeemed or otherwise acquired any of its shares, the Purchaser's board of directors has not authorized any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6. <u>SEC Filings and Purchaser Financials.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Purchaser has timely filed all forms, reports, schedules, statements, registration statements, prospectuses and other documents required to be filed or furnished by the Purchaser with the SEC under the Securities Act and/or the Exchange Act, together with any amendments, restatements or supplements thereto, and will file all such forms, reports, schedules, statements and other documents required to be filed subsequent to the date of this Agreement. Except to the extent available on the SEC's web site through EDGAR, the Purchaser has delivered to the Company copies in the form filed with the SEC of all of the following: (i) the Purchaser's annual reports on Form 10-K for each fiscal year of the Purchaser beginning with the first year the Purchaser was required to file such a form, (ii) the Purchaser's quarterly reports on Form 10-Q for each fiscal quarter that the Purchaser filed such reports to disclose its quarterly financial results in each of the fiscal years of the Purchaser referred to in clause (i) above, (iii) all other forms, reports, registration statements, prospectuses and other documents (other than preliminary materials) filed by the Purchaser with the SEC since the beginning of the first fiscal year referred to in clause (i) above (the forms, reports, registration statements, prospectuses and other documents referred to in clauses (i), (ii) and (iii) above, whether or not available through EDGAR, are, collectively, the "***SEC Reports***") and (iv) all certifications and statements required by (A) Rules 13a-14 or 15d-14 under the Exchange Act, and (B) 18 U.S.C. §1350 (Section 906 of SOX) with respect to any report referred to in clause (i) above (collectively, the "***Public Certifications***"). The SEC Reports (x) were prepared in all material respects in accordance with the requirements of the Securities Act and the Exchange Act, as the case may be, and the rules and regulations thereunder and (y) did not, as of their respective effective dates (in the case of SEC Reports that are registration statements filed pursuant to the requirements of the Securities Act) and at the time they were filed with the SEC (in the case of all other SEC Reports) contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements made therein, in the light of the circumstances under which they were made, not misleading. The Public Certifications are each true as of their respective dates of filing. As used in this <u>Section 3.6</u>, the term "file" shall be broadly construed to include any manner permitted by SEC rules and regulations in which a document or information is furnished, supplied or otherwise made available to the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The financial statements and notes of the Purchaser contained or incorporated by reference in the SEC Reports (the "***Purchaser Financials***") fairly present in all material respects the financial position and the results of operations, changes in shareholders' equity, and cash flows of the Purchaser at the respective dates of and for the periods referred to in such financial statements, all in accordance with (i) GAAP applied on a consistent basis throughout the periods involved and (ii) Regulation S-X or Regulation S-K, as applicable (except as may be indicated in the notes thereto and for the omission of notes and audit adjustments in the case of unaudited quarterly financial statements to the extent permitted by Regulation S-X or Regulation S-K, as applicable). The Purchaser has no off-balance sheet arrangements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as and to the extent reflected or reserved against in the Purchaser Financials, the Purchaser has not incurred any Liabilities or obligations of the type required to be reflected on a balance sheet in accordance with GAAP that are not adequately reflected or reserved on or provided for in the Purchaser Financials, other than Liabilities of the type required to be reflected on a balance sheet in accordance with GAAP that have been incurred since the Purchaser's incorporation in the ordinary course of business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7. <u>Absence of Certain Changes</u>. As of the date of this Agreement, except as set forth in <u>Schedule 3.7</u>, the Purchaser has, (a) since its incorporation, conducted no business other than its incorporation, the public offering of its securities (and the related private offerings), public reporting and its search for an initial Business Combination as described in the IPO Prospectus (including the investigation of the Target Companies and the negotiation and execution of this Agreement) and related activities and (b) not been subject to a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8. <u>Compliance with Laws</u>. The Purchaser is, and has since its incorporation been, in compliance with all Laws applicable to it and the conduct of its business except for such noncompliance which would not reasonably be expected to have a Material Adverse Effect on the Purchaser, and the Purchaser has not received written notice alleging any violation of applicable Law in any material respect by the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9. <u>Actions; Orders; Permits</u>. There is no pending or, to the Knowledge of the Purchaser, threatened material Action to which the Purchaser is subject which would reasonably be expected to have a Material Adverse Effect on the Purchaser. There is no material Action that the Purchaser has pending against any other Person. The Purchaser is not subject to any material Orders of any Governmental Authority, nor are any such Orders pending. The Purchaser holds all material Permits necessary to lawfully conduct its business as presently conducted, and to own, lease and operate its assets and properties, all of which are in full force and effect, except where the failure to hold such Consent or for such Consent to be in full force and effect would not reasonably be expected to have a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10. Taxes and Returns.(a) The Purchaser has timely filed, or caused to be timely filed, all material Tax Returns required to be filed by it, which such Tax Returns are accurate and complete in all material respects, and has paid, collected or withheld, or caused to be paid, collected or withheld, all material Taxes required to be paid, collected or withheld, other than such Taxes for which adequate reserves in the Purchaser Financials have been established in accordance with GAAP. <u>Schedule 3.10(a)</u> sets forth each jurisdiction where the Purchaser files or is required to file a Tax Return. There are no audits, examinations, investigations or other proceedings pending against the Purchaser in respect of any Tax, and the Purchaser has not been notified in writing of any proposed Tax claims or assessments against the Purchaser (other than, in each case, claims or assessments for which adequate reserves in the Purchaser Financials have been established in accordance with GAAP or are immaterial in amount). There are no Liens with respect to any Taxes upon any of the Purchaser's assets, other than Permitted Liens. The Purchaser has no outstanding waivers or extensions of any applicable statute of limitations to assess any material amount of Taxes. There are no outstanding requests by the Purchaser for any extension of time within which to file any Tax Return or within which to pay any Taxes shown to be due on any Tax Return.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Since the date of its incorporation, the Purchaser has not (i) changed any Tax accounting methods, policies, or procedures except as required by a change in Law, (ii) made, revoked, or amended any material Tax election, (iii) filed any amended Tax Returns or claim for refund, or (iv) entered into any closing agreement affecting or otherwise settled or compromised any material Tax Liability or refund.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the Knowledge of the Purchaser, there are no facts or circumstances that would reasonably be expected to prevent the Company Merger from qualifying as a "reorganization" within the meaning of Section 368(a) of the Code, or from the Mergers, together, from qualifying as a transaction described in Section 351 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11. <u>Employees and Employee Benefit Plans.</u> The Purchaser does not (a) have any paid employees or (b) maintain, sponsor, contribute to or otherwise have any Liability under, any Benefit Plans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12. <u>Properties.</u> The Purchaser does not own, license, or otherwise have any right, title or interest in any material Intellectual Property. The Purchaser does not own or lease any material real property or material Personal Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.13. <u>Material Contracts.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as set forth on <u>Schedule 3.13(a)</u>, other than this Agreement and the Ancillary Documents, there are no Contracts to which the Purchaser is a party or by which any of its properties or assets may be bound, subject or affected, which (i) creates or imposes a Liability greater than $100,000, (ii) may not be cancelled by the Purchaser on less than thirty (30) days' prior notice without payment of a material penalty or termination fee, or (iii) prohibits, prevents, restricts or impairs in any material respect any business practice of the Purchaser as its business is currently conducted, any acquisition of material property by the Purchaser, or restricts in any material respect the ability of the Purchaser to engage in business as currently conducted by it or compete with any other Person (each, a "***Purchaser Material Contract***"). All Purchaser Material Contracts have been made available to the Company other than those that are exhibits to the SEC Reports.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) With respect to each Purchaser Material Contract: (i) the Purchaser Material Contract was entered into at arms' length and in the ordinary course of business; (ii) the Purchaser Material Contract is legal, valid, binding and enforceable in all material respects against the Purchaser and, to the Knowledge of the Purchaser, the other parties thereto, and is in full force and effect (except, in each case, as such enforcement may be limited by the Enforceability Exceptions); (iii) the Purchaser is not in breach or default in any material respect, and no event has occurred that with the passage of time or giving of notice or both would constitute such a breach or default in any material respect by the Purchaser, or permit termination or acceleration by the other party, under such Purchaser Material Contract; and (iv) to the Knowledge of the Purchaser, no other party to any Purchaser Material Contract is in breach or default in any material respect, and no event has occurred that with the passage of time or giving of notice or both would constitute such a breach or default by such other party, or permit termination or acceleration by the Purchaser under any Purchaser Material Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.14. <u>Transactions with Affiliates. Schedule 3.14</u> sets forth a true, correct and complete list of the Contracts and arrangements that are in existence as of the date of this Agreement under which there are any existing or future Liabilities or obligations between the Purchaser and any (a) present or former director, officer or employee or Affiliate of the Purchaser, or any immediate family member of any of the foregoing, or (b) record or beneficial owner of more than five percent (5%) of the Purchaser's outstanding capital stock as of the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.15. <u>Investment Company Act.</u> The Purchaser is not an "investment company" or a Person directly or indirectly "controlled" by or acting on behalf of an "investment company", or required to register as an "investment company", in each case within the meaning of the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.16. <u>Finders and Brokers.</u> Except as set forth on <u>Schedule 3.16</u>, no broker, finder or investment banker is entitled to any brokerage, finder's or other fee or commission from the Purchaser, the Target Companies or any of their respective Affiliates in connection with the transactions contemplated hereby based upon arrangements made by or on behalf of the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.17. <u>Purchaser Activities.</u> Since its incorporation the Purchaser has not engaged in any activities other than activities relating to the pursuit of a Business Combination and related financing activities and its reporting obligations with the SEC and the applicable stock exchange. Purchaser does not own directly or indirectly any ownership, equity, profits or voting interest in any Person (other than Purchaser's 100% ownership of Pubco).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.18. <u>Certain Business Practices.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Neither the Purchaser, nor any of its Representatives acting on its behalf, has (i) used any funds for unlawful contributions, gifts, entertainment or other unlawful expenses relating to political activity, (ii) made any unlawful payment to foreign or domestic government officials or employees, to foreign or domestic political parties or campaigns or violated any provision of the U.S. Foreign Corrupt Practices Act of 1977 or any other local or foreign anti-corruption or bribery Law, (iii) made any other unlawful payment or (iv) since the incorporation of the Purchaser, directly or indirectly, given or agreed to give any unlawful gift or similar benefit in any material amount to any customer, supplier, governmental employee or other Person who is or may be in a position to help or hinder the Purchaser or assist it in connection with any actual or proposed transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The operations of the Purchaser are and have been conducted at all times in material compliance with money laundering statutes in all applicable jurisdictions, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered or enforced by any Governmental Authority, and no Action involving the Purchaser with respect to any of the foregoing is pending or, to the Knowledge of the Purchaser, threatened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) None of the Purchaser or any of its directors or officers, or, to the Knowledge of the Purchaser, any other Representative acting on behalf of the Purchaser is currently identified on the specially designated nationals or other blocked person list or otherwise currently subject to any U.S. sanctions administered by the Office of Foreign Assets Control of the U.S. Treasury Department ("***OFAC***"), and the Purchaser has not, in the last five (5) fiscal years, directly or indirectly, used any funds, or loaned, contributed or otherwise made available such funds to any Subsidiary, joint venture partner or other Person, in connection with any sales or operations in any other country sanctioned by OFAC or for the purpose of financing the activities of any Person currently subject to, or otherwise in violation of, any U.S. sanctions administered by OFAC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.19. <u>Insurance</u>. <u>Schedule 3.19</u> lists all insurance policies (by policy number, insurer, coverage period, coverage amount, annual premium and type of policy) held by the Purchaser relating to the Purchaser or its business, properties, assets, directors, officers and employees, copies of which have been provided to the Company. All premiums due and payable under all such insurance policies have been timely paid and the Purchaser is otherwise in material compliance with the terms of such insurance policies. All such insurance policies are in full force and effect, and to the Knowledge of the Purchaser, there is no threatened termination of, or material premium increase with respect to, any of such insurance policies. There have been no insurance claims made by the Purchaser. The Purchaser has each reported to its insurers all claims and pending circumstances that would reasonably be expected to result in a claim, except where such failure to report such a claim would not be reasonably likely to have a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.20. <u>Independent Investigation</u>. The Purchaser has conducted its own independent investigation, review and analysis of the business, results of operations, prospects, condition (financial or otherwise) or assets of the Target Companies, and acknowledges that it has been provided adequate access to the personnel, properties, assets, premises, books and records, and other documents and data of the Target Companies for such purpose. The Purchaser acknowledges and agrees that: (a) in making its decision to enter into this Agreement and to consummate the transactions contemplated hereby, it has relied solely upon its own investigation and the express representations and warranties of the Company set forth in this Agreement (including the related portions of the Company Disclosure Schedules) and in any certificate delivered to Purchaser pursuant hereto and the information provided by or on behalf of the Company for the Registration Statement; and (b) none of the Company nor its respective Representatives have made any representation or warranty as to the Target Companies, or this Agreement, except as expressly set forth in this Agreement (including the related portions of the Company Disclosure Schedules) or in any certificate delivered to Purchaser pursuant hereto, or with respect to the information provided by or on behalf of the Company for the Registration Statement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.21. <u>Information Supplied</u>. None of the information supplied or to be supplied by the Purchaser expressly for inclusion or incorporation by reference: (a) in any current report on Form 8-K, and any exhibits thereto or any other report, form, registration or other filing made with any Governmental Authority or stock exchange with respect to the transactions contemplated by this Agreement or any Ancillary Documents; (b) in the Registration Statement; or (c) in the mailings or other distributions to the Purchaser's shareholders and/or prospective investors with respect to the consummation of the transactions contemplated by this Agreement or in any amendment to any of the documents identified in (a) through (c), will, when filed, made available, mailed or distributed, as the case may be, contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they are made, not misleading. None of the information supplied or to be supplied by the Purchaser expressly for inclusion or incorporation by reference in any of the Signing Press Release, the Signing Filing, the Closing Press Release and the Closing Filing will, when filed or distributed, as applicable, contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they are made, not misleading. Notwithstanding the foregoing, the Purchaser makes no representation, warranty, or covenant with respect to any information supplied by or on behalf of the Company or its Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.22. <u>Trust Account</u>. As of the date of this Agreement, Purchaser has an amount in cash in the Trust Account equal to at least $1,290,350. The funds held in the Trust Account are (a) invested in United States "government securities" within the meaning of Section 2(a)(16) of the Investment Company Act, having a maturity of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7 promulgated under the Investment Company Act which invest only in direct U.S. government treasury obligations and (b) held in trust pursuant to the Trust Agreement. Prior to the Closing, none of the funds held in the Trust Account are permitted to be released, except in the circumstances described in the Organizational Documents of the Purchaser and the Trust Agreement. The Purchaser has performed all material obligations required to be performed by it to date under, and is not in material default or delinquent in performance or any other respect (claimed or actual) in connection with, the Trust Agreement, and, to the Knowledge of the Purchaser, no event has occurred which, with due notice or lapse of time or both, would constitute such a material default thereunder. As of the date of this Agreement, there are no proceedings pending with respect to the Trust Account. The Purchaser has not released any money from the Trust Account (other than as permitted by the Trust Agreement). Upon the consummation of the transactions hereunder, including the distribution of assets from the Trust Account (i) in respect of deferred underwriting commissions or Taxes, (ii) to the Public Shareholders who have elected to redeem their Purchaser Ordinary Shares pursuant to the Organizational Documents of the Purchaser, or (iii) for the payment of any unpaid Expenses, each in accordance with the terms of and as set forth in the Trust Agreement, the Purchaser shall have no further obligation under either the Trust Agreement or the Organizational Documents of the Purchaser to liquidate or distribute any assets held in the Trust Account, and the Trust Agreement shall terminate in accordance with its terms.

**ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE PURCHASER, PUBCO AND THE MERGER SUBS**

Except as set forth in Purchaser Disclosure Schedules, the Section numbers of which are numbered to correspond to the Section numbers of this Agreement to which they refer, each of the Purchaser, Pubco and the Merger Subs, jointly and severally, represents and warrants to the Company as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1. <u>Organization and Standing.</u> Each of Pubco and the Company Merger Sub are each a corporation duly incorporated, validly existing and in good standing under the Laws of the State of Delaware or the Companies Act, as applicable. The Purchaser Merger Sub is an exempted company duly incorporated, validly existing as an exempted company and in good standing under the Companies Act. Each of Pubco and the Merger Subs has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted. Each of Pubco and the Merger Subs is duly qualified or licensed and in good standing to do business in each jurisdiction in which the character of the property owned, leased, or operated by it or the nature of the business conducted by it makes such qualification or licensing necessary, except where the failure to be so qualified or licensed or in good standing can be cured without material cost or expense. Pubco has heretofore made available to the Company accurate and complete copies of the Organizational Documents of Pubco and the Merger Subs, each as currently in effect. Neither Pubco nor any Merger Sub is in violation of any provision of its Organizational Documents in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2. <u>Authorization; Binding Agreement.</u> Each of Pubco and the Merger Subs has all requisite corporate power and authority to execute and deliver this Agreement and each Ancillary Document to which it is a party, to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery of this Agreement and each Ancillary Document to which any of Pubco or the Merger Subs is a party and the consummation of the transactions contemplated hereby and thereby (a) have been duly and validly authorized by the board of directors of Pubco and the Merger Subs, and (b) no other corporate proceedings, other than as set forth elsewhere in the Agreement, on the part of Pubco and the Merger Subs is necessary to authorize the execution and delivery of this Agreement and each Ancillary Document to which it is a party or to consummate the transactions contemplated hereby and thereby. This Agreement has been, and each Ancillary Document to which the Pubco or Merger Subs is a party shall be when delivered, duly and validly executed and delivered by Pubco or Merger Subs, as applicable, and, assuming the due authorization, execution and delivery of this Agreement and such Ancillary Documents by the other parties hereto and thereto, constitutes, or when delivered shall constitute, the valid and binding obligation of the Pubco or Merger Subs, as applicable, enforceable against the Pubco or Merger Subs, as applicable, in accordance with its terms, subject to the Enforceability Exceptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3. <u>Governmental Approvals.</u> Except as otherwise described in <u>Schedule 4.3</u>, no Consent of or with any Governmental Authority, on the part of any of Pubco and the Merger Subs is required to be obtained or made in connection with the execution, delivery or performance by each of Pubco and the Merger Subs of this Agreement and each Ancillary Document to which it is a party or the consummation by Pubco and the Merger Sub of the transactions contemplated hereby and thereby, other than (a) pursuant to Antitrust Laws, (b) such filings as contemplated by this Agreement, (c) any filings required with the SEC with respect to the transactions contemplated by this Agreement, (d) applicable requirements, if any, of the Securities Act, the Exchange Act, and/ or any state "blue sky" securities Laws, and the rules and regulations thereunder, and (e) where the failure to obtain or make such Consents or to make such filings or notifications, would not reasonably be expected to have a Material Adverse Effect on the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4. <u>Non-Contravention.</u> Except as otherwise described in <u>Schedule 4.4</u>, the execution and delivery by each of Pubco and the Merger Subs of this Agreement and each Ancillary Document to which it is a party, the consummation by each of Pubco and the Merger Subs of the transactions contemplated hereby and thereby, and compliance by each of Pubco and the Merger Subs with any of the provisions hereof and thereof, will not (a) conflict with or violate any provision of such Party's Organizational Documents, (b) subject to obtaining the Consents from Governmental Authorities referred to in <u>Section 4.3</u> hereof, and the waiting periods referred to therein having expired, and any condition precedent to such Consent or waiver having been satisfied, conflict with or violate any Law, Order or Consent applicable to such Party or any of its properties or assets, or (c) (i) violate, conflict with or result in a breach of, (ii) constitute a default (or an event which, with notice or lapse of time or both, would constitute a default) under, (iii) result in the termination, withdrawal, suspension, cancellation or modification of, (iv) accelerate the performance required by such Party under, (v) result in a right of termination or acceleration under, (vi) give rise to any obligation to make payments or provide compensation under, (vii) result in the creation of any Lien upon any of the properties or assets of such Party under, (viii) give rise to any obligation to obtain any third party Consent or provide any notice to any Person, or (ix) give any Person the right to declare a default, exercise any remedy, claim a rebate, chargeback, penalty or change in delivery schedule, accelerate the maturity or performance, cancel, terminate or modify any right, benefit, obligation or other term under, any of the terms, conditions or provisions of, any material Contract of such Party, except for any deviations from any of the foregoing clauses (b) or (c) that would not reasonably be expected to have a Material Adverse Effect on such Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5. <u>Capitalization</u>. All of the Equity Securities of Pubco are held by the Purchaser, and all of the Equity Securities of the Merger Subs are held by Pubco. Prior to giving effect to the transactions contemplated by this Agreement, (a) other than the Merger Subs, Pubco will not have any Subsidiaries or own any Equity Securities in any other Person and (b) the Merger Subs will not have any Subsidiaries or own any Equity Securities in any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6. <u>Ownership of Exchange Shares.</u> All shares of Pubco Common Stock to be issued and delivered in accordance with Article I to the Purchaser Shareholders and the Company Stockholders shall be, upon issuance and delivery of such shares or units, duly authorized, validly issued, fully paid, non-assessable and free and clear of all Liens, and upon issuance and delivery of such shares or units to the Purchaser Shareholders and the Company Stockholders, each Purchaser Shareholder and Company Stockholder shall have good and valid title to its portion of such shares or units, in each case, other than restrictions arising from applicable securities Laws, the Amended Pubco Organizational Documents, the provisions of this Agreement and any Liens incurred by the applicable Purchaser Shareholders or Company Stockholders. The issuance and sale of such shares pursuant hereto will not be subject to or give rise to any preemptive rights or rights of first refusal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7. <u>Pubco and Merger Sub Activities.</u> Since their incorporation, Pubco and the Merger Subs have not engaged in any business activities other than as contemplated by this Agreement, do not own directly or indirectly any ownership, equity, profits or voting interest in any Person (other than Pubco's one hundred percent (100%) ownership of the Merger Subs) and have no assets or Liabilities (other than de minimis Liabilities necessary to maintain their existence) except those incurred in connection with this Agreement and the Ancillary Documents to which they are or will be a party and the transactions contemplated by this Agreement and the Ancillary Documents, and, other than this Agreement and the Ancillary Documents to which they are or will be a party, Pubco and the Merger Subs are not party to or bound by any Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8. <u>Finders and Brokers.</u> Except as set forth on <u>Schedule 4.8</u>, no broker, finder or investment banker is entitled to any brokerage, finder's or other fee or commission from the Purchaser, Pubco, the Merger Subs or any of their respective Affiliates in connection with the transactions contemplated hereby based upon arrangements made by or on behalf of Pubco or the Merger Subs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9. <u>Investment Company Act</u>. Pubco is not an "investment company," a Person directly or indirectly controlled by or acting on behalf of an "investment company," or required to register as an "investment company," in each case within the meanings of the Investment Company Act.

**ARTICLE V REPRESENTATIONS AND WARRANTIES OF THE COMPANY**

Except as set forth in the disclosure schedules delivered by the Company to the Purchaser on the date hereof (the "***Company Disclosure Schedules***"), the Section numbers of which are numbered to correspond to the Section numbers of this Agreement to which they refer, the Company hereby represents and warrants to the Purchaser, as of the date hereof and as of the Closing, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1. <u>Organization and Standing</u>. The Company is a corporation duly incorporated, validly existing and in good standing under the Laws of the State of Delaware and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted. Each Subsidiary of the Company is an entity duly formed, validly existing and in good standing under the Laws of its jurisdiction of organization and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted. Each Target Company is duly qualified or licensed and in good standing in the jurisdiction in which it is incorporated or registered and in each other jurisdiction where it does business or operates to the extent that the character of the property owned, or leased or operated by it or the nature of the business conducted by it makes such qualification or licensing necessary, except where the failure to be so duly qualified or licensed and in good standing does not have a Material Adverse Effect. <u>Schedule 5.1</u> lists all jurisdictions in which any Target Company is qualified to conduct business and all names other than its legal name under which any Target Company does business. The Company has provided to the Purchaser accurate and complete copies of its Organizational Documents and the Organizational Documents of each of its Subsidiaries, each as amended to date and as currently in effect. No Target Company is in violation of any provision of its Organizational Documents in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2. <u>Authorization; Binding Agreement</u>. The Company has all requisite corporate power and authority to execute and deliver this Agreement and each Ancillary Document to which it is or is required to be a party, to perform the Company's obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby, subject to obtaining the Required Company Stockholder Approval. The execution and delivery of this Agreement and each Ancillary Document to which the Company is or is required to be a party and the consummation of the transactions contemplated hereby and thereby, (a) have been duly and validly authorized by the Company's board of directors and (b) other than the Required Company Stockholder Approval, no other corporate proceedings on the part of the Company are necessary to authorize the execution and delivery of this Agreement and each Ancillary Document to which it is a party or to consummate the transactions contemplated hereby and thereby. This Agreement has been, and each Ancillary Document to which the Company is or is required to be a party shall be when delivered, duly and validly executed and delivered by the Company and assuming the due authorization, execution and delivery of this Agreement and any such Ancillary Document by the other parties hereto and thereto, constitutes, or when delivered shall constitute, the legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms, subject to the Enforceability Exceptions. The Company's board of directors, by resolutions duly adopted at a meeting duly called and held (i) determined that this Agreement and the Merger and the other transactions contemplated hereby are advisable, fair to, and in the best interests of, the Company and its stockholders, (ii) approved this Agreement and the Merger and the other transactions contemplated by this Agreement in accordance with the DGCL, (iii) directed that this Agreement be submitted to the Company's stockholders for adoption and (iv) resolved to recommend that the Company stockholders adopt this Agreement. The Voting Agreements delivered by the Company include holders of Company Common Stock representing approximately twenty and three-quarters percent (20.75%) of the outstanding voting securities of the Company as of the date of this Agreement, and such Voting Agreements are in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3. <u>Capitalization.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company is authorized to issue (i) two hundred million (200,000,000) shares of Company Common Stock, 89,514,720 of which shares are issued and outstanding, and (ii) twenty million (20,000,000) shares of Company Preferred Stock, zero (0) of which are issued and outstanding. Prior to giving effect to the transactions contemplated by this Agreement, (A) all of the issued and outstanding Company Stock and other equity interests of the Company are set forth on <u>Schedule 5.3(a)</u> as of the date of this Agreement, all of which shares and other equity interests are owned free and clear of any Liens other than those imposed under the Company Charter and (B) the capitalization of the Company shall not change except as expressly contemplated by this Agreement in <u>Section 5.2(b)(ii)</u>. All of the outstanding shares and other equity interests of the Company have been duly authorized, are fully paid and non-assessable and not in violation of any purchase option, right of first refusal, preemptive right, subscription right or any similar right under any provision of the DGCL, any other applicable Law, the Company Charter or any Contract to which the Company is a party or by which it or its securities are bound. The Company holds no shares or other equity interests of the Company in its treasury. None of the outstanding shares or other equity interests of the Company were issued in violation of any applicable securities and corporations Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company has furnished to the Purchaser complete and accurate copies of agreements for outstanding Company Options and Company Warrants. <u>Schedule 5.3(b)</u> sets forth the beneficial and record owners of all outstanding Company Options and Company Warrants (including the grant date, number and type of shares issuable thereunder, the exercise price, the expiration date and any vesting schedule). Other than as set forth on <u>Schedule 5.3(b)</u>, there are no Company Convertible Securities, or preemptive rights or rights of first refusal or first offer, nor are there any Contracts, commitments, arrangements or restrictions to which the Company or, to the Knowledge of the Company, any of its stockholders is a party or bound relating to any equity securities of the Company, whether or not outstanding. There are no outstanding or authorized restricted equity, restricted equity units, equity appreciation, phantom equity or similar rights with respect to the Company. Except as set forth on <u>Schedule 5.3(b)</u>, there are no voting trusts, proxies, stockholder agreements or any other agreements or understandings with respect to the voting of the Company's equity interests. Except as set forth in the Company Charter, there are no outstanding contractual obligations of the Company to repurchase, redeem or otherwise acquire any equity interests or securities of the Company, nor has the Company granted any registration rights to any Person with respect to the Company's equity securities. All of the Company's securities have been granted, offered, sold and issued in compliance with all applicable securities Laws. As a result of the consummation of the transactions contemplated by this Agreement, no equity interests of the Company are issuable and no rights in connection with any interests, warrants, rights, options, or other securities of the Company accelerate or otherwise become triggered (whether as to vesting, exercisability, convertibility or otherwise).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except as disclosed in the Company Financials, since June 30, 2024, the Company has not declared or paid any distribution or dividend in respect of its equity interests and has not repurchased, redeemed, or otherwise acquired any equity interests of the Company, and the board of directors of the Company has not authorized any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4. <u>Subsidiaries</u>. <u>Schedule 5.4</u> sets forth the name of each Subsidiary of the Company, and with respect to each Subsidiary (a) its jurisdiction of organization, (b) its authorized shares or other equity interests (if applicable), (c) the number of issued and outstanding shares or other equity interests and the record holders and beneficial owners thereof, and (d) its Tax election to be treated as a corporate or a disregarded entity under the Code and any state or applicable non-U.S. Tax laws, if any. All of the outstanding equity securities of each Subsidiary of the Company are duly authorized and validly issued, fully paid and non-assessable (if applicable), and were offered, sold and delivered in compliance with all applicable securities and corporations Laws, and owned by one or more of the Company or its Subsidiaries free and clear of all Liens (other than those, if any, imposed by such Subsidiary's Organizational Documents). There are no Contracts to which the Company or any of its Affiliates is a party or bound with respect to the voting (including voting trusts or proxies) of the equity interests of any Subsidiary of the Company other than the Organizational Documents of any such Subsidiary. There are no outstanding or authorized options, warrants, rights, agreements, subscriptions, convertible securities or commitments to which any Subsidiary of the Company is a party or which are binding upon any Subsidiary of the Company providing for the issuance or redemption of any equity interests of any Subsidiary of the Company. There are no outstanding equity appreciation, phantom equity, profit participation or similar rights granted by any Subsidiary of the Company. No Subsidiary of the Company has any limitation, whether by Contract, Order or applicable Law, on its ability to make any distributions or dividends to its equity holders or repay any debt owed to another Target Company. Except for the equity interests of the Subsidiaries listed on <u>Schedule 5.4</u>, the Company does not own or have any rights to acquire, directly or indirectly, any equity interests of, or otherwise Control, any Person. Except as provided on <u>Schedule 5.4</u>, none of the Company or its Subsidiaries is a participant in any joint venture, partnership, or similar arrangement. Except as provided on <u>Schedule 5.4</u>, there are no outstanding contractual obligations of the Company or its Subsidiaries to provide funds to, or make any investment (in the form of a loan, capital contribution or otherwise) in, any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5. <u>Governmental Approvals</u>. Except as otherwise described in <u>Schedule 5.5</u>, no Consent of or with any Governmental Authority on the part of any Target Company is required to be obtained or made in connection with the execution, delivery or performance by the Company of this Agreement or any Ancillary Documents or the consummation by the Company of the transactions contemplated hereby or thereby other than (a) such filings as are expressly contemplated by this Agreement or (b) pursuant to Antitrust Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6. <u>Non-Contravention</u>. Except as otherwise described in <u>Schedule 5.6</u>, the execution and delivery by the Company (or any other Target Company, as applicable) of this Agreement and each Ancillary Document to which any Target Company is or is required to be a party or otherwise bound, and the consummation by any Target Company of the transactions contemplated hereby and thereby and compliance by any Target Company with any of the provisions hereof and thereof, will not (a) conflict with or violate any provision of any Target Company's Organizational Documents, (b) subject to obtaining the Consents from Governmental Authorities referred to in <u>Section 5.6</u> hereof, the waiting periods referred to therein having expired, and any condition precedent to such Consent or waiver having been satisfied, conflict with or violate any Law, Order or Consent applicable to any Target Company or any of its properties or assets, or (c) (i) violate, conflict with or result in a breach of, (ii) constitute a default (or an event which, with notice or lapse of time or both, would constitute a default) under, (iii) result in the termination, withdrawal, suspension, cancellation or modification of, (iv) accelerate the performance required by any Target Company under, (v) result in a right of termination or acceleration under, (vi) give rise to any obligation to make payments or provide compensation under, (vii) result in the creation of any Lien upon any of the properties or assets of any Target Company under, (viii) give rise to any obligation to obtain any third party Consent or provide any notice to any Person or (ix) give any Person the right to declare a default, exercise any remedy, claim a rebate, chargeback, penalty or change in delivery schedule, accelerate the maturity or performance, cancel, terminate or modify any right, benefit, obligation or other term under, any of the terms, conditions or provisions of any Company Material Contract; except in each case other than (a) above, as would not reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7. <u>Financial Statements.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) As used herein, the term "***Company Financials***" means the (i) audited consolidated financial statements of the Target Companies (including, in each case, any related notes thereto), consisting of the consolidated balance sheets of the Target Companies as of December 31, 2024 (the "***Balance Sheet Date***") and December 31, 2023, and the related consolidated audited income statements, changes in stockholder equity and statements of cash flows for the fiscal years then ended, each audited by a PCAOB qualified auditor in accordance with GAAP and PCAOB standards and (ii) when delivered in accordance with <u>Section 6.4</u>, the Interim Reviewed Financials and the 2025 PCAOB Audited Financials. True and correct copies of the Company Financials have been (or, with respect to the Interim Reviewed Financials, when delivered in accordance with <u>Section 6.4(a)</u>, will be) provided to the Purchaser. The Company Financials (i) accurately reflect the books and records of the Target Companies as of the times and for the periods referred to therein, (ii) were or will be prepared in accordance with GAAP, consistently applied throughout and among the periods involved (except that the unaudited statements exclude the footnote disclosures and other presentation items required for GAAP and exclude year-end adjustments which will not be material in amount), (iii) comply with all applicable accounting requirements under the Securities Act and the rules and regulations of the SEC thereunder, and (iv) fairly present in all material respects the consolidated financial position of the Target Companies as of the respective dates thereof and the consolidated results of the operations and cash flows of the Target Companies for the periods indicated. No Target Company has ever been subject to the reporting requirements of Sections 13(a) and 15(d) of the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Target Company maintains accurate books and records reflecting its assets and Liabilities and maintains proper and adequate internal accounting controls that provide reasonable assurance that (i) such Target Company does not maintain any off-the-book accounts and that such Target Company's assets are used only in accordance with such Target Company's management directives, (ii) transactions are executed with management's authorization, (iii) transactions are recorded as necessary to permit preparation of the financial statements of such Target Company and to maintain accountability for such Target Company's assets, (iv) access to such Target Company's assets is permitted only in accordance with management's authorization, (v) the reporting of such Target Company's assets is compared with existing assets at regular intervals and verified for actual amounts, and (vi) accounts, notes and other receivables and inventory are recorded accurately, and proper and adequate procedures are implemented to effect the collection of accounts, notes and other receivables on a current and timely basis. All of the financial books and records of the Target Companies are complete and accurate in all material respects and have been maintained in the ordinary course consistent with past practice and in accordance with applicable Laws. No Target Company has been subject to or involved in any material fraud that involves management or other employees who have a significant role in the internal controls over financial reporting of any Target Company. In the past five (5) years, no Target Company or its Representatives has received any written complaint, allegation, assertion or claim regarding the accounting or auditing practices, procedures, methodologies or methods of any Target Company or its internal accounting controls, including any material written complaint, allegation, assertion or claim that any Target Company has engaged in questionable accounting or auditing practices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Target Companies do not have any Indebtedness other than the Indebtedness set forth on <u>Schedule 5.7(c)</u>, which schedule sets forth the amounts (including principal and any accrued but unpaid interest or other obligations) with respect to such Indebtedness. Except as disclosed on <u>Schedule 5.7(c)</u>, no Indebtedness of any Target Company contains any restriction upon (i) the prepayment of any of such Indebtedness, (ii) the incurrence of Indebtedness by any Target Company, or (iii) the ability of the Target Companies to grant any Lien on their respective properties or assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Except as set forth on <u>Schedule 5.7(d)</u>, no Target Company is subject to any Liabilities or obligations (whether or not required to be reflected on a balance sheet prepared in accordance with GAAP), except for those that are either (i) adequately reflected or reserved on or provided for in the consolidated balance sheet of the Company and its Subsidiaries as of the Balance Sheet Date contained in the Company Financials or (ii) not material and that were incurred after the Balance Sheet Date in the ordinary course of business consistent with past practice (other than Liabilities for breach of any Contract or violation of any Law).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) All financial projections with respect to the Target Companies that were delivered by or on behalf of the Company to the Purchaser or its Representatives were prepared in good faith using assumptions that the Company believes to be reasonable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8. <u>Absence of Certain Changes</u>. Except as set forth on <u>Schedule 5.8</u>, since June 30, 2024, each Target Company has (a) conducted its business only in the ordinary course of business consistent with past practice, (b) not been subject to a Material Adverse Effect, and (c) has not taken any action or committed or agreed to take any action that would be prohibited by <u>Section 6.2(b)</u> if such action were taken on or after the date hereof without the consent of the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9. <u>Compliance with Laws</u>. No Target Company is or has been in material conflict or material non-compliance with, or in material default or violation of, nor has any Target Company received, since June 30, 2023, any written or, to the Knowledge of the Company, oral notice of any material conflict or non-compliance with, or material default or violation of, any applicable Laws by which it or any of its properties, assets, employees, business or operations are or were bound or affected.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10. <u>Company Permits</u>. Each Target Company (and its employees who are legally required to be licensed by a Governmental Authority in order to perform his or her duties with respect to his or her employment with any Target Company), holds all Permits necessary to lawfully conduct in all respects its business as presently conducted and as currently contemplated to be conducted, including the Permits required to construct and undertake all works required to build the Cerro Blanco Project in Chile as described in Pre-Feasibility Study Update, Technical Report No. M40136-000-340-RPT-0001 for the Final Pre-Feasibility Study Report prepared by AMEC International Engineering and Construction LTDA Project No. M40136, and to explore, own, develop, lease, build, operate and close its assets, properties, and the Mining Rights, except where the failure to hold such Permits would not individually, or in the aggregate, be material to the Target Companies taken as a whole (collectively, and including all Environmental Permits, the "***Company Permits***"). Each Target Company has posted or otherwise made available to the appropriate Governmental Authority all reclamation bonds or other financial assurance required in connection with the Company Permits, as set forth on <u>Schedule 5.10</u>. The Company has made available to the Purchaser true, correct, and complete copies of all Company Permits, all of which Company Permits are listed on <u>Schedule 5.10</u>. All of the Company Permits are in full force and effect, and no suspension or cancellation of any of the Company Permits is pending or, to the Company's Knowledge, threatened. No Target Company is in material violation in any respect of the terms of any Company Permit, and no Target Company has received any written or, to the Knowledge of the Company, oral notice of any Actions relating to the revocation or modification of any Company Permit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11. <u>Litigation</u>. Except as described on <u>Schedule 5.11</u>, there is no (a) Action of any nature currently pending or, to the Company's Knowledge, threatened (and no such Action has been brought or, to the Company's Knowledge, threatened in the past five (5) years); or (b) Order now pending or outstanding or that was rendered by a Governmental Authority in the past five (5) years, in either case of (a) or (b) by or against any Target Company, its current or former directors, officers or equity holders (provided, that any litigation involving the directors, officers or equity holders of a Target Company must be related to the Target Company's business, equity securities or assets), its business, equity securities or assets. Except as described on <u>Schedule 5.11</u>, the items listed on <u>Schedule 5.11</u>, if finally determined adversely to the Target Companies, will not have, either individually or in the aggregate, a Material Adverse Effect upon any Target Company. In the past five (5) years, none of the current or former officers, senior management or directors of any Target Company have been charged with, indicted for, arrested for, or convicted of any felony or any crime involving fraud.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12. <u>Material Contracts.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 5.12(a)</u> sets forth, as of the date of this Agreement, a true, correct and complete list of, and the Company has made available to the Purchaser (including written summaries of oral Contracts), true, correct and complete copies of, each Contract to which any Target Company is a party or by which any Target Company, or any of its properties or assets are bound or affected (each Contract required to be set forth on <u>Schedule 5.12(a)</u>, a "***Company Material Contract***") that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) contains covenants that limit the ability of any Target Company (A) to compete in any line of business or with any Person or in any geographic area or to sell, or provide any service or product or solicit any Person, including any non-competition covenants, employee and customer non-solicit covenants, exclusivity restrictions, rights of first refusal or most-favored pricing clauses or (B) to purchase or acquire an interest in any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) involves any joint venture, profit-sharing, partnership, limited liability company or other similar agreement or arrangement relating to the formation, creation, operation, management or control of any partnership or joint venture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) involves any exchange traded, over the counter or other swap, cap, floor, collar, futures contract, forward contract, option or other derivative financial instrument or Contract, based on any commodity, security, instrument, asset, rate or index of any kind or nature whatsoever, whether tangible or intangible, including currencies, interest rates, foreign currency and indices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) evidences Indebtedness (whether incurred, assumed, guaranteed or secured by any asset) of any Target Company having an outstanding principal amount in excess of $100,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) involves the acquisition or disposition, directly or indirectly (by merger or otherwise), of assets with an aggregate value in excess of $100,000 (other than in the ordinary course of business consistent with past practice) or shares or other equity interests of any Target Company or another Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) relates to any merger, consolidation or other business combination with any other Person or the acquisition or disposition of any other entity or its business or material assets or the sale of any Target Company, its business or material assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) by its terms, individually or with all related Contracts, calls for aggregate payments or receipts by the Target Companies under such Contract or Contracts of at least $100,000 per year or $250,000 in the aggregate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) obligates the Target Companies to provide continuing indemnification or a guarantee of obligations of a third party after the date hereof in excess of $100,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) is between any Target Company and any directors, officers or employees of a Target Company (other than at-will employment arrangements with employees entered into in the ordinary course of business consistent with past practice), including all non-competition, severance and indemnification agreements, or any Related Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) obligates the Target Companies to make any capital commitment or expenditure in excess of $100,000 (including pursuant to any joint venture);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) relates to a material settlement entered into within three (3) years prior to the date of this Agreement under which any Target Company has outstanding obligations (other than customary confidentiality obligations);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) provides another Person (other than another Target Company or any manager, director or officer of any Target Company) with a power of attorney; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) that will be required to be filed with the Registration Statement under applicable SEC requirements or would otherwise be required to be filed by the Company as an exhibit to a Form S-1 pursuant to Items 601(b)(1), (2), (4), (9) or (10) of Regulation S-K under the Securities Act as if the Company was the registrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as disclosed in <u>Schedule 5.12(b)</u>, with respect to each Company Material Contract: (i) such Company Material Contract is valid and binding and enforceable in all respects against the Target Company party thereto and, to the Knowledge of the Company, each other party thereto, and is in full force and effect (except, in each case, as such enforcement may be limited by the Enforceability Exceptions); (ii) the consummation of the transactions contemplated by this Agreement will not affect the validity or enforceability of any Company Material Contract; (iii) no Target Company is in breach or default in any material respect, and no event has occurred that with the passage of time or giving of notice or both would constitute a material breach or default by any Target Company, or permit termination or acceleration by the other party thereto, under such Company Material Contract; (iv) to the Knowledge of the Company, no other party to such Company Material Contract is in breach or default in any material respect, and no event has occurred that with the passage of time or giving of notice or both would constitute such a material breach or default by such other party, or permit termination or acceleration by any Target Company, under such Company Material Contract; (v) no Target Company has received written or, to the Knowledge of the Company, oral notice of an intention by any party to any such Company Material Contract that provides for a continuing obligation by any party thereto to terminate such Company Material Contract or amend the terms thereof, other than modifications in the ordinary course of business that do not adversely affect any Target Company in any material respect; and (vi) no Target Company has waived any rights under any such Company Material Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13. <u>Intellectual Property.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 5.13(a)(i)</u> sets forth: (i) all U.S. and foreign registered Intellectual Property owned or exclusively licensed by a Target Company or otherwise used or held for use by a Target Company in which a Target Company is the owner, applicant or assignee ("***Company Registered IP***"), specifying as to each item, as applicable: (A) the nature of the item, including the title, (B) the owner of the item, (C) the jurisdictions in which the item is issued or registered or in which an application for issuance or registration has been filed and (D) the issuance, registration or application numbers and dates; and (ii) all material unregistered Intellectual Property owned or purported to be owned by a Target Company. <u>Schedule 5.13(a)(ii)</u> sets forth all Intellectual Property licenses, sublicenses and other agreements or permissions ("***Company IP Licenses***") (other than "shrink wrap," "click wrap," and "off the shelf" software agreements and other agreements for Software commercially available on reasonable terms to the public generally (collectively, "***Off-the-Shelf Software***"), which are not required to be listed, although such licenses are "Company IP Licenses" as that term is used herein), under which a Target Company is a licensee or otherwise is authorized to use or practice any Intellectual Property. Except as set forth on <u>Schedule 5.13(a)(iii)</u>, each Target Company owns, free and clear of all Liens (other than Permitted Liens), and has the right to sell, license, transfer or assign, all Company Registered IP; and except as set forth on <u>Schedule 5.13(a)(iv)</u>, all Company Registered IP is owned exclusively by the applicable Target Company without obligation to pay royalties, licensing fees or other fees, or otherwise account to any Third Party with respect to such Company Registered IP, and except as would not be material to the Target Company, such Target Company has recorded assignments of all Company Registered IP with any applicable Intellectual Property offices or Governmental Authorities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Target Company has a valid and enforceable license to use all Intellectual Property that is the subject of the Company IP Licenses applicable to such Target Company. The Company IP Licenses include all of the licenses, sublicenses and other agreements or permissions necessary to conduct the business of the Target Companies as presently conducted. All Company Registered IP is valid, in force and in good standing with all required fees and maintenance fees having been paid with no Actions pending, and all applications to register any Copyrights, Patents and Trademarks are pending and in good standing, all without challenge of any kind. No Target Company is party to any Contract that requires a Target Company to assign to any Person all of its rights in any Intellectual Property developed by a Target Company under such Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Target Companies do not have any licenses, sublicenses or other agreements or permissions under which a Target Company is the licensor of Intellectual Property to a third party other than Incidental Outbound Licenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No Action is pending or, to the Company's Knowledge, threatened against a Target Company that challenges the validity, enforceability, ownership, or right to use, sell, license or sublicense, or that otherwise relates to, any Intellectual Property currently owned by the Target Companies, nor, to the Knowledge of the Company, is there any reasonable basis for any such Action. No Target Company has received any written or, to the Knowledge of the Company, oral notice or claim asserting or suggesting that any infringement, misappropriation, violation, dilution or unauthorized use of the Intellectual Property of any other Person is or may be occurring or has or may have occurred, as a consequence of the business activities of any Target Company, nor to the Knowledge of the Company is there a reasonable basis therefor. There are no Orders to which any Target Company is a party or its otherwise bound that (i) restrict the rights of a Target Company to use, transfer, license or enforce any Intellectual Property owned by a Target Company, (ii) restrict the conduct of the business of a Target Company in order to accommodate a third Person's Intellectual Property, or (iii) other than the Incidental Outbound Licenses, grant any third Person any right with respect to any Intellectual Property owned by a Target Company. No Target Company is currently infringing, or has, in the past, infringed, misappropriated or violated any Intellectual Property of any other Person in any material respect in connection with the ownership, use or license of any Intellectual Property owned or purported to be owned by a Target Company or, to the Knowledge of the Company, otherwise in connection with the conduct of the respective businesses of the Target Companies. To the Company's Knowledge, no third party is currently, or in the past five (5) years has been, infringing upon, misappropriating, or otherwise violating any Intellectual Property owned by any Target Company in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) No current or former officers, employees or independent contractors of a Target Company have claimed any ownership interest in any Intellectual Property owned by a Target Company. To the Knowledge of the Company, there has been no violation of a Target Company's policies or practices related to protection of Intellectual Property owned by or licensed to a Target Company ("***Company IP***") or any confidentiality or nondisclosure Contract relating to the Intellectual Property owned by a Target Company. To the Company's Knowledge, none of the employees of any Target Company is obligated under any Contract, or subject to any Order, that would materially interfere with the use of such employee's best efforts to promote the interests of the Target Companies, or that would materially conflict with the business of any Target Company as presently conducted or contemplated to be conducted. Each Target Company has taken reasonable security measures in order to protect the secrecy, confidentiality and value of the material Company IP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14. <u>Taxes and Returns.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as set forth on <u>Schedule 5.14(a)</u>, each Target Company has or will have timely filed, or caused to be timely filed, all federal, state, local and foreign income and other material Tax Returns required to be filed by it (taking into account all available extensions), which Tax Returns are true, accurate, correct and complete in all material respects, and has paid, collected or withheld, or caused to be paid, collected or withheld, all Taxes required to be paid, collected or withheld, other than such Taxes for which adequate reserves in the Company Financials have been established.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) There is no Action currently pending or, to the Knowledge of the Company, threatened against a Target Company by a Governmental Authority in a jurisdiction where the Target Company does not file Tax Returns that it is or may be subject to taxation by that jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Target Company is being audited by any Tax authority or has been notified in writing that any such audit is contemplated or pending. There are no claims, assessments, audits, examinations, investigations, or other Actions pending against a Target Company in respect of any material Tax, and no Target Company has been notified in writing of any proposed Tax claims or assessments against it in respect of any material Taxes (other than, in each case, claims or assessments for which adequate reserves in the Company Financials have been established).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) There are no Liens with respect to any Taxes upon any Target Company's assets, other than Permitted Liens.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each Target Company has collected or withheld all material Taxes currently required to be collected or withheld by it, and all such material Taxes have been paid to the appropriate Governmental Authorities or set aside in appropriate accounts for future payment when due.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) No Target Company has any outstanding waivers or extensions of any applicable statute of limitations to assess any amount of Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) No Target Company has made any change in accounting method (except as required by a change in Law) or received a ruling from, or signed an agreement with, any taxing authority that would reasonably be expected to have a material impact on its Taxes following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) No Target Company has participated in, or sold, distributed, or otherwise promoted, any "reportable transaction," as defined in U.S. Treasury Regulation section 1.6011-4.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No Target Company has any Liability or potential Liability for the material Taxes of another Person (other than another Target Company) that are not adequately reflected in the Company Financials (i) under any applicable Tax Law, (ii) as a transferee or successor, or (iii) by contract, indemnity or otherwise (excluding commercial agreements entered into in the ordinary course of business the primary purpose of which is not the sharing of Taxes). No Target Company is a party to or bound by any Tax indemnity agreement, Tax sharing agreement or Tax allocation agreement or similar agreement, arrangement or practice (excluding commercial agreements entered into in the ordinary course of business the primary purpose of which is not the sharing of Taxes) with respect to material Taxes (including advance pricing agreement, closing agreement or other agreement relating to Taxes with any Governmental Authority) that will be binding on any Target Company with respect to any period following the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) No Target Company has requested, or is it the subject of or bound by any private letter ruling, technical advice memorandum, closing agreement or similar ruling, memorandum or agreement with any Governmental Authority with respect to any Taxes, nor is any such request outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) No Target Company: (i) has constituted either a "distributing corporation" or a "controlled corporation" (within the meaning of Section 355(a)(1)(A) of the Code) in a distribution of securities (to any Person or entity that is not a member of the consolidated group of which the Company is the common parent corporation) qualifying for, or intended to qualify for, Tax-free treatment under Section 355 of the Code (A) within the two-year period ending on the date hereof or (B) in a distribution which could otherwise constitute part of a "plan" or "series of related transactions" (within the meaning of Section 355(e) of the Code) in conjunction with the transactions contemplated by this Agreement; or (ii) is or has ever been (A) a U.S. real property holding corporation within the meaning of Section 897(c)(2) of the Code, or (B) a member of any consolidated, combined, unitary or affiliated group of corporations for any Tax purposes other than a group of which the Company is or was the common parent corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) No Target Company has taken or agreed to take any action not contemplated by this Agreement and/or any Ancillary Document that would reasonably be expected to prevent the Mergers from qualifying for the Intended Tax Treatment. To the knowledge of the Company, no facts or circumstances exist, other than any facts or circumstances to the extent that such facts or circumstances exist or arise as a result of or related to any act or omission of any Purchaser Party or any of their respective Affiliates, in each case, occurring after the date of this Agreement and not contemplated by this Agreement and/or any of the Ancillary Documents, that would reasonably be expected to prevent the Mergers from qualifying for the Intended Tax Treatment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) To the Knowledge of the Company, there are no facts or circumstances that would reasonably be expected to prevent the Company Merger from qualifying as a "reorganization" within the meaning of Section 368(a) of the Code, or from the Mergers, together, from qualifying as a transaction described in Section 351 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) The execution, delivery and performance of this Agreement by the Company and the consummation of the transactions contemplated by this Agreement will not give rise in Chile to any obligation to pay Taxes, nor will they give rise to any obligation to make withholdings or deductions from any amount in Chile, in either case under applicable Law in effect as of the Closing Date, and no Purchaser Party shall be required to make any withholding or deduction in Chile from any consideration or other amount payable or deliverable in connection with the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.15. <u>Real Property.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 5.15(a)</u> contains a complete and accurate list of all premises currently leased or subleased or otherwise used or occupied by a Target Company (collectively, the "***Leased Real Property***") for the operation of the business of a Target Company, and of all current leases, lease guarantees, agreements and documents related thereto, including all amendments, terminations and modifications thereof or waivers thereto (collectively, the "***Company Real Property Leases***")*,* as well as the current annual rent and term under each Company Real Property Lease. The Company has provided to the Purchaser a true and complete copy of each of the written Company Real Property Leases.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company Real Property Leases are valid, binding and enforceable in accordance with their terms and are in full force and effect, subject to Enforceability Exceptions. Except as set forth on <u>Schedule 5.15(a)</u>, (i) no Target Company is in breach or default in any material respect under any Company Real Property Lease and to the Knowledge of the Company, (ii) no other party to any Company Real Property Lease is in breach or default in any material respect thereunder (iii) to the Knowledge of the Company, no event has occurred which (whether with or without notice, lapse of time or both or the happening or occurrence of any other event) would constitute a default on the part of a Target Company or any other party under any of the Company Real Property Leases, and (iv) no Target Company has received notice of any such condition. No Target Company owns any real property or any interests in real property (other than the leasehold interests in the Company Real Property Leases).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Target Company has all easements and Surface Rights from landowners or Governmental Authorities necessary to conduct its business in the ordinary course in all material respects and to mine all minerals (as such terms are used in the definition of Surface Rights) in which a Target Company claims proven or probable reserves as of the date hereof, and (i) all such easements and Surface Rights have been duly issued, applied-for, granted and acquired, are validly registered, staked, located and recorded in accordance with applicable Law and good mining practice, are in good standing, and have otherwise been, and are, validly owned, held and possessed by a Target Company in accordance with applicable Law and good mining practice, (ii) all applicable payments regarding such easements and Surface Rights have been timely, duly and fully made, and (iii) to the Knowledge of the Company, as of the date hereof, there are no facts or circumstances existing that the Company reasonably expects would affect or prejudice any such easements or Surface Rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No Target Company has granted to any third party any farm-in or earn-in rights, back-in rights, rights of first refusal, rights of first offer, option rights, leasehold or subleasehold rights, licenses, area of interest rights or similar rights to any of its Leased Real Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) None of the Leased Real Property is subject to any condemnation, eminent domain, nationalization or similar proceedings, and to the Company's Knowledge no such proceedings are threatened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each Target Company has timely and properly paid all ad valorem real property taxes and all other taxes and assessments assessed against its Leased Real Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.16. <u>Personal Property</u>. Except as set forth in <u>Schedule 5.16</u>, all items of Personal Property currently owned, used or leased by a Target Company are in good operating condition and repair (reasonable wear and tear excepted consistent with the age of such items), and are suitable for their intended use in the business of the Target Companies. The operation of each Target Company's business as it is now conducted or presently proposed to be conducted is not dependent upon the right to use the Personal Property of Persons other than a Target Company, except for such Personal Property that is owned, leased or licensed by or otherwise contracted to a Target Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17. <u>Title to and Sufficiency of Assets</u>. Each Target Company has good and marketable title to, or a valid leasehold interest in or right to use, all of its material assets, free and clear of all material Liens other than Permitted Liens. To the Knowledge of the Company, the assets (including Intellectual Property rights and contractual rights) of the Target Companies constitute all of the assets, rights and properties that are used in the operation of the businesses of the Target Companies as it is now conducted or that are used or held by the Target Companies for use in the operation of the businesses of the Target Companies, and taken together, are adequate and sufficient for the operation of the businesses of the Target Companies as currently conducted, except as would not be material to the operation of the Target Companies, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18. <u>Employee Matters.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Target Companies have no employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Schedule 5.18(b)</u> contains a list of all independent contractors (including consultants) currently engaged by any Target Company, along with the position, the entity engaging such Person, date of retention and rate of remuneration, most recent increase (or decrease) in remuneration and amount thereof, for each such Person. Except as set forth on <u>Schedule 5.18(b)</u>, all of such independent contractors are a party to a written Contract with a Target Company. <u>Schedule 5.18(b)</u> sets forth the material terms of any such unwritten independent contractor agreements. Except as set forth on S<u>chedule 5.18(b)</u>, each such independent contractor has entered into customary covenants regarding confidentiality in such Person's agreement with a Target Company, a copy of which has been provided to the Purchaser by the Company. For the purposes of applicable Law, including the Code, all independent contractors who are currently, or within the last six (6) years have been, engaged by a Target Company are bona fide independent contractors and not employees of a Target Company. Each independent contractor is terminable on fewer than thirty (30) days' notice, without any obligation of any Target Company to pay severance or a termination fee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.19. <u>Benefit Plans</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 5.19(a)</u> sets forth a complete list of each Target Company Benefit Plan. Except for the Contracts listed on <u>Schedule 5.12(a)(ix), the Benefit Plan(s) pursuant to which the Company Options were issued, and the Company Options</u>, none of the Target Companies sponsor or contribute to, or have any Liability with respect to, any Benefit Plans, including any Liability that may accrue as a result of a Target Company's relationship with another Person that would be or, at the relevant time, would have been considered a single employer with the Company under Section 414(b), (c), (m) or (o) of the Code or under ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The consummation of the transactions contemplated under this Agreement will not (i) result in any payment or benefit becoming due under any Target Company Benefit Plan, (ii) increase the amount of compensation or benefits otherwise payable under any Target Company Benefit Plan, (iii) result in the acceleration or the time of any payment, funding or vesting or any benefit under any Target Company Benefit Plan, or (iv) result in any breach or violation of or default under or limit any Target Company's right to amend, modify or terminate any Target Company Benefit Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Tax penalties or material additional Taxes have been imposed or would reasonably expected to be imposed on any Target Company or Target Company service provider, and no acceleration of Taxes has occurred or would reasonably be expected to occur with respect to any Target Company service provider, in each case as a result of a failure to comply with Section 409A of the Code. No Target Company service provider is entitled to receive any gross-up or additional payment or benefit in connection with the Tax imposed under Section 409A or 4999 of the Code or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.20. <u>Environmental Matters</u>. Except as set forth on Schedule 5.20:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Target Company and its respective business is and has been in compliance in all material respects with all applicable Environmental Laws, including obtaining, maintaining in good standing, and complying in all material respects with all Permits required for its business and operations, including to explore, own, develop, lease, build, operate and close its assets, properties, Mining Rights and Surface Rights, by Environmental Laws ("***Environmental Permits***"), no Action is pending or, to the Company's Knowledge, threatened to revoke, modify, or terminate any such Environmental Permit, and, to the Company's Knowledge, no facts, circumstances, or conditions currently exist that could adversely affect such continued compliance with Environmental Laws and Environmental Permits or require capital expenditures to achieve or maintain such continued compliance with Environmental Laws and Environmental Permits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No Target Company is the subject of any outstanding Order or Contract with any Governmental Authority or other Person in respect of any (i) Environmental Laws, (ii) Remedial Action, (iii) Release or threatened Release of a Hazardous Material, or (iv) Environmental Damage. No Target Company has assumed, contractually or by operation of Law, any Liabilities or obligations under any Environmental Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) There are no material factors affecting any of the Mining Rights or Surface Rights and no facts the Company is aware of that the Company expects would reasonably be likely to give rise to any material liability for any of the Target Companies under or arising from any act or omission that is a breach of, or inconsistent with its obligations under any Environmental Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No Action, actual or during the past three (3) years except for matters that have been resolved, has been made or is pending, or to the Company's Knowledge, threatened against any Target Company or any assets of a Target Company alleging either or both that a Target Company may be in material violation of any Environmental Law or Environmental Permit or may have any material Liability under any Environmental Law, or that a third-party might have been in material violation of any Environmental Law or any Environmental Permit that may threaten any assets of a Target Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) There are no proceedings or investigations relating to the Mining Rights, the Surface Rights, the Target Companies, or their activities, arising under or in respect of the Environmental Law or any Environmental Permit pending or threatened in writing, and there are no outstanding decrees, orders or judgments from any Governmental Authority concerning compliance by the Target Companies with the Environmental Law or any Environmental Permit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) To the Company's Knowledge there is no presence of any Hazardous Materials on, in or under any of any Target Company's properties and no Hazardous Materials have been generated from any Target Company's activities other than in compliance with Environmental Law. No Target Company has manufactured, treated, stored, disposed of, arranged for or permitted the disposal of, generated, handled or Released any Hazardous Material, owned or operated any asset, property or facility, in a manner that has given or would reasonably be expected to give rise to any material Liability or obligation under applicable Environmental Laws. No fact, circumstance, or condition exists in respect of any Target Company or any property currently or formerly owned, operated, or leased by any Target Company or any property to which a Target Company arranged for the disposal or treatment of Hazardous Materials that could reasonably be expected to result in a Target Company incurring any material Environmental Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) There is no investigation of the business, operations, or currently owned, operated, or leased property of a Target Company or, to the Company's Knowledge, previously owned, operated, or leased property of a Target Company pending or, to the Company's Knowledge, threatened that could lead to the imposition of any Liens under any Environmental Law or material Environmental Liabilities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Company has provided to the Purchaser all environmentally related site assessments, audits, studies, reports, analysis and results of investigations that have been performed in respect of the currently or previously owned, leased, or operated properties of any Target Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.21. <u>Mining; Desalination.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Schedule 5.21(a)</u> sets forth a true, correct, and complete list of all Mining Rights owned, leased, operated or used by the Company or its Subsidiaries, and identifies the legal title under which entity is entitled to each Mining Right, and license number, national number, area, class, expiry date, granting authority, counter party, and types of minerals covered for each Mining Right, granting registration number, and property registration number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Mining Right is in full force and effect, valid, in good standing and is not liable to forfeiture, termination, nullity, voidance, cancellation or suspension for any reason. Except as set forth on <u>Schedule 5.21(b)</u>, none of the Mining Rights or the Surface Rights is burdened by any production royalty or similar burden on production.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) With respect to all Chilean Mining Concessions, except as set forth on <u>Schedule 5.21(c)</u>: (i) they have all their mining licenses (patentes) duly paid and none of them is included in any auction list by reason of nonpayment thereof ; (ii) they do not overlap with, nor are they overlapped by any third-party rights that enable such third party to explore or exploit minerals in the same area; and (iii) they were or are under procedure to be granted or renewed in strict compliance with the Law, and are not subject to any material fault or error that may result in third parties other than their current holder acquiring the first mining preference in the area comprised by such Chilean Mining Concessions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) With respect to all Chilean Target Concessions (i) they are validly acquired by each Target Company under good title, in good faith, according to applicable laws, regulations and customs; (ii) they are duly recorded under the name of Target Company as sole and exclusive owner in the corresponding registries of the competent registrar of mines, to the extent required by applicable Law; (iii) the acquiring Target Company has complied with all its obligations arising from the contracts pursuant to which acquired the Chilean Target Concessions; and (iv) except as set forth on <u>Schedule 5.21(d)</u>, no Person other than each Target Company has any right, title or interest thereto (including any contract, royalty, streaming, options, pending resolutory conditions (condición resolutoria pendiente), debts, claims or rights of first refusal), and to the Knowledge of the Company there are no facts or circumstances that reasonably expects would be likely to limit, affect or prejudice the ownership rights of each Target Company over the Chilean Target Concessions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) With respect to the Unpatented Claims, (i) subject to the paramount title of the United States of America, the Target Company identified in <u>Schedule 5.21(e)</u> owns the Owned Claims, and the Target Company identified in <u>Schedule 5.21(e)</u> has a leasehold interest in the Leased Claims, free and clear of all Liens (other than Permitted Liens), claims or burdens on production; (ii) the Unpatented Claims were located by party qualified to do so under applicable Law, and properly laid out and monumented on available public domain land open to appropriation by mineral location; (iii) location notices for each of the Unpatented Claims which complied with applicable Laws were timely and properly posted on the ground and certificates of location which complied with applicable Law were timely and properly recorded and filed with the appropriate Governmental Authorities, and all payments required in connection therewith were timely and properly made; and (iv) all claim maintenance, recording and related fees have been timely and properly paid as required by Law in order to maintain the Unpatented Claims through the assessment year ending on September 1, 2026. Each group of Unpatented Claims constitutes a contiguous block of claims which to the Company's Knowledge is free of interior gaps or fractions and free from conflicts with third-party claims.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) There is no unremedied material breach by the Company and its Subsidiaries, nor has anything occurred or been omitted which would be a material breach by the Company and its Subsidiaries but for the requirement of notice or lapse of time or both, of any statutory requirement or any other conditions relating to each Mining Right.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) All rent, royalties, and other statutory and contractual payments due in respect of each Mining Right have been paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Except as set forth on <u>Schedule 5.21(h)</u>, the Target Companies hold, and have valid and subsisting rights under, all Permits, easements, rights-of-way, maritime concessions, approvals and authorizations of Governmental Authorities and other third parties, as well as all Surface Rights and other rights in or to real property, that are necessary for the location, construction, ownership, operation and maintenance of the desalination plant and related intake and pipelines and utility interconnections, port and coastal works, laydown, camp and ancillary facilities, and other supporting infrastructure contemplated by the Desalination Plans (collectively, the "***Desalination Facilities***"), and all such Permits, concessions and rights are in full force and effect, and no suspension, cancellation, modification or revocation thereof is pending or threatened, and no Target Company is in material default under any of the foregoing, except as would not reasonably be expected to be material to the Target Companies, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the Knowledge of the Company, except as set forth on <u>Schedule 5.21(i)</u>, no facts or circumstances exist that would reasonably be expected to prevent, materially impede or materially delay the construction or operation of the Desalination Facilities as contemplated by the Desalination Plans due to the absence of, or any defect in, any required Permit, concession (including any maritime concession), easement or Surface Right, except as would not reasonably be expected to be material to the Target Companies, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.22. <u>Transactions with Related Persons</u>. Except as set forth on <u>Schedule 5.22</u>, no Target Company nor any of its Affiliates, nor any officer, director, manager, employee, trustee or beneficiary of a Target Company or any of its Affiliates, nor any immediate family member of any of the foregoing (whether directly or indirectly through an Affiliate of such Person) (each of the foregoing, a "***Related Person***") is presently, or in the past three (3) years, has been, a party to any transaction with a Target Company, including any Contract or other arrangement (a) providing for the furnishing of services by (other than as officers, directors or employees of the Target Company), (b) providing for the rental of real property or Personal Property from or (c) otherwise requiring payments to (other than for services or expenses as directors, officers or employees of the Target Company in the ordinary course of business consistent with past practice) any Related Person or any Person in which any Related Person has an interest as an owner, officer, manager, director, trustee or partner or in which any Related Person has any direct or indirect interest (other than the ownership of securities representing no more than two percent (2%) of the outstanding voting power or economic interest of a publicly traded company). Except as set forth on <u>Schedule 5.22</u>, no Target Company has outstanding any Contract or other arrangement or commitment with any Related Person, and no Related Person owns any real property or Personal Property, or right, tangible or intangible (including Intellectual Property) which is used in the business of any Target Company. The assets of the Target Companies do not include any receivable or other obligation from a Related Person, and the liabilities of the Target Companies do not include any payable or other obligation or commitment to any Related Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.23. <u>Insurance</u>. <u>Schedule 5.23</u> lists all insurance policies (by policy number, insurer, coverage period, coverage amount, annual premium and type of policy) held by a Target Company relating to a Target Company or its business, properties, assets, directors, officers and employees (the "***Insurance Policies***"), true, correct and complete copies of which have been provided to the Purchaser. Except as would not have a Material Adverse Effect on the Company, each Insurance Policy is legal, valid, binding, enforceable and in full force and effect. The Target Companies are otherwise in material compliance with the terms thereof. To the Knowledge of the Company, no event has occurred that, with or without notice or lapse of time or both, would constitute a material breach or default or permit termination or a material increase in the premiums or other amounts due under any Insurance Policy, and to the Knowledge of the Company, no such action has been threatened. Since the Balance Sheet Date, no Target Company has any refusal to issue an Insurance Policy or non-renewal of any Insurance Policy. No Target Company has any self-insurance or co-insurance programs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.24. <u>Books and Records.</u> All of the financial books and records of the Target Companies are complete and accurate in all material respects and have been maintained in the ordinary course consistent with past practice and in accordance with applicable Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.25. <u>Certain Business Practices.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No Target Company, nor any of their respective Representatives acting on their behalf has (i) used any funds for unlawful contributions, gifts, entertainment or other unlawful expenses relating to political activity, (ii) made any unlawful payment to foreign or domestic government officials or employees, to foreign or domestic political parties or campaigns or violated any provision of the U.S. Foreign Corrupt Practices Act of 1977 or any other local or foreign anti-corruption or bribery Law, or (iii) made any other unlawful payment. No Target Company, nor any of their respective Representatives acting on their behalf has directly or indirectly, given or agreed to give any unlawful gift or similar benefit in any material amount to any customer, supplier, governmental employee or other Person who is or may be in a position to help or hinder any Target Company or assist any Target Company in connection with any actual or proposed transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The operations of each Target Company are and have been conducted at all times in compliance with money laundering statutes in all applicable jurisdictions, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered or enforced by any Governmental Authority, and no Action involving a Target Company with respect to any of the foregoing is pending or, to the Knowledge of the Company, threatened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Target Company or any of their respective directors or officers, or, to the Knowledge of the Company, any other Representative acting on behalf of a Target Company is currently identified on the specially designated nationals or other blocked person list or otherwise currently subject to any U.S. sanctions administered by OFAC, and no Target Company has in the last five (5) fiscal years, directly or indirectly, used any funds, or loaned, contributed or otherwise made available such funds to any Subsidiary, joint venture partner or other Person, in connection with any sales or operations in Cuba, Iran, Syria, Sudan, Myanmar or any other country sanctioned by OFAC or for the purpose of financing the activities of any Person currently subject to, or otherwise in violation of, any U.S. sanctions administered by OFAC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.26. <u>Investment Company Act</u>. No Target Company is an "investment company" or a Person directly or indirectly "controlled" by or acting on behalf of an "investment company", or required to register as an "investment company", in each case within the meaning of the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.27. <u>Finders and Brokers</u>. Except as set forth in <u>Schedule 5.27</u>, no Target Company has incurred or will incur any Liability for any brokerage, finder's or other fee or commission in connection with the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.28. <u>Independent Investigation</u>. The Company has conducted its own independent investigation, review and analysis of the business, results of operations, prospects, condition (financial or otherwise) or assets of the Purchaser, and acknowledges that it has been provided adequate access to the personnel, properties, assets, premises, books and records, and other documents and data of the Purchaser for such purpose. The Company acknowledges and agrees that: (a) in making its decision to enter into this Agreement and to consummate the transactions contemplated hereby, it has relied solely upon its own investigation and the express representations and warranties of the Purchaser set forth in Agreement (including the related portions of the Purchaser Disclosure Schedules) and in any certificate delivered to the Company pursuant hereto; and (b) neither the Purchaser nor any of its Representatives have made any representation or warranty as to the Purchaser or this Agreement, except as expressly set forth in this Agreement (including the related portions of the Purchaser Disclosure Schedules) or in any certificate delivered to the Company pursuant hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.29. <u>Information Supplied</u>. None of the information supplied or to be supplied by the Company expressly for inclusion or incorporation by reference: (a) in any current report on Form 8-K, and any exhibits thereto or any other report, form, registration or other filing made with any Governmental Authority or stock exchange with respect to the transactions contemplated by this Agreement or any Ancillary Documents; (b) in the Registration Statement; or (c) in the mailings or other distributions to the Purchaser's shareholders and/or prospective investors with respect to the consummation of the transactions contemplated by this Agreement or in any amendment to any of documents identified in (a) through (c), will, when filed, made available, mailed or distributed, as the case may be, contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they are made, not misleading. None of the information supplied or to be supplied by the Company expressly for inclusion or incorporation by reference in any of the Signing Press Release, the Signing Filing, the Closing Press Release and the Closing Filing will, when filed or distributed, as applicable, contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they are made, not misleading. Notwithstanding the foregoing, the Company makes no representation, warranty, or covenant with respect to any information supplied by or on behalf of the Purchaser or its Affiliates.

**ARTICLE VI COVENANTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1. <u>Access and Information.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) During the period from the date of this Agreement and continuing until the earlier of the termination of this Agreement in accordance with <u>Section 8.1</u> or the Closing (the "***Interim Period***"), subject to <u>Section 6.16</u>, upon reasonable advance notice to the Company, the Company shall give, and shall cause its Representatives to give, the Purchaser and its Representatives, at reasonable times during normal business hours and upon reasonable intervals and notice, reasonable access to all offices and other facilities and to all employees, properties, Contracts, agreements, commitments, books and records, financial and operating data and other information (including Tax Returns, internal working papers, client files, client Contracts and director service agreements), of or pertaining to the Target Companies, as the Purchaser or its Representatives may reasonably request regarding the Target Companies and their respective businesses, assets, Liabilities, financial condition, prospects, operations, management, employees and other aspects (including unaudited quarterly financial statements, including a consolidated quarterly balance sheet and income statement, a copy of each material report, schedule and other document filed with or received by a Governmental Authority pursuant to the requirements of applicable securities Laws, and independent public accountants' work papers (subject to the consent or any other conditions required by such accountants, if any)) and cause each of the Company's Representatives to reasonably cooperate with the Purchaser and its Representatives in their investigation*; provided, however,* that the Purchaser and its Representatives shall conduct any such activities in such a manner as not to unreasonably interfere with the business or operations of the Target Companies. Notwithstanding the foregoing, the Company shall not be required to provide, or cause to be provided to, the Purchaser or any of its Representatives any information (i) if, and to the extent, doing so would (A) violate any Law to which a Target Company is subject or (B) jeopardize protections afforded to any Target Company under the attorney-client privilege or the attorney work product doctrine (provided that, in case of both of clauses (A) and (B), the Company shall use commercially reasonable efforts to (x) provide such access as can be provided (or otherwise convey such information regarding the applicable matter as can be conveyed) without violating such privilege or Law and (y) provide such information in a manner without violating such privilege or Law), or (ii) if the Company, on the one hand, and Purchaser or any of its Representatives, on the other hand, are adverse parties in a litigation and such information is reasonably pertinent thereto; provided that the Company shall, in the case of clause (i) or (ii), provide prompt written notice of the withholding of access or information on any such basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) During the Interim Period, subject to <u>Section 6.16</u> upon reasonable advance notice to the Purchaser, the Purchaser shall give, and shall cause its Representatives to give, the Company and its Representatives, at reasonable times during normal business hours and upon reasonable intervals and notice, reasonable access to all offices and other facilities and to all properties, Contracts, agreements, commitments, books and records, financial and operating data and other information (including Tax Returns, internal working papers, client files, client Contracts and director service agreements), of or pertaining to the Purchaser or its Subsidiaries, as the Company or its Representatives may reasonably request regarding the Purchaser, its Subsidiaries and their respective businesses, assets, Liabilities, financial condition, prospects, operations, management, employees and other aspects (including unaudited quarterly financial statements, including a consolidated quarterly balance sheet and income statement, a copy of each material report, schedule and other document filed with or received by a Governmental Authority pursuant to the requirements of applicable securities Laws, and independent public accountants' work papers (subject to the consent or any other conditions required by such accountants, if any)) and cause each of the Purchaser's Representatives to reasonably cooperate with the Company and its Representatives in their investigation*; provided, however,* that the Company and its Representatives shall conduct any such activities in such a manner as not to unreasonably interfere with the business or operations of the Purchaser or any of its Subsidiaries. Notwithstanding the foregoing, the Purchaser shall not be required to provide, or cause to be provided to, the Company or any of its Representatives any information (i) if, and to the extent, doing so would (A) violate any Law to which the Purchaser is subject or (B) jeopardize protections afforded to the Purchaser under the attorney-client privilege or the attorney work product doctrine (provided that, in case of both of clauses (A) and (B), the Purchaser shall use commercially reasonable efforts to (x) provide such access as can be provided (or otherwise convey such information regarding the applicable matter as can be conveyed) without violating such privilege or Law and (y) provide such information in a manner without violating such privilege or Law), or (ii) if the Purchaser, on the one hand, and the Company or any of its Representatives, on the other hand, are adverse parties in a litigation and such information is reasonably pertinent thereto; provided that the Purchaser shall, in the case of clause (i) or (ii), provide prompt written notice of the withholding of access or information on any such basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2. <u>Conduct of Business of the Company.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless the Purchaser shall otherwise consent in writing (such consent not to be unreasonably withheld, conditioned or delayed; *provided*, *however*, if consent is withheld, Purchaser must notify the Company in writing within five (5) Business Days of the request or such failure to so notify shall be considered the equivalent of prior consent), during the Interim Period, except as expressly contemplated by this Agreement or the Ancillary Documents, required by Law or as set forth on <u>Schedule 6.2</u>, the Company shall, and shall cause its Subsidiaries to, (i) conduct their respective businesses, in all material respects, in the ordinary course of business consistent with past practice, (ii) comply with all Laws applicable to the Target Companies and their respective businesses, assets and employees, and (iii) take all commercially reasonable measures necessary or appropriate to preserve intact, in all material respects, their respective business organizations, to keep available the services of their respective managers, directors, officers, employees and consultants, and to preserve the possession, control and condition of their respective material assets, all as consistent with past practice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of <u>Section 6.2(a)</u> and except as contemplated by the terms of this Agreement or the Ancillary Documents, required by Law or as set forth on <u>Schedule 6.2(b)</u>, during the Interim Period, without the prior written consent of the Purchaser (such consent not to be unreasonably withheld, conditioned or delayed; *provided*, *however*, if consent is withheld, Purchaser must notify the Company in writing within five (5) Business Days of the request or such failure to so notify shall be considered the equivalent of prior consent), the Company shall not, and shall cause its Subsidiaries to not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) except as required to give effect to the transactions contemplated by this Agreement and internal business reorganizations, amend, waive or otherwise change, in any respect, its Organizational Documents, except as required by applicable Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) authorize for issuance, issue, grant, sell, pledge, dispose of or propose to issue, grant, sell, pledge or dispose of any of its equity securities or any options, warrants, commitments, subscriptions or rights of any kind to acquire or sell any of its equity securities, or other securities, including any securities convertible into or exchangeable for any of its shares or other equity securities or securities of any class and any other equity-based awards, or engage in any hedging transaction with a third Person with respect to such securities, in each case other than in connection with (A) the grant of any equity awards to employees or other service providers of any Target Company in the ordinary course of business consistent with past practice, (B) the issuance of equity securities in connection with the exercise of any warrants previously issued by the Company prior to the date hereof or (C) the issuance or sale by the Company of any equity or equity linked securities of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) split, combine, recapitalize or reclassify any of its shares or other equity interests or issue any other securities in respect thereof or pay or set aside any dividend or other distribution (whether in cash, equity or property or any combination thereof) in respect of its equity interests, or directly or indirectly redeem, purchase or otherwise acquire or offer to acquire any of its securities; <u>provided</u> that the Company shall be permitted to effect a one reverse stock split within the ratio of 1-for-2 to 1-for-20, as determined by the Company Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) incur, create, assume, prepay or otherwise become liable for any Indebtedness (directly, contingently or otherwise) in excess of $100,000 individually or $500,000 in the aggregate, make a loan or advance to or investment in any third party (other than advancement of expenses to employees in the ordinary course of business), or guarantee or endorse any Indebtedness, Liability or obligation of any Person in excess of $100,000 individually or $500,000 in the aggregate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) increase the compensation of its independent contractors, consultants and directors other than in the ordinary course of business, consistent with past practice, and in any event not in the aggregate by more than five percent (5%), or make or commit to make any bonus payment (whether in cash, property or securities) to any independent contractor, consultant or director, or materially increase other benefits of independent contractors, consultants or directors generally, or enter into or establish any Benefit Plan with, for or in respect of any current independent contractor, consultant or director, in each case other than as required by applicable Law or in the ordinary course of business consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) make or rescind any material election relating to Taxes, settle any claim, action, suit, litigation, proceeding, arbitration, investigation, audit or controversy relating to Taxes, file any amended Tax Return or claim for refund, or make any material change in its accounting or Tax policies or procedures, in each case except as required by applicable Law or in compliance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) transfer or license to any Person or otherwise extend, materially amend or modify, permit to lapse or fail to preserve any Company Registered IP set forth on <u>Schedule 5.13(a)(i)</u>, or disclose to any Person who has not entered into a confidentiality agreement any Trade Secrets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) terminate, or waive or assign any material right under, any Company Material Contract or enter into any Contract that would be a Company Material Contract, in any case outside of the ordinary course of business consistent with past practice, other than entering into amendments to certain of the Company Warrants to purchase Company Common Stock to lower the exercise price of such Company Warrants from $0.45 per share to $0.15 per share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) fail to maintain its books, accounts and records in all material respects in the ordinary course of business consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) establish any Subsidiary or enter into any new line of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) revalue any of its material assets or make any material change in accounting methods, principles or practices, except to the extent required to comply with GAAP and after consulting with the Company's outside auditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) waive, release, assign, settle or compromise any claim, action or proceeding (including any suit, action, claim, proceeding or investigation relating to this Agreement or the transactions contemplated hereby), other than waivers, releases, assignments, settlements or compromises that involve only the payment of monetary damages (and not the imposition of equitable relief on, or the admission of wrongdoing by, a Target Company or its Affiliates) not in excess of $100,000 (individually or in the aggregate), or otherwise pay, discharge or satisfy any Actions, Liabilities or obligations, unless such amount has been reserved in the Company Financials;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) acquire, including by merger, consolidation, acquisition of equity interests or assets, or any other form of business combination, any corporation, partnership, limited liability company, other business organization or any division thereof, or any material amount of assets outside the ordinary course of business consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) close or materially reduce its activities, or effect any layoff or personnel reduction or change, at any of its facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) make capital expenditures in excess of $1,000,000 (individually for any project (or set of related projects) or $2,000,000 in the aggregate);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) adopt a plan of complete or partial liquidation, dissolution, merger, consolidation, restructuring, recapitalization or other reorganization;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) voluntarily incur any Liability or obligation (whether absolute, accrued, contingent or otherwise) in excess of $250,000 individually or $500,000 in the aggregate other than pursuant to the terms of a Company Material Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) sell, lease, license, transfer, exchange or swap, mortgage or otherwise pledge or encumber (including securitizations), or otherwise dispose of any material portion of its properties, assets or rights, other than the Company's desalination plant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) enter into any agreement, understanding or arrangement with respect to the voting of equity securities of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) take any action that would reasonably be expected to significantly delay or impair the obtaining of any Consents of any Governmental Authority to be obtained in connection with this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) accelerate the collection of any trade receivables or delay the payment of trade payables or any other liabilities other than in the ordinary course of business consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) enter into, amend, waive or terminate (other than terminations in accordance with their terms) any transaction with any Related Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) take any action, or knowingly fail to take any action, which action or failure to act would reasonably be expected to prevent or impede the transactions contemplated by this Agreement from qualifying for the Intended Tax Treatment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) authorize or agree to do any of the foregoing actions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3. <u>Conduct of Business of the Purchaser.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless the Company shall otherwise consent in writing (such consent not to be unreasonably withheld, conditioned or delayed; *provided*, *however*, if consent is withheld, the Company must notify the Purchaser in writing within five (5) Business Days of the request or such failure to so notify shall be considered the equivalent of prior consent), during the Interim Period, except as expressly contemplated by this Agreement or the Ancillary Documents, required by Law or as set forth on <u>Schedule 6.3</u>, the Purchaser shall, and shall cause its Subsidiaries to, (i) conduct their respective businesses, in all material respects, in the ordinary course of business consistent with past practice, (ii) comply with all Laws applicable to the Purchaser and its Subsidiaries and their respective businesses, assets and employees, and (iii) take all commercially reasonable measures necessary or appropriate to preserve intact, in all material respects, their respective business organizations, to keep available the services of their respective managers, directors, officers, employees and consultants, and to preserve the possession, control and condition of their respective material assets, all as consistent with past practice. Notwithstanding anything to the contrary in this <u>Section 6.3</u>, nothing in this Agreement shall prohibit or restrict Purchaser from extending, in accordance with Purchaser's Organizational Documents and the IPO Prospectus, the deadline by which it must complete its Business Combination (an "***Extension***"), whether pursuant to exercise of automatic extension rights in accordance with Purchaser's then existing Organizational Documents or by amendment of Purchaser's Organizational Documents to extend such deadline, or making any payments to the Trust Account in connection therewith, and no consent of any other Party shall be required in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of <u>Section 6.3(a)</u> and except as contemplated by the terms of this Agreement or the Ancillary Documents (including as contemplated by any PIPE Investment) or as set forth on <u>Schedule 6.3</u>, during the Interim Period, without the prior written consent of the Company (such consent not to be unreasonably withheld, conditioned or delayed; *provided*, *however*, if consent is withheld, the Company must notify the Purchaser in writing within five (5) Business Days of the request or such failure to so notify shall be considered the equivalent of prior consent), the Purchaser shall not, and shall cause its Subsidiaries to not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) amend, waive or otherwise change, in any respect, its Organizational Documents except as required by applicable Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) authorize for issuance, issue, grant, sell, pledge, dispose of or propose to issue, grant, sell, pledge or dispose of any of its equity securities or any options, warrants, commitments, subscriptions or rights of any kind to acquire or sell any of its equity securities, or other securities, including any securities convertible into or exchangeable for any of its equity securities or other security interests of any class and any other equity-based awards, or engage in any hedging transaction with a third Person with respect to such securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) split, combine, recapitalize or reclassify any of its shares or other equity interests or issue any other securities in respect thereof or pay or set aside any dividend or other distribution (whether in cash, equity or property or any combination thereof) in respect of its shares or other equity interests, or directly or indirectly redeem, purchase or otherwise acquire or offer to acquire any of its securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) incur, create, assume, prepay or otherwise become liable for any Indebtedness (directly, contingently or otherwise) in excess of $200,000 individually or $500,000 in the aggregate, make a loan or advance to or investment in any third party, or guarantee or endorse any Indebtedness, Liability or obligation of any Person (provided, that this <u>Section 6.3(b)(iv)</u> shall not prevent the Purchaser from borrowing funds necessary to finance its ordinary course administrative costs and expenses and Expenses incurred in connection with the consummation of the Mergers and the other transactions contemplated by this Agreement (including the consummation of any Transaction Financing and the costs and expenses necessary for an Extension ("***Extension Expenses***"), up to aggregate additional Indebtedness during the Interim Period of $1,500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) make or rescind any material election relating to material Taxes, settle any claim, action, suit, litigation, proceeding, arbitration, investigation, audit or controversy relating to Taxes, file any amended Tax Return or claim for refund, or make any material change in its accounting or Tax policies or procedures, in each case except as required by applicable Law or in compliance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) amend, waive or otherwise change the Trust Agreement in any manner adverse to the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) terminate, waive or assign any material right under any Purchaser Material Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) fail to maintain its books, accounts and records in all material respects in the ordinary course of business consistent with past practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) establish any Subsidiary or enter into any new line of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) fail to use commercially reasonable efforts to keep in force insurance policies or replacement or revised policies providing insurance coverage with respect to its assets, operations and activities in such amount and scope of coverage substantially similar to that which is currently in effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) revalue any of its material assets or make any material change in accounting methods, principles or practices, except to the extent required to comply with GAAP and after consulting the Purchaser's outside auditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) waive, release, assign, settle or compromise any claim, action or proceeding (including any suit, action, claim, proceeding or investigation relating to this Agreement or the transactions contemplated hereby), other than waivers, releases, assignments, settlements or compromises that involve only the payment of monetary damages (and not the imposition of equitable relief on, or the admission of wrongdoing by, the Purchaser or its Subsidiary) not in excess of $100,000 (individually or in the aggregate), or otherwise pay, discharge or satisfy any Actions, Liabilities or obligations, unless such amount has been reserved in the Purchaser Financials;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) acquire, including by merger, consolidation, acquisition of equity interests or assets, or any other form of business combination, any corporation, partnership, limited liability company, other business organization or any division thereof, or any material amount of assets outside the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) make capital expenditures in excess of $100,000 individually for any project (or set of related projects) or $250,000 in the aggregate (excluding for the avoidance of doubt, incurring any Expenses);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) adopt a plan of complete or partial liquidation, dissolution, merger, consolidation, restructuring, recapitalization or other reorganization (other than with respect to the Merger);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) voluntarily incur any Liability or obligation (whether absolute, accrued, contingent or otherwise) in excess of $100,000 individually or $250,000 in the aggregate (excluding the incurrence of any Expenses) other than pursuant to the terms of a Contract in existence as of the date of this Agreement or entered into in the ordinary course of business or in accordance with the terms of this <u>Section 6.3</u> during the Interim Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) sell, lease, license, transfer, exchange or swap, mortgage or otherwise pledge or encumber (including securitizations), or otherwise dispose of any material portion of its properties, assets or rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) enter into any agreement, understanding or arrangement with respect to the voting of Purchaser Securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) take any action that would reasonably be expected to significantly delay or impair the obtaining of any Consents of any Governmental Authority to be obtained in connection with this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) take any action, or knowingly fail to take any action, which action or failure to act would reasonably be expected to prevent or impede the transactions contemplated by this Agreement from qualifying for the Intended Tax Treatment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) authorize or agree to do any of the foregoing actions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4. <u>Annual and Interim Financial Statements.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company shall deliver to the Purchaser the Company prepared and PCAOB auditor reviewed financial statements, consisting of the consolidated balance sheet of the Target Companies as of September 30, 2025, and the related consolidated income statement, changes in shareholder equity and statement of cash flows for the nine (9) months then ended (the "***Interim Reviewed Financials***") as promptly as practicable after the date of this Agreement, but in any event within thirty (30) days after the date of this Agreement (the "***Interim Reviewed Financials Delivery Date***"). The Company shall cause the Interim Reviewed Financials to be prepared in accordance with GAAP applied on a consistent basis throughout the periods indicated (except as may be specifically indicated in the notes thereto) and reviewed in accordance with PCAOB standards, and to comply in all material respects with the applicable accounting requirements and with the rules and regulations of the SEC, the Exchange Act and the Securities Act in effect as of date of delivery (including Regulation S-X or Regulation S-K, as applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall deliver to the Purchaser the audited consolidated financial statements of the Target Companies as of and for the fiscal year ended December 31, 2025, consisting of the audited consolidated balance sheet of the Target Companies as of December 31, 2025, and the related audited consolidated income statement, changes in shareholder equity and statement of cash flows for the year ended, and the related notes thereto, audited by a PCAOB qualified auditor in accordance with PCAOB auditing standards (the "***2025 PCAOB Audited Financials***"), as promptly as practicable after the date of this Agreement, but in any event within ninety (90) days after the date of this Agreement (the "***2025 PCAOB Audited Financials Delivery Date***"). The Company shall cause the 2025 PCAOB Audited Financials to be prepared in accordance with GAAP applied on a consistent basis throughout the periods indicated (except as may be specifically indicated in the notes thereto), and audited in accordance with PCAOB standards, and to comply in all material respects with the applicable accounting requirements and with the rules and regulations of the SEC, the Exchange Act and the Securities Act in effect as of date of delivery (including Regulation S-X or Regulation S-K, as applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5. <u>Purchaser Public Filings</u>. During the Interim Period, the Purchaser will keep current and timely file all of its public filings with the SEC and otherwise comply in all material respects with applicable securities Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6. <u>No Solicitation.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For purposes of this Agreement, (i) an "***Acquisition Proposal***" means any inquiry, proposal or offer, or any indication of interest in making an offer or proposal, from any Person or group at any time relating to an Alternative Transaction, and (ii) an "***Alternative Transaction***" means (A) with respect to the Company and its Affiliates, a transaction (other than the transactions contemplated by this Agreement) concerning the sale of (x) all or any material part of the business or assets of the Target Companies (other than in the ordinary course of business consistent with past practice) or (y) any of the shares or other equity interests or profits of the Target Companies, in any case, whether such transaction takes the form of a sale of shares or other equity interests, assets, merger, consolidation, issuance of debt securities, management Contract, joint venture or partnership, or otherwise, and (B) with respect to the Purchaser and its Affiliates, a transaction (other than the transactions contemplated by this Agreement) concerning a Business Combination involving Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to <u>Section 6.13(e)</u>, during the Interim Period, in order to induce the other Parties to continue to commit to expend management time and financial resources in furtherance of the transactions contemplated hereby, each Party shall not, and shall cause its Representatives to not, without the prior written consent of the Company and the Purchaser, directly or indirectly, (i) solicit, assist, initiate or facilitate the making, submission or announcement of, or intentionally encourage, any Acquisition Proposal, (ii) furnish any non-public information regarding such Party or its Affiliates or their respective businesses, operations, assets, Liabilities, financial condition, prospects or employees to any Person or group (other than a Party to this Agreement or their respective Representatives) in connection with or in response to an Acquisition Proposal, (iii) engage or participate in discussions or negotiations with any Person or group with respect to, or that could reasonably be expected to lead to, an Acquisition Proposal, (iv) approve, endorse or recommend, or publicly propose to approve, endorse or recommend, any Acquisition Proposal, (v) negotiate or enter into any letter of intent, agreement in principle, acquisition agreement or other similar agreement related to any Acquisition Proposal, or (vi) release any third Person from, or waive any provision of, any confidentiality agreement to which such Party is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Party shall notify the others as promptly as practicable (and in any event within 48 hours) in writing of the receipt by such Party or any of its Representatives of (i) any bona fide inquiries, proposals or offers, requests for information or requests for discussions or negotiations regarding or constituting any Acquisition Proposal or any bona fide inquiries, proposals or offers, requests for information or requests for discussions or negotiations that could be expected to result in an Acquisition Proposal, and (ii) any request for non-public information relating to such Party or its Affiliates in connection with any Acquisition Proposal, specifying in each case, the material terms and conditions thereof (including a copy thereof if in writing or a written summary thereof if oral) and the identity of the party making such inquiry, proposal, offer or request for information. Each Party shall keep the others promptly informed of the status of any such inquiries, proposals, offers or requests for information. During the Interim Period, subject to <u>Section 6.13(e)</u>, each Party shall, and shall cause its Representatives to, immediately cease and cause to be terminated any solicitations, discussions, or negotiations with any Person with respect to any Acquisition Proposal and shall, and shall direct its Representatives to, cease and terminate any such solicitations, discussions, or negotiations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7. <u>No Trading.</u> The Company acknowledges and agrees that it is aware, and that the Company's Affiliates are aware (and each of their respective Representatives is aware or, upon receipt of any material nonpublic information of the Purchaser, will be advised) of the restrictions imposed by U.S. federal securities laws and the rules and regulations of the SEC promulgated thereunder or otherwise (the "***Federal Securities Laws***") and other applicable foreign and domestic Laws on a Person possessing material nonpublic information about a publicly traded company. The Company hereby agrees that, while it is in possession of such material nonpublic information, it shall not purchase or sell any securities of the Purchaser (other than to engage in the Mergers in accordance with Article I), communicate such information to any third party, take any other action with respect to the Purchaser in violation of such Laws, or cause or encourage any third party to do any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8. <u>Notification of Certain Matters.</u> During the Interim Period, each Party shall give prompt notice to the other Parties if such Party or its Affiliates: (a) fails to comply with or satisfy any covenant, condition or agreement to be complied with or satisfied by it or its Affiliates hereunder in any material respect; (b) receives any notice or other communication in writing from any third party (including any Governmental Authority) alleging (i) that the Consent of such third party is or may be required in connection with the transactions contemplated by this Agreement or (ii) any non-compliance with any Law by such Party or its Affiliates; (c) receives any notice or other communication from any Governmental Authority in connection with the transactions contemplated by this Agreement; (d) discovers any fact or circumstance that, or becomes aware of the occurrence or non-occurrence of any event the occurrence or non-occurrence of which, would reasonably be expected to cause or result in any of the conditions to the Closing set forth in Article VII not being satisfied or the satisfaction of those conditions being materially delayed; or (e) becomes aware of the commencement or threat, in writing, of any Action against such Party or any of its Affiliates, or any of their respective properties or assets, or, to the Knowledge of such Party, any officer, director, partner, member or manager, in his, her or its capacity as such, of such Party or of its Affiliates with respect to the consummation of the transactions contemplated by this Agreement. No such notice shall constitute an acknowledgement or admission by the Party providing the notice regarding whether or not any of the conditions to the Closing have been satisfied or in determining whether or not any of the representations, warranties or covenants contained in this Agreement have been breached.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.9. <u>Efforts.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the terms and conditions of this Agreement, each Party shall use its commercially reasonable efforts, and shall cooperate fully with the other Parties, to take, or cause to be taken, all actions and to do, or cause to be done, all things reasonably necessary, proper or advisable under applicable Laws and regulations to consummate the transactions contemplated by this Agreement (including the receipt of all applicable Consents of Governmental Authorities) and to comply as promptly as practicable with all requirements of Governmental Authorities applicable to the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In furtherance and not in limitation of <u>Section 6.8(a)</u>, to the extent required under any Laws that are designed to prohibit, restrict or regulate actions having the purpose or effect of monopolization or restraint of trade ("***Antitrust Laws***"), each Party hereto agrees to make any required filing or application under Antitrust Laws, as applicable, at such Party's sole cost and expense, with respect to the transactions contemplated hereby as promptly as practicable, to supply as promptly as reasonably practicable any additional information and documentary material that may be reasonably requested pursuant to Antitrust Laws and to take all other actions reasonably necessary, proper or advisable to cause the expiration or termination of the applicable waiting periods under Antitrust Laws as soon as practicable, including by requesting early termination of the waiting period provided for under the Antitrust Laws. Each Party shall, in connection with its efforts to obtain all requisite approvals and authorizations for the transactions contemplated by this Agreement under any Antitrust Law, use its commercially reasonable efforts to: (i) cooperate in all respects with each other Party or its Affiliates in connection with any filing or submission and in connection with any investigation or other inquiry, including any proceeding initiated by a private Person; (ii) keep the other Parties reasonably informed of any communication received by such Party or its Representatives from, or given by such Party or its Representatives to, any Governmental Authority and of any communication received or given in connection with any proceeding by a private Person, in each case regarding any of the transactions contemplated by this Agreement; (iii) permit a Representative of the other Parties and their respective outside counsel to review any communication given by it to, and consult with each other in advance of any meeting or conference with, any Governmental Authority or, in connection with any proceeding by a private Person, with any other Person, and to the extent permitted by such Governmental Authority or other Person, give a Representative or Representatives of the other Parties the opportunity to attend and participate in such meetings and conferences; (iv) in the event a Party's Representative is prohibited from participating in or attending any meetings or conferences, the other Parties shall keep such Party promptly and reasonably apprised with respect thereto; and (v) use commercially reasonable efforts to cooperate in the filing of any memoranda, white papers, filings, correspondence or other written communications explaining or defending the transactions contemplated hereby, articulating any regulatory or competitive argument, and/or responding to requests or objections made by any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) As soon as reasonably practicable following the date of this Agreement, the Parties shall reasonably cooperate with each other and use (and shall cause their respective Affiliates to use) their respective commercially reasonable efforts to prepare and file with Governmental Authorities requests for approval of the transactions contemplated by this Agreement and shall use all commercially reasonable efforts to have such Governmental Authorities approve the transactions contemplated by this Agreement. Each Party shall give prompt written notice to the other Parties if such Party or any of its Representatives receives any notice from such Governmental Authorities in connection with the transactions contemplated by this Agreement, and shall promptly furnish the other Parties with a copy of such Governmental Authority notice. If any Governmental Authority requires that a hearing or meeting be held in connection with its approval of the transactions contemplated hereby, whether prior to the Closing or after the Closing, each Party shall arrange for Representatives of such Party to be present for such hearing or meeting. If any objections are asserted with respect to the transactions contemplated by this Agreement under any applicable Law or if any Action is instituted (or threatened to be instituted) by any applicable Governmental Authority or any private Person challenging any of the transactions contemplated by this Agreement or any Ancillary Document as violative of any applicable Law or which would otherwise prevent, materially impede or materially delay the consummation of the transactions contemplated hereby or thereby, the Parties shall use their commercially reasonable efforts to resolve any such objections or Actions so as to timely permit consummation of the transactions contemplated by this Agreement and the Ancillary Documents, including in order to resolve such objections or Actions which, in any case if not resolved, could reasonably be expected to prevent, materially impede or materially delay the consummation of the transactions contemplated hereby or thereby. In the event any Action is instituted (or threatened to be instituted) by a Governmental Authority or private Person challenging the transactions contemplated by this Agreement, or any Ancillary Document, the Parties shall, and shall cause their respective Representatives to, reasonably cooperate with each other and use their respective commercially reasonable efforts to contest and resist any such Action and to have vacated, lifted, reversed or overturned any Order, whether temporary, preliminary or permanent, that is in effect and that prohibits, prevents or restricts consummation of the transactions contemplated by this Agreement or the Ancillary Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Prior to the Closing, each Party shall use its commercially reasonable efforts to obtain any Consents of Governmental Authorities or other third Persons as may be necessary for the consummation by such Party or its Affiliates of the transactions contemplated by this Agreement or required as a result of the execution or performance of, or consummation of the transactions contemplated by, this Agreement by such Party or its Affiliates, and the other Parties shall provide reasonable cooperation in connection with such efforts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.10. <u>Tax Matters.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties intend that the Mergers collectively, constitute a transaction described in Section 351 of the Code, and each Party shall (and shall cause its respective Affiliates to) use commercially reasonable efforts to cause the Mergers to so qualify. The Parties shall file all Tax Returns consistent with, and take no position inconsistent with (whether in audits, Tax Returns or otherwise), the treatment described in this <u>Section 6.10(a)</u> unless required to do so pursuant to a "determination" that is final within the meaning of Section 1313(a) of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Pubco, Purchaser, the Merger Subs and the Company hereby adopt this Agreement as a "plan of reorganization" within the meaning of Treasury Regulations Sections 1.368-2(g) and 1.368-3(a). The Parties shall not, and shall not permit or cause their respective Affiliates to, take any action, or knowingly fail to take any action, which action or failure to act prevents or impedes, or would reasonably be expected to prevent or impede, the Mergers qualifying for the Intended Tax Treatment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If, in connection with the preparation and filing of the Registration Statement and Proxy Statement, the SEC requests or requires that tax opinions be prepared and submitted, the Purchaser and the Company shall deliver to Ellenoff Grossman & Schole LLP ("***EGS***") and Troutman Pepper Locke LLP, respectively, customary Tax representation letters satisfactory to its counsel, dated and executed as of the date the Registration Statement and Proxy Statement shall have been declared effective by the SEC and such other date(s) as determined reasonably necessary by such counsel in connection with the preparation and filing of the Registration Statement and Proxy Statement, and, if required, Purchaser shall request EGS to furnish an opinion for the benefit of the Purchaser's shareholders, subject to customary assumptions and limitations, to the effect that the Intended Tax Treatment should apply to the Mergers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11. <u>Transfer Taxes.</u> Any and all transfer, documentary, sales, use, stamp, registration and other similar Taxes, and all conveyance fees, recording charges and other fees and charges (including any penalties and interest) incurred in connection with the Mergers will be paid by Pubco when due, and Pubco will, at its own expense, file all necessary Tax Returns and other documentation with respect to all such Taxes, fees and charges.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.12. <u>Further Assurances.</u> The Parties hereto shall further cooperate with each other and use their respective commercially reasonable efforts to take or cause to be taken all actions, and do or cause to be done all things, necessary, proper or advisable on their part under this Agreement and applicable Laws to consummate the transactions contemplated by this Agreement as soon as reasonably practicable, including preparing and filing as soon as practicable all documentation to effect all necessary notices, reports and other filings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.13. <u>The Registration Statement.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) As promptly as practicable after the date hereof, the Purchaser shall prepare with the reasonable assistance of the Company, and Pubco shall file with the SEC a registration statement on Form S-4 (as amended or supplemented from time to time, and including the Proxy Statement contained therein, the "***Registration Statement***") in connection with the registration under the Securities Act of (w) the shares of Pubco Common Stock to be issued to Purchaser's shareholders and the Company Stockholders pursuant to the Mergers, (x) the Pubco Warrants to be issued to the holders of Purchaser Warrants in the Purchaser Merger, (y) the shares of Pubco Common Stock issuable upon exercise of the Pubco Warrants to be issued to the holders of Purchaser Warrants in the Purchaser Merger, and (z) the shares of shares of Pubco Common Stock issuable upon exercise of the Assumed Options and the Assumed Warrants, and which Registration Statement will also contain a proxy statement (as amended, the "***Proxy Statement***") for the purpose of soliciting proxies from Purchaser Shareholders for the matters to be acted upon at the Purchaser Shareholder Meeting and providing the Public Shareholders an opportunity in accordance with the Purchaser's Organizational Documents to have their Purchaser Ordinary Shares redeemed (the "***Closing Redemption***") in conjunction with the shareholder vote on the Purchaser Shareholder Approval Matters. The Proxy Statement shall include proxy materials for the purpose of soliciting proxies from Purchaser Shareholders to vote, at an extraordinary general meeting of Purchaser Shareholders to be called and held for such purpose (the "***Purchaser Shareholder Meeting***"), in favor of resolutions approving (i) the adoption and approval of this Agreement and the transactions contemplated hereby or referred to herein, including the Mergers, by the holders of Purchaser Ordinary Shares in accordance with the Purchaser's Organizational Documents, the Companies Act and the rules and regulations of the SEC, (ii) the change of name of Pubco and the adoption and approval of the Pubco's Organizational Documents, (iii) adoption and approval of a new equity incentive plan for Pubco (the "***Incentive Plan***"), and which will provide for awards for a number of shares of Pubco Common Stock equal to fifteen percent (15%) of the aggregate number of shares of Pubco Common Stock issued and outstanding immediately after the Closing (after giving effect to the Closing Redemption), as further set forth in the Incentive Plan, (iv) the appointment of the members of the Post-Closing Pubco Board in accordance with <u>Section 6.17</u> hereof, (v) such other matters (or, to the extent applicable, excluding such approval matters) as the Company and the Purchaser shall hereafter mutually determine to be necessary or appropriate in order to effect the Mergers and the other transactions contemplated by this Agreement (the approvals described in foregoing clauses (i) through (v), collectively, the "***Purchaser Shareholder Approval Matters***"), and (vi) the adjournment of the Purchaser Shareholder Meeting, if necessary or desirable in the reasonable determination of the Purchaser. If on the date for which the Purchaser Shareholder Meeting is scheduled, the Purchaser has not received proxies representing a sufficient number of shares to obtain the Required Purchaser Shareholder Approval, whether or not a quorum is present, the Purchaser may make one or more successive postponements or adjournments of the Purchaser Shareholder Meeting. In connection with the Registration Statement, the Purchaser and Pubco will file with the SEC financial and other information about the transactions contemplated by this Agreement in accordance with applicable Law and applicable proxy solicitation and registration statement rules set forth in the Purchaser's Organizational Documents, the Companies Act and the rules and regulations of the SEC. The Company shall cooperate and provide the Purchaser and Pubco with a reasonable opportunity to review and comment on the Registration Statement and any amendment or supplement thereto prior to filing the same with the SEC, and the Purchaser shall consider in good faith any such comments timely made. The Company shall promptly provide the Purchaser and Pubco with such information concerning the Target Companies and their stockholders, officers, directors, employees, assets, Liabilities, condition (financial or otherwise), business and operations that may be required or appropriate for inclusion in the Registration Statement, or in any amendments or supplements thereto, which information provided by the Company shall be true and correct and not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not materially misleading. Notwithstanding the foregoing, the Company makes no representation, warranty or covenant with respect to statements made or incorporated by reference therein based on information supplied by the Purchaser, Merger Subs or Sponsor for inclusion or incorporation by reference in the Registration Statement of any SEC filings of the Purchaser or the Proxy Statement provided to the Purchaser Shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Purchaser and Pubco shall take any and all reasonable and necessary actions required to satisfy the requirements of the Securities Act, the Exchange Act and other applicable Laws in connection with the Registration Statement, the Purchaser Shareholder Meeting and the Closing Redemption. Each of the Purchaser, Pubco and the Company shall, and shall cause each of its Subsidiaries to, make their respective directors, officers and employees, upon reasonable advance notice, available to the Company, the Purchaser, Pubco, and their respective Representatives in connection with the drafting of the public filings with respect to the transactions contemplated by this Agreement, including the Registration Statement, and responding in a timely manner to comments from the SEC. Each Party shall promptly correct any information provided by it for use in the Registration Statement (and other related materials) if and to the extent that such information is determined to have become false or misleading in any material respect or as otherwise required by applicable Laws. The Purchaser and Pubco shall amend or supplement the Registration Statement and cause the Registration Statement, as so amended or supplemented, to be filed with the SEC and to be disseminated to Purchaser Shareholders, in each case as and to the extent required by applicable Laws and subject to the terms and conditions of this Agreement and the Purchaser's Organizational Documents, provided, however, that the Purchaser shall not amend or supplement the Registration Statement without providing the Company with reasonably opportunity to comment or supplement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each of Pubco and the Purchaser, with the assistance of the other Parties, shall promptly respond to any SEC comments on the Registration Statement and shall otherwise use its reasonable best efforts to cause the Registration Statement to "clear" comments from the SEC and become effective. The Purchaser and Pubco shall provide the Company with copies of any written comments, and shall inform the Company of any material oral comments, that the Purchaser, Pubco, or their respective Representatives receive from the SEC or its staff with respect to the Registration Statement, the Purchaser Shareholder Meeting and the Closing Redemption promptly after the receipt of such comments and shall give the Company a reasonable opportunity under the circumstances to review and comment on any proposed written or material oral responses to such comments, and the Purchaser shall consider in good faith any such comments timely made under the circumstances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) As soon as practicable following the Registration Statement "clearing" comments from the SEC and becoming effective, the Purchaser and Pubco shall distribute the Registration Statement to the Purchaser Shareholders and the Company Stockholders, and, pursuant thereto, shall call the Purchaser Shareholder Meeting in accordance with the DGCL for a date no later than thirty (30) days following the effectiveness of the Registration Statement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Purchaser shall, through approval of its board of directors, recommend to the Purchaser Shareholders (the "***Purchaser Board Recommendation***") the Purchaser Shareholder Approval matters, and the Purchaser Board Recommendation shall be included in the Registration Statement and Proxy Statement. Notwithstanding the foregoing, the Purchaser's board of directors may withdraw, withhold, amend, qualify or modify the Purchaser Board Recommendation (a "***Change in Recommendation***") to the extent that the Purchaser's board of directors determines in good faith, after consultation with its outside legal counsel, that such Change in Recommendation is required by the board's fiduciary duties under applicable Law; provided that the board of directors of the Purchaser may not make such Change in Recommendation unless (i) the board of directors of the Purchaser has provided written notice to the Company (the "***Recommendation Change Notice***") that it is prepared to make a Change in Recommendation at least ten (10) days prior to taking such action, which notice shall specify the basis for why a failure to make an Change in Recommendation would constitute a breach of its fiduciary duties to the Purchaser and its shareholders under applicable Law, (ii) during the ten (10) day period after delivery of the Recommendation Change Notice, the Purchaser shall negotiate in good faith with the Company regarding any revisions or adjustments to this Agreement that the Company proposes to make as would enable the board of directors of the Purchaser to reaffirm the Purchaser Board Recommendation and not make such Change in Recommendation and (iii) at the end of such ten (10) day period and taking into account any changes to the terms of this Agreement committed to in a binding written offer by the Company, the board of directors of the Purchaser determines in good faith (after consultation with its outside legal counsel) that the failure to make such a Change in Recommendation would constitute a breach of its fiduciary duties to the Purchaser and the Purchaser's shareholders under applicable Law. The Purchaser's obligations to establish a record date for, duly call, give notice of, convene and hold the Purchaser Shareholder Meeting shall not be affected by any Change in Recommendation (provided, that the Purchaser may, without the consent of the Company, postpone the Purchaser Shareholder Meeting, subject to the Purchaser Charter and the Companies Act, after delivering a Recommendation Change Notice until such time after which the ten (10) day period required for a Change in Recommendation in connection therewith has elapsed and the Purchaser can disclose to its shareholders in accordance with applicable securities Laws, including pursuant to a supplement or amendment to the Registration Statement, either a Change in Recommendation or the changes to this Agreement that were agreed to by the Company to avoid a Change in Recommendation).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Purchaser and Pubco shall comply with all applicable Laws, the Purchaser's Organizational Documents and this Agreement in the preparation, filing and distribution of the Registration Statement, any solicitation of proxies thereunder, the calling and holding of the Purchaser Shareholder Meeting and the Closing Redemption.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.14. <u>Required Company Stockholder Approval.</u> As promptly as practicable after the Registration Statement has become effective, the Company shall, in accordance with applicable Law and the Company's Organizational Documents, establish a record date for, duly call, give notice of, convene and hold a meeting of the stockholders of the Company, or solicit and obtain a written consent in lieu of a meeting of the stockholders of the Company, to obtain the Required Company Stockholder Approval, and the Company shall use its commercially reasonable efforts to secure the Required Company Stockholder Approval, including enforcing the Voting Agreements and in the case of a meeting of the Company Stockholders, soliciting from the Company Stockholders proxies in favor of the Required Company Stockholder Approval prior to such meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.15. <u>Public Announcements.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties agree that during the Interim Period no public release, filing or announcement concerning this Agreement or the Ancillary Documents or the transactions contemplated hereby or thereby shall be issued by any Party or any of their Affiliates without the prior written consent of the Purchaser and the Company (which consent shall not be unreasonably withheld, conditioned or delayed), except as such release or announcement may be required by applicable Law or the rules or regulations of any securities exchange, in which case the applicable Party shall use commercially reasonable efforts to allow the other Parties reasonable time to comment on, and arrange for any required filing with respect to, such release or announcement in advance of such issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties shall mutually agree upon and, as promptly as practicable after the execution of this Agreement (but in any event within four (4) Business Days thereafter), issue a press release announcing the execution of this Agreement (the "***Signing Press Release***"). Promptly after the issuance of the Signing Press Release, the Purchaser shall file a current report on Form 8-K (the "***Signing Filing***") with the Signing Press Release and a description of this Agreement as required by Federal Securities Laws, which the Company shall review, comment upon and approve (which approval shall not be unreasonably withheld, conditioned or delayed) prior to filing (with the Company reviewing, commenting upon and approving such Signing Filing in any event no later than the third (3<sup>rd</sup>) Business Day after the execution of this Agreement). The Parties shall mutually agree upon and, as promptly as practicable after the Closing (but in any event within four (4) Business Days thereafter), issue a press release announcing the consummation of the transactions contemplated by this Agreement (the "***Closing Press Release***"). Promptly after the issuance of the Closing Press Release, Pubco shall file a current report on Form 8-K (the "***Closing Filing***") with the Closing Press Release and a description of the Closing as required by Federal Securities Laws which the Company and the Purchaser shall review, comment upon, and approve (which approval shall not be unreasonably withheld, conditioned or delayed) prior to filing. In connection with the preparation of the Signing Press Release, the Signing Filing, the Closing Filing, the Closing Press Release, or any other report, statement, filing notice or application made by or on behalf of a Party to any Governmental Authority or other third party in connection with the transactions contemplated hereby, each Party shall, upon request by any other Party, furnish the Parties with all information concerning themselves, their respective directors, officers and equity holders, and such other matters as may be reasonably necessary or advisable in connection with the transactions contemplated hereby, or any other report, statement, filing, notice or application made by or on behalf of a Party to any third party and/ or any Governmental Authority in connection with the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.16. <u>Confidential Information.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company hereby agrees that during the Interim Period and, in the event that this Agreement is terminated in accordance with <u>Article VIII</u>, for a period of two (2) years after such termination, they shall, and shall cause each of its respective Representatives to: (i) treat and hold in strict confidence any Purchaser Confidential Information, and will not use for any purpose (except in connection with the consummation of the transactions contemplated by this Agreement or the Ancillary Documents, performing their obligations hereunder or thereunder, enforcing their rights hereunder or thereunder, or in furtherance of their authorized duties on behalf of the Purchaser or its Subsidiaries), nor directly or indirectly disclose, distribute, publish, disseminate or otherwise make available to any third party any of the Purchaser Confidential Information without the Purchaser's prior written consent; and (ii) in the event that the Company or an of its Representatives, during the Interim Period or, in the event that this Agreement is terminated in accordance with <u>Article VIII</u>, for a period of two (2) years after such termination, becomes legally compelled to disclose any Purchaser Confidential Information, (A) provide the Purchaser to the extent legally permitted with prompt written notice of such requirement so that the Purchaser or an Affiliate thereof may seek, at Purchaser's cost, a protective Order or other remedy or waive compliance with this <u>Section 6.15(a)</u>, and (B) in the event that such protective Order or other remedy is not obtained, or the Purchaser waives compliance with this <u>Section 6.15(a)</u> furnish only that portion of such Purchaser Confidential Information which is legally required to be provided as advised in writing by outside counsel and to exercise its commercially reasonable efforts to obtain assurances that confidential treatment will be accorded such Purchaser Confidential Information. In the event that this Agreement is terminated and the transactions contemplated hereby are not consummated, the Company shall, and shall cause its Representatives to, promptly deliver to the Purchaser or destroy (at Purchaser's election) any and all copies (in whatever form or medium) of Purchaser Confidential Information and destroy all notes, memoranda, summaries, analyses, compilations and other writings related thereto or based thereon; provided, however, that the Company and its Representatives shall be entitled to keep any records required by applicable Law or bona fide record retention policies; and provided, further, that any Purchaser Confidential Information that is not returned or destroyed shall remain subject to the confidentiality obligations set forth in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Purchaser Parties hereby agree that during the Interim Period and, in the event that this Agreement is terminated in accordance with <u>Article VIII</u>, for a period of two (2) years after such termination, it shall, and shall cause its Representatives to: (i) treat and hold in strict confidence any Company Confidential Information, and will not use for any purpose (except in connection with the consummation of the transactions contemplated by this Agreement or the Ancillary Documents, performing its obligations hereunder or thereunder or enforcing its rights hereunder or thereunder), nor directly or indirectly disclose, distribute, publish, disseminate or otherwise make available to any third party any of the Company Confidential Information without the Company's prior written consent; and (ii) in the event that the Purchaser Parties or any of their Representatives, during the Interim Period or, in the event that this Agreement is terminated in accordance with <u>Article VIII</u>, for a period of two (2) years after such termination, becomes legally compelled to disclose any Company Confidential Information, (A) provide the Company to the extent legally permitted with prompt written notice of such requirement so that the Company may seek, at the Company's sole expense, a protective Order or other remedy or waive compliance with this <u>Section 6.15(b)</u> and (B) in the event that such protective Order or other remedy is not obtained, or the Company waives compliance with this <u>Section 6.15(b)</u>, furnish only that portion of such Company Confidential Information which is legally required to be provided as advised in writing by outside counsel and to exercise its commercially reasonable efforts to obtain assurances that confidential treatment will be accorded such Company Confidential Information. In the event that this Agreement is terminated and the transactions contemplated hereby are not consummated, the Purchaser Parties shall, and shall cause its Representatives to, promptly deliver to the Company or destroy (at the Company's election) any and all copies (in whatever form or medium) of Company Confidential Information and destroy all notes, memoranda, summaries, analyses, compilations and other writings related thereto or based thereon; provided, however, that the Purchaser Parties and their Representatives shall be entitled to keep any records required by applicable Law or bona fide record retention policies; and provided, further, that any Company Confidential Information that is not returned or destroyed shall remain subject to the confidentiality obligations set forth in this Agreement. Notwithstanding the foregoing, the Purchaser Parties and their Representatives shall be permitted to disclose any and all Company Confidential Information to the extent required by the Federal Securities Laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.17. <u>Post-Closing Board of Directors and Executive Officers.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties shall take all necessary action, including causing the directors of the Purchaser to resign, so that effective as of the Closing, Pubco's board of directors (the "***Post-Closing Pubco Board***") will consist of five (5) individuals, with (i) one (1) individual to be designated by the Purchaser, (the "***Purchaser Directors***") and (ii) four (4) individuals to be designated by the Company, one (1) of whom shall be the President and Chief Executive Officer of the Company prior to the Closing, who shall also serve as Chairman of the Post-Closing Pubco Board (the "***Company Directors***"). A majority of the directors of the Post-Closing Pubco Board shall qualify as independent directors as defined under the rules of the Applicable Exchange. The Post-Closing Pubco Board shall be divided into three classes, which classes shall have staggered terms of three years each, with the composition of each "class" determined by the Company's board of directors prior to the Closing, subject to the requirements of the Applicable Exchange. At the Closing, Pubco will provide each member of the Post-Closing Pubco Board with a customary director indemnification agreement, in form and substance reasonably acceptable to such director, Pubco, Purchaser and the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties shall take all action necessary, including causing the executive officers of Pubco to resign, so that the individuals serving as the chief executive officer and chief financial officer, respectively, of Pubco immediately after the Closing will be the same individuals (in the same office) as that of the Company immediately prior to the Closing (unless, at its sole discretion, the Company desires to appoint another qualified person to either such role, in which case, such other person identified by the Company shall serve in such role).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.18. <u>Indemnification of Directors and Officers; Tail Insurance.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties agree that all rights to exculpation, indemnification and advancement of expenses existing in favor of the current or former directors and officers of the Purchaser, Pubco, the Company or the Merger Subs and each Person who served as a director, officer, member, trustee or fiduciary of another corporation, partnership, joint venture, trust, pension or other employee benefit plan or enterprise at the request of any Purchaser Party or the Company (the "***D&O Indemnified Persons***") as provided in their respective Organizational Documents or under any indemnification, employment or other similar agreements between any D&O Indemnified Person and the Purchaser, Pubco, any Merger Sub or the Company, in each case as in effect on the date of this Agreement, shall survive the Closing and continue in full force and effect in accordance with their respective terms to the extent permitted by applicable Law. For a period of six (6) years after the Effective Time, Pubco shall cause the Organizational Documents of Pubco and the Surviving Corporations to contain provisions no less favorable with respect to exculpation and indemnification of and advancement of expenses to D&O Indemnified Persons than are set forth as of the date of this Agreement in the Organizational Documents of the Purchaser Parties, the Merger Subs and the Company to the extent permitted by applicable Law. The provisions of this <u>Section 6.18</u> shall survive the consummation of the Mergers and are intended to be for the benefit of, and shall be enforceable by, each of the D&O Indemnified Persons and their respective heirs and representatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the benefit of each Purchaser Party's and the Company's directors and officers, Pubco shall maintain, for a period of six (6) years after the Effective Time insurance for events occurring prior to the Effective Time (the "***D&O Insurance***") that is substantially equivalent to and in any event not less favorable to the insured in the aggregate than, as applicable, the Purchaser's or the Company's existing policy prior to the Effective Time. Pubco and the Surviving Corporations shall timely pay or caused to be paid all premiums with respect to the D&O Insurance. In lieu of the foregoing, the Company may cause Pubco to purchase and maintain in effect a six-year "tail" insurance policy for events occurring prior to the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.19. <u>Trust Account Proceeds.</u> The Parties agree that after the Closing, the funds in the Trust Account, after taking into account payments for the Closing Redemption, shall first be used to pay (i) the Company's and the Purchaser's accrued Expenses, (ii) the Purchaser's deferred Expenses of the IPO, (iii) the Polar Loan, (iv) any loans owed by the Purchaser to the Sponsor or the Original Sponsor for any Expenses (including deferred Expenses), other administrative costs and expenses incurred by or on behalf of the Purchaser or Extension Expenses, and (v) any other Liabilities of the Purchaser as of the Closing. Such Expenses, as well as any Expenses that are required to be paid by delivery of the Purchaser's securities, will be paid at the Closing. Any remaining cash will be used for working capital and general corporate purposes of the Purchaser and the Surviving Corporations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.20. <u>Pubco Incentive Equity Plan.</u> Pubco shall approve and adopt the Incentive Plan, in the manner prescribed under applicable Laws, initially reserving a number of Pubco Common Stock for grant thereunder a number of shares equal to equal to fifteen percent (15%) of the total number of shares of Pubco Common Stock issued and outstanding immediately after the Closing (after giving effect to the Closing Redemption). Pubco shall file with the SEC a registration statement on Form S-8 (or any successor form or comparable form in another relevant jurisdiction) relating to Pubco Common Stock issuable pursuant to the Incentive Plan. Such registration statement shall be filed as soon as reasonably practicable after registration of shares on Form S-8 (or any successor form or comparable form in another relevant jurisdiction) first becomes available to Pubco, and Pubco shall use reasonable best efforts to maintain the effectiveness of such registration statement for so long as any awards issued under the Incentive Plan remain outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.21. <u>Employment Agreements.</u> Prior to the Closing, the Company shall use its reasonable best efforts to cause the persons set forth on <u>Schedule 6.21</u> to enter into employment agreements (the "***Employment Agreements***"), in each case effective as of the Closing, in form and substance reasonably acceptable to the Company and Purchaser, between each such individual and Pubco.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.22. <u>Transaction Financing.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) During the Interim Period, the Company, Purchaser and Pubco shall use their commercially reasonable efforts to enter into financing agreements ("***Financing Agreements***") for one or more Transaction Financings for an aggregate in gross proceeds sufficient to meet the Minimum Cash Condition on such terms and structuring, and using such strategy, placement agents and approach, as Purchaser and the Company shall mutually agree (such agreement not to be unreasonably withheld, conditioned or delayed).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Purchaser, the Company and Pubco shall, and shall cause their respective Representatives to, reasonably cooperate with the others in connection with such Financing Agreements (including having the Company's senior management participate in any investor meetings and roadshows as reasonably requested by the Purchaser). Except to the extent permitted pursuant to the terms of the Financing Agreements or otherwise approved in writing by the Company and the Purchaser (each of which approval shall not be unreasonably withheld, conditioned or delayed), and except for any of the following actions that would not materially increase conditionality or impose any new material obligation on the Company, Pubco or the Purchaser, during the Interim Period, the Purchaser, the Company and Pubco shall not (i) reduce the committed investment amount to be received by the Purchaser, Pubco or the Company under any Financing Agreement or reduce or impair the rights of the Purchaser, the Company or Pubco under any Financing Agreement or (ii) permit any amendment or modification to be made to, any waiver (in whole or in part) of, or provide consent to modify (including consent to terminate), any provision or remedy under, or any replacements of, any of the Financing Agreements, in each case, other than any assignment or transfer contemplated therein or expressly permitted thereby (without any further amendment, modification or waiver to such assignment or transfer provision). the Purchaser, Pubco and the Company shall use their commercially reasonable efforts to consummate the Transaction Financing in accordance with the Financing Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.23. <u>Insider Letter Amendment Joinders.</u> As promptly as practicable after the date hereof, Purchaser shall use its commercially reasonable efforts to cause each of the other holders of Founder Shares, including the Original Sponsor (collectively with the Sponsor, the "***SPAC Insiders***"), and the other Insider Letter Joinder Holders to sign a joinder to become bound to the Insider Letter Amendment as "Insiders" thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.24. <u>Polar Subscription Agreement.</u> Notwithstanding anything to the contrary contained herein, (i) immediately prior to the Closing, Purchaser shall issue to Polar the number of Purchaser Class A Ordinary Shares required to be issued by the Purchaser at the Closing under Section 1.2 of the Polar Subscription Agreement (together with the shares of Pubco Common Stock to be received in exchange for such shares in the Merger, the "***Polar Shares***"), which Purchaser Class A Ordinary Shares, for the avoidance of doubt, will not be entitled to participate in the Closing Redemption ((or any redemption in connection with an Extension), and (ii) at the Closing, Purchaser and Pubco will pay to Polar the amounts required pursuant to Section 1.3 of the Polar Subscription Agreement (the "***Polar Loan***"). Purchaser, Pubco and the Company will use their commercially reasonable efforts to cause such Polar Shares, to the extent feasible and in compliance with all applicable Laws, to be registered pursuant to the Registration Statement (and to the extent that they are not so registered, Pubco will file a registration statement with the SEC after the Closing with respect to the Polar Shares and cause such registration statement to become effective in accordance with the requirements of Section 1.2 of the Polar Subscription Agreement).

**ARTICLE VII CLOSING CONDITIONS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1. <u>Conditions to Each Party's Obligations.</u> The obligations of each Party to consummate the Merger and the other transactions described herein shall be subject to the satisfaction or written waiver (where permissible) by the Company and the Purchaser of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Required Purchaser Shareholder Approval*. The Purchaser Shareholder Approval Matters that are submitted to the vote of the shareholders of the Purchaser at the Purchaser Shareholder Meeting in accordance with the Proxy Statement shall have been approved by the requisite vote of the shareholders of the Purchaser at the Purchaser Shareholder Meeting in accordance with the Purchaser's Organizational Documents, applicable Law and the Proxy Statement (the "***Required Purchaser Shareholder Approval***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Required Company Stockholder Approval*. The Required Company Stockholder Approval shall have been obtained.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Antitrust Laws.* Any waiting period (and any extension thereof) applicable to the consummation of this Agreement under any Antitrust Laws shall have expired or been terminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Requisite Regulatory Approvals*. All Consents required to be obtained from or made with any Governmental Authority in order to consummate the transactions contemplated by this Agreement shall have been obtained or made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Requisite Consents*. The Consents required to be obtained from or made with any third Person (other than a Governmental Authority) in order to consummate the transactions contemplated by this Agreement that are set forth in <u>Schedule 7.1(e)</u> shall have each been obtained or made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *No Adverse Law or Order*. No Governmental Authority shall have enacted, issued, promulgated, enforced, or entered any Law (whether temporary, preliminary or permanent) or Order that is then in effect and which has the effect of making the transactions or agreements contemplated by this Agreement illegal or which otherwise prevents or prohibits consummation of the transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Appointment to the Board*. The members of the Post-Closing Pubco Board shall have been elected or appointed as of the Closing consistent with the requirements of <u>Section 6.18</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Registration Statement.* The Registration Statement shall have been declared effective by the SEC and shall remain effective as of the Closing, and no stop order or similar order shall be in effect with respect to the Registration Statement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Minimum Cash.* Upon the Closing, Purchaser and Pubco shall have an aggregate amount of (i) cash and cash equivalents, including funds remaining in the Trust Account (after giving effect to the completion and payment of the Closing Redemption), that (ii) when added to the aggregate cash proceeds of all Transaction Financing, whether received by Purchaser, Pubco or a Target Company, in each case, prior to giving effect to the payment of any Expenses of any Party (including the satisfaction of any Purchaser liability), after (iii) (a) payment of the aggregate outstanding and unpaid amounts owed by Purchaser as of the Closing in cash for Purchaser's accrued Expenses, Extension Expenses and any other unpaid Indebtedness and cash liabilities in respect of costs and expenses incurred by Purchaser (including the Polar Loan and any loans owed to the Sponsor or the Original Sponsor that are repaid in cash) and (b) payment of up to $1,000,000 in outstanding and unpaid amounts owed by the Company as of the Closing in cash for the Company's accrued Expenses, is at least to Five Million U.S. Dollars ($5,000,000) (the "***Minimum Cash Condition***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) *Amended Pubco Organizational Documents.* Prior to the Closing, the Amended Pubco Organizational Documents shall be in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) *Listing*. Pubco's initial listing application with either the NYSE American or Nasdaq, as mutually determined by the Company and the Purchaser reasonably and in good faith (the "***Applicable Exchange***"), in connection with the transactions contemplated by this Agreement shall have been approved and Pubco shall not have received any notice of non-compliance therewith that has not been cured or would not be cured at or immediately following the Effective Time, and the Pubco Common Stock to be issued pursuant to the Mergers shall have been approved for listing on the Applicable Exchange, subject only to official notice of issuance thereof and the requirement to have a sufficient number of round lot holders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2. <u>Conditions to Obligations of the Company.</u> In addition to the conditions specified in <u>Section 7.1</u>, the obligations of the Company to consummate the Merger and the other transactions contemplated by this Agreement are subject to the satisfaction or written waiver (by the Company) of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Representations and Warranties*. All of the representations and warranties of the Purchaser Parties set forth in this Agreement and in any certificate delivered by or on behalf of the Purchaser pursuant hereto shall be true and correct on and as of the date of this Agreement and on and as of the Closing Date as if made on the Closing Date, except for (i) those representations and warranties that address matters only as of a particular date (which representations and warranties shall have been accurate as of such date), and (ii) any failures to be true and correct that (without giving effect to any qualifications or limitations as to materiality or Material Adverse Effect), individually or in the aggregate, have not had and would not reasonably be expected to have a Material Adverse Effect on, or with respect to, the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Agreements and Covenants*. The Purchaser shall have performed in all material respects all of the Purchaser's obligations and complied in all material respects with all of the Purchaser's agreements and covenants under this Agreement to be performed or complied with by it on or prior to the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *No Purchaser Material Adverse Effect*. No Material Adverse Effect shall have occurred with respect to the Purchaser since the date of this Agreement which is continuing and uncured.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Certain Ancillary Documents.* Each of the Sponsor Letter Agreement and the Insider Letter Amendment shall be in full force and effect in accordance with the terms thereof as of the Closing with respect to the parties thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Closing Deliveries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Officer Certificate. The Purchaser shall have delivered to the Company a certificate, dated the Closing Date, signed by an executive officer of the Purchaser in such capacity, certifying as to the satisfaction of the conditions specified in <u>Sections 7.2(a)</u>, <u>7.2(b)</u> and <u>7.2(c)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Secretary Certificate. The Purchaser shall have delivered to the Company a certificate from its secretary or other executive officer certifying as to, and attaching, (A) copies of each Purchaser Party's Organizational Documents as in effect as of the Closing Date, (B) the resolutions of the board of directors of each of the Purchaser, Pubco, Purchaser Merger Sub and Company Merger Sub authorizing and approving the execution, delivery and performance of this Agreement and each of the Ancillary Documents to which it is a party or by which it is bound, and the consummation of the transactions contemplated hereby and thereby, (C) evidence that the Required Purchaser Shareholder Approval has been obtained and (D) the incumbency of officers of Purchaser authorized to execute this Agreement or any Ancillary Document to which Purchaser is or is required to be a party or otherwise bound. .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Good Standing. The Purchaser shall have delivered to the Company a good standing certificate (or similar documents applicable for such jurisdictions) for the Purchaser certified as of a date no earlier than thirty (30) days prior to the Closing Date from the proper Governmental Authority of the Purchaser's, Pubco's, Purchaser Merger Sub's and Company Merger Sub's jurisdiction of organization and from each other jurisdiction in which each of the Purchaser, Pubco, Purchaser Merger Sub and Company Merger Sub is qualified to do business as a foreign entity as of the Closing, in each case to the extent that good standing certificates or similar documents are generally available in such jurisdictions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Employment Agreements. The Company shall have received the Employment Agreements, in form and substance reasonably acceptable to Purchaser and the Company, between each of the persons set forth on <u>Schedule 6.21</u> and Pubco (or a Subsidiary thereof), each such Employment Agreement duly executed by such person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Registration Rights Agreements. The Company shall have received a copy of (i) the Seller Registration Rights Agreement, in substantially the form attached as <u>Exhibit D</u> hereto, duly executed by Pubco, and (ii) the Founder Registration Rights Agreement Amendment, in substantially the form attached as <u>Exhibit E</u> hereto, duly executed by Pubco, the Purchaser and the Sponsor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.13 <u>Conditions to Obligations of the Purchaser.</u> In addition to the conditions specified in <u>Section 7.1</u>, the obligations of the Purchaser and Merger Sub to consummate the Merger and the other transactions contemplated by this Agreement are subject to the satisfaction or written waiver (by the Purchaser) of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Representations and Warranties*. All of the representations and warranties of the Company set forth in this Agreement and in any certificate delivered by or on behalf of the Company pursuant hereto shall be true and correct on and as of the date of this Agreement and on and as of the Closing Date as if made on the Closing Date, except for (i) those representations and warranties that address matters only as of a particular date (which representations and warranties shall have been accurate as of such date), and (ii) any failures to be true and correct that (without giving effect to any qualifications or limitations as to materiality or Material Adverse Effect), individually or in the aggregate, have not had and would not reasonably be expected to have a Material Adverse Effect on, or with respect to, the Target Companies, taken as a whole.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Agreements and Covenants*. The Company shall have performed in all material respects all of its obligations and complied in all material respects with all of its agreements and covenants under this Agreement to be performed or complied with by it on or prior to the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *No Material Adverse Effect*. No Material Adverse Effect shall have occurred with respect to the Target Companies taken as a whole since the date of this Agreement which is continuing and uncured.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Closing Deliveries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Officer Certificate. The Purchaser shall have received a certificate from the Company, dated as the Closing Date, signed by an executive officer of the Company in such capacity, certifying as to the satisfaction of the conditions specified in <u>Sections 7.3(a)</u>, 7.3(b) and 7.3(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Secretary Certificate. The Company shall have delivered to the Purchaser a certificate executed by the Company's secretary certifying as to the validity and effectiveness of, and attaching, (A) copies of the Company's Organizational Documents as in effect as of the Closing Date (immediately prior to the Effective Time), (B) the requisite resolutions of the Company Board authorizing and approving the execution, delivery and performance of this Agreement and each Ancillary Document to which the Company is or is required to be a party or bound, and the consummation of the Mergers and the other transactions contemplated hereby and thereby, and the adoption of the Company Surviving Corporation Organizational Documents and recommending the approval and adoption of the same by the Company Stockholders, (C) evidence that the Required Company Stockholder Approval has been obtained and (D) the incumbency of officers authorized to execute this Agreement or any Ancillary Document to which the Company is or is required to be a party or otherwise bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Good Standing. The Company shall have delivered to the Purchaser good standing certificates (or similar documents applicable for such jurisdictions) for each Target Company certified as of a date no earlier than thirty (30) days prior to the Closing Date from the proper Governmental Authority of the Target Company's jurisdiction of organization and from each other jurisdiction in which the Target Company is qualified to do business as a foreign corporation or other entity as of the Closing, in each case to the extent that good standing certificates or similar documents are generally available in such jurisdictions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Employment Agreements. Purchaser shall have received the Employment Agreements, in form and substance reasonably acceptable to Purchaser and the Company, between each of the persons set forth on <u>Schedule 6.21</u> and Pubco (or a Subsidiary thereof), each such Employment Agreement duly executed by such person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Termination of Certain Contracts. Purchaser shall have received evidence reasonably acceptable to Purchaser that the Contracts set forth on <u>Schedule 7.3(d)(v)</u> involving any of the Target Companies and/or Company Security Holders or other Related Persons shall have been terminated with no further obligation or Liability of the Target Companies thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Termination of Company Convertible Securities. Purchaser shall have received evidence reasonably acceptable to Purchaser that any issued and outstanding Company Convertible Securities other than Company Options and Company Warrants have been either converted into Company Common Stock prior to the Effective Time or terminated, without any consideration, payment or Liability therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Registration Rights Agreements. Purchaser shall have received a copy of (i) the Seller Registration Rights Agreement, in substantially the form attached as <u>Exhibit D</u> hereto, duly executed by the Insider Sellers and (ii) the Founder Registration Rights Agreement Amendment, in substantially the form attached as <u>Exhibit E</u> hereto, duly executed by the Sponsor and the other Holders under the Founders Registration Rights Agreement and the Purchaser NRA Holders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 <u>Frustration of Conditions.</u> Notwithstanding anything contained herein to the contrary, no Party may rely on the failure of any condition set forth in this Article VII to be satisfied if such failure was caused by the failure of such Party or its Affiliates (or with respect to the Company, any Target Company or Company Stockholder) failure to comply with or perform any of its covenants or obligations set forth in this Agreement.

**ARTICLE VIII TERMINATION AND EXPENSES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1. <u>Termination.</u> This Agreement may be terminated and the transactions contemplated hereby may be abandoned at any time prior to the Closing as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) by mutual written consent of the Purchaser and the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) by written notice by the Purchaser or the Company if any of the conditions to the Closing set forth in <u>Article VII</u> have not been satisfied or waived by June 30, 2026 (the "***Outside Date***") (provided, that if Purchaser seeks and obtains an Extension, Purchaser shall have the right by providing written notice thereof to the Company to extend the Outside Date for an additional period equal to the shortest of (i) six (6) additional months, (ii) the period ending on the last date for Purchaser to consummate its Business Combination pursuant to such Extension and (iii) such period as determined by Purchaser); *provided, however*, the right to terminate this Agreement under this <u>Section 8.1(b)</u> shall not be available to a Party if the breach or violation by such Party or its Affiliates of any representation, warranty, covenant or obligation under this Agreement was the cause of, or resulted in, the failure of the Closing to occur on or before the Outside Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) by written notice by either the Purchaser or the Company if a Governmental Authority of competent jurisdiction shall have issued an Order or taken any other action permanently restraining, enjoining or otherwise prohibiting the transactions contemplated by this Agreement, and such Order or other action has become final and non-appealable; *provided, however,* that the right to terminate this Agreement pursuant to this <u>Section 7.1(c)</u> shall not be available to a Party if the failure by such Party or its Affiliates to comply with any provision of this Agreement has been a substantial cause of, or substantially resulted in, such action by such Governmental Authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) by written notice by the Company to Purchaser, if (i) there has been a breach by the Purchaser of any of its representations, warranties, covenants or agreements contained in this Agreement, or if any representation or warranty of the Purchaser shall have become untrue or inaccurate, in any case, which would result in a failure of a condition set forth in <u>Section 7.2(a)</u> or <u>Section 7.2(b)</u> to be satisfied (treating the Closing Date for such purposes as the date of this Agreement or, if later, the date of such breach), and (ii) the breach or inaccuracy is incapable of being cured or is not cured within the earlier of (A) twenty (20) days after written notice of such breach or inaccuracy is provided to the Purchaser or (B) the Outside Date; provided, that the Company shall not have the right to terminate this Agreement pursuant to this <u>Section 8.1(d)</u> if at such time the Company is in material uncured breach of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) by written notice by the Purchaser to the Company, if (i) there has been a breach by the Company of any of its representations, warranties, covenants or agreements contained in this Agreement, or if any representation or warranty of such Parties shall have become untrue or inaccurate, in any case, which would result in a failure of a condition set forth in <u>Section 7.3(a)</u> or <u>Section 7.3(b)</u> to be satisfied (treating the Closing Date for such purposes as the date of this Agreement or, if later, the date of such breach), and (ii) the breach or inaccuracy is incapable of being cured or is not cured within the earlier of (A) twenty (20) days after written notice of such breach or inaccuracy is provided to the Company or (B) the Outside Date; provided, that the Purchaser shall not have the right to terminate this Agreement pursuant to this <u>Section 7.1(e)</u> if at such time the Purchaser is in material uncured breach of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) by written notice by the Purchaser to the Company, if there shall have been a Material Adverse Effect on the Target Companies taken as a whole following the date of this Agreement which is uncured and continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) by written notice by the Company to the Purchaser, if there shall have been a Material Adverse Effect on the Purchaser following the date of this Agreement which is uncured and continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) by written notice by either the Purchaser or the Company to the other, if the Purchaser Shareholder Meeting is held (including any adjournment or postponement thereof) and has concluded, the Purchaser's shareholders have duly voted, and the Required Purchaser Shareholder Approval was not obtained;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) by written notice by either the Purchaser or the Company to the other, if the Required Company Stockholder Approval is not obtained in accordance with <u>Section 6.13</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) by written notice by the Company to the Purchaser prior to obtaining the Required Purchaser Shareholder Approval if the board of directors of the Purchaser shall have made a Change in Recommendation and not rescinded such Change in Recommendation and reaffirmed the Purchaser Board Recommendation prior to such termination; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) by written notice by the Purchaser to the Company, if the Company has not delivered to the Purchaser (i) the Interim Reviewed Financials on or before the Interim Reviewed Financials Delivery Date (provided, that such termination right may no longer be exercised by the Purchaser under this clause (i) after the Company has delivered to the Purchaser the Interim Reviewed Financials) or (ii) 2025 PCAOB Audited Financials on or before the 2025 PCAOB Audited Financials Delivery Date (provided, that such termination right may no longer be exercised by the Purchaser under this clause (ii) after the Company has delivered to the Purchaser the 2025 PCAOB Audited Financials).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2. <u>Effect of Termination.</u> This Agreement may only be terminated in the circumstances described in <u>Section 8.1</u> and pursuant to a written notice delivered by the applicable Party to the other applicable Parties, which sets forth the basis for such termination, including the provision of <u>Section 8.1</u> under which such termination is made. In the event of the valid termination of this Agreement pursuant to <u>Section 8.1</u>, this Agreement shall forthwith become void, and there shall be no Liability on the part of any Party or any of their respective Representatives, and all rights and obligations of each Party shall cease, except: (i) <u>Sections 6.15</u>, <u>6.16</u>, <u>8.3</u>, <u>9.1</u>, <u>Article X</u> and this <u>Section 8.2</u> shall survive the termination of this Agreement, and (ii) nothing herein shall relieve any Party from Liability for any willful breach of any representation, warranty, covenant or obligation under this Agreement or any Fraud Claim against such Party, in either case, prior to termination of this Agreement (in each case of clauses (i) and (ii) above, subject to <u>Section 9.1</u>). Without limiting the foregoing, and except as provided in <u>Sections 8.3</u> and this <u>Section 8.2</u> (but subject to <u>Section 9.1</u>) and subject to the right to seek injunctions, specific performance or other equitable relief in accordance with <u>Section 10.7</u>, the Parties' sole right prior to the Closing with respect to any breach of any representation, warranty, covenant or other agreement contained in this Agreement by another Party or with respect to the transactions contemplated by this Agreement shall be the right, if applicable, to terminate this Agreement pursuant to <u>Section 8.1</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3. <u>Fees and Expenses.</u> Subject to <u>Sections 6.19</u>, <u>9.1</u> and <u>10.14</u>, all Expenses incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the Party incurring such expenses. As used in this Agreement, "***Expenses***" shall include all out-of-pocket expenses (including all fees and expenses of counsel, accountants, investment bankers, financial advisors, financing sources, experts and consultants to a Party hereto or any of its Affiliates) incurred by a Party or on its behalf in connection with or related to the authorization, preparation, negotiation, execution or performance of this Agreement or any Ancillary Document related hereto and all other matters related to the consummation of this Agreement. With respect to the Purchaser, Expenses shall include any and all deferred expenses (including fees or commissions payable to the underwriters and any legal fees) of the IPO upon consummation of a Business Combination and any Extension Expenses. Notwithstanding the foregoing, costs of any filings under applicable Antitrust Laws, including fees and expenses relating to any pre-merger notification required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and/or SEC filing fees in connection with the filing of the Registration Statement, any filing fees from the submission to the Applicable Exchange of a listing application for the shares of Pubco Common Stock and/or Pubco Public Warrants or regulatory filing fees required to be made in connection with the transactions contemplated hereby (collectively, the "***Filing Fees***") will be split 50/50 between the Purchaser and the Company; provided, however, that if (a) this Agreement is validly terminated by the Company pursuant to <u>Section 8.1(d)</u>, the Purchaser shall, subject to <u>Section 9.1</u>, pay for one hundred percent (100%) of the Filing Fees and promptly reimburse the Company for the amounts previously paid by the Company for the Filing Fees or (b) this Agreement is validly terminated by the Purchaser pursuant to <u>Section 8.1(e)</u>, the Company shall pay for one hundred percent (100%) of the Filing Fees and promptly reimburse the Purchaser for the amounts previously paid by the Purchaser for the Filing Fees; provided, further, that if this Agreement is terminated for any other reason, neither the Company nor the Purchaser shall have any obligation to the other such Party with respect to such Filing Fees. Each Party agrees that any amounts due pursuant to this <u>Section 8.3</u> shall be payable within thirty (30) days after the termination of this Agreement. For the avoidance of doubt, the payment of such Filing Fees shall be in addition to any other right or remedy to which a Party may be entitled under this Agreement, at law or in equity.

**ARTICLE IX WAIVERS AND RELEASES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1. <u>Waiver of Claims Against Trust.</u> Reference is made to the IPO Prospectus. The Company hereby represents and warrants that it has read the IPO Prospectus and understands that Purchaser has established the Trust Account containing the proceeds of the IPO and the overallotment shares acquired by Purchaser's underwriters and from certain private placements occurring simultaneously with the IPO (including interest accrued from time to time thereon) for the benefit of Purchaser's public shareholders (including overallotment shares acquired by Purchaser's underwriters) (the "***Public Shareholders***") and that, except as otherwise described in the IPO Prospectus, Purchaser may disburse monies from the Trust Account only: (a) to the Public Shareholders in the event they elect to redeem their Purchaser Ordinary Shares in connection with the consummation of its initial business combination (as such term is used in the IPO Prospectus) ("***Business Combination***") or in connection with an amendment to Purchaser's Organizational Documents to extend Purchaser's deadline to consummate a Business Combination, (b) to the Public Shareholders if the Purchaser fails to consummate a Business Combination within eighteen (18) months after the closing of the IPO, which has since been extended to April 20, 2026 by amendment to Purchaser's Organizational Documents and is subject to further extension by amendment to Purchaser's Organizational Documents, (c) with respect to any interest earned on the amounts held in the Trust Account, amounts necessary to pay for any taxes, and (d) to Purchaser after or concurrently with the consummation of a Business Combination. For and in consideration of Purchaser entering into this Agreement and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Company hereby agrees on behalf of itself and its Affiliates that, notwithstanding anything to the contrary in this Agreement, neither the Company nor any of its Affiliates do now or shall at any time hereafter have any right, title, interest or claim of any kind in or to any monies in the Trust Account or distributions therefrom, or make any claim against the Trust Account (including any distributions therefrom), regardless of whether such claim arises as a result of, in connection with or relating in any way to, this Agreement or any proposed or actual business relationship between Purchaser or any of its Representatives, on the one hand, and the Company or any of its Representatives, on the other hand, or any other matter, and regardless of whether such claim arises based on contract, tort, equity or any other theory of legal liability (collectively, the "***Released Claims***"). The Company on behalf of itself and its Affiliates hereby irrevocably waives any Released Claims that the Company or any of its Affiliates may have against the Trust Account (including any distributions therefrom) now or in the future as a result of, or arising out of, any negotiations, contracts or agreements with Purchaser or its Representatives and will not seek recourse against the Trust Account (including any distributions therefrom) for any reason whatsoever (including for an alleged breach of this Agreement or any other agreement with Purchaser or its Affiliates). The Company agrees and acknowledges that such irrevocable waiver is material to this Agreement and specifically relied upon by Purchaser and its Affiliates to induce Purchaser to enter in this Agreement, and the Company further intends and understands such waiver to be valid, binding, and enforceable against the Company and each of its Affiliates under applicable Law. To the extent that the Company or any of its Affiliates commences any Action based upon, in connection with, relating to or arising out of any matter relating to Purchaser or its Representatives, which proceeding seeks, in whole or in part, monetary relief against Purchaser or its Representatives, the Company hereby acknowledges and agrees that its and its Affiliates' sole remedy shall be against funds held outside of the Trust Account and that such claim shall not permit the Company or any of its Affiliates (or any Person claiming on any of their behalves or in lieu of them) to have any claim against the Trust Account (including any distributions therefrom) or any amounts contained therein. In the event that the Company or any of its Affiliates commences Action based upon, in connection with, relating to or arising out of any matter relating to Purchaser or its Representatives which proceeding seeks, in whole or in part, relief against the Trust Account (including any distributions therefrom) or the Public Shareholders, whether in the form of money damages or injunctive relief, Purchaser and its Representatives, as applicable, shall be entitled to recover from the Company and its Affiliates, as applicable, the associated legal fees and costs in connection with any such Action, in the event Purchaser or its Representatives, as applicable, prevails in such Action. This <u>Section 9.1</u> shall survive termination of this Agreement for any reason and continue indefinitely.

**ARTICLE X MISCELLANEOUS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1. <u>Non-Survival of Representations and Warranties and Agreements.</u> None of the representations, warranties, covenants and agreements in this Agreement or in any instrument delivered pursuant to this Agreement, including any rights arising out of any breach of such representations, warranties, covenants and agreements, shall survive the Effective Time, except for those covenants and agreements contained herein to the extent that by their terms apply or are to be performed in whole or in part after the Effective Time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.2. <u>Notices.</u> All notices, consents, waivers and other communications hereunder shall be in writing and shall be deemed to have been duly given when delivered (i) in person, (ii) by email, with affirmative confirmation of receipt, (iii) one Business Day after being sent, if sent by reputable, nationally recognized overnight courier service, or (iv) three (3) Business Days after being mailed, if sent by registered or certified mail, pre-paid and return receipt requested, in each case to the applicable Party at the following addresses (or at such other address for a Party as shall be specified by like notice):

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| If to any Purchaser Party at or prior to the Closing, to:<br>Compass Digital Acquisition Corp.<br> 195 US HWY 50, Suite 207<br> Zephr Cove, NV 89448<br> Attn: [\*\*\*]<br> Telephone No.: [\*\*\*]<br> Email: [\*\*\*] | with a copy (which will not constitute notice) to:<br>Ellenoff Grossman & Schole LLP<br> 1345 Avenue of the Americas, 11th Floor<br> New York, New York 10105, USA<br> Attn: Matthew A. Gray, Esq., Stuart Neuhauser, Esq.<br> Telephone No.: [\*\*\*]<br> Email: [\*\*\*] |

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|:---|:---|
| If to the Company, to:<br>Key Mining Corp.<br> Attn: [\*\*\*]<br> 701 Brickell Ave., Suite 1550<br> Miami, Florida 33131<br> Telephone No.: [\*\*\*]<br> E-Mail: [\*\*\*] | with a copy (which will not constitute notice) to:<br>Key Mining Corp.<br> Attn: [\*\*\*]<br> 701 Brickell Ave., Suite 1550<br> Miami, Florida 33131<br> Telephone No.: [\*\*\*]<br> E-Mail: [\*\*\*]<br>and<br>Troutman Pepper Locke LLP<br> 875 Third Avenue<br> New York, New York 10022<br> Attn: Joseph Walsh, Esq.<br> Telephone No.: [\*\*\*]<br> Email: [\*\*\*] |
| If to Pubco or any Purchaser Party after the Closing, to:<br>Key Mining Holdings Corp.<br> Attn: [\*\*\*]<br> 701 Brickell Ave., Suite 1550<br> Miami, Florida 33131<br> Telephone No.: [\*\*\*]<br> E-Mail: [\*\*\*] | with a copy (which will not constitute notice) to:<br>Key Mining Holdings Corp.<br> Attn: [\*\*\*]<br> 701 Brickell Ave., Suite 1550<br> Miami, Florida 33131<br> Telephone No.: [\*\*\*]<br> E-Mail: [\*\*\*]<br>and<br>Troutman Pepper Locke LLP<br> 875 Third Avenue<br> New York, New York 10022<br> Attn: Joseph Walsh, Esq.<br> Telephone No.: [\*\*\*]<br> Email: [\*\*\*] |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.3. <u>Binding Effect; Assignment.</u> This Agreement and all of the provisions hereof shall be binding upon and inure to the benefit of the Parties hereto and their respective successors and permitted assigns. This Agreement shall not be assigned by operation of Law or otherwise without the prior written consent of the Purchaser and the Company (and after the Closing, the Sponsor), and any assignment without such consent shall be null and void; *provided* that no such assignment shall relieve the assigning Party of its obligations hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;104. Third Parties. Except for the rights of the D&O Indemnified Persons set forth in <u>Section 6.18</u> and the rights of the Sponsor expressly set forth in this Agreement, which the Parties acknowledge and agree are express third party beneficiaries of this Agreement, nothing contained in this Agreement or in any instrument or document executed by any party in connection with the transactions contemplated hereby shall create any rights in, or be deemed to have been executed for the benefit of, any Person that is not a Party hereto or thereto or a successor or permitted assign of such a Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.5 <u>Governing Law; Jurisdiction.</u> This Agreement, and all claims or causes of action based upon, arising out of, or related to this Agreement or the transactions contemplated hereby, shall be governed by, construed and enforced in accordance with the Laws of the State of Delaware without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the law of any jurisdiction other than the State of Delaware (except that the Companies Act shall apply to the Domestication and any claims related to internal affairs of the Purchaser prior to the Domestication). All Actions arising out of or relating to this Agreement or under any Ancillary Document shall be heard and determined exclusively in the Chancery Court of the State of Delaware (or, if the Chancery Court of the State of Delaware declines to accept jurisdiction, any state or federal court sitting in the State of Delaware) or in any appellate courts thereof (the "***Specified Courts***"). Each Party hereto hereby (a) submits to the exclusive jurisdiction of any Specified Courts for the purpose of any Action arising out of or relating to this Agreement or any Ancillary Document brought by any Party hereto and (b) irrevocably waives, and agrees not to assert by way of motion, defense or otherwise, in any such Action, any claim that it is not subject personally to the jurisdiction of the above-named courts, that its property is exempt or immune from attachment or execution, that the Action is brought in an inconvenient forum, that the venue of the Action is improper, or that this Agreement, such Ancillary Document or the transactions contemplated hereby or thereby may not be enforced in or by any Specified Courts. Each Party agrees that a final judgment in any Action shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by Law. Each Party irrevocably consents to the service of the summons and complaint and any other process in any other Action relating to the transactions contemplated by this Agreement or the Ancillary Documents, on behalf of itself, or its property, by personal delivery of copies of such process to such Party at the applicable address set forth in <u>Section 10.1</u>. Nothing in this <u>Section 10.5</u> shall affect the right of any Party to serve legal process in any other manner permitted by Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.6. <u>WAIVER OF JURY TRIAL.</u> EACH PARTY HERETO HEREBY WAIVES TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY WITH RESPECT TO ANY ACTION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY ACTION, SEEK TO ENFORCE THAT FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 10.6.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.7. <u>Specific Performance.</u> Each Party acknowledges that the rights of each Party to consummate the transactions contemplated hereby are unique, recognizes and affirms that in the event of a breach of this Agreement by any Party, money damages may be inadequate and the non-breaching Parties may have no adequate remedy at law, and agree that irreparable damage would occur in the event that any of the provisions of this Agreement were not performed by an applicable Party in accordance with their specific terms or were otherwise breached. Accordingly, each Party shall be entitled to seek an injunction or restraining order to prevent breaches of this Agreement and to seek to enforce specifically the terms and provisions hereof, without the requirement to post any bond or other security or to prove that money damages would be inadequate, this being in addition to any other right or remedy to which such Party may be entitled under this Agreement, at law or in equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.8 <u>Severability.</u> In case any provision in this Agreement shall be held invalid, illegal or unenforceable in a jurisdiction, such provision shall be modified or deleted, as to the jurisdiction involved, only to the extent necessary to render the same valid, legal and enforceable, and the validity, legality and enforceability of the remaining provisions hereof shall not in any way be affected or impaired thereby nor shall the validity, legality or enforceability of such provision be affected thereby in any other jurisdiction. Upon such determination that any term or other provision is invalid, illegal, or incapable of being enforced, the Parties will substitute for any invalid, illegal, or unenforceable provision a suitable and equitable provision that carries out, so far as may be valid, legal, and enforceable, the intent and purpose of such invalid, illegal, or unenforceable provision.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.9. <u>Amendment.</u> This Agreement may be amended, supplemented or modified only by a duly authorized agreement in writing executed by Pubco, the Purchaser, the Company and, after the Closing, the Sponsor. This Agreement may not be modified or amended except as provided in the immediately preceding sentence and any purported amendment by any Party or Parties effected in a manner which does not comply with this <u>Section 10.9</u> shall be null and void, *ab initio*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.10. <u>Waiver</u>. The Company, on behalf of itself and its Affiliates, may (a) extend the time for the performance of any of the obligations or other acts of the Purchaser, Pubco or the Merger Subs set forth herein, (b) waive any inaccuracies in the representations and warranties of the Purchaser, Pubco or the Merger Subs set forth herein or (c) waive compliance by the Purchaser, Pubco or the Merger Subs with any of the agreements or conditions set forth herein. The Purchaser, on behalf of itself and its Affiliates may (i) extend the time for the performance of any of the obligations or other acts of the Company, set forth herein, (ii) waive any inaccuracies in the representations and warranties of the Company set forth herein or (iii) waive compliance by the Company with any of the agreements or conditions set forth herein. Any such extension or waiver shall be valid only if set forth in an instrument in writing signed by the Party or Parties to be bound thereby. Notwithstanding the foregoing, no failure or delay by a Party in exercising any right hereunder shall operate as a waiver thereof nor shall any single or partial exercise thereof preclude any other or further exercise of any other right hereunder. Notwithstanding the foregoing, any waiver of any provision of this Agreement after Closing shall also require the prior written consent of the Sponsor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.11. <u>Entire Agreement.</u> This Agreement and the documents or instruments referred to herein, including any exhibits and schedules attached hereto, which exhibits and schedules are incorporated herein by reference, together with the Ancillary Documents, embody the entire agreement and understanding of the Parties hereto in respect of the subject matter contained herein. There are no restrictions, promises, representations, warranties, covenants, or undertakings, other than those expressly set forth or referred to herein or the documents or instruments referred to herein, which collectively supersede all prior agreements and the understandings among the Parties with respect to the subject matter contained herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.12. <u>Interpretation</u>. The table of contents and the Article and Section headings contained in this Agreement are solely for the purpose of reference, are not part of the agreement of the Parties and shall not in any way affect the meaning or interpretation of this Agreement. In this Agreement, unless the context otherwise requires: (a) any pronoun used shall include the corresponding masculine, feminine or neuter forms, and words in the singular, including any defined terms, include the plural and vice versa; (b) reference to any Person includes such Person's successors and assigns but, if applicable, only if such successors and assigns are permitted by this Agreement, and reference to a Person in a particular capacity excludes such Person in any other capacity; (c) any accounting term used and not otherwise defined in this Agreement or any Ancillary Document has the meaning assigned to such term in accordance with GAAP; (d) "including" (and with correlative meaning "include") means including without limiting the generality of any description preceding or succeeding such term and shall be deemed in each case to be followed by the words "without limitation"; (e) the words "herein," "hereto," and "hereby" and other words of similar import shall be deemed in each case to refer to this Agreement as a whole and not to any particular Section or other subdivision of this Agreement; (f) the word "if" and other words of similar import when used herein shall be deemed in each case to be followed by the phrase "and only if"; (g) the term "or" means "and/or"; (h) any reference to the term "ordinary course" or "ordinary course of business" shall be deemed in each case to be followed by the words "consistent with past practice"; (i) any agreement, instrument, insurance policy, Law or Order defined or referred to herein or in any agreement or instrument that is referred to herein means such agreement, instrument, insurance policy, Law or Order as from time to time amended, modified or supplemented, including (in the case of agreements or instruments) by waiver or consent and (in the case of statutes, regulations, rules or orders) by succession of comparable successor statutes, regulations, rules or orders and references to all attachments thereto and instruments incorporated therein; (j) except as otherwise indicated, all references in this Agreement to the words "Section," "Article", "Schedule" and "Exhibit" are intended to refer to Sections, Articles, Schedules and Exhibits to this Agreement; and (k) the term "Dollars" or "$" means United States dollars. Any reference in this Agreement to a Person's directors shall include any member of such Person's governing body and any reference in this Agreement to a Person's officers shall include any Person filling a substantially similar position for such Person. Any reference in this Agreement or any Ancillary Document to a Person's shareholders or stockholders shall include any applicable owners of the equity interests of such Person, in whatever form, including with respect to the Purchaser its stockholders under the DGCL, as then applicable, or its Organizational Documents. The Parties have participated jointly in the negotiation and drafting of this Agreement. Consequently, in the event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the Parties hereto, and no presumption or burden of proof shall arise favoring or disfavoring any Party by virtue of the authorship of any provision of this Agreement. To the extent that any Contract, document, certificate or instrument is represented and warranted to by the Company to be given, delivered, provided or made available by the Company, in order for such Contract, document, certificate or instrument to have been deemed to have been given, delivered, provided and made available to the Purchaser or its Representatives, such Contract, document, certificate or instrument shall have been posted to the electronic data site maintained on behalf of the Company for the benefit of the Purchaser and its Representatives and the Purchaser and its Representatives have been given access to the electronic folders containing such information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.13. <u>Counterparts.</u> This Agreement and each Ancillary Document may be executed and delivered (including by facsimile or other electronic transmission) in one or more counterparts, and by the different Parties hereto in separate counterparts, each of which when executed shall be deemed to be an original but all of which taken together shall constitute one and the same agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.14. <u>Legal Representation.</u> The Parties agree that, notwithstanding the fact that EGS, Philippi, Prietocarrizosa Ferrero DU & Uría and Maples and Calder (Cayman) LLP (collectively, the "***Purchaser Law Firms***") may have, prior to Closing, jointly represented the Purchaser, Pubco, the Merger Subs and/or the Sponsor in connection with this Agreement, the Ancillary Documents and the transactions contemplated hereby and thereby, and has also represented the Purchaser and/or its Affiliates in connection with matters other than the transaction that is the subject of this Agreement, each of the Purchaser Law Firms will be permitted in the future, after Closing, to represent the Sponsor or its Affiliates in connection with matters in which such Persons are adverse to Pubco, the Purchaser or any of their respective Affiliates, including any disputes arising out of, or related to, this Agreement. The Company, who is or has the right to be represented by independent counsel in connection with the transactions contemplated by this Agreement, hereby agrees, in advance, to waive (and to cause its Affiliates to waive) any actual or potential conflict of interest that may hereafter arise in connection with any of the Purchaser Law Firm's future representation of one or more of the Sponsor or its Affiliates in which the interests of such Person are adverse to the interests of Pubco, the Purchaser, and/or the Company or any of their respective Affiliates, including any matters that arise out of this Agreement or that are substantially related to this Agreement or to any prior representation by any of the Purchaser Law Firms of the Purchaser, Pubco, the Merger Subs, the Sponsor or any of their respective Affiliates. The Parties acknowledge and agree that, for the purposes of the attorney-client privilege, the Sponsor shall be deemed the client of the Purchaser Law Firms with respect to the negotiation, execution and performance of this Agreement and the Ancillary Documents. All such communications shall remain privileged after the Closing and the privilege and the expectation of client confidence relating thereto shall belong solely to the Sponsor, shall be controlled by the Sponsor and shall not pass to or be claimed by Pubco or the Surviving Corporations; provided, that nothing contained herein shall be deemed to be a waiver by Pubco, the Purchaser or any of their respective Affiliates (including, after the Effective Time, the Target Companies, and their respective Affiliates) of any applicable privileges or protections that can or may be asserted to prevent disclosure of any such communications to any third party.

**ARTICLE XI DEFINITIONS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.1 <u>Certain Definitions</u>. For purpose of this Agreement, the following capitalized terms have the following meanings:

"***Action***" means any notice of noncompliance or violation, or any claim, demand, charge, action, suit, litigation, audit, settlement, complaint, stipulation, assessment or arbitration, or any request (including any request for information), inquiry, hearing, proceeding or investigation, by or before any Governmental Authority.

"***Affiliate***" means, with respect to any Person, any other Person directly or indirectly Controlling, Controlled by, or under common Control with such Person. For the avoidance of doubt, Sponsor shall be deemed to be an Affiliate or the Purchaser prior to the Closing.

"***Ancillary Documents***" means each agreement, instrument or document attached hereto as an Exhibit, and the other agreements, certificates and instruments to be executed or delivered by any of the Parties hereto in connection with or pursuant to this Agreement.

"***Benefit Plans***" of any Person means any and all deferred compensation, executive compensation, incentive compensation, phantom equity, stock option, restricted stock unit, equity purchase or other equity-based compensation plan, employment or consulting, change in control, severance or termination pay, holiday, vacation or other bonus plan, hospitalization or other medical, life, disability, dental, vision, welfare or other insurance, profit sharing, pension, or retirement plan, program, agreement, commitment or arrangement, and each other employee benefit plan, program, agreement or arrangement, including each "employee benefit plan" as such term is defined under Section 3(3) of ERISA (whether or not subject to ERISA), that is maintained or contributed to or required to be contributed to by such Person for the benefit of any current or former employees, managers, directors, officers, consultants, independent contractors, or other service providers of such Person or any of their spouses, dependents or beneficiaries, or with respect to which such Person has any Liability.

"***Business Day***" means any day other than a Saturday, Sunday or a legal holiday on which commercial banking institutions in New York, New York are authorized to close for business, excluding as a result of "stay at home", "shelter-in-place", "non-essential employee" or any other similar orders or restrictions or the closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds transfer systems, including for wire transfers, of commercially banking institutions in New York, New York are generally open for use by customers on such day.

"***Cayman Islands Registrar***" means the Registrar of Companies of the Cayman Islands.

"***Chilean Mining Concessions***" means all Chilean mining exploration or exploitation concessions, whether granted or under granting procedure, owned or entitled to by a Target Company, including the Chilean Target Concessions.

"***Chilean Target Concessions"*** means all Chilean mining exploration or exploitation concessions, whether granted or under granting procedure, owned by a Target Company.

"***Code***" means the Internal Revenue Code of 1986, as amended, and any successor statute thereto, as amended. Reference to a specific section of the Code shall include such section and any valid treasury regulation promulgated thereunder.

"***Company Charter***" means the certificate of incorporation of the Company, as amended and effective under the DGCL, prior to the Effective Time.

*"**Company Common Stock**"* means the common stock, par value $0.001 per share, of the Company.

"***Company Confidential Information***" means all confidential or proprietary documents and information concerning the Target Companies or any of their respective Representatives, furnished in connection with this Agreement or the transactions contemplated hereby; *provided, however*, that Company Confidential Information shall not include any information which, (i) at the time of disclosure by the Purchaser or its Representatives, is generally available publicly and was not disclosed in breach of this Agreement or (ii) at the time of the disclosure by the Company or its Representatives to the Purchaser or its Representatives was previously known by such receiving party without violation of Law or any confidentiality obligation by the Person receiving such Company Confidential Information.

"***Company Convertible Securities***" means, collectively, the Company Options, Company Warrants and any other options, warrants or rights to subscribe for or purchase any capital stock of the Company or securities convertible into or exchangeable for, or that otherwise confer on the holder any right to acquire any capital stock of the Company.

"***Company Option***" means an option to purchase Company Common Stock.

"***Company Preferred Stock***" means the preferred stock, par value $0.001 per share, of the Company.

"***Company Securities***" means, collectively, the Company Stock, the Company Options, and any other Company Convertible Securities.

"***Company Stock***" means any shares of the Company Common Stock and the Company Preferred Stock.

"***Company Stockholders***" means, collectively, the holders of Company Stock.

"***Company Warrant***" means warrants to purchase Company Stock.

"***Consent***" means any consent, approval, waiver, authorization or Permit of, or notice to or declaration or filing with any Governmental Authority or any other Person.

"***Contracts***" means all contracts, agreements, binding arrangements, bonds, notes, indentures, mortgages, debt instruments, purchase order, licenses (and all other contracts, agreements or binding arrangements concerning Intellectual Property), franchises, leases and other instruments or obligations of any kind, written or oral (including any amendments and other modifications thereto).

"***Control***" of a Person means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities, by contract, or otherwise. "Controlled", "Controlling" and "under common Control with" have correlative meanings. Without limiting the foregoing a Person (the "***Controlled Person***") shall be deemed Controlled by (a) any other Person (i) owning beneficially, as meant in Rule 13d-3 under the Exchange Act, securities entitling such Person to cast ten percent (10%) or more of the votes for election of directors or equivalent governing authority of the Controlled Person or (ii) entitled to be allocated or receive ten percent (10%) or more of the profits, losses, or distributions of the Controlled Person; (b) an officer, director, general partner, partner (other than a limited partner), manager, or member (other than a member having no management authority that is not a Person described in clause (a) above) of the Controlled Person; or (c) a spouse, parent, lineal descendant, sibling, aunt, uncle, niece, nephew, mother-in-law, father-in-law, sister-in-law, or brother-in-law of an Affiliate of the Controlled Person or a trust for the benefit of an Affiliate of the Controlled Person or of which an Affiliate of the Controlled Person is a trustee.

"***Copyrights***" means any works of authorship, mask works and all copyrights therein, including all renewals and extensions, copyright registrations and applications for registration and renewal, and non-registered copyrights.

"***Desalination Plans***" means the engineering and design plans and other technical documentation for the water desalination project that were submitted to, and formed part of, the applications and supporting materials for the RCA/EIS environmental permits by the applicable Governmental Authorities in respect of the water desalination project, including all amendments, supplements and updates thereto.

"***Environmental Law***" means any Law in any way relating to (a) the protection of human health and safety, (b) the protection, preservation, reclamation or restoration of the environment and natural resources (including air, water vapor, surface water, groundwater, drinking water supply, surface land, subsurface land, plant and animal life or any other natural resource), (c) the exposure to, or the use, storage, recycling, treatment, generation, transportation, processing, handling, labeling, production, release or disposal of Hazardous Materials, including, but not limited to, the Comprehensive Environmental Response, Compensation and Liability Act, 42 USC. Section 9601 et. seq., the Resource Conservation and Recovery Act, 42 USC. Section 6901 et. seq., the Toxic Substances Control Act, 15 USC. Section 2601 et. seq., the Federal Water Pollution Control Act, 33 USC. Section 1151 et seq., the Clean Air Act, 42 USC. Section 7401 et seq., the Clean Water Act, 33 USC. Section 1251 et. seq., the Federal Insecticide, Fungicide and Rodenticide Act, 7 USC. Section 111 et. seq., the Occupational Safety and Health Act, 29 USC. Section 651 et. seq., the Mine Safety and Health Act, the Superfund Amendments and Reauthorization Act of 1986, Pub. L. 99-499, 100 Stat. 1613, the Asbestos Hazard Emergency Response Act, 15 USC. Section 2601 et. seq., the Safe Drinking Water Act, 42 USC. Section 300f et. seq., the Oil Pollution Act of 1990, the Endangered Species Act, 16 USC. Section 1531 et. seq., the National Historic Preservation Act, 16 USC. Section 461 et. seq., and all analogous foreign, state or local Laws, or (d) any Law applicable to the Target Company concerning the protection or management of the environment or human health as it relates to any Hazardous Materials or to any environment or social matter pursuant to applicable Law, including any Law aimed at reclamation or restoration of the Mining Rights; abatement of pollution; protection of the environment; protection of wildlife, including endangered species; protection or relocation of local inhabitants and indigenous people, flora, fauna, archaeological sites, national monuments and protected areas; ensuring public safety from environmental hazards; protection of cultural or historic resources; management, storage or control of Hazardous Materials; releases or threatened releases Hazardous Materials as wastes into the environment, including ambient air, surface water and groundwater; and all other applicable Laws relating to the manufacturing, processing, distribution, use, treatment, storage, disposal, handling or transport of Hazardous Materials, closure plan regulations and any applicable Law establishing criminal liability for unlawful environmental actions, each as amended.

"***Environmental Liabilities***" means, in respect of any Person, all Liabilities, obligations, responsibilities, Remedial Actions, Losses, damages, costs, and expenses (including all reasonable fees, disbursements, and expenses of counsel, experts, and consultants and costs of investigation and feasibility studies), fines, penalties, sanctions, and interest incurred as a result of any claim or demand by any other Person or in response to any violation of Environmental Law, whether known or unknown, accrued or contingent, whether based in contract, tort, implied or express warranty, strict liability, criminal or civil statute, to the extent based upon, related to, or arising under or pursuant to any Environmental Law, Environmental Permit, Order, or Contract with any Governmental Authority or other Person, that relates to any environmental, health or safety condition, violation of Environmental Law, natural resource damages, or a Release or threatened Release of Hazardous Materials.

"***Equity Securities***" means any share, share capital, capital stock, partnership, membership, joint venture, equity interest, voting security or similar interest in any Person (including any stock appreciation, phantom stock, profit participation or similar rights), and any option, warrant, preemptive or other right or security (including debt securities) or obligation to issue any shares, voting securities or other securities, convertible, exchangeable or exercisable therefor.

"***ERISA***" means the U.S. Employee Retirement Income Security Act of 1974, as amended.

"***Exchange Act***" means the U.S. Securities Exchange Act of 1934, as amended.

"***Founder Registration Rights Agreement***" means the Registration Rights Agreement, dated as of October 14, 2021, as amended, by and among the Sponsor, the Original Sponsor and the other "Holders" named therein.

"***Founder Shares***" means an aggregate of 4,710,122 Purchaser Ordinary Shares, all of which were originally Purchaser Class B Ordinary Shares that were issued to the Original Sponsor prior to the IPO, of which, as of the date of this Agreement, 2,600,000 of such Purchaser Class B Ordinary Shares were converted into Purchaser Class A Ordinary Shares (but without a right to participate in Closing Redemptions or any redemption in connection with an Extension), and 2,699,699 Purchaser Ordinary Shares are currently owned by the Sponsor.

"***Fraud Claim***" means any claim based in whole or in part upon fraud, willful misconduct or intentional misrepresentation.

"***Fully-Diluted Company Shares***" means the sum of (without duplication) of (i) the total number of issued and outstanding shares of Company Common Stock, but excluding any Company Securities described in <u>Section 1.8(b)</u>, plus (ii) the total number of shares of Company Common Stock underlying all outstanding In-the-Money Company Options (treating such In-the-Money Company Options as fully vested and exercisable and as if the In-the-Money Company Options had been exercised in accordance with their terms (and assuming no cashless exercise) immediately prior to the Closing), plus (iii) the total number of shares of Company Common Stock underlying all outstanding In-the-Money Company Warrants (treating such In-the-Money Company Warrants as fully exercisable and as if the In-the-Money Company Warrants had been exercised in accordance with their terms (and assuming no cashless exercise) immediately prior to the Closing.

"***GAAP***" means generally accepted accounting principles as in effect in the United States of America.

"***Governmental Authority***" means any federal, state, local, foreign or other governmental, quasi-governmental or administrative body, instrumentality, department or agency or any court, tribunal, administrative hearing body, arbitration panel, commission, or other similar dispute-resolving panel or body.

"***Hazardous Material***" means any waste, gas, liquid or other substance or material that is defined, listed or designated as a "hazardous substance", "pollutant", "contaminant", "hazardous waste", "regulated substance", "hazardous chemical", or "toxic chemical" (or by any similar term) under any Environmental Law, or any other material regulated, or that could result in the imposition of Liability or responsibility, under any Environmental Law, including petroleum and its by-products, asbestos, polychlorinated biphenyls, radon, mold, and urea formaldehyde insulation.

"***In-the-Money Company Option***" means a Company Option with an exercise price less than the Per Share Price.

"***In-the-Money Company Warrant***" means any Company Warrant (or portion thereof) that is outstanding as of immediately prior to the Effective Time in accordance with the terms of the applicable warrant agreement and has an exercise price that is less than the Per Share Price.

"***Incidental Outbound License***" means any (a) nondisclosure/confidentiality agreement (or other Contracts that include confidentiality provisions) entered into in the ordinary course of business whereby a Target Company provides another Person no more than a limited, non-exclusive right to access or use Trade Secrets; (b) sales, marketing, reseller, distributor or similar Contract that provides another Person limited, non-exclusive license to use any Intellectual Property to promote or provide any Target Company product or service to others; (c) Contract that authorizes another Person on a non-exclusive basis to identify a Target Company as a customer, vendor, supplier or partner of such Person; and (d) Contract with a vendor, employee, contractor or another Person granting such Person the non-exclusive right to use any Intellectual Property to provide products or services to the Target Companies.

"***Indebtedness***" of any Person means, without duplication, (a) all indebtedness of such Person for borrowed money (including the outstanding principal and accrued but unpaid interest), (b) all obligations for the deferred purchase price of property or services (other than trade payables incurred in the ordinary course of business), (c) any other indebtedness of such Person that is evidenced by a note, bond, debenture, credit agreement or similar instrument, (d) all obligations of such Person under leases that should be classified as capital leases in accordance with GAAP, (e) all obligations of such Person for the reimbursement of any obligor on any line or letter of credit, banker's acceptance, guarantee or similar credit transaction, in each case, that has been drawn or claimed against, (f) all obligations of such Person in respect of acceptances issued or created, (g) all interest rate and currency swaps, caps, collars and similar agreements or hedging devices under which payments are obligated to be made by such Person, whether periodically or upon the happening of a contingency, (h) all obligations secured by an Lien on any property of such Person, (i) any premiums, prepayment fees or other penalties, fees, costs or expenses associated with payment of any Indebtedness of such Person and (j) all obligation described in clauses (a) through (i) above of any other Person which is directly or indirectly guaranteed by such Person or which such Person has agreed (contingently or otherwise) to purchase or otherwise acquire or in respect of which it has otherwise assured a creditor against loss.

"***Insider Letter***" means the letter agreement, dated as of October 14, 2021, as amended on August 31, 2023 and as it may further be amended, by and among the Purchaser, the Sponsor, the Original Sponsor and the other "Insiders" named therein.

"***Insider Letter Joinder Holders***" means the SPAC Insiders other than the Sponsor, the Original Sponsor, the Purchaser NRA Holders and Polar with respect to the Polar Shares.

"***Insider Seller***" means any Seller that is reasonably expected to be an executive officer, director or Affiliate of Pubco immediately after the Closing.

"***Intellectual Property***" means all of the following as they exist in any jurisdiction throughout the world: Patents, Trademarks, Copyrights, Trade Secrets, Internet Assets, Software and other intellectual property, and all licenses, sublicenses and other agreements or permissions related to the preceding property.

"***Internet Assets***" means any and all domain name registrations, web sites and web addresses and related rights, items and documentation related thereto, and applications for registration therefor.

"***IPO***" means the initial public offering of Purchaser Public Units pursuant to the IPO Prospectus.

"***IPO Prospectus***" means the final prospectus of the Purchaser, dated as of October 14, 2021, and filed with the SEC on October 18, 2021 (File No. 333-259502).

"***IRS***" means the U.S. Internal Revenue Service (or any successor Governmental Authority).

"***Knowledge***" means, with respect to (i) the Company, the actual knowledge of the executive officers or directors of any Target Company, after reasonable inquiry or (ii) any other Party, (A) if an entity, the actual knowledge of its directors and executive officers, after reasonable inquiry, or (B) if a natural person, the actual knowledge of such Party after reasonable inquiry.

"***Law***" means any federal, state, local, municipal, foreign or other law, statute, legislation, principle of common law, ordinance, code, edict, decree, proclamation, treaty, convention, rule, regulation, directive, requirement, writ, injunction, settlement, Order or Consent that is or has been issued, enacted, adopted, passed, approved, promulgated, made, implemented or otherwise put into effect by or under the authority of any Governmental Authority.

"***Leased Claims***" means the unpatented mining claims in Sanders County, Montana, in which a Target Company has a leasehold interest, those claims and that lease being more particularly described in <u>Schedule 5.21</u>.

"***Liabilities***" means any and all liabilities, Indebtedness, Actions or obligations of any nature (whether absolute, accrued, contingent or otherwise, whether known or unknown, whether direct or indirect, whether matured or unmatured, whether due or to become due and whether or not required to be recorded or reflected on a balance sheet under GAAP or other applicable accounting standards), including Tax liabilities due or to become due.

"***Lien***" means any mortgage, pledge, security interest, attachment, right of first refusal, option, proxy, voting trust, encumbrance, lien or charge of any kind (including any conditional sale or other title retention agreement or lease in the nature thereof), restriction (whether on voting, sale, transfer, disposition or otherwise), any subordination arrangement in favor of another Person, or any filing or agreement to file a financing statement as debtor under the Uniform Commercial Code or any similar Law.

"***Material Adverse Effect***" means, with respect to any specified Person, any fact, event, occurrence, change or effect that has had, or would reasonably be expected to have, individually or in the aggregate, a material adverse effect upon (a) the business, assets, Liabilities, results of operations, prospects or condition (financial or otherwise) of such Person and its Subsidiaries, taken as a whole, or (b) the ability of such Person or any of its Subsidiaries on a timely basis to consummate the transactions contemplated by this Agreement or the Ancillary Documents to which it is a party or bound or to perform its obligations hereunder or thereunder; *provided, however*, that for purposes of clause (a) above, any changes or effects directly or indirectly attributable to, resulting from, relating to or arising out of the following (by themselves or when aggregated with any other, changes or effects) shall not be deemed to be, constitute, or be taken into account when determining whether there has or may, would or could have occurred a Material Adverse Effect: (i) general changes in the financial or securities markets or general economic or political conditions in the country or region in which such Person or any of its Subsidiaries do business; (ii) changes, conditions or effects that generally affect the industries in which such Person or any of its Subsidiaries principally operate; (iii) changes in GAAP or other applicable accounting principles or mandatory changes in the regulatory accounting requirements applicable to any industry in which such Person and its Subsidiaries principally operate; (iv) conditions caused by acts of God, terrorism, war (whether or not declared) or natural disaster; (v) any failure in and of itself by such Person and its Subsidiaries to meet any internal or published budgets, projections, forecasts or predictions of financial performance for any period (provided that the underlying cause of any such failure may be considered in determining whether a Material Adverse Effect has occurred or would reasonably be expected to occur to the extent not excluded by another exception herein), and (vi), with respect to the Purchaser, the consummation and effects of the Closing Redemption (or any redemption in connection with an Extension); *provided further, however*, that any event, occurrence, fact, condition, or change referred to in clauses (i) - (iv) immediately above shall be taken into account in determining whether a Material Adverse Effect has occurred or could reasonably be expected to occur to the extent that such event, occurrence, fact, condition, or change has a disproportionate effect on such Person or any of its Subsidiaries compared to other participants in the industries in which such Person or any of its Subsidiaries primarily conducts its businesses. Notwithstanding the foregoing, with respect to the Purchaser, the amount of the Closing Redemption (or any redemption in connection with an Extension, if any) or the failure to obtain the Required Purchaser Shareholder Approval shall not be deemed to be a Material Adverse Effect on or with respect to the Purchaser.

"***Mining Rights***" means all interests and rights in mining claims, concessions, exploration, reconnaissance, exploitation, or extraction rights, or other mineral rights in any real property, including the Unpatented Claims and the Chilean Target Concessions, owned by the Target Company or that are held by way of approvals, leases or otherwise.

"***Nasdaq***" means the Nasdaq Stock Market LLC and includes either the Nasdaq Global Market or the Nasdaq Capital Market, as applicable to the relevant listing.

"***NYSE American***" means the NYSE American LLC.

"***Order***" means any order, decree, ruling, judgment, injunction, writ, determination, binding decision, verdict, judicial award, or other action that is or has been made, entered, rendered, or otherwise put into effect by or under the authority of any Governmental Authority.

"***Organizational Documents***" means, with respect to any Person that is an entity, its certificate of incorporation or formation, bylaws, operating agreement, memorandum and articles of association or similar organizational documents, in each case, as amended.

"***Original Sponsor***" means Compass Digital SPAC LLC, a Delaware limited liability company.

"***Owned Claims***" means the unpatented mining claims owned by a Target Company in Mohave County, Arizona, and in Tooele County, Utah, as more particularly described on <u>Schedule 5.21(a)</u>.

"***Patents***" means any patents, patent applications and the inventions, designs and improvements described and claimed therein, patentable inventions, and other patent rights (including any divisionals, provisionals, continuations, continuations-in-part, substitutions, or reissues thereof, whether or not patents are issued on any such applications and whether or not any such applications are amended, modified, withdrawn, or refiled).

"***PCAOB***" means the U.S. Public Company Accounting Oversight Board (or any successor thereto).

"***Per Share Price***" means an amount equal to (i) the sum of (A) the Merger Consideration, plus (B) the aggregate amount of the exercise prices for all shares of Company Common Stock under In-the-Money Company Options in accordance with their terms (and assuming no cashless exercise) that are outstanding as of immediately prior to the Effective Time (whether or not vested or then exercisable), plus (C) the aggregate amount of the exercise prices for all shares of Company Common Stock under In-the-Money Company Warrants in accordance with their terms (and assuming no cashless exercise) that are outstanding as of immediately prior to the Effective Time (whether or not then exercisable), divided by (ii) the number of Fully-Diluted Company Shares outstanding as of immediately prior to the Effective Time.

"***Permits***" means all federal, state, local or foreign or other third-party permits, grants, easements, consents, approvals, authorizations, exemptions, licenses, franchises, concessions, ratifications, permissions, clearances, confirmations, endorsements, waivers, certifications, designations, ratings, registrations, qualifications or orders of any Governmental Authority or any other Person.

"***Permitted Liens***" means (a) Liens for Taxes or assessments and similar governmental charges or levies, which either are (i) not delinquent or (ii) being contested in good faith and by appropriate proceedings, and adequate reserves have been established with respect thereto, (b) other Liens imposed by operation of Law arising in the ordinary course of business for amounts which are not due and payable and as would not in the aggregate materially adversely affect the value of, or materially adversely interfere with the use of, the property subject thereto, (c) Liens incurred or deposits made in the ordinary course of business in connection with social security, (d) Liens on goods in transit incurred pursuant to documentary letters of credit, in each case arising in the ordinary course of business, or (v) Liens arising under this Agreement or any Ancillary Document.

"***Person***" means an individual, exempted company, corporation, partnership (including a general partnership, limited partnership or limited liability partnership), limited liability company, association, trust or other entity or organization, including a government, domestic or foreign, or political subdivision thereof, or an agency or instrumentality thereof.

"***Personal Property***" means any machinery, equipment, tools, vehicles, furniture, leasehold improvements, office equipment, plant, parts and other tangible personal property.

"***Polar***" means Polar Multi-Strategy Master Fund.

"***Polar Subscription Agreement***" means the Subscription Agreement, dated as of September 6, 2023, as amended, by and among Polar, Purchaser and Sponsor.

"***Pro Rata Share***" means with respect to each Seller, a fraction expressed a percentage equal to (i) the number of shares of Company Common Stock held by such Seller as of immediately prior to the Closing, divided by (ii) the total number of shares of Company Common Stock issued and outstanding as immediately prior to the Closing.

"***Pubco Common Stock***" means the shares of common stock, par value $0.0001 per share, of Pubco, along with any equity securities paid as dividends or distributions after the Closing with respect to such shares or into which such shares are exchanged or converted after the Closing.

"***Pubco Private Warrants***" means one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share.

"***Pubco Public Warrants***" means one whole warrant entitling the holder thereof to purchase one (1) share of Pubco Common Stock at a price of $11.50 per share.

"***Pubco Warrants***" means Pubco Private Warrants and Pubco Public Warrants, collectively.

"***Purchaser Class A Ordinary Shares***" means the Class A ordinary shares, par value $0.0001 per share, of Purchaser.

"***Purchaser Class B Ordinary Shares***" means the Class B ordinary shares, par value $0.0001 per share, of Purchaser.

"***Purchaser Confidential Information***" means all confidential or proprietary documents and information concerning the Purchaser or any of its Representatives; provided, however, that Purchaser Confidential Information shall not include any information which, at the time of disclosure by the Company or any of its Representatives, is generally available publicly and was not disclosed in breach of this Agreement. For the avoidance of doubt, from and after the Closing, Purchaser Confidential Information will include the confidential or proprietary information of the Target Companies.

"***Purchaser NRA Holders***" means holders of Purchaser Class B Ordinary Shares who received such Class B Ordinary Shares from the Original Sponsor pursuant to Non-Closing Redemption Agreement and Assignment of Economic Interests prior to the date of this Agreement.

"***Purchaser Ordinary Shares***" means Purchaser Class A Ordinary Shares and Purchaser Class B Ordinary Shares.

"***Purchaser Preference Shares***" means preference shares, par value $0.0001 per share, of Purchaser.

"***Purchaser Private Warrants***" means one (1) whole warrant that was issued to the Sponsor in a private placement that closed simultaneously with the IPO, with each whole warrant entitling the holder thereof to purchase one (1) Purchaser Class A Ordinary Share at a purchase price of $11.50 per share.

"***Purchaser Public Units***" means the units issued in the IPO (including overallotment units acquired by Purchaser's underwriter) consisting of one (1) Purchaser Ordinary Share and one-third Purchaser Public Warrant.

"***Purchaser Public Warrants***" means one whole warrant that was included in as part of each Purchaser Public Unit, entitling the holder thereof to purchase one (1) Purchaser Ordinary Share at a purchase price of $11.50 per share.

"***Purchaser Securities***" means the Purchaser Public Units, the Purchaser Ordinary Shares, the Purchaser Preference Shares and the Purchaser Warrants, collectively.

"***Purchaser Warrants***" means Purchaser Private Warrants and Purchaser Public Warrants, collectively.

"***Release***" means any release, spill, emission, leaking, pumping, injection, deposit, disposal, discharge, dispersal, or leaching into the indoor or outdoor environment, or into or out of any property.

"***Remedial Action***" means all actions to (i) clean up, remove, treat, or in any other way address any Hazardous Material, (ii) prevent the Release of any Hazardous Material so it does not endanger or threaten to endanger public health or welfare or the indoor or outdoor environment, (iii) perform pre-remedial studies and investigations or post-remedial monitoring and care, or (iv) correct a condition of noncompliance with Environmental Laws.

"***Representatives***" means, as to any Person, such Person's Affiliates and the respective managers, directors, officers, employees, independent contractors, consultants, advisors (including financial advisors, counsel and accountants), agents and other legal representatives of such Person or its Affiliates.

"***Required Company Stockholder Approval***" means the requisite approval by affirmative vote of the Company Stockholders at a duly called and held meeting of the Company Stockholders or by written consent of the Company Stockholders to authorize, approve, adopt and consent to, the execution, delivery and performance of this Agreement and each of the Ancillary Documents to which the Company is or is required to be a party or bound, and the consummation of the transactions contemplated hereby and thereby, including the Company Merger.

"***SEC***" means the U.S. Securities and Exchange Commission (or any successor Governmental Authority).

"***Securities Act***" means the Securities Act of 1933, as amended.

"***Software***" means any computer software programs, including all source code, object code, and documentation related thereto and all software modules, tools and databases.

"***SOX***" means the U.S. Sarbanes-Oxley Act of 2002, as amended.

"***Sponsor***" means HCG Opportunity, LLC, a Delaware limited liability company.

"***Sponsor Note***" means that certain Promissory Note, dared November 21, 2024, issued by the Purchaser to the Sponsor for an aggregate principal amount up to $2,500,000.

"***Subsidiary***" means, with respect to any Person, any corporation, partnership, association or other business entity of which (i) if a corporation, a majority of the total voting power of shares or stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time owned or controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries of that Person or a combination thereof, or (ii) if a partnership, association or other business entity, a majority of the partnership or other similar ownership interests thereof is at the time owned or controlled, directly or indirectly, by any Person or one or more Subsidiaries of that Person or a combination thereof. For purposes hereof, a Person or Persons will be deemed to have a majority ownership interest in a partnership, association, or other business entity if such Person or Persons will be allocated a majority of partnership, association or other business entity gains or losses or will be or control the managing director, managing member, general partner or other managing Person of such partnership, association or other business entity. A Subsidiary of a Person will also include any variable interest entity which is consolidated with such Person under applicable accounting rules.

"***Surface Rights***" means all interests in and rights to use surface estates and rights, subsurface estates and rights, minerals (including, without limitation, intact and severed rock, stone, minerals, ores, metals, chemicals, coal (including coal waste), oil, gas (including coalbed methane), sand, gravel, clay, shale, soil, overburden, spoil, fill and borrow material and products containing any of the foregoing), mineral rights, mining rights (including, without limitation, rights to conduct prospecting, drilling, fracturing, blasting, mining by any method whatsoever, whether now known or hereafter developed, including the right to destroy the surface, quarrying, excavating, stockpiling, transporting, conveying, crushing, washing, screening, processing, manufacturing, testing, grading, storing, loading, weighing and sale of minerals as hereinabove defined, and all activities related thereto), access and transportation rights, utility and similar service rights, subjacent and lateral support rights (including, without limitation, the right to deprive others of subjacent and lateral support), storage rights, discharge and disposal rights, water rights, reclamation and restoration rights, licenses and permits, pooling and unitization orders, and similar rights, owned, held or used by way of approval, lease, contract, license, permit or otherwise.

"***Target Company***" means each of the Company and its direct and indirect Subsidiaries.

"***Tax Return***" means any return, declaration, report, claim for refund, information return or other documents (including any related or supporting schedules, statements, or information) filed or required to be filed in connection with the determination, assessment or collection of any Taxes or the administration of any Laws or administrative requirements relating to any Taxes.

"***Taxes***" means all direct or indirect federal, state, local, foreign and other net income, gross income, gross receipts, sales, use, value-added, ad valorem, transfer, franchise, profits, license, lease, service, service use, withholding, payroll, employment, social security and related contributions due in relation to the payment of compensation to employees, excise, severance, stamp, occupation, premium, property, windfall profits, alternative minimum, estimated, customs, duties or other taxes, fees, assessments or charges in the nature of taxes, together with any interest and any penalties, additions to tax or additional amounts with respect thereto.

"***Trade Secrets***" means any trade secrets, confidential business information, concepts, ideas, designs, research or development information, processes, procedures, techniques, technical information, specifications, operating and maintenance manuals, engineering drawings, methods, know-how, data, mask works, discoveries, inventions, modifications, extensions, improvements, and other proprietary rights (whether or not patentable or subject to copyright, trademark, or trade secret protection).

"***Trademarks***" means any trademarks, service marks, trade dress, trade names, brand names, internet domain names, designs, logos, or corporate names (including, in each case, the goodwill associated therewith), whether registered or unregistered, and all registrations and applications for registration and renewal thereof.

"***Transaction Financing***" means a capital raising transaction in connection with the transactions contemplated by this Agreement structured as one or a combination of common equity, preferred equity, convertible equity or debt, non-redemption or backstop arrangements with respect to the Trust Account, a committed equity facility, debt facility, and/or other sources of cash or cash equivalents, in each case, whether such investment is into Purchaser, the Company or Pubco.

"***Trust Account***" means the trust account established by Purchaser with the proceeds from the IPO pursuant to the Trust Agreement in accordance with the IPO Prospectus.

"***Trust Agreement***" means that certain Investment Management Trust Agreement, dated as of October 14, 2021, as it may be amended, by and between the Purchaser and Continental, in its capacity as trustee, as well as any other agreements entered into related to or governing the Trust Account.

"***Trustee***" means Continental Stock Transfer & Trust Company, a New York corporation, in its capacity as trustee under the Trust Agreement.

"***Unpatented Claims***" means, collectively, the Leased Claims and the Owned Claims.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.2. <u>Section References.</u> The following capitalized terms, as used in this Agreement, have the respective meanings given to them in the Section as set forth below adjacent to such terms:

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| | |
|:---|:---|
| **Term** | **Section** |
| 2025 PCAOB Audited Financials | 6.4(b) |
| 2025 PCAOB Audited Financials Delivery Date | 6.4(b) |
| Acquisition Proposal | 6.6(a) |
| Agreement | Preamble |
| Alternative Transaction | 6.6(a) |
| Amended Pubco Organizational Documents | 1.7 |
| Antitrust Laws | 6.9(b) |
| Applicable Exchange | 7.1(k) |
| Assumed Option | 1.10(c) |
| Assumed Option Agreement | 1.12(j) |
| Assumed Warrant | 1.10(d) |
| Authorization Notice | 1.9(j) |
| Balance Sheet Date | 5.7(a) |
| Business Combination | 9.1 |
| Change in Recommendation | 6.13(e) |
| Closing | 2.1 |
| Closing Date | 2.1 |
| Closing Filing | 6.15(b) |
| Closing Press Release | 6.15(b) |
| Closing Redemption | 6.13(a) |
| Companies Act | Recitals |
| Company | Preamble |
| Company Certificate of Merger | 1.3 |
| Company Certificates | 1.12(c) |
| Company Directors | 6.17(a) |
| Company Disclosure Schedules | Article V |
| Company Dissenting Shares | 1.17 |
| Company Dissenting Stockholder | 1.17 |
| Company Financials | 5.7(a) |
| Company IP | 5.13(e) |
| Company IP Licenses | 5.13(a) |
| Company Material Contract | 5.12(a) |
| Company Merger | Recitals |
| Company Merger Sub | Preamble |
| Company Permits | 5.10 |
| Company Real Property Leases | 5.15(a) |
| Company Registered IP | 5.13(a) |
| Company Surviving Corporation | 1.2 |
| Conversion Ratio | 1.10(a) |
| D&O Indemnified Persons | 6.18(a) |
| D&O Insurance | 6.18(b) |
| Desalination Facilities | 5.21(h) |
| DGCL | Recitals |
| Domestication | Recitals |
| Effective Time | 1.3 |
| EGS | 6.10(c) |
| Employment Agreements | 6.21 |
| Enforceability Exceptions | 3.2 |
| Environmental Permits | 5.20(a) |
| Exchange Agent | 1.12(a) |
| Exchange Fund | 1.12(b) |
| Expenses | 8.3 |
| Extension | 6.3(a) |
| Extension Expenses | 6.3(b)(iv) |
| Federal Securities Laws | 6.7 |
| Filing Fees | 8.3 |
| Financing Agreements | 6.22(a) |
| Founder Registration Rights Agreement Amendment | Recitals |
| Incentive Plan | 6.13(a) |
| Insider Letter Amendment | Recitals |
| Insurance Policies | 5.23 |
| Intended Tax Treatment | Recitals |
| Interim Period | 6.1(a) |

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---

| | |
|:---|:---|
| Interim Reviewed Financials | 6.4(a) |
| Interim Reviewed Financials Delivery Date | 6.4(a) |
| Leased Real Property | 5.15(a) |
| Letter of Transmittal | 1.12(c) |
| Lost Certificate Affidavit | 1.12(f) |
| Merger Consideration | 1.8 |
| Merger Subs | Preamble |
| Mergers | Recitals |
| Minimum Cash Conditions | 7.1(i) |
| OFAC | 3.18(c) |
| Off-the Shelf Software | 5.13(a) |
| Outside Date | 8.1(b) |
| Party(ies) | Preamble |
| Polar Loan | 6.24 |
| Polar Shares | 6.24 |
| Post-Closing Pubco Board | 6.17(a) |
| Proxy Statement | 6.13(a) |
| Pubco | Preamble |
| Public Certifications | 3.6(a) |
| Public Shareholders | 9.1 |
| Purchaser | Preamble |
| Purchaser Board Recommendation | 6.13(e) |
| Purchaser Director | 6.17(a) |
| Purchaser Disclosure Schedules | Article III |
| Purchaser Dissenting Shareholders | 1.9(j) |
| Purchaser Dissenting Shares | 1.9(j) |
| Purchaser Financials | 3.6(b) |
| Purchaser Law Firms | 10.14 |
| Purchaser Material Contract | 3.13(a) |
| Purchaser Merger | Recitals |
| Purchaser Merger Sub | Preamble |
| Purchaser Parties | Preamble |
| Purchaser Plan of Merger | 1.3 |
| Purchaser Shareholder Approval Matters | 6.13(a) |
| Purchaser Shareholder Meeting | 6.13(a) |
| Purchaser Surviving Corporation | 1.1 |
| Recommendation Change Notice | 6.13(e) |
| Registration Statement | 6.13(a) |
| Related Person | 5.22 |
| Released Claims | 9.1 |
| Required Purchaser Shareholder Approval | 7.1(a) |
| SEC Reports | 3.6(a) |
| Seller Merger Consideration | 1.8 |
| Seller Registration Rights Agreement | Recitals |
| Sellers | 1.8 |
| Signing Filing | 6.15(b) |
| Signing Press Release | 6.15(b) |
| SPAC Insiders | 6.23 |
| Specified Courts | 10.5 |
| Sponsor | Recitals |
| Sponsor Letter Agreement | Recitals |
| Surviving Corporations | 1.2 |
| Voting Agreements | Recitals |
| Written Objection | 1.9(j) |

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***{REMAINDER OF PAGE INTENTIONALLY LEFT BLANK; SIGNATURE PAGE FOLLOWS}***

IN WITNESS WHEREOF, each Party hereto has caused this Agreement and Plan of Merger to be signed and delivered as of the date first written above.

---

| | |
|:---|:---|
| *<u>The Purchaser</u>:* | *<u>The Purchaser</u>:* |
| **COMPASS DIGITAL ACQUISITION CORP.** | **COMPASS DIGITAL ACQUISITION CORP.** |
| By: | */s/ Thomas D. Hennessy* |
| Name: | Thomas D. Hennessy |
| Title: | Chief Executive Officer |
| *<u>Pubco</u>* | *<u>Pubco</u>* |
| **TITAN HOLDINGS CORP.** | **TITAN HOLDINGS CORP.** |
| By: | */s/ Thomas D. Hennessy* |
| Name: | Thomas D. Hennessy |
| Title: | President and Chief Executive Officer |
| *<u>Purchaser Merger Sub</u>*: | *<u>Purchaser Merger Sub</u>*: |
| **TITAN SPAC MERGER SUB CORP.** | **TITAN SPAC MERGER SUB CORP.** |
| By: | */s/ Thomas D. Hennessy* |
| Name: | Thomas D. Hennessy |
| Title: | Director |
| *<u>Company Merger Sub</u>* | *<u>Company Merger Sub</u>* |
| **TITAN MERGER SUB INC.** | **TITAN MERGER SUB INC.** |
| By: | */s/ Thomas D. Hennessy* |
| Name: | Thomas D. Hennessy |
| Title: | President, Treasurer and Secretary |
| *<u>The Company:</u>* | *<u>The Company:</u>* |
| **KEY MINING CORP.** | **KEY MINING CORP.** |
| By: | */s/ Cesar Lopez Alarcon* |
| Name: | Cesar Lopez Alarcon |
| Title: | Chief Executive Officer |

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***{Signature Page to Agreement and Plan of Merger}***

**Annex A-2**

**AMENDMENT NO. 1 TO THE AGREEMENT AND PLAN OF MERGER**

THIS AMENDMENT NO. 1 TO THE AGREEMENT AND PLAN OF MERGER, dated as of February 5, 2026 (this "**Amendment**"), which amends the Agreement and Plan of Merger, dated as of January 6, 2026 (the "**Merger Agreement**"), by and among (i) Compass Digital Acquisition Corp., a Cayman Islands exempted company (together with its successors, the "**Purchaser**"), (ii) Titan Holdings Corp., a Delaware corporation and a direct wholly owned subsidiary of the Purchaser ("**Pubco**"), (iii) Titan SPAC Merger Sub Corp., a Cayman Islands exempted company and a direct wholly owned subsidiary of Pubco ("**Purchaser Merger Sub**"), (iv) Titan Merger Sub Inc., a Delaware corporation and a direct wholly owned subsidiary of Pubco ("**Company Merger Sub**"), and (v) Key Mining Corp., a Delaware corporation (the "**Company**", together with Purchaser, Pubco, Purchaser Merger Sub and Company Merger Sub, each, a "**Party**" and, collectively, the "**Parties**"), is made and entered into by and between the Parties.

**RECITALS**

**WHEREAS**, Section 10.9 of the Merger Agreement sets forth that the Merger Agreement may be amended, supplemented or modified only by execution of a written instrument signed by each of Purchaser, Pubco and the Company; and

**WHEREAS**, the Parties desire to amend certain provisions of the Merger Agreement as set forth in this Amendment, in accordance with Section 10.9 of the Merger Agreement.

**NOW, THEREFORE**, in consideration of the mutual promises and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, intending to be legally bound, the Parties hereby agree as follows:

**AGREEMENT**

1. <u>Definitions</u>.
 Except as otherwise provided herein or if context otherwise requires, capitalized terms used
 but not defined in this Amendment shall have the respective meanings ascribed to such terms
 in the Merger Agreement.

A-2-1

2. <u>Amendments to the Merger Agreement</u>. The Parties hereby agree that the Merger Agreement shall be
 deemed to be amended as follows:

&nbsp;&nbsp;&nbsp;&nbsp;2.1. The
 language of Section 1.8 of the Merger Agreement is hereby deleted in its entirety and replaced
 by the following:

"1.8. <u>Merger Consideration</u>. The aggregate consideration to be paid to holders of the Company Securities as of immediately prior to the Effective Time pursuant to the Company Merger shall be an amount equal to Two Hundred and Thirty Million U.S. Dollars ($230,000,000) (the "***Merger Consideration***"). The total portion of the Merger Consideration amount payable to holders of the Company Stock as of immediately prior to the Effective Time (collectively, the "***Sellers***") (which, for the avoidance of doubt, excludes holders of Company Options and Company Warrants) (the "***Seller Merger Consideration***") will be paid in the form of shares of Pubco Common Stock, each valued at $10.00 per share. Each Seller will receive, for each share of Company Common Stock held (but excluding shares of Company Common Stock that are Company Dissenting Shares and any Company Common Stock described in <u>Section 1.10(b)</u>), an amount equal to the Per Share Price, which will be paid in the form of Pubco Common Stock, with each share of Pubco Common Stock valued at $10.00 per share. The holders of Company Options that are outstanding immediately prior to the Effective Time shall receive such number of Assumed Options as described in <u>Section 1.10(c)</u> with such terms and conditions as described in <u>Section 1.10 (c)</u>, and the holders of Company Warrants that are outstanding immediately prior to the Effective Time shall receive such number of Assumed Warrants as described in <u>Section 1.10(d)</u> with such terms and conditions as described in <u>Section 1.10(d)</u>. For the avoidance of doubt, other than holders of Company Options who execute and deliver Assumed Option Agreements in accordance with <u>Section 1.10(c)</u> and holders of Company Warrants, no holder of Company Securities will receive any consideration under or in connection with this Agreement unless they are holders of Company Common Stock as of the Effective Time."

3. <u>Authority Relative to Amendment</u>. Each Party hereto represents and warrants that it has all requisite
 company or corporate power and authority to execute and deliver this Amendment. This Amendment
 constitutes, assuming due authorization, execution, and delivery by the other Parties hereto,
 a legal, valid, and binding obligation of such Party, enforceable against such Party in accordance
 with its terms, subject to any Enforceability Exceptions.

4. <u>Effectiveness</u>.
 All of the provisions of this Amendment shall be effective as of the date of this Amendment.
 Except to the extent specifically amended hereby, all of the terms of the Merger Agreement
 shall remain unchanged and in full force and effect, and, to the extent applicable, such
 terms shall apply to this Amendment as if it formed a part of the Merger Agreement.

A-2-2

5. <u>References to the Merger Agreement</u>. After giving effect to this Amendment, each reference in the
 Merger Agreement to "this Agreement", "hereof", "hereunder"
 or words of like import referring to the Merger Agreement shall refer to the Merger Agreement
 as amended by this Amendment. All references in the Merger Agreement to "the date hereof"
 or "the date of this Agreement" shall refer to January 6, 2026.

6. <u>Entire Agreement</u>. This Amendment, the Merger Agreement (including the Exhibits thereto) and
 the Ancillary Documents constitute the entire agreement between the Parties with respect
 to the subject matter hereof and supersede all prior and contemporaneous agreements and undertakings,
 both written and oral, between the Parties, or any of them, with respect to the subject matter
 hereof and thereof.

7. <u>Expenses</u>.
 All Expenses incurred in connection with this Amendment and the transactions contemplated
 hereby will be reimbursed in accordance with Section 8.3 of the Merger Agreement.

8. <u>Other Provisions</u>. The provisions of Article X (Miscellaneous) of the Merger Agreement shall,
 to the extent not already set forth in this Amendment, apply mutatis mutandis to this Amendment,
 and to the Merger Agreement as modified by this Amendment, taken together as a single agreement,
 reflecting the terms as modified hereby.

 

*[Remainder of page intentionally left blank]*

 

A-2-3

**IN WITNESS WHEREOF**, the Parties have caused this Amendment No. 1 to the Agreement and Plan of Merger to be duly executed as of the date first above written.

---

| | |
|:---|:---|
| **COMPASS DIGITAL ACQUISITION CORP.** | **COMPASS DIGITAL ACQUISITION CORP.** |
| By: | /s/ Thomas D. Hennessy |
| Name: | Thomas D. Hennessy |
| Title: | Chief Executive Officer |
| **TITAN HOLDINGS CORP.** | **TITAN HOLDINGS CORP.** |
| By: | /s/ Thomas D. Hennessy |
| Name: | Thomas D. Hennessy |
| Title: | President and Chief Executive Officer |
| **KEY MINING CORP.** | **KEY MINING CORP.** |
| By: | /s/ Cesar Lopez Alarcon |
| Name: | Cesar Lopez Alarcon |
| Title: | Chief Executive Officer |
| **TITAN MERGER SUB INC.** | **TITAN MERGER SUB INC.** |
| By: | /s/ Thomas D. Hennessy |
| Name: | Thomas D. Hennessy |
| Title: | President and Chief Executive Officer |
| **TITAN SPAC MERGER SUB CORP.** | **TITAN SPAC MERGER SUB CORP.** |
| By: | /s/ Thomas D. Hennessy |
| Name: | Thomas D. Hennessy |
| Title: | President and Chief Executive Officer |

---

*[Signature Page to Amendment No. 1 to Merger Agreement]*

A-2-4

**Annex B**

**PLAN OF MERGER**

**[To come]**

**Annex C**

**AMENDED AND RESTATED**

**CERTIFICATE OF INCORPORATION**

**of**

**KEY MINING HOLDINGS CORP.**

Key Mining Holdings Corp., a corporation organized and existing under the laws of the State of Delaware (the "**Corporation**"), hereby certifies as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The name of the Corporation is Key Mining Holdings Corp. The date of the filing of its original Certificate of Incorporation with the Secretary of State of the State of Delaware (the "**Delaware Secretary of State**") was December 31, 2025 (the "**Original Certificate**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. This Amended and Restated Certificate of Incorporation (this "**Certificate**") amends, restates and integrates the provisions of the Original Certificate, as amended, and was duly adopted in accordance with the provisions of Sections 242 and 245 of the General Corporation Law of the State of Delaware (the "**DGCL**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. This Certificate was approved by the holders of the requisite number of shares of this Corporation in accordance with Section 228 of the DGCL.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The text of the Original Certificate, as amended, is hereby amended and restated in its entirety to provide as herein set forth in full.

ARTICLE I

The name of the Corporation is Key Mining Holdings Corp.

ARTICLE II

The address of the Corporation's registered office in the State of Delaware is 1209 Orange Street, Wilmington, New Castle County, Delaware 19801. The name of its registered agent at such address is The Corporation Trust Company.

ARTICLE III

The purpose of the Corporation is to engage in any lawful act or activity for which corporations may be organized under the DGCL, as the same exists or as may hereafter be amended from time to time.

ARTICLE IV

Capital Stock

The total number of shares of capital stock which the Corporation shall have authority to issue is 300,000,000 of which (i) 250,000,000 shares shall be a class designated as common stock, par value $0.0001 per share (the "**Common Stock**"), and (ii) 50,000,000 shares shall be a class designated as undesignated preferred stock, par value $0.0001 per share (the "**Undesignated Preferred Stock**").

Except as otherwise provided in any certificate of designations of any series of Undesignated Preferred Stock, the number of authorized shares of the class of Common Stock or Undesignated Preferred Stock may from time to time be increased or decreased (but not below the number of shares of such class outstanding) by the affirmative vote of the holders of a majority in voting power of the outstanding shares of capital stock of the Corporation irrespective of the provisions of Section 242(b)(2) of the DGCL.

The powers, preferences and rights of, and the qualifications, limitations and restrictions upon, each class or series of stock shall be determined in accordance with, or as set forth below in, this Article IV.

(A) COMMON STOCK

Subject to all the rights, powers and preferences of the Undesignated Preferred Stock and except as provided by law or in this Certificate (or in any certificate of designations of any series of Undesignated Preferred Stock):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the holders of the Common Stock shall have the exclusive right to vote for the election of directors of the Corporation (the "**Directors**") and on all other matters requiring stockholder action, each outstanding share entitling the holder thereof to one vote on each matter properly submitted to the stockholders of the Corporation for their vote; <u>provided</u>, <u>however</u>, that, except as otherwise required by law, holders of Common Stock, as such, shall not be entitled to vote on any amendment to this Certificate (or on any amendment to a certificate of designations of any series of Undesignated Preferred Stock) that alters or changes the powers, preferences, rights or other terms of one or more outstanding series of Undesignated Preferred Stock if the holders of such affected series of Undesignated Preferred Stock are entitled to vote, either separately or together with the holders of one or more other such series, on such amendment pursuant to this Certificate (or pursuant to a certificate of designations of any series of Undesignated Preferred Stock) or pursuant to the DGCL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) dividends may be declared and paid or set apart for payment upon the Common Stock out of any assets or funds of the Corporation legally available for the payment of dividends, but only when and as declared by the Board of Directors or any authorized committee thereof, subject to the requirements of applicable law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) upon the voluntary or involuntary liquidation, dissolution or winding up of the Corporation, the net assets of the Corporation shall be distributed pro rata to the holders of the Common Stock.

(B) UNDESIGNATED PREFERRED STOCK

The Board of Directors or any authorized committee thereof is expressly authorized, to the fullest extent permitted by law, to provide by resolution or resolutions for, out of the unissued shares of Undesignated Preferred Stock, the issuance of the shares of Undesignated Preferred Stock in one or more series of such stock, and by filing a certificate of designations pursuant to the DGCL, to establish or change from time to time the number of shares of each such series, and to fix the designations, powers, including voting powers, full or limited, or no voting powers, preferences and the relative, participating, optional or other special rights of the shares of each series and any qualifications, limitations and restrictions thereof.

ARTICLE V

Stockholder Action

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Action Without Meeting</u>. Any action required or permitted to be taken by the stockholders of the Corporation at any annual or special meeting of stockholders of the Corporation must be effected at a duly called annual or special meeting of stockholders and may not be taken or effected by a written consent of stockholders in lieu thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Special Meetings</u>. Except as otherwise required by statute and subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock, special meetings of the stockholders of the Corporation may be called only by (i) the Board of Directors acting pursuant to a resolution approved by the affirmative vote of a majority of the Directors then in office, (ii) the Chairperson of the Board, or (iii) the Chief Executive Officer of the Corporation, and special meetings of stockholders may not be called by any other person or persons. Only those matters set forth in the notice of the special meeting may be considered or acted upon at a special meeting of stockholders of the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Advance Notice</u>. Advance notice of stockholder nominations for the election of directors and of business to be brought by stockholders before any meeting of the stockholders of the Corporation shall be given in the manner provided in the bylaws of the Corporation (the "**Bylaws**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Cumulative Voting</u>. There shall be no cumulative voting.

ARTICLE VI

Directors

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>General</u>. The business and affairs of the Corporation shall be managed by or under the direction of the Board of Directors except as otherwise provided herein or required by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Election of Directors</u>. Election of Directors need not be by written ballot unless the Bylaws shall so provide.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Number of Directors; Term of Office</u>. The number of Directors of the Corporation shall be fixed solely and exclusively by resolution duly adopted from time to time by the Board of Directors. The Directors, other than those who may be elected by the holders of any series of Undesignated Preferred Stock, shall be classified, with respect to the term for which they severally hold office, into three classes. Such classes shall be as nearly equal in number of Directors as reasonably possible. The Board of Directors shall assign Directors into classes at the time the classification becomes effective. The initial Class I Directors shall serve for a term expiring at the first annual meeting of stockholders to be held after the filing of this Certificate, the initial Class II Directors shall serve for a term expiring at the second annual meeting of stockholders to be held after the filing of this Certificate, and the initial Class III Directors shall serve for a term expiring at the third annual meeting of stockholders to be held after the filing of this Certificate. At each annual meeting of stockholders, Directors elected to succeed those Directors whose terms expire shall be elected for a term of office to expire at the third succeeding annual meeting of stockholders after their election. Notwithstanding the foregoing, the Directors elected to each class shall hold office until their successors are duly elected and qualified or until their earlier resignation, death or removal..

Notwithstanding the foregoing, whenever, pursuant to the provisions of Article IV of this Certificate, the holders of any one or more series of Undesignated Preferred Stock shall have the right, voting separately as a series or together with holders of other such series, to elect Directors at an annual or special meeting of stockholders, the election, term of office, filling of vacancies and other features of such directorships shall be governed by the terms of this Certificate and any certificate of designations applicable to such series..

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Vacancies</u>. Subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock to elect Directors and to fill vacancies in the Board of Directors relating thereto, any and all vacancies in the Board of Directors, however occurring, including, without limitation, by reason of an increase in the size of the Board of Directors, or the death, resignation, disqualification or removal of a Director, shall be filled solely and exclusively by the affirmative vote of a majority of the remaining Directors then in office, even if less than a quorum of the Board of Directors, and not by the stockholders. Any Director appointed in accordance with the preceding sentence shall hold office for the remainder of the full term of the class of Directors in which the new directorship was created or the vacancy occurred and until such Director's successor shall have been duly elected and qualified or until his or her earlier resignation, death or removal. Subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock to elect Directors, when the number of Directors is increased or decreased, the Board of Directors shall, subject to Article VI.3 hereof, determine the class or classes to which the increased or decreased number of Directors shall be apportioned; <u>provided</u>, <u>however</u>, that no decrease in the number of Directors shall shorten the term of any incumbent Director. In the event of a vacancy in the Board of Directors, the remaining Directors, except as otherwise provided by law, shall exercise the powers of the full Board of Directors until the vacancy is filled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Removal</u>. Subject to the rights, if any, of any series of Undesignated Preferred Stock to elect Directors and to remove any Director whom the holders of any such series have the right to elect, any Director (including persons elected by Directors to fill vacancies in the Board of Directors) may be removed from office only with cause. Subject to the rights, if any, of any series of Undesignated Preferred Stock and any limitations imposed by law, any individual director or the entire Board of Directors may be removed from office with cause by the affirmative vote of the holders of at least 66 2/3% of the voting power of all then outstanding shares of capital stock of the Corporation entitled to vote on the election of such directors.

ARTICLE VII

Limitation of Liability

A Director or officer of the Corporation shall not be personally liable to the Corporation or its stockholders for monetary damages for breach of fiduciary duty as a Director or officer, except for liability (a) for any breach of the Director's or officer's duty of loyalty to the Corporation or its stockholders, (b) for acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law, (c) under Section 174 of the DGCL or (d) for any transaction from which the Director or officer derived an improper personal benefit. If the DGCL is amended after the effective date of this Certificate to authorize corporate action further eliminating or limiting the personal liability of Directors or officers, then the liability of a Director or officer of the Corporation shall be eliminated or limited to the fullest extent permitted by the DGCL, as so amended.

As more fully set forth in the Bylaws, the Corporation may indemnify to the fullest extent permitted by the DGCL any person made or threatened to be made a party to an action or proceeding, whether criminal, civil, administrative, arbitrative or investigative, by reason of the fact that he, she, his or her testator or intestate is or was a Director, officer, employee or agent at the request of the Corporation or any predecessor to the Corporation or serves or served at any other legal entity as a Director, officer, employee or agent at the request of the Corporation.

Any amendment, repeal or modification of this Article VII by either of (i) the stockholders of the Corporation or (ii) an amendment to the DGCL, shall not adversely affect any right or protection existing at the time of such amendment, repeal or modification with respect to any acts or omissions occurring before such amendment, repeal or modification of a person serving as a Director or officer at the time of such amendment, repeal or modification.

ARTICLE VIII

Amendment of Bylaws

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Amendment by Directors</u>. Except as otherwise provided by law, the Bylaws of the Corporation, or any provision or provisions thereof, may be amended or repealed by the Board of Directors by the affirmative vote of a majority of the Directors then in office.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Amendment by Stockholders</u>. The Bylaws of the Corporation may be amended or repealed at any annual meeting of stockholders, or special meeting of stockholders called for such purpose, by the affirmative vote of at least 66 2/3% of the outstanding shares of capital stock entitled to vote on such amendment or repeal, voting together as a single class; <u>provided</u>, <u>however</u>, that if the Board of Directors recommends that stockholders approve such amendment or repeal at such meeting of stockholders, such amendment or repeal shall only require the affirmative vote of the majority of the outstanding shares of capital stock entitled to vote on such amendment or repeal, voting together as a single class.

Article IX

Exclusive Forum and Federal Forum Selection

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Federal Forum Selection</u>. Unless the Corporation consents in writing to the selection of an alternative forum, to the fullest extent permitted by applicable law, the federal district courts of the United States of America shall be the exclusive forum for the resolution of any complaint asserting a cause of action arising under the Securities Act, including all causes of action asserted against any defendant named in such complaint. For the avoidance of doubt, this provision is intended to benefit and may be enforced by the Corporation, its officers and Directors, the underwriters for any offering giving rise to such complaint, and any other professional entity whose profession gives authority to a statement made by that person or entity and who has prepared or certified any part of the documents underlying the offering.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Acknowledgement; Relief</u>. Any person or entity holding, owning, or otherwise acquiring any interest in any securities of the Corporation shall be deemed to have notice of and consented to the provisions of this ARTICLE IX. Failure to enforce the foregoing provisions would cause the Corporation irreparable harm, and the Corporation shall be entitled to equitable relief, including injunctive relief and specific performance, to enforce the foregoing provisions.

ARTICLE X

Amendment of Certificate of Incorporation

The Corporation reserves the right to amend or repeal this Certificate in the manner now or hereafter prescribed by statute and this Certificate, and all rights conferred upon stockholders herein are granted subject to this reservation. Whenever any vote of the holders of capital stock of the Corporation is required to amend or repeal any provision of this Certificate, and in addition to any other vote of holders of capital stock that is required by this Certificate or by law, such amendment or repeal shall require the affirmative vote of the majority of the outstanding shares of capital stock entitled to vote on such amendment or repeal, and the affirmative vote of the majority of the outstanding shares of each class entitled to vote thereon as a class, at a duly constituted meeting of stockholders called expressly for such purpose; <u>provided</u>, <u>however</u>, that the affirmative vote of not less than 66 2/3% of the outstanding shares of capital stock entitled to vote on such amendment or repeal shall be required to amend or repeal any provision of Article V, Article VI, Article VII, Article VIII, Article IX or Article X of this Certificate.

[SIGNATURE PAGE FOLLOWS]

THIS AMENDED AND RESTATED CERTIFICATE OF INCORPORATION is executed as of this [ ___ ] day of [ ________ ] 202[__].

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| |
|:---|
| KET MINING HOLDINGS CORP. |
| By: |
| Name: |
| Title: |

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[SIGNATURE PAGE TO AMENDED AND RESTATED CERTIFICATE OF INCORPORATION]

**Annex D**

**AMENDED AND RESTATED**

**BYLAWS**

**OF**

**KEY MINING HOLDINGS CORP.**

(the "**Corporation**")

ARTICLE I <u>Stockholders</u>

Section 1.1. <u>Annual Meeting</u>. The annual meeting of stockholders (any such meeting being referred to in these Bylaws as an "Annual Meeting") shall be held at the hour, date and place within or without the United States which is fixed by the Corporation's Board of Directors (the "**Board of Directors**"), which time, date and place may subsequently be changed at any time by vote of the Board of Directors; provided that the Board of Directors may in its sole discretion determine that the meeting shall not be held at any place, but may instead be held solely by means of remote communication pursuant to as authorized by Section 211(a) of the General Corporation Law of the State of Delaware (the "**DGCL**") and Section 6.13 of these Bylaws. If no Annual Meeting has been held for a period of thirteen (13) months after the Corporation's last Annual Meeting, a special meeting in lieu thereof may be held, and such special meeting shall have, for the purposes of these Bylaws or otherwise, all the force and effect of an Annual Meeting. Any and all references hereafter in these Bylaws to an Annual Meeting or Annual Meetings also shall be deemed to refer to any special meeting(s) in lieu thereof.

Section 1.2. <u>Notice of Stockholder Business and Nominations</u>.

(a) <u>Annual Meetings of Stockholders</u>.

(1) Nominations of persons for election to the Board of Directors and the proposal of other business to be considered by the stockholders may be brought before an Annual Meeting (i) by or at the direction of the Board of Directors or (ii) by any stockholder of the Corporation who was a stockholder of record at the time of giving notice provided for in this Bylaw, who is entitled to vote at the meeting, who is present (in person or by proxy) at the meeting and who complies with the notice procedures set forth in this Bylaw as to such nomination or business and, to the extent that Rule 14a-19 under the Securities Exchange Act of 1934, as amended (such act, and the rules and regulations promulgated thereunder, the "**Exchange Act**") applies, has complied with Rule 14a-19 under the Exchange Act. For the avoidance of doubt, the foregoing clause (ii) shall be the exclusive means for a stockholder to bring nominations or business properly before an Annual Meeting (other than matters properly brought under Rule 14a-8 (or any successor rule) under the Exchange Act, and such stockholder must comply with the notice and other procedures set forth in Section 1.2(a)(2) and (3) of this Bylaw to bring such nominations or business properly before an Annual Meeting. In addition to the other requirements set forth in this Bylaw, for any proposal of business to be considered at an Annual Meeting, it must be a proper subject for action by stockholders of the Corporation under Delaware law.

(2) For nominations or other business to be properly brought before an Annual Meeting by a stockholder pursuant to clause (ii) of Section 1.2(a)(1) of this Bylaw, the stockholder must (i) have given Timely Notice (as defined below) thereof in writing to the Secretary of the Corporation, (ii) have provided any updates or supplements to such notice at the times and in the forms required by this Bylaw and (iii) together with the beneficial owner(s), if any, on whose behalf the nomination or business proposal is made, have acted in accordance with the representations set forth in the Solicitation Statement (as defined below) required by this Bylaw. To be timely, a stockholder's written notice shall be received by the Secretary at the principal executive offices of the Corporation not later than the close of business on the ninetieth (90th) day nor earlier than the close of business on the one hundred twentieth (120th) day prior to the one-year anniversary of the preceding year's Annual Meeting; <u>provided</u>, <u>however</u>, that in the event the Annual Meeting is first convened more than thirty (30) days before or more than sixty (60) days after such anniversary date, or if no Annual Meeting were held in the preceding year, notice by the stockholder to be timely must be received by the Secretary of the Corporation not later than the close of business on the later of the ninetieth (90th) day prior to the scheduled date of such Annual Meeting or the tenth (10th) day following the day on which public announcement of the date of such meeting is first made (such notice within such time periods shall be referred to as "**Timely Notice**"). Such stockholder's Timely Notice shall set forth:

(A) as to each person whom the stockholder proposes to nominate for election or reelection as a director, all information relating to such person that is required to be disclosed in solicitations of proxies for election of directors in an election contest, or is otherwise required, in each case pursuant to Regulation 14A under the Exchange Act (including such person's written consent to being named in the proxy statement as a nominee and to serving as a director if elected);

(B) as to any other business that the stockholder proposes to bring before the meeting, a brief description of the business desired to be brought before the meeting, the text of the proposal or business (including the text of any resolutions proposed for consideration and in the event such business includes a proposal to amend these Bylaws, the language of the proposed amendment) the reasons for conducting such business at the meeting, and any material interest in such business of each Proposing Person (as defined below);

(C) (i) the name and address of the stockholder giving the notice, as they appear on the Corporation's books, and the names and addresses of the other Proposing Persons (if any), (ii) as to each Proposing Person, the following information: (a) the class or series and number of all shares of capital stock of the Corporation which are, directly or indirectly, owned beneficially or of record by such Proposing Person or any of its affiliates or associates (as such terms are defined in Rule 12b-2 promulgated under the Exchange Act), including any shares of any class or series of capital stock of the Corporation as to which such Proposing Person or any of its affiliates or associates has a right to acquire beneficial ownership at any time in the future, (b) all Synthetic Equity Interests (as defined below) in which such Proposing Person or any of its affiliates or associates, directly or indirectly, holds an interest including a description of the material terms of each such Synthetic Equity Interest, including without limitation, identification of the counterparty to each such Synthetic Equity Interest and disclosure, for each such Synthetic Equity Interest, as to (x) whether or not such Synthetic Equity Interest conveys any voting rights, directly or indirectly, in such shares to such Proposing Person, (y) whether or not such Synthetic Equity Interest is required to be, or is capable of being, settled through delivery of such shares and (z) whether or not such Proposing Person and/or, to the extent known, the counterparty to such Synthetic Equity Interest has entered into other transactions that hedge or mitigate the economic effect of such Synthetic Equity Interest, (c) any proxy (other than a revocable proxy given in response to a public proxy solicitation made pursuant to, and in accordance with, the Exchange Act), agreement, arrangement, understanding or relationship pursuant to which such Proposing Person has or shares a right to, directly or indirectly, vote any shares of any class or series of capital stock of the Corporation, (d) any rights to dividends or other distributions on the shares of any class or series of capital stock of the Corporation, directly or indirectly, owned beneficially by such Proposing Person that are separated or separable from the underlying shares of the Corporation, and (e) any performance-related fees (other than an asset based fee) that such Proposing Person, directly or indirectly, is entitled to, based on any increase or decrease in the value of shares of any class or series of capital stock of the Corporation or any Synthetic Equity Interests (the disclosures to be made pursuant to the foregoing clauses (a) through (e) are referred to, collectively, as "**Material Ownership Interests**") and (iii) a description of the material terms of all agreements, arrangements or understandings (whether or not in writing) entered into by any Proposing Person or any of its affiliates or associates with any other person for the purpose of acquiring, holding, disposing or voting of any shares of any class or series of capital stock of the Corporation;

(D) (i) a description of all agreements, arrangements or understandings by and among any of the Proposing Persons, or by and among any Proposing Persons and any other person (including with any proposed nominee(s)), pertaining to the nomination(s) or other business proposed to be brought before the meeting of stockholders (which description shall identify the name of each other person who is party to such an agreement, arrangement or understanding), and (ii) identification of the names and addresses of other stockholders (including beneficial owners) known by any of the Proposing Persons to support such nominations or other business proposal(s), and to the extent known the class and number of all shares of the Corporation's capital stock owned beneficially or of record by such other stockholder(s) or other beneficial owner(s);

(E) a representation that the stockholder giving the notice is a stockholder of record of the Corporation entitled to vote at the meeting and intends to appear in person or by proxy at the meeting to make nomination(s) or propose business; and

(F) a representation regarding whether such party intends to solicit proxies in support of director nominees other than the Corporation's nominees in accordance with Rule 14a-19 under the Exchange Act, and, in the event that such party so intends, such party shall also include a statement that such party intends to solicit the holders of shares representing at least 67% of the voting power of the Corporation's shares entitled to vote on the election of directors in support of such director nominees other than the Corporation's nominees (such statement, the "**Solicitation Statement**").

For purposes of this Article I of these Bylaws, the term "**Proposing Person**" shall mean the following persons: (i) the stockholder of record providing the notice of nominations or business proposed to be brought before a stockholders' meeting, and (ii) the beneficial owner(s), if different, on whose behalf the nominations or business proposed to be brought before a stockholders' meeting is made. For purposes of this Section 1.2 of these Bylaws, the term "**Synthetic Equity Interest**" shall mean any transaction, agreement or arrangement (or series of transactions, agreements or arrangements), including, without limitation, any derivative, swap, hedge, repurchase or so-called "stock borrowing" agreement or arrangement, the purpose or effect of which is to, directly or indirectly: (a) give a person or entity economic benefit and/or risk similar to ownership of shares of any class or series of capital stock of the Corporation, in whole or in part, including due to the fact that such transaction, agreement or arrangement provides, directly or indirectly, the opportunity to profit or avoid a loss from any increase or decrease in the value of any shares of any class or series of capital stock of the Corporation, (b) mitigate loss to, reduce the economic risk of or manage the risk of share price changes for, any person or entity with respect to any shares of any class or series of capital stock of the Corporation, (c) otherwise provide in any manner the opportunity to profit or avoid a loss from any decrease in the value of any shares of any class or series of capital stock of the Corporation, or (d) increase or decrease the voting power of any person or entity with respect to any shares of any class or series of capital stock of the Corporation.

(3) To be eligible to be a nominee of any stockholder for election or reelection as a director of the Corporation, a person must deliver (in accordance with the time periods prescribed for nominations of persons for election to the Board of Directors by stockholders under this Section 1.2) to the Secretary at the principal executive offices of the Corporation a written questionnaire with respect to the background and qualification of such individual and the background of any other person or entity on whose behalf, directly or indirectly, the nomination is being made (which questionnaire shall be provided by the Secretary upon written request), all information relating to such person that would be required to be disclosed in solicitations of proxies by the Corporation for election of such person as a director in an election contest, or is otherwise required, in each case pursuant to Regulation 14A under the Exchange Act, and a written representation and agreement (in the form provided by the Secretary upon written request) that such individual (a) is not and will not become a party to (1) any agreement, arrangement or understanding with, and has not given any commitment or assurance to, any person or entity as to how such person, if elected as a director of the Corporation, will act or vote on any issue or question (a "**Voting Commitment**") that has not been disclosed to the Corporation and (2) any Voting Commitment that could limit or interfere with such individual's ability to comply, if elected as a director of the Corporation, with such individual's fiduciary duties under applicable law, (b) is not and will not become a party to any agreement, arrangement or understanding with any person or entity other than the Corporation with respect to any direct or indirect compensation, reimbursement or indemnification in connection with service or action as a director that has not been disclosed therein, (c) in such individual's personal capacity and on behalf of any person or entity on whose behalf, directly or indirectly, the nomination is being made, would be in compliance, if elected as a director of the Corporation, and will comply, with all applicable corporate governance, conflict of interest, confidentiality and stock ownership and trading policies and guidelines of the Corporation publicly disclosed from time to time and (d) consents to being named as a nominee in the Corporation's proxy statement pursuant to Rule 14a-4(d) under the Exchange Act and any associated proxy card of the Corporation and agrees to serve if elected as a director.

(4) A stockholder providing Timely Notice of nominations or business proposed to be brought before an Annual Meeting and any person providing information pursuant to Section 1.2(a)(3) shall, in each case, further update and supplement such notice and information, if necessary, so that the information (including, without limitation, the Material Ownership Interests information) provided or required to be provided therein pursuant to this Bylaw shall be true and correct as of the record date for the meeting and as of the date that is ten (10) business days prior to such Annual Meeting, and such update and supplement shall be received by the Secretary at the principal executive offices of the Corporation not later than the close of business on the fifth (5th) business day after the record date for the Annual Meeting (in the case of the update and supplement required to be made as of the record date), and not later than the close of business on the eighth (8th) business day prior to the date of the Annual Meeting (in the case of the update and supplement required to be made as of ten (10) business days prior to the meeting); provided, however, the Corporation shall not be required to include in its proxy materials any successor, substitute or replacement nominee for director if the stockholder's notice is not timely pursuant to Section 1.2(a)(2) with respect to such successor, substitute or replacement nominee for director.

(b) <u>General</u>.

(1) Only such persons who are nominated in accordance with the provisions of this Bylaw shall be eligible for election and to serve as directors and only such business shall be conducted at an Annual Meeting as shall have been brought before the meeting in accordance with the provisions of this Bylaw or in accordance with Rule 14a-8 under the Exchange Act. The Board of Directors or a designated committee thereof shall have the power to determine whether a nomination or any business proposed to be brought before the meeting was made in accordance with the provisions of this Bylaw. If neither the Board of Directors nor such designated committee makes a determination as to whether any stockholder proposal or nomination was made in accordance with the provisions of this Bylaw, the presiding officer of the Annual Meeting shall have the power and duty to determine whether the stockholder proposal or nomination was made in accordance with the provisions of this Bylaw. If the Board of Directors or a designated committee thereof or the presiding officer, as applicable, determines that any stockholder proposal or nomination was not made in accordance with the provisions of this Bylaw, such proposal or nomination shall be disregarded and shall not be presented for action at the Annual Meeting.

(2) Except as otherwise required by law, nothing in this Section 1.2 shall obligate the Corporation or the Board of Directors to include in any proxy statement or other stockholder communication distributed on behalf of the Corporation or the Board of Directors information with respect to any nominee for director or any other matter of business submitted by a stockholder.

(3) Notwithstanding the foregoing provisions of this Section 1.2, if the nominating or proposing stockholder (or a qualified representative of the stockholder) does not appear at the Annual Meeting to present a nomination or any business, such nomination or business shall be disregarded, notwithstanding that proxies in respect of such vote may have been received by the Corporation. For purposes of this Section 1.2, to be considered a qualified representative of the proposing stockholder, a person must be authorized by a written instrument executed by such stockholder or an electronic transmission delivered by such stockholder to act for such stockholder as proxy at the meeting of stockholders and such person must produce such written instrument or electronic transmission, or a reliable reproduction of the written instrument or electronic transmission, to the presiding officer at the meeting of stockholders.

(4) For purposes of this Bylaw, "**public announcement**" shall mean disclosure in a press release reported by the Dow Jones News Service, Associated Press or comparable national news service or in a document publicly filed by the Corporation with the Securities and Exchange Commission pursuant to Section 13, 14 or 15(d) of the Exchange Act.

(5) Notwithstanding the foregoing provisions of this Bylaw, a stockholder shall also comply with all applicable requirements of state and federal law, including, without limitation, the Exchange Act and the rules and regulations thereunder with respect to the matters set forth in this Bylaw (including, without limitation, Rule 14a-19 under the Exchange Act). Notwithstanding the foregoing provisions of this Bylaw, unless otherwise required by law, (i) no stockholder nominating a person or persons for election to the Board of Directors shall solicit proxies in support of director nominees other than the Corporation's nominees unless such stockholder making a nomination of a person or persons for election to the Board of Directors has complied with Rule 14a-19 under the Exchange Act in connection with the solicitation of such proxies, including the provision to the Corporation of notices required thereunder in a timely manner and (ii) if any stockholder nominating a person or persons for election to the Board of Directors (A) provides notice pursuant to Rule 14a-19(b) under the Exchange Act or includes the information required by Rule 14a-19 in a preliminary or definitive proxy statement previously filed by such stockholder (it being understood that such notice or filing shall be in addition to, and not in lieu of, the notices required under these Bylaws) and (B) subsequently notifies the Corporation that it no longer intends to comply with Rule 14a-19(a)(2) or Rule 14a-19(a)(3) under the Exchange Act, fails to comply with the requirements of Rule 14a-19(a)(2) or Rule 14a-19(a)(3) under the Exchange Act, including the provision to the Corporation of notices required thereunder in a timely manner, or fails to timely provide reasonable evidence sufficient to satisfy the Corporation that such stockholder has met the requirements of Rule 14a-19(a)(3) under the Exchange Act in accordance with the following sentence, then the nomination of each such person or persons shall be disregarded, notwithstanding that proxies or votes in respect of the election of such proposed nominees may have been received by the Corporation (which proxies and votes shall be disregarded). If any stockholder nominating a person or persons for election to the Board of Directors provides notice pursuant to Rule 14a-19(b) under the Exchange Act or includes the information required by Rule 14a-19(b) in a preliminary or definitive proxy statement previously filed by such stockholder, such stockholder shall deliver to the Corporation, no later than five (5) business days prior to the applicable meeting, reasonable evidence that it has met the requirements of Rule 14a-19(a)(3) under the Exchange Act.

(6) Any stockholder directly or indirectly soliciting proxies from other stockholders must use a proxy card color other than white, which shall be reserved for exclusive use by the Corporation.

Section 1.3. <u>Special Meetings</u>. Except as otherwise required by statute and subject to the rights, if any, of the holders of any series of Undesignated Preferred Stock, special meetings of the stockholders of the Corporation may be called only by (i) the Board of Directors acting pursuant to a resolution approved by the affirmative vote of a majority of the Directors then in office, (ii) the Chairperson of the Board (as defined below) or (iii) the Chief Executive Officer of the Corporation. The Board of Directors may postpone or reschedule any previously scheduled special meeting of stockholders. Only those matters set forth in the notice of the special meeting may be considered or acted upon at a special meeting of stockholders of the Corporation. Nominations of persons for election to the Board of Directors of the Corporation and stockholder proposals of other business shall not be brought before a special meeting of stockholders to be considered by the stockholders unless such special meeting is held in lieu of an annual meeting of stockholders in accordance with Section 1.1 of these Bylaws, in which case such special meeting in lieu thereof shall be deemed an Annual Meeting for purposes of these Bylaws and the provisions of Section 1.2 of these Bylaws shall govern such special meeting.

Section 1.4. <u>Notice of Meetings; Adjournments</u>.

(a) A notice of each Annual Meeting stating the hour, date and place, if any, of such Annual Meeting and the means of remote communication, if any, by which stockholders and proxyholders may be deemed to be present in person and vote at such meeting, shall be given not less than ten (10) days nor more than sixty (60) days before the Annual Meeting, to each stockholder entitled to vote thereat by delivering such notice to such stockholder or by mailing it, postage prepaid, addressed to such stockholder at the address of such stockholder as it appears on the Corporation's stock transfer books. Without limiting the manner by which notice may otherwise be given to stockholders, any notice to stockholders may be given by electronic transmission in the manner provided in Section 232 of the DGCL.

(b) Notice of all special meetings of stockholders shall be given in the same manner as provided for Annual Meetings, except that the notice of all special meetings shall state the purpose or purposes for which the meeting has been called.

(c) Notice of an Annual Meeting or special meeting of stockholders need not be given to a stockholder if a waiver of notice is executed, or waiver of notice by electronic transmission is provided, before or after such meeting by such stockholder or if such stockholder attends such meeting, unless such attendance is for the express purpose of objecting at the beginning of the meeting to the transaction of any business because the meeting was not lawfully called or convened.

(d) The Board of Directors may postpone and reschedule any previously scheduled Annual Meeting or special meeting of stockholders and any record date with respect thereto, regardless of whether any notice or public disclosure with respect to any such meeting has been sent or made pursuant to Section 1.2 of these Bylaws or otherwise. In no event shall the public announcement of an adjournment, postponement or rescheduling of any previously scheduled meeting of stockholders commence a new time period for the giving of a stockholder's notice under this Article I of these Bylaws.

(e) When any meeting is convened, the presiding officer may adjourn the meeting if (i) no quorum is present for the transaction of business, (ii) the Board of Directors determines that adjournment is necessary or appropriate to enable the stockholders to consider fully information which the Board of Directors determines has not been made sufficiently or timely available to stockholders, or (iii) the Board of Directors determines that adjournment is otherwise in the best interests of the Corporation. When any Annual Meeting or special meeting of stockholders is adjourned to another hour, date or place, notice need not be given of the adjourned meeting other than an announcement at the meeting at which the adjournment is taken of the hour, date and place, if any, to which the meeting is adjourned and the means of remote communications, if any, by which stockholders and proxyholders may be deemed to be present in person and vote at such adjourned meeting; <u>provided</u>, <u>however</u>, that if the adjournment is for more than thirty (30) days from the meeting date, or if after the adjournment a new record date is fixed for the adjourned meeting, notice of the adjourned meeting and the means of remote communications, if any, by which stockholders and proxyholders may be deemed to be present in person and vote at such adjourned meeting shall be given to each stockholder of record entitled to vote thereat and each stockholder who, by law or under the Certificate of Incorporation of the Corporation (as the same may hereafter be amended and/or restated, the "**Certificate**") or these Bylaws, is entitled to such notice.

Section 1.5. <u>Quorum</u>. The presence, in person or by proxy, at a stockholders meeting of the holders of shares of outstanding capital stock of the Corporation representing a majority of the voting power of all outstanding shares of capital stock of the Corporation entitled to vote at such meeting shall constitute a quorum for the transaction of business at such meeting. If less than a quorum is present at a meeting, the holders of voting stock representing a majority of the voting power present at the meeting or the presiding officer may adjourn the meeting from time to time, and the meeting may be held as adjourned without further notice, except as provided in Section 1.4. At such adjourned meeting at which a quorum is present, any business may be transacted which might have been transacted at the meeting as originally noticed. The stockholders present at a duly constituted meeting may continue to transact business until adjournment, notwithstanding the withdrawal of enough stockholders to leave less than a quorum.

Section 1.6. <u>Voting and Proxies</u>. Stockholders shall have one vote for each share of stock entitled to vote owned by them of record according to the stock ledger of the Corporation as of the record date, unless otherwise provided by law or by the Certificate. Stockholders may vote either (i) in person, (ii) by written proxy or (iii) by a transmission permitted by Section 212 of the DGCL. Any copy, facsimile telecommunication or other reliable reproduction of the writing or transmission permitted by Section 212 of the DGCL may be substituted for or used in lieu of the original writing or transmission for any and all purposes for which the original writing or transmission could be used, provided that such copy, facsimile telecommunication or other reproduction shall be a complete reproduction of the entire original writing or transmission. Proxies shall be filed in accordance with the procedures established for the meeting of stockholders. Except as otherwise limited therein or as otherwise provided by law, proxies authorizing a person to vote at a specific meeting shall entitle the persons authorized thereby to vote at any adjournment of such meeting, but they shall not be valid after final adjournment of such meeting. A proxy with respect to stock held in the name of two or more persons shall be valid if executed by or on behalf of any one of them unless at or prior to the exercise of the proxy the Corporation receives a specific written notice to the contrary from any one of them.

Section 1.7. <u>Action at Meeting</u>. When a quorum is present at any meeting of stockholders, subject to the rights of the holders of one or more series of preferred stock of the Corporation, any matter before any such meeting (other than an election of a director or directors) shall be decided by a majority of the votes properly cast for and against such matter, except where a larger vote is required by law, by the Certificate or by these Bylaws. Any election of directors by stockholders shall be determined by a plurality of the votes properly cast on the election of directors.

Section 1.8. <u>Stockholder Lists</u>. The Secretary or an Assistant Secretary (or the Corporation's transfer agent or other person authorized by these Bylaws or by law) shall prepare and make, at least ten (10) days before every Annual Meeting or special meeting of stockholders, a complete list of the stockholders entitled to vote at the meeting, arranged in alphabetical order, and showing the address of each stockholder and the number of shares registered in the name of each stockholder. The Corporation shall not be required to include electronic mail addresses or other electronic contact information on such list. Such list shall be open to the examination of any stockholder, for any purpose germane to the meeting, for a period of at least ten (10) days ending on the day prior to the meeting date.

Section 1.9. <u>Presiding Officer</u>. The Board of Directors shall designate a representative to preside over all Annual Meetings or special meetings of stockholders; provided that if the Board of Directors does not so designate such a presiding officer, then the Chairperson of the Board of Directors (the "**Chairperson of the Board**"), if one is elected, shall preside over such meetings. If the Board of Directors does not so designate such a presiding officer and there is no Chairperson of the Board or the Chairperson of the Board is unable to so preside or is absent, then the Chief Executive Officer, if one is elected, shall preside over such meetings, provided further that if there is no Chief Executive Officer or the Chief Executive Officer is unable to so preside or is absent, then the President shall preside over such meetings. The presiding officer at any Annual Meeting or special meeting of stockholders shall have the power, among other things, to adjourn such meeting at any time and from time to time, subject to Sections 1.4 and 1.5 of this Article I. The order of business and all other matters of procedure at any meeting of the stockholders shall be determined by the presiding officer.

Section 1.10. <u>Inspectors of Elections</u>. The Corporation shall, in advance of any meeting of stockholders, appoint one or more inspectors to act at the meeting and make a written report thereof. The Corporation may designate one or more persons as alternate inspectors to replace any inspector who fails to act. If no inspector or alternate is able to act at a meeting of stockholders, the presiding officer shall appoint one or more inspectors to act at the meeting. Any inspector may, but need not, be an officer, employee or agent of the Corporation. Each inspector, before entering upon the discharge of his or her duties, shall take and sign an oath faithfully to execute the duties of inspector with strict impartiality and according to the best of his or her ability. The inspectors shall perform such duties as are required by the DGCL, including the counting of all votes and ballots. The inspectors may appoint or retain other persons or entities to assist the inspectors in the performance of the duties of the inspectors. The presiding officer may review all determinations made by the inspectors, and in so doing the presiding officer shall be entitled to exercise his or her sole judgment and discretion and he or she shall not be bound by any determinations made by the inspectors. All determinations by the inspectors and, if applicable, the presiding officer, shall be subject to further review by any court of competent jurisdiction.

ARTICLE II <u>Directors</u>

Section 2.1. <u>Powers</u>. The business and affairs of the Corporation shall be managed by or under the direction of the Board of Directors except as otherwise provided by the Certificate or required by law.

Section 2.2. <u>Number and Terms</u>. The number of directors of the Corporation shall be fixed solely and exclusively by resolution duly adopted from time to time by the Board of Directors. The directors shall hold office in the manner provided in the Certificate.

Section 2.3. <u>Qualification</u>. No director need be a stockholder of the Corporation.

Section 2.4. <u>Vacancies</u>. Vacancies in the Board of Directors shall be filled in the manner provided in the Certificate.

Section 2.5. <u>Removal</u>. Directors may be removed from office only in the manner provided in the Certificate.

Section 2.6. <u>Resignation</u>. A director may resign at any time by giving written notice to the Chairperson of the Board, if one is elected, the Chief Executive Officer, the President or the Secretary. A resignation shall be effective upon receipt, unless the resignation otherwise provides.

Section 2.7. <u>Regular Meetings</u>. The regular annual meeting of the Board of Directors may be held, without notice other than this Section 2.7, on the same date and at the same place as the Annual Meeting following the close of such meeting of stockholders. Other regular meetings of the Board of Directors may be held at such hour, date and place as the Board of Directors may by resolution from time to time determine and publicize by means of reasonable notice given to any director who is not present at the meeting at which such resolution is adopted.

Section 2.8. <u>Special Meetings</u>. Special meetings of the Board of Directors may be called, orally or in writing, by or at the request of a majority of the directors, the Chairperson of the Board, if one is elected, or the President or Chief Executive Officer. The person calling any such special meeting of the Board of Directors may fix the hour, date and place thereof.

Section 2.9. <u>Notice of Meetings</u>. Notice of the hour, date and place of all special meetings of the Board of Directors shall be given to each director by the Secretary or an Assistant Secretary, or in case of the death, absence, incapacity or refusal of such persons, by the Chairperson of the Board, if one is elected, or the President, Chief Executive Officer or such other officer designated by the Chairperson of the Board, if one is elected, or the President or Chief Executive Officer. Notice of any special meeting of the Board of Directors shall be given to each director in person, by telephone, or by electronic mail or other form of electronic communication, sent to his or her business or home address, at least forty-eight (48) hours in advance of the meeting. Such notice shall be deemed to be delivered when hand-delivered to such address, read to such director by telephone, or dispatched or transmitted if sent by electronic mail or other form of electronic communications. A written waiver of notice signed before or after a meeting by a director and filed with the records of the meeting shall be deemed to be equivalent to notice of the meeting. The attendance of a director at a meeting shall constitute a waiver of notice of such meeting, except where a director attends a meeting for the express purpose of objecting at the beginning of the meeting to the transaction of any business because such meeting is not lawfully called or convened. Except as otherwise required by law, by the Certificate or by these Bylaws, neither the business to be transacted at, nor the purpose of, any meeting of the Board of Directors need be specified in the notice or waiver of notice of such meeting.

Section 2.10. <u>Quorum</u>. At any meeting of the Board of Directors, a majority of the total number of directors shall constitute a quorum for the transaction of business, but if less than a quorum is present at a meeting, a majority of the directors present may adjourn the meeting from time to time, and the meeting may be held as adjourned without further notice. Any business which might have been transacted at the meeting as originally noticed may be transacted at such adjourned meeting at which a quorum is present. For purposes of this section, the total number of directors includes any unfilled vacancies on the Board of Directors.

Section 2.11. <u>Action at Meeting</u>. At any meeting of the Board of Directors at which a quorum is present, the vote of a majority of the directors present shall constitute action by the Board of Directors, unless otherwise required by law, by the Certificate or by these Bylaws.

Section 2.12. <u>Action by Consent</u>. Any action required or permitted to be taken at any meeting of the Board of Directors may be taken without a meeting if all members of the Board of Directors consent thereto in writing or by electronic transmission and the writing or writings or electronic transmission or transmissions are filed with the records of the meetings of the Board of Directors. Such filing shall be in paper form if the minutes are maintained in paper form and shall be in electronic form if the minutes are maintained in electronic form. Such consent shall be treated as a resolution of the Board of Directors for all purposes.

Section 2.13. <u>Manner of Participation</u>. Unless otherwise restricted by the Certificate or these Bylaws, members of the Board of Directors, or any committee designated by the Board of Directors, may participate in a meeting of the Board of Directors, or any committee, by means of teleconference, virtual conference or other communications equipment by means of which all persons participating in the meeting can hear each other, and such participation in a meeting pursuant to this Bylaw shall constitute presence in person at the meeting.

Section 2.14. <u>Presiding Director</u>. The Chairperson of the Board shall preside over all meetings of the Board of Directors and the chairperson of each committee of the Board of Directors shall preside over all meetings of the respective committee. If the Chairperson of the Board or chairperson of such committee of the Board of Directors is unable to preside or is absent, the Board of Directors shall designate an alternate representative to preside over a meeting of the Board of Directors, or committee meeting, as applicable.

Section 2.15. <u>Committees</u>. The Board of Directors, by vote of a majority of the directors then in office, may elect one or more committees, including, without limitation, a Compensation Committee, a Nominating & Corporate Governance Committee and an Audit Committee, and may delegate thereto some or all of its powers except those which by law, by the Certificate or by these Bylaws may not be delegated. Except as the Board of Directors may otherwise determine, any such committee may make rules for the conduct of its business, but unless otherwise provided by the Board of Directors or in such rules, its business shall be conducted so far as possible in the same manner as is provided by these Bylaws for the Board of Directors; provided that for the avoidance of doubt, any meeting of a committee of the Board shall follow the notice procedures set forth in Section 2.9. All members of such committees shall hold such offices at the pleasure of the Board of Directors. The Board of Directors may abolish any such committee at any time. Any committee to which the Board of Directors delegates any of its powers or duties shall keep records of its meetings and shall report its action to the Board of Directors.

Section 2.16. <u>Compensation of Directors</u>. Directors shall receive such compensation for their services as shall be determined by a majority of the Board of Directors, or a designated committee thereof, provided that directors who are serving the Corporation as employees and who receive compensation for their services as such, shall not receive any salary or other compensation for their services as directors of the Corporation.

ARTICLE III <u>Officers</u>

Section 3.1. <u>Enumeration</u>. The officers of the Corporation shall consist of a President, a Chief Executive Officer, a Secretary and such other officers, including, without limitation, a Chairperson of the Board of Directors, a Treasurer and one or more Vice Presidents, Assistant Vice Presidents, Assistant Treasurers and Assistant Secretaries, as the Board of Directors may determine.

Section 3.2. <u>Election</u>. The Board of Directors shall elect, from time to time at a regular or special meeting of the Board of Directors, the President, the Chief Executive Officer, and the Secretary. Other officers may be elected by the Board of Directors at any regular or special meeting of the Board of Directors.

Section 3.3. <u>Qualification</u>. No officer need be a stockholder or a director. Any person may occupy more than one office of the Corporation at any time.

Section 3.4. <u>Tenure</u>. Except as otherwise provided by the Certificate or by these Bylaws, each of the officers of the Corporation shall hold office until his or her successor is elected and qualified or until his or her earlier resignation or removal.

Section 3.5. <u>Resignation</u>. Any officer may resign by delivering his or her written resignation to the Corporation addressed to the Board of Directors, the Chief Executive Officer, the President or the Secretary, and such resignation shall be effective upon receipt, unless the resignation otherwise provides.

Section 3.6. <u>Removal</u>. Except as otherwise provided by law, the Board of Directors may remove any officer with or without cause by the affirmative vote of a majority of the directors then in office.

Section 3.7. <u>Absence or Disability</u>. In the event of the absence or disability of any officer, the Board of Directors may designate another officer to act temporarily in place of such absent or disabled officer.

Section 3.8. <u>Vacancies</u>. Any vacancy in any office may be filled for the unexpired portion of the term by the Board of Directors.

Section 3.9. <u>President; Chief Executive Officer.</u> Unless the Board of Directors has designated another person as the corporation's Chief Executive Officer, the President shall be the Chief Executive Officer of the corporation. The Chief Executive Officer shall have general charge and supervision of the business of the corporation subject to the direction of the Board of Directors, and shall perform all duties and have all powers that are commonly incident to the office of the chief executive or that are delegated to such officer by the Board of Directors. The President shall perform such other duties and shall have such other powers as the Board of Directors or the Chief Executive Officer (if the President is not the Chief Executive Officer) may from time to time prescribe. In the event of the absence, inability or refusal to act of the Chief Executive Officer or the President (if the President is not the Chief Executive Officer), the Vice President (or if there shall be more than one, the Vice Presidents in the order determined by the Board of Directors) shall perform the duties of the Chief Executive Officer and when so performing such duties shall have all the powers of and be subject to all the restrictions upon the Chief Executive Officer.

Section 3.10. <u>Chairperson of the Board</u>. Subject to the provisions of Section 2.14 of these Bylaws, the Chairperson of the Board shall have the power to preside at all meetings of the Board of Directors and shall have such other powers and duties as provided in these Bylaws and as the Board of Directors may from time to time prescribe. The Chairperson of the Board may or may not be an officer of the Corporation.

Section 3.11. <u>Vice Presidents and Assistant Vice Presidents</u>. Any Vice President and any Assistant Vice President shall have such powers and shall perform such duties as the Board of Directors or the Chief Executive Officer may from time to time designate.

Section 3.12. <u>Treasurer and Assistant Treasurers</u>. The Treasurer shall, subject to the direction of the Board of Directors and except as the Board of Directors or the Chief Executive Officer may otherwise provide, have general charge of the financial affairs of the Corporation and shall cause to be kept accurate books of account. The Treasurer shall have custody of all funds, securities, and valuable documents of the Corporation. He or she shall have such other duties and powers as may be designated from time to time by the Board of Directors or the Chief Executive Officer. Any Assistant Treasurer shall have such powers and perform such duties as the Board of Directors or the Chief Executive Officer may from time to time designate.

Section 3.13. <u>Secretary and Assistant Secretaries</u>. The Secretary shall record all the proceedings of the meetings of the stockholders and the Board of Directors (including committees of the Board of Directors) in books kept for that purpose. In his or her absence from any such meeting, a temporary secretary chosen at the meeting shall record the proceedings thereof. The Secretary shall have charge of the stock ledger (which may, however, be kept by any transfer or other agent of the Corporation). The Secretary shall have custody of the seal of the Corporation, and the Secretary, or an Assistant Secretary shall have authority to affix it to any instrument requiring it, and, when so affixed, the seal may be attested by his or her signature or that of an Assistant Secretary. The Secretary shall have such other duties and powers as may be designated from time to time by the Board of Directors or the Chief Executive Officer. In the absence of the Secretary, any Assistant Secretary may perform his or her duties and responsibilities. Any Assistant Secretary shall have such powers and perform such duties as the Board of Directors or the Chief Executive Officer may from time to time designate.

Section 3.14. <u>Other Powers and Duties</u>. Subject to these Bylaws and to such limitations as the Board of Directors may from time to time prescribe, the officers of the Corporation shall each have such powers and duties as generally pertain to their respective offices, as well as such powers and duties as from time to time may be conferred by the Board of Directors or the Chief Executive Officer.

ARTICLE IV <u>Capital Stock</u>

Section 4.1. <u>Certificates of Stock</u>. Each stockholder shall be entitled to a certificate of the capital stock of the Corporation in such form as may from time to time be prescribed by the Board of Directors. Such certificate shall be signed by any two authorized officers of the Corporation. The Corporation's seal and the signatures by the Corporation's officers, the transfer agent or the registrar may be facsimiles. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed on such certificate shall have ceased to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the Corporation with the same effect as if he or she were such officer, transfer agent or registrar at the time of its issue. Every certificate for shares of stock which are subject to any restriction on transfer and every certificate issued when the Corporation is authorized to issue more than one class or series of stock shall contain such legend with respect thereto as is required by law. Notwithstanding anything to the contrary provided in these Bylaws, the Board of Directors may provide by resolution or resolutions that some or all of any or all classes or series of its stock shall be uncertificated shares (except that the foregoing shall not apply to shares represented by a certificate until such certificate is surrendered to the Corporation), and by the approval and adoption of these Bylaws the Board of Directors has determined that all classes or series of the Corporation's stock may be uncertificated, whether upon original issuance, re-issuance, or subsequent transfer.

Section 4.2. <u>Transfers</u>. Subject to any restrictions on transfer and unless otherwise provided by the Board of Directors, shares of stock that are represented by a certificate may be transferred on the books of the Corporation by the surrender to the Corporation or its transfer agent of the certificate theretofore properly endorsed or accompanied by a written assignment or power of attorney properly executed, with transfer stamps (if necessary) affixed, and with such proof of the authenticity of signature as the Corporation or its transfer agent may reasonably require. Shares of stock that are not represented by a certificate may be transferred on the books of the Corporation by submitting to the Corporation or its transfer agent such evidence of transfer and following such other procedures as the Corporation or its transfer agent may require.

Section 4.3. <u>Record Holders</u>. Except as may otherwise be required by law, by the Certificate or by these Bylaws, the Corporation shall be entitled to treat the record holder of stock as shown on its books as the owner of such stock for all purposes, including the payment of dividends and the right to vote with respect thereto, regardless of any transfer, pledge or other disposition of such stock, until the shares have been transferred on the books of the Corporation in accordance with the requirements of these Bylaws.

Section 4.4. <u>Record Date</u>. In order that the Corporation may determine the stockholders entitled to notice of or to vote at any meeting of stockholders or any adjournment thereof or entitled to receive payment of any dividend or other distribution or allotment of any rights, or entitled to exercise any rights in respect of any change, conversion or exchange of stock or for the purpose of any other lawful action, the Board of Directors may fix a record date, which record date shall not precede the date upon which the resolution fixing the record date is adopted by the Board of Directors, and which record date: (a) in the case of determination of stockholders entitled to vote at any meeting of stockholders, shall, unless otherwise required by law, not be more than sixty (60) nor less than ten (10) days before the date of such meeting and (b) in the case of any other action, shall not be more than sixty (60) days prior to such other action. If no record date is fixed: (i) the record date for determining stockholders entitled to notice of or to vote at a meeting of stockholders shall be at the close of business on the day next preceding the day on which notice is given, or, if notice is waived, at the close of business on the day next preceding the day on which the meeting is held; and (ii) the record date for determining stockholders for any other purpose shall be at the close of business on the day on which the Board of Directors adopts the resolution relating thereto.

Section 4.5. <u>Replacement of Certificates</u>. In case of the alleged loss, destruction or mutilation of a certificate of stock of the Corporation, a duplicate certificate may be issued in place thereof, upon such terms as the Board of Directors may prescribe.

ARTICLE V <u>Indemnification</u>

Section 5.1. <u>Definitions</u>. For purposes of this Article:

(a) "**Corporate Status**" describes the status of a person who is serving or has served (i) as a Director of the Corporation, (ii) as an Officer of the Corporation, (iii) as a Non-Officer Employee of the Corporation, or (iv) as a director, partner, trustee, officer, employee or agent of any other corporation, partnership, limited liability company, joint venture, trust, employee benefit plan, foundation, association, organization or other legal entity which such person is or was serving at the request of the Corporation. For purposes of this Section 5.1(a), a Director, Officer or Non-Officer Employee of the Corporation who is serving or has served as a director, partner, trustee, officer, employee or agent of a Subsidiary shall be deemed to be serving at the request of the Corporation. Notwithstanding the foregoing, "**Corporate Status**" shall not include the status of a person who is serving or has served as a director, officer, employee or agent of a constituent corporation absorbed in a merger or consolidation transaction with the Corporation with respect to such person's activities prior to said transaction, unless specifically authorized by the Board of Directors or the stockholders of the Corporation;

(b) "**Director**" means any person who serves or has served the Corporation as a director on the Board of Directors;

(c) "**Disinterested Director**" means, with respect to each Proceeding in respect of which indemnification is sought hereunder, a Director of the Corporation who is not and was not a party to such Proceeding;

(d) "**Expenses**" means all attorneys' fees, retainers, court costs, transcript costs, fees of expert witnesses, private investigators and professional advisors (including, without limitation, accountants and investment bankers), travel expenses, duplicating costs, printing and binding costs, costs of preparation of demonstrative evidence and other courtroom presentation aids and devices, costs incurred in connection with document review, organization, imaging and computerization, telephone charges, postage, delivery service fees, and all other disbursements, costs or expenses of the type customarily incurred in connection with prosecuting, defending, preparing to prosecute or defend, investigating, being or preparing to be a witness in, settling or otherwise participating in, a Proceeding;

(e) "**Liabilities**" means judgments, damages, liabilities, losses, penalties, excise taxes, fines and amounts paid in settlement;

(f) "**Non-Officer Employee**" means any person who serves or has served as an employee or agent of the Corporation, but who is not or was not a Director or Officer;

(g) "**Officer**" means any person who serves or has served the Corporation as an officer of the Corporation appointed by the Board of Directors;

(h) "**Proceeding**" means any threatened, pending or completed action, suit, arbitration, alternate dispute resolution mechanism, inquiry, investigation, administrative hearing or other proceeding, whether civil, criminal, administrative, arbitrative or investigative; and

(i) "**Subsidiary**" shall mean any corporation, partnership, limited liability company, joint venture, trust or other entity of which the Corporation owns (either directly or through or together with another Subsidiary of the Corporation) either (i) a general partner, managing member or other similar interest or (ii) (A) fifty percent (50%) or more of the voting power of the voting capital equity interests of such corporation, partnership, limited liability company, joint venture or other entity, or (B) fifty percent (50%) or more of the outstanding voting capital stock or other voting equity interests of such corporation, partnership, limited liability company, joint venture or other entity.

Section 5.2. <u>Indemnification of Directors and Officers</u>.

(a) Subject to the operation of Section 5.4 of these Bylaws, each Director and Officer shall be indemnified and held harmless by the Corporation to the fullest extent authorized by the DGCL, as the same exists or may hereafter be amended (but, in the case of any such amendment, only to the extent that such amendment permits the Corporation to provide broader indemnification rights than such law permitted the Corporation to provide prior to such amendment), and to the extent authorized in this Section 5.2.

(1) <u>Actions, Suits and Proceedings Other than By or In the Right of the Corporation</u>. Each Director and Officer shall be indemnified and held harmless by the Corporation against any and all Expenses and Liabilities that are incurred or paid by such Director or Officer or on such Director's or Officer's behalf in connection with any Proceeding or any claim, issue or matter therein (other than an action by or in the right of the Corporation), which such Director or Officer is, or is threatened to be made, a party to or participant in by reason of such Director's or Officer's Corporate Status, if such Director or Officer acted in good faith and in a manner such Director or Officer reasonably believed to be in or not opposed to the best interests of the Corporation and, with respect to any criminal proceeding, had no reasonable cause to believe his or her conduct was unlawful.

(2) <u>Actions, Suits and Proceedings By or In the Right of the Corporation</u>. Each Director and Officer shall be indemnified and held harmless by the Corporation against any and all Expenses that are incurred by such Director or Officer or on such Director's or Officer's behalf in connection with any Proceeding or any claim, issue or matter therein by or in the right of the Corporation, which such Director or Officer is, or is threatened to be made, a party to or participant in by reason of such Director's or Officer's Corporate Status, if such Director or Officer acted in good faith and in a manner such Director or Officer reasonably believed to be in or not opposed to the best interests of the Corporation; <u>provided</u>, <u>however</u>, that no indemnification shall be made under this Section 5.2(a)(2) in respect of any claim, issue or matter as to which such Director or Officer shall have been finally adjudged by a court of competent jurisdiction to be liable to the Corporation, unless, and only to the extent that, the Court of Chancery or another court in which such Proceeding was brought shall determine upon application that, despite adjudication of liability, but in view of all the circumstances of the case, such Director or Officer is fairly and reasonably entitled to indemnification for such Expenses that such court deems proper.

(3) <u>Survival of Rights</u>. The rights of indemnification provided by this Section 5.2 shall continue as to a Director or Officer after he or she has ceased to be a Director or Officer and shall inure to the benefit of his or her heirs, executors, administrators and personal representatives.

(4) <u>Actions by Directors or Officers</u>. Notwithstanding the foregoing, the Corporation shall indemnify any Director or Officer seeking indemnification in connection with a Proceeding initiated by such Director or Officer only if such Proceeding (including any parts of such Proceeding not initiated by such Director or Officer) was authorized in advance by the Board of Directors of the Corporation, unless such Proceeding was brought to enforce such Officer's or Director's rights to indemnification or, in the case of Directors, advancement of Expenses under these Bylaws in accordance with the provisions set forth herein.

Section 5.3. <u>Indemnification of Non-Officer Employees</u>. Subject to the operation of Section 5.4 of these Bylaws, each Non-Officer Employee may, in the discretion of the Board of Directors, be indemnified by the Corporation to the fullest extent authorized by the DGCL, as the same exists or may hereafter be amended, against any or all Expenses and Liabilities that are incurred by such Non-Officer Employee or on such Non-Officer Employee's behalf in connection with any threatened, pending or completed Proceeding, or any claim, issue or matter therein, which such Non-Officer Employee is, or is threatened to be made, a party to or participant in by reason of such Non-Officer Employee's Corporate Status, if such Non-Officer Employee acted in good faith and in a manner such Non-Officer Employee reasonably believed to be in or not opposed to the best interests of the Corporation and, with respect to any criminal proceeding, had no reasonable cause to believe his or her conduct was unlawful. The rights of indemnification provided by this Section 5.3 shall exist as to a Non-Officer Employee after he or she has ceased to be a Non-Officer Employee and shall inure to the benefit of his or her heirs, personal representatives, executors and administrators. Notwithstanding the foregoing, the Corporation may indemnify any Non-Officer Employee seeking indemnification in connection with a Proceeding initiated by such Non-Officer Employee only if such Proceeding was authorized in advance by the Board of Directors.

Section 5.4. <u>Determination</u>. Unless ordered by a court, no indemnification shall be provided pursuant to this Article V to a Director, to an Officer or to a Non-Officer Employee unless a determination shall have been made that such person acted in good faith and in a manner such person reasonably believed to be in or not opposed to the best interests of the Corporation and, with respect to any criminal Proceeding, such person had no reasonable cause to believe his or her conduct was unlawful. Such determination shall be made by (a) a majority vote of the Disinterested Directors, even though less than a quorum of the Board of Directors, (b) a committee comprised of Disinterested Directors, such committee having been designated by a majority vote of the Disinterested Directors (even though less than a quorum), (c) if there are no such Disinterested Directors, or if a majority of Disinterested Directors so directs, by independent legal counsel in a written opinion, or (d) by the stockholders of the Corporation.

Section 5.5. <u>Advancement of Expenses to Directors Prior to Final Disposition</u>.

(a) The Corporation shall advance all Expenses incurred by or on behalf of any Director in connection with any Proceeding in which such Director is involved by reason of such Director's Corporate Status within thirty (30) days after the receipt by the Corporation of a written statement from such Director requesting such advance or advances from time to time, whether prior to or after final disposition of such Proceeding. Such statement or statements shall reasonably evidence the Expenses incurred by such Director and shall be preceded or accompanied by an undertaking by or on behalf of such Director to repay any Expenses so advanced if it shall ultimately be determined that such Director is not entitled to be indemnified against such Expenses. Notwithstanding the foregoing, the Corporation shall advance all Expenses incurred by or on behalf of any Director seeking advancement of expenses hereunder in connection with a Proceeding initiated by such Director only if such Proceeding (including any parts of such Proceeding not initiated by such Director) was (i) authorized by the Board of Directors or (ii) brought to enforce such Director's rights to indemnification or advancement of Expenses under these Bylaws.

(b) If a claim for advancement of Expenses hereunder by a Director is not paid in full by the Corporation within thirty (30) days after receipt by the Corporation of documentation of Expenses and the required undertaking, such Director may at any time thereafter bring suit against the Corporation to recover the unpaid amount of the claim and if successful in whole or in part, such Director shall also be entitled to be paid the expenses of prosecuting such claim. The failure of the Corporation (including its Board of Directors or any committee thereof, independent legal counsel, or stockholders) to make a determination concerning the permissibility of such advancement of Expenses under this Article V shall not be a defense to an action brought by a Director for recovery of the unpaid amount of an advancement claim and shall not create a presumption that such advancement is not permissible. The burden of proving that a Director is not entitled to an advancement of expenses shall be on the Corporation.

(c) In any suit brought by the Corporation to recover an advancement of Expenses pursuant to the terms of an undertaking, the Corporation shall be entitled to recover such Expenses upon a final adjudication that the Director has not met any applicable standard for indemnification set forth in the DGCL.

Section 5.6. <u>Advancement of Expenses to Officers and Non-Officer Employees Prior to Final Disposition</u>.

(a) The Corporation may, at the discretion of the Board of Directors, advance any or all Expenses incurred by or on behalf of any Officer or any Non-Officer Employee in connection with any Proceeding in which such person is involved by reason of his or her Corporate Status as an Officer or Non-Officer Employee upon the receipt by the Corporation of a statement or statements from such Officer or Non-Officer Employee requesting such advance or advances from time to time, whether prior to or after final disposition of such Proceeding. Such statement or statements shall reasonably evidence the Expenses incurred by such Officer or Non-Officer Employee and shall be preceded or accompanied by an undertaking by or on behalf of such person to repay any Expenses so advanced if it shall ultimately be determined that such Officer or Non-Officer Employee is not entitled to be indemnified against such Expenses.

(b) In any suit brought by the Corporation to recover an advancement of expenses pursuant to the terms of an undertaking, the Corporation shall be entitled to recover such expenses upon a final adjudication that the Officer or Non-Officer Employee has not met any applicable standard for indemnification set forth in the DGCL.

Section 5.7. <u>Contractual Nature of Rights</u>.

(a) The provisions of this Article V shall be deemed to be a contract between the Corporation and each Director and Officer entitled to the benefits hereof at any time while this Article V is in effect, in consideration of such person's past or current and any future performance of services for the Corporation. Neither amendment, repeal or modification of any provision of this Article V nor the adoption of any provision of the Certificate of Incorporation inconsistent with this Article V shall eliminate or reduce any right conferred by this Article V in respect of any act or omission occurring, or any cause of action or claim that accrues or arises or any state of facts existing, at the time of or before such amendment, repeal, modification or adoption of an inconsistent provision (even in the case of a proceeding based on such a state of facts that is commenced after such time), and all rights to indemnification and advancement of Expenses granted herein or arising out of any act or omission shall vest at the time of the act or omission in question, regardless of when or if any proceeding with respect to such act or omission is commenced. The rights to indemnification and to advancement of expenses provided by, or granted pursuant to, this Article V shall continue notwithstanding that the person has ceased to be a Director or Officer of the Corporation and shall inure to the benefit of the estate, heirs, executors, administrators, legatees and distributes of such person.

(b) If a claim for indemnification hereunder by a Director or Officer is not paid in full by the Corporation within sixty (60) days after receipt by the Corporation of a written claim for indemnification, such Director or Officer may at any time thereafter bring suit against the Corporation to recover the unpaid amount of the claim, and if successful in whole or in part, such Director or Officer shall also be entitled to be paid the expenses of prosecuting such claim. The failure of the Corporation (including its Board of Directors or any committee thereof, independent legal counsel, or stockholders) to make a determination concerning the permissibility of such indemnification under this Article V shall not be a defense to an action brought by a Director or Officer for recovery of the unpaid amount of an indemnification claim and shall not create a presumption that such indemnification is not permissible. The burden of proving that a Director or Officer is not entitled to indemnification shall be on the Corporation.

(c) In any suit brought by a Director or Officer to enforce a right to indemnification hereunder, it shall be a defense that such Director or Officer has not met any applicable standard for indemnification set forth in the DGCL.

Section 5.8. <u>Non-Exclusivity of Rights</u>. The rights to indemnification and to advancement of Expenses set forth in this Article V shall not be exclusive of any other right which any Director, Officer, or Non-Officer Employee may have or hereafter acquire under any statute, provision of the Certificate or these Bylaws, agreement, vote of stockholders or Disinterested Directors or otherwise.

Section 5.9. <u>Insurance</u>. The Corporation may maintain insurance, at its expense, to protect itself and any Director, Officer or Non-Officer Employee against any liability of any character asserted against or incurred by the Corporation or any such Director, Officer or Non-Officer Employee, or arising out of any such person's Corporate Status, whether or not the Corporation would have the power to indemnify such person against such liability under the DGCL or the provisions of this Article V.

Section 5.10. <u>Other Indemnification</u>. The Corporation's obligation, if any, to indemnify or provide advancement of Expenses to any person under this Article V as a result of such person serving, at the request of the Corporation, as a director, partner, trustee, officer, employee or agent of another corporation, partnership, joint venture, trust, employee benefit plan or other enterprise shall be reduced by any amount such person may collect as indemnification or advancement of Expenses from such other corporation, partnership, joint venture, trust, employee benefit plan or enterprise (the "**Primary Indemnitor**"). Any indemnification or advancement of Expenses under this Article V owed by the Corporation as a result of a person serving, at the request of the Corporation, as a director, partner, trustee, officer, employee or agent of another corporation, partnership, joint venture, trust, employee benefit plan or other enterprise shall only be in excess of, and shall be secondary to, the indemnification or advancement of Expenses available from the applicable Primary Indemnitor(s) and any applicable insurance policies.

ARTICLE VI <u>Miscellaneous Provisions</u>

Section 6.1. <u>Fiscal Year</u>. The fiscal year of the Corporation shall be determined by the Board of Directors.

Section 6.2. <u>Seal</u>. The Board of Directors shall have power to adopt and alter the seal of the Corporation.

Section 6.3. <u>Execution of Instruments</u>. All deeds, leases, transfers, contracts, bonds, notes and other obligations to be entered into by the Corporation in the ordinary course of its business without director action may be executed on behalf of the Corporation by the Chairperson of the Board, if one is elected, the Chief Executive Officer, the President or the Treasurer or any other officer, employee or agent of the Corporation as the Board of Directors or a committee of the Board of Directors may authorize.

Section 6.4. <u>Voting of Securities</u>. Unless the Board of Directors otherwise provides, the Chairperson of the Board, if one is elected, the Chief Executive Officer, the President or the Treasurer may waive notice of and act on behalf of the Corporation, or appoint another person or persons to act as proxy or attorney in fact for the Corporation with or without discretionary power and/or power of substitution, at any meeting of stockholders or shareholders of any other corporation or organization, any of whose securities are held by the Corporation.

Section 6.5. <u>Resident Agent</u>. The Board of Directors may appoint a resident agent upon whom legal process may be served in any action or proceeding against the Corporation.

Section 6.6. <u>Corporate Records</u>. The original or attested copies of the Certificate, Bylaws and records of all meetings of the incorporators, stockholders and the Board of Directors and the stock transfer books, which shall contain the names of all stockholders, their record addresses and the amount of stock held by each, may be kept outside the State of Delaware and shall be kept at the principal office of the Corporation, at an office of its counsel, at an office of its transfer agent or at such other place or places as may be designated from time to time by the Board of Directors.

Section 6.7. <u>Certificate</u>. All references in these Bylaws to the Certificate shall be deemed to refer to the Amended and Restated Certificate of Incorporation of the Corporation, as amended and/or restated and in effect from time to time.

Section 6.9. <u>Federal Forum Selection</u>. Unless the Corporation consents in writing to the selection of an alternative forum, to the fullest extent permitted by applicable law, the federal district courts of the United States of America shall be the exclusive forum for the resolution of any complaint asserting a cause of action arising under the Securities Act, including all causes of action asserted against any defendant named in such complaint. For the avoidance of doubt, this provision is intended to benefit and may be enforced by the Corporation, its officers and directors, the underwriters for any offering giving rise to such complaint, and any other professional entity whose profession gives authority to a statement made by that person or entity and who has prepared or certified any part of the documents underlying the offering.

Section 6.10. <u>Acknowledgement; Relief</u>. Any person or entity holding, owning, or otherwise acquiring any interest in any securities of the Corporation shall be deemed to have notice of and consented to the provisions of Sections 6.8 and 6.9 of these Bylaws. Failure to enforce the foregoing provisions would cause the Corporation irreparable harm, and the Corporation shall be entitled to equitable relief, including injunctive relief and specific performance, to enforce such provisions.

Section 6.11. <u>Amendment of Bylaws</u>.

(a) <u>Amendment by Directors</u>. Except as provided otherwise by law, these Bylaws may be amended or repealed by the Board of Directors by the affirmative vote of a majority of the directors then in office.

(b) <u>Amendment by Stockholders</u>. These Bylaws may be amended or repealed at any Annual Meeting, or special meeting of stockholders called for such purpose in accordance with these Bylaws, by the affirmative vote of at least sixty-six and two thirds percent (66 2/3%) of the outstanding shares entitled to vote on such amendment or repeal, voting together as a single class; <u>provided</u>, <u>however</u>, that if the Board of Directors recommends that stockholders approve such amendment or repeal at such meeting of stockholders, such amendment or repeal shall only require the affirmative vote of the majority of the outstanding shares entitled to vote on such amendment or repeal, voting together as a single class. Notwithstanding the foregoing, stockholder approval shall not be required unless mandated by the Certificate, these Bylaws, or other applicable law.

Section 6.12. <u>Notices</u>. If mailed, notice to stockholders shall be deemed given when deposited in the mail, postage prepaid, directed to the stockholder at such stockholder's address as it appears on the records of the Corporation. Without limiting the manner by which notice otherwise may be given to stockholders, any notice to stockholders may be given by electronic transmission in the manner provided in Section 232 of the DGCL.

Section 6.13. <u>Meeting Attendance via Remote Communication Equipment</u>. If authorized by the Board of Directors in its sole discretion, and subject to such guidelines and procedures as the Board may adopt, stockholders entitled to vote at an Annual Meeting or special meeting of stockholders and proxy holders not physically present at an Annual Meeting or special meeting of stockholders may, by means of remote communication:

(a) participate in a meeting of stockholders; and

(b) be deemed present in person and vote at a meeting of stockholders, whether such meeting is to be held at a designated place or solely by means of remote communication, provided that (A) the Corporation shall implement reasonable measures to verify that each person deemed present and permitted to vote at the meeting by means of remote communication is a stockholder or proxy holder, (B) the Corporation shall implement reasonable measures to provide such stockholders and proxy holders a reasonable opportunity to participate in the meeting and to vote on matters submitted to the stockholders, including an opportunity to read or hear the proceedings of the meeting substantially concurrently with such proceedings, and (C) if any stockholder or proxy holder votes or takes other action at the meeting by means of remote communication, a record of such votes or other action shall be maintained by the Corporation.

Section 6.14. <u>Waivers</u>. A written waiver of any notice, signed by a stockholder or director, or waiver by electronic transmission by such person, whether given before or after the time of the event for which notice is to be given, shall be deemed equivalent to the notice required to be given to such person. Neither the business to be transacted at, nor the purpose of, any meeting need be specified in such a waiver.

Adopted [ ______ ], 202[__] and effective as of [ ______ ], 202[__].

**Annex E**

**KEY MINING HOLDINGS CORP.**

**OMNIBUS INCENTIVE COMPENSATION PLAN**

**Article 1 Effective Date, Objectives and Duration**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <u>Adoption of the Plan</u>. The Board of Directors of Key Mining Holdings Corp., a Delaware corporation (the "<u>Company</u>"), adopted the Key Mining Holdings Corp. Omnibus Incentive Compensation Plan (the "<u>Plan</u>") on [________], 2026 (the "<u>Effective Date</u>"), subject to approval by the stockholders of the Company within twelve (12) months after the Board's adoption of the Plan. Awards, other than Restricted Shares and other Awards with respect to which Shares are issued at grant, may be granted on and after the Effective Date; but, no such Awards may be exercised, vested, paid or otherwise settled, or any Shares issued with respect thereto, unless and until the stockholders of the Company approve the Plan within the twelve (12) months after the Board's adoption of the Plan. Restricted Shares and other Awards with respect to which Shares are issued at grant may only be granted if and after the stockholders of the Company approve the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <u>Objective of the Plan</u>. The Plan is intended to attract and retain highly qualified persons to serve as employees, consultants and non-employee directors and promote ownership by such employees, consultants and non-employee directors of a greater proprietary interest in the Company, thereby aligning their interests more closely with the interests of the Company's stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 <u>Duration of the Plan</u>. The Plan commenced on the date of adoption of the Plan by the Board, subject to approval by the stockholders of the Company within the twelve (12) months after the Board's adoption of the Plan. If the stockholders of the Company so approve the Plan, the Plan shall remain in effect, subject to the right of the Board to amend or terminate the Plan at any time pursuant to Article 17 hereof, until the earlier of 11:59 p.m. (ET) on the day immediately preceding the tenth (10<sup>th</sup>) anniversary of the Effective Date, or the date all Shares subject to the Plan have been issued and the restrictions on all Restricted Shares granted under the Plan have lapsed, according to the Plan's provisions.

**Article 2 Definitions**

Whenever used in the Plan, the following terms shall have the meanings set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 "<u>409A Award</u>" has the meaning set forth in Section 15.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 "<u>5% Exception Limit</u>" has the meaning set forth in Section 5.3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 "<u>$100,000 Limit</u>" has the meaning set forth in Section 6.4(d).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 "<u>Acquired Entity</u>" has the meaning set forth in Section 5.6(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 "<u>Acquired Entity Awards</u>" has the meaning set forth in Section 5.6(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 "<u>Affiliate</u>" means any corporation, trade or business or other entity, including but not limited to partnerships, limited liability companies and joint ventures, directly or indirectly controlling, controlled by or under common control with the Company, within the meaning of Section 405 of the Securities Act. Affiliate includes any corporation, trade or business or other entity that becomes such on or after the Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 "<u>Applicable Law</u>" means U.S. federal, state and local laws applicable to the Company, any legal or regulatory requirement relating to the Plan, Awards and/or Shares under applicable U.S. federal, state and local laws, the requirements of Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted, the Code, and the applicable laws, rules, regulations and requirements of any other country or jurisdiction where Awards are or are to be granted, exercised, vested or settled, as such laws, rules, regulations and requirements shall be in place from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 "<u>Award</u>" means Options (including Non-Qualified Options and Incentive Stock Options), SARs, Restricted Shares, Performance Units (which may be paid in cash), Performance Shares, Deferred Stock, Restricted Stock Units, Dividend Equivalents and Other Stock-Based Awards granted under the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 "<u>Award Agreement</u>" means a written agreement entered into by the Company and a Grantee setting forth the terms and provisions applicable to an Award granted under this Plan, including any amendment or modification thereof. The Committee may provide for the use of electronic, internet or other non-paper Award Agreements and the use of electronic, internet or other non-paper means for the acceptance thereof and actions thereunder by the Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 "<u>Beneficiary</u>" means one or more persons or entities that become entitled to receive any amount payable under this Plan after the Grantee's death. The Grantee's Beneficiary is the Grantee's surviving spouse, unless the Grantee designates one or more persons or entities to be the Grantee's Beneficiary. The Grantee may make, change or revoke a Beneficiary designation at any time before his or her death without the consent of the Grantee's spouse or anyone the Grantee previously named as a Beneficiary, and the Grantee may designate primary and secondary Beneficiaries. A Beneficiary designation must comply with procedures established by the Committee and must be received by the Committee before the Grantee's death. If the Grantee dies without a valid Beneficiary designation (as determined by the Committee), and the Grantee has no surviving spouse, the Beneficiary shall be the Grantee's estate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 "<u>Board</u>" means the Board of Directors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 "<u>Business Combination</u>" has the meaning set forth in Section 2.17(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.13 "<u>Bylaws</u>" means the Company's bylaws, as amended and/or restated from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.14 "<u>Cause</u>" shall have the same definition as under any employment or service agreement between the Company or any Affiliate and the Grantee or, if no such employment or service agreement exists or if such employment or service agreement does not contain any such definition or words of similar import, "Cause" means, except as otherwise set forth in the Award Agreement, (i) the Grantee's act or failure to act amounting to gross negligence or willful misconduct to the detriment of the Company or any Affiliate; (ii) the Grantee's dishonesty, fraud, theft or embezzlement of funds or properties in the course of Grantee's employment; (iii) the Grantee's commission of, indictment for, or pleading guilty or confessing to any felony; (iv) the Grantee's gross neglect of, or prolonged absence from (other than due to Disability and without the written consent of the Company or an Affiliate), Grantee's duties, (v) the Grantee's refusal to comply with any lawful directive or policy of the Company or any Affiliate, which refusal is not cured by the Grantee within ten (10) days after written notice from the Company or an Affiliate, (vi) a material breach by the Grantee of any fiduciary duty owed to the Company or any Affiliate, (vii) the Grantee engaging in any activity that is in conflict with or adverse to the reputation, business or other interests of the Company or any Affiliate or that is reasonably determined to be detrimental to the reputation, business or other interests of the Company or any Affiliate, or (viii) the Grantee's breach of any restrictive covenant or other agreement with the Company or any Affiliate, including but not limited to, confidentiality covenants, covenants not to compete, non-solicitation covenants and non-disclosure covenants. For purposes of the Plan, the Grantee's resignation without the Company's or an Affiliate's written consent in anticipation of termination of employment for Cause shall constitute a termination of employment for Cause. The determination of "Cause" shall be made by the Committee, and its determination shall be final, binding and conclusive on the Company, any Affiliate and each Grantee. Without in any way limiting the effect of the foregoing, for purposes of the Plan and an Award, a Participant's employment or service shall be deemed to have terminated for Cause if, after the Participant's employment or service has terminated, facts and circumstances are discovered that would have justified, in the opinion of the Committee, a termination for Cause

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.15 "<u>CEO</u>" means the Chief Executive Officer of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.16 "<u>Certificate of Incorporation</u>" means the Company's certificate of incorporation, as amended and/or restated from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.17 "<u>Change in Control</u>" shall be deemed to have occurred upon the first occurrence of an event set forth in any one of the following paragraphs:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The accumulation in any number of related or unrelated transactions (other than an offering of Shares to the general public through a registration statement filed with the Securities and Exchange Commission) by any Person of beneficial ownership (as such term is used in Sections 13(d) and 14(d)(2) of the Exchange Act) of more than fifty percent (50%) of the combined voting power of the Company's voting stock; provided that, for purposes of this subsection (a), a Change in Control will not be deemed to have occurred if the accumulation of more than fifty percent (50%) of the combined voting power of the Company's voting stock results from any acquisition of voting stock (i) by the Company or any Affiliate, (ii) by any employee benefit plan (or related trust) sponsored or maintained by the Company or any Affiliate, (iii) by any Person that, prior to the transaction, directly or indirectly, controls, is controlled by, or is under common control with, the Company, or (iv) by any Person pursuant to a merger, consolidation or reorganization involving the Company (a "<u>Business Combination</u>") that would not cause a Change in Control under subsection (b) below; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Consummation of a Business Combination, unless, immediately following that Business Combination, (i) all or substantially all of the Persons who were the beneficial owners of voting stock of the Company immediately prior to that Business Combination beneficially own, directly or indirectly, more than fifty percent (50%) of the combined voting power of the Company's voting stock resulting from that Business Combination (including, without limitation, an entity that as a result of that transaction owns the Company or all or substantially all of the Company's assets, either directly or through one or more subsidiaries) in substantially the same proportions relative to each other as their ownership, immediately prior to that Business Combination, of the voting stock of the Company and (ii) no Person has beneficial ownership of more than fifty percent (50%) of the combined voting power of the Company's voting stock (including any entity that as the result of that transaction owns the Company or all or substantially all of, the Company's assets either directly or through one or more subsidiaries); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) During any twelve (12)-month period, Incumbent Board Members cease to constitute a majority of the Board; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) A sale or other disposition of all or substantially all of the assets of the Company, except pursuant to a Business Combination that would not cause a Change in Control under subsection (b) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) A complete liquidation or dissolution of the Company, except pursuant to a Business Combination that would not cause a Change in Control under subsection (b) above.

Notwithstanding the foregoing, in the case of any Award that constitutes deferred compensation within the meaning of Section 409A of the Code, there shall not be a Change in Control unless there is a change in the ownership or effective control of the Company, or in a substantial portion of the assets of the Company, within the meaning of Section 409A of the Code where necessary for such Award to comply with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.18 "<u>Code</u>" means the Internal Revenue Code of 1986, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.19 "<u>Committee</u>" has the meaning set forth in Section 3.1(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.20 "<u>Company</u>" means Key Mining Holdings Corp., a Delaware corporation, and any successor thereto by operation of law or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.21 "<u>Compensation Committee</u>" means the compensation committee of the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.22 "<u>Corporate Transaction</u>" has the meaning set forth in Section 4.2(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.23 "<u>Current Grant</u>" has the meaning set forth in Section 6.4(d).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.24 "<u>Data</u>" has the meaning set forth in Section 18.22.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.25 "<u>Deferred Stock</u>" means a right, granted under Article 9, to receive Shares at the end of a specified deferral period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.26 "<u>Disability</u>" or "<u>Disabled</u>" means, unless otherwise defined in an Award Agreement, or as otherwise determined under procedures established by the Committee for purposes of the Plan:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as provided in (b) or (c) below, "Disability" or "Disabled" means, for any Grantee, any injury, illness or sickness that qualifies as a long-term disability within the meaning of the Company's long-term disability program ("<u>LTD Program</u>") and on account of which such Grantee is entitled to receive LTD Program benefits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the case of an Incentive Stock Option or an Award granted in tandem with an Incentive Stock Option, "Disability" and "Disabled" has the meaning under Section 22(e)(3) of the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the case of any Award that constitutes deferred compensation within the meaning of Section 409A of the Code, "Disability" and "Disabled" means as defined in regulations under Code Section 409A where necessary for such Award to comply with Section 409A of the Code. For purpose of Code Section 409A, a Grantee will be considered to have incurred a Disability or to be Disabled if: (i) the Grantee is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (ii) the Grantee is, by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident and health plan covering employees of the Grantee's employer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.27 "<u>Disqualifying Disposition</u>" has the meaning set forth in Section 6.4(f).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.28 "<u>Dividend Equivalent</u>" means a right to receive cash or Shares equal to any dividends or distributions paid on Shares, if and when paid or distributed, on a specified number of Shares, which dividends have a record date on or after the date of grant of the Dividend Equivalents or related Award and before the date Dividend Equivalents or related Award become payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.29 "<u>Dodd-Frank</u>" means the Dodd-Frank Wall Street Reform and Consumer Protection Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.30 "<u>DRO</u>" has the meaning set forth in Section 5.4(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.31 "<u>Effective Date</u>" has the meaning set forth in Section 1.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.32 "<u>Eligible Person</u>" means any employee (including any officer) of, non-employee consultant, advisor or independent contractor (as the terms consultants and advisors are defined and interpreted for purposes of Form S-8 under the Securities Act or any successor form) to, or Non-Employee Director of the Company or any Affiliate, or any potential employee (including a potential officer) of, potential non-employee consultant, advisor or independent contractor to, or potential Non-Employee Director of, the Company or an Affiliate, who has been offered employment or service with the Company or an Affiliate, provided that such potential employee, potential non-employee consultant, advisor or independent contractor to, or potential Non-Employee Director of, the Company or any Affiliate may not receive any payment or exercise any right relating to an Award until such person has commenced employment or service with the Company or an Affiliate; except that (i) solely with respect to the grant of an Incentive Stock Option, an Eligible Person must be an employee (including any officer) of the Company, a Parent Corporation or any Subsidiary Corporation and (ii) the Committee may establish additional eligibility criteria for determining an Eligible Person for any Awards granted hereunder. An employee on an approved leave of absence may be considered as still in the employ of the Company or an Affiliate for purposes of eligibility for participation in the Plan. Solely for purposes of Section 5.6(b), current or former employees or Non-Employee Directors of, or non-employee consultants, advisors and independent contractors to, an Acquired Entity who receive Substitute Awards in substitution for Acquired Entity Awards shall be considered Eligible Persons under this Plan with respect to such Substitute Awards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.33 "<u>ERISA</u>" has the meaning set forth in Section 5.4(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.34 "<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended, and all rules and regulations promulgated thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.35 "<u>Exercise Price</u>" means (a) with respect to an Option, the price at which a Share may be purchased by a Grantee pursuant to such Option or (b) with respect to an SAR, the price established at the time an SAR is granted pursuant to Article 7, which is used to determine the amount, if any, of the payment due to a Grantee upon exercise of the SAR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.36 "<u>Fair Market Value</u>" means, unless the Committee determines otherwise, a price that is based on the closing price of a Share as reported on Nasdaq on the applicable trading date or any other established stock exchange or automated quotation system which is the principal stock exchange or automated quotation system upon which the Shares are traded on the applicable date or, if the Shares are not traded on such date, the immediately preceding trading day. Alternatively, if the Shares are exclusively traded over the counter at the time a determination of Fair Market Value is required to be made hereunder, Fair Market Value shall be deemed to be equal to the arithmetic mean between the reported high and low or closing bid and asked prices of a Share on the applicable date, or, if no such trades were made that day, then the most recent date on which Shares were so traded. In the event Shares are not publicly traded at the time a determination of their value is required to be made hereunder the determination of their Fair Market Value shall be made by the Committee in such manner as it deems appropriate provided such manner is consistent with Treasury Regulation 1.409A-1(b)(5)(iv)(B). The Fair Market Value that the Committee determines shall be final, binding and conclusive on the Company, any Affiliate and each Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.37 "<u>FICA</u>" has the meaning set forth in Section 16.1(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.38 "<u>Full Value Award</u>" means an Award other than an Option, SAR or Other Stock-Based Award in the nature of purchase rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.39 "<u>Good Reason</u>" shall have the same definition as under any employment or service agreement between the Company or any Affiliate and the Grantee or, if no such employment or service agreement exists or if such employment or service agreement does not contain any such definition or words of similar import, "Good Reason" means, except as otherwise set forth in the Award Agreement, any of the following without the Grantee's express written consent: (a) any action taken by the Company or an Affiliate which results in a material reduction in the Grantee's authority, duties or responsibilities (except that any change in the foregoing that results solely from (i) the Company ceasing to be a publicly traded entity or from the Company becoming a wholly-owned subsidiary of another publicly traded entity or (ii) any change in the geographic scope of the Grantee's authority, duties or responsibilities will not, in any event and standing alone, constitute a material reduction in the Grantee's authority, duties or responsibilities); (b) the assignment to the Grantee of duties that are materially inconsistent with Grantee's authority, duties or responsibilities; (c) any material decrease in the Grantee's base salary or annual bonus opportunity, except to the extent the Company has instituted a salary or bonus reduction generally applicable to all similar employees of the Company other than in contemplation of or within one year after a Change in Control; or (d) the relocation of the Grantee to any principal place of employment other than that as of the date of grant of the Award, or any requirement that Grantee relocate his or her residence other than to that as of the date of grant of the Award, which in either event would increase the Grantee's commute by more than fifty (50) miles; provided, however, this subsection (d) shall not apply in the case of business travel which requires the Grantee to relocate temporarily for periods of ninety (90) days or less. Notwithstanding the above, and without limitation, "Good Reason" shall not include any resignation by the Grantee where Cause for the Grantee's termination by the Company or an Affiliate exists. The Grantee must give the Company or Affiliate that employs the Grantee notice of any event or condition that would constitute "Good Reason" within thirty (30) days of the event or condition which would constitute "Good Reason," and upon the receipt of such notice the Company or Affiliate that employs the Grantee shall have thirty (30) days to remedy such event or condition. If such event or condition is not remedied within such thirty (30)-day period, any termination of employment by the Grantee for "Good Reason" must occur within thirty (30) days after the period for remedying such condition or event has expired.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.40 "<u>Grant Date</u>" means the date on which an Award is granted or such later date as specified in advance by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.41 "<u>Grantee</u>" means an Eligible Person to whom an Award has been granted under the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.42 "<u>Immediate Family</u>" has the meaning set forth in Section 5.4(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.43 "<u>Incentive Stock Option</u>" means an Option that is intended to meet the requirements of Section 422 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.44 "<u>Incumbent Board Member</u>" means an individual who either is (a) a member of the Board as of the effective date of the Board's adoption of this Plan or (b) a member who becomes a member of the Board subsequent to the date of the Board's adoption of this Plan whose election, or nomination for election by the Company's stockholders, was approved by a vote of at least sixty percent (60%) of the then Incumbent Board Members (either by a specific vote or by approval of the proxy statement of the Company in which that person is named as a nominee for director, without objection to that nomination), but excluding, for that purpose, any individual whose initial assumption of office occurs as a result of an actual or threatened election contest (within the meaning of Rule 14a-11 of the Exchange Act) with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.45 "<u>LTD Program</u>" has the meaning set forth in Section 2.26(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.46 "<u>Management Committee</u>" has the meaning set forth in Section 3.1(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.47 "<u>More Than Ten Percent (10%) Owner</u>" has the meaning set forth in Section 6.4(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.48 "<u>Nasdaq</u>" means Nasdaq Stock Markets, LLC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.49 "<u>Net After Tax Receipt</u>" has the meaning set forth in Article 17.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.50 "<u>Non-Employee Director</u>" means a member of the Board, or the board of directors of an Affiliate, who is not an employee of the Company or any Affiliate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.51 "<u>Non-Qualified Stock Option</u>" means an option that is not intended to meet the requirements of Section 422 of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.52 "<u>Option</u>" means an option granted under Article 6 of the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.53 "<u>Other Plans</u>" has the meaning set forth in Section 6.4(d).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.54 "<u>Other Stock-Based Award</u>" means a right, granted under Article 12 hereof, that relates to or is valued by reference to Shares or other Awards relating to Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.55 "<u>Overpayment</u>" has the meaning set forth in Article 17.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.56 "<u>Parent Corporation</u>" means any parent corporation of the Company within the meaning of Section 424(e) of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.57 "<u>Performance-Based Award</u>" means an Award with respect to which the grant, vesting, payment and/or settlement is contingent upon the satisfaction of specified Performance Measures in the specified performance period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.58 "<u>Performance Measures</u>" mean one or more performance measures established by the Committee as a requirement for an Award to vest and/or become exercisable or settled. An Award may be contingent upon the Grantee's continued employment or service in addition to the Performance Measures. In determining if the Performance Measures have been achieved, the Committee will adjust the performance targets in the event of any unbudgeted acquisition, divestiture or other unexpected fundamental change in the business of the Company, an Affiliate or business unit or in any product that is material taken as a whole as appropriate to fairly and equitably determine if the Award is to become exercisable, nonforfeitable and transferable or earned and payable pursuant to the conditions set forth in the Award. Additionally, in determining if such performance conditions have been achieved, the Committee also will adjust the performance targets in the event of any (i) unanticipated asset write-downs or impairment charges, (ii) litigation or claim judgments or settlements thereof, (iii) changes in tax laws, accounting principles or other laws or provisions affecting reported results, (iv) accruals for reorganization or restructuring programs, or (v) other extraordinary non-reoccurring items.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.59 "<u>Performance Share</u>" and "<u>Performance Unit</u>" mean an Award granted as a Performance Share or Performance Unit under Article 10.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.60 "<u>Period of Restriction</u>" means the period during which Restricted Shares are subject to Forfeiture if the conditions specified in the Award Agreement are not satisfied.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.61 "<u>Period of Vesting</u>" means the period during which the Award is subject to forfeiture or may not be exercised if the conditions specified in the Award Agreement are not satisfied.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.62 "<u>Permitted Transferee</u>" has the meaning set forth in Section 5.4(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.63 "<u>Person</u>" means any individual, sole proprietorship, partnership, joint venture, limited liability company, trust, unincorporated organization, association, corporation, institution, public benefit corporation, entity or government instrumentality, division, agency, body or department.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.64 "<u>Plan</u>" means this Key Mining Holdings Corp. Omnibus Incentive Compensation Plan, in its current form or as hereafter amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.65 "<u>Present Value</u>" has the meaning set forth in Article 17.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.66 "<u>Prior Grants</u>" has the meaning set forth in Section 6.4(e).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.67 "<u>Proceeding</u>" has the meaning set forth in Section 18.11.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.68 "<u>Reduced Amount</u>" has the meaning set forth in Article 17.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.69 "<u>Restricted Shares</u>" means Shares issued under Article 9 that are both subject to Forfeiture and are nontransferable if the Grantee does not satisfy the conditions specified in the Award Agreement applicable to such Shares and subject to the Grantee paying the nominal value in cash for each Share to the extent required by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.70 "<u>Restricted Stock Units</u>" are rights, granted under Article 9, to receive Shares if the Grantee satisfies the conditions specified in the Award Agreement applicable to such rights, and subject always to the Grantee paying the nominal value in cash for each such Share to the extent required by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.71 "<u>Retirement</u>" means a Grantee's Termination of Service on or after attaining such age and/or completing such years of service as the Committee may determine and set forth in an Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.72 "<u>Returned Shares</u>" has the meaning set forth in Section 4.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.73 "<u>Rule 16b-3</u>" means Rule 16b-3 promulgated by the SEC under the Exchange Act, as amended from time to time, together with any successor rule.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.74 "<u>Sarbanes-Oxley</u>" means the Sarbanes-Oxley Act of 2002.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.75 "<u>SEC</u>" means the United States Securities and Exchange Commission, or any successor thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.76 "<u>Section 16 Non-Employee Director</u>" means a member of the Board who satisfies the requirements to qualify as a "non-employee director" under Rule 16b-3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.77 "<u>Section 16 Person</u>" means a person who is subject to potential liability under Section 16(b) of the Exchange Act with respect to transactions involving equity securities of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.78 "<u>Securities Act</u>" means the Securities Act of 1933, as amended, and all rules and regulations promulgated thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.79 "<u>Separation from Service</u>" means, with respect to any Award that constitutes deferred compensation within the meaning of Code Section 409A, a "separation from service" as defined in Treasury Regulation Section 1.409A-1(h).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.80 "<u>Share</u>" means the common stock, $0.001 par value per share, of the Company, and, unless the context otherwise requires, such other securities of the Company, as may be substituted or resubstituted for Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.81 "<u>Stock Appreciation Right</u>" or "<u>SAR</u>" means an Award granted under Article 7 of the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.82 "<u>Subsidiary Corporation</u>" means a corporation other than the Company in an unbroken chain of corporations beginning with the Company if, at the time of granting the Award, each of the corporations other than the last corporation in the unbroken chain owns shares or stock possessing fifty percent (50%) or more of the total combined voting power of all classes of shares or stock in one of the other corporations in such chain, within the meaning of Section 424(f) of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.83 "<u>Substitute Awards</u>" has the meaning set forth in Section 5.6(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.84 "<u>Surviving Company</u>" means the surviving corporation in any merger or consolidation, involving the Company, including the Company if the Company is the surviving corporation, or the direct or indirect parent company of the Company or such surviving corporation following a sale of all or substantially all of the outstanding shares or stock of the Company or the assets of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.85 "<u>Tax Date</u>" has the meaning set forth in Section 16.1(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.86 "<u>Tendered Restricted Shares</u>" has the meaning set forth in Section 6.5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.87 "<u>Term</u>" of any Option or SAR means the period beginning on the Grant Date of an Option or SAR and ending on the date such Option or SAR expires, terminates or is cancelled. No Option or SAR granted under this Plan shall have a Term exceeding the date immediately preceding the 10-year anniversary of the Grant Date of the Option or SAR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.88 "<u>Termination of Service</u>" means (a) that the employee has terminated employment with the Company and its Affiliates, the non-employee consultant, advisor or independent contractor is no longer serving as a consultant, advisor or independent contractor to the Company or an Affiliate or the Non-Employee Director has ceased being a director of the Company or any Affiliate or (b) when an entity which is employing the employee or non-employee consultant, advisor or independent contractor or on whose board of directors the Non-Employee Director is serving, ceases to be an Affiliate, unless the Participant otherwise is, or thereupon becomes, an employee, non-employee consultant, advisor or independent contractor to, or Non-Employee Director of, the Company or another Affiliate, at the time such entity ceases to be an Affiliate. In the event an employee, non-employee consultant, advisor or independent contractor or Non-Employee Director becomes one of the other categories of Eligible Persons upon the termination of such employee's employment, such consultant's, advisor's or independent contractor's service, or such Non-Employee Director's service, unless otherwise determined by the Committee, in its sole discretion, no Termination of Service will be deemed to have occurred until such time as such person is no longer an employee, non-employee consultant, advisor or independent contractor or Non-Employee Director of the Company or any Affiliate. Notwithstanding the foregoing, however, that if an Award constitutes deferred compensation within the meaning of Code Section 409A, Termination of Service with respect to such Award shall mean the Grantee's Separation from Service within the meaning of Section 409A of the Code, to the extent necessary for such Award to comply with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.89 "<u>Underpayment</u>" has the meaning set forth in Article 17.

**Article 3 Administration**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <u>Committee</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to Section 3.2 and Article 12, the Plan shall be administered by the Compensation Committee or the Board itself if no Compensation Committee exists. Notwithstanding the foregoing, the Board may at any time and in one or more instances reserve administrative powers to itself as the Board. To the extent the Board or Compensation Committee considers it desirable to comply with Rule 16b-3, the Committee shall consist of two or more directors of the Company, all of whom qualify as "independent directors" within the meaning of the Nasdaq listing standards and as Section 16 Non-Employee Directors. The number of members of the Committee shall from time to time be increased or decreased, and shall be subject to such conditions, in each case if and to the extent the Board deems it appropriate to permit transactions in Shares pursuant to the Plan to satisfy such conditions of Rule 16b-3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to any requirements of Applicable Law (including as applicable Sections 152 and 157(c) of the General Corporation Law of the State of Delaware), the Board or the Compensation Committee may appoint and delegate to another committee ("<u>Management Committee</u>"), or to the CEO, any or all of the authority of the Board or the Committee, as applicable, with respect to Awards to Grantees other than Grantees who are (i) "executive officers" of the Company (as defined by Rule 3b-7 under the Exchange Act) or to any "officer" of the Company (as defined by Rule 16a-1(f) under the Exchange Act), (ii) Non-Employee Directors, or (iii) or are expected to be Section 16 Persons at the time any such delegated authority is exercised, and provided that the Board or the Compensation Committee shall fix the maximum number of Shares subject to Awards that the Management Committee or CEO may grant,.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Unless the context requires otherwise, any references herein to "Committee" include references to, the Board or the Compensation Committee to the extent the Board or the Compensation Committee, as applicable, has assumed or exercises administrative powers as the Committee pursuant to subsection (a), and to the Management Committee or the CEO to the extent either has been delegated authority pursuant to subsection (b), as applicable; provided that, (i) for purposes of Awards to Non-Employee Directors, "Committee" shall include only the full Board, and (ii) for purposes of Awards intended to comply with Rule 16b-3, "Committee" shall include only the Compensation Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <u>Powers of Committee</u>. Subject to and consistent with the provisions of the Plan (including Article 14), the Committee has full and final authority and sole discretion as follows; provided that any such authority or discretion exercised with respect to a specific Non-Employee Director shall be approved by the affirmative vote of a majority of the members of the Board, even if not a quorum, but excluding the Non-Employee Director with respect to whom such authority or discretion is exercised:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to determine when, to whom and in what types and amounts Awards should be granted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to grant Awards to Eligible Persons in any number and to determine the terms and conditions applicable to each Award;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) subject to Section 5.3 below, to determine whether, to what extent and under what circumstances, subject to Applicable Law, (i) an Award may be settled in, or the exercise price of an Award may be paid in, cash, Shares, other Awards or other property, (ii) an Award may be accelerated, vested, canceled, forfeited or surrendered, (iii) any terms of the Award may be waived, or (iv) whether to accelerate the exercisability of, or to accelerate or waive any or all of the terms and conditions applicable to, any Award or any group of Awards for any reason and at any time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to determine with respect to Awards granted to Eligible Persons whether, to what extent and under what circumstances cash, Shares, other Awards, other property and other amounts payable with respect to an Award will be deferred, either at the election of the Grantee or if and to the extent specified in the Award Agreement automatically or at the election of the Committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) subject to Section 3.3 below, to offer to exchange or buy out any previously granted Award for a payment in cash, Shares or other Award;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) subject to Section 5.3 below, to provide in the terms of the Award or otherwise for accelerated exercisability or vesting of any Award upon the occurrence of one or more events other than completion of a service period and/or achievement of Performance Measures, including without limitation the Grantee's Retirement, death, Disability or Termination of Service by the Company and its Affiliates without Cause, or termination by the Grantee for Good Reason or a Change in Control (provided such accelerated exercisability or vesting does not violate Code Section 409A);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) to construe and interpret the Plan and to make all determinations, including factual determinations, necessary or advisable for the administration of the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) to make, amend, suspend, waive and rescind rules and regulations relating to the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to appoint such agents as the Committee may deem necessary or advisable to administer the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) with the consent of the Grantee, to amend any such Award Agreement at any time; provided, however, that the consent of the Grantee shall not be required for any amendment (i) which does not materially adversely affect the rights of the Grantee, or (ii) which is necessary or advisable (as determined by the Committee) to carry out the purpose of the Award as a result of any new Applicable Law or change in an existing Applicable Law, or (iv) which is necessary for the Award to be exempt from or comply with Section 409A of the Code, or (v) to the extent the Award Agreement specifically permits amendment without consent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) subject to Section 3.3, to cancel, with the consent of the Grantee, outstanding Awards and to grant new Awards in substitution therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) to impose such additional terms and conditions upon the grant, exercise or retention of Awards as the Committee may, before or concurrently with the grant thereof, deem appropriate, including limiting the percentage of Awards which may from time to time be exercised by a Grantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) to adopt rules and/or procedures (including the adoption of any subplan under the Plan) relating to the operation and administration of the Plan to accommodate requirements of state, foreign, and local law and procedures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) to correct any defect or supply any omission or reconcile any inconsistency, and to construe and interpret the Plan, the rules and regulations, and Award Agreement or any other instrument entered into or relating to an Award under the Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) to modify, extend or renew an Award, subject to Sections 1.3, 5.3 and 5.9, provided, however, that such action does not subject the Award to Section 409A of the Code without the consent of the Grantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) subject to Section 3.3, to provide for the settlement of any Award in cash, Shares or a combination thereof; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) to take any other action with respect to any matters relating to the Plan for which it is responsible and to make all other decisions and determinations as may be required under the terms of the Plan or as the Committee may deem necessary or advisable for the administration of the Plan.

Any action of the Committee with respect to the Plan shall be final, conclusive and binding on all persons. The express grant of any specific power to the Committee, and the taking of any action by the Committee, shall not be construed as limiting any power or authority of the Committee. The Committee may delegate to officers or managers of the Company or any Affiliate the authority, subject to such terms as the Committee shall determine, to perform specified functions under the Plan (subject to Sections 4.3 and 5.7(c)). The Committee may revoke or amend the terms of any delegation at any time but such action shall not invalidate any prior actions of the Committee's delegate or delegates that were consistent with the terms of the Plan and the Committee's prior delegation.

The Company shall bear all expenses of administering the Plan.

Notwithstanding any provision of the Plan to the contrary, the Committee, in its sole discretion, may modify the terms and conditions of the Plan and/or any Award granted to Grantees outside the United States to comply with applicable foreign laws or listing requirements of any such foreign stock exchange; and take any action, before or after an Award is made, that it deems advisable to obtain approval or comply with any necessary local governmental regulatory exemptions or approvals or listing requirements of any such foreign stock exchange. Notwithstanding the foregoing, the Committee may not take any actions hereunder, and no Awards shall be granted, that would violate the Exchange Act or any other securities law or governing statute or any other Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 <u>No Repricings</u>. Notwithstanding any provision in Section 3.2 to the contrary, the terms of any outstanding Option or SAR may not be amended to reduce the Exercise Price of such Option or SAR, or cancel any outstanding Option or SAR in exchange for other Options or SARs with an Exercise Price that is less than the Exercise Price of the cancelled Option or SAR or for any cash payment (or Shares having a Fair Market Value) in an amount that exceeds the excess of the Fair Market Value of the Shares underlying such cancelled Option or SAR over the aggregate Exercise Price of such Option or SAR or for any other Award, without stockholder approval; provided, however, that the restrictions set forth in this Section 3.3, shall not apply (i) unless the Company has a class of shares or stock that is registered under Section 12 of the Exchange Act or (ii) to any adjustment allowed under Section 4.2.

**Article 4 Shares Subject to the Plan and Maximum Awards**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <u>Number of Shares Available for Grants</u>. Subject to adjustment as provided in Section 4.2 and except as provided in Section 5.6(b), the maximum number of Shares hereby reserved for delivery in connection with Awards under the Plan shall be **[________]** Shares. The total number of Shares that may be delivered pursuant to the exercise of Incentive Stock Options granted hereunder shall not exceed **[_______]** Shares.

Shares covered by an Award shall only be counted as used to the extent actually used. A Share issued in connection with an Award under the Plan shall reduce the total number of Shares available for issuance under the Plan by one; provided, however, that, upon settlement of a stock-settled SAR, the total number of Shares available for issuance under the Plan shall be reduced by the gross number of Shares with respect to which the SAR is exercised.

If any Award under the Plan terminates without the delivery of Shares, or is settled by delivery of fewer Shares than the number underlying the Award, whether by lapse, forfeiture, cancellation or otherwise, the Shares subject to such Award or portion of the Award, to the extent of any such termination, shall again be available for grant under the Plan. Notwithstanding the foregoing, upon the exercise of any Award granted in tandem with any other Award, such related Award shall be cancelled to the extent of the number of Shares as to which the Award is exercised and such number of Shares shall no longer be available for Awards under the Plan. If any Shares subject to an Option, SAR or Other Stock-Based Award in the nature of purchase rights granted hereunder are withheld or applied as payment in connection with the exercise price of such Option, SAR or Other Stock-Based Award in the nature of purchase rights or the withholding or payment of taxes related thereto and any Shares separately surrendered by the Grantee for either such purpose (collectively "<u>Returned Shares</u>"), such Returned Shares will be treated as having been delivered for purposes of determining the maximum number of Shares available for grant under the Plan and shall not again be treated as available for grant under the Plan. If any Shares subject to a Full Value Award granted hereunder are withheld or applied as payment in connection with any withholding or other taxes related thereto and any Shares separately surrendered by the Grantee for either such purpose, such Returned Shares will not be treated as having been delivered for purposes of determining the maximum number of Shares available for grant under the Plan and shall again be treated as available for grant under the Plan. The number of Shares available for issuance under the Plan may not be increased through the Company's purchase of Shares on the open market with the proceeds obtained from the exercise of any Options or other purchase rights granted hereunder. In addition, in the case of any Substitute Award granted in assumption of or in substitution for an Acquired Entity Award, Shares delivered or deliverable in connection with such Substitute Award shall not be counted against the number of Shares reserved under the Plan (to the extent permitted by the rules of Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted), and available shares of stock under a stockholder-approved plan of an Acquired Entity (as appropriately adjusted to reflect the transaction) also may be used for Awards under the Plan, which shall not reduce the number of Shares otherwise available under the Plan (subject to applicable requirements of Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted).

The Committee may adopt reasonable counting procedures to ensure appropriate counting, avoid double counting (as, for example, in the case of tandem or substitute awards) and make adjustments in accordance with this Section 4.1.

Shares may be allotted and issued pursuant to the Plan from the Company's authorized but unissued share capital, the reissue of treasury Shares or Shares purchased in the open market.

The proceeds that the Company receives in connection with Awards granted under the Plan, if any, shall be used for general corporate purposes and shall be added to the general funds of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 <u>Adjustments in Authorized Shares and Awards; Liquidation, Dissolution or Change in Control</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event that the Committee determines that any dividend or other distribution (excluding any ordinary dividend or distribution) (whether in the form of cash, Shares, or other property), recapitalization, forward or reverse stock split, subdivision, consolidation or reduction of capital, reorganization, merger, consolidation, scheme of arrangement, split-up, spin-off or combination involving the Company or repurchase or exchange of Shares or other securities of the Company or other rights to purchase Shares or other securities of the Company, or other corporate transaction or event affects the Shares, such that any adjustment is determined by the Committee to be appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then the Committee shall, in such manner as it may deem equitable, adjust any or all of (i) the number and type of Shares (or other securities or property) with respect to which Awards may be granted, (ii) the number and type of Shares (or other securities or property) subject to outstanding Awards, (iii) the Exercise Price with respect to any Award or, if deemed appropriate and not otherwise prohibited under the Plan, make provision for a cash payment to the holder of an outstanding Award, (iv) the number and kind of Shares of outstanding Restricted Shares, or the Shares underlying any Award of Restricted Stock Units, Deferred Stock or other outstanding Share-based Award and (v) any other terms and conditions of the Award. Notwithstanding the foregoing, (x) no such adjustment shall be authorized with respect to any Options or SARs to the extent that such adjustment would cause the Option or SAR (determined as if such Option or SAR was an Incentive Stock Option) to violate Section 424(a) of the Code or with respect to any Awards to the extent such adjustment would subject any Grantee to taxation under Section 409A of the Code; and (y) the number of Shares subject to any Award denominated in Shares shall always be a whole number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event of a merger or consolidation of the Company with or into another corporation or a sale of all or substantially all of the shares or stock of the Company or all or substantially all of the assets of the Company, including by way of a court sanctioned compromise or scheme of arrangement, reorganization, merger, combination, purchase, recapitalization, liquidation, or sale, transfer, exchange or other disposition (a "<u>Corporate Transaction</u>") that results in a Change in Control, unless an outstanding Award is assumed by the Surviving Company or replaced with an equivalent Award granted by the Surviving Company in substitution for such outstanding Award, the Committee shall cancel any outstanding Awards that are not vested and nonforfeitable as of the consummation of such Corporate Transaction (unless the vesting of the Award is accelerated as described below) and with respect to any vested and nonforfeitable Awards, the Committee shall either (i) allow all Grantees to exercise such Awards in the nature of Options, SARs or other purchase rights to the extent then exercisable or to become exercisable upon the Change in Control within a reasonable period prior to the consummation of the Change in Control and cancel any Awards in the nature of Options, SARs or other purchase rights that remain unexercised upon consummation of the Change in Control, and/or (ii) cancel any or all of such outstanding Awards in exchange for a payment (in cash and/or in securities and/or other property) in an amount equal to the amount that the Grantee would have received (net of the Exercise Price with respect to any Awards in the nature of Options, SARs or other purchase rights) and on the same terms (including without limitation any earn-out, escrow or other deferred consideration provisions) as if such vested Awards were settled or distributed or such Awards in the nature of vested Options, SARs or other purchase rights were exercised immediately prior to the consummation of the Change in Control. Notwithstanding the foregoing, if an Option, SAR or other purchase right is not assumed by the Surviving Company or replaced with an equivalent Award issued by the Surviving Company and the Exercise Price with respect to the outstanding Option, SAR or other purchase right equals or exceeds the amount payable per Share in the Change in Control, such Awards shall be cancelled without any payment to the Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Immediately prior to consummation of any Corporate Transaction that results in a Change in Control (subject to consummation of the Change in Control), unless the Award Agreement provides otherwise, and except as otherwise set forth below as to any Award with respect to which the grant, vesting, payment and/or settlement is contingent upon the satisfaction of specified Performance Measures, all outstanding Awards will become vested and non-forfeitable, earned and payable and any conditions on any such Award shall lapse, as to all of such Award to the extent then outstanding, including Shares as to which the Award would not otherwise be exercisable or non-forfeitable or earned and payable, unless the outstanding Award is assumed by the Surviving Company or replaced with an equivalent Award granted by the Surviving Company in substitution for such outstanding Award. If the outstanding Award is assumed by the Surviving Company or replaced with an equivalent Award granted by the Surviving Company in substitution for such outstanding Award, then all such outstanding Awards will become vested and non-forfeitable, earned and payable and any conditions on any such Award shall lapse, as to all of such Award to the extent then outstanding, including Shares as to which the Award would not otherwise be exercisable or non-forfeitable or earned and payable, upon the Grantee's subsequent death, Disability, or Termination of Service by the Company and its Affiliates without Cause or by the Grantee for Good Reason, in any such case on or within one (1) year after the Change in Control (provided such accelerated exercisability or vesting does not violate Code Section 409A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding the forgoing provisions of this Section 4.2, if an Award constitutes deferred compensation within the meaning of, and subject to, Code Section 409A, no payment or settlement of such Award shall be made pursuant to Section 4.2(b) or (c), unless the Corporate Transaction or the dissolution or liquidation of the Company, as applicable, constitutes a change in ownership or effective control of the Company or a change in ownership of a substantial portion of the assets of the Company as described in Treasury Regulation Section 1.409A-3(i)(5), where necessary for such Award to comply with Section 409A of the Code, and such payment or settlement does not result in a violation of Section 409A of the Code. Additionally, with respect to any Award with respect to which the grant, vesting, payment and/or settlement is contingent upon the satisfaction of specified Performance Measures in the specified performance period and which is not assumed by the Surviving Company or replaced with an equivalent Award granted by the Surviving Company in substitution for such outstanding Award, unless the Award Agreement provides otherwise, the Award shall become vested, and be paid and settled, pursuant to Section 4.2(b) or (c), at target, with the amount prorated based on the number of days in the specified performance period prior to and including the date of the Change in Control over the number of days in the specified performance period. If any such Awards are assumed by the Surviving Company or replaced with an equivalent Award granted by the Surviving Company in substitution for such outstanding Award, unless the Award Agreement provides otherwise, the Award shall be converted into a time-based Award as of the Change in Control at target, subject to the Grantee's continued employment or other service, and such outstanding Awards will become vested and non-forfeitable, earned and payable and any conditions on any such Award shall lapse, as to all of such Award to the extent then outstanding, including Shares as to which the Award would not otherwise be exercisable or non-forfeitable or earned and payable, upon the Grantee's subsequent death, Disability, or Termination of Service by the Company and its Affiliates without Cause or by the Grantee for Good Reason, in any such case on or within the one (1) year after the Change in Control (provided such accelerated exercisability or vesting does not violate Code Section 409A).

**Article 5 Eligibility and General Conditions of Awards**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <u>Eligibility</u>. The Committee may in its discretion grant Awards to any Eligible Person, whether or not he or she has previously received an Award; provided, however, that all Awards made to Non-Employee Directors shall be determined by the Board in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <u>Award Agreement</u>. To the extent not set forth in the Plan, the terms and conditions of each Award shall be set forth in an Award Agreement and, unless the Committee determines otherwise, such Agreement must be signed, acknowledged and returned by the Grantee to the Company. Unless the Committee determines otherwise, any failure by the Grantee to sign and return the Agreement within such period of time following the granting of the Award as the Committee shall prescribe shall cause such Award to the Grantee to be null and void. By accepting an Award or other benefits under the Plan (including participation in the Plan), each Grantee shall be conclusively deemed to have indicated acceptance and ratification of, and consented to, all provisions of the Plan and the Award Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 <u>General Terms and Termination of Service</u>. The Committee may impose on any Award or the exercise or settlement thereof, at the date of grant or, subject to the provisions of Section 14.2, thereafter, such additional terms and conditions not inconsistent with the provisions of the Plan as the Committee shall determine, including without limitation terms requiring forfeiture or transfer, acceleration or pro-rata acceleration of Awards in the event of a Termination of Service by the Grantee. Awards may be granted for no consideration other than prior and future services save that in no event will Shares subject to an Award be allotted and issued unless the nominal value per Share is paid in cash, to the extent required by Applicable Law. Except as otherwise determined by the Committee pursuant to this Section 5.3 or set forth in an Award Agreement, all Options and SARs that have not been exercised, or any other Awards that remain subject to a risk of forfeiture or which are not otherwise vested, or which have outstanding Performance Periods, at the time of a Termination of Service shall be forfeited to the Company. Notwithstanding any other provision of the Plan to the contrary and subject to the immediately following proviso, equity-based Awards granted under the Plan shall vest no earlier than the first anniversary of the date the Award is granted, and performance-based Awards must have a performance period of at least one year; provided, however, that the Committee may grant Awards without regard to the foregoing minimum vesting requirements with respect to (i) any Substitute Award granted in assumption of or in substitution for an Acquired Entity Award, (ii) shares of Stock delivered in lieu of full-vested cash-based Awards (or other cash awards or payments), (iii) Awards to Non-employee Directors of the Company that vest on the earlier of the one-year anniversary of the date of grant and the next annual meeting of stockholders which is at least 50 weeks after the immediately preceding year's annual meeting, and (iv) any additional Awards the Committee may grant, up to a maximum of five percent (5%) of the available Shares (the "<u>5% Exception Limit</u>") authorized for issuance under the Plan (subject to adjustment under Section 4.2). For the avoidance of doubt, the foregoing restriction does not apply to the Committee's discretion to provide in the terms of the Award or otherwise for accelerated exercisability or vesting of any Award upon the occurrence of one or more events other than completion of a service period, including without limitation the Grantee's death, Disability, Termination of Service by the Company and its Affiliates without Cause or by the Grantee for Good Reason or a Change in Control (provided such accelerated exercisability or vesting does not violate Code Section 409A). Additionally, notwithstanding any other provision of this Plan or any Award Agreement to the contrary, no dividends or Dividend Equivalents shall be paid with respect to any Awards that do not become vested, non-forfeitable or payable under the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 <u>Nontransferability of Awards</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Award and each right under any Award shall be exercisable only by the Grantee during the Grantee's lifetime, or, if permissible under Applicable Law, by the Grantee's guardian or legal representative or by a transferee receiving such Award pursuant to a domestic relations order (a "<u>DRO</u>") as defined in the Code or Title I of the Employee Retirement Income Security Act of 1974, as amended ("<u>ERISA</u>"), or the rules thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No Award (prior to the time, if applicable, Shares are delivered in respect of such Award), and no right under any Award, may be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by a Grantee otherwise than by will or by the laws of descent and distribution (or in the case of Restricted Shares, to the Company) or pursuant to a DRO, and any such purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance shall be void and unenforceable against the Company or any Affiliate; provided that the designation of a beneficiary to receive benefits in the event of the Grantee's death shall not constitute an assignment, alienation, pledge, attachment, sale, transfer or encumbrance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding subsections (a) and (b) above, to the extent provided in the Award Agreement, Awards (other than Incentive Stock Options and corresponding tandem Awards), may be transferred, without consideration, to a Permitted Transferee. For this purpose, a "<u>Permitted Transferee</u>" in respect of any Grantee means any member of the Immediate Family of such Grantee, any trust of which all of the primary beneficiaries are such Grantee or members of his or her Immediate Family, or any partnership (including limited liability companies and similar entities) of which all of the partners or members are such Grantee or members of his or her Immediate Family if, with respect to such proposed transferee, the Company would be eligible to use a Form S-8 for the registration of the sale of the Shares subject to such Award under the Securities Act; and the "<u>Immediate Family</u>" of a Grantee means the Grantee's spouse, any person sharing the Grantee's household (other than a tenant or employee), children, stepchildren, grandchildren, parents, stepparents, siblings, grandparents, nieces and nephews. Such Award may be exercised by such transferee in accordance with the terms of the Award Agreement. If so determined by the Committee, a Grantee may, in the manner established by the Committee, designate a beneficiary or beneficiaries to exercise the rights of the Grantee, and to receive any distribution with respect to any Award, after the death of the Grantee. A transferee, beneficiary, guardian, legal representative or other person claiming any rights under the Plan from or through any Grantee shall be subject to and consistent with the provisions of the Plan and any applicable Award Agreement, except to the extent the Plan and Award Agreement otherwise provide with respect to such persons, and to any additional restrictions or limitations deemed necessary or appropriate by the Committee. The Company shall not be required to recognize any such transfer until such time as the Grantee and such permitted transferee shall, as a condition to such transfer, deliver to the Company a written instrument in form and substance satisfactory to the Company confirming that such transferee shall be bound by all of the terms and conditions of the Award. References to a Grantee, to the extent relevant in the context, shall include references to authorized transferees. For the avoidance of doubt, nothing contained in this Section 5.4(c) shall be deemed to restrict a transfer to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Nothing herein shall be construed as requiring the Company or any Affiliate to honor a DRO except to the extent required under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 <u>Cancellation and Rescission of Awards</u>. Unless the Award Agreement specifies otherwise, the Committee may cancel, rescind, suspend, withhold, or otherwise limit or restrict any unexercised or other Award at any time if the Grantee is not in compliance with all applicable provisions of the Award Agreement and the Plan or if the Grantee has a Termination of Service. Additionally, notwithstanding any other provision of the Plan or any Agreement to the contrary, a Grantee shall forfeit any and all rights under an Award (whether or not vested at such time) if the Grantee incurs a Termination of Service by the Company or any Affiliate for Cause.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 <u>Stand-Alone, Tandem and Substitute Awards</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Awards granted under the Plan may, in the discretion of the Committee, be granted either alone or in addition to, in tandem with, or in substitution for, any other Award granted under the Plan unless such tandem or substitution Award would subject the Grantee to tax penalties imposed under Section 409A of the Code. If an Award is granted in substitution for another Award or any non-Plan award or benefit, the Committee shall require the surrender of such other Award or non-Plan award or benefit in consideration for the grant of the new Award. Awards granted in addition to or in tandem with other Awards or non-Plan awards or benefits may be granted either at the same time as or at a different time from the grant of such other Awards or non-Plan awards or benefits; provided, however, that if any SAR is granted in tandem with an Incentive Stock Option, such SAR and Incentive Stock Option must have the same Grant Date and Term, and the Exercise Price of the SAR may not be less than the Exercise Price of the related Incentive Stock Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Committee may, in its discretion and on such terms and conditions as the Committee considers appropriate in the circumstances, grant Awards under the Plan ("<u>Substitute Awards</u>") in substitution for share or stock and share or stock-based awards ("<u>Acquired Entity Awards</u>") held by current or former employees or non-employee directors of, or consultants to, another corporation or entity who become Eligible Persons as the result of a merger or consolidation of the employing corporation or other entity (the "<u>Acquired Entity</u>") with the Company or an Affiliate or the acquisition by the Company or an Affiliate of property or shares or stock of the Acquired Entity immediately prior to such merger, consolidation or acquisition in order to preserve for the Grantee the economic value of all or a portion of such Acquired Entity Award at such price as the Committee determines necessary to achieve preservation of economic value. The limitations of Sections 4.1 and 4.3 on the number of Shares reserved or available for grants shall not apply to Substitute Awards granted under this Section 5.6(b).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 <u>Deferral of Award Payouts</u>. The Committee may permit a Grantee to defer, or if and to the extent specified in an Award Agreement require the Grantee to defer, receipt of the payment of cash or the delivery of Shares that would otherwise be due by virtue of the lapse or waiver of restrictions with respect to Awards, the satisfaction of any requirements or goals with respect to Awards, the lapse or waiver of the deferral period for Awards, or the lapse or waiver of restrictions with respect to Awards. If the Committee permits such deferrals, the Committee shall establish rules and procedures for making such deferral elections and for the payment of such deferrals, which shall conform in form and substance with applicable regulations promulgated under Section 409A of the Code so that the Grantee is not subjected to tax penalties under Section 409A of the Code with respect to such deferrals. Except as otherwise provided in an Award Agreement, any payment or any Shares that are subject to such deferral shall be made or delivered to the Grantee as specified in the Award Agreement or pursuant to the Grantee's deferral election.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 <u>Extension of Term of Award; Automatic Exercise</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding any provision of the Plan providing for the maximum term of an Award, in the event any Award would expire prior to exercise, vesting or settlement because trading in Shares is prohibited by law or by any insider trading policy of the Company, the Committee may extend the term of the Award (or provide for such in the applicable Award Agreement) until thirty (30) days after the expiration of any such prohibitions to permit the Grantee to realize the value of the Award, provided such extension (i) is permitted by law, (ii) does not violate Code Section 409A with respect to any Award, and (iii) does not otherwise adversely impact the tax consequences of the Award (such as with respect to incentive stock options and related Awards).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) This Section 5.8(b) applies to an Option or SAR if (i) the Grantee to whom the Option or SAR was granted remains in the continuous employment or service of the Company or an Affiliate from the date the Option or SAR was granted until the expiration date of such Option or SAR, (ii) on the expiration date the Fair Market Value of a share exceeds the exercise price of the Option or SAR, (iii) the Option or SAR has become exercisable on or before the expiration date and (iv) the term of the Option or SAR will not be extended as described above. In that event, subject to Sections 3.1(a), 5.8(a), 5.9, and 6.5 in all respects, each Option or SAR to which this Section 5.9(b) applies shall be exercised automatically on the expiration date to the extent that it is outstanding and unexercised on such date. An Option that is exercised pursuant to this Section 5.9(b) shall result in the issuance to the Grantee of that number of whole Shares that have a Fair Market Value that most nearly equals, but does not exceed, the excess of the Fair Market Value of a Share on the expiration date over the Option exercise price multiplied by the number of Shares subject to the exercisable portion of the Option. A SAR that is exercised pursuant to this Section 5.9(b) shall be settled in accordance with its terms on the expiration date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 <u>Conditions on Delivery of Shares</u>. The Company will not be obligated to deliver any Shares under the Plan or remove restrictions from Shares previously delivered under the Plan until (i) all Award conditions have been met or removed to the Company's satisfaction, (ii) as determined by the Company, all other legal matters regarding the issuance and delivery of such Shares have been satisfied, including any applicable securities laws and rules and regulations of Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted, and (iii) the Grantee has executed and delivered to the Company such representations or agreements as the Committee deems necessary or appropriate to satisfy any Applicable Laws. The Company's inability to obtain authority from any regulatory body having jurisdiction, which the Committee determines is necessary to the lawful issuance and sale of any Shares, will relieve the Company of any liability for failing to issue or sell such Shares as to which such requisite authority has not been obtained.

**Article 6 Stock Options**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 <u>Grant of Options</u>. Subject to and consistent with the provisions of the Plan, Options may be granted to any Eligible Person in such number, and upon such terms, and at any time and from time to time as shall be determined by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 <u>Award Agreement</u>. Each Option grant shall be evidenced by an Award Agreement that shall specify the Exercise Price, the Term of the Option, the number of Shares to which the Option pertains, the time or times at which such Option shall be exercisable, whether the Option is intended to be a Non-Qualified Stock Option or an Incentive Stock Option and such other provisions as the Committee shall determine. Except as otherwise set forth in Section 5.6(b) above, no Option shall have a term of more than ten (10) years after its Grant Date, subject to earlier termination as provided herein or in the applicable Award Agreement. No Option may be exercised at a time when such exercise and/or the issuance of Shares pursuant to such exercise would be in breach of Applicable Law. No dividend rights or Dividend Equivalents may be granted in conjunction with any grant of Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 <u>Option Exercise Price</u>. The Exercise Price of an Option under this Plan shall be determined in the sole discretion of the Committee but may not be less than one hundred percent (100%) of the Fair Market Value of a Share on the Grant Date (except as otherwise set forth in Section 5.6(b) above) and shall not be less than the nominal value per Share if required by Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 <u>Grant of Incentive Stock Options</u>. At the time of the grant of any Option, the Committee may in its discretion designate that such Option shall be made subject to additional restrictions to permit it to qualify as an Incentive Stock Option. An Option designated as an Incentive Stock Option:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) shall be granted only to an employee of the Company, a Parent Corporation or a Subsidiary Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) shall have an Exercise Price of not less than one hundred percent (100%) of the Fair Market Value of a Share on the Grant Date, and, if granted to a person who owns capital stock (including stock treated as owned under Section 424(d) of the Code) possessing more than ten percent (10%) of the total combined voting power of all classes of capital stock of the Company or any Subsidiary Corporation (a "<u>More Than Ten Percent (10%) Owner</u>"), have an Exercise Price not less than one hundred and ten percent (110%) of the Fair Market Value of a Share on its Grant Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) shall be for a period of not more than 10 years (five years if the Grantee is a More Than 10% Owner) from its Grant Date, and shall be subject to earlier termination as provided herein or in the applicable Award Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) shall not have an aggregate Fair Market Value (as of the Grant Date) of the Shares with respect to which Incentive Stock Options (whether granted under the Plan or any other stock option plan of the Grantee's employer or any parent or Subsidiary Corporation ("<u>Other Plans</u>")) are exercisable for the first time by such Grantee during any calendar year ("<u>Current Grant</u>"), determined in accordance with the provisions of Section 422 of the Code, which exceeds $100,000 (the "<u>$100,000 Limit</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) shall, if the aggregate Fair Market Value of the Shares (determined on the Grant Date) with respect to the Current Grant and all Incentive Stock Options previously granted under the Plan and any Other Plans which are exercisable for the first time during a calendar year ("<u>Prior Grants</u>") would exceed the $100,000 Limit, be, as to the portion in excess of the $100,000 Limit, exercisable as a separate option that is not an Incentive Stock Option at such date or dates as are provided in the Current Grant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) shall require the Grantee to notify the Committee of any disposition of any Shares delivered pursuant to the exercise of the Incentive Stock Option under the circumstances described in Section 421(b) of the Code (relating to holding periods and certain disqualifying dispositions) ("<u>Disqualifying Disposition</u>") within 10 days of such a Disqualifying Disposition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) shall by its terms not be assignable or transferable other than by will or the laws of descent and distribution and may be exercised, during the Grantee's lifetime, only by the Grantee; provided, however, that the Grantee may, to the extent provided in the Plan in any manner specified by the Committee, designate in writing a beneficiary to exercise his or her Incentive Stock Option after the Grantee's death; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) shall, if such Option nevertheless fails to meet the foregoing requirements, or otherwise fails to meet the requirements of Section 422 of the Code for an Incentive Stock Option, be treated for all purposes of this Plan, except as otherwise provided in subsections (d) and (e) above, as an Option that is not an Incentive Stock Option.

Notwithstanding the foregoing and Section 3.2, the Committee may, without the consent of the Grantee, at any time before the exercise of an Option (whether or not an Incentive Stock Option), take any action necessary to prevent such Option from being treated as an Incentive Stock Option. No Option that is intended to be an Incentive Stock Option shall be invalid for failure to qualify as an Incentive Stock Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 <u>Payment of Exercise Price</u>. Except as otherwise provided by the Committee in an Award Agreement, Options shall be exercised by the delivery of a written notice of exercise to the Company, setting forth the number of Shares with respect to which the Option is to be exercised, accompanied by full payment for the Shares made by any one or more of the following means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) cash, personal check, cash equivalent or wire transfer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) subject to Applicable Law and with the approval of the Committee, by delivery of Shares owned by the Grantee prior to exercise, valued at their Fair Market Value on the date of exercise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) subject to Applicable Law and with the approval of the Committee, Shares to be acquired upon the exercise of such Option, such Shares valued at their Fair Market Value on the date of exercise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) subject to Applicable Law and with the approval of the Committee, Restricted Shares held by the Grantee prior to the exercise of the Option, each such share valued at the Fair Market Value of a Share on the date of exercise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) subject to Applicable Law (including the prohibited loan provisions of Section 402 of Sarbanes-Oxley), through the sale of the Shares acquired on exercise of the Option through a broker-dealer to whom the Grantee has submitted an irrevocable notice of exercise and irrevocable instructions to deliver promptly to the Company the amount of sale proceeds sufficient to pay for such Shares, together with, if requested by the Company, the amount of federal, state, local or foreign withholding taxes payable by Grantee by reason of such exercise.

The Committee may in its discretion specify that, if any Restricted Shares ("<u>Tendered Restricted Shares</u>") are used to pay the Exercise Price, (x) all the Shares acquired on exercise of the Option shall be subject to the same restrictions as the Tendered Restricted Shares, determined as of the date of exercise of the Option, or (y) a number of Shares acquired on exercise of the Option equal to the number of Tendered Restricted Shares shall be subject to the same restrictions as the Tendered Restricted Shares, determined as of the date of exercise of the Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 <u>No Reload Options</u>. No Option granted under the Plan shall contain any provision entitling the Grantee to the automatic grant of additional Options in connection with the exercise of the original Option.

**Article 7 Stock Appreciation Rights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <u>Issuance</u>. Subject to and consistent with the provisions of the Plan, the Committee, at any time and from time to time, may grant SARs to any Eligible Person either alone or in addition to other Awards granted under the Plan. Such SARs may, but need not, be granted in connection with a specific Option granted under Article 6. The Committee may impose such conditions or restrictions on the exercise of any SAR as it shall deem appropriate. No dividend rights or Dividend Equivalents may be granted in conjunction with any grant of SARs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <u>Award Agreements</u>. Each SAR grant shall be evidenced by an Award Agreement in such form as the Committee may approve and shall contain such terms and conditions not inconsistent with other provisions of the Plan as shall be determined from time to time by the Committee. Except as otherwise set forth in Section 5.6(b) above, no SAR shall have a term of more than ten (10) years after its Grant Date, subject to earlier termination as provided herein or in the applicable Award Agreement. No SAR may be exercised at a time when such exercise and/or the issuance of Shares pursuant to such exercise would be in breach of Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 <u>SAR Exercise Price</u>. The Exercise Price of a SAR shall be determined by the Committee in its sole discretion; provided that, except as otherwise set forth in Section 5.6(b), the Exercise Price shall not be less than one hundred percent (100%) of the Fair Market Value of a Share on the date of the grant of the SAR (or the exercise price of the related Option if granted in tandem therewith).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 <u>Exercise and Payment</u>. Upon the exercise of an SAR, a Grantee shall be entitled to receive payment from the Company in an amount determined by multiplying (a) the excess of the Fair Market Value of a Share on the date of exercise over the Exercise Price; by (b) the number of Shares with respect to which the SAR is exercised. SARs shall be deemed exercised on the date written notice of exercise in a form acceptable to the Committee is received by the Secretary of the Company. The Company shall make payment in respect of any SAR within thirty (30) days of the date the SAR is exercised, unless the Award Agreement specifically provides otherwise. Any payment by the Company in respect of a SAR may be made in cash, Shares, other property, or any combination thereof, as the Committee, in its sole discretion, shall determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 <u>Grant Limitations</u>. The Committee may at any time impose any other limitations upon the exercise of SARs which, in the Committee's sole discretion, are necessary or desirable in order for Grantees to qualify for an exemption from Section 16(b) of the Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 <u>No Reload Rights</u>. No SARs granted under the Plan shall contain any provision entitling the Grantee to the automatic grant of additional SARs in connection with the exercise of the original SARs.

**Article 8 Restricted Shares**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 <u>Grant of Restricted Shares</u>. Subject to and consistent with the provisions of the Plan, the Committee, at any time and from time to time, may grant Restricted Shares to any Eligible Person in such amounts as the Committee shall determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 <u>Award Agreement</u>. Each grant of Restricted Shares shall be evidenced by an Award Agreement that shall specify the Period(s) of Restriction, the number of Restricted Shares granted, and such other provisions as the Committee shall determine. The Committee may impose such conditions and/or restrictions on any Restricted Shares granted pursuant to the Plan as it may deem advisable, including restrictions based upon the achievement of specific time-based restrictions, Performance Measures, time-based restrictions on vesting following the attainment of the Performance Measures, and/or restrictions under Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 <u>Consideration for Restricted Shares</u>. The Committee shall determine the amount, if any, that a Grantee shall pay for Restricted Shares provided that it shall be no less than the nominal value per Restricted Share if required to be paid by Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 <u>Effect of Forfeiture</u>. If Restricted Shares are forfeited, and if the Grantee was required to pay for such shares or acquired such Restricted Shares upon the exercise of an Option, the Grantee shall be deemed to have resold such Restricted Shares to the Company at a price equal to the lesser of (x) the amount paid by the Grantee for such Restricted Shares, or (y) the Fair Market Value of a Share on the date of such forfeiture. The Company shall pay to the Grantee the deemed sale price as soon as is administratively practical. Such Restricted Shares shall cease to be outstanding and shall no longer confer on the Grantee thereof any rights as a stockholder of the Company, from and after the date of the event causing the forfeiture, whether or not the Grantee accepts the Company's tender of payment for such Restricted Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 <u>Voting and Dividend Equivalent Rights Attributable to Restricted Shares</u>. A Grantee awarded Restricted Shares will have all voting rights with respect to such Restricted Shares. Unless the Committee determines and sets forth in the Award Agreement that Grantee will not be entitled to receive any dividends with respect to such Restricted Shares, a Grantee will have the right to receive all dividends in respect of such Restricted Shares, which dividends shall be either deemed reinvested in additional shares of Restricted Shares, which shall remain subject to the same forfeiture conditions applicable to the Restricted Shares to which such dividends relate, or paid in cash if and at the time the Restricted Shares are no longer subject to forfeiture, as the Committee shall set forth in the Award Agreement. No dividends may be paid with respect to Restricted Shares that are Forfeited.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 <u>Escrow; Legends</u>. The Committee may provide that the certificates for any Restricted Shares if certificated (x) shall be held (together with a stock transfer form executed in blank by the Grantee) in escrow by the Secretary of the Company until such Restricted Shares become non-Forfeitable or are Forfeited and/or (y) shall bear an appropriate legend restricting the transfer of such Restricted Shares under the Plan. If any Restricted Shares become nonforfeitable, the Company shall cause certificates for such shares to be delivered without such legend.

**Article 9 Deferred Stock and Restricted Stock Units**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 <u>Grant of Deferred Stock and Restricted Stock Units</u>. Subject to and consistent with the provisions of the Plan, the Committee, at any time and from time to time, may grant Deferred Stock and/or Restricted Stock Units to any Eligible Person, in such amount and upon such terms as the Committee shall determine. Deferred Stock must conform in form and substance with applicable regulations promulgated under Section 409A of the Code and with Article 14 to ensure that the Grantee is not subjected to tax penalties under Section 409A of the Code with respect to such Deferred Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 <u>Vesting and Delivery</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Delivery of Shares subject to a Deferred Stock grant will occur upon expiration of the deferral period or upon the occurrence of one or more of the distribution events described in Section 409A of the Code as specified by the Committee in the Grantee's Award Agreement for the Award of Deferred Stock. An Award of Deferred Stock may be subject to such substantial risk of forfeiture conditions as the Committee may impose, which conditions may lapse at such times or upon the achievement of such objectives as the Committee shall determine at the time of grant or thereafter. To the extent that the Grantee has a Termination of Service while the Deferred Stock remains subject to a substantial risk of forfeiture, such Deferred Shares shall be forfeited, unless the Award Agreement provides, or the Committee otherwise determines, that such substantial risk of forfeiture shall lapse in the event of the Grantee's Termination of Service due to death, Disability, involuntary termination by the Company or an Affiliate without Cause, termination by the Grantee for Good Reason or other reason (provided such accelerated exercisability or vesting does not violate Code Section 409A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Unless specified otherwise by the Committee in the Grantee's Award Agreement for the Award of Restricted Stock Units, delivery of Shares subject to a grant of Restricted Stock Units shall occur no later than the 15th day of the third month following the end of the taxable year of the Grantee or the fiscal year of the Company in which the Grantee's rights under such Restricted Stock Units are no longer subject to a substantial risk of forfeiture as defined in final regulations under Section 409A of the Code. To the extent that the Grantee has a Termination of Service while the Restricted Stock Units remain subject to a substantial risk of forfeiture, such Restricted Stock Units shall be forfeited, unless the Award Agreement provides, or the Committee otherwise determines, that such substantial risk of forfeiture shall lapse in the event of the Grantee's Termination of Service due to death, Disability, involuntary termination by the Company or an Affiliate without Cause, termination by the Grantee for Good Reason or other reason (provided such accelerated exercisability or vesting does not violate Code Section 409A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 <u>Voting and Dividend Equivalent Rights Attributable to Deferred Stock and Restricted Stock Units</u>. A Grantee awarded Deferred Stock or Restricted Stock Units will have no voting rights with respect to such Deferred Stock or Restricted Stock Units prior to the delivery of Shares in settlement of such Deferred Stock and/or Restricted Stock Units. Unless the Committee determines and sets forth in the Award Agreement that a Grantee will not be entitled to receive any such Dividend Equivalents with respect to such Deferred Stock or Restricted Stock Units, the Grantee will have the right to receive Dividend Equivalents in respect of Deferred Stock and/or Restricted Stock Units, which Dividend Equivalents shall be either deemed reinvested in additional Shares of Deferred Stock or Restricted Stock Units, as applicable, which shall remain subject to the same forfeiture conditions applicable to the Deferred Stock or Restricted Stock Units to which such Dividend Equivalents relate, or paid in cash if and at the time the Deferred Stock or Restricted Stock Units are no longer subject to forfeiture and deliverable, as the Committee shall set forth in the Award Agreement. No Dividend Equivalents may be paid on Deferred Stock or Restricted Stock Units that are Forfeited.

**Article 10 Performance Units and Performance Shares**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 <u>Grant of Performance Units and Performance Shares</u>. Subject to and consistent with the provisions of the Plan, Performance Units or Performance Shares may be granted to any Eligible Person in such amounts and upon such terms, and at any time and from time to time, as shall be determined by the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.2 <u>Value/Performance Goals</u>. The Committee shall set Performance Measures in its discretion which, depending on the extent to which they are met, will determine the number or value of Performance Units or Performance Shares that will be paid to the Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.3 <u>Earning of Performance Units and Performance Shares</u>. After the applicable Performance Period has ended, the holder of Performance Units or Performance Shares shall be entitled to payment based on the level of achievement of performance goals set by the Committee.

At the discretion of the Committee, the settlement of Performance Units or Performance Shares may be in cash, Shares of equivalent value, or in some combination thereof, as set forth in the Award Agreement provided that if it is to be in Shares, issuance of the Shares shall be subject to payment by the Grantee in cash of the nominal value for each Share so issued to the extent required by Applicable Law.

If a Grantee is promoted, demoted or transferred to a different business unit of the Company during a Performance Period, then, to the extent the Committee determines that the Award, the performance goals, or the Performance Period are no longer appropriate, the Committee may adjust, change, eliminate or cancel the Award, the performance goals, or the applicable Performance Period, as it deems appropriate in order to make them appropriate and comparable to the initial Award, the performance goals, or the Performance Period. Notwithstanding any provision of the Plan, with respect to any Performance Units or Performance Shares, the Committee may adjust downwards or upwards, the cash or number of Shares payable pursuant to such Award in its discretion, and the Committee may waive the achievement of the applicable Performance Measures. The Committee shall have the power to impose such other restrictions on Performance Units and performance Shares as it may deem necessary or appropriate.

Unless the Committee determines and sets forth in the Award Agreement that a Grantee will not be entitled to vote or receive any dividends or Dividend Equivalents declared with respect to Shares deliverable in connection with grants of Performance Units or Performance Shares, the Grantee shall have the right to vote the Shares in respect of such Performance Shares and the right to receive any dividends or Dividend Equivalents in respect of such Performance Units and Performance Shares, which dividends and Dividend Equivalents shall either be deemed reinvested in additional Shares of Performance Units or Performance Shares, as applicable, which shall remain subject to the same forfeiture conditions applicable to the Performance Units or Performance Shares to which such dividends and Dividend Equivalents relate, or paid in cash if and at the time the Performance Units or Performance Shares are payable and/or no longer subject to forfeiture, as the Committee shall set forth in the Award Agreement. No dividends or Dividend Equivalents may be paid on Performance Units or Performance Shares that are forfeited.

**Article 11 Dividend Equivalents**

The Committee is authorized to grant Awards of Dividend Equivalents alone or in conjunction with other Awards; provided, however, that no Dividend Equivalents may be granted in conjunction with any grant of Options or SARs, and no Dividend Equivalents may be paid on any Awards unless and until the Awards become vested, nonforfeitable and/or payable. The Committee may provide that Dividend Equivalents not paid in connection with an Award shall either be (i) paid or distributed in cash when the Dividend Equivalents or Awards to which such Dividend Equivalents relate become vested, nonforfeitable and/or payable or (ii) deemed to have been reinvested in additional Dividends Equivalents or Awards.

**Article 12 Other Stock-Based Awards**

The Committee is authorized, subject to limitations under Applicable Law, to grant such other Awards that are denominated or payable in, valued in whole or in part by reference to, or otherwise based on, or related to, Shares, as deemed by the Committee to be consistent with the purposes of the Plan, including Shares awarded which are not subject to any restrictions or conditions, convertible or exchangeable debt securities or other rights convertible or exchangeable into Shares, and Awards valued by reference to the value of securities of or the performance of specified Affiliates. Subject to and consistent with the provisions of the Plan, the Committee shall determine the terms and conditions of such Awards. Except as provided by the Committee, Shares delivered pursuant to a purchase right granted under this Article 12 shall be purchased for such consideration, paid for by such methods and in such forms, including cash, Shares, outstanding Awards or other property, as the Committee shall determine. The Committee is authorized to grant Shares as a bonus, or to grant Shares or Other Stock-Based Awards in lieu of other obligations of the Company or an Affiliate to pay cash or deliver other property under the Plan or under other plans or compensatory arrangements, subject to such terms as shall be determined by the Committee. Cash awards, as an element of or supplement to any other Award under the Plan, may also be granted pursuant to this Article 12.

**Article 13 Non-Employee Director Awards**

Subject to the terms of the Plan, the Committee may grant Awards to any Non-Employee Director, in such amount and upon such terms and at any time and from time to time as shall be determined by the Committee in its sole discretion. Except as otherwise provided in Section 5.6(b), a Non-Employee Director may not be granted Awards during any single calendar year that, taken together with any cash fees paid to such Non-Employee Director during such calendar year in respect of the Non-Employee Director's service as a member of the Board during such year, exceeds **[$________]** in total value (calculating the value of any such Awards based on the grant date fair value of such Awards for financial accounting purposes) (twice that limit for Awards that are granted to a Non-Employee Director in the fiscal year in which the Non-Employee Director first commences service) (based in each case on the highest level of performance resulting in the maximum payout). Notwithstanding the foregoing, the Board may make exceptions to this limit for individual Non-Employee Directors in extraordinary circumstances, as the Board may determine in its discretion, provided that the Non-Employee Director receiving such additional compensation may not participate in the decision to award such compensation.

**Article 14 Amendment, Modification, and Termination**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.1 <u>Amendment, Modification, and Termination</u>. Subject to Section 14.2, the Board may, at any time and from time to time, alter, amend, suspend, discontinue or terminate the Plan in whole or in part without the approval of the Company's stockholders, except that (a) any amendment or alteration shall be subject to the approval of the Company's stockholders if such stockholder approval is required by any Applicable Law, including without limitation any amendment to materially increase the number of Shares authorized under the Plan (other than pursuant to Section 4.2), expand the types of Awards that may be granted under the Plan, or materially expand the class of individuals eligible to participate in the Plan, and (b) the Board may otherwise, in its discretion, determine to submit other such amendments or alterations to stockholders for approval.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.2 <u>Awards Previously Granted</u>. Except as otherwise specifically permitted in the Plan or an Award Agreement, no termination, amendment, or modification of the Plan shall materially adversely affect in any material way any Award previously granted under the Plan, without the written consent of the Grantee of such Award. Notwithstanding the foregoing, the Board reserves the authority to terminate a 409A Award granted under the Plan in return for payment of the vested portion of the 409A Award provided the termination and payment satisfies the rules under Section 409A of the Code.

**Article 15 Compliance with Code Section 409A**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.1 <u>Awards Subject to Code Section 409A</u>. The provisions of this Article 15 and Section 409A of the Code shall apply to any Award or portion thereof that is or becomes deferred compensation subject to Code Section 409A (a "<u>409A Award</u>"), notwithstanding any provision to the contrary contained in the Plan or the Award Agreement applicable to such Award to the extent required for the Award to comply with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.2 <u>Distributions</u>. Except as otherwise permitted or required by Code Section 409A, no distribution in settlement of a 409A Award may commence earlier than (i) Separation from Service; (ii) the date the Grantee becomes Disabled (as defined in Section 2.26(b)); (iii) the date of the Grantee's death; (iv) a specified time (or pursuant to a fixed schedule) that is either (a) specified by the Committee upon the grant of the Award and set forth in the Award Agreement or (b) specified by the Grantee in an Election complying with the requirements of Section 409A of the Code; or (vi) a change in control of the Company within the meaning of Treasury Regulation Section 1.409A-3(h)(5).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.3 <u>Six-Month Delay</u>. Notwithstanding anything herein or in any Award Agreement or election to the contrary, to the extent that distribution of a 409A Award is triggered by a Grantee's Separation from Service, if the Grantee is then a "specified employee" (as defined in Treasury Regulation Section 1.409A-1(i)), no distribution may be made before the date which is six (6) months after such Grantee's Separation from Service, or, if earlier, the date of the Grantee's death, to the extent required to comply with Code Section 409A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.4 <u>Short-Term Deferral</u>. If an Award Agreement does not specify a payment date, payment of the Award will be made no later than the 15th day of the third month following the end of the taxable year of the Grantee, or the fiscal year of the Company, during which the Grantee's right to payment is no longer subject to a substantial risk of forfeiture under Section 409A of the Code, whichever is later. All rights to payments and benefits under an Award shall be treated as rights to receive a series of separate payments and benefits to the fullest extent allowed by Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.5 <u>Options, SARs and Other Stock-Based Awards in the Nature of Purchase Rights</u>. With respect to Options, SARs and Other Stock-Based Awards in the Nature of Purchase Rights that are intended to be exempt from Section 409A of the Code, in applying Code Sections 1563(a)(l), (2) and (3) for purposes of determining a controlled group of corporations under Code Section 414(b), the language "at least 20 percent" shall be used instead of "at least 80 percent" at each place it appears in Sections 1563(a)(l), (2) and (3), and in applying Treasury Regulation § 1.414(c)-2 (or any successor provision) for purposes of determining trades or businesses (whether or not incorporated) that are under common control for purposes of Section 414(c), the language "at least 20 percent" shall be used instead of "at least 80 percent" at each place it appears in Treasury Regulation §1.414(c)-2.

**Article 16 Withholding**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.1 <u>Required Withholding</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Committee in its sole discretion may provide that when taxes are to be withheld in connection with the exercise of an Option or SAR, or upon the lapse of restrictions on Restricted Shares, or upon the transfer of Shares, or upon payment of any other benefit or right under this Plan (the date on which such exercise occurs or such restrictions lapse or such payment of any other benefit or right occurs hereinafter referred to as the "<u>Tax Date</u>"), the Grantee may elect to make payment for the withholding of federal, state and local taxes, including Social Security and Medicare ("<u>FICA</u>") taxes by one or a combination of the following methods:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) payment of an amount in cash equal to the amount to be withheld (including cash obtained through the sale of the Shares acquired on exercise of an Option or SAR, upon the lapse of restrictions on Restricted Shares, or upon the delivery of Shares pursuant to the Award, through a broker-dealer to whom the Grantee has submitted irrevocable instructions to deliver promptly to the Company, the amount to be withheld);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) delivering part or all of the amount to be withheld in the form of Shares valued at their Fair Market Value on the Tax Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) requesting the Company to withhold from those Shares that would otherwise be received upon exercise of the Option or SAR, upon the lapse of restrictions on Restricted Stock, or upon the delivery of Shares pursuant to the Award, a number of Shares having a Fair Market Value on the Tax Date equal to the amount to be withheld; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) withholding from any other compensation otherwise due to the Grantee.

The Committee in its sole discretion may provide that the maximum amount of tax withholding upon exercise of an Option or SAR, upon the lapse of restrictions on Restricted Shares, or upon the delivery of Shares pursuant to the Award, to be satisfied by withholding Shares upon exercise of such Option or SAR, upon the lapse of restrictions on Restricted Shares, or upon the delivery of Shares pursuant to the Award, pursuant to clause (iii) above, shall not exceed the minimum amount of taxes, including FICA taxes, required to be withheld under federal, state and local law that will not result in adverse financial accounting consequences with respect to such Awards and is permitted under applicable withholding rules promulgated by the Internal Revenue Service or another applicable governmental entity. An election by Grantee under this subsection is irrevocable. Any fractional share amount and any additional withholding not paid by the withholding or surrender of Shares must be paid in cash. If no timely election is made, the Grantee must deliver cash to satisfy all tax withholding requirements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing, (i) any Grantee who makes a Disqualifying Disposition shall remit to the Company an amount, if any, sufficient to satisfy all resulting tax withholding requirements in the same manner as set forth in subsection (a) and (ii) any Grantee who makes an election under Section 83(b) of the Code shall remit to the Company an amount, if any, sufficient to satisfy all resulting tax withholding requirements in cash or in the manner set forth in subsection (a)(iv) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.2 <u>Code Section 83(b) Election</u>. If the Grantee, in connection with the exercise of any Option, or the grant of Restricted Shares, makes the election permitted under Section 83(b) of the Code to include in such Grantee's gross income in the year of transfer the amounts specified in Section 83(b) of the Code, then such Grantee shall notify the Company of such election within 10 days of filing the notice of the election with the Internal Revenue Service, in addition to any filing and notification required pursuant to regulations issued under Section 83(b) of the Code. The Committee may, in connection with the grant of an Award, require the Grantee to make, or prohibit a Grantee from making, the Section 83(b) election with respect to an Award.

**Article 17 Limitation on Benefits**

Despite any other provisions of this Plan to the contrary, if the receipt of any payments or benefits under this Plan, alone or in combination with any other payments or distributions under any other plan, agreement or arrangement, would subject a Grantee to tax under Code Section 4999, the Committee may determine whether some amount of such payments or benefits would meet the definition of a "Reduced Amount." If the Committee determines that there is a Reduced Amount, the total payments or benefits to the Grantee under all Awards must be reduced to such Reduced Amount, but not below zero, with the amounts to be reduced so as to maximize the aggregate Net After Tax Receipts to the Grantee; provided, that, notwithstanding the foregoing, payments or benefits that are not subject to Section 409A of the Code shall be reduced before any payment or benefits that are subject to Section 409A of the Code and all such reductions shall comply with Section 409A of the Code with respect to any amounts subject to Section 409A of the Code. If the Committee determines that the benefits and payments must be reduced to the Reduced Amount, the Company must promptly notify the Grantee of that determination, with a copy of the detailed calculations by the Committee. All determinations of the Committee under this Article 17 are final, conclusive and binding upon the Company and the Grantee. It is the intention of the Company and the Grantee to reduce the payments under this Plan only if the aggregate Net After Tax Receipts to the Grantee would thereby be increased. As result of the uncertainty in the application of Code Section 4999 at the time of the initial determination by the Committee under this Article 17, however, it is possible that amounts will have been paid under the Plan to or for the benefit of a Grantee which should not have been so paid ("<u>Overpayment</u>") or that additional amounts which will not have been paid under the Plan to or for the benefit of a Grantee could have been so paid ("<u>Underpayment</u>"), in each case consistent with the calculation of the Reduced Amount. If the Committee, based either upon the assertion of a deficiency by the Internal Revenue Service against the Company or the Grantee, which the Committee believes has a high probability of success, or controlling precedent or other substantial authority, determines that an Overpayment has been made, any such Overpayment must be treated for all purposes as a loan, to the extent permitted by Applicable Law, which the Grantee must repay to the Company together with interest at the applicable federal rate under Code Section 7872(f)(2); provided, however, that no such loan may be deemed to have been made and no amount shall be payable by the Grantee to the Company if and to the extent such deemed loan and payment would not either reduce the amount on which the Grantee is subject to tax under Code Sections 1, 3101 or 4999 or generate a refund of such taxes. If the Committee, based upon controlling precedent or other substantial authority, determines that an Underpayment has occurred, the Committee must promptly notify the Company of the amount of the Underpayment, which then shall be paid promptly to the Grantee but no later than the end of the Grantee's taxable year next following the Grantee's taxable year in which the determination is made that the underpayment has occurred. For purposes of this Article 17, (i) "<u>Net After Tax Receipt</u>" means the Present Value of payments and benefits under this Plan and any other plan, agreement or arrangement, net of all taxes imposed on Grantee with respect thereto under Code Sections 1, 3101 and 4999, determined by applying the highest marginal rate under Code Section 1 which applies to the Grantee's taxable income for the applicable taxable year; (ii) "<u>Present Value</u>" means the value determined in accordance with Code Section 280G(d)(4) and (iii) "<u>Reduced Amount</u>" means the smallest aggregate amount of all payments and benefits under this Plan and any other plan, agreement or arrangement, which (a) is less than the sum of all such payments and benefits under this Plan and any other plan, agreement or arrangement, and (b) results in aggregate Net After Tax Receipts which are equal to or greater than the Net After Tax Receipts which would result if the aggregate payments and benefits under this Plan and any other plan, agreement or arrangement, were any other amount less than the sum of all payments and benefits to be made under this Plan. Any reduction of payments or benefits pursuant to this Article 17 shall be made in the following order (first against any such items that are not subject to Section 409A of the Code): (i) first against any cash compensation in order of the latest amounts to be paid and otherwise on a pro rata basis, (ii) second against any benefits otherwise payable in order of the latest amounts to be delivered and otherwise on a pro rata basis; and (iii) third against any equity or related awards in order of the latest amounts to be settled and otherwise on a pro rata basis.

**Article 18 Additional Provisions**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.1 <u>Successors</u>. All obligations of the Company under the Plan with respect to Awards granted hereunder shall be binding on any successor to the Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise of all or substantially all of the business and/or assets of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.2 <u>Severability</u>. If any part of the Plan is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity shall not invalidate any other part of the Plan. Any Section or part of a Section so declared to be unlawful or invalid shall, if possible, be construed in a manner which will give effect to the terms of such Section or part of a Section to the fullest extent possible while remaining lawful and valid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.3 <u>Requirements of Law</u>. The granting of Awards and the delivery of Shares under the Plan shall be subject to all Applicable Laws, rules, and regulations, and to such approvals by any governmental agencies or Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted as may be required. Notwithstanding any provision of the Plan or any Award, Grantees shall not be entitled to exercise, or receive benefits under, any Award, and the Company (and any Affiliate) shall not be obligated to deliver any Shares or deliver benefits to a Grantee, if such exercise or delivery would constitute a violation by the Grantee or the Company of any Applicable Law or regulation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.4 <u>Securities Law Compliance</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If the Committee deems it necessary to comply with any Applicable Law, the Committee may impose any restriction on Awards or Shares acquired pursuant to Awards under the Plan as it may deem advisable. In addition, if requested by the Company and any underwriter engaged by the Company, Shares acquired pursuant to Awards may not be sold or otherwise transferred or disposed of for such period following the date of the final prospectus or prospectus supplement relating to an underwritten public offering as the Company or such underwriter shall specify reasonably and in good faith. All certificates for Shares delivered under the Plan pursuant to any Award or the exercise thereof shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the rules, regulations and other requirements of the SEC, Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted, any applicable securities law, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions. If so requested by the Company, the Grantee shall make a written representation to the Company that he or she will not sell or offer to sell any Shares unless a registration statement shall be in effect with respect to such Shares under the Securities Act and any applicable state securities law or unless he or she shall have furnished to the Company, in form and substance satisfactory to the Company, that such registration is not required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Committee determines that the exercise or non-forfeitability of, or delivery of benefits pursuant to, any Award would violate any Applicable Law or result in the imposition of excise taxes on the Company or its Affiliates under the statutes, rules or regulations of any applicable jurisdiction, then the Committee may postpone any such exercise, non-forfeitability or delivery, as applicable, but the Company shall use all reasonable efforts to cause such exercise, non-forfeitability or delivery to comply with all such provisions at the earliest practicable date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Committee may require each Grantee receiving Shares pursuant to an Award under the Plan to represent to and agree with the Company in writing that the Grantee is acquiring the Shares without a view to distribution thereof. In addition to any legend required by the Plan, the certificates for such Shares may include any legend that the Committee deems appropriate to reflect any restrictions on transfer. All certificates for Shares delivered under the Plan shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the rules, regulations and other requirements of the SEC, Nasdaq and any other stock exchange or automated quotation system upon which the Shares are listed or quoted, any applicable federal or state securities law, and any applicable corporate law, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) A Grantee shall be required to supply the Company with certificates, representations and information that the Company requests and otherwise cooperate with the Company in obtaining any listing, registration, qualification, exemption, consent or approval the Company deems necessary or appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.5 <u>Awards Subject to Share Retention Guidelines and Claw-Back Policies</u>. Notwithstanding any provisions herein to the contrary, (i) Shares acquired by a Grantee under the Plan upon the exercise, payment or settlement of an Award shall be subject to the terms of any Share retention guidelines currently in effect or subsequently adopted by the Board and (ii) all Awards granted hereunder shall be subject to the terms of any recoupment policy currently in effect or subsequently adopted by the Board to implement Section 304 of Sarbanes-Oxley, Dodd-Frank or Section 10D of the Exchange Act (or with any amendment or modification of such recoupment policy adopted by the Board) to the extent that such Award (whether or not previously exercised or settled) or the value of such Award is required to be returned to the Company pursuant to the terms of such recoupment policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.6 <u>No Rights as a Stockholder</u>. Unless otherwise determined by the Committee and set forth in the Award Agreement, no Grantee shall have any rights as a stockholder of the Company with respect to the Shares which may be deliverable upon exercise or payment of such Award until such Shares have been delivered to the Grantee (other than as set forth in the Plan). At the time of grant of an Award, the Committee will require the payment of cash dividends thereon to be deferred and, if the Committee so determines, reinvested in additional Awards. Stock dividends and deferred cash dividends issued with respect to Awards shall be subject to the same restrictions and other terms as apply to the Awards with respect to which such dividends are issued. The Committee may in its discretion provide for payment of interest on deferred cash dividends.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.7 <u>Employee Status</u>. If the terms of any Award provide that it may be exercised or paid only during employment or continued service or within a specified period of time after termination of employment or continued service, the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary disability, or other reasons shall not be deemed interruptions of continuous employment or service. For purposes of the Plan, employment and continued service shall be deemed to exist between the Grantee and the Company and/or an Affiliate if, at the time of the determination, the Grantee is a director, officer, employee, consultant or advisor of the Company or an Affiliate. A Grantee on military leave, sick leave or other bona fide leave of absence shall continue to be considered an employee for purposes of the Plan during such leave if the period of leave does not exceed three months, or, if longer, so long as the individual's right to re-employment with the Company or any of its Affiliates is guaranteed either by statute, agreement or contract. If the period of leave exceeds three months, and the individual's right to re-employment is not guaranteed by statute, agreement or contract, the employment shall be deemed to be terminated on the first day after the end of such three-month period. Except as may otherwise be expressly provided in an Agreement, Awards granted to a director, officer, employee, consultant or adviser shall not be affected by any change in the status of the Grantee so long as the Grantee continues to be a director, officer, employee, consultant or advisor to the Company or any of its Affiliates (regardless of having changed from one to the other or having been transferred from one entity to another). The Grantee's employment or continued service shall not be considered interrupted in the event the Committee, in its discretion and as specified at or prior to such occurrence, determines there is no interruption in the case of a spin-off, sale or disposition of the Grantee's employer from the Company or an Affiliate, except that if the Committee does not otherwise specify such at or prior to such occurrence, the Grantee will be deemed to have a termination of employment or continuous service to the extent the Affiliate that employs the Grantee is no longer the Company or an entity that qualifies as an Affiliate. With respect to any Award constituting deferred compensation with the meaning of Code Section 409A, nothing in this Section 18.7 shall be interpreted to modify the definition of Separation from Service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.8 <u>Nature of Payments</u>. Unless otherwise specified in the Award Agreement, Awards shall be special incentive payments to the Grantee and shall not be taken into account in computing the amount of salary or compensation of the Grantee for purposes of determining any pension, retirement, death or other benefit under (a) any pension, retirement, profit sharing, bonus, insurance or other employee benefit plan of the Company or any Affiliate, except as such plan shall otherwise expressly provide, or (b) any agreement between (i) the Company or any Affiliate and (ii) the Grantee, except as such agreement shall otherwise expressly provide.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.9 <u>Non-Exclusivity of Plan</u>. Neither the adoption of the Plan by the Board nor its submission to the stockholders of the Company for approval shall be construed as creating any limitations on the power of the Board to adopt such other compensatory arrangements for employees or Non-Employee Directors as it may deem desirable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.10 <u>Governing Law</u>. The Plan, and all agreements hereunder, shall be construed in accordance with and governed by the laws of the State of Delaware, other than its laws respecting choice of law, to the extent not preempted by federal law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.11 <u>Jurisdiction; Waiver of Jury Trial</u>. Any suit, action or proceeding with respect to the Plan or any Award, or any judgment entered by any court of competent jurisdiction in respect of any thereof, shall be resolved only in the courts of the State of Delaware or the United States District Court for the State of Delaware and the appellate courts having jurisdiction of appeals in such courts. In that context, and without limiting the generality of the foregoing, the Company and each Grantee shall irrevocably and unconditionally (a) submit in any proceeding relating to the Plan or any Award Agreement, or for the recognition and enforcement of any judgment in respect thereof (a "<u>Proceeding</u>"), to the exclusive jurisdiction of the courts of the State of Delaware, the court of the United States of America for the State of Delaware, and appellate courts having jurisdiction of appeals from any of the foregoing, and agree that all claims in respect of any such Proceeding shall be heard and determined in such Delaware State court or, to the extent permitted by law, in such federal court, (b) consent that any such Proceeding may and shall be brought in such courts and waives any objection that the Company and each Grantee may now or thereafter have to the venue or jurisdiction of any such Proceeding in any such court or that such Proceeding was brought in an inconvenient court and agree not to plead or claim the same, (c) waive all right to trial by jury in any Proceeding (whether based on contract, tort or otherwise) arising out of or relating to the Plan or any Award Agreement, (d) agree that service of process in any such Proceeding may be effected by mailing a copy of such process by registered or certified mail (or any substantially similar form of mail), postage prepaid, to such party, in the case of a Grantee, at the Grantee's address shown in the books and records of the Company or, in the case of the Company, at the Company's principal offices, attention General Counsel, and (e) agree that nothing in the Plan shall affect the right to effect service of process in any other manner permitted by the laws of the State of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.12 <u>Unfunded Status of Awards; Creation of Trusts</u>. The Plan is intended to constitute an "unfunded" plan for incentive and deferred compensation. With respect to any payments not yet made to a Grantee pursuant to an Award, nothing contained in the Plan or any Award Agreement shall give any such Grantee any rights that are greater than those of a general creditor of the Company; provided, however, that the Committee may authorize the creation of trusts or make other arrangements to meet the Company's obligations under the Plan to deliver cash, Shares or other property pursuant to any Award which trusts or other arrangements shall be consistent with the "unfunded" status of the Plan unless the Committee otherwise determines.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.13 <u>Participation</u>. No employee or officer shall have the right to be selected to receive an Award under this Plan or, having been so selected, to be selected to receive a future Award.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.14 <u>Military Service</u>. To the extent required by Applicable Law, Awards shall be administered in accordance with Section 414(u) of the Code and the Uniformed Services Employment and Reemployment Rights Act of 1994.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.15 <u>Construction</u>. The following rules of construction will apply to the Plan: (a) the word "or" is disjunctive but not necessarily exclusive, and (b) words in the singular include the plural and words in the plural include the singular.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.16 <u>Other Benefits</u>. No Award granted or paid out under the Plan shall be deemed compensation for purposes of computing benefits under any retirement plan of the Company or its Affiliates nor affect any benefit under any other benefit plan now or subsequently in effect under which the availability or amount of benefits is related to the level of compensation unless such retirement or other benefit specifically provides that an Award shall be counted as compensation for purposes of such plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.17 <u>Death/Disability</u>. The Committee may in its discretion require the transferee of a Grantee to supply it with written notice of the Grantee's death or Disability and to supply it with a copy of the will (in the case of the Grantee's death) or such other evidence as the Committee deems necessary to establish the validity of the transfer of an Award. The Committee may also require that the agreement of the transferee to be bound by all of the terms and conditions of the Plan and the particular Award.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.18 <u>Headings</u>. The headings of articles and sections are included solely for convenience of reference, and if there is any conflict between such headings and the text of this Plan, the text shall control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.19 <u>Obligations</u>. Unless otherwise specified in the Award Agreement, the obligation to deliver, pay or transfer any amount of money or other property pursuant to Awards under this Plan shall be the sole obligation of a Grantee's employer; provided that the obligation to deliver or transfer any Shares pursuant to Awards under this Plan shall be the sole obligation of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.20 <u>No Right to Continue in Service or Employment</u>. Nothing in the Plan or any Award Agreement shall confer upon any Non-Employee Director the right to continue to serve as a director of the Company. Nothing contained in the Plan or any Agreement shall confer upon any Grantee any right with respect to the continuation of employment or service by the Company or any Affiliate or interfere in any way with the right of the Company or any Affiliate, subject to the terms of any separate employment agreement to the contrary, at any time to terminate such employment or service or to increase or decrease the compensation of the Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.21 <u>Payment on Behalf of Grantee or Beneficiary</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If the Grantee is incompetent to handle Grantee's affairs at the time the Grantee is eligible to receive a payment from the Plan, the Committee will make payment to the Grantee's court-appointed personal representative or, if none, the Committee, in its sole discretion, may make payment to the Grantee's duly appointed guardian, legal representative, next-of-kin or attorney-in-fact for the benefit of the Grantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Beneficiary of a deceased Grantee is a minor or is legally incompetent, the Committee will make payment to the Beneficiary's court-appointed guardian or personal representative or to a trust established for the benefit of the Beneficiary, or if no such guardian, representative or trust exists, the Committee, in its sole discretion, may make payment to the Beneficiary's surviving parent or his or her next-of-kin for the benefit of the Beneficiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Committee for any reason considers it improper to direct any payment as specified in this Section 18.21, the Committee may request a court of appropriate jurisdiction to determine the appropriate payee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any payment made by the Committee pursuant to this Section 18.21 shall be in full satisfaction of all liability of the Plan, the Company and its Affiliates with respect to any benefit due a Grantee or a Grantee's Beneficiary under this Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.22 <u>Data Privacy</u>. As a condition for receiving an Award, each Grantee explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of personal data as described in this Section by and among the Company and its Affiliates exclusively for implementing, administering and managing the Grantee's participation in the Plan. The Company and its Affiliates may hold certain personal information about a Grantee, including the Grantee's name, address and telephone number; birthdate; social security, insurance number or other identification number; salary; nationality; job title(s); any Shares held in the Company or its Affiliates; and Award details, to implement, manage and administer the Plan and Awards (the "<u>Data</u>"). The Company and its Affiliates may transfer the Data amongst themselves as necessary to implement, administer and manage a Grantee's participation in the Plan, and the Company and its Affiliates may transfer the Data to third parties assisting the Company with Plan implementation, administration and management. These recipients may be located in the Grantee's country, or elsewhere, and the Grantee's country may have different data privacy laws and protections than the recipients' country. By accepting an Award, each Grantee authorizes such recipients to receive, possess, use, retain and transfer the Data, in electronic or other form, to implement, administer and manage the Grantee's participation in the Plan, including any required Data transfer to a broker or other third party with whom the Company or the Grantee may elect to deposit any Shares. The Data related to a Grantee will be held only as long as necessary to implement, administer, and manage the Grantee's participation in the Plan. A Grantee may, at any time, view the Data that the Company holds regarding such Grantee, request additional information about the storage and processing of the Data regarding such Grantee, recommend any necessary corrections to the Data regarding the Grantee or refuse or withdraw the consents in this Section 18.22 in writing, without cost, by contacting the local human resources representative. The Company may cancel Grantee's ability to participate in the Plan and, in the Committee's discretion, the Grantee may forfeit any outstanding Awards if the Grantee refuses or withdraws the consents in this Section 18.22. For more information on the consequences of refusing or withdrawing consent, Grantees may contact their local human resources representative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.23 <u>Awards to Grantees Outside the United States</u>. The Committee may modify the terms of any Award under the Plan made to or held by a Grantee who is then resident or primarily employed outside of the United States, or establish one or more sub-plans for such Grantees, in any manner deemed by the Committee to be necessary or appropriate in order that such Award shall conform to laws, regulations, and customs of the country in which the Grantee is then resident or primarily employed, or so that the value and other benefits of the Award to the Grantee, as affected by foreign tax laws and other restrictions applicable as a result of the Grantee's residence or employment abroad, shall be comparable to the value of such an Award to a Grantee who is resident or primarily employed in the United States. An Award may be modified under this Section 18.23 in a manner that is inconsistent with the express terms of the Plan, so long as such modifications will not contravene any applicable law or regulation or result in actual liability under Section 16(b) of the Exchange Act for the Grantee whose Award is modified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.24 <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No person shall have any claim or right to receive an Award hereunder. The Committee's granting of an Award to a Grantee at any time shall neither require the Committee to grant any other Award to such Grantee or other person at any time or preclude the Committee from making subsequent grants to such Grantee or any other person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Nothing contained herein prohibits the Grantee from: (1) reporting possible violations of federal law or regulations, including any possible securities laws violations, to any governmental agency or entity; (2) making any other disclosures that are protected under the whistleblower provisions of federal law or regulations; or (3) otherwise fully participating in any federal whistleblower programs, including but not limited to any such programs managed by the SEC. The Grantee does not need prior authorization from the Company to make any such reports or disclosures, and is not required to notify the Company about such disclosures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Agreements evidencing Awards under the Plan shall contain such other terms and conditions, not inconsistent with the Plan, as the Committee may determine in its sole discretion, including penalties for the commission of competitive acts or other actions detrimental to the Company. Notwithstanding any other provision hereof, the Committee shall have the right at any time to deny or delay a Grantee's exercise of Options or the settlement of an Award if such Grantee is reasonably believed by the Committee (i) to be engaged in material conduct adversely affecting the Company or (ii) to be contemplating such conduct, unless and until the Committee shall have received reasonable assurance that the Grantee is not engaged in, and is not contemplating, such material conduct adverse to the interests of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Grantees are and at all times shall remain subject to the securities trading policies adopted by the Company from time to time throughout the period of time during which they may exercise Options, SARs or sell Shares acquired pursuant to the Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding any other provision of this Plan, (i) the Company shall not be obliged to issue any shares pursuant to an Award unless at least the par value of such newly issued share has been fully paid in advance to the extent required by Applicable Law (which requirement may mean the holder of an Award is obliged to make such payment) and (ii) the Company shall not be obliged to issue or deliver any shares in satisfaction of Awards until all legal and regulatory requirements associated with such issue or delivery have been complied with to the satisfaction of the Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Committee has no obligation to search for the whereabouts of any Grantee or Beneficiary if the location of such Grantee or Beneficiary are not made known to the Committee.

**PART II INFORMATION NOT REQUIRED IN PROSPECTUS**

**Item 20. Indemnification of Directors and Officers.**

The Pubco Charter and Pubco Bylaws will provide for indemnification of directors and officers to the fullest extent permitted by the Delaware General Corporation Law, as it now exists or may in the future be amended, including reimbursement for expenses actually and reasonably incurred (including attorneys' fees). The Pubco Bylaws will permit Pubco to purchase and maintain liability, indemnification and/or other similar insurance. Pubco's directors and officers will be covered by insurance indemnifying them against certain liabilities which might be incurred by them in their capacities as such, including certain liabilities under the Securities Act.

In addition, Pubco will enter into separate indemnification agreements with Pubco's directors and executive officers. These agreements, among other things, require Pubco to indemnify its directors and executive officers for certain expenses, including attorneys' fees, judgments, fines and settlement amounts incurred by a director or executive officer in any action or proceeding arising out of their services as one of Pubco's directors or executive officers or any other company or enterprise to which the person provides services at Pubco's request.

**Item 21. Exhibits and Financial Statement Schedules.**

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|:---|:---|
| **Exhibit No.** | **Description** |
| 2.1.1†# | Agreement and Plan of Merger, as of January 6, 2026, by and among CDAQ, Pubco, KMC, Purchaser Merger Sub, and Company Merger Sub (incorporated by reference to [Exhibit 2.1](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex2-1.htm) to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026) (attached as [Annex A-1](#SL_01) to this proxy statement/prospectus contained in this Registration Statement). |
| 2.1.2 | Amendment No. 1 to the Agreement and Plan of Merger, as of February 5, 2026, by and among CDAQ, Pubco, KMC, Purchaser Merger Sub, and Company Merger Sub (incorporated by reference to Exhibit 2.1 to CDAQ's Current Report on Form 8-K, filed with the SEC on February 6, 2026) (attached as [Annex A-2](#swww_001) to this proxy statement/prospectus contained in this Registration Statement). |
| 2.2 | Plan of Merger (attached as [Annex B](#ab_001) to this proxy statement/prospectus contained in this Registration Statement). |
| 2.3\* | [Share Purchase Agreement dated May 1, 2023, by and between KMC and Gold Express Mines, Inc.](ex2-3.htm) |
| 2.4\* | [Share Purchase Agreement dated May 9, 2023, by and between Cerro Blanco Titanium, Inc. and KMC.](ex2-4.htm) |
| 2.5\* | [Asset Purchase Agreement dated August 21, 2023, by and between Critical Minerals Corp. and KMC.](ex2-5.htm) |
| 2.6\*\* | Asset Purchase Agreement dated December 31, 2025, by and between EastWest Ventures LLC and KMC. |
| 3.1 | [Amended and Restated Memorandum and Articles of Association of CDAQ (incorporated by reference to Exhibit 3.1 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex0301.htm) |
| 3.2 | [Amendment to Amended and Restated Memorandum and Articles of Association of CDAQ (incorporated by reference to Exhibit 3.2 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000149315223037771/ex3-1.htm) |
| 3.3 | [Second Amendment to Amended and Restated Memorandum and Articles of Association of CDAQ (incorporated by reference to Exhibit 3.3 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000149315224028941/ex3-1.htm) |
| 3.4 | [Third Amendment to Amended and Restated Memorandum and Articles of Association of Compass Digital Acquisition Corp. (incorporated by reference to Exhibit 3.1 of CDAQ's Current Report on Form 8-K filed with the SEC on April 22, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000164117225005689/ex3-1.htm) |
| 3.5 | Form of Pubco Charter, to become effective upon the completion of the Business Combination (attached as [Annex C](#annexc_001) to this proxy statement/prospectus contained in this Registration Statement). |
| 3.6 | Form of Pubco Bylaws, to be effective upon the completion of the Business Combination (attached as [Annex D](#annexd_001) to this proxy statement/prospectus contained in this Registration Statement). |
| 4.1 | [Warrant Agreement, dated October 14, 2021, by and between CDAQ and Continental Stock Transfer & Trust Company, as warrant agent (incorporated by reference to Exhibit 4.4 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex0401.htm) |
| 4.2 | [Specimen Unit Certificate of CDAQ (incorporated by reference to Exhibit 4.1 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321013898/dp157576_ex0401.htm) |

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| | |
|:---|:---|
| 4.3 | [Specimen Class A Ordinary Share Certificate of CDAQ Specimen Class A Ordinary Share Certificate of CDAQ (incorporated by reference to Exhibit 4.2 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321013898/dp157576_ex0402.htm) |
| 4.4 | [Specimen Warrant Certificate of CDAQ (incorporated by reference to Exhibit 4.3 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321013898/dp157576_ex0403.htm) |
| 4.5\*\* | Specimen Warrant Certificate of Pubco. |
| 4.6\*\* | Form of Warrant Assignment, Assumption and Amendment Agreement, by and among Continental Stock Transfer & Trust Company, as warrant agent, CDAQ and Pubco. |
| 4.7\* | [Form of KMC Investor Warrant.](ex4-7.htm) |
| 4.8\* | [Form of KMC Advisor Warrant.](ex4-8.htm) |
| 4.9\* | [Form of KMC Broker Warrant.](ex4-9.htm) |
| 5.1\*\* | Opinion of Troutman Pepper Locke LLP. |
| 8.1\*\* | Tax opinion of Ellenoff Grossman & Schole LLP. |
| 10.1 | [Investment Management Trust Agreement dated October 14, 2021, by and between CDAQ and Continental Stock Transfer & Trust Company, as trustee (incorporated by reference to Exhibit 10.4 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex1002.htm) |
| 10.2 | [Registration Rights Agreement, dated October 14, 2021. by and among CDAQ and certain security holders of CDAQ (incorporated by reference to Exhibit 10.5 to CDAQ's Annual Report on Form 10-K, filed with the SEC on March 25, 2025).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex1003.htm) |
| 10.3 | [Letter Agreement, dated October 14, 2021, by and among Compass Digital Acquisition Corp. and its prior officers and directors and CDAQ SPAC LLC (incorporated by reference to Exhibit 10.1 of CDAQ's Current Report on Form 8-K filed with the SEC on October 19, 2021).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex1001.htm) |
| 10.4 | [Subscription Agreement, dated September 6, 2023, by and among Compass Digital Acquisition Corp., HCG Opportunity, LLC, and Polar Multi-Strategy Master Fund (incorporated by reference to Exhibit 10.2 of CDAQ's Quarterly Report on Form 10-Q filed with the SEC on November 20, 2023).](https://www.sec.gov/Archives/edgar/data/1851909/000149315223042100/ex10-2.htm) |
| 10.5 | [CDAQ Private Warrants Purchase Agreement, dated October 14, 2021, between Compass Digital Acquisition Corp. and CDAQ SPAC, LLC (incorporated by reference to Exhibit 10.4 of CDAQ's Current Report on Form 8-K filed with the SEC on October 19, 2021).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex1004.htm) |
| 10.6 | [Securities Purchase Agreement between Compass Digital Acquisition Corp. and an affiliate of CDAQ SPAC, LLC (incorporated by reference to Exhibit 10.7 of CDAQ's Registration Statement on Form S-1 filed with the SEC on October 8, 2021).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321013898/dp157576_ex1007.htm) |
| 10.7 | [Promissory Note, dated as of December 30, 2021, by and between Compass Digital Acquisition Corp. and YAS International, LLC (d/b/a Gupta Capital Group) (incorporated by reference to Exhibit 10.4 of CDAQ's Current Report on Form 8-K filed with the SEC on January 5, 2022).](https://www.sec.gov/Archives/edgar/data/1851909/000121390022000733/ea153539ex10-4_compassdigi.htm) |
| 10.8 | [Administrative Service Agreement, dated October 14, 2021, by and between C Compass Digital Acquisition Corp. and CDAQ SPAC, LLC (incorporated by reference to Exhibit 10.5 of CDAQ's Current Report on Form 8-K filed with the SEC on October 19, 2021).](https://www.sec.gov/Archives/edgar/data/1851909/000095010321016110/dp159898_ex1005.htm) |
| 10.9 | [Promissory Note, dated November 21, 2024, issued to Compass Digital SPAC, LLC (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on November 21, 2024).](https://www.sec.gov/Archives/edgar/data/1851909/000149315224047164/ex10-1.htm) |
| 10.10 | [Form of Voting Agreement, dated as of January 6, 2026, by and among Compass Digital Acquisition Corp., Key Mining Corp. and the shareholder of Key Mining Corp. party thereto. (incorporated by reference to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026).](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex10-1.htm) |
| 10.11 | [Sponsor Letter Agreement, dated as of January 6, 2026, by and among HCG Opportunity, LLC, Compass Digital Acquisition Corp. and Key Mining Corp. (incorporated by reference to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026).](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex10-2.htm) |
| 10.12 | [Letter Agreement Amendment, dated as of January 6, 2026, by and among Compass Digital Acquisition Corp., Titan Holdings Corp., HCG Opportunity, LLC and the other parties thereto (incorporated by reference to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026).](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex10-3.htm) |
| 10.13 | [Form of Seller Registration Rights Agreement (incorporated by reference to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026).](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex10-4.htm) |

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| | |
|:---|:---|
| 10.14 | [Form of Founder Registration Rights Agreement Amendment (incorporated by reference to CDAQ's Current Report on Form 8-K, filed with the SEC on January 12, 2026).](https://www.sec.gov/Archives/edgar/data/1851909/000149315226001853/ex10-5.htm) |
| 10.15\*+ | Omnibus Incentive Compensation Plan of Pubco to become effective upon the completion of the Business Combination (attached as [Annex E](#SL_02) to this proxy statement/prospectus contained in this Registration Statement). |
| 10.16\*+ | [Form of Executive Employment Agreement, by and between Pubco and Cesar A. López Alarcón, which will become effective at the Closing of the Business Combination.](ex10-16.htm) |
| 10.17\*+ | [Consulting Agreement dated January 1, 2022, by and between the KMC and Cesar A. López Alarcón.](ex10-17.htm) |
| 10.18\* | [Service Agreement dated October 1, 2021, by and between Key Mining Corporation Chile SpA and Inversiones ZT Financial Group SpA.](ex10-18.htm) |
| 10.19\* | [Service Agreement December 30, 2021, by and between Key Mining Corporation Chile SpA and Reinaldo Ulises Reyes Gonzalez.](ex10-19.htm) |
| 10.20\* | [Service Agreement January 13, 2023, by and between Gold Express Mines SpA and Andrew Sloop.](ex10-20.htm) |
| 10.21\* | [Mining Exploration Agreement and Unilateral Promise to Incorporate a Company dated August 30, 2021, by and between Key Mining Corporation Chile SpA and Sociedad Química y Minera de Chile S.A.](ex10-21.htm) |
| 10.22\* | [Amendment to a Mining Exploration Agreement and Unilateral Promise to Incorporate a Company dated July 27, 2022, by and between Key Mining Corporation Chile SpA and Sociedad Química y Minera de Chile S.A.](ex10-22.htm) |
| 10.23\* | [Second Amendment to a Mining Exploration Agreement and Unilateral Promise to Incorporate a Company dated June 23, 2023, by and between Key Mining Corporation Chile SpA and Sociedad Química y Minera de Chile S.A.](ex10-23.htm) |
| 10.24\* | [Agreement to Purchase Mining Claims dated January 3, 2022, by and between Manquehue Asesorías Mineras SpA and Gold Express Mines SpA.](ex10-24.htm) |
| 10.25\* | [Agreement to Purchase Mining Claims dated January 18, 2023, by and between Manquehue Asesorías Mineras SpA and Gold Express Mines SpA.](ex10-25.htm) |
| 10.26\*\* | Agreement to Purchase Mining Claims dated May 4, 2023, by and between Gold Express Mines SpA and Ignacio Joaquín López Alarcón. |
| 10.27\* | [Amendment to the Royalty on Mining Claims dated July 4, 2023, by and between White Mountain Minerals SpA and Gold Express Mines SpA.](ex10-27.htm) |
| 10.28\* | [Form of Subscription Agreement among the KMC and the investors named therein.](ex10-28.htm) |
| 10.29\* | [Form of Securities Purchase Agreement among the Registrant and the investors named therein.](ex10-29.htm) |
| 10.30\* | [Form of Securities Purchase Agreement among the Registrant and the investors named therein.](ex10-30.htm) |
| 10.31\* | [Service Agreement, dated January 1, 2023, by and between Gold Express Mines SpA and Manquehue Asesorías Mineras SpA.](ex10-31.htm) |
| 10.32\*\* | Form of Director and Officer Indemnification Agreement. |
| 21.1\* | [List of Subsidiaries of Pubco Post-Business Combination.](ex21-1.htm) |
| 23.1\* | [Consent of WithumSmith+Brown, PC.](ex23-1.htm) |
| 23.2\* | [Consent of Fruci & Associates II, PLLC.](ex23-2.htm) |
| 23.3\*\* | Consent of Troutman Pepper Locke LLP (included in Exhibit 5.1). |
| 23.4\*\* | Consent of Ellenoff Grossman & Schole LLP (included in Exhibit 8.1). |
| 23.5\*\* | Consent of Maples and Calder (Cayman) LLP. |
| 23.6\* | [Consent of Qualified Person with respect to the Cerro Blanco Project Technical Report Summary.](ex23-6.htm) |
| 24.1\* | [Powers of Attorney (included as part of signature pages hereto).](#sk_011) |
| 96.1\* | [S-K 1300 Technical Report Summary for the Cerro Blanco Rutile Titanium Bearing Mineral Deposit, Region III, Atacama, Chile, dated August 7, 2023, revised December 6, 2023, as further revised February 2, 2026.](ex96-1.htm) |
| 99.1\*\* | Form of Proxy Card for Extraordinary General Meeting of CDAQ Shareholders. |
| 99.2\* | [Consent of John P. Ryan to be Named as a Director.](ex99-2.htm) |
| 99.3\* | [Consent of Kelly Earle to be Named as a Director.](ex99-3.htm) |
| 99.4\* | [Consent of Timothy R. McCutcheon to be Named as a Director.](ex99-4.htm) |
| 107\* | [Filing Fee Table.](ex107.htm) |

---

---

| | |
|:---|:---|
| \* | Filed herewith. |
| \*\* | To be filed by amendment. |
| + | Indicates management contract or compensatory plan. |
| # | The exhibits to this exhibit have been omitted in accordance with Regulation S-K Item 601(a)(5). The registrant agrees to furnish supplementally a copy of all omitted information to the SEC upon its request. |
| † | Certain personally identifiable information has been omitted from this exhibit pursuant to Item 601(a)(6) of Regulation S-K. |

---

**Item 22. Undertakings.**

The undersigned registrant hereby undertakes as follows:

(a) (1) To
 file, during any period in which offers or sales are being made, a post-effective amendment to this Registration Statement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To
 include any prospectus required by Section 10(a)(3) of the Securities Act;

(ii) To
 reflect in the prospectus any facts or events arising after the effective date of the Registration Statement (or the most recent
 post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set
 forth in the Registration Statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if
 the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end
 of the estimated maximum offering range may be reflected in the form of prospectus filed with the SEC pursuant to Rule 424(b) of
 the Securities Act if, in the aggregate, the changes in volume and price represent no more than 20 percent change in the maximum
 aggregate offering price set forth in the "*Calculation of Filing Fee Table*" in the effective Registration Statement;

(iii) To
 include any material information with respect to the plan of distribution not previously disclosed in the Registration Statement
 or any material change to such information in the Registration Statement.

&nbsp;&nbsp;&nbsp;&nbsp;(2) That,
 for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a
 new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be
 deemed to be the initial bona fide offering thereof.

(3) To
 remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the
 termination of the offering.

(4) That,
 for the purpose of determining liability under the Securities Act to any purchaser, each prospectus filed pursuant to Rule 424(b)
 as part of a registration statement relating to an offering, other than registration statements relying on Rule 430B or other than
 prospectuses filed in reliance on Rule 430A, shall be deemed to be part of and included in the registration statement as of the date
 it is first used after effectiveness. Provided, however, that no statement made in a registration statement or prospectus that is
 part of the registration statement or made in a document incorporated or deemed incorporated by reference into the registration statement
 or prospectus that is part of the registration statement will, as to a purchaser with a time of contract of sale prior to such first
 use, supersede or modify any statement that was made in the registration statement or prospectus that was part of the registration
 statement or made in any such document immediately prior to such date of first use.

(5) That,
 for the purpose of determining any liability under the Securities Act to any purchaser in the initial distribution of the securities,
 the undersigned registrant undertakes that in a primary offering of securities of the undersigned registrant pursuant to this Registration
 Statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold
 to such purchaser by means of any of the following communications, the undersigned registrant will be a seller to the purchaser and
 will be considered to offer or sell such securities to such purchaser:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any
 preliminary prospectus or prospectus of the undersigned registrant relating to the offering required to be filed pursuant to Rule
 424 of the Securities Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Any
 free writing prospectus relating to the offering prepared by or on behalf of the undersigned registrant or used or referred to by
 the undersigned registrant;

(iii) The
 portion of any other free writing prospectus relating to the offering containing material information about the undersigned registrant
 or its securities provided by or on behalf of the undersigned registrant; and

(iv) Any
 other communication that is an offer in the offering made by the undersigned registrant to the purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;(6) That
 prior to any public reoffering of the securities registered hereunder through use of a prospectus which is a part of this Registration
 Statement, by any person or party who is deemed to be an underwriter within the meaning of Rule 145(c) of the Securities Act, the
 issuer undertakes that such reoffering prospectus will contain the information called for by the applicable registration form with
 respect to reofferings by persons who may be deemed underwriters, in addition to the information called for by the other items of
 the applicable form.

(7) That
 every prospectus: (i) that is filed pursuant to the immediately preceding paragraph, or (ii) that purports to meet the requirements
 of Section 10(a)(3) of the Securities Act and is used in connection with an offering of securities subject to Rule 415 of the Securities
 Act, will be filed as a part of an amendment to the Registration Statement and will not be used until such amendment is effective,
 and that, for purposes of determining any liability under the Securities Act, each such post-effective amendment shall be deemed
 to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall
 be deemed to be the initial bona fide offering thereof.

(8) Insofar
 as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons
 of the undersigned pursuant to the foregoing provisions, or otherwise, the undersigned has been advised that in the opinion of the
 Securities and Exchange Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore,
 unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the undersigned
 of expenses incurred or paid by a director, officer or controlling person of the undersigned in the successful defense of any action,
 suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered,
 the undersigned will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court
 of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities
 Act and will be governed by the final adjudication of such issue.

(b) The
 undersigned registrant hereby undertakes to respond to requests for information that is incorporated by reference into the prospectus
 pursuant to Items 4, 10(b), 11 or 13 of this Form, within one business day of receipt of such request, and to send the incorporated
 documents by first class mail or other equally prompt means. This includes information contained in documents filed subsequent to
 the effective date of the Registration Statement through the date of responding to the request.

(c) The
 undersigned registrant hereby undertakes to supply by means of a post-effective amendment all information concerning a transaction,
 and the company being acquired involved therein, that was not the subject of and included in the Registration Statement when it became
 effective.

**SIGNATURES**

Pursuant to the requirements of the Securities Act of 1933, as amended, the co-registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Miami, in the State of Florida, on the 6th day of February, 2026.

---

| | |
|:---|:---|
| **Titan Holdings Corp.** | **Titan Holdings Corp.** |
| By: | */s/ Thomas D. Hennessy* |
| Name: | Thomas D. Hennessy |
| Title: | President and Chief Executive Officer |

---

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Thomas D. Hennessy as his or her true and lawful attorney-in-fact and agent, with full power of substitution and resubstitution, for him or her and in his or her name, place and stead, in any and all capacities, to sign any and all amendments to this Registration Statement on Form S-4, and to file the same, with all exhibits thereto and other documents in connection therewith, with the United States Securities and Exchange Commission, granting unto said attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and thing requisite and necessary to be done in connection therewith, as fully to all intents and purposes as he or she might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or his or her substitutes or substitute, may lawfully do or cause to be done by virtue hereof.

Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement has been signed by the following person in the capacities indicated below.

---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| */s/ Thomas D. Hennessy* | President and Chief Executive Officer | February 6, 2026 |
| Thomas D. Hennessy | *(Principal Executive Officer)* |  |
| */s/ Nicholas Geeza* | Chief Financial Officer | February 6, 2026 |
| Nicholas Geeza | (Principal Financial and Accounting Officer) |  |

---

**SIGNATURES**

Pursuant to the requirements of the Securities Act of 1933, as amended, the co-registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the city of Miami, in the State of Florida, on the 6th day of February, 2026.

---

| | |
|:---|:---|
| **Key Mining Corp.** | **Key Mining Corp.** |
| By: | */s/ Cesar A. López Alarcón* |
| Name: | Cesar A. López Alarcón |
| Title: | Chief Executive Officer |

---

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Cesar A. López Alarcón as his or her true and lawful attorney-in-fact and agent, with full power of substitution and resubstitution, for him or her and in his or her name, place and stead, in any and all capacities, to sign any and all amendments to this Registration Statement on Form S-4, and to file the same, with all exhibits thereto and other documents in connection therewith, with the United States Securities and Exchange Commission, granting unto said attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and thing requisite and necessary to be done in connection therewith, as fully to all intents and purposes as he or she might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or his or her substitutes or substitute, may lawfully do or cause to be done by virtue hereof.

Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement has been signed by the following person in the capacities indicated below.

---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| */s/ Cesar A. López Alarcón* | Chief Executive Officer | February 6, 2026 |
| Cesar A. López Alarcón | *(Principal Executive, Financial and Accounting Officer)* |  |
| */s/ Enrique Correa* | *Director* | February 6, 2026 |
| Enrique Correa |  |  |
| */s/ Howard Crosby* | *Director* | February 6, 2026 |
| Howard Crosby |  |  |
| */s/ John May* | *Director* | February 6, 2026 |
| John May |  |  |

---

## Exhibit 2.3

**Exhibit 2.3**

**Share Purchase Agreement between Key Metals Corp. and Gold Express**

**Mines, Inc. for the Purchase of Cerro Blanco Titanium, Inc.**

THIS SHARE PURCHASE AGREEMENT is made on May 1, 2023 (this "**Agreement**") between Gold Express Mines, Inc., a Nevada corporation with its principal place of business at 6 ½ N. 2<sup>nd</sup> Ave. Suite 201, Walla Walla, Washington, 99362 (the "**Seller**"), and Key Metals Corp., a Delaware corporation (the "**Buyer**"), with its principal place of business at 260 Crandon Blvd. Suite 32 #81 Key Biscayne, Florida 33149.

**WHEREAS** Seller owns 1,000 shares of capital stock of Cerro Blanco Titanium, Inc., a Delaware corporation (the "**CBT Shares**") constituting all of the issued and outstanding shares of Cerro Blanco Titanium, Inc., and thus is a wholly owned subsidiary of the Seller (the "**Delaware Subsidiary**");

**WHEREAS** The Delaware Subsidiary owns all of the capital stock of Gold Express SpA, a Chilean corporation which owns the following assets (i) the Mineral Concessions consisting of the mineral properties listed in Appendix A attached herein and (ii) other assets consisting of physical and electronic data, the rights to the physical drill core, a buyout right on a Net Smelter Royalty, and miscellaneous geological, mining, and metallurgical reports on the subject concessions; and

**WHEREAS** Seller wishes to sell to Buyer, and Buyer wishes to purchase from Seller, the CBT Shares, subject to the terms and conditions set forth herein;

**NOW THEREFORE,** in consideration of the mutual covenants and agreements hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows:

**Purchase of CBT Shares.** Subject to the terms and conditions set forth herein, at the Closing (as defined below), the Seller shall sell to the Buyer, and the Buyer shall purchase from the Seller, the CBT Shares, free and clear of any mortgage, pledge, lien, charge, security interest, claim, community property interest, option, equitable interest, restriction of any kind (including any restriction on use, voting, transfer, receipt of income, or exercise of any other ownership attribute), or other encumbrance (each, an "**Encumbrance)**.

**1. Purchase Price**

The aggregate purchase price for the Shares shall be 17.5 million shares of the common stock of (par value $0.001 per share) of the Buyer, which shall be issued to the Seller at the Closing.

**2. Shares Valuation.**

The shares of common stock constituting the Purchase Price shall be valued on a per share basis and established by the value of the Buyer's common stock as indicated by recently closed private placements of the Buyer's shares and estimated to be $0.165 per share.

**3. Closing and Escrow.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Subject
 to Sections 8 and 9 hereof, the closing (the "**Closing**") of the transactions
 contemplated by this Agreement shall occur on May 3, 2023 (the "**Closing Date** "),
 provided there are no unforeseen delays.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) On
 or prior to the Closing Date, the CBT Shares shall be transferred from the Seller to the
 Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Within
 three business days following the Closing Date, the Buyer shall issue to the Seller the shares
 of the Buyer's common stock constituting the Purchase Price in the name of "Gold
 Express Mines, Inc.".

**4. Representations of Seller.**

Seller and its wholly owned Delaware Subsidiary hereby covenants, represents, and warrants to the Buyer as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Organizational.** The Seller is duly incorporated, validly existing and in good standing under the laws
 of the jurisdiction of its incorporation, has all requisite power and authority to enter
 into and perform the Seller's obligations under this Agreement and to consummate the
 transactions contemplated hereby, and this Agreement has been duly executed and delivered
 by the Seller pursuant to all necessary authorization and is the legal, valid and binding
 obligation of the Seller, enforceable against the Seller in accordance with its terms. The
 Delaware Subsidiary is duly incorporated, validly existing and in good standing under the
 laws of the jurisdiction of its incorporation, has all requisite power and authority to enter
 into and perform the obligations under this Agreement and to consummate the transactions
 contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **No Liabilities.** The Seller has no liabilities, obligations, or commitments of any nature
 whatsoever, whether asserted, known, absolute, accrued, matured, or otherwise, except those
 which have been incurred in the ordinary course of business consistent with past practice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) **Title to Assets**. The Seller owns and has good title to all the assets of the Seller, free and
 clear of Encumbrances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) **Authority and Enforceability**. The execution and delivery by the Seller of this Agreement and the
 performance by the Seller of its obligations hereunder have been duly and validly authorized
 by its board of directors, and no other action on the part of the Seller or its board of
 directors or stockholders is necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) **No Conflicts**. The execution and delivery by the Seller of this Agreement does not, and the
 performance by the Seller of its obligations under this Agreement, and the consummation of
 the transactions contemplated hereby does and will not violate or conflict with any order
 statute, law, ordinance, rule, regulation, regulation or permit applicable to the Seller;
 or (b) conflict with, or result in (with or without notice or lapse of time or both) any
 violation of, or default under, or give rise to a right of termination, acceleration or modification
 of any obligation or loss of any benefit under any contract to which the Seller is a party,
 except, for any such conflicts, violations, breaches or defaults that would not be reasonably
 expected to have a material adverse effect. No consent, approval, waiver or authorization,
 filing is required to be obtained by the Seller from any person or entity (including any
 governmental authority) in connection with the execution, delivery and performance by the
 Seller of this Agreement and the consummation of the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f) **Delaware Subsidiary Shares**. The CBT Shares constitute all the issued and outstanding capital stock
 of the Delaware Subsidiary. The Seller owns, beneficially and of record, all the CBT Shares,
 free and clear of any Encumbrances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g) **Litigation**.
 There are no actions, suits, proceedings, or investigations pending or, to the knowledge
 of the Seller, threatened against or involving Seller brought by Seller affecting any of
 the purchased property at law or in equity or admiralty or before or by any federal, state,
 municipal, or other governmental department, commission, board, agency, or instrumentality,
 domestic or foreign.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;h) **Compliance with Laws**. To the best of its knowledge, Seller has complied with and is operating its
 business in compliance with all laws, regulations, and orders applicable to the business
 conducted by it, and the present uses by the Seller of the purchased property do not violate
 any such laws, regulations, and orders. Seller has no knowledge of any material present or
 future expenditures that will be required with respect to any of Seller's facilities
 to achieve compliance with any present statute, law, or regulation, including those relating
 to the environment or occupational health and safety.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) **Disclosure**.
 No representation or warranty by the Seller contained in this Agreement, and no statement
 contained in any certificate or other instrument furnished or to be furnished to Buyer pursuant
 hereto, or in connection with the transactions contemplated hereby, contains or will contain
 any untrue statement of a material fact or omits or will omit to state any material fact
 that is necessary in order to make the statements contained therein not misleading.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;j) **Environmental**.
 To the best of the knowledge of the Seller, the Seller possesses, and is in material compliance
 with, all permits, licenses and government authorizations and has filed all notices that
 are required under local, state and federal laws, statutes, by-laws and regulations relating
 to protection of the environment, pollution control, product registration and hazardous materials
 ()"**Environmental Laws** "), and the Seller is in material compliance with
 all applicable limitations, restrictions, conditions, standards, prohibitions, requirements,
 obligations, schedules and timetables contained in those laws or contained in any law, regulation,
 code, plan, order, decree, judgment, notice, permit or demand letter issued, entered, promulgated
 or approved thereunder. . The Seller has not received notice of actual or threatened liability
 under the Federal Comprehensive Environmental Response, Compensation and Liability Act ()"**CERCLA** ")
 or any similar statute or ordinance from any governmental entity or any third party, and,
 to the knowledge of the Seller, there are no facts or circumstances which could form the
 basis for the assertion of any claim against the Seller under any Environmental Laws including,
 without limitation, CERCLA or any similar local, state or foreign law with respect to any
 on-site or off-site location.

**5. Representations of Buyer.**

The Buyer hereby covenants, represents and warrants to the Seller as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Organization.** The Buyer is duly incorporated, validly existing and in good standing under the laws
 of the jurisdiction of its incorporation, has all requisite power and authority to enter
 into and perform the Seller's obligations under this Agreement and to consummate the
 transactions contemplated hereby, and this Agreement has been duly executed and delivered
 by the Seller pursuant to all necessary authorization and is the legal, valid and binding
 obligation of the Seller, enforceable against the Seller in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **No Conflicts**. The execution and delivery by the Buyer of this Agreement does not, and the
 performance by the Buyer of its obligations under this Agreement, and the consummation of
 the transactions contemplated hereby does and will not violate or conflict with any order
 statute, law, ordinance, rule, regulation, regulation or permit applicable to the Buyer;
 or (b) conflict with, or result in (with or without notice or lapse of time or both) any
 violation of, or default under, or give rise to a right of termination, acceleration or modification
 of any obligation or loss of any benefit under any contract to which the Buyer is a party,
 except, for any such conflicts, violations, breaches or defaults that would not be reasonably
 expected to have a material adverse effect. No consent, approval, waiver or authorization,
 filing is required to be obtained by the Buyer from any person or entity (including any governmental
 authority) in connection with the execution, delivery and performance by the Buyer of this
 Agreement and the consummation of the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) **Purchase Price.** The shares of common stock constituting the Purchase Price has been duly authorized,
 and upon consummation of the transactions contemplated by this Agreement, will be validly
 issued, fully paid and nonassessable, and will be free of any liens or encumbrances; provided,
 however, that such shares of common stock may be subject to restrictions on transfer under
 state and/or federal securities laws as required by such laws at the time a transfer is proposed.
 The sale of the shares of common stock constituting the Purchase Price is not and will not
 be subject to any preemptive rights or rights of first refusal that have not been properly
 waived or complied.

**6. Appendices.**

The Appendices and other documents attached or referred to in this Agreement are an integral part of this Agreement.

**7. Conditions to Closing Obligation of the Buyer.** The obligation of the Buyer to consummate the transactions contemplated hereby are subject to the fulfillment, at or before the Closing, of each of the following conditions (all or any of which may be waived in writing in whole or in part by the Buyer in its sole discretion):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Representations and Warranties True at Closing**. The representations and warranties of the Seller contained
 in the Agreement or any certificate or document delivered pursuant to the provisions hereof
 or in connection with the transactions contemplated hereby shall be true on and as of the
 closing date as though such representations and warranties were made at and as of such date,
 except if such representations and warranties were made as of a specified date and such representations
 and warranties shall be true as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **Seller's Compliance with Agreement**. The Seller shall have performed and complied with all agreements
 and conditions required by this Agreement to be performed or complied with by it prior to
 or at the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) **Adverse Change**. There shall not have occurred a material adverse effect with respect to the Seller
 or its assets, or any change, fact, circumstance, condition, prospects, event or effect,
 or combination of changes, facts, circumstances, conditions, prospects, events or effects,
 that individually or in the aggregate would reasonably be expected to have a material adverse
 effect with respect to the Seller or its assets.

**8. Conditions to Closing Obligation of the Seller.** The obligation of the Seller to consummate the transactions contemplated hereby are subject to the fulfillment, at or before the Closing, of each of the following conditions (all or any of which may be waived in writing in whole or in part by the Seller in its sole discretion):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Representations and Warranties True at Closing**. The representations and warranties of the Buyer contained
 in the Agreement or any certificate or document delivered pursuant to the provisions hereof
 or in connection with the transactions contemplated hereby shall be true on and as of the
 closing date as though such representations and warranties were made at and as of such date,
 except if such representations and warranties were made as of a specified date and such representations
 and warranties shall be true as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **Buyer' Compliance with Agreement**. The Buyer shall have performed and complied with all agreements
 and conditions required by this Agreement to be performed or complied with by it prior to
 or at the Closing.

**9. Costs and Expenses.**

Except as otherwise expressly provided herein, all costs and expenses, including, without limitation, fees and disbursements of counsel, financial advisors, and accountants, incurred in connection with this Agreement and any other transactions contemplated hereby shall be paid by the party incurring such costs and expenses, whether or not the Closing shall have occurred.

**10. Board and Management Provisions.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Board and Management -Delaware Subsidiary.** The current Board of Directors and Management of
 the Delaware Subsidiary are John Ryan - CEO, President, Secretary and Board Member; Howard
 Crosby - Vice-President, Treasurer, and Board Member; Terrence Dunne - Board Member; and
 James Czirr - Board Member.

Upon the closing the current Officers and Directors shall resign excepting Mr. Ryan shall retain his board seat and name two new Board Members which shall be Cesar Lopez and Enrique Correa. It is expected that thereafter the newly constituted board shall appoint new management upon its first meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) **Board and Management - Chilean Subsidiary.** The newly appointed Board of Directors of the Delaware
 Subsidiary shall also be named the Board of the Chilean Subsidiary. The Attorney of Record
 with Power of Attorney in Chile shall remain to be Ignacio Lopez and the Country Manager
 shall remain to be Enrique Correa. The CEO of the Chilean subsidiary shall be Cesar Lopez.

**11. Other Provisions.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) **Applicable Law and Forum.** This Agreement shall be governed by and construed in accordance with the
 Laws of the State of Delaware applicable to a contract executed and performed in such State
 without giving effect to the conflicts of Laws principles thereof, which would result in
 the applicability of the Laws of another jurisdiction. TO THE FULLEST EXTENT PERMITTED BY
 LAW, THE PARTIES HERETO HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM
 OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF THIS AGREEMENT OR ANY DEALINGS BETWEEN THEM
 RELATING TO THE SUBJECT MATTER OF THIS TRANSACTION. THE SCOPE OF THIS WAIVER IS INTENDED
 TO BE ALL-ENCOMPASSING OF ANY AND ALL DISPUTES THAT RELATE TO THE SUBJECT MATTER OF THIS
 AGREEMENT, INCLUDING, WITHOUT LIMITATION, CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS,
 AND ALL OTHER COMMON LAW AND STATUTORY CLAIMS. IN THE EVENT OF LITIGATION, THIS AGREEMENT
 MAY BE FILED AS A WRITTEN CONSENT TO A TRIAL BY THE COURT. Each of the parties hereto hereby
 irrevocably consents and submits to the exclusive jurisdiction of the state or federal courts
 with jurisdiction over Wilmington, Delaware in connection with any action arising out of
 or relating to this Agreement or the transactions contemplated hereby, waives any objection
 to venue in the state or federal courts with jurisdiction over Wilmington, Delaware.

b) **Parties Bound**. This Agreement shall be binding on and inure to the benefit of the parties to
 this Agreement and their respective heirs, executors, administrators, legal representatives,
 successors and assigns as permitted by this Agreement.

c) **Legal Construction**. This Agreement shall be construed as to effectuate the intended purpose
 of the Agreement. In the event any one or more of the provisions contained in this Agreement
 shall for any reason be held invalid, illegal, or unenforceable in any respect, this Agreement
 shall be modified to otherwise effectuate the sale under the original intentions of the Parties.
 This may include striking the invalid, illegal, or unenforceable provision as if they had
 never been contained in this Agreement, or modifying the invalid, illegal or unenforceable
 provisions to make them compliant without modifying the original purpose of the Parties.

d) **Amendments and Modifications; Waiver**. This Agreement may only be amended, modified, or supplemented
 by an agreement in writing signed by the Buyer and the Seller. Any failure of the Buyer and
 the Seller to comply with any obligation, covenant, agreement or condition herein may be
 waived by the Seller (with respect to any failure by the Buyer) or by the Buyer (with respect
 to any failure by the Seller) only by a written instrument signed by the party granting such
 waiver, but such waiver or failure to insist upon strict compliance with such obligation,
 covenant, agreement or condition shall not operate as a waiver of, or estoppel with respect
 to, any subsequent or other failure.

e) **Attorneys' Fees**. Should any litigation be commenced between the parties to this Agreement concerning
 the rights and duties of either party in relation to the Business or this Agreement, the
 prevailing party in the arbitration or litigation shall be entitled to (in addition to any
 other relief that may be granted) a reasonable sum and attorneys' fees in the arbitration
 or litigation, which sum shall be determined by the court or other person presiding in the
 arbitration or litigation or in a separate action brought for that purpose.

f) **Entire Agreement**. This Agreement constitutes the sole and entire agreement of the parties to
 this Agreement with respect to the subject matter contained herein and therein, and supersede
 all prior and contemporaneous understandings and agreements, both written and oral, with
 respect to such subject matter. In the event of any inconsistency between the statements
 in the body of this Agreement and the exhibits and schedules hereto, the statements in the
 body of this Agreement will control.

g) **Counterparts**.
 This Agreement may be executed in counterparts, each of which shall be deemed an original,
 but all of which together shall be deemed to be one and the same agreement. A signed copy
 of this Agreement delivered by facsimile, e-mail or other means of electronic transmission
 shall be deemed to have the same legal effect as delivery of an original signed copy of this
 Agreement.

[SIGNATURE PAGE FOLLOWS]

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

---

| | | |
|:---|:---|:---|
| **Seller:** | **Seller:** |  |
| Gold Express Mines, Inc. | Gold Express Mines, Inc. |  |
| By: | /s/ John P. Ryan | Date: <u>May 1, 2023</u> |
|  | John Ryan, CEO & President |  |
| **Buyer:** | **Buyer:** |  |
| Key Metals Corp. | Key Metals Corp. |  |
| By: | /s/ Cesar Lopez | Date: <u>May 3, 2023</u> |
|  | Cesar Lopez, CEO & President |  |

---

**APPENDIX A**

**MINERAL CONCESSIONS**

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **NAME** | **OWNER** | **TYPE** | **COMUNE** | **TAX-ID** | **STATUS** | **HA** | **FOJAS** | **NUMERO** | **ANO** | **REGISTRO** | **NOTARY** |
| 1 | **CAROLINA UNO 11/30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1178-4 | CONSTITUIDA | 200 | 9 | 2 | 2023 | PROPIEDAD | FREIRINA |
| 2 | **CAROLINA DOS 11/30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1179-2 | CONSTITUIDA | 200 | 10 | 3 | 2023 | PROPIEDAD | FREIRINA |
| 3 | **CAROLINA TRES 11/30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1180-6 | CONSTITUIDA | 200 | 11 | 4 | 2023 | PROPIEDAD | FREIRINA |
| 4 | **CAROLINA SEIS 1/30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1183-0 | CONSTITUIDA | 300 | 12 | 5 | 2023 | PROPIEDAD | FREIRINA |
| 5 | **CAROL DOS UNO 1/60** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1306-K | CONSTITUIDA | 300 | 13 | 6 | 2023 | PROPIEDAD | FREIRINA |
| 6 | **CAROL DOS DOS 1/60** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1307-8 | CONSTITUIDA | 297 | 14 | 7 | 2023 | PROPIEDAD | FREIRINA |
| 7 | **CAROL DOS TRES 1/60** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1308-6 | CONSTITUIDA | 282 | 15 | 8 | 2023 | PROPIEDAD | FREIRINA |
| 8 | **CAROL DOS SEIS 1/60** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1309-4 | CONSTITUIDA | 300 | 16 | 9 | 2023 | PROPIEDAD | FREIRINA |
| 9 | **ENRIQUE 1/30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-0233-5 | CONSTITUIDA | 150 | 17 | 10 | 2023 | PROPIEDAD | FREIRINA |
| 10 | **ELISA 1, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1699-9 | CONSTITUIDA | 300 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 11 | **ELISA 2, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1700-6 | CONSTITUIDA | 282 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 12 | **ELISA 3A, 1 AL 12** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2020-1 | CONSTITUIDA | 60 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 13 | **ELISA 3B, 1 AL 2** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1702-2 | CONSTITUIDA | 10 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 14 | **ELISA 4A, 1 AL 44** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2021-K | CONSTITUIDA | 220 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 15 | **ELISA 4B, 1 AL 4** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1704-9 | CONSTITUIDA | 20 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 16 | **ELISA 5, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2022-8 | CONSTITUIDA | 294 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 17 | **ELISA 6, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2023-6 | CONSTITUIDA | 300 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 18 | **ELISA 7, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1707-3 | CONSTITUIDA | 300 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 19 | **ELISA 8, 1 AL 25** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1708-1 | CONSTITUIDA | 250 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 20 | **ELISA 9, 1 AL 30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1709-K | CONSTITUIDA | 300 | 18 | 11 | 2023 | PROPIEDAD | FREIRINA |
| 21 | **ELISA 10, 1 AL 30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1710-3 | CONSTITUIDA | 280 | 19 | 12 | 2023 | PROPIEDAD | FREIRINA |
| 22 | **ELISA 11, 1 AL 10** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1711-1 | CONSTITUIDA | 50 | 20 | 13 | 2023 | PROPIEDAD | FREIRINA |
| 23 | **ELISA 12, 1 AL 22** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2024-4 | CONSTITUIDA | 220 | 21 | 14 | 2023 | PROPIEDAD | FREIRINA |
| 24 | **ELISA 13, 1 AL 30** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-1713-8 | CONSTITUIDA | 300 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 25 | **ELISA 14, 1 AL 28** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1714-6 | CONSTITUIDA | 280 | 22 | 15 | 2023 | PROPIEDAD | FREIRINA |
| 26 | **ELISA 15, 1 AL 28** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1715-4 | CONSTITUIDA | 280 | 23 | 16 | 2023 | PROPIEDAD | FREIRINA |
| 27 | **ELISA 19, 1 AL 26** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2025-2 | CONSTITUIDA | 250 | 24 | 17 | 2023 | PROPIEDAD | FREIRINA |
| 28 | **ELISA 21, 1 AL 30** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-1718-9 | CONSTITUIDA | 300 | 25 | 18 | 2023 | PROPIEDAD | FREIRINA |
| 29 | **FREIRINA 1, 1 AL 50** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2349-9 | CONSTITUIDA | 50 | 26 | 19 | 2023 | PROPIEDAD | FREIRINA |
| 30 | **FREIRINA 2, 1 AL 100** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2350-2 | CONSTITUIDA | 100 | 27 | 20 | 2023 | PROPIEDAD | FREIRINA |
| 31 | **MEM 26, 1 AL 10** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2424-K | CONSTITUIDA | 50 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 32 | **MEM 33, 1 AL 40** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2425-8 | CONSTITUIDA | 200 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 33 | **MEM 34, 1 AL 44** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2426-6 | CONSTITUIDA | 220 | 28 | 21 | 2023 | PROPIEDAD | FREIRINA |
| 34 | **MEM 35, 1 AL 44** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2427-4 | CONSTITUIDA | 220 | 29 | 22 | 2023 | PROPIEDAD | FREIRINA |
| 35 | **MEM 36, 1 AL 40** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2428-2 | CONSTITUIDA | 200 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 36 | **MEM 37, 1 AL 40** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2429-0 | CONSTITUIDA | 200 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 37 | **MEM 38, 1 AL 40** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2430-4 | CONSTITUIDA | 200 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 38 | **MEM 39, 1 AL 40** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2431-2 | CONSTITUIDA | 200 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 39 | **MEM 61, 1 AL 10** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2809-1 | CONSTITUIDA | 50 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 40 | **MEM 62, 1 AL 226** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2810-5 | CONSTITUIDA | 226 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 41 | **MEM 63, 1 AL 208** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2811-3 | CONSTITUIDA | 208 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 42 | **MEM 64, 1 AL 150** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2812-1 | CONSTITUIDA | 150 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 43 | **MEM 65, 1 AL 60** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2813-K | CONSTITUIDA | 298 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 44 | **MEM 66, 1 AL 92** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2814-8 | CONSTITUIDA | 92 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 45 | **MEM 67, 1 AL 162** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2815-6 | CONSTITUIDA | 162 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 46 | **MEM 68, 1 AL 244** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2816-4 | CONSTITUIDA | 244 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 47 | **MEM 71, 1 AL 20** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2897-0 | CONSTITUIDA | 76 | 30 | 23 | 2023 | PROPIEDAD | FREIRINA |
| 48 | **MEM 72, 1 AL 48** | IGNACIO JOAQUIN LOPEZ ALARCON | EXPLOTACION | FREIRINA | 03302-2898-9 | CONSTITUIDA | 240 | N/D | N/D | N/D | PROPIEDAD | FREIRINA |
| 49 | **MEM 74, 1 AL 10** | GOLD EXPRESS MINES SpA | EXPLOTACION | FREIRINA | 03302-2899-7 | CONSTITUIDA | 26 | 31 | 24 | 2023 | PROPIEDAD | FREIRINA |
| 50 | **CERRO BLANCO 1, 1 AL 20** | GOLD EXPRESS MINES SpA | EXPLOTACION | VALLENAR | N/D | EN PROCESO | 100 | N/D | N/D | N/D | DESCUBRIMIENTOS | VALLENAR |
| 51 | **CERRO BLANCO 2** | GOLD EXPRESS MINES SpA | EXPLORACION | FREIRINA | N/D | EN PROCESO | 200 | 57 | 28 | 2023 | DESCUBRIMIENTOS | FREIRINA |
| 52 | **CERRO BLANCO 3** | GOLD EXPRESS MINES SpA | EXPLORACION | FREIRINA | N/D | EN PROCESO | 300 | 58 | 29 | 2023 | DESCUBRIMIENTOS | FREIRINA |
|  |  |  |  |  |  | **TOTAL** | **10537** |  |  |  |  |  |

---

## Exhibit 2.4

**Exhibit 2.4**

---

| | |
|:---|:---|
| **REPERTORIO N° 6.959/2023**<br> **/l. López** <br> **OT: 131585** | **JOURNAL No. 6,959-2023**<br> **/l. López**<br> **W.O. 131,585** |
| <br> **COMPRAVENTA DE ACCIONES**<br>**CERRO BLANCO TITANIUM, INC.**<br>**A**<br>**KEY METALS CORP.**<br>En Santiago de Chile, a nueve de mayode dos mil veintitrés, ante mí, **MARÍAPILAR GUTIÉRREZ RIVERA,** abogado, Notario Público, titular de laDécimo Octava Notaría de Santiago, domiciliada en Huérfanos númeroseiscientos sesenta y nueve, pisoocho, comuna de Santiago, comparece:<br>Don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN,** chileno, casado y separado totalmente de bienes, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco, guion siete, en representación de **CERRO BLANCO TITANIUM, INC.,** sociedad constituida y válidamente existente bajo las leyes del Estado de Delaware, Estados Unidos de América, Rol Único Tributario número cincuenta y nueve millones trescientos veinticuatro mil trescientos veinte, guion seis, y<br>de **KEY METALS CORP.,** sociedad constituida y válidamente existente bajo las leyes del Estado de Delaware, Estados Unidos de América, Rol Único Tributario número cincuenta y nueve millones doscientos noventa y cinco mil cincuenta guion dos, todos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos A, comuna de Vitacura, Santiago, | <br> **SHARE PURCHASE AGREEMENT**<br>**CERRO BLANCO TITANIUM, INC.**<br>**AND**<br>**KEY METALS CORP.**<br>In Santiago, Chile, on May 9, 2023, the following individual **HAS APPEARED BEFORE ME, MARÍA PILAR GUTIÉRREZ RIVERA,** lawyer and Notary Public, assigned to the Santiago Eighteenth Notary Offices, with address at 669, Huérfanos St., 8<sup>th</sup> Floor, Santiago borough:<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN,** a Chilean lawyer, national identification card No. 16,017,525-7, herein representing **CERRO BLANCO TITANIUM, INC.,** a company incorporated and in good standing according to the laws of the State of Delaware, United States of America, Chilean Taxpayer Identification No. 59,324,320-6, and<br>**KEY METALS CORP.,** a company incorporated and in good standing according to the laws of the State of Delaware, United States of America, Chilean Taxpayer Identification No. 59,295,050-2, all with address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602-A, Vitacura borough, Santiago. |
| <br> el compareciente mayor de edad, quien acredita su respectiva identidad con la cédula antes citada y expone:<br>**<u>PRIMERO</u>: Antecedentes.**<br>**UNO.** Por escritura pública de fecha diecisiete de noviembre de dos mil veintiuno, otorgada en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera, bajo el repertorio número treinta mil doscientos ochenta y cuatro, guion dos mil veintiuno, se constituyó la sociedad por acciones "**GOLD EXPRESS MINES SpA",** en adelante la "Sociedad". Un extracto de la referida escritura fue inscrito a fojas noventa y un mil setecientos sesenta y dos, número cuarenta y dos mil ciento treinta y tres en el Registro de Comercio del Conservador de Bienes Raíces de Santiago correspondiente al año dos mil veintiuno, y publicado en el Diario Oficial número cuarenta y tres mil ciento nueve con fecha veintidós de noviembre de dos mil veintiuno.<br>**DOS.** El capital de la Sociedad es de un millón de pesos, dividido en mil acciones nominativas, de una misma serie sin valor nominal, el que a la fecha se encuentra totalmente pagado. | <br>The appearing individual is of age, has shown the forenamed identification card as proof of his identity and has stated as follows:<br>**<u>FIRST</u>: Background Information**<br>**1. "GOLD EXPRESS MINES SpA"**, hereinafter called the "Company", was incorporated as a joint-stock company in a registered document signed on November 17, 2021, at the Santiago Notary offices of María Pilar Gutiérrez Rivera, entered in the journal under No. 30,284-2021. An excerpt of this document was entered under No. 42,133 on Page 91,762 of the Santiago Real-Estate Registrar's 2021 Book of Companies, and published in issue No. 43,109 of the Official Gazette on November 22, 2021.<br>**2.** The Company's capital amounts to one million Chilean pesos (CLP 1,000,000), divided into 1,000 registered shares of the same series and without par value, presently fully paid. |

---

![](ex2-4_001.jpg)

---

| | |
|:---|:---|
| <br> **TRES**. El único y actual accionista de la Sociedad es **CERRO BLANCO TITANIUM, INC.**, con mil acciones nominativas, de una misma serie y de igual valor, sin valor nominal.<br>**CUATRO.** Las mil acciones de las que es dueña **CERRO BLANCO TITANIUM, INC.** se encuentran debidamente anotadas en el Registro de Accionistas de la Sociedad y no tienen ni han tenido nunca cotización bursátil.<br>**CINCO.** La Sociedad no ha sido objeto de modificaciones a la fecha.<br>**<u>SEGUNDO</u>: Compraventa.**<br>Por el presente acto e instrumento, **CERRO BLANCO TITANIUM, INC.,** a través de su representante compareciente, vende, cede y transfiere a **KEY METALS CORP.,** quien, a través de su representante compareciente, a su vez compra, acepta y adquiere las mil acciones individualizadas en la cláusula anterior, directamente, sin la intermediación de un corredor de bolsa, ni de ninguna institución bancaria, financiera o de crédito.<br>**<u>TERCERO</u>: Precio.**<br>El precio total de la compraventa ofrecida corresponde a la suma de un millón de pesos, la que **KEY METALS CORP.** paga en este acto, al contado y en dinero en efectivo, a **CERRO BLANCO TITANIUM, INC.,** quien declara recibir el pago a su entera satisfacción y conformidad. Las partes declaran que, por no tener tales acciones cotización bursátil el precio ha quedado a la autonomía de la voluntad y que ambas lo consideran justo. | <br> **3. CERRO BLANCO TITANIUM, INC.** is currently the only shareholder in the Company, with 1,000 registered shares of the same series and without par value.<br>**4.** All 1,000 shares owned by **CERRO BLANCO TITANIUM, INC.** are duly recorded in the Company's Book of Shareholders, and are not, and have never been, traded in any stock market.<br>**5.** The Company has not been amended to this day.<br>**<u>SECOND</u>: Purchase Agreement**<br>Through its appearing representative, **CERRO BLANCO TITANIUM, INC.** hereby sells, assigns and transfers the 1,000 shares identified in the previous clause to **KEY METALS CORP.** In turn and also through its appearing representative, the latter hereby buys, accepts and acquires such shares, directly and without the intermediation of any broker, or any baking, financial or credit institution.<br>**<u>THIRD</u>: Price**<br>The total purchase price is one million Chilean pesos (CLP 1,000,000), and is hereby fully paid in cash by **KEY METALS CORP.** to **CERRO BLANCO TITANIUM, INC.**, with the latter stating that it has satisfactorily received the payment. The parties hereby record that, because the shares are not traded in any stock exchange, the parties may set the price at will, and that they both find it fair. |
| <br>**<u>CUARTO</u>: Declaraciones.**<br>**CERRO BLANCO TITANIUM, INC.** declara que las mil acciones que por este acto vende son nominativas, de una misma serie y sin valor nominal, de su exclusivo y único domino y que se enajenan libre de todo gravamen, prohibición, embargo y juicio pendiente, con todos sus derechos y acciones, respondiendo del saneamiento de la evicción, en conformidad a la ley. Por su parte, **KEY METALS CORP.,** a través de su representante compareciente, declara que conoce la normativa legal que regula las sociedades por acciones y que conocen el estatuto de la Sociedad y las protecciones que en él puedan o no existir respecto del interés de los accionistas.<br>**<u>QUINTO</u>: Arbitraje.**<br>Cualquier dificultad o controversia que se produzca entre las partes respecto de la aplicación, interpretación, duración, validez o ejecución, del presente Contrato, o cualquier otro motivo relacionado con él, será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial e irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador en cuanto al procedimiento y de derecho en cuanto al fallo, de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del árbitro no procederá recurso alguno, con excepción del recurso de queja. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción. | <br>**<u>FOURTH</u>: Representations**<br>**CERRO BLANCO TITANIUM, INC.** hereby represents that the 1,000 shares hereby sold are registered, of the same series and without par value; that it owns them exclusively, and sells them free of any burdens, restrictions, seizures or outstanding trials, with all of their rights and actions, and with warranty of title according to the law. In turn and through its appearing representative, **KEY METALS CORP.** represents that it knows the legal regulations governing joint-stock companies, as well as the Company's articles of incorporation and the protections that may be provided or not therein with regard to the shareholders' interests.<br>**<u>FIFTH</u>: Arbitration**<br>Any conflicts or difficulties that may arise between the parties on the application, interpretation, duration, validity or implementation hereof, or for whatever other reasons, shall be submitted to arbitration according to the then current Rules of Arbitration Proceedings of the Santiago Arbitration and Mediation Centre. The parties hereby grant irrevocable special powers to the Santiago Chamber of Commerce, so that, at the written request of either of them, it may appoint an arbitrator among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre to act *ex aequo et bono* in respect of the proceedings, but decide according to the law. The arbitrator's decisions may not be appealed in any way, except for the remedy of complaint. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction. |

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[Translation from Spanish on the right] 2/3

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| | |
|:---|:---|
| <br>**<u>SEXTO</u>: Domicilio.**<br>Para todos los efectos legales derivados del presente contrato, las partes fijan domicilio en la ciudad y comuna de Santiago.<br>**<u>SÉPTIMO</u>: Mandato.**<br>Se faculta al portador de una copia autorizada de esta escritura pública para requerir las anotaciones e inscripciones que correspondan. Asimismo, se faculta al abogado don Ignacio Joaquín López Alarcón, para que pueda aclarar o complementar los pasajes obscuros y dudosos y corregir los errores de cita u omisión en que pudiera haber incurrido en este instrumento, pudiendo al efecto presentar una o más minutas ante quien corresponda y/u otorgar o suscribir y firmar las escrituras o instrumentos públicos o privados necesarios o convenientes para obtener las inscripciones en los Registros de los Conservadores pertinentes.<br>| <br>**<u>SIXTH</u>: Legal Address**<br>For all legal purposes that may derive from this agreement, the parties hereby set their address in the city and borough of Santiago.<br>**<u>SEVENTH</u>: Authorizations**<br>The bearer of an authenticated copy hereof is hereby authorized to request any pertinent entries or notes in public records. Ignacio Joaquín López Alarcón, lawyer, is also hereby authorized to clarify or complete any obscure or uncertain passages, and to correct any reference errors or omissions that may have slipped herein. To this end, he may file any one or more briefs with the relevant authorities, and grant or sign any registered or private documents, as necessary or convenient for entry in the relevant Registrars' books.<br>|
| <br> **<u>Personerías</u>:**<br>La personería de don **IGNACIO** **JOAQUÍN LÓPEZ ALARCÓN** para actuar en nombre y representación de **CERRO BLANCO TITANIUM, INC.,** consta de poder especial otorgado con fecha veintiocho de marzo de dos mil veintitrés, apostillado con fecha treinta y uno de marzo de dos mil veintitrés en Trenton, Nueva Jersey, Estados Unidos de Norteamérica, y a su vez, su personería para para actuar en nombre y representación de **KEY METALS CORP.** consta de poder especial otorgado con fecha siete de julio de dos mil veinte, apostillado con fecha dieciséis de julio de dos mil veinte en Tallahassee, Florida, Estados Unidos de Norteamérica. Estas escrituras no se insertan por ser conocidas del Notario que autoriza, por las partes y a expresa petición de éstas.<br>**Minuta redactada por el abogado Ignacio Joaquín López Alarcón.**<br>En comprobante y previa lectura firma el compareciente el presente instrumento. Se da copia. Doy fe. –<br>| <br>**<u>Legal Representation</u>:** <br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN** has been authorized to act for, and on behalf of, **CERRO BLANCO TITANIUM, INC.** in a special power of attorney granted on March 28, 2023, and authorized with an apostille on March 31, 2023, in Trenton, New Jersey, United States of America, and he has been authorized to act for, and on behalf of, **KEY METALS CORP.** in a special power of attorney granted on July 7, 2020, and authorized with an apostille on July 16, 2020, in Tallahassee, Florida, United States of America. These documents have not been included at the explicit request of the parties, because they are known to them and the authenticating Notary.<br>**Drafted by Ignacio Joaquín López Alarcón., lawyer**<br>In witness whereof and after reading its contents, the appearing individual has signed this instrument. Copies have been given. I attest.<br><u>/s/ Ignacio Joaquín López Alarcón</u><br> **IGNACIO JOAQUÍN LÓPEZ ALARCÓN,**<br> **For CERRO BLANCO TITANIUM, INC.**<br> **For KEY METALS CORP**<br> **National Identification Card No. 16,017,525-7** |

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[Translation from Spanish on the right] 3/3

## Exhibit 2.5

**Exhibit 2.5**

**Asset Purchase Agreement**

THIS AGREEMENT is made on August 21, 2023 between Critical Minerals Corp., a Delaware corporation, with its principal place of business at 240 Crandon Blvd. Suite 263, Key Biscayne, Florida, 33149 (hereinafter the "Seller"), and Key Mining Corp., a Delaware corporation, with offices at 260 Crandon Blvd. Suite 32 #82, Key Biscayne, Florida, 33149 (hereinafter the "Buyer").

IN CONSIDERATION of the mutual covenants and agreements hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. **Purchase of Asset**. The Seller hereby sells to the Buyer and the Buyer hereby purchases from the Seller, on the terms and conditions set forth in this Agreement, the Crystal Mountain Colorado Pegmatite Project (the "Project" or the "Asset"). An executive summary of the Project and list of unpatented mining claims comprising the Project is set forth in Appendix A attached to this Agreement. For the avoidance of doubt, the purchase and sale transaction provided for herein is limited to the Asset specifically described in this Agreement and Appendix A hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. **Purchase Price**. As full consideration for the purchase of the Asset, the Buyer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Pay to the Seller (by wire transfer of immediately available funds to an account designated by the Seller) $125,000 in cash by not later than August 31, 2023;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) pay (by wire transfer of immediately available funds to the applicable account designated by the Seller for each obligee designated below) the following obligations of the Seller: (x) $15,000 to KJH Mining LLC; (y) $7,500 to John P. Ryan; and (z) $35,000 to Gold Express Mines, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Issue to the Seller, an option to purchase five hundred thousand (500,000) shares of the Buyer's common stock at a purchase price of $1.25 per share (or an aggregate purchase price of $625,000), with such option being exercisable during the period beginning August 21, 2023 and ending 11:59:59 p.m. (Eastern Time) on August 21, 2028.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Issue to the Seller, an option to purchase five hundred thousand (500,000) shares of the Buyer's common stock at a purchase price of $2.50 per share (or an aggregate purchase price of $1,250,000), with such option being exercisable during the period beginning August 21, 2023 and ending 11:59:59 p.m. (Eastern Time) on August 21, 2028.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Issue to KJH Mining LLC, an option to purchase fifty thousand (50,000) shares of the Buyer's common stock at a purchase price of $1.35 per share (or an aggregate purchase price of $67,500), with such option being exercisable during the period beginning August 21, 2023 and ending 11:59:59 p.m. (Eastern Time) on August 21, 2026. Upon issuance, such option shall be delivered to KJH Mining LLC at the following address:

4881 E. Shoreline Drive, Post Falls, ID 83854, U.S.A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. **Certain Deliveries and Post-Closing Actions**. Within thirty (30) days after the date of this Agreement, the Seller shall file one or more (as necessary or appropriate in the reasonable determination of the parties hereto) quitclaim deeds transferring ownership all existing mining claims comprising the Project from the Seller to the Buyer. The Seller shall file such deed with the County Recorder in Larimer County, Colorado and shall also transfer (using an appropriate instrument of transfer as the parties hereto shall reasonably determine) the ownership of such claims from the Seller to the Buyer with the United States Bureau of Land Management main office located in Lakewood, Colorado, or such other office as the parties hereto may mutually agree. All unpatented claim fees due and outstanding on or before September 1, 2023 shall be paid by the Buyer as will all recording fees and other transfer costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. **Representations and Warranties of Seller**. The Seller hereby represents and warrants to the Buyer, and covenants to the Buyer, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Right to Sell**. The Seller is the sole owner of the Asset with full right to sell or dispose of it as Seller may choose. No other person or entity has any claim, right, title, interest, or lien, in, to, or on the Asset.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Obligations Disclosed**. The Seller has no undischarged obligations other than those listed above in item (ii) of Section 2 hereof affecting the Asset being sold under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **No Liens**. There are no liens or security interests against the Asset being transferred hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **Consents**. No consent from or other approval of a governmental entity, or any other person or entity, is necessary in connection with (x) the execution of the Agreement by the Seller or the consummation by the Seller of the transactions contemplated hereby, or (y) the operation of the Asset by the Buyer in the manner such operation has been previously conducted by the Seller. The independent members of the Board of Directors of the Seller have approved the sale and this agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **Licenses, Permits and Consents**. There are no licenses, permits or consents currently required by the Seller for the consummation of the sale of Asset or the execution of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **Litigation**. There are no actions, suits, proceedings, or investigations pending, or, to the knowledge of the Seller, threatened, against or involving the Seller or brought by the Seller or affecting the Asset, including any of the claims comprising the Asset, at law or in equity or admiralty or before or by any federal, state, municipal, or other governmental department, commission, board, agency, or instrumentality, domestic or foreign.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **Compliance with Laws**. To the best of its knowledge, the Seller has complied with and is operating its business (including with respect to the Asset) in compliance with all laws, regulations, and orders applicable to the business conducted by it (including with respect to the Asset), and the present uses by the Seller of the Asset, including any of the claims comprising the Asset, do not violate any such laws, regulations, and orders. The Seller has no knowledge of any material present or future expenditures that will be required with respect to the Asset, including any of the claims comprising the Asset, with the exception of BLM annual fees, to achieve compliance with any present statute, law, or regulation, including those relating to the environment or occupational health and safety.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) **Disclosure**. No representation or warranty by the Seller contained in this Agreement, and no statement contained in any certificate or other instrument furnished or to be furnished to the Buyer pursuant hereto, or in connection with the transactions contemplated hereby, contains or will contain any untrue statement of a material fact or omits or will omit to state any material fact that is necessary in order to make the statements contained therein not misleading.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Environmental**. To the best of the knowledge of the Seller, there presently is not, nor ever has been, any dumping or storage of toxic, Superfund, or hazardous wastes on the premises. The Seller is not aware nor has Seller been notified by any private parties or government agencies of any environmental or reclamation requirements or responsibilities with respect to the properties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. **Representations and Warranties of the Buyer**. The Buyer hereby represents and warrants to the Seller, and covenants to the Seller, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Valid Options**. The options to be issued by the Buyer hereunder are validly issued and properly approved by the Board of Directors of the Buyer and the underlying shares to be issued upon exercise shall be issued pursuant to a validly existing exemption from registration.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Due Authorization**. The transaction contemplated by this agreement has been approved by the Independent Members of the Board of Directors of the Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. **Appendices**. The Appendices and other documents attached or referred to in this Agreement are an integral part of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. **Entire Agreement**. This Agreement constitutes the sole and only agreement between the Buyer and the Seller respecting the matters contemplated hereby (including the purchase and sale of the Asset). This Agreement correctly sets forth the obligations of the Buyer and the Seller to each other as of its date with respect to the matters contemplated hereby (including the purchase and sale of the Asset). Any additional agreements or representations respecting the matters contemplated hereby (including the purchase and sale of the Asset) not expressly set forth in this Agreement are null and void, unless otherwise required by law. Both parties hereto agree to waive rights as to any conflicting laws which may nullify this Agreement to the full extent allowable by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. **Conditions Precedent of the Buyer's Obligations**. The obligations of the Buyer hereunder are subject to the conditions that on or prior to the closing date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Representations and Warranties True at Closing**. The representations and warranties of the Seller contained in the Agreement or any certificate or document delivered pursuant to the provisions hereof or in connection with the transactions contemplated hereby shall be true on and as of the closing date as though such representations and warranties were made at and as of such date, except if such representations and warranties were made as of a specified date and such representations and warranties shall be true as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **The Seller's Compliance with this Agreement**. The Seller shall have performed and complied with all agreements and conditions required by this Agreement to be performed or complied with by it prior to or at the closing of the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **No Adverse Change**. There shall have been between the purchase date and the closing date no material adverse change in the purchased Asset.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. **Arbitration**. In the event the parties hereto are not able to resolve any dispute between them arising out of or concerning this Agreement, or any provisions hereof, whether in contract, tort, or otherwise at law or in equity for damages or any other relief, then such dispute shall be resolved only by final and binding arbitration pursuant to the Federal Arbitration Act and in accordance with the American Arbitration Association rules then in effect, conducted by a single neutral arbitrator and administered by the American Arbitration Association in a location mutually agreed upon by the parties hereto. The arbitrator's award shall be final, and judgment may be entered upon it in any court having jurisdiction. In the event that any legal or equitable action, proceeding or arbitration arises out of or concerns this Agreement, the prevailing party shall be entitled to recover its costs and reasonable attorney's fees. The parties hereto agree to arbitrate all disputes and claims in regards to this Agreement or any disputes arising as a result of this Agreement, whether directly or indirectly, including Tort claims that are a result of this Agreement. The parties hereto agree that the Federal Arbitration Act governs the interpretation and enforcement of this provision. The entire dispute, including the scope and enforceability of this arbitration provision shall be determined by the Arbitrator. This arbitration provision shall survive the termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. **Costs and Expenses**. Except as expressly provided to the contrary in this Agreement, each party hereto shall pay all of its own costs and expenses incurred with respect to the negotiation, execution and delivery of this Agreement and the exhibits hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. **Miscellaneous Provisions**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Applicable Law**. This Agreement shall be construed under and in accordance with the laws of the State of Florida.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Parties Bound**. This Agreement shall be binding on and inure to the benefit of the parties to this Agreement and their respective heirs, executors, administrators, legal representatives, successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **Legal Construction**. This Agreement shall be construed as to effectuate the intended purpose of the Agreement. In the event any one or more of the provisions contained in this Agreement shall for any reason be held invalid, illegal, or unenforceable in any respect, this Agreement shall be modified to otherwise effectuate the sale under the original intentions of the parties hereto. This may include striking the invalid, illegal, or unenforceable provision as if they had never been contained in this Agreement, or modifying the invalid, illegal or unenforceable provisions to make them compliant without modifying the original purpose of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **Amendments**. This Agreement may be amended by the parties hereto only by a written agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **Attorneys' Fees**. Should any arbitration or litigation be commenced between the parties to this Agreement concerning the rights and duties of either such party in relation to the Business or this Agreement, the prevailing party in the arbitration or litigation shall be entitled to (in addition to any other relief that may be granted) a reasonable sum and attorneys' fees in the arbitration or litigation, which sum shall be determined by the court or other person presiding in the arbitration or litigation or in a separate action brought for that purpose.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **Signatories**. This Agreement shall be executed on behalf of Key Mining Corp. by John Ryan and on behalf of Critical Minerals Corp. by Sarah Cuddy. The Agreement shall be effective as of the date first written above.

[The remainder of this page is intentionally left blank. Signature page follows.]

IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the date first set forth above.

**The Seller:**

**CRITICAL MINERALS CORP.**

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| | |
|:---|:---|
| By: | /s/ Sarah Cuddy |
|  | Sarah Cuddy, Corporate Secretary |

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**The Buyer:**

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| | |
|:---|:---|
| **KEY MINING CORP.** | **KEY MINING CORP.** |
| By: | /s/ John Ryan |
|  | John Ryan, Vice President of Corporate Affairs |

---

**<u>Appendix A</u>**

**Project Summary and Claims List**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(a)** **Crystal Mountain Colorado Pegmatite Project Executive Summary** 

The Seller owns 100% of the Crystal Mountain pegmatite project consisting of 64 unpatented lode mining claims located in the Fort Collins area in Larimer County, Colorado. The claims were transferred to the Seller via quitclaim deed and have been recorded with the BLM.

This is an area which has the potential for lithium pegmatite deposits. While much of the area is untested by drilling, there are five known pegmatite prospects on private or Colorado state property: the Crystal Silica mine, Tantalum prospect, Sherwood Place prospect, Wisdom Ranch prospect and the Big Boulder pegmatite.

Pegmatites can have a complex composition, with numerous unusual minerals and rare elements. They are mined for lithium, beryllium, boron, fluorine, tin, tantalum, niobium, rare earth elements, uranium, and other valuable commodities including mica, feldspar and phosphate. Globally, pegmatites have become a primary source of lithium either as spodumene, lithiophyllite and often from lepidolite.

The Crystal Mountain pegmatite field is found within high-grade Proterozoic metamorphic schists and quartzite (reminiscent of the Idaho Springs Formation). Of the mapped pegmatites, some of them contain spodumene or lepidolite which indicates they are a potential lithium source.

In light of the continued demand for lithium and other rare minerals, and the urgent need for USA domestic sources of these materials, positive exploration results from these properties has a high potential to add significant value to the owner of these properties.

The annual BLM maintenance fees for the Crystal Mountain claims are approximately $11,000. If warranted, there is a possibility of expanding the Project area in the future through additional staking.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(b)** **Crystal Mountain Colorado Pegmatite Project Claims List** 

[Set forth immediately following this page.]

## Exhibit 4.7

**Exhibit 4.7**

WARRANT TO PURCHASE SHARES OF COMMON STOCK

of

KEY METALS CORP.

(A Delaware corporation)

Dated as of __________

Void and Not Exercisable after the "Expiration Date" set forth in Section 2(a) hereof

_________________

THIS WARRANT AND THE SHARES ISSUABLE UPON EXERCISE HEREOF (THE "<u>SECURITIES</u>") HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE "SECURITIES ACT") OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO (1) AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF STATES AND OTHER JURISDICTIONS OR (2) EXEMPTION FROM SUCH REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER LAWS, WITH THE AVAILABILITY OF SUCH EXEMPTIONS CONFIRMED TO THE COMPANY BY AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY.

\* \* \*

This is to certify that, for good and valuable consideration, the receipt of which is hereby acknowledged, and pursuant to the terms and conditions of that certain Securities Purchase Agreement (the "<u>Securities Purchase Agreement</u>") between Key Metals Corp., a Delaware corporation (the "<u>Company</u>"), and the Investors referred to in and party to the Securities Purchase Agreement, the holder named below:

is entitled to purchase, and the Company promises and agrees to sell and issue to the Holder, at any time on or after the date hereof and on or before the Expiration Date, up to ______ shares of Common Stock at the per share Exercise Price pursuant to this Warrant (this "<u>Warrant</u>"), subject to the terms and conditions set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Definitions of Certain Terms</u>. Except as may be otherwise clearly required by the context, the following terms have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Common Stock</u>" means the common stock, par value $0.001 per share, of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Exercise Price</u>" means Forty-Five Cents ($0.45) per share of Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Securities Act</u>" means the Securities Act of 1933, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Warrant Shares</u>" means the shares of Common Stock for which this Warrant is exercisable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Holder</u>" means the record holder of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Exercise of Warrant</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All or any part of this Warrant may be exercised commencing on the date hereof and ending at 5:00 p.m. Pacific Time on _________ (the "<u>Expiration Date</u>") by surrendering this Warrant, together with the aggregate Exercise Price and appropriate instructions included on the Exercise Form attached hereto as Exhibit A ("<u>Notice of Exercise</u>"), duly executed by the Holder or by its duly authorized attorney, at the office of the Company, 260 Crandon Drive, Suite 32, #81 Key Biscayne, Florida 33149; or at such other office or agency as the Company may designate. The date on which the Company receives the Notice of Exercise shall be the date of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to the provisions below, upon receipt of the Notice of Exercise, this Warrant and payment in full in cash, the Company shall promptly issue the Warrant Shares to the Holder pursuant to the instructions in the Notice of Exercise. If the Holder requests book-entry shares, the Company shall cause the Warrant Shares to be transmitted by its transfer agent to the Holder by crediting the account of the Holder or its designee with The Depository Trust Company through its Deposit or Withdrawal at Custodian system ("<u>DWAC</u>") if the Company is then a participant in that system and there is an effective registration statement or applicable exemption permitting the issuance of the Warrant Shares to or resale of the Warrant Shares by the Holder. The Company agrees to maintain a transfer agent that is a participant in the FAST program so long as this Warrant remains outstanding and exercisable. If the Company is not a DWAC participant or the Holder requests a physical certificate representing the Warrant Shares, the Company shall issue and deliver a physical certificate representing the Warrant Shares to the Holder. The Warrant Shares to be obtained on exercise of this Warrant will be deemed to have been issued, and any person exercising this Warrant will be deemed to have become a holder of record of those Warrant Shares, as of the later of (i) the date the Company receives the Notice of Exercise and (ii) the date the Company receives available funds in cash in payment of the Exercise Price (the "<u>Notice Date</u>"). If the Warrant Shares are delivered via DWAC or by physical delivery, the Company must deliver the Warrant Shares within two business days of the Notice Date (the "<u>Warrant Share Delivery Date</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Company does not deliver the Warrant Shares by the Warrant Share Delivery Date, the Company shall pay to the Holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of Warrant Shares subject to such exercise (based on the value of the Common Stock on the date of the applicable Notice of Exercise), $10 per business day (increasing to $20 per business day on the fifth business day after such liquidated damages begin to accrue) for each business day after the Warrant Share Delivery Date until the Warrant Shares are delivered or Holder rescinds its Notice of Exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No fractional shares of Common Stock will be issued in connection with the exercise of this Warrant. If an exercise of this Warrant would result in a fractional Warrant Share, the number of Warrant Shares to be issued shall be rounded to the nearest whole number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If fewer than all the Warrant Shares purchasable under this Warrant are purchased, the Company will, upon such partial exercise, execute and deliver to the Holder a new Warrant (dated the date hereof), in form and tenor similar to this Warrant, evidencing that portion of this Warrant not exercised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding the foregoing, in no event shall Warrant Shares be issued, and the Company is authorized to refuse to honor the exercise of this Warrant, if exercise of this Warrant would result in the opinion of the Company's Board of Directors, upon advice of counsel, in the violation of any law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Adjustments in Certain Events</u>. The number, class, and price of Warrant Shares for which this Warrant may be exercised are subject to adjustment from time to time as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Adjustment for Stock Splits and Combinations*. If the outstanding shares of the Company's Common Stock are divided into a greater number of shares or a dividend in stock is paid on the Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately increased and the Exercise Price will be proportionately reduced; and, conversely, if the outstanding shares of Common Stock are combined into a smaller number of shares of Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately reduced and the Exercise Price will be proportionately increased. The increases and reductions provided for in this <u>Section 3(a)</u> will be made with the intent and, as nearly as practicable, the effect that neither the percentage of the total equity of the Company obtainable on exercise of this Warrant nor the price payable for such percentage upon such exercise will be affected by any event described in this <u>Section 3(a)</u>. Any adjustment made pursuant to this <u>Section 3(a)</u> shall become effective immediately after the record date for the determination of shareholders entitled to receive such dividend or distribution and shall become effective immediately after the effective date in the case of a subdivision or combination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Adjustment for Mergers, Reorganizations, Etc.* In case of any change in the Common Stock through merger, consolidation, reclassification, reorganization, partial or complete liquidation, purchase of substantially all the assets of the Company, or other change in the capital structure of the Company, then, as a condition of such change, lawful and adequate provision will be made so that the Holder will have the right thereafter to receive upon the exercise of this Warrant the kind and amount of shares of stock or other securities or property to which the Holder would have been entitled if, immediately prior to such event, the Holder had held the number of shares of Common Stock obtainable upon the exercise of this Warrant. In any such case, appropriate adjustment will be made in the application of the provisions set forth herein with respect to the rights and interest thereafter of the Holder, to the end that the provisions set forth herein will thereafter be applicable, as nearly as reasonably may be, in relation to any shares of stock or other securities or property thereafter deliverable upon the exercise of this Warrant. The Company will not permit any change in its capital structure to occur unless the issuer of the shares of stock or other securities to be received by the holder of this Warrant, if not the Company, agrees to be bound by and comply with the provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Adjustment Upon Issuance of Additional Shares of Common Stock*. If and whenever on or after the date hereof the Company issues or sells (or is deemed to have issued or sold) any Additional Shares of Common Stock (as hereinafter defined) for consideration per share less than the Exercise Price in effect immediately prior to that issuance or sale, then the Exercise Price shall be reduced, concurrently with the issuance or sale, to a price (calculated to the nearest one-hundredth of one cent) determined in accordance with the following formula:

CP<sub>2</sub> = CP<sub>1</sub>\*(A + B) ÷ (A + C).

For purposes of the foregoing formula, the following definitions shall apply:

"CP<sub>2</sub>" shall mean the Exercise Price in effect immediately after such issuance or deemed issuance of Additional Shares of Common Stock;

"CP<sub>1</sub>" shall mean the Exercise Price in effect immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock;

"A" shall mean the number of shares of Common Stock outstanding immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock (treating for this purpose as outstanding all shares of Common Stock issuable upon exercise of Options (as hereinafter defined) outstanding immediately prior to such issuance or deemed issuance or upon conversion or exchange of Convertible Securities (as hereinafter defined) outstanding (assuming exercise of any outstanding Options therefor) immediately prior to such issue);

"B" shall mean the number of shares of Common Stock that would have been issued if such Additional Shares of Common Stock had been issued or deemed issued at a price per share equal to CP<sub>1</sub> (determined by dividing the aggregate consideration received by the Company in respect of such issue by CP<sub>1</sub>); and

"C" shall mean the number of such Additional Shares of Common Stock issued in such transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Right to Distributions*. If securities of the Company or securities of any subsidiary of the Company are distributed pro rata to holders of Common Stock, there shall be distributed to the Holder or its assignee upon exercise of its rights hereunder such number of such securities as the Holder or assignee would have been entitled if this Warrant had been exercised prior to the record date for such distribution. The provisions with respect to adjustment of the Common Stock provided in this <u>Section 3</u> will also apply to the securities to which the Holder or its assignee is entitled under this <u>Section 3(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Certificate of Adjustments*. When any adjustment is required to be made in the number of Warrant Shares issuable upon exercise of this Warrant, the Company will promptly determine the new number of Warrant Shares and shall (i) prepare and retain on file a statement in its corporate records describing in reasonable detail the method used in arriving at the new number of Warrant Shares and (ii) cause a copy of such statement to be mailed to the Holder within 30 days after the date of the event giving rise to the adjustment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Special Definitions*. For the purposes of this <u>Section 3</u>, the following definitions shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Option</u>" shall mean rights, options or warrants to subscribe for, purchase or otherwise acquire Common Stock or Convertible Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Convertible Securities</u>" shall mean any evidences of indebtedness, shares or other securities directly or indirectly convertible into or exchangeable for Common Stock, but excluding Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "<u>Additional Shares of Common Stock</u>" shall mean all shares of Common Stock issued or deemed to be issued by the Company after the date hereof, other than (1) shares of Common Stock, Options or Convertible Securities issued by reason of a dividend, stock split, split-up or other distribution on shares of Common Stock that is covered by this Section 3; and (2) shares of Common Stock or Convertible Securities actually issued upon the exercise of Options or shares of Common Stock actually issued upon the conversion or exchange of Convertible Securities, in each case provided such issuance is pursuant to the terms of such Option or Convertible Security.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Reservation of Shares</u>. The Company agrees that the number of shares of Common Stock sufficient to provide for the exercise of this Warrant upon the basis set forth above will, at all times during the term of this Warrant, be reserved for issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Validity of Shares</u>. All Warrant Shares delivered upon the exercise of this Warrant will be duly and validly issued in accordance with their terms and, upon payment of the Exercise Price, will be fully paid and non-assessable. The Company will pay all documentary and transfer taxes, if any, in respect of the original issuance thereof upon exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Restrictions on Transfer; Compliance with Securities Laws</u>. By acceptance of this Warrant, the Holder accepts and agrees to comply with the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Transferability*. Any transfer of this Warrant must be in compliance with all applicable federal and state securities laws. This Warrant may be divided or combined, upon request to the Company by the Holder, into additional Warrants evidencing the same aggregate number of Warrant Shares. Any such transfer shall be effected upon surrender of this Warrant at the principal office of the Company or its designated agent, together with a written assignment of the Warrant substantially in the form attached hereto as <u>Exhibit B</u> duly executed by the Holder or its agent or attorney and funds sufficient to pay any transfer taxes payable upon the making of such transfer. Upon such surrender and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment and shall issue to the assignor a new Warrant evidencing the portion of the Warrant not so assigned, and this Warrant shall promptly be cancelled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Investment Representation Statement*. Unless the rights under this Warrant are exercised pursuant to an effective registration statement under the Securities Act that includes the Warrant Shares with respect to which the Warrant was exercised or pursuant to an exemption from registration, it shall be a condition to any exercise of the rights under this Warrant that the Holder shall have confirmed to the Company in writing, in a form reasonably acceptable to the Company, that the Warrant Shares so purchased are being acquired solely for the Holder's own account and not as a nominee for any other party, for investment and not with a view toward distribution or resale and that the Holder shall have confirmed such other matters related thereto as may be reasonably requested by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Instructions Regarding Transfer Restrictions*. The Holder consents to the Company making a notation on its records and giving instructions to any transfer agent in order to implement the restrictions on transfer established in this <u>Section 6</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Removal of Legend*. Any legend referring to federal and state securities laws, including the legend identified in <u>Section 7,</u> stamped on a certificate evidencing the Warrants or the Warrant Shares and the transfer instructions and record notations with respect to such securities shall be removed and the Company shall issue a certificate without such legend to the holder of such securities if (i) such securities are registered for resale under the Securities Act, (ii) such securities may be sold under Rule 144 under the Securities Act without volume restrictions or similar limitations or (iii) such holder provides the Company with an opinion of counsel reasonably acceptable to the Company to the effect that a sale or transfer of such securities may be made without registration or qualification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Securities Act Compliance</u>. The Holder hereby represents: (a) that this Warrant and any Warrant Shares will be acquired for investment for the Holder's own account and not with a view to the resale or distribution of any part thereof, and (b) that the Holder is an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act. The Company may place conspicuously upon each certificate representing the Warrant Shares a legend substantially in the following form, the terms of which are agreed to by the Holder:

"THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT (1) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR (2) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE STATE SECURITIES LAWS AND THE SECURITIES LAWS OF OTHER JURISDICTIONS AND, IN THE CASE OF A TRANSACTION EXEMPT FROM REGISTRATION, UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO IT THAT SUCH TRANSACTION DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER APPLICABLE LAWS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>No Rights as a Shareholder</u>. Except as otherwise provided herein, the Holder will not, by virtue of ownership of this Warrant, be entitled to any rights of a shareholder of the Company but will, upon written request to the Company, be entitled to receive such quarterly or annual reports as the Company distributes to its shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>Notice</u>. Any notices required or permitted to be given hereunder will be in writing and may be served personally or by mail, including by e-mail; and if served will be addressed as follows:

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| | |
|:---|:---|
| If to the Company: | Key Metals Corp.<br> 240 Grand Bay Drive, Suite 263<br> Key Biscayne, FL 33149<br> Attention: Cesar Lopez<br> E-Mail: clopez@keymetalscorp.com |
| If to the Holder:<br>| To the address set forth below the Holder's signature on the signature page to the Securities Purchase Agreement. |

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Any notice so given by mail will be deemed effectively given 48 hours after mailing when deposited in the United States mail, registered or certified mail, return receipt requested, postage prepaid and addressed as specified above. Any notice given by e-mail must be accompanied by confirmation of receipt, and will be deemed effectively given upon confirmation of such receipt. Any party may by written notice to the other specify a different address for notice purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Applicable Law and Jurisdiction; Waiver of Jury Trial.* This Warrant and all actions arising out of or in connection with this Warrant shall be governed by and construed in accordance with the laws of the state of New York, without regard to the conflicts of law provisions of the state of New York or of any other state. The Holder and the Company each irrevocably consents to the exclusive jurisdiction and venue of any of the federal and state courts located in New York, New York, in connection with any matter based upon or arising out of this Warrant or the matters contemplated herein, and agrees that process may be served upon them in any manner authorized by the laws of the state of New York for such persons. EACH OF THE HOLDER AND THE COMPANY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATED TO THIS WARRANT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Remedies.* The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages, is entitled to specific performance of its rights and the Company's duties under this Warrant. The Company agrees that monetary damages would not be adequate compensation for any loss incurred by reason of the Company's breach of the provisions of this Warrant and the Company hereby agrees to waive and not to assert the defense that a remedy at law would be adequate in any action for specific performance relating to this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Loss, Theft, Destruction or Mutilation of Warrant*. The Company covenants that upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares, and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it (which, in the case of this Warrant, shall not include the posting of any bond), and upon surrender and cancellation of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like tenor and dated as of such cancellation, in lieu of such Warrant or stock certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Non-Waiver and Expenses*. No course of dealing or any delay or failure to exercise any right hereunder on the part of the Holder shall operate as a waiver of such right or otherwise prejudice the Holder's rights, powers or remedies. Without limiting any other provision of this Warrant, if the Company willfully and knowingly fails to comply with any provision of this Warrant, which results in any material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to cover any reasonable costs and expenses including, but not limited to, reasonable attorneys' fees, including those of appellate proceedings, incurred by the Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Limitation of Liability*. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant to purchase Warrant Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability of the Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Successors and Assigns.* This Warrant may be assigned by the Holder in accordance with applicable securities laws, this Warrant and the rights and obligations evidenced hereby shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant and shall be enforceable by the Holder or holder of Warrant Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Amendment*. This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company and the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Severability*. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Headings*. The headings used in this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant.

[*Signature page follows.*]

IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized as of the date first above indicated.

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| | |
|:---|:---|
| KEY METALS CORP. | KEY METALS CORP. |
| By: |  |
| Name: | Cesar Lopez |
| Title: | CEO |

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**<u>Exhibit A</u>**

**<u>EXERCISE FORM</u>**

(To Be Executed by the Holder to Exercise this Warrant)

TO: Key Metals Corp.

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| | | |
|:---|:---|:---|
| (1) | The undersigned hereby irrevocably elects to exercise the right to purchase _________ shares of Common Stock, represented by the enclosed Warrant as follows: | The undersigned hereby irrevocably elects to exercise the right to purchase _________ shares of Common Stock, represented by the enclosed Warrant as follows: |
|  | [ ] | <u>Exercise for Cash</u>. Pursuant to Section 2(a) of the Warrant, the Holder hereby elects to exercise the Warrant for cash and tenders payment herewith (or has made a wire transfer) to the order of Key Metals Corp. in the amount of $____________. |
| (2) | The undersigned requests that the applicable number of shares of Common Stock be issued as follows pursuant to Section 2(b) of the Warrant: | The undersigned requests that the applicable number of shares of Common Stock be issued as follows pursuant to Section 2(b) of the Warrant: |
|  | [ ] | <u>Book-Entry Shares to be delivered via DWAC</u>. |
|  | [ ] | <u>Certificated Shares to be delivered to the address below</u>. |
| (3) | The undersigned requests that the applicable number of shares of Common Stock be issued and delivered to the following address: | The undersigned requests that the applicable number of shares of Common Stock be issued and delivered to the following address: |

---

Name: ____________________________________

DWAC Account Number: _____________________(if applicable)

Address: __________________________________

_________________________________________

_________________________________________

Email: ____________________________________

(4) The
 undersigned understands, agrees and recognizes that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. No
 federal or state agency has made any finding or determination as to the fairness of the investment
 or any recommendation or endorsement of the securities.

b. All
 certificates evidencing the shares of Common Stock, if any, may bear legends substantially
 similar to the legend set forth in Section 6 and Section 7 of the Warrant regarding resale
 restrictions.

(5) The
 undersigned acknowledges that the undersigned has received, read and understood the Warrant
 and agrees to abide by and be bound by its terms and conditions.

Dated: _____________, 20___.

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| |
|:---|
| By: |
| Name: |
| Title: |
| Note: Signature must correspond with the name as written upon the face of the Warrant in all respects, without alteration or enlargement or any change whatsoever. |

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[*Warrant Exercise Form*]

**<u>Exhibit B</u>**

**<u>ASSIGNMENT FORM</u>**

 

*(To assign the foregoing Warrant, execute this form and supply required information. Do not use this form to purchase shares.)*

TO: Key Metals Corp.

FOR VALUE RECEIVED, the foregoing Warrant and all rights evidenced thereby are hereby assigned to:

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| | |
|:---|:---|
| Name: | |
|  | (Please Print) |
| Address: | |
| Phone Number: | |
| Email Address: | |
| Date: | |
| Holder's Signature:<br>| |
| Holder's Name: | |
|  | (Please Print) |

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[*Warrant Assignment Form*]

## Exhibit 4.8

**Exhibit 4.8**

WARRANT TO PURCHASE SHARES OF COMMON STOCK

of

KEY METALS CORP.

(A Delaware corporation)

Dated as of __________

Void and Not Exercisable after the "Expiration Date" set forth in Section 2(a) hereof

THIS WARRANT AND THE SHARES ISSUABLE UPON EXERCISE HEREOF (THE "<u>SECURITIES</u>") HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE "SECURITIES ACT") OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO (1) AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF STATES AND OTHER JURISDICTIONS OR (2) EXEMPTION FROM SUCH REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER LAWS, WITH THE AVAILABILITY OF SUCH EXEMPTIONS CONFIRMED TO THE COMPANY BY AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY.

\* \* \*

This is to certify that, for good and valuable consideration, the receipt of which is hereby acknowledged, the holder named below:

is entitled to purchase, and the Company promises and agrees to sell and issue to the Holder, at any time on or after the date hereof and on or before the Expiration Date, up to ______ shares of Common Stock at the per share Exercise Price pursuant to this Warrant (this "<u>Warrant</u>"), subject to the terms and conditions set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Definitions of Certain Terms</u>. Except as may be otherwise clearly required by the context, the following terms have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Common Stock</u>" means the common stock, par value $0.001 per share, of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Exercise Price</u>" means Twenty-Five Cents ($0.25) per share of Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Securities Act</u>" means the Securities Act of 1933, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Warrant Shares</u>" means the shares of Common Stock for which this Warrant is exercisable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Holder</u>" means the record holder of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Exercise of Warrant</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All or any part of this Warrant may be exercised commencing on the date hereof and ending at 5:00 p.m. Pacific Time on _________ (the "<u>Expiration Date</u>") by surrendering this Warrant, together with the aggregate Exercise Price and appropriate instructions included on the Exercise Form attached hereto as Exhibit A ("<u>Notice of Exercise</u>"), duly executed by the Holder or by its duly authorized attorney, at the office of the Company, 260 Crandon Drive, Suite 32, #81 Key Biscayne, Florida 33149; or at such other office or agency as the Company may designate. The date on which the Company receives the Notice of Exercise shall be the date of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to the provisions below, upon receipt of the Notice of Exercise, this Warrant and payment in full in cash, the Company shall promptly issue the Warrant Shares to the Holder pursuant to the instructions in the Notice of Exercise. If the Holder requests book-entry shares, the Company shall cause the Warrant Shares to be transmitted by its transfer agent to the Holder by crediting the account of the Holder or its designee with The Depository Trust Company through its Deposit or Withdrawal at Custodian system ("<u>DWAC</u>") if the Company is then a participant in that system and there is an effective registration statement or applicable exemption permitting the issuance of the Warrant Shares to or resale of the Warrant Shares by the Holder. The Company agrees to maintain a transfer agent that is a participant in the FAST program so long as this Warrant remains outstanding and exercisable. If the Company is not a DWAC participant or the Holder requests a physical certificate representing the Warrant Shares, the Company shall issue and deliver a physical certificate representing the Warrant Shares to the Holder. The Warrant Shares to be obtained on exercise of this Warrant will be deemed to have been issued, and any person exercising this Warrant will be deemed to have become a holder of record of those Warrant Shares, as of the later of (i) the date the Company receives the Notice of Exercise and (ii) the date the Company receives available funds in cash in payment of the Exercise Price (the "<u>Notice Date</u>"). If the Warrant Shares are delivered via DWAC or by physical delivery, the Company must deliver the Warrant Shares within two business days of the Notice Date (the "<u>Warrant Share Delivery Date</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Company does not deliver the Warrant Shares by the Warrant Share Delivery Date, the Company shall pay to the Holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of Warrant Shares subject to such exercise (based on the value of the Common Stock on the date of the applicable Notice of Exercise), $10 per business day (increasing to $20 per business day on the fifth business day after such liquidated damages begin to accrue) for each business day after the Warrant Share Delivery Date until the Warrant Shares are delivered or Holder rescinds its Notice of Exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No fractional shares of Common Stock will be issued in connection with the exercise of this Warrant. If an exercise of this Warrant would result in a fractional Warrant Share, the number of Warrant Shares to be issued shall be rounded to the nearest whole number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If fewer than all the Warrant Shares purchasable under this Warrant are purchased, the Company will, upon such partial exercise, execute and deliver to the Holder a new Warrant (dated the date hereof), in form and tenor similar to this Warrant, evidencing that portion of this Warrant not exercised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding the foregoing, in no event shall Warrant Shares be issued, and the Company is authorized to refuse to honor the exercise of this Warrant, if exercise of this Warrant would result in the opinion of the Company's Board of Directors, upon advice of counsel, in the violation of any law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Adjustments in Certain Events</u>. The number, class, and price of Warrant Shares for which this Warrant may be exercised are subject to adjustment from time to time as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Adjustment for Stock Splits and Combinations*. If the outstanding shares of the Company's Common Stock are divided into a greater number of shares or a dividend in stock is paid on the Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately increased and the Exercise Price will be proportionately reduced; and, conversely, if the outstanding shares of Common Stock are combined into a smaller number of shares of Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately reduced and the Exercise Price will be proportionately increased. The increases and reductions provided for in this <u>Section 3(a)</u> will be made with the intent and, as nearly as practicable, the effect that neither the percentage of the total equity of the Company obtainable on exercise of this Warrant nor the price payable for such percentage upon such exercise will be affected by any event described in this <u>Section 3(a)</u>. Any adjustment made pursuant to this <u>Section 3(a)</u> shall become effective immediately after the record date for the determination of shareholders entitled to receive such dividend or distribution and shall become effective immediately after the effective date in the case of a subdivision or combination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Adjustment for Mergers, Reorganizations, Etc.* In case of any change in the Common Stock through merger, consolidation, reclassification, reorganization, partial or complete liquidation, purchase of substantially all the assets of the Company, or other change in the capital structure of the Company, then, as a condition of such change, lawful and adequate provision will be made so that the Holder will have the right thereafter to receive upon the exercise of this Warrant the kind and amount of shares of stock or other securities or property to which the Holder would have been entitled if, immediately prior to such event, the Holder had held the number of shares of Common Stock obtainable upon the exercise of this Warrant. In any such case, appropriate adjustment will be made in the application of the provisions set forth herein with respect to the rights and interest thereafter of the Holder, to the end that the provisions set forth herein will thereafter be applicable, as nearly as reasonably may be, in relation to any shares of stock or other securities or property thereafter deliverable upon the exercise of this Warrant. The Company will not permit any change in its capital structure to occur unless the issuer of the shares of stock or other securities to be received by the holder of this Warrant, if not the Company, agrees to be bound by and comply with the provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Adjustment Upon Issuance of Additional Shares of Common Stock*. If and whenever on or after the date hereof the Company issues or sells (or is deemed to have issued or sold) any Additional Shares of Common Stock (as hereinafter defined) for consideration per share less than the Exercise Price in effect immediately prior to that issuance or sale, then the Exercise Price shall be reduced, concurrently with the issuance or sale, to a price (calculated to the nearest one-hundredth of one cent) determined in accordance with the following formula:

CP<sub>2</sub> = CP<sub>1</sub>\*(A + B) ÷ (A + C).

For purposes of the foregoing formula, the following definitions shall apply:

"CP<sub>2</sub>" shall mean the Exercise Price in effect immediately after such issuance or deemed issuance of Additional Shares of Common Stock;

"CP<sub>1</sub>" shall mean the Exercise Price in effect immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock;

"A" shall mean the number of shares of Common Stock outstanding immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock (treating for this purpose as outstanding all shares of Common Stock issuable upon exercise of Options (as hereinafter defined) outstanding immediately prior to such issuance or deemed issuance or upon conversion or exchange of Convertible Securities (as hereinafter defined) outstanding (assuming exercise of any outstanding Options therefor) immediately prior to such issue);

"B" shall mean the number of shares of Common Stock that would have been issued if such Additional Shares of Common Stock had been issued or deemed issued at a price per share equal to CP<sub>1</sub> (determined by dividing the aggregate consideration received by the Company in respect of such issue by CP<sub>1</sub>); and

"C" shall mean the number of such Additional Shares of Common Stock issued in such transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Right to Distributions*. If securities of the Company or securities of any subsidiary of the Company are distributed pro rata to holders of Common Stock, there shall be distributed to the Holder or its assignee upon exercise of its rights hereunder such number of such securities as the Holder or assignee would have been entitled if this Warrant had been exercised prior to the record date for such distribution. The provisions with respect to adjustment of the Common Stock provided in this <u>Section 3</u> will also apply to the securities to which the Holder or its assignee is entitled under this <u>Section 3(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Certificate of Adjustments*. When any adjustment is required to be made in the number of Warrant Shares issuable upon exercise of this Warrant, the Company will promptly determine the new number of Warrant Shares and shall (i) prepare and retain on file a statement in its corporate records describing in reasonable detail the method used in arriving at the new number of Warrant Shares and (ii) cause a copy of such statement to be mailed to the Holder within 30 days after the date of the event giving rise to the adjustment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Special Definitions*. For the purposes of this <u>Section 3</u>, the following definitions shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Option</u>" shall mean rights, options or warrants to subscribe for, purchase or otherwise acquire Common Stock or Convertible Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Convertible Securities</u>" shall mean any evidences of indebtedness, shares or other securities directly or indirectly convertible into or exchangeable for Common Stock, but excluding Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "<u>Additional Shares of Common Stock</u>" shall mean all shares of Common Stock issued or deemed to be issued by the Company after the date hereof, other than (1) shares of Common Stock, Options or Convertible Securities issued by reason of a dividend, stock split, split-up or other distribution on shares of Common Stock that is covered by this Section 3; and (2) shares of Common Stock or Convertible Securities actually issued upon the exercise of Options or shares of Common Stock actually issued upon the conversion or exchange of Convertible Securities, in each case provided such issuance is pursuant to the terms of such Option or Convertible Security.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Reservation of Shares</u>. The Company agrees that the number of shares of Common Stock sufficient to provide for the exercise of this Warrant upon the basis set forth above will, at all times during the term of this Warrant, be reserved for issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Validity of Shares</u>. All Warrant Shares delivered upon the exercise of this Warrant will be duly and validly issued in accordance with their terms and, upon payment of the Exercise Price, will be fully paid and non-assessable. The Company will pay all documentary and transfer taxes, if any, in respect of the original issuance thereof upon exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Restrictions on Transfer; Compliance with Securities Laws</u>. By acceptance of this Warrant, the Holder accepts and agrees to comply with the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Transferability*. Any transfer of this Warrant must be in compliance with all applicable federal and state securities laws. This Warrant may be divided or combined, upon request to the Company by the Holder, into additional Warrants evidencing the same aggregate number of Warrant Shares. Any such transfer shall be effected upon surrender of this Warrant at the principal office of the Company or its designated agent, together with a written assignment of the Warrant substantially in the form attached hereto as <u>Exhibit B</u> duly executed by the Holder or its agent or attorney and funds sufficient to pay any transfer taxes payable upon the making of such transfer. Upon such surrender and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment and shall issue to the assignor a new Warrant evidencing the portion of the Warrant not so assigned, and this Warrant shall promptly be cancelled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Investment Representation Statement*. Unless the rights under this Warrant are exercised pursuant to an effective registration statement under the Securities Act that includes the Warrant Shares with respect to which the Warrant was exercised or pursuant to an exemption from registration, it shall be a condition to any exercise of the rights under this Warrant that the Holder shall have confirmed to the Company in writing, in a form reasonably acceptable to the Company, that the Warrant Shares so purchased are being acquired solely for the Holder's own account and not as a nominee for any other party, for investment and not with a view toward distribution or resale and that the Holder shall have confirmed such other matters related thereto as may be reasonably requested by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Instructions Regarding Transfer Restrictions*. The Holder consents to the Company making a notation on its records and giving instructions to any transfer agent in order to implement the restrictions on transfer established in this <u>Section 6</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Removal of Legend*. Any legend referring to federal and state securities laws, including the legend identified in <u>Section 7,</u> stamped on a certificate evidencing the Warrants or the Warrant Shares and the transfer instructions and record notations with respect to such securities shall be removed and the Company shall issue a certificate without such legend to the holder of such securities if (i) such securities are registered for resale under the Securities Act, (ii) such securities may be sold under Rule 144 under the Securities Act without volume restrictions or similar limitations or (iii) such holder provides the Company with an opinion of counsel reasonably acceptable to the Company to the effect that a sale or transfer of such securities may be made without registration or qualification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Securities Act Compliance</u>. The Holder hereby represents: (a) that this Warrant and any Warrant Shares will be acquired for investment for the Holder's own account and not with a view to the resale or distribution of any part thereof, and (b) that the Holder is an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act. The Company may place conspicuously upon each certificate representing the Warrant Shares a legend substantially in the following form, the terms of which are agreed to by the Holder:

"THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT (1) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR (2) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE STATE SECURITIES LAWS AND THE SECURITIES LAWS OF OTHER JURISDICTIONS AND, IN THE CASE OF A TRANSACTION EXEMPT FROM REGISTRATION, UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO IT THAT SUCH TRANSACTION DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER APPLICABLE LAWS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>No Rights as a Shareholder</u>. Except as otherwise provided herein, the Holder will not, by virtue of ownership of this Warrant, be entitled to any rights of a shareholder of the Company but will, upon written request to the Company, be entitled to receive such quarterly or annual reports as the Company distributes to its shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>Notice</u>. Any notices required or permitted to be given hereunder will be in writing and may be served personally or by mail, including by e-mail; and if served will be addressed as follows:

If to the Company: Key Metals Corp. 260 Crandon Blvd. Suite 32 #81 Key Biscayne, FL 33149 Attention: Cesar Lopez E-Mail: clopez@keymetalscorp.com <br>If to the Holder:

Any notice so given by mail will be deemed effectively given 48 hours after mailing when deposited in the United States mail, registered or certified mail, return receipt requested, postage prepaid and addressed as specified above. Any notice given by e-mail must be accompanied by confirmation of receipt, and will be deemed effectively given upon confirmation of such receipt. Any party may by written notice to the other specify a different address for notice purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Applicable Law and Jurisdiction; Waiver of Jury Trial.* This Warrant and all actions arising out of or in connection with this Warrant shall be governed by and construed in accordance with the laws of the state of New York, without regard to the conflicts of law provisions of the state of New York or of any other state. The Holder and the Company each irrevocably consents to the exclusive jurisdiction and venue of any of the federal and state courts located in New York, New York, in connection with any matter based upon or arising out of this Warrant or the matters contemplated herein, and agrees that process may be served upon them in any manner authorized by the laws of the state of New York for such persons. EACH OF THE HOLDER AND THE COMPANY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATED TO THIS WARRANT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Remedies.* The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages, is entitled to specific performance of its rights and the Company's duties under this Warrant. The Company agrees that monetary damages would not be adequate compensation for any loss incurred by reason of the Company's breach of the provisions of this Warrant and the Company hereby agrees to waive and not to assert the defense that a remedy at law would be adequate in any action for specific performance relating to this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Loss, Theft, Destruction or Mutilation of Warrant*. The Company covenants that upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares, and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it (which, in the case of this Warrant, shall not include the posting of any bond), and upon surrender and cancellation of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like tenor and dated as of such cancellation, in lieu of such Warrant or stock certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Non-Waiver and Expenses*. No course of dealing or any delay or failure to exercise any right hereunder on the part of the Holder shall operate as a waiver of such right or otherwise prejudice the Holder's rights, powers or remedies. Without limiting any other provision of this Warrant, if the Company willfully and knowingly fails to comply with any provision of this Warrant, which results in any material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to cover any reasonable costs and expenses including, but not limited to, reasonable attorneys' fees, including those of appellate proceedings, incurred by the Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Limitation of Liability*. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant to purchase Warrant Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability of the Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Successors and Assigns.* This Warrant may be assigned by the Holder in accordance with applicable securities laws, this Warrant and the rights and obligations evidenced hereby shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant and shall be enforceable by the Holder or holder of Warrant Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Amendment*. This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company and the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Severability*. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Headings*. The headings used in this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant.

[*Signature page follows.*]

IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized as of the date first above indicated.

---

| | |
|:---|:---|
| KEY METALS CORP. | KEY METALS CORP. |
| By: |  |
| Name: | Cesar Lopez |
| Title: | CEO |

---

**<u>Exhibit A</u>**

**<u>EXERCISE FORM</u>**

(To Be Executed by the Holder to Exercise this Warrant)

TO: Key Metals Corp.

(1) The
 undersigned hereby irrevocably elects to exercise the right to purchase _________ shares
 of Common Stock, represented by the enclosed Warrant as follows:

[ ] <u>Exercise for Cash</u>. Pursuant to Section 2(a) of the Warrant, the Holder hereby elects to exercise the Warrant for cash and tenders payment herewith (or has made a wire transfer) to the order of Key Metals Corp. in the amount of $____________.

(2) The
 undersigned requests that the applicable number of shares of Common Stock be issued as follows
 pursuant to Section 2(b) of the Warrant:

[ ] <u>Book-Entry Shares to be delivered via DWAC</u>. <br>[ ] <u>Certificated Shares to be delivered to the address below</u>.

(3) The
 undersigned requests that the applicable number of shares of Common Stock be issued and delivered
 to the following address:

Name: ____________________________________

DWAC Account Number: _____________________(if applicable)

Address: __________________________________

_________________________________________

_________________________________________

Email: ____________________________________

(4) The
 undersigned understands, agrees and recognizes that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. No
 federal or state agency has made any finding or determination as to the fairness of the investment
 or any recommendation or endorsement of the securities.

b. All
 certificates evidencing the shares of Common Stock, if any, may bear legends substantially
 similar to the legend set forth in Section 6 and Section 7 of the Warrant regarding resale
 restrictions.

(5) The
 undersigned acknowledges that the undersigned has received, read and understood the Warrant
 and agrees to abide by and be bound by its terms and conditions.

Dated: _____________, 20___.

---

| |
|:---|
| By: |
| Name: |
| Title: |
| Note: Signature must correspond with the name as written upon the face of the Warrant in all respects, without alteration or enlargement or any change whatsoever. |

---

[*Warrant Exercise Form*]

**<u>Exhibit B</u>**

**<u>ASSIGNMENT FORM</u>**

*(To assign the foregoing Warrant, execute this form and supply required information. Do not use this form to purchase shares.)*

TO: Key Metals Corp.

FOR VALUE RECEIVED, the foregoing Warrant and all rights evidenced thereby are hereby assigned to:

---

| | |
|:---|:---|
| Name: | |
|  | (Please Print) |
| Address: | |
| Phone Number: | |
| Email Address: | |
| Date: | |
| Holder's Signature:<br>| |
| Holder's Name: | |
|  | (Please Print) |

---

[*Warrant Assignment Form*]

## Exhibit 4.9

**Exhibit 4.9**

WARRANT TO PURCHASE SHARES OF COMMON STOCK

of

KEY METALS CORP.

(A Delaware corporation)

Dated as of __________

Void and Not Exercisable after the "Expiration Date" set forth in Section 2(a) hereof

_________________

THIS WARRANT AND THE SHARES ISSUABLE UPON EXERCISE HEREOF (THE "<u>SECURITIES</u>") HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE "SECURITIES ACT") OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO (1) AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF STATES AND OTHER JURISDICTIONS OR (2) EXEMPTION FROM SUCH REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER LAWS, WITH THE AVAILABILITY OF SUCH EXEMPTIONS CONFIRMED TO THE COMPANY BY AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY.

\* \* \*

This is to certify that, for good and valuable consideration, the receipt of which is hereby acknowledged, the holder named below:

is entitled to purchase, and the Company promises and agrees to sell and issue to the Holder, at any time on or after the date hereof and on or before the Expiration Date, up to ______ shares of Common Stock at the per share Exercise Price pursuant to this Warrant (this "<u>Warrant</u>"), subject to the terms and conditions set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Definitions of Certain Terms</u>. Except as may be otherwise clearly required by the context, the following terms have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "<u>Common Stock</u>" means the common stock, par value $0.001 per share, of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "<u>Exercise Price</u>" means Twenty-Five Cents ($0.25) per share of Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "<u>Securities Act</u>" means the Securities Act of 1933, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "<u>Warrant Shares</u>" means the shares of Common Stock for which this Warrant is exercisable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "<u>Holder</u>" means the record holder of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Exercise of Warrant</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All or any part of this Warrant may be exercised commencing on the date hereof and ending at 5:00 p.m. Pacific Time on _________ (the "<u>Expiration Date</u>") by surrendering this Warrant, together with the aggregate Exercise Price and appropriate instructions included on the Exercise Form attached hereto as Exhibit A ("<u>Notice of Exercise</u>"), duly executed by the Holder or by its duly authorized attorney, at the office of the Company, 260 Crandon Drive, Suite 32, #81 Key Biscayne, Florida 33149; or at such other office or agency as the Company may designate. The date on which the Company receives the Notice of Exercise shall be the date of exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to the provisions below, upon receipt of the Notice of Exercise, this Warrant and payment in full in cash, the Company shall promptly issue the Warrant Shares to the Holder pursuant to the instructions in the Notice of Exercise. If the Holder requests book-entry shares, the Company shall cause the Warrant Shares to be transmitted by its transfer agent to the Holder by crediting the account of the Holder or its designee with The Depository Trust Company through its Deposit or Withdrawal at Custodian system ("<u>DWAC</u>") if the Company is then a participant in that system and there is an effective registration statement or applicable exemption permitting the issuance of the Warrant Shares to or resale of the Warrant Shares by the Holder. The Company agrees to maintain a transfer agent that is a participant in the FAST program so long as this Warrant remains outstanding and exercisable. If the Company is not a DWAC participant or the Holder requests a physical certificate representing the Warrant Shares, the Company shall issue and deliver a physical certificate representing the Warrant Shares to the Holder. The Warrant Shares to be obtained on exercise of this Warrant will be deemed to have been issued, and any person exercising this Warrant will be deemed to have become a holder of record of those Warrant Shares, as of the later of (i) the date the Company receives the Notice of Exercise and (ii) the date the Company receives available funds in cash in payment of the Exercise Price (the "<u>Notice Date</u>"). If the Warrant Shares are delivered via DWAC or by physical delivery, the Company must deliver the Warrant Shares within two business days of the Notice Date (the "<u>Warrant Share Delivery Date</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Company does not deliver the Warrant Shares by the Warrant Share Delivery Date, the Company shall pay to the Holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of Warrant Shares subject to such exercise (based on the value of the Common Stock on the date of the applicable Notice of Exercise), $10 per business day (increasing to $20 per business day on the fifth business day after such liquidated damages begin to accrue) for each business day after the Warrant Share Delivery Date until the Warrant Shares are delivered or Holder rescinds its Notice of Exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) No fractional shares of Common Stock will be issued in connection with the exercise of this Warrant. If an exercise of this Warrant would result in a fractional Warrant Share, the number of Warrant Shares to be issued shall be rounded to the nearest whole number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If fewer than all the Warrant Shares purchasable under this Warrant are purchased, the Company will, upon such partial exercise, execute and deliver to the Holder a new Warrant (dated the date hereof), in form and tenor similar to this Warrant, evidencing that portion of this Warrant not exercised.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding the foregoing, in no event shall Warrant Shares be issued, and the Company is authorized to refuse to honor the exercise of this Warrant, if exercise of this Warrant would result in the opinion of the Company's Board of Directors, upon advice of counsel, in the violation of any law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Adjustments in Certain Events</u>. The number, class, and price of Warrant Shares for which this Warrant may be exercised are subject to adjustment from time to time as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Adjustment for Stock Splits and Combinations*. If the outstanding shares of the Company's Common Stock are divided into a greater number of shares or a dividend in stock is paid on the Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately increased and the Exercise Price will be proportionately reduced; and, conversely, if the outstanding shares of Common Stock are combined into a smaller number of shares of Common Stock, the number of shares of Common Stock for which this Warrant is then exercisable will be proportionately reduced and the Exercise Price will be proportionately increased. The increases and reductions provided for in this <u>Section 3(a)</u> will be made with the intent and, as nearly as practicable, the effect that neither the percentage of the total equity of the Company obtainable on exercise of this Warrant nor the price payable for such percentage upon such exercise will be affected by any event described in this <u>Section 3(a)</u>. Any adjustment made pursuant to this <u>Section 3(a)</u> shall become effective immediately after the record date for the determination of shareholders entitled to receive such dividend or distribution and shall become effective immediately after the effective date in the case of a subdivision or combination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Adjustment for Mergers, Reorganizations, Etc.* In case of any change in the Common Stock through merger, consolidation, reclassification, reorganization, partial or complete liquidation, purchase of substantially all the assets of the Company, or other change in the capital structure of the Company, then, as a condition of such change, lawful and adequate provision will be made so that the Holder will have the right thereafter to receive upon the exercise of this Warrant the kind and amount of shares of stock or other securities or property to which the Holder would have been entitled if, immediately prior to such event, the Holder had held the number of shares of Common Stock obtainable upon the exercise of this Warrant. In any such case, appropriate adjustment will be made in the application of the provisions set forth herein with respect to the rights and interest thereafter of the Holder, to the end that the provisions set forth herein will thereafter be applicable, as nearly as reasonably may be, in relation to any shares of stock or other securities or property thereafter deliverable upon the exercise of this Warrant. The Company will not permit any change in its capital structure to occur unless the issuer of the shares of stock or other securities to be received by the holder of this Warrant, if not the Company, agrees to be bound by and comply with the provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Adjustment Upon Issuance of Additional Shares of Common Stock*. If and whenever on or after the date hereof the Company issues or sells (or is deemed to have issued or sold) any Additional Shares of Common Stock (as hereinafter defined) for consideration per share less than the Exercise Price in effect immediately prior to that issuance or sale, then the Exercise Price shall be reduced, concurrently with the issuance or sale, to a price (calculated to the nearest one-hundredth of one cent) determined in accordance with the following formula:

CP<sub>2</sub> = CP<sub>1</sub>\*(A + B) ÷ (A + C).

For purposes of the foregoing formula, the following definitions shall apply:

"CP<sub>2</sub>" shall mean the Exercise Price in effect immediately after such issuance or deemed issuance of Additional Shares of Common Stock;

"CP<sub>1</sub>" shall mean the Exercise Price in effect immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock;

"A" shall mean the number of shares of Common Stock outstanding immediately prior to such issuance or deemed issuance of Additional Shares of Common Stock (treating for this purpose as outstanding all shares of Common Stock issuable upon exercise of Options (as hereinafter defined) outstanding immediately prior to such issuance or deemed issuance or upon conversion or exchange of Convertible Securities (as hereinafter defined) outstanding (assuming exercise of any outstanding Options therefor) immediately prior to such issue);

"B" shall mean the number of shares of Common Stock that would have been issued if such Additional Shares of Common Stock had been issued or deemed issued at a price per share equal to CP<sub>1</sub> (determined by dividing the aggregate consideration received by the Company in respect of such issue by CP<sub>1</sub>); and

"C" shall mean the number of such Additional Shares of Common Stock issued in such transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Right to Distributions*. If securities of the Company or securities of any subsidiary of the Company are distributed pro rata to holders of Common Stock, there shall be distributed to the Holder or its assignee upon exercise of its rights hereunder such number of such securities as the Holder or assignee would have been entitled if this Warrant had been exercised prior to the record date for such distribution. The provisions with respect to adjustment of the Common Stock provided in this <u>Section 3</u> will also apply to the securities to which the Holder or its assignee is entitled under this <u>Section 3(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Certificate of Adjustments*. When any adjustment is required to be made in the number of Warrant Shares issuable upon exercise of this Warrant, the Company will promptly determine the new number of Warrant Shares and shall (i) prepare and retain on file a statement in its corporate records describing in reasonable detail the method used in arriving at the new number of Warrant Shares and (ii) cause a copy of such statement to be mailed to the Holder within 30 days after the date of the event giving rise to the adjustment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Special Definitions*. For the purposes of this <u>Section 3</u>, the following definitions shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Option</u>" shall mean rights, options or warrants to subscribe for, purchase or otherwise acquire Common Stock or Convertible Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Convertible Securities</u>" shall mean any evidences of indebtedness, shares or other securities directly or indirectly convertible into or exchangeable for Common Stock, but excluding Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "<u>Additional Shares of Common Stock</u>" shall mean all shares of Common Stock issued or deemed to be issued by the Company after the date hereof, other than (1) shares of Common Stock, Options or Convertible Securities issued by reason of a dividend, stock split, split-up or other distribution on shares of Common Stock that is covered by this Section 3; and (2) shares of Common Stock or Convertible Securities actually issued upon the exercise of Options or shares of Common Stock actually issued upon the conversion or exchange of Convertible Securities, in each case provided such issuance is pursuant to the terms of such Option or Convertible Security.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Reservation of Shares</u>. The Company agrees that the number of shares of Common Stock sufficient to provide for the exercise of this Warrant upon the basis set forth above will, at all times during the term of this Warrant, be reserved for issuance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Validity of Shares</u>. All Warrant Shares delivered upon the exercise of this Warrant will be duly and validly issued in accordance with their terms and, upon payment of the Exercise Price, will be fully paid and non-assessable. The Company will pay all documentary and transfer taxes, if any, in respect of the original issuance thereof upon exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Restrictions on Transfer; Compliance with Securities Laws</u>. By acceptance of this Warrant, the Holder accepts and agrees to comply with the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Transferability*. Any transfer of this Warrant must be in compliance with all applicable federal and state securities laws. This Warrant may be divided or combined, upon request to the Company by the Holder, into additional Warrants evidencing the same aggregate number of Warrant Shares. Any such transfer shall be effected upon surrender of this Warrant at the principal office of the Company or its designated agent, together with a written assignment of the Warrant substantially in the form attached hereto as <u>Exhibit B</u> duly executed by the Holder or its agent or attorney and funds sufficient to pay any transfer taxes payable upon the making of such transfer. Upon such surrender and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment and shall issue to the assignor a new Warrant evidencing the portion of the Warrant not so assigned, and this Warrant shall promptly be cancelled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Investment Representation Statement*. Unless the rights under this Warrant are exercised pursuant to an effective registration statement under the Securities Act that includes the Warrant Shares with respect to which the Warrant was exercised or pursuant to an exemption from registration, it shall be a condition to any exercise of the rights under this Warrant that the Holder shall have confirmed to the Company in writing, in a form reasonably acceptable to the Company, that the Warrant Shares so purchased are being acquired solely for the Holder's own account and not as a nominee for any other party, for investment and not with a view toward distribution or resale and that the Holder shall have confirmed such other matters related thereto as may be reasonably requested by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Instructions Regarding Transfer Restrictions*. The Holder consents to the Company making a notation on its records and giving instructions to any transfer agent in order to implement the restrictions on transfer established in this <u>Section 6</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Removal of Legend*. Any legend referring to federal and state securities laws, including the legend identified in <u>Section 7,</u> stamped on a certificate evidencing the Warrants or the Warrant Shares and the transfer instructions and record notations with respect to such securities shall be removed and the Company shall issue a certificate without such legend to the holder of such securities if (i) such securities are registered for resale under the Securities Act, (ii) such securities may be sold under Rule 144 under the Securities Act without volume restrictions or similar limitations or (iii) such holder provides the Company with an opinion of counsel reasonably acceptable to the Company to the effect that a sale or transfer of such securities may be made without registration or qualification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Securities Act Compliance</u>. The Holder hereby represents: (a) that this Warrant and any Warrant Shares will be acquired for investment for the Holder's own account and not with a view to the resale or distribution of any part thereof, and (b) that the Holder is an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act. The Company may place conspicuously upon each certificate representing the Warrant Shares a legend substantially in the following form, the terms of which are agreed to by the Holder:

"THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT (1) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR (2) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE STATE SECURITIES LAWS AND THE SECURITIES LAWS OF OTHER JURISDICTIONS AND, IN THE CASE OF A TRANSACTION EXEMPT FROM REGISTRATION, UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO IT THAT SUCH TRANSACTION DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT AND SUCH OTHER APPLICABLE LAWS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>No Rights as a Shareholder</u>. Except as otherwise provided herein, the Holder will not, by virtue of ownership of this Warrant, be entitled to any rights of a shareholder of the Company but will, upon written request to the Company, be entitled to receive such quarterly or annual reports as the Company distributes to its shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>Notice</u>. Any notices required or permitted to be given hereunder will be in writing and may be served personally or by mail, including by e-mail; and if served will be addressed as follows:

If to the Company: Key Metals Corp. 260 Crandon Blvd. Suite 32 #81 Key Biscayne, FL 33149 Attention: Cesar Lopez E-Mail: clopez@keymetalscorp.com <br>If to the Holder:

Any notice so given by mail will be deemed effectively given 48 hours after mailing when deposited in the United States mail, registered or certified mail, return receipt requested, postage prepaid and addressed as specified above. Any notice given by e-mail must be accompanied by confirmation of receipt, and will be deemed effectively given upon confirmation of such receipt. Any party may by written notice to the other specify a different address for notice purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Applicable Law and Jurisdiction; Waiver of Jury Trial.* This Warrant and all actions arising out of or in connection with this Warrant shall be governed by and construed in accordance with the laws of the state of New York, without regard to the conflicts of law provisions of the state of New York or of any other state. The Holder and the Company each irrevocably consents to the exclusive jurisdiction and venue of any of the federal and state courts located in New York, New York, in connection with any matter based upon or arising out of this Warrant or the matters contemplated herein, and agrees that process may be served upon them in any manner authorized by the laws of the state of New York for such persons. EACH OF THE HOLDER AND THE COMPANY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATED TO THIS WARRANT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Remedies.* The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages, is entitled to specific performance of its rights and the Company's duties under this Warrant. The Company agrees that monetary damages would not be adequate compensation for any loss incurred by reason of the Company's breach of the provisions of this Warrant and the Company hereby agrees to waive and not to assert the defense that a remedy at law would be adequate in any action for specific performance relating to this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Loss, Theft, Destruction or Mutilation of Warrant*. The Company covenants that upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares, and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it (which, in the case of this Warrant, shall not include the posting of any bond), and upon surrender and cancellation of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like tenor and dated as of such cancellation, in lieu of such Warrant or stock certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Non-Waiver and Expenses*. No course of dealing or any delay or failure to exercise any right hereunder on the part of the Holder shall operate as a waiver of such right or otherwise prejudice the Holder's rights, powers or remedies. Without limiting any other provision of this Warrant, if the Company willfully and knowingly fails to comply with any provision of this Warrant, which results in any material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to cover any reasonable costs and expenses including, but not limited to, reasonable attorneys' fees, including those of appellate proceedings, incurred by the Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) *Limitation of Liability*. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant to purchase Warrant Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability of the Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) *Successors and Assigns.* This Warrant may be assigned by the Holder in accordance with applicable securities laws, this Warrant and the rights and obligations evidenced hereby shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant and shall be enforceable by the Holder or holder of Warrant Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) *Amendment*. This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company and the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) *Severability*. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Headings*. The headings used in this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant.

[*Signature page follows.*]

IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized as of the date first above indicated.

---

| | |
|:---|:---|
| KEY METALS CORP. | KEY METALS CORP. |
| By: |  |
| Name: | Cesar Lopez |
| Title: | CEO |

---

**<u>Exhibit A</u>**

**<u>EXERCISE FORM</u>**

(To Be Executed by the Holder to Exercise this Warrant)

TO: Key Metals Corp.

(1) The
 undersigned hereby irrevocably elects to exercise the right to purchase _________ shares
 of Common Stock, represented by the enclosed Warrant as follows:

[ ] <u>Exercise for Cash</u>. Pursuant to Section 2(a) of the Warrant, the Holder hereby elects to exercise the Warrant for cash and tenders payment herewith (or has made a wire transfer) to the order of Key Metals Corp. in the amount of $____________.

 ****

(2) The
 undersigned requests that the applicable number of shares of Common Stock be issued as follows
 pursuant to Section 2(b) of the Warrant:

[ ] <u>Book-Entry Shares to be delivered via DWAC</u>.

[ ] <u>Certificated Shares to be delivered to the address below</u>.

 ****

(3) The
 undersigned requests that the applicable number of shares of Common Stock be issued and delivered
 to the following address:

Name: ____________________________________

DWAC Account Number: _____________________(if applicable)

Address: __________________________________

_________________________________________

_________________________________________

Email: ____________________________________

(4) The
 undersigned understands, agrees and recognizes that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. No
 federal or state agency has made any finding or determination as to the fairness of the investment
 or any recommendation or endorsement of the securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. All
 certificates evidencing the shares of Common Stock, if any, may bear legends substantially
 similar to the legend set forth in Section 6 and Section 7 of the Warrant regarding resale
 restrictions.

(5) The
 undersigned acknowledges that the undersigned has received, read and understood the Warrant
 and agrees to abide by and be bound by its terms and conditions.

Dated: _____________, 20___.

By:   <br> Name:   <br> Title:  

Note: Signature must correspond with the name as written upon the face of the Warrant in all respects, without alteration or enlargement or any change whatsoever.

[*Warrant Exercise Form*]

**<u>Exhibit B</u>**

**<u>ASSIGNMENT FORM</u>**

*(To assign the foregoing Warrant, execute this form and supply required information. Do not use this form to purchase shares.)*

TO: Key Metals Corp.

FOR VALUE RECEIVED, the foregoing Warrant and all rights evidenced thereby are hereby assigned to:

---

| | |
|:---|:---|
| Name: | |
|  | (Please Print) |
| Address: | |
| Phone Number: | |
| Email Address: | |
| Date: | |
| Holder's<br> Signature: | |
| Holder's Name: | |
|  | (Please Print) |

---

[*Warrant Assignment Form*]

## Exhibit 10.16

**Exhibit 10.16**

**<u>KEY MINING HOLDINGS CORP.</u>**

**<u>EMPLOYMENT AGREEMENT</u>**

**THIS EMPLOYMENT AGREEMENT** (this "<u>Agreement</u>") is made and entered by and between Key Mining Holdings Corp., a Delaware corporation (hereinafter, the "<u>Company</u>"), and Cesar Lopez, an individual residing in the State of Florida (hereinafter, "<u>Executive</u>"), effective as of _____________, 2025 (the "<u>Effective Date</u>").

**WHEREAS**, the Company and Executive have agreed that Executive will become the Company's Chief Executive Officer ("<u>CEO</u>"), with the terms and conditions of his employment described in this Agreement.

**NOW, THEREFORE**, in consideration of the foregoing and of the mutual covenants and agreements set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

1.  **<u>Employment</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  **<u>Employment Period</u>.** Unless earlier terminated as provided in Section 3 of this Agreement or extended
 as hereafter provided, the term of Executive's employment under this Agreement shall
 be for a period beginning on the Effective Date and ending one year thereafter. This Agreement
 and Executive's employment shall be extended for successive one-year periods following
 the original term (through each subsequent anniversary thereafter) unless either party notifies
 the other in writing at least thirty (30) days prior to the end of the original term, or
 the end of any additional one-year renewal term, that the Agreement and Executive's
 employment shall not be extended beyond its then current term. The time period during which
 Executive is employed by the Company pursuant to this Agreement is referred to herein as
 the " <u>Employment Period</u>."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  **<u>Title, Reporting, Responsibilities and Location</u>.** As of the Effective Date, Executive will
 be employed as the CEO of the Company upon the terms and subject to the conditions of this
 Agreement. In such capacity, Executive shall report to the Board of Directors of the Company
 (the " <u>Board</u> ") and shall have responsibilities as are commensurate with
 the position of CEO and such other duties as shall be assigned to Executive from time to
 time by the Board. The Executive shall work remotely from the Executive's primary residence
 so long as the Executive is accessible by phone, e-mail and other electronic communications
 during business hours; provided however, the Executive will travel from time to time for
 business purposes at the Company's request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  **<u>At-Will Employment</u>.** During the Employment Period, Executive will be employed by the Company
 on an at-will basis. Consequently, either Executive or the Company may terminate Executive's
 employment at any time for any reason not prohibited by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  **<u>Extent of Service</u>.** During the Employment Period, and excluding any periods of time off for
 vacation, illness or leave to which Executive is entitled in accordance with Company policy,
 Executive agrees to devote no less than forty (40) hours per week and to devote his attention,
 skill and efforts to the faithful performance of Executive's duties hereunder. Executive
 further agrees to perform Executive's duties and responsibilities to the best of Executive's
 abilities in a loyal, diligent, trustworthy and business-like manner and diligently follow
 and implement all reasonable and lawful management policies and decisions with respect to
 which Executive is or should be aware.

2.  **<u>Compensation and Benefits</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  **<u>Base Salary</u>.** During the Employment Period, the Company will pay to Executive a base salary
 (" <u>Base Salary</u> "), less normal withholdings, payable in equal installments
 as are customary under the Company's payroll practices from time to time (but no less
 frequently than monthly). Initially, Executive's Base Salary shall be three hundred
 and seventy-five thousand Dollars ($375,000) per year. The Company shall review Executive's
 Base Salary annually and may increase Executive's Base Salary in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  **<u>Annual Bonus</u>.** During the Employment Period, Executive also will be eligible to receive an
 annual calendar year-end performance bonus (" <u>Annual Bonus</u> ") targeted to
 equal 70% of Executive's then Base Salary (" <u>Target Bonus</u> "), consistent
 with the Company's bonus policies applicable to similarly situated executive employees
 of the Company that the Company may implement from time to time, and such Annual Bonus shall
 be prorated if Executive has not been employed for the entire calendar year. Except as otherwise
 set forth herein, such Annual Bonus for any applicable year will be paid only if Executive
 is employed by the Company or an Affiliate on the date on which the Annual Bonus for such
 year is to be paid. The amount of the Annual Bonus will be based on a number of different
 factors, including but not limited to, the performance and results of the Company, and achievement
 of Executive's specific performance targets developed and evaluated by the Company.
 The Annual Bonus for any applicable year, as so determined, will be paid in the year following
 the year for which it is earned (less normal withholdings) in accordance with the Company's
 policies and procedures, but no later than March 15 of the year following the calendar year
 for which Executive's performance is measured. The Company retains the right to change
 these Annual Bonus criterion on a prospective basis at any time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  **<u>Equity Compensation</u>** . During the Employment Period, Executive will be entitled to receive
 total incentive compensation (including equity or equity-based grants) on a basis that is
 not less favorable than that provided to the other executive employees of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  **<u>Equity Award</u>** . Subject to the approval of the Board of the Company (the " <u>Board</u> ")
 on the Effective Date, the Employee will receive the equity awards set forth below. The grant
 will be made pursuant to and in accordance with the Key Mining Holdings Corp. Omnibus Incentive
 Compensation Plan (the " <u>Plan</u> ") and the terms of the applicable award agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) [________] restricted stock units which shall become earned and fully vested upon the completion of a feasibility study (including any 'bankable' or 'definitive' feasibility study) for the Company's Titanium Project in Chile that is prepared in compliance with Regulation S-K, Subpart 1300 and summarized in a technical report summary signed by a qualified person that concludes the project is economically viable for development and production, in each case as determined and certified in good faith by the Company's compensation committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) [__________] restricted stock units which shall become earned and vested in equal tranches upon the Company's or any of its subsidiaries' execution of an offtake agreement (or series of related agreements) with one or more investment-grade counterparties for the purchase of titanium concentrate from the Titanium Project providing, in aggregate, for committed annual contract quantities of at least 10,000 tonnes per annum per tranche on arm's-length terms consistent with industry practice, up to an aggregate cap of 52,500 tonnes per annum. Each full 10,000-tonne per annum tranche of committed offtake so contracted, as determined and certified by the Company's compensation committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) [_______] restricted stock units which shall become earned and fully vested upon the Company's or any of its subsidiaries' execution of a development or joint venture agreement with an investment-grade strategic partner pursuant to which such partner is obligated to fund, arrange funding for, or otherwise be financially responsible (in whole or in material part) for advancing the Water Desalination Project in Chile to ready-to-build status, evidenced by receipt of all material permits and approvals required to commence construction and completion of a Class 3 or better capital cost estimate and implementation schedule, as determined and certified by the Company's compensation committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) [_______] restriected stock units under the Plan which shall become earned and fully vested upon the Company's or any of its subsidiaries' execution of a water supply or offtake agreement(s) for the Water Desalination Project in Chile with one or more mining, industrial, agricultural, municipal or community users providing, in aggregate, for the allocation and committed purchase of at least 300 L/s of desalinated water capacity (out of the project's currently anticipated and permitted installed capacity totaling 440 L/s), while preserving the remaining capacity for the Company's own water needs at the Titanium Project, as determined and certified by the Company's compensation committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) [_______] restriect stock units which shall become earned and fully vested upon Pubco's or any of its subsidiaries' acquisition of a direct or indirect interest of not less than a majority equity stake in one or more mining properties that, individually or in the aggregate, constitute a material mining property for purposes of Regulation S-K, Subpart 1300, as determined in good faith by the Board and disclosed as such in the Company's filings with the Securities and Exchange Commission, and that is supported by an initial assessment (technical report in compliance with Regulation S-K, Subpart 1300), pre-feasibility study or feasibility study demonstrating a mineral resource or reserve of at least the economic equivalent of 250,000 tonnes of contained gold or gold-equivalent metal, as determined and certified by the Company's compensation committee; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) [_________] resteocted stock units which shall become earned and fully vested upon the completion and public disclosure by the Company of a technical report summary prepared in compliance with Regulation S-K, Subpart 1300 by a qualified person, declaring for the first time a maiden mineral resource estimate on a greenfield exploration property (whether currently held or subsequently acquired by the Company or any of its subsidiaries) which the Board determines in good faith constitutes a material mining property under Regulation S-K, Subpart 1300, having regard to the tonnage, grade/quality and projected economic significance of such mineral resource, as determined and certified by the Company's compensation committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  **<u>401(k) Plan</u>.** During the Employment Period, Executive shall be eligible to participate in
 the Company's 401(k) plan, consistent with the terms of that plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  **<u>Welfare Benefit Plans</u>.** During the Employment Period, Executive shall be eligible to participate
 in the welfare benefit plans, practices, policies and programs provided by the Company to
 the class of employees that includes Executive (including, without limitation, medical, prescription,
 dental, short-term disability, long-term disability, life insurance, accidental death and
 dismemberment insurance, and D&O insurance plans and programs but excluding any severance,
 termination or similar plan, practice, policy or program), consistent with the terms of the
 applicable plans, practices, policies and programs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  **<u>Expenses</u>.** The Company shall reimburse Executive for all reasonable travel, lodging, entertainment
 or other business expenses incurred by Executive during the Employment Period in the course
 of performing Executive's duties under this Agreement in accordance with Company policy
 within thirty (30) days following submission of appropriate documentation of such reimbursable
 expenses. In no event will such reimbursements, if any, be made later than the last day of
 the calendar year following the calendar year in which Executive incurs the expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  **<u>Fringe Benefits</u>.** During the Employment Period, Executive shall be entitled to fringe benefits
 in accordance with the plans, practices, programs and policies of the Company provided to
 the class of employees that includes Executive, consistent with the terms of the applicable
 plan, practice, program or policy. Executive shall be entitled to take paid time off as specified
 in the Company's paid time off policy.

3.  **<u>Termination of Employment</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  **<u>Death or Disability</u>.** Executive's employment shall terminate automatically upon Executive's
 death during the Employment Period. If the Company determines that the Disability of Executive
 has occurred during the Employment Period (pursuant to the definition of Disability set forth
 below), the Company may give to Executive written notice of its intention to terminate Executive's
 employment on account of Executive's Disability. In such event, Executive's employment
 with the Company shall terminate effective on the thirtieth (30<sup>th</sup>) day after receipt
 of such written notice by Executive (the " <u>Disability Effective Date</u> "),
 provided that, within the thirty (30) days after such receipt, Executive shall not have returned
 to full-time performance of Executive's duties. For purposes of this Agreement, " <u>Disability</u> "
 shall mean the inability of Executive, as determined in good faith by the Board (excluding
 Executive's vote, if Executive is then a member of the Board), to substantially perform
 the essential functions of Executive's regular duties and responsibilities, with or
 without reasonable accommodation, due to a physical or mental illness or other impairment
 which has lasted (or can reasonably be expected to last) for a period of at least one hundred
 twenty (120) consecutive days or more than one hundred eighty (180) total days in any twelve
 (12)-month period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  **<u>Termination by the Company</u>.** The Company may terminate Executive's employment during the
 Employment Period with or without Cause. For purposes of this Agreement, " <u>Cause</u> "
 shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Executive's
 willful misconduct or gross negligence in connection with the performance of Executive's
 duties (other than any such failure resulting from Disability);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Executive's
 intentional misappropriation or embezzlement of funds or property of the Company or one of
 its Affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Executive's
 fraud or dishonesty with respect to the Company or its Affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Executive's
 indictment for or entering of a guilty plea or plea of no contest with respect to any felony
 or any misdemeanor involving moral turpitude or dishonesty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The
 Company's receipt of any form of notice, written or otherwise, that any regulatory
 agency having jurisdiction over the Company or one of its Affiliates intends to institute
 any form of formal or informal regulatory action against Executive;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Executive's
 exhibition of a standard of behavior within the scope of or related to Executive's
 employment that is materially disruptive to the orderly conduct of the Company's or
 its Affiliates' business operations (including, without limitation, substance abuse,
 sexual harassment or sexual misconduct);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Executive's
 material failure to perform Executive's duties and responsibilities under this Agreement;
 provided that the nature of such conduct shall be set forth with reasonable particularity
 in a written notice to Executive who shall have fifteen (15) days following delivery of such
 notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion
 of the Company, susceptible to a cure; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Executive's
 material breach of this Agreement that is not cured within fifteen (15) days after written
 notice of such breach from the Company.

For purposes of this Agreement, "<u>Affiliate</u>" means (i) any member of a "controlled group of corporations" (within the meaning of Section 414(b) of the Code) that includes the Company as a member of the group; and (2) any member of a group of trades or businesses (whether or not incorporated) under common control (within the meaning of Section 414(c) of the Code) that includes the Company as a member of the group, except that, for purposes of determining the members of a "controlled group of corporations," the language "at least 50 percent" shall be used instead of "at least 80 percent" each place it appears in Section 1563(a)(1), (2) and (3); and for purposes of determining the members of a group of trades or businesses (whether or not incorporated) that are under common control, the language "at least 50 percent" shall be used instead of "at least 80 percent" each place it appears in Treas. Reg. § 1.414(c)-2.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  **<u>Termination by Executive</u>.** Executive's employment may be terminated by Executive for Good
 Reason or no reason. For purposes of this Agreement, " <u>Good Reason</u> " shall
 mean any of the following actions, if taken without Executive's written consent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any
 action taken by the Company which results in a material reduction in Executive's authority,
 duties or responsibilities, including any requirement that Executive report directly to anyone
 other than the Board of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The
 assignment to Executive of duties that are materially inconsistent with Executive's
 authority, duties or responsibilities in the position of CEO;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Any
 decrease of more than ten percent (10%) in Executive's Base Salary or Annual Bonus
 opportunity; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The
 Company's material breach of this Agreement.

Notwithstanding the foregoing, Executive must give the Company written notice of any event or condition that would constitute Good Reason within thirty (30) days of the event or condition which would constitute Good Reason, and, upon the receipt of such written notice, the Company shall have thirty (30) days to remedy such event or condition. If such event or condition is not remedied within such thirty (30)-day period, any termination of employment by Executive for Good Reason must occur within thirty (30) days after the period for remedying such condition or event has expired (without the Company having remedied such condition or event).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  **<u>Termination on Failure to Renew</u>** . The Company and Executive agree that Executive's employment
 will terminate immediately following the expiration of the Employment Period, if either party
 notifies the other that the Employment Period shall not be extended as provided in Section
 1(a) above (without any additional Notice of Termination).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  **<u>Notice of Termination</u>.** Any termination by the Company with or without Cause, or by Executive
 with or without Good Reason, shall be communicated by a Notice of Termination to the other
 party hereto given in accordance with <u>Section 10(e)</u> of this Agreement. For purposes
 of this Agreement, a " <u>Notice of Termination</u> " means a written notice which
 (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the
 extent applicable, sets forth in reasonable detail the facts and circumstances claimed to
 provide a basis for termination of Executive's employment under the provision so indicated
 and (iii) specifies the termination date. The failure by Executive or the Company to set
 forth in the Notice of Termination any fact or circumstance which contributes to a showing
 of Good Reason or Cause shall not waive any right of Executive or the Company, respectively,
 hereunder or preclude Executive or the Company, respectively, from asserting such fact or
 circumstance in enforcing Executive's or the Company's rights hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  **<u>Termination Date</u>.**" <u>Termination Date</u> " means (i) if Executive's employment
 is terminated by the Company with or without Cause, or by Executive with or without Good
 Reason, the date specified in the Notice of Termination, or (ii) if Executive's employment
 is terminated by reason of death or Disability, the date of death or the Disability Effective
 Date, as applicable.

4.  **<u>Obligations of the Company upon Termination</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Upon
 the termination of Executive's employment for any reason:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Company shall pay to Executive in a lump sum within thirty (30) days after the Termination
 Date (A) any Base Salary that has accrued but is unpaid and (B) any reimbursable expenses
 that have been incurred but are unpaid; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 Company shall provide any vested plan benefits that by their terms extend beyond termination
 of Executive's employment (but only to the extent provided in any such benefit plan
 in which Executive has participated as a Company employee and excluding (except as hereinafter
 provided in <u>Section 4(c)</u>) any Company severance pay program or policy) in accordance
 with the terms of such plans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If
 Executive's employment terminates on account of Executive's death, Disability,
 termination by Executive without Good Reason, termination by the Company for Cause, or failure
 by Executive to renew the Agreement, the Company will make no further payments to Executive
 other than those described in <u>Section 4(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If
 Executive's employment terminates on account of a termination by the Company without
 Cause (and not due to Executive's death or Disability), a failure by the Company to
 renew the Agreement or a termination by Executive for Good Reason, and if Executive complies
 with the other provisions in this Agreement, then in addition to those payments described
 in <u>Section 4(a)</u>, Executive shall be entitled to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Receive
 an amount equal to Executive's Base Salary as in effect immediately preceding the Termination
 Date (or, if greater, Executive's annual Base Salary as in effect immediately preceding
 any action by the Company described in <u>Section 3(c)</u> for which Executive terminated
 Executive's employment for Good Reason) for a period of twenty-four (24) months, such
 period to commence immediately following the Termination Date, to be paid in equal monthly
 or more frequent installments as are customary under the Company's payroll practices
 from time to time (collectively, the " <u>Severance Payment</u> "); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Receive
 Executive's Annual Bonus for any completed calendar year, to the extent earned for
 such year and unpaid as of the Termination Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Continue
 any health care (medical, dental and vision) plan coverage provided to Executive and Executive's
 spouse and dependents at the time of the Termination Date for one (1) month after the Termination
 Date, on the same basis and at the same cost to Executive as available to similarly situated
 active employees of the Company during such period, provided Executive and Executive's
 spouse and dependents are eligible for such continuation coverage as of the Termination Date.
 If Executive and Executive's spouse and dependents are eligible for such coverage as
 of the Termination date but the Company reasonably determines that maintaining such coverage
 for Executive or Executive's spouse or dependents is not practicable under the terms
 and provisions of such plans and programs (or where such continuation would adversely affect
 the tax status of the plan or program pursuant to which the coverage is provided), the Company
 shall pay Executive cash payments equal to the estimated cost of the expected Company contribution
 therefor for such same period of time, with such payments to be made in accordance with the
 established payroll practices of the Company (no less frequently than monthly) for the period
 during which such cash payments are to be provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding
 any other provision of this Agreement, Executive's right to receive any payments under <u>Section 4(c)</u> of this Agreement is contingent upon and subject to Executive signing
 and delivering to the Company a complete general release of all claims against the Company
 and its Affiliates in a form acceptable to the Company (the " <u>Release</u> "),
 and allowing the applicable revocation period required by law to expire without revoking
 or causing revocation of same, within the sixty (60) days following the Termination Date.
 Any payments to be made, or benefits to be provided, under <u>Section 4(c)</u> of this Agreement
 prior to the date the Release becomes effective and irrevocable shall be accumulated and
 paid, or, as to benefits, provided at Executive's cost and reimbursed, in a lump sum
 on the first payroll date occurring after the Release becomes effective and irrevocable,
 except that, if the sixty (60) days for Executive to deliver the signed Release to the Company
 and the revocation period thereunder to expire without Executive having elected to revoke
 the Release, spans more than one calendar year, none of the payments or reimbursements under <u>Section 4(c)</u> of this Agreement can commence until the subsequent calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If
 Executive holds any other office with the Company or one of its Affiliates (other than as
 a member of the Company's Board of Directors) and Executive's employment terminates
 for any reason whatsoever, Executive shall immediately resign from any such office (other
 than as a member of the Company's Board of Directors), effective as of the Termination
 Date.

5.  **<u>Restrictive Covenants</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  **<u>Acknowledgment</u>** .
 Executive acknowledges that in the course of Executive's employment, Executive has
 learned and will learn about the business, services, materials, programs, plans, processes,
 products, of the Company and its Affiliates and the manner in which these are developed,
 marketed, serviced and provided. Executive knows and acknowledges that the Company and its
 Affiliates have invested considerable time and money in developing its businesses, services,
 materials, programs, plans, processes, products, and marketing techniques. Executive further
 acknowledges that Executive must keep secret all pertinent information divulged to Executive
 regarding the Company's or its Affiliates' business concepts, services, materials,
 ideas, programs, plans, processes, products, and marketing techniques so as not to aid competitors
 of the Company or its Affiliates. As a material inducement to the Company to enter into the
 Agreement, and the recognition of the valuable experience, knowledge, and proprietary information
 Executive will gain from employment with the Company, Executive agrees to abide by and adhere
 to the restrictive covenants set forth in <u>Sections 5(c)</u>, <u>(d)</u>, <u>(e)</u>, <u>(f)</u>,
 and <u>(g)</u> (the " <u>Restrictive Covenants</u> ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  **<u>Definitions</u>** .
 For purposes of <u>Section 5</u>, the following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **" <u>Confidential Information</u> "** shall mean proprietary or confidential data, information, documents,
 or materials (whether oral, written, electronic or otherwise) that belongs to or pertains
 to the Company and which was disclosed to Executive or which Executive became aware of as
 a consequence of Executive's employment with the Company, which is of tangible or intangible
 value to the Company, and the details of which are not generally known to the competitors
 of the Company. The term "Confidential Information" shall include (but is not
 limited to) (a) the identity of the Company's customers or potential customers, their
 email and home addresses and telephone numbers and the terms or proposed terms upon which
 the Company offers or may offer its products and services to such customers, (b) the identity
 of the Company's vendors or potential vendors, and the terms or proposed terms upon
 which the Company may purchase products and services from such vendors, (c) personnel or
 salary data or other confidential information about personnel of the Company, (d) marketing
 and/or business plans and retains strategies, (e) financial reports and analyses regarding
 the revenues, expenses, profitability and operations of the Company, (f) technology used
 by the Company to provide its services, and (g) any information which has been disclosed
 to the Company by a third party and which the Company is obligated to treat as confidential.
 Notwithstanding the foregoing, the term "Confidential Information" shall not
 mean data or information which has been voluntarily disclosed to the public by the Company
 (except where such public disclosure was made by Executive without authorization), independently
 developed and disclosed by others, or otherwise entered the public domain through lawful
 means. Nothing in this Agreement shall prohibit, prevent or restrict Executive from making
 disclosures, discussions, or statements relating to sexual harassment or sexual assault conduct
 or settlements or from reporting any allegations of unlawful conduct to federal, state or
 local officials or to an attorney retained by Executive.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **" <u>Material Contact</u> "** shall mean the contact between Executive and a customer or prospective
 customer of the Company (a) with whom or which Executive dealt on behalf of the Company;
 (b) whose dealings with the Company were coordinated or supervised by Executive; (c) about
 whom Executive obtained confidential information in the ordinary course of business as a
 result of Executive's association with the Company; or (d) who received products or
 services authorized by the Company, the sale or provision of which results or resulted in
 compensation, commissions, or earnings for Executive within the twenty-four (24) months prior
 to the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **" <u>Restricted Period</u> "** shall mean the twelve (12) months following the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) **" <u>Trade Secrets</u> "** shall mean a trade secret of the Company as defined by applicable
 law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) **" <u>Work Product</u> "** shall mean all tangible work product, property, data, documentation,
 concepts or plans, inventions, improvements, techniques, and processes relating to the Company
 that were conceived, discovered, created, written, revised, or developed by Executive during
 Executive's employment with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  **<u>Confidentiality</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  **<u>Non-Disclosure</u>.** Executive agrees that during Executive's employment and at all times following
 the Termination Date, Executive will not directly or indirectly use, copy, disclose, publish
 or otherwise distribute to any other person or entity any Confidential Information or Trade
 Secrets (other than in the performance of Executive's duties for the Company). While
 employed by the Company, Executive shall take all reasonable efforts to protect and maintain
 the confidentiality of Confidential Information and Trade Secrets of the Company. In the
 event that Executive becomes aware of unauthorized disclosures of the Confidential Information
 or Trade Secrets by anyone at any time, whether intentionally or by accident, Executive shall
 promptly notify the Chief Executive Officer. Notwithstanding the foregoing, nothing in this
 Agreement is intended to or will be used in any way to prevent Executive from testifying
 truthfully under oath in a judicial proceeding or to limit Executive's right to communicate
 with a government agency, as provided for, protected under or warranted by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)  **<u>Exception for Disclosure of Trade Secrets in Certain Circumstances</u>.** Notwithstanding anything
 herein to the contrary, Executive shall not be held criminally or civilly liable under any
 federal or state trade secret law for the disclosure of a Trade Secret that (i) is made in
 confidence to a federal, state, or local government official, either directly or indirectly,
 or to an attorney and solely for the purpose of reporting or investigating a suspected violation
 of law or (ii) is made in a complaint or other document filed in a lawsuit or other proceeding,
 if such filing is made under seal. In addition, if Executive files a lawsuit for retaliation
 for reporting a suspected violation of law, Executive may disclose the Trade Secret to his
 or her attorney and use the Trade Secret information in the court proceeding, as long as
 Executive files any document containing the Trade Secret under seal and does not disclose
 the Trade Secret, except pursuant to court order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  **<u>Non-Solicitation of Customers</u>.** Executive agrees that during the Restricted Period, Executive will
 not directly or through the direction or control of others, either on Executive's own
 behalf or on behalf of any other person or entity, solicit, or attempt to solicit (including
 but not limited to through in-person communications, telephone, email, regular mail, express
 mail, fax, social media post, social media message or instant message) any of the Company's
 customers (or any actively sought prospective customer of the Company) with whom Executive
 had Material Contact during the twenty-four (24) months prior to the Termination Date for
 the purpose of offering or providing any products or services that are similar to or competitive
 with those provided by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  **<u>Non-Solicitation of Suppliers</u>.** Executive agrees that during the Restricted Period, Executive will
 not directly or through the direction or control of others, either on Executive's own
 behalf or on behalf of any other person or entity induce or attempt to induce any of the
 Company's suppliers (or any actively sought prospective supplier of the Company) with
 whom Executive had contact in person, by telephone, or by paper or electronic correspondence
 in furtherance of the business interests of the Company during the twenty-four (24) months
 prior to the Termination Date to cease doing business with the Company or reduce or otherwise
 adversely change its business with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  **<u>Non-Solicitation of Employees and Contractors</u>.** Executive agrees that during the Restricted Period,
 Executive will not directly or indirectly, either on Executive's own behalf or on behalf
 of any other person or entity, (a) solicit, attempt to solicit, induce, or attempt to induce
 any employee or independent contractor of the Company with whom Executive had direct personal
 contact during the twenty-four (24) months prior to the Termination Date to terminate or
 lessen his or her affiliation with the Company or to violate the terms of any agreement or
 understanding between that individual and the Company. Notwithstanding anything herein to
 the contrary, the parties agree that a general solicitation that is not directed specifically
 to the Company's employees or independent contractors will not violate this Section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  **<u>Non-Disparagement</u>.** Executive agrees that Executive will not at any time make, publish, or communicate to
 any person or entity or in any public forum any negative, disparaging, or unflattering remarks,
 comments, or statements concerning the Company's business, products or services or
 make any maliciously false statements about the Company's employees or officers. Notwithstanding
 the foregoing, nothing in this Agreement is intended to or will be used in any way to prevent
 Executive from testifying truthfully under oath in a judicial proceeding or to limit Executive's
 right to communicate with a government agency, as provided for, protected under or warranted
 by applicable law or with an attorney retained by Executive.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  **<u>Work Product</u>.** All Work Product shall be owned exclusively by the Company. To the greatest
 extent possible, any Work Product shall be deemed to be a "work made for hire"
 (as defined in the United States Copyright Act, 17 U.S.C.A. §101 et <u>seq</u>., as
 amended) and owned exclusively by the Company. Executive hereby unconditionally and irrevocably
 transfers and assigns to the Company all right, title and interest in or to any Work Product.
 To the extent the Work Product is deemed to be other than a "work made for hire,"
 Executive hereby assigns all right, title and interest in and to the Work Product to the
 Company and agrees to execute all documents requested by the Company to confirm such assignment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  **<u>Reasonableness of Restrictions</u>.** Executive and the Company expressly acknowledge and agree that the
 scope, territorial, time, and other restrictions contained in <u>Section 5</u> are necessary
 to protect the business interests of the Company given the businesses of the Company and
 the competitive nature of the Company's industry; and that Executive's skills
 are such that Executive could easily find alternative, commensurate employment or consulting
 work in Executive's field which would not violate any of the provisions of the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  **<u>Rights and Remedies Upon Breach</u>.** The parties specifically acknowledge and agree that, in
 the event Executive breaches any of the Restrictive Covenants, the Company shall be entitled
 to specific performance and injunctive relief, without the necessity of proving actual damage
 or posting any bond, to enforce or prevent any violation of the Restrictive Covenants by
 Executive, it being agreed that any breach of the Restrictive Covenants will cause irreparable
 injury to the Company and that money damages will not provide an adequate remedy to the Company.
 Executive understands and agrees that if he violates any of the obligations set forth in
 the Restrictive Covenants, the Restricted Period shall cease to run during the pendency of
 any litigation over such violation, provided that such litigation was initiated during the
 Restricted Period. Such rights and remedies shall be in addition to, and not in lieu of,
 any other rights and remedies available to the Company at law or in equity. The Company and
 Executive understand and agree that, if the parties become involved in legal action regarding
 the enforcement of the Restrictive Covenants, the prevailing party in such legal action will
 be entitled, in addition to any other remedy, to recover its reasonable costs and attorneys'
 fees incurred in enforcing or defending action with respect to such covenants. The Company's
 ability to enforce its rights under the Restrictive Covenants or applicable law against Executive
 shall not be impaired in any way by the existence of a claim or cause of action on the part
 of Executive based on, or arising out of, this Agreement or any other event or transaction.

6.  **<u>Return of Property and Information</u>.** Executive agrees to return to the Company all property
 and information of the Company (including but not limited to Confidential Information and
 Trade Secrets) within Executive's possession or control within seven (7) calendar days
 following the Termination Date or at any time upon request of the Company. Such property
 and information includes, but is not limited to, the original and any copy (regardless of
 the manner in which it is recorded) of all information provided by the Company to Executive
 or which Executive has developed or collected in the scope of Executive's employment
 with the Company, as well as all Company-issued equipment, supplies, accessories, vehicles,
 keys, instruments, tools, devices, computers, cell phones, pagers, materials, documents,
 plans, records, notebooks, drawings, or papers. Upon request by the Company, Executive shall
 certify in writing that Executive has complied with this provision and has permanently deleted
 all Company information from any computers or other electronic storage devices or media owned
 by Executive. Executive may only retain information relating to Executive's own compensation
 and benefits.

7.  **<u>Non-exclusivity of Rights</u>.** Nothing in this Agreement shall prevent or limit Executive's continuing
 or future participation in any plan, program, policy or practice provided by the Company
 and for which Executive may qualify. Amounts which are vested benefits or which Executive
 is otherwise entitled to receive under any plan, policy, practice or program of or any contract
 or agreement with the Company at or subsequent to the Termination Date shall be payable in
 accordance with such plan, policy, practice or program or contract or agreement except as
 explicitly modified by this Agreement.

8.  **<u>Withholding of Taxes</u>.** The Company shall withhold from any amounts payable under this Agreement
 all federal, state, city or other taxes that the Company is required to withhold under any
 applicable law, regulation or ruling.

9.  **<u>Section 409A</u>.** It is intended that any payment or benefit which Executive is to be paid or
 provided in connection with this Agreement which is considered to be deferred compensation
 subject to Section 409A of the Code shall be paid or provided in such manner, and at such
 time, as will either be exempt from or in compliance with the requirements of Section 409A
 of the Code, and the Agreement will be interpreted consistent with such intent. For purposes
 of this Agreement, (i) all rights to payments and benefits hereunder shall be treated as
 rights to receive a series of separate payments and benefits to the fullest extent allowed
 by Section 409A of the Code and (ii) termination of employment shall mean a "separation
 from service" within the meaning of Section 409A of the Code where it is reasonably
 anticipated that no further services would be performed after such date or that the level
 of bona fide services Executive would perform after that date (whether as an employee or
 independent contractor) would permanently decrease to less than fifty (50%) percent of the
 average level of bona fide services performed over the immediately preceding 36-month period
 (or, if lesser, Executive's period of service). If Executive is deemed on the date
 of separation from service with the Company to be a "specified employee", within
 the meaning of that term under Code Section 409A(a)(2)(B) and using the identification methodology
 selected by the Company from time to time, or if none, the default methodology, then with
 regard to any payment or benefit that is required to be delayed for six (6) months in compliance
 with Code Section 409A(a)(2)(B), such payment or benefit shall be paid on the earlier of
 (i) the first day of the seventh (7th) month measured from the date of Executive's
 separation from service or (ii) the date of Executive's death. In the case of benefits
 required to be delayed under Code Section 409A, Executive may pay the cost of benefit coverage,
 and thereby obtain benefits, during such six (6) month delay period and then be reimbursed
 by the Company thereafter on the first day of the seventh (7th) month following the date
 of Executive's separation from service or, if earlier, on the date of Executive's
 death. Notwithstanding any other provision of this Agreement, the Company is authorized to
 amend this Agreement to amend or void any election made by Executive under this Agreement
 and/or to accelerate or delay the payment of any monies and/or provision of any benefits
 in such manner as may be determined by it to be reasonably necessary or appropriate to comply,
 or to evidence or further evidence required compliance, with Section 409A of the Code. Neither
 the Company nor Executive shall take any action to accelerate or delay the payment of any
 monies and/or provision of any benefits in any manner which would not be in compliance with
 Section 409A of the Code. Notwithstanding any other provision of this Agreement, neither
 the Company nor its Affiliates shall be liable to Executive or any other person if any payment
 or benefit which is to be provided pursuant to this Agreement and which is considered deferred
 compensation subject to Section 409A of the Code fails to comply with, or be exempt from,
 the requirements of Section 409A of the Code.

10.  **<u>Miscellaneous</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  **<u>Construction of Agreement, Modification and Severability</u>.** The provisions of this Agreement shall
 be presumed to be enforceable, and any reading causing unenforceability shall yield to a
 construction permitting enforcement. If a court determines that any provision of this Agreement
 is overly broad or otherwise unenforceable as written, the parties authorize such court to
 modify and enforce such provision to the extent the court deems reasonable. If any provision
 of this Agreement is found by a court to be overbroad and unenforceable and not capable of
 modification, it shall be severed and the remaining covenants and provisions enforced in
 accordance with the tenor of the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  **<u>Entire Agreement</u>.** This Agreement contains the entire agreement and understanding between
 the Company and Executive concerning the subject matter hereof and supersedes any existing
 agreement entered into by Executive and the Company relating to the same subject matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  **<u>Modification</u>.** This Agreement may not be modified or amended by the parties, except by a writing executed
 by Executive and an authorized representative of the Company that specifically identifies
 the provision to be modified or amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  **<u>Waiver</u>.** Failure of either party to insist, in one or more instances, on performance by the other
 in strict accordance with the terms and conditions of this Agreement shall not be deemed
 a waiver or relinquishment of any right granted in this Agreement or of the future performance
 of any such term or condition or of any other term or condition of this Agreement, unless
 such waiver is contained in a writing signed by the party making the waiver.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  **<u>Notices</u>.** All notices, requests, demands and other communications required or permitted hereunder
 shall be in writing and shall be deemed to have been duly given if personally delivered,
 sent by reputable overnight courier service or mailed by first-class mail, return receipt
 requested:

To the Company:

Key Mining Holdings Corp.

701 Brickell Ave.

Suite 1550

Miami, FL 33131

<u>info@keyminingcorp.com</u>

To Executive:

Cesar Lopez

430 Grand Bay Drive

Apt 1206

Key Biscayne, FL 33149

<u>Maco64@me.com</u>

Any party may change the address to which notices, requests, demands and other communications shall be delivered or mailed by giving notice thereof to the other party in the same manner provided herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  **<u>Governing Law and Forum</u>.** The laws of the state of Delaware shall apply to all questions regarding
 the interpretation, modification, breach or enforcement of this Agreement, without regard
 to conflicts-of-law principles. The parties agree that they will not file any action arising
 out of this agreement other than in a state or federal court located in Wilmington, Delaware.
 The parties consent to personal jurisdiction and venue solely within these forums and waive
 all otherwise possible objections thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  **<u>Assignment; Third-Party Beneficiaries</u>.** The Company may assign this Agreement to any subsidiary
 or corporate affiliate or to any successor or assign (whether direct or indirect, by purchase,
 merger, consolidation or otherwise), and the rights of the Company hereunder shall inure
 to the benefit of its successors and assigns. Executive may not assign this Agreement, as
 the obligations hereunder are personal to Executive. The Company's Affiliates are intended
 to be third-party beneficiaries of the Restrictive Covenants in this Agreement and this Agreement
 may be enforced by each of them in accordance with the terms hereof in respect of the rights
 granted to such entities hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  **<u>Counterparts</u>.** This Agreement may be executed in separate counterparts, each of which is deemed to be
 an original and all of which taken together constitute one and the same agreement.

**IN WITNESS WHEREOF**, the parties hereto have duly executed and delivered this Agreement as of the dates set forth below.

---

| | |
|:---|:---|
| **Key Mining Holdings Corp.** | **Key Mining Holdings Corp.** |
| Name: |  |
| Title: |  |
| Date: |  |
| **Executive** | **Executive** |
| **Name:** | **Cesar Lopez** |
| Date: |  |

---

## Exhibit 10.17

**Exhibit 10.17**

**CONSULTING AGREEMENT**

THIS CONSULTING AGREEMENT dated for reference the 01 day of January, 2022.

BETWEEN:

**KEY METALS CORP.**, a company subsisting under the laws of the state of Delaware, United States, having an office at 240 Crandon Blvd., Key Biscayne, FL 33149.

(the "Company")

AND:

**CESAR A. LOPEZ ALARCON**, businessman, domiciled at 430 Grand Bay Drive, United States, having a residence at 430 Grand Bay Drive, Key Biscayne, FL 33149

(the "Consultant")

W H E R E A S:

A. The
 Company is a private Delaware company, having been incorporated under the laws of Delaware;

B. The
 Company through various subsidiary entities is involved in all aspects of the international
 mining industry and, in particular, is assisting its wholly-owned subsidiary, Key Metals
 Corp. SpA, a private corporation incorporated in Chile to develop a copper-molybdenum-gold-zinc-cobalt
 mining project ("Project") in the Republic of Chile;

C. In
 addition, the Company engages in energy metals exploration activities in the United States
 and elsewhere;

D. The
 Consultant is a qualified mining, legal, fundraising and investor relations advisor with
 extensive experience in corporate management, mining asset acquisitions, initial public offerings
 and various legal matters in the United States, Canada and South America;

E. The
 Company the services of the Consultant as a chief executive officer of the Company and the
 Consultant desires to provide such services in such capacities, all pursuant to the terms
 and conditions set forth in this Agreement; and

F. The
 Consultant has represented that he has prior experience in working with natural resources
 companies internationally, and the necessary contacts and expertise, to manage the Company
 and its Chilean subsidiary (Key Metals Corporation SpA), and has agreed to provide such services
 to the Company, and the Company wishes to retain the services of the Consultant in that regard,
 all on the terms and conditions set forth herein.

NOW THEREFORE THIS AGREEMENT WITNESSETH that in consideration of the mutual covenants and agreements hereinafter contained, the parties agree as follows:

**1.** **ENGAGEMENT** 

1.1 The
 Company hereby retains and engages the Consultant, and the Consultant hereby accepts such
 retainer and engagement, to perform the services set forth in section 2 hereof on the terms
 and conditions hereinafter set forth.

1.2 The
 term of this agreement (the "Term") will commence on 01 June, 2021 and continue
 until terminated in accordance with the provisions hereof.

**2.** **SERVICES** 

2.1 The
 Consultant will provide the services to the Company as more particularly set forth and described
 in Schedule "A" (the "Services").

2.2 For
 greater certainty, the Consultant and the Company confirm and agree that any one or more
 of the precise Services to be rendered by the Consultant may be reasonably extended, amended
 or curtailed by the Company upon reasonable notice in writing from time to time at its sole
 discretion.

2.3 The
 Consultant will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) provide
 the Services hereunder in a good, prudent and workmanlike manner, to the best of his abilities,
 and using his best efforts, skill and judgement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) fully
 observe and comply with all applicable laws, rules and regulations in relation to the actions
 of the Consultant hereunder or in connection with the Services or the Project, including,
 without limitation, the *Foreign Corrupt Practices Act of 1977* (United States), the *Corruption of Foreign Public Officials Act* (Canada), the *Bribery Act* (United
 Kingdom) and any similar laws in Chile or other relevant countries);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) comply
 with all applicable laws, statutes, codes, rules, regulations and ordinances, the requirements
 of any applicable regulatory agencies, and the terms and conditions of all applicable consents,
 permits, authorizations and licenses issued in connection with, or applicable to, the Company
 and the Project; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) comply
 with all applicable laws, policies, procedures, regulations and codes of governmental authorities
 relevant or applicable to the Company including, without limitation, with respect to conduct
 and ethics, workplace safety, hazardous materials, and environmental and community relations'
 matters.

**3.** **COMPENSATION AND EXPENSES** 

3.1 As
 the consideration for the Services to be rendered by the Consultant hereunder, the Company
 will pay to the Consultant the sum of USD $15,000 DOLLARS per calendar month (the "Consulting
 Fee") that the Consultant is engaged in the provision of the Services hereunder.

3.2 The
 Company will pay the Consulting Fee to the Consultant monthly, in arrears, upon presentation
 by the Consultant of an invoice in respect of each month's Consulting Fee with respect
 to the Services rendered in such month.

3.3 The
 Company will, on a monthly basis (or as otherwise agreed by the Company and the Consultant),
 pay or, if paid by the Consultant, will reimburse the Consultant for, all reasonable costs,
 expenses and disbursements incurred by the Consultant in connection with the provision of
 the Services, provided that each expense and disbursement is supported by an invoice or receipt.
 The Consultant will submit all claims for such cost, expense and disbursement reimbursement
 on such expense account or other form(s) as may be required by the Company.

3.4 The
 Consultant will be based in and will perform the Services primarily from the United States
 and Chile but will travel to and from and be present at and perform the Services hereunder
 at such other locations internationally with such frequency and for such duration as the
 Consultant reasonably considers necessary for the proper and timely performance of the Services.

**4.** **RELATIONSHIP OF THE COMPANY AND THE CONSULTANT** 

4.1 The
 Company acknowledges that, subject to the provisions of this agreement, during the Term,
 the Consultant will engage in other business activities for gain, profit or other pecuniary
 advantage, including, without limitation, acting as a director of, or providing services
 to, other public and private companies with businesses similar or identical to those of the
 Company. However, it is the mutual intention of the parties that the Consultant will give
 strict priority to the provision of Services hereunder. Accordingly, the parties therefore
 agree that the Consultant will not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) without
 the consent of the Company, acting reasonably, engage in other business activities or provide
 services to or act as a director of, persons if to do so would prevent or unduly interfere
 with the ability of the Consultant to perform the Services for the Company hereunder or prevent
 or unduly interfere with the ability of the Consultant to travel to and be present at, the
 Project, as and when required to reasonably and efficiently perform the Services as reasonably
 requested by the Company; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) accept
 any retainer to provide any services to any person for any material period of time without
 first consulting with the Company to ensure that such retainer will not unduly interfere
 with or prevent the Consultant from rendering the Services hereunder as, when and where reasonably
 foreseeably required by the Company.

4.2 The
 Consultant will perform all Services hereunder as an independent contractor, and the Consultant
 will not, in the performance of Services hereunder, be considered for any reason to be, nor
 will the Consultant hold himself out to be, an agent, partner, employee or servant of the
 Company or any of the Company's affiliates (the "Affiliates") by virtue
 of this agreement, except to the extent specifically authorized by this agreement.

4.3 The
 Consultant will defend, indemnify and save harmless each of the Company and the Affiliates,
 and their respective directors, officers and employees, from and against any and all losses,
 expenses, suits, actions, causes of action, liabilities, obligations, damages, and costs
 made or brought against or suffered, incurred, or borne by any of the Company or the Affiliates,
 or their respective directors, officers, or employees, and arising out of or resulting from
 or in any way related to or caused by the failure of the Consultant to carry out, provide
 and render the Services in accordance with the provisions of this agreement.

**5.** **NOTIFICATION OF LAWSUITS AND VIOLATIONS OF LAWS** 

5.1 The
 Consultant will promptly notify the Company of any lawsuit, proceeding or other action commenced
 or taken against the Company or any facts or circumstances of which the Consultant is or
 becomes aware which may reasonably form the basis of any lawsuit, proceeding or action against
 the Company or any of the Affiliates.

5.2 The
 Consultant will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) familiarize
 himself with all relevant and applicable laws, statutes, codes, rules, regulations, ordinances
 and directions of duly constituted governmental bodies and the terms and conditions of all
 applicable consents, permits, authorizations and licenses issued in connection with, or applicable
 to, the Project and the activities of the Company in Chile; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) promptly
 notify the Company if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) he
 becomes aware that the Company has violated any laws, statutes, codes, rules, regulations,
 ordinances and directions of duly constituted governmental bodies or the terms and conditions
 of all applicable consents, permits, authorizations and licenses issued in connection with,
 or applicable to, the Chilean Projects, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) he
 receives notice that any administrative or judicial complaint has been filed against the
 Company.

**6.** **TERMINATION** 

6.1 Notwithstanding
 anything in this agreement to the contrary, the Company may forthwith terminate this agreement
 and the retainer of the Consultant hereunder if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 Consultant is, in the performance of the Services, guilty of conduct that would, at common
 law, constitute just cause for summary dismissal of the Consultant if he were an employee
 of the Company including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any
 wilful failure by the Consultant in the performance of any of the Services,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 conviction of the Consultant of a criminal or summary conviction offence related to the retainer
 of the Consultant hereunder, or any act involving money or other property involving the Company
 or any Affiliate which would constitute a crime in the jurisdiction involved,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any
 act of fraud, misappropriation, dishonesty, embezzlement or similar conduct against the Company,
 any Affiliate, a supplier or service provider to the Company or any Affiliate or a customer
 of the Company or of any Affiliate,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the
 use by the Consultant of illegal drugs or the habitual and disabling use of alcohol or drugs,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any
 material breach of any of the terms of this agreement by the Consultant which breach remains
 uncured after the expiration of five (5) days following the delivery of written notice of
 such breach to the Consultant by the Company,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any
 threatened or actual attempt by the Consultant to secure any personal profit in connection
 with the business of the Company or any Affiliate or any of their respective corporate opportunities,
 or the appropriation of a maturing business opportunity of the Company or any of the Affiliates,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any
 act by the Consultant which is materially injurious to the Company or its business or that
 of any Affiliate,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any
 material breach by the Consultant of any of the policies governing the affairs of the Company
 and the conduct of its directors, officers, employees and consultants that may be applicable
 to the Consultant by virtue of subsection 4.3, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) conduct
 by the Consultant amounting to inattention to, or substandard performance of, the Services,
 which failure or conduct remains uncured after the expiration of ten (10) days following
 the delivery of written notice of such failure or conduct to the Consultant by the Company,

("Just Cause")

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Consultant commits an act of bankruptcy, is adjudicated a bankrupt or otherwise becomes subject
 to the provisions of bankruptcy legislation in any state, or if a receiver, liquidator or
 receiver manager is appointed for the assets or business of the Consultant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) substantially
 all of the assets of the Company are sold;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a
 majority of the outstanding voting shares of the Company is sold, exchanged or otherwise
 disposed of in a single transaction or series of related transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the
 Company terminates its business and liquidates its respective assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the
 Company is merged or consolidated in a transaction in which its shareholders receive
less than fifty (50%) percent of the outstanding voting shares of the new or continuing corporation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the
 Consultant is, in the reasonable judgement of the Company, unable to efficiently and competently
 perform and carry out the required Services hereunder,

by giving written notice to the Consultant of its intention to terminate this agreement on the date specified in such notice (which date may not be prior to the date of delivery of the notice) and this agreement will thereupon terminate upon such specified date.

6.2 This
 agreement may be terminated:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) at
 the election of the Consultant, upon giving to the Company not less than thirty (30) days'
 written notice of his intention to terminate this agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) at
 the election of the Company, upon giving to the Consultant not less than sixty (60) days'
 written notice of its intention to terminate this agreement,

and this agreement will thereupon terminate upon the day specified in such notice, unless the parties agree upon an earlier termination date.

6.3 At
 the option of the Company, upon the Company giving to the Consultant a notice pursuant to
 paragraph 6.2(b), the Company may require the Consultant to immediately cease providing the
 Services provided that the Company, concurrently with such notice, pays to the Consultant
 the Consulting Fee otherwise payable to the Consultant for the period covered by such notice.

6.4 Upon
 the termination of this agreement, for whatever reason, all of the liabilities, obligations
 and rights of the Consultant and the Company will cease as of the effective date of such
 termination, except for the provisions of this subsection 6.4, subsection 6.5 and sections
 7, 8, 9, 10 and 16, each of which will continue in full force and effect for so long as may
 be necessary (subject to the six (6) month limitation with respect to the applicability of
 sections 7 and 8).

6.5 Given
 that the Company is contemplating a dissolution and corporate reorganization for the purposes
 of an initial public offering on a foreign stock exchange, no compensation is payable to
 the Consultant by the Company, or by the Consultant to the Company, as the result of a termination,
 for any reason whatsoever, of this agreement.

**7.** **NON-COMPETITION** 

7.1 The
 Company acknowledges that, due to the nature of the association of the Consultant with the
 mining industry:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 Consultant has access to, and will have access to and will acquire and assist in developing
 confidential information relating to the mining industry which may be in direct or indirect
 competition with the business or mineral projects of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) subject
 to the provisions of this agreement, the Consultant will be at liberty to engage in any other
 business or activity, including businesses and activities within the mining industry, outside
 of that relationship hereby created, provided that the Consultant may not engage in any directly
 Competitive Activities (as defined in paragraph 7.2(a));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the
 Consultant may receive and use for his own benefit unsolicited mineral exploration project
 submissions directed to the Consultant or to the Consultant as agent for companies other
 than the Company, and the Consultant will not be under any obligation to make any such submissions
 known to the Company or to offer to the Company an opportunity to review or participate in
 the same; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 Consultant may receive unsolicited mineral exploration project submissions directed to the
 Company, or to the Consultant as agent for the Company, which submissions the Consultant
 will promptly deliver to the Company for consideration by the Company. If the Company has
 not notified the Consultant in writing within thirty (30) days of receipt thereof by the
 Company from the Consultant that it intends to act upon such unsolicited mineral or mineral
 exploration project submissions, then the Consultant will have the right to consider such
 submissions for his own use and benefit and the Company will thereafter not have any further
 right to such submissions.

7.2 For
 the purposes of this agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 phrase "Competitive Activities" means the participation of the Consultant, directly
 or indirectly through any corporation, partnership, firm or joint venture, without the prior
 written consent of the Company, in the management of any business operation of any enterprise,
 or the provision of consulting or advisory services to any business operation of any enterprise,
 if such operation (a "Competitive Operation") engages in a substantial and direct
 competition with any operations of the Company or any Affiliate (or any operations of any
 optionees or joint venture partners of the Company or any Affiliate in respect of any of
 the mineral properties held by the Company or any Affiliate);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an
 operation by an enterprise will be considered to be in substantial and direct competition
 with the Company or an Affiliate if such operation is being conducted within twenty-five
 (25) kilometres of the outer perimeter of any of the mineral properties held by the Company
 or any Affiliate, or in which either the Company or any Affiliate has the right to earn an
 interest, provided that Competitive Activity will not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 mere ownership of securities in any publicly traded enterprise, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) participation
 in the management of any enterprise or business operation thereof, or the provision of consulting
 services, other than in connection with a Competitive Operation of such enterprise or business
 operation thereof.

7.3 The
 provisions of this section 7 will be binding upon the Consultant during the term of this
 agreement and for a period of six (6) months after the termination of this agreement for
 any reason whatsoever.

**8.** **CONFIDENTIALITY** 

8.1 The
 Consultant will, notwithstanding any breach or alleged breach of this agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) hold
 in secrecy, as trustee or custodian for the Company and the Company's exclusive benefit
 and use, all Confidential Information (as defined below), whether or not discovered, made
 or contributed to, in whole or in part, by the Consultant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) except,
 and then only to the extent required under the specific circumstances, as reasonably necessary
 for the Consultant to fulfill its duties and responsibilities hereunder, not divulge any
 Confidential Information to any person or persons, without the previous written consent of
 the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) not
 use or attempt to use any Confidential Information that the Consultant may acquire in the
 course of rendering the Services hereunder for its own benefit, directly or indirectly, or
 for the benefit of any other person.

8.2 For
 the purposes of this agreement, the term "Confidential Information" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any
 information relating to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 claims, concessions, licenses or other interests in minerals or in mineral properties, in
 which the Company or any Affiliate holds, or has a right to acquire, an interest (whether
 directly or indirectly, such as pursuant to a joint venture or otherwise) or other properties
 in which the Company or any Affiliate holds an interest (whether directly or indirectly,
 such as pursuant to a joint venture or otherwise) (collectively the "First Lithium
 Minerals Properties"),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 assets, liabilities, business, operations, financial matters, shareholdings, products, processes
 or activities of the Company or of any Affiliate,

including, but not limited to title, ownership, geological, mining, metallurgical, engineering and economic studies, production rates and methods, sales and marketing of products produced, arrangements with suppliers of services and equipment and purchasers of products, budgets and work programs, trade secrets, mineral processing plans or strategies, mineral processing technologies, data, maps, plans, reports, results, drawings, interpretations, assays, forecasts, records, agreements, contracts and other information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
 information derived from a site visit or visits to any of the First Lithium Properties or
 an examination of any rock, soil, minerals, ore or other samples or substances extracted
 from any of the First Lithium Minerals Properties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all
 summaries or extracts from and all notes, memoranda, studies, maps, records, notebooks, compilations,
 analyses or other documents based upon the information specified in paragraphs (a) or (b)
 above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any
 information similar to paragraphs (a) through (c) above in respect of a mineral property
 being considered by the Company or any Affiliate for possible acquisition,

and that is either not generally known to the public or that has not been publicly disclosed by the Company or any of its Affiliates.

8.3 All
 documents, records, notebooks, work papers, notes, memoranda, studies, compilations, analyses
 and similar repositories of or containers of Confidential Information, made or compiled by
 the Consultant (in whatever form, including paper, photographic, electronic, digital, machine-readable
 or otherwise) at any time during the term hereof, or made available to the Consultant during
 or prior to the Term by the Company or any Affiliate, including any and all copies thereof,
 will be the property of the Company or such Affiliate, as the case may be, and belong solely
 to the Company or such Affiliate, as the case may be, and will be held by the Consultant
 in trust and solely for the benefit of the Company or such Affiliate, as the case may be.

8.4 Upon
 termination of this agreement, for whatever reason, the Consultant will immediately surrender
 to the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all
 Confidential Information in his possession or in the possession of any person or other entity
 under his control; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
 property and other things of value in his possession or in the possession of any person or
 other entity under his control and which contain, relate to or are derived from or based
 upon, directly or indirectly, any Confidential Information or to the business or operations
 of the Company or any Affiliate,

whether in written, photographic, electronic or other form and howsoever stored (including on microfilm, CD, DVD, flash drive or any computer hard drive or other electronic storage media), and will ensure that the Consultant does not retain any copies thereof. Upon termination of this agreement, the Consultant will deliver a statutory declaration to the Company attesting to the compliance by him with the provisions of this subsection 8.4.

8.5 The
 provisions of this section 8 will be binding upon the Consultant during the term of this
 agreement and for a period of six (6) months after the termination of this agreement for
 any reason.

8.6 The
 Company acknowledges that the provisions of this Section 8 are only applicable to the Consultant
 in his capacity as a consultant to the Company, and that these provisions do not apply to
 the relationship of the Company and the Consultant in connection with the Consultant in his
 capacity as the General Manager of the Company or in connection with any of the activities
 of the Consultant in his capacity as the General Manager of the Company.

**9.** **ARBITRATION** 

9.1 Except
 with respect to Sections 7 and 8, for any breach of which the Company has the right to seek
 injunctive relief from a court of competent jurisdiction pursuant to subsection 10.1, any
 dispute, controversy or claim arising out of or relating to this agreement, or the breach,
 termination or invalidity of it, or any deadlock or inability of the parties to agree on
 a course of action to be taken hereunder, shall be settled by arbitration administered by
 the American Arbitration Association in accordance with its Commercial Arbitration Rules,
 and judgment on the award rendered by the arbitrator(s) may be entered in any court having
 jurisdiction thereof.

9.2 The
 arbitrator's fees will be paid by both parties in equal parts during the course of
 the arbitration but upon final decision of the dispute, the defeated party will pay all costs
 and reimburse all arbitration costs, including the amounts paid by the prevailing party,
 subject to the contrary decision of the arbitrator.

9.3 Arbitrations
 pursuant to this section 9 will be carried out in such a manner as to render the arbitration
 award enforceable in each of Delaware, Chile, the United Kingdom and in that regard all requirements
 of any such jurisdiction with respect to rendering a foreign arbitral award enforceable will
 be complied with.

**10.** **THE COMPANY'S REMEDY FOR BREACH AND RIGHT TO INJUNCTION** 

10.1 The
 Consultant and the Company agree that damages in the event of breach of Sections 7 or 8 of
 this agreement would be difficult, if not impossible, to ascertain, and the Consultant and
 the Company therefore agree that the Company, in addition to and without limiting any other
 right or remedy it may have on account of such breach or threatened breach, will have the
 right to an injunction or other available equitable relief in any court of competent jurisdiction,
 enjoining any such threatened or actual breach of this agreement by the Consultant. The existence
 of this right to an injunction or other available equitable relief will not preclude the
 Company from pursuing any other rights and remedies at law or in equity, which the Company
 may have, including recovery of damages.

**11.** **NON WAIVER** 

11.1 The
 failure of the Company to insist upon strict adherence to any one or more of the terms of
 this agreement on one or more occasions will not be construed as a waiver of any such term
 by the Company or deprive the Company of the right to require strict compliance thereafter
 with the same or any other term of this agreement.

**12.** **SEVERABILITY** 

12.1 If
 any portion of this agreement is held to be invalid or unenforceable by a court of competent
 jurisdiction, the remaining covenants and restrictions or portions thereof will remain in
 full force and effect, and if the invalidity or unenforceability is due to the unreasonableness
 of time, such covenants and restrictions will be effective for such period of time as may
 be determined to be reasonable by a court of competent jurisdiction.

**13.** **ASSIGNMENT** 

13.1 The
 obligations and rights of the Consultant under this agreement may not be assigned or transferred
 in any manner, directly or indirectly,

13.2 The
 obligations and rights of the Company under this agreement may be assigned or transferred
 by the Company upon written notice to the Consultant to that effect.

**14.** **NOTICES** 

14.1 Any
 notice or other communication to be given hereunder will be in writing and will be addressed
 to the party to receive the same at the address for such party set out on page one hereof.
 All notices will be given personally or delivered by prepaid courier delivered to the party
 to receive the same and will be deemed to have been given and received on the day of delivery.

14.2 Any
 party may at any time give notice in writing to the other of a change in its address for
 the purposes of this section 14.

**15.** **AGREEMENT VOLUNTARY AND EQUITABLE** 

15.1 The
 Company and the Consultant acknowledge and declare that they each have carefully considered
 and understand the terms and conditions contained in this agreement including, but without
 limiting the generality of the foregoing, the Consultant's rights upon termination
 and the restrictions on the Consultant after termination, and acknowledge and agree that
 the terms and conditions of the retainer of the Consultant and rights and restrictions upon
 termination set forth herein are mutually fair and equitable. Each of the parties covenants,
 agrees and acknowledges that each of them was fully and plainly instructed to seek and obtain
 independent legal and tax advice regarding the terms and conditions
and execution of this agreement and each of them has sought and obtained such legal and tax advice and acknowledges that each has executed
this agreement voluntarily understanding the nature and effect of this agreement after receiving such advice.

**16.** **GENERAL** 

16.1 The
 parties will each do, or cause to be done, all acts or things necessary to implement and
 carry into effect this agreement to the full extent contemplated hereby.

16.2 The
 headings used throughout this agreement are inserted for reference purposes only and are
 not to be considered, or taken into account, in considering the terms or provisions of this
 agreement, nor to be deemed in any way to qualify, modify or explain the effect of any such
 terms or provisions.

16.3 This
 agreement constitutes the entire agreement among the parties hereto in relation to the subject
 matter hereof and replaces and supersedes all prior agreements, memoranda, correspondence,
 communications, negotiations and representations, whether verbal or written, expressed or
 implied, statutory or otherwise among the Consultant and the Company with respect to the
 subject matter herein.

16.4 This
 agreement may only be changed or modified by an agreement in writing signed by the parties
 hereto.

16.5 This
 agreement will be governed by and interpreted in accordance with the laws of Delaware without
 reference to any of its conflicts of laws rules that would require the application of any
 other law(s)).

IN WITNESS WHEREOF the Consultant and the Company have each executed this agreement as of the day and year first above written.

---

| | |
|:---|:---|
| **KEY METALS CORP.** | **KEY METALS CORP.** |
| Per: | |
|  | Enrique Correa, Director |

---

**CESAR LOPEZ**

**SCHEDULE "A"**

**DESCRIPTION OF SERVICES**

The Consultant will provide the following services to the Company:

1. Selecting,
 on the basis of evaluations provided by professionals and after consideration of the risk
 factors involved, suitable mineral properties for potential acquisition by the Company and
 reviewing such potential mineral property acquisitions by the Company and providing advice
 to the Company with respect to the advisability of such acquisitions, the potential advantages
 and disadvantages of such acquisitions and generally providing advice in connection with
 such acquisitions;

2. Negotiating
 on behalf of the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) contracts
 for the acquisition of interest in mineral properties,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) contracts
 with potential participants in ventures to be participated in by the Company with respect
 to mineral properties held by the Company or held by such potential participants; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) contracts
 for the general operations of the Company.

3. Communicating
 with the Company's professional advisors including, without limitation, its solicitors,
 auditors, financial agents and independent consultants with respect to the operations, business,
 assets and activities of the Company;

4. Assisting
 the Company in structuring, negotiating, financing and completing the acquisition of mineral
 property acquisitions and introducing the Company to potential outside consultants and partners
 in connection with acquisitions;

5. Assisting
 the Company to obtain, develop and maintain contacts with other persons or companies who
 might assist in developing and meeting the business objectives of the Company;

6. Generally
 providing strategic and business advice to the Company and assisting the Company in ascertaining
 potential strategic acquisitions;

7. Generally
 supervising the Company's agents and independent contractors engaged in providing services
 to the Company;

8. Generally
 supervising the Company's subsidiary's management team;

9. Assisting
 the Company to become listed on a public exchange and execute and initial public offering
 on a recognized exchange;

10. Providing
 such other consulting and advisory services as may be requested by the Company from time
 to time and as are reasonably within the expertise and experience of the Consultant; and

11. Generally
 increase shareholder value by increasing the market capital of the Company (collectively,
the "Services").

## Exhibit 10.18

**Exhibit 10.18**

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| | |
|:---|:---|
| **CONTRATO DE PRESTACIÓN DE SERVICIOS**<br>**KEY METALS CORPORATION CHILE SpA**<br>**Y**<br>**INVERSIONES ZT FINANCIAL GROUP SpA**<br>En Santiago, a 01 de octubre de 2021, entre **KEY METALS CORPORATION CHILE SpA**, Rut N.° 77.393.842-3, representada por don **Ignacio Joaquín López Alarcón**, cédula nacional de identidad N.° 16.017.525-7, ambos domiciliados en calle Pedro de Villagra N.° 2351, comuna de Vitacura, Santiago, Región Metropolitana, en adelante "**<u>KEY METALS</u>**" o la "**<u>Empresa</u>**", por una parte;<br>y por la otra, e **INVERSIONES ZT FINANCIAL** GROUP SpA, Rut N.° 76.472.638-3, representada por don **José Enrique Correa Tocornal**, cédula nacional de identidad N.° 8.924.473-0, con domicilio en Avenida José Alcalde Délano N.° 10.581, oficina 532, comuna de Lo Barnechea, Santiago, Región Metropolitana, en adelante el "**<u>Prestador</u>**", y conjuntamente con KEY METALS, en adelante las "**<u>Partes</u>**", se ha convenido el siguiente contrato de prestación de servicios, en adelante también el "**<u>Contrato</u>**":<br>**<u>PRIMERO</u>**: **Objeto**. KEY METALS contrata al Prestador a fin de que éste le preste Servicios de Gerenciamiento. El Prestador se obliga a prestar estos servicios siempre a través de don José Enrique Correa Tocornal, ya individualizado, y deberá dar cumplimiento a todas las obligaciones naturalmente comprendidas en la naturaleza de los servicios prestados.<br>| **SERVICE AGREEMENT**<br>**BETWEEN**<br>**KEY METALS CORPORATION CHILE SpA**<br>**AND**<br>**INVERSIONES ZT FINANCIAL GROUP SpA**<br>In Santiago, on October 1, 2021, **KEY METALS CORPORATION CHILE SpA**, Chilean Taxpayer No. 77,393,842-3, herein represented by **Ignacio Joaquín López Alarcón**, National Identification Card No. 16,017,525-7, both with address at 2,351, Pedro de Villagra Street, Vitacura borough, Santiago, Metropolitan Region, party of the first part, hereinafter called "**<u>KEY METALS</u>**" or the "**<u>Company</u>**", and<br>**INVERSIONES ZT FINANCIAL GROUP SpA**, Chilean Taxpayer No. 76,472,638-3, herein represented by **José Enrique Correa Tocornal,** National Identification Card No. 8,924,473-0, with address at 10,581, José Alcalde Délano Street, Suite 532, Lo-Barnechea borough, Santiago, Metropolitan Region, party of the second part, hereinafter called the "**<u>Contractor</u>**", and together with KEY METALS, the "**<u>Parties</u>**", who have agreed on a service agreement, hereinafter called the "**<u>Agreement</u>**", as follows:<br>**<u>FIRST</u> – Purpose:** KEY METALS hereby retains the Contractor's Management Services. The Contractor hereby commits to provide such services always through its already identified representative, José Enrique Correa Tocornal, and must meet all of the inherent obligations of the rendered services.<br>|

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[Translation from Spanish on the right] 1/8

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| | |
|:---|:---|
| Los servicios individualizados precedentemente se desempeñarán en forma independiente, sin vínculo de subordinación ni de dependencia. El Prestador desempeñará sus funciones en las localidades necesarias para su cometido. Su trabajo lo realizará en el horario, los lugares y las condiciones que le sean requeridas por la Empresa, complementándolas y coordinándolas de acuerdo con lo que él estime más apropiado, con la sola limitación de rendir cuentas e informar las gestiones en forma oportuna y cabal según los requerimientos de la Empresa.<br>Se deja constancia de que el Prestador es un consultor independiente, que no tiene vínculo de subordinación con la Empresa, y que éste no es un contrato de trabajo, ni genera otros derechos que los que se estipulan expresamente más adelante.<br>En la prestación de estos servicios, el Prestador deberá estar a las instrucciones que le imparta directamente KEY METALS o su matriz estadounidense, KEY METALS CORP., quienes le proporcionarán las directrices e instrucciones necesarias para el adecuado desarrollo de su actividad y supervisarán el adecuado cumplimiento de las obligaciones que el Prestador ha asumido con ocasión de este Contrato.<br>**<u>SEGUNDO</u>: Precio**. Por los servicios prestados, KEY METALS pagará al Prestador una suma equivalente a **US$12.000** (**doce mil dólares de los Estados Unidos de Norteamérica)** mensuales, contra entrega del respectivo documento tributario que respalde la prestación de servicios. KEY METALS retendrá y pagará los impuestos que de acuerdo a la ley corresponda pagar. | The Contractor shall provide the forenamed services in an independent manner, without any subordination or dependence relationship, performing its duties wherever needed, during the hours, where and in the conditions that the Company may require, supplemented and coordinated as the former may deem best suited, and only restrained by having to timely and fully report and account for its work as required by the Company.<br>It is herein recorded that the Contractor is an independent consultant, has no subordination relationship with the Company, and that this Agreement is not a work contract, and does not create any other rights than those expressly stipulated hereinafter.<br>In providing these Services, the Contractor must follow KEY METALS' direct directions, or those of KEY METALS CORP., the latter's parent company in the United States of America, which shall provide the Contractor with the directions and directives needed for properly performing its activities, and shall supervise that it properly meets its obligations hereunder.<br>**<u>SECOND</u> – Price:** KEY METALS shall pay a monthly amount equivalent to **USD 12,000 (twelve thousand dollars of the United States of America)** to the Contractor, against the corresponding tax document backing the rendered services, and KEY METALS shall withhold and pay all legally applicable taxes. |

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[Translation from Spanish on the right] 2/8

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| | |
|:---|:---|
| Este monto se liquidará y pagará por meses vencidos, el último día del mes al cual hubiere correspondido el período de prestación de servicios, y se pagará en moneda nacional, según el valor del dólar observado a que se hace referencia en el Capítulo Primero, Número Seis, del Compendio de Normas y Cambios Internacionales del Banco Central de Chile, publicado en el Diario Oficial a la fecha de la emisión de la factura o documento tributario respectivo.<br>El Prestador podrá prestar los servicios por sí mismo o a través de don José Enrique Correa Tocornal, ya individualizado, indistintamente. En dicho caso, don José Enrique Correa Tocornal emitirá una boleta de honorarios por el monto correspondiente al precio mensual de los servicios prestados.<br>**<u>TERCERO</u>: Inexistencia de vínculo laboral durante la vigencia del Contrato**. Los comparecientes dejan expresa constancia que entre la Empresa y el Prestador no existe ni existirá vínculo ni relación laboral en los términos establecidos en la legislación laboral. De este modo, el Prestador no estará sujeto a horario, jornada de trabajo, subordinación ni dependencia jerárquica respecto de la Empresa y sus ejecutivos. Asimismo, no se generará a favor de éste, en relación a la Empresa, derecho a indemnización alguna, feriado legal o proporcional, cotizaciones previsionales ni a ningún otro concepto fuera de los honorarios pactados en el presente Contrato en favor del Prestador. | This amount shall be settled and paid on the last day of the month of the respective service provision, in Chilean national currency, according to the observed dollar exchange rate referenced in Item 6 of Chapter 1 of the Central Bank of Chile's Summary of Foreign Exchange Rules, published in the Official Gazette on the date of issue of the corresponding invoice or tax document.<br>The Contractor may provide the services either on its own or through its already identified representative, José Enrique Correa Tocornal. In such a case, the latter shall issue an invoice for professional services in the amount of the monthly price of the rendered services.<br>**<u>THIRD</u> – No Labour Relationship Throughout the Agreement**: The appearing parties herein expressly record that there is and shall be no labour relationship, as defined by Chilean labour laws, between the Company and the Contractor. Thus, the Contractor shall not be subject to any timetables, working hours, subordination or reporting lines with regard to the Company or its executives. Likewise, the Contractor shall not be entitled to any compensations, indemnities, legal or proportional holidays, social security contributions or any other benefits payable by the Company, other than the Contractor's fees agreed hereunder.<br>|

---

[Translation from Spanish on the right] 3/8

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| | |
|:---|:---|
| **<u>CUARTO</u>: Lugar de prestación de los servicios**. Los servicios contratados serán prestados en las oficinas del Prestador y en los demás lugares que sean necesarios atendida la naturaleza de los servicios prestados, o en los proyectos de exploración de minerales de KEY METALS o sus dependencias regionales donde y cuando sean necesarios.<br>La Empresa podrá poner a disposición del Prestador elementos técnicos y materiales de propiedad de ésta con el fin de dar cumplimiento al objeto de este Contrato, sin embargo, podrá supervisar, en todo momento, el uso de dichos recursos puestos a disposición del Prestador. La Empresa no dispondrá de un lugar físico o un computador para ser utilizado por el Prestador. El suministro de estos ítems será a cargo y cuenta del Prestador.<br>**<u>QUINTO</u>: Confidencialidad**. En el cumplimiento de las obligaciones contraídas en del Contrato, el Prestador quedará especialmente obligado a guardar la más absoluta y estricta confidencialidad y reserva sobre las operaciones y proyectos de la Empresa y de su matriz, así como de todos los antecedentes, información y documentos que le sean facilitados para la prestación de sus servicios o que conozca con ocasión de ésta, como por ejemplo, patentes, procedimientos, producción, sistemas, ventas, compras y cualquier otro conocimiento cuya divulgación signifique o pueda significar, de cualquier forma, un real o eventual perjuicio para la Empresa, su matriz, sus dueños o sus ejecutivos.<br>| **<u>FOURTH</u> – Place of Service Provision:** The retained services shall be provided at the Contractor's offices and any other places as may be needed according the nature thereof, or at any of KEY METALS' ore mining projects or regional offices as needed.<br>The Company may make any of its technical items or materials available to the Contractor for the latter to fulfill the purpose hereof. However, it may also supervise the use given to such resources at any time. The Company shall not provide any physical spaces or computers for the Contractor's use. It shall fall upon the Contractor to provide such items and bear the costs thereof.<br>**<u>FIFTH</u> – Confidentiality:** While meeting its obligations hereunder, the Contractor shall be especially bound to keep the fullest and strictest confidence and reserve regarding the Company's operations and projects, and those of its parent company, as well as all records, information and documents that may be provided thereto in order to facilitate the service provision, or of which it may learn while providing such services, such as, for instance: patents, procedures, production, systems, sales, purchases, or any other knowledge the disclosure of which entailed, or may in any way entail, any actual or potential damages to the Company, its parent company, or any of their owners or executives.<br>|

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[Translation from Spanish on the right] 4/8

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|:---|:---|
| Las partes convienen en elevar a la calidad de esencial de este Contrato dicha obligación, por lo tanto, se entiende que la violación de esta confidencialidad significa un incumplimiento grave de las obligaciones que impone el Contrato, por lo que podrá dar lugar, a la decisión de la Empresa, de poner término al presente Contrato sin derecho a indemnización alguna para el Prestador.<br>Toda correspondencia, documentos, registros fueren escritos o no, incluyendo una copia de todos los archivos electrónicos, y cualquier otro bien que sea de propiedad de la Empresa que se encuentre en poder del Prestador o bajo su control, y que sean relativos al negocio de la Empresa, seguirán siendo de propiedad de la Empresa o de la matriz para todo efecto legal, debiendo ser, por lo tanto, restituidos a ésta a su solo requerimiento.<br>**<u>SEXTO</u>: Término anticipado**. Queda expresamente establecido por las partes que, en caso que el Prestador infrinja la limitación establecida en la cláusula Quinta precedente, en caso de incumplimiento grave por parte del Prestador en sus obligaciones en conformidad al presente Contrato, o bien, si actuare de modo tal que pudiere poner en riesgo o perjudicar los intereses o el prestigio de KEY METALS, sus directores, ejecutivos, empleados o consultores, KEY METALS tendrá la facultad de poner término inmediato al presente Contrato, pudiendo en tal caso suspender el pago de los honorarios devengados hasta ese momento, a objeto de aplicar dichas sumas al pago de las indemnizaciones a las que eventualmente pudiere resultar obligado el Prestador, como compensación por los perjuicios que causare, todo ello sin perjuicio de los demás derechos y facultades que legalmente asistan a la Empresa.<br>| <br> The Parties hereby agree that the aforesaid obligation shall be essential hereto, and therefore, any violation of this confidentiality undertaking shall be deemed a serious breach of the obligations hereunder, and may lead to the Company deciding to terminate this Agreement, without the Contractor having any right of compensation or indemnity whatsoever.<br>All correspondence, documents, written or other records, including any copies of electronic files, and any other type of assets belonging to the Company that were in the hands or under the control of the Contractor, and concerned the Company's business, shall remain the latter's property, or that of its parent company, for all legal purposes, and must consequently be returned thereto upon the mere request of either thereof.<br>**<u>SIXTH</u> - Early Termination**: The Parties hereby expressly stipulate that, were the Contractor to infringe the limitation previously stipulated in Clause Fifth, seriously breach any of its obligations hereunder, or act in any way that may endanger or harm KEY METALS' interests or standing, or those of any of its directors, executives, employees or consultants, the Company shall have the right of immediate termination hereof, and in such a case, may suspend the payment of any fees accrued to that time, so as to apply any such amounts against any compensations or indemnities that the Contractor may have to pay for resulting damages. All of the foregoing shall not limit any other rights or actions that may pertain to the Company by law.<br>|

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| **<u>SÉPTIMO</u>: Cesión**. Queda absolutamente prohibido al Prestador ceder o traspasar el presente Contrato, total o parcialmente, o dar participación de él a terceras personas, sin la autorización escrita de la Empresa.<br>**<u>OCTAVO</u>: Duración**. Se deja constancia que el presente contrato rige a partir del 01 de octubre de 2021 y tendrá duración indefinida. Cualquiera de las Partes podrá poner término al mismo mediante aviso por escrito a la otra, con a lo menos 30 (treinta) días de anticipación a la fecha de término efectivo, sin necesidad de fundamentar su decisión y sin derecho a compensación alguna a favor de la otra Parte.<br>**<u>NOVENO</u>: Declaraciones**. El Prestador declara que es el único responsable de velar por la salud y seguridad de su personal. En tal sentido, el Prestador declara que<br>(i) renuncia de la manera más amplia, a presentar cualquier tipo de reclamo frente a KEY METALS por contagios de COVID-19 de su personal a cargo de la ejecución de los servicios; y<br>(ii) renuncia a solicitar gastos y/o costos adicionales relacionados con el tratamiento médico de su personal a causa de contagios de COVID-19; incluyendo los costos asociados al reemplazo del personal afectado, los cuales son de exclusiva responsabilidad del Prestador. Para mayor claridad, las partes acuerdan que el reemplazo el personal afectado por COVID-19 no podrá bajo ningún supuesto incrementar el precio de los servicios.<br>| **<u>SEVENTH</u> - Assignment:** The Contractor may not in any way assign or transfer this Agreement, or any part thereof, or give any interest therein, to any third parties, without the Company's written authorization.<br>**<u>EIGHTH</u> - Duration:** This Agreement shall be effective as of October 1, 2021, and shall have an indefinite duration. Either Party may terminate the Agreement by giving notice to the other at least 30 (thirty) days before the actual termination date, without needing to justify its decision and without the other Party having any right of compensation or indemnity whatsoever.<br>**<u>NINTH</u>: - Representations:** The Contractor hereby represents that it is solely responsible for the safety of its personnel, and in this sense, it states:<br>(i) That, to the fullest extent, it waives any and all claims whatsoever on KEY METALS for COVID-19 infections of its personnel providing the services, and<br>(ii) That it waives any and all requests for reimbursement of additional expenses or costs in connection with the medical treatment of its personnel in reason of COVID-19 infections, including any costs relating to the replacement thereof, which must be solely borne by the Contractor, and for greater clarity, the Parties hereby agree that replacing any personnel infected by COVID-19 may in no way increase the price of the services. |

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| **<u>DÉCIMO</u>: Domicilio**. Para todos los efectos del presente Contrato, las partes fijan su domicilio en Santiago y se someten a la jurisdicción del Tribunal Arbitral a que se alude en la cláusula Décimo Primera siguiente.<br>**<u>DÉCIMO PRIMERO</u>: Arbitraje**. Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción.<br>**<u>Personerías</u>**: La personeria de don **Ignacio Joaquín López Alarcón** para representar a **KEY METALS CORPORATION CHILE SpA**, consta de escritura pública de fecha 15 de junio de 2021, otorgada en la Notaria de Santiago de doña Maria Pilar Gutiérrez Rivera bajo el repertorio N.º 15.521/2021.<br>| **<u>TENTH</u> – Jurisdiction:** For all purposes hereof, the Parties hereby set their legal residence in Santiago, and submit to the jurisdiction of the Arbitral Court specified in the following clause, numbered Eleventh.<br>**<u>ELEVENTH</u>: Arbitration:** Any difficulties or conflicts that may arise between the contracting parties regarding the application, interpretation, duration, validity or implementation hereof, or for any other reasons, shall be submitted to arbitration, according to the then current Arbitration Rules of Procedure of the Santiago Arbitration and Mediation Centre. The Parties hereby grant an irrevocable special power to the Santiago Chamber of Commerce, so that, on a written request of either of them, it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the Parties hereby expressly waive any such rights. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction.<br>**<u>Legal Representation</u>**: **Ignacio Joaquín López Alarcón** has been authorized to represent **KEY METALS CORPORATION CHILE SpA** in a document signed on June 15, 2021, at the Santiago Notary Offices of Maria Pilar Gutiérrez Rivera, and entered in the Journal under No. 15,521/2021.<br>|

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| La personeria de don **José Enrique Correa Tocornal** para actuar en representación de **INVERSIONES ZT FINANCIAL GROUP SpA**, consta de escritura pública de fecha 11 de marzo de 2014, otorgada en la Notaría de Santiago de don Sergio Carmona Barrales.<br>El presente Contrato se firma en dos ejemplares de igual fecha y tenor, quedando uno en poder de la Empresa y uno en poder del Prestador.<br>| **José Enrique Correa Tocornal** has been authorized to represent **INVERSIONES ZT FINANCIAL GROUP SpA** in a document signed on March 11, 2014, at the Santiago Notary Offices of Sergio Carmona Barrales.<br>This Agreement has been signed in two identical counterparts on the same date, one given to the Company and the other one to the Contractor.<br><u>/s/ Ignacio Joaquín López Alarcón</u><br> **Ignacio Joaquín López Alarcón<br> ID Card No. 16,017,525-7<br> For KEY METALS CORPORATION CHILE SpA**<br><u>/s/ José Enrique Correa Tocornal</u><br> **José Enrique Correa Tocornal<br> ID Card No. 8,924,473-0<br> For INVERSIONES ZT FINANCIAL GROUP SpA** |

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## Exhibit 10.19

**Exhibit 10.19**

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| **REPERTORIO N° 33.150/20 21**<br> **AB/I. López**<br> **OT :97078. - J.R.: V. CALVUÉN**<br>**CONTRATO DE PRESTACIÓN DE**<br> **SERVICIOS**<br>**KEY METALS CORPORATION CHILE**<br>**SpA**<br>**Y**<br>**REINALDO ULISES REYES GONZÁLEZ**<br>**EN SANTIAGO, REPUBLICA DE CHILE**, a treinta de Diciembre de dos mil veintiuno, ante mí, **MARIA PILAR GUTIERREZ RIVERA**, abogado, Notario Público, Titular de la Décimo Octava Notaría de Santiago, domiciliada en Huérfanos número seiscientos sesenta y nueve, piso ocho, comuna de Santiago, comparecen: | **JOURNAL No. 33,150/2021**<br> **Lawyer: I. López**<br> **WO: 97,078 - Entry: V. CALVUÉN**<br>**SERVICE AGREEMENT**<br> **BETWEEN**<br>**KEY METALS CORPORATION CHILE**<br>**SpA**<br>**AND**<br>**REINALDO ULISES REYES GONZÁLEZ**<br>**IN SANTIAGO, REPUBLIC OF CHILE**, on December 30, 2021, the following parties have appeared before me, **MARÍA PILAR GUTIÉRREZ RIVERA**, lawyer and Notary Public assigned to the Santiago Eighteenth Notary Offices, with legal address at 669, Huérfanos St., 8<sup>th</sup> Floor, Santiago borough: |
| **KEY METALS CORPORATION CHILE SpA**, Rol Único Tributario número **setenta y siete millones trescientos noventa y tres mil ochocientos cuarenta y dos guión tres**, representado por don **Ignacio Joaquín López Alarcón**, chileno, casado, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco guión siete, en **adelante "<u>KEY METALS</u>" o la "<u>Empresa</u>",** ambos domiciliados en calle Pedro de Villagra número dos mil trescientos cincuenta y uno, comuna de Vitacura, Santiago, Región Metropolitana, por una parte; | **KEY METALS CORPORATION CHILE SpA**, Chilean Taxpayer No. **77,393,842-3**, herein represented by **Ignacio Joaquín López Alarcón**, a Chilean lawyer, married, National Identification Card No. 16,017,525-7, both with address at 2,351, Pedro de Villagra Street, Vitacura borough, Santiago, Metropolitan Region, party of the first part, hereinafter called "**<u>KEY METALS</u>**" or the "**<u>Company</u>**", and |

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| y por la otra, don **REINALDO ULISES REYES GONZÁLEZ**, chileno, divorciado, ingeniero civil en minas, cédula nacional de identidad número **nueve millones cuatrocientos noventa y cinco mil ciento treinta y cinco guión seis**, en adelante el **"<u>Prestador</u>",** domiciliado en calle Luz número dos mil novecientos sesenta, departamento sesenta y tres, comuna de Las Condes, Región Metropolitana, y conjuntamente con KEY METALS, en adelante las **"<u>Partes</u>", se ha convenido el** siguiente contrato de prestación de servicios, en adelante también el **"<u>Contrato</u>".** | **REINALDO ULISES REYES GONZÁLEZ**, a Chilean civil mining engineer, divorced, National Identification Card No. **9,495,135-6**, with address at 2,960, Luz Street, Apartment 63, Las Condes borough, Metropolitan Region, party of the second part, hereinafter called the "**<u>Contractor</u>**", and together with KEY METALS, the "**<u>Parties</u>**", who have agreed to be bound by a service agreement, hereinafter called the "**<u>Agreement</u>**", as follows: |
| **<u>PRIMERO</u>**: **Objeto**. KEY METALS contrata al Prestador a fin de que éste le preste Asesoría en Ingeniería de Proyectos.<br> El Prestador deberá dar cumplimiento a todas las obligaciones naturalmente comprendidas en la naturaleza de los servicios prestados. Sin que la numeración precedente sea taxativa, los siguientes servicios se entienden incluidos en el alcance del presente Contrato: | **<u>FIRST</u> – Purpose:** KEY METALS hereby retains the services of the Contractor as a Project Engineering Consultant.<br> The Contractor must meet all of the inherent obligations of the retained services. Without limitation the foregoing, the following services are deemed included in the scope hereof:<br>|
| Uno. Coordinar, dirigir, implementar el desarrollo de ingenierías de minas y de procesos metalúrgicos que conduzcan a generar el mayor valor económico /cuidando el medio ambiente y la relación con las comunidades/ a KEY METALS en la explotación de los yacimientos encomendados. | 1. Coordinating, managing and implementing the development of mining and metallurgical-process engineering aimed at yielding the most economic value for KEY METALS from mining the entrusted deposits, while taking care of the environment and community relations, and |
| Dos. Ingeniería de minas y metalúrgica Conceptual, de Prefactibilidad y de Factibilidad. | 2. Conducting both mining and metallurgical, Conceptual, Prefeasibility and Feasibility Engineering studies. |
| Los servicios individualizados precedentemente se desempeñarán en forma independiente, sin vínculo de subordinación ni de dependencia. El Prestador desempeñará susfunciones en las localidades necesarias para su cometido. Su trabajo lo realizará en el horario, los lugares y las condiciones que le sean requeridas por la Empresa, complementándolas y coordinándolas de acuerdo con lo que él estime más apropiado, con la sola limitación de rendir cuentas e informar las gestiones en forma oportuna y cabal según los requerimientos de la Empresa. | The Contractor shall provide the forenamed services in an independent manner, without any subordination or dependence relationship, performing its duties wherever needed, with the work hours, at the places and in the conditions that the Company may require, supplemented and coordinated as the former may deem best suited, and only restrained by having to timely and fully report and account for its work as required by the Company.<br>|
| Se deja constancia de que el Prestador es un consultor independiente, que no tiene vínculo de subordinación con la Empresa, y que éste no es un contrato de trabajo, ni genera otros derechos que los que se estipulan expresamente más adelante. | It is herein recorded that the Contractor is an independent consultant, and has no subordination relationship with the Company, and that this Agreement is not a work contract, and does not create any other rights than those expressly stipulated hereinafter. |
| En la prestación de estos servicios, el Prestador deberá estar a las instrucciones que le imparta directamente KEY METALS o su matriz estadounidense, KEY METALS CORP., quienes le proporcionarán las directrices e instrucciones necesarias para el adecuado desarrollo de su actividad y supervisarán el adecuado cumplimiento de las obligaciones que el Prestador ha asumido con ocasión de este Contrato. | In providing these Services, the Contractor must follow KEY METALS' direct directions, or those of KEY METALS CORP., the latter's parent company in the United States of America, which shall provide the Contractor with the directions and directives needed for properly performing its activities, and shall supervise that it properly meets its obligations hereunder. |

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| **<u>SEGUNDO</u>: Precio**. Por los servicios prestados, KEY METALS pagará al Prestador una suma equivalente a **siete mil dólares de los Estados Unidos de Norteamérica** mensuales, contra entrega del respectivo documento tributario que respalde la prestación de servicios. KEY METALS retendrá y pagará los impuestos que de acuerdo a la ley corresponda pagar. | **<u>SECOND</u> – Price:** KEY METALS shall monthly pay an amount equivalent to **USD 7,000 (seven thousand dollars of the United States of America)** to the Contractor for services provided, against the corresponding tax document [invoice] backing the provided services. KEY METALS shall withhold and pay all legally applicable taxes. |
| En los casos en que sea necesario trabajar con personal y logística adicional, el Prestador presentará un presupuesto para la aprobación de KEY METALS. Este monto se liquidará y pagará por meses vencidos, el último día del mes al cual hubiere correspondido el período de prestación de servicios, y se pagará en moneda nacional, según el valor del dólar observado a que se hace referencia en el Capítulo Primero, Número Seis, del Compendio de Normas y Cambios Internacionales del Banco Central de Chile, publicado en el Diario Oficial a la fecha de la emisión de la factura o documento tributario respectivo. | Whenever the Contractor needed to use additional personnel or logistics, it shall submit a budget for KEY METALS' approval. Any such amounts shall be settled and paid on the last day of the month of the respective service provision, in Chilean national currency, according to the observed dollar exchange rate referenced in Chapter 1, Item 6, of the Central Bank of Chile's Summary of Foreign Exchange Rules, published in the Official Gazette on the date of issue of the corresponding invoices or tax documents.<br>|
| Adicionalmente, y una vez que KEY METALS CORP., la empresa matriz de KEY METALS, complete su IPO ("lnitial Public Offering") en la Bolsa de Valores respectiva, ésta se obliga a emitir, en favor del Prestador, doscientas mil opciones a un precio de cero coma veinticinco centavos de dólar de los Estados Unidos de Norteamérica, válidas por veinticuatro meses desde la fecha de su emisión. | Additionally, KEY METALS CORP., KEY METALS' parent company, hereby commits to issue 200,000 options to the Contractor, valid for 24 months of issuance, upon completion of its IPO ("Initial Public Offering") in the corresponding Stock Market, at a price of USD 0.25 (twenty-five United-States cents).<br>|

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| **<u>TERCERO</u>: Inexistencia de vínculo laboral durante la vigencia del Contrato**. Los comparecientes dejan expresa constancia que entre la Empresa y el Prestador no existe ni existirá vínculo ni relación laboral en los términos establecidos en la legislación laboral. De este modo, el Prestador no estará sujeto a horario, jornada de trabajo, subordinación ni dependencia jerárquica respecto de la Empresa y sus ejecutivos. Asimismo, no se generará a favor de éste, en relación a la Empresa, derecho a indemnización alguna, feriado legal o proporcional, cotizaciones previsionales ni a ningún otro concepto fuera de los honorarios pactados en el presente Contrato en favor del Prestador. | **<u>THIRD</u> - No Labour Relationship Throughout the Agreement**: The appearing parties herein expressly record that there is and shall be no labour relationship, as defined by Chilean labour laws, between the Company and the Contractor. Consequently, the Contractor shall not be subject to any timetables, working hours, subordination or reporting lines with regard to the Company or its executives. Likewise, the Contractor shall not be entitled to any compensations, indemnities, legal or proportional holidays, social security contributions or any other benefits payable by the Company, other than the agreed Contractor's fees hereunder. |
| **<u>CUARTO</u>: Lugar de prestación de los servicios**. Los servicios contratados serán prestados en las oficinas del Prestador y en los demás lugares que sean necesarios atendida la naturaleza de los servicios prestados, o en los proyectos de exploración de minerales de KEY METALS o sus dependencias regionales donde y cuando sean necesarios. | **<u>FOURTH</u> – Place of Provision of the Services:** The retained services shall be provided at the Contractor's offices and any other places as may be needed according the inherent nature thereof, or at any of KEY METALS' ore mining projects or regional offices whenever needed.<br>|
| La Empresa podrá poner a disposición del Prestador elementos técnicos y materiales de propiedad de ésta con el fin de dar cumplimiento al objeto de este Contrato, sin embargo, podrá supervisar, en todo momento, el uso de dichos recursos puestos a disposición del Prestador. La Empresa no dispondrá de un lugar físico o un computador para ser utilizado por el Prestador. El suministro de estos ítems será a cargo y cuenta del Prestador. | The Company may make any of its technical items or materials available to the Contractor, so that the latter may implement the purpose hereof. However, it may also supervise the use given to such resources at any and all times. The Company shall not provide any physical spaces or computers for the Contractor's use. It shall fall upon the Contractor to provide such items and the costs thereof. |
| **<u>QUINTO</u>: Confidencialidad**. En el cumplimiento de las obligaciones contraídas en del Contrato, el Prestador quedará especialmente obligado a guardar la más absoluta y estricta confidencialidad y reserva sobre las operaciones y proyectos de la Empresa y de su matriz, así como de todos los antecedentes, información y documentos que le sean facilitados para la prestación de sus servicios o que conozca con ocasión de ésta, como por ejemplo, patentes, procedimientos, producción, sistemas, ventas, compras y cualquier otro conocimiento cuya divulgación signifique o pueda significar, de cualquier forma, un real o eventual perjuicio para la Empresa, su matriz, sus dueños o sus ejecutivos. | **<u>FIFTH</u> – Confidentiality:** While meeting its obligations hereunder, the Contractor shall be especially bound to keep the fullest and strictest confidence and reserve regarding the Company's operations and projects, and those of its parent company, as well as all records, information and documents that may be provided thereto in order to facilitate the service provision, or of which it may learn while providing such services, such as, for instance: patents, procedures, production, systems, sales, purchases, or any other knowledge the disclosure of which entailed, or may in any way entail, any actual or potential damages to the Company, its parent company, or any of its owners or executives. |
| Las partes convienen en elevar a la calidad de esencial de este Contrato dicha obligación, por lo tanto, se entiende que la violación de esta confidencialidad significa un incumplimiento grave de las obligaciones que impone el Contrato, por lo que podrá dar lugar, a la decisión de la Empresa, de poner término al presente Contrato sin derecho a indemnización alguna para el Prestador. | The Parties hereby agree that the aforesaid obligation shall be essential hereto, and therefore, any violation of the confidentiality undertaking shall be deemed a serious breach of the obligations hereunder, and may lead to the Company deciding to terminate this Agreement, without any compensation or indemnity entitlements for the Contractor. |
| Toda correspondencia, documentos, registros fueren escritos o no, incluyendo una copia de todos los archivos electrónicos, y cualquier otro bien que sea de propiedad de la Empresa que se encuentre en poder del Prestador o bajo su control, y que sean relativos al negocio de la Empresa, seguirán siendo de propiedad de la Empresa o de la matriz para todo efecto legal, debiendo ser, por lo tanto, restituidos a ésta a su solo requerimiento. | All correspondence, documents, written or other records, including any copies of electronic files, and any other type of assets belonging to the Company that were in the hands or under the control of the Contractor, and that related to the Company's business, shall remain the latter's property, or that of its parent company, for all legal purposes, and must consequently be returned thereto upon the mere request of either thereof. |

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| **<u>SEXTO</u>: Término anticipado**. Queda expresamente establecido por las partes que, en caso que el Prestador infrinja la limitación establecida en la cláusula Quinta precedente, en caso de incumplimiento grave por parte del Prestador en sus obligaciones en conformidad al presente Contra to, o bien, si actuare de modo tal que pudiere poner en riesgo o perjudicar los intereses o el prestigio de KEY METALS, sus directores, ejecutivos, empleados o consultores, KEY METALS tendrá la facultad de poner término inmediato al presente Contrato, pudiendo en tal caso suspender el pago de los honorarios devengados hasta ese momento, a objeto de aplicar dichas sumas al pago de las indemnizaciones a las que eventualmente pudiere resultar obligado el Prestador, como compensación por los perjuicios que causare, todo ello sin perjuicio de los demás derechos y facultades que legalmente asistan a la Empresa. | **<u>SIXTH</u> - Early Termination**: The Parties hereby expressly stipulate that, were the Contractor to infringe the limitation previously stipulated in Clause Fifth, seriously breach any of its obligations hereunder, or act in any way that may endanger or harm KEY METALS' interests or standing, or those of any of its directors, executives, employees or consultants, the Company shall have the right of immediate termination hereof, and in such a case, may suspend the payment of any fees accrued to that time, so as to apply any such amounts against any compensations or indemnities that the Contractor may have to pay for resulting damages. All of the foregoing shall not limit any other rights or actions that may pertain to the Company by law.<br>|
| **<u>SÉPTIMO</u>: Cesión**. Queda absolutamente prohibido al Prestador ceder o traspasar el presente Contrato, total o parcialmente, o dar participación de él a terceras personas, sin la autorización escrita de la Empresa. | **<u>SEVENTH</u> - Assignment:** The Contractor may not in any way assign or transfer this Agreement, or any part thereof, or give any interest therein to any third parties, without the Company's written authorization. |
| **<u>OCTAVO</u>: Duración**. Se deja constancia que el presente contrato rige a partir del primero de marzo de dos mil veintidós y tendrá duración hasta el veintiocho de febrero de dos mil veintitrés, sin perjuicio de la facultad de KEY METALS de poner término inmediato al Contrato de acuerdo a lo descrito en la cláusula Sexta precedente. | **<u>EIGHTH</u> - Duration:** This Agreement shall be effective as of March 1, 2022, up to February 28, 2023, without limiting KEY METALS' right of immediate termination hereof, as previously described in Clause Sixth.<br>|
| Cumplido este plazo, el Contrato se renovará automáticamente y tendrá duración indefinida, salvo aviso en contrario dado por cualquiera de las Partes con al menos quince días de anticipación al vencimiento. | Upon this term, the Agreement shall be automatically renewed for an indefinite term, unless either Party gives the other notice, at least 15 days in advance of the date of termination. |
| En caso que el Contrato se renueve y tenga duración indefinida, cualquiera de las Partes podrá poner término al mismo mediante aviso por escrito a la otra, con a lo menos treinta días de anticipación a la fecha de término efectivo, sin necesidad de fundamentar su decisión y sin derecho a compensación alguna a favor de la otra Parte. | If the Agreement were indefinitely renewed, either Party may terminate it by giving written notice to the other, at least 30 days in advance of the effective date of termination, without any need of justifying its decision, and without the other Party being entitled to any compensation whatsoever. |

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| **<u>NOVENO</u>: Declaraciones**. El Prestador declara que es el único responsable de velar por la salud y seguridad de su personal. En tal sentido, el Prestador declara que | **<u>NINTH</u>: - Representations:** The Contractor hereby represents that it is solely responsible for the safety of its personnel, stating, in this sense: |
| (i) renuncia de la manera más amplia, a presentar cualquier tipo de reclamo frente a KEY METALS por contagios de COVID- diecinueve de su personal a cargo de la ejecución de los servicios; y | (i) that, to the fullest extent, it waives any and all claims whatsoever to KEY METALS for COVID-19 infections of its personnel dedicated to providing the services, and<br>|
| (ii) renuncia a solicitar gastos y/o costos adicionales relacionados con el tratamiento médico de su personal a causa de contagios de COVID-diecinueve; incluyendo los costos | (ii) that it waives any and all requests for reimbursement of additional expenses or costs in connection with the medical treatment of its personnel in reason of COVID-19 infections, |
| asociados al reemplazo del personal afectado, los cuales son de exclusiva responsabilidad del Prestador. Para mayor claridad, las partes acuerdan que el reemplazo el personal afectado por COVID diecinueve no podrá bajo ningún supuesto incrementar el precio de los servicios. | including any costs relating to the replacement thereof, which must all be solely borne by the Contractor, and for greater clarity, the Parties hereby agree that replacing any personnel infected by COVID-19 may in no way increase the price of the services. |
| **<u>DÉCIMO</u>: Domicilio**. Para todos los efectos del presente Contrato, las partes fijan su domicilio en Santiago y se someten a la jurisdicción del Tribunal Arbitral a que se alude en la cláusula Décimo Primera siguiente. | **<u>TENTH</u> – Jurisdiction:** For all purposes hereof, the Parties hereby set their legal residence in Santiago, and submit to the jurisdiction of the Arbitral Court specified in the following clause, Eleventh. |
| **<u>DÉCIMO PRIMERO</u>: Arbitraje**. Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción. | **<u>ELEVENTH</u>: Arbitration:** Any difficulties or conflicts that may arise between the contracting parties regarding the application, interpretation, duration, validity or implementation hereof, or for any other reasons, shall be submitted to arbitration, according to the then current Procedural Rules of Arbitration of the Santiago Arbitration and Mediation Centre. The Parties hereby grant an irrevocable special power to the Santiago Chamber of Commerce, so that, on a written request of either of them, it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the Parties hereby expressly waive any such rights. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction. |
| **<u>Personería</u>**: La personería de don Ignacio Joaquín López Alarcón para representar a **KEY METALS CORPORATION CHILE SpA**, consta de escritura pública de fecha quince de junio de dos mil veintiuno, otorgada en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera bajo el repertorio número quince mil quinientos veintiuno/ dos mil veintiuno. Personería que no se inserta por ser conocidas de las partes y del notario que autoriza. | **<u>Legal Representation</u>**: Ignacio Joaquín López Alarcón has been authorized to represent **KEY METALS CORPORATION CHILE SpA** in a document signed on June 15, 2021, at the Santiago Notary Offices of María Pilar Gutiérrez Rivera, and further entered in public records under Journal No. 15,521/2021.This document is not inserted herein, because it is known by the Parties and the authenticating notary. |
| **Minuta redactada por el abogado Ignacio López A.** | **Drafted by Ignacio López A., lawyer** |
| En comprobante y previa lectura firman los comparecientes el presente instrumento. Se da copia. Doy fe. - | In witness whereof and after reading its contents, the appearing parties have signed this instrument. Copies have been given. I attest. |

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<u>/s/ IGNACIO JOAQUÍN LÓPEZ ALARCÓN</u> 16,017,525-7

**IGNACIO JOAQUÍN LÓPEZ ALARCÓN**

**For KEY METALS CORPORATION CHILE SpA** 

<u>/s/ REINALDO ULISES REYES GONZÁLEZ</u> 9,495,135-6

**REINALDO ULISES REYES GONZÁLEZ**

[Translation from Spanish on the right] 7/7

## Exhibit 10.20

**Exhibit 10.20**

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|:---|:---|
| **CONTRATO DE PRESTACIÓN DE** | **SERVICE AGREEMENT** |
| **SERVICIOS** | **BETWEEN** |
| **GOLD EXPRESS MINES SpA** | **GOLD EXPRESS MINES SpA** |
| **Y** | **AND** |
| **ANDREW SLOOP** | **ANDREW SLOOP** |
| En Santiago, a 13 de enero de 2023, entre **GOLD EXPRESS MINES SpA**, Rut N.° 77.498.324-4, representada por don **Ignacio Joaquín López Alarcón**, cédula nacional de identidad N.° 16.017.525-7, ambos domiciliados en calle Alonso de Monroy N.° 2677, oficina 602 A, comuna de Vitacura, Santiago, Región Metropolitana, en adelante "**<u>GOLD EXPRESS</u>**" o la "**<u>Empresa</u>**", por una parte; y | In Santiago, on January 13, 2023, **GOLD EXPRESS MINES SpA**, Chilean Taxpayer No. 77,498,324-4, herein represented by **Ignacio Joaquín López Alarcón**, National Identification Card No. 16,017,525-7, both with address at 2,677, Alonso de Monroy Street, Suite 602, Vitacura borough, Santiago, Metropolitan Region, party of the first part, hereinafter called "**<u>GOLD EXPRESS</u>**" or the "**<u>Company</u>**", and |
| por la otra, don **ANDREW SLOOP**, pasaporte N.° 530368475, con domicilio en 2700 Homestead Rd, Suite 150, Park City, UT, USA, en adelante el "**<u>Prestador</u>**", y conjuntamente con GOLD EXPRESS, en adelante las "**<u>Partes</u>**", se ha convenido el siguiente contrato de prestación de servicios, en adelante también el "**<u>Contrato</u>**": | **ANDREW SLOOP,** Passport No. 530368475, with address at 2,700, Homestead Rd., Suite 150, Park City, UT, USA, party of the second part, hereinafter called the "**<u>Contractor</u>**", and together with GOLD EXPRESS, the "**<u>Parties</u>**", who have agreed on a service agreement, hereinafter called the "**<u>Agreement</u>**", as follows: |
| **<u>PRIMERO</u>: Antecedentes**.<br> **UNO.** Con fecha 09 de diciembre de 2022, por medio de escritura pública suscrita en la Notaría de Santiago de don Luis Ignacio Manquehual Mery bajo el repertorio N.° 19.095/2022, WHITE MOUNTAIN MINERALS SpA y MANQUEHUE ASESORÍAS MINERAS SpA celebraron un Contrato de Compraventa de Concesiones Mineras, y sus respectivos Annex's, con respecto a las concesiones mineras ahí individualizadas, en Adelante las "**<u>Concesiones Mineras</u>**". | **<u>FIRST</u>: Background Information 1.**<br> On December 9, 2022, in a document of public record signed at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, Journal No. 19,095/2022, WHITE MOUNTAIN MINERALS SpA and MANQUEHUE ASESORÍAS MINERAS SpA entered into an Agreement to Purchase Mining Claims, and the appendices thereto, in respect of the mining claims identified therein, hereinafter called the "**<u>Mining Claims</u>**". |

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| **DOS.** En dicho Contrato de Compraventa de Concesiones Mineras, se establece que MANQUEHUE ASESORÍAS MINERAS SpA, a más tardar el día 15 de enero de 2023, deberá nombrar a Andrew Sloop o a quien este designe como su representante como miembro de un comité asesor de MANQUEHUE ASESORÍAS MINERAS SpA para el Proyecto Cerro Blanco, con una retribución de USD $1.500 mensuales líquidos. Esta remuneración deberá ser pagada por MANQUEHUE ASESORÍAS MINERAS SpA a don Andrew Sloop o a quien este designe como su representante mientras WHITE MOUNTAIN MINERALS SpA o una Persona Relacionada a ésta última sea el Titular del NSR. Tal designación deberá constar en un instrumento privado ante Notario, firmado por el gerente general de MANQUEHUE ASESORÍAS MINERAS SpA. | 2. The forenamed Agreement to Purchase Mining Claims stipulates that, no later than January 15, 2023, MANQUEHUE ASESORÍAS MINERAS SpA must appoint Andrew Sloop, or whoever he may designate as his representative, to an advisory committee to MANQUEHUE ASESORÍAS MINERAS SpA on the Cerro-Blanco Project, with a monthly net consideration of USD 1,500, payable by MANQUEHUE ASESORÍAS MINERAS SpA to Andrew Sloop, or whoever he may appoint as his representative, in as long as WHITE MOUNTAIN MINERALS SpA or any of its Related Persons or Entities own the NSR, and that this appointment must be recorded in a private document signed before a Notary by the General Manager of MANQUEHUE ASESORÍAS MINERAS SpA. |
| **TRES.** Con fecha 03 de enero de 2023, por medio de escritura pública suscrita en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera bajo el repertorio N.º 11/2023, MANQUEHUE ASESORÍAS MINERAS SpA y GOLD EXPRESS MINES SpA celebraron un Contrato de Compraventa de Concesiones Mineras, y sus respectivos Anexos, por el cual GOLD EXPRESS MINES SpA adquirió la totalidad de las concesiones mineras indicadas en el número Uno anterior, asumiendo todos los derechos y obligaciones contenidas en el Contrato de Compraventa de Concesiones Mineras individualizado en el número Uno anterior. | 3. On January 3, 2023, in a document of public record executed at the Santiago Notary Offices of María Pilar Gutiérrez Rivera, Journal No. 11/2023, MANQUEHUE ASESORÍAS MINERAS SpA and GOLD EXPRESS MINES SpA entered into an Agreement to Purchase Mining Claims, and the appendices thereto, whereby GOLD EXPRESS MINES SpA acquired all of the mining claims previouly identified in Item 1, and undertook all of the rights and obligations under the Agreement to Purchase Mining Claims previouly identified in Item 1. |

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[Translation from Spanish on the right] 2/8

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|:---|:---|
| **CUATRO.** En su cláusula Quinta número Uno, GOLD EXPRESS MINES SpA, en su calidad de nuevo y actual titular de las Concesiones Mineras, declara, reconoce y acepta, entre otras, su obligación de nombrar, a más tardar<br> el dia 15 de enero de 2023, a don Andrew Sloop o a quien este designe como su representante como miembro de un comité asesor de GOLD EXPRESS MINES SpA para el Proyecto Cerro Blanco, con una retribución de USD $1.500 mensuales liquidos. | In Item 1 of the Fifth clause thereof, GOLD EXPRESS MINES SpA, the current new owner of the Mining Claims, agreed to, acknowledged and accepted, its obligation, among others, to appoint Andrew Sloop, or whoever he may designate as his representative, to an advisory committee to GOLD EXPRESS MINES SpA on the Cerro-Blanco Project, no later than January 15, 2023, with a monthly net consideration of USD 1,500. |
| **CINCO.** Con fecha 13 de enero de 2023, por medio de escritura pública suscrita en la Notaria de Santiago de doña Maria Pilar Gutiérrez Rivera bajo el repertorio N.º 415/2023, GOLD EXPRESS MINES SpA cumplió con su obligación y nombró a don Andrew Sloop como miembro del comité asesor de GOLD EXPRESS MINES SpA para el Proyecto Cerro Blanco, en los términos y condiciones ahi descritas. | **5.** On January 13, 2023, in a document of public record signed at at the Santiago Notary Offices of Maria Pilar Gutiérrez Rivera, Journal No. 415/2023, GOLD EXPRESS MINES SpA met this obligation by appointing Andrew Sloop as member of the advisory committee to GOLD EXPRESS MINES SpA on the Cerro-Blanco Project, in the terms and conditions provided therein. |
| **<u>SEGUNDO</u>**: **Objeto**.<br> GOLD EXPRESS contrata al Prestador a fin de que éste le preste Servicios de Asesoria, como miembro del Comité Asesor para el Proyecto Cerro Blanco. El Prestador deberá dar cumplimiento a todas las obligaciones naturalmente comprendidas en la naturaleza de los servicios prestados. | **<u>SECOND</u>: Purpose**<br> GOLD EXPRESS hereby retains the Contractor's Consulting Services as a member of the advisory committee on the Cerro-Blanco Project. The Contractor must meet all of the obligations inherent to the rendered services.  |
| Los servicios individualizados precedentemente se desempeñarán en forma independiente, sin vinculo de subordinación ni de dependencia. El Prestador desempeñará sus funciones en las localidades necesarias para su cometido. Su trabajo lo realizará en el horario, los lugares y las condiciones que le sean requeridas por la Empresa, complementándolas y coordinándolas de acuerdo con lo que él estime más apropiado, con la sola limitación de rendir cuentas e informar las gestiones en forma oportuna y cabal según los requerimientos de la Empresa.<br>Se deja constancia de que el Prestador es un consultor independiente, que no tiene vínculo de subordinación con la Empresa, y que éste no es un contrato de trabajo, ni genera otros derechos que los que se estipulan expresamente más adelante. | 4. The Contractor shall provide the forenamed services in an independent manner, without any subordination or dependence relationship, performing his duties wherever needed, during the hours, at the places and in the conditions that the Company may require, supplemented and coordinated as he may deem best suited, and only restrained by having to timely and fully report and account for his work as required by the Company.<br>It is herein recorded that the Contractor is an independent consultant, has no subordination relationship with the Company, and that this Agreement is not a work contract and does not create any rights other than those expressly stipulated hereinafter. |

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[Translation from Spanish on the right] 3/8

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|:---|:---|
| En la prestación de estos servicios, el Prestador deberá estar a las instrucciones que le imparta directamente GOLD EXPRESS o su matriz estadounidense, KEY METALS CORP., quienes le proporcionarán las directrices e instrucciones necesarias para el adecuado desarrollo de su actividad y supervisarán el adecuado cumplimiento de las obligaciones que el Prestador ha asumido con ocasión de este Contrato. | In providing these Services, the Contractor must follow GOLD EXPRESS' direct directions, or those of KEY METALS CORP., the latter's parent company in the United States of America, that shall provide the Contractor with the directions and directives needed for properly performing his activities, and shall supervise that he rightly meets his obligations hereunder. |
| **TERCERO: Precio**.<br> Por los servicios prestados, GOLD EXPRESS pagará al Prestador una suma equivalente a **US$1.500** (**mil quinientos dólares de los Estados Unidos de Norteamérica)** mensuales, contra entrega del respectivo documento tributario que respalde la prestación de servicios. GOLD EXPRESS retendrá y pagará los impuestos que de acuerdo a la ley corresponda pagar. | **<u>THIRD</u>: Price**<br> GOLD EXPRESS shall pay a monthly amount equivalent to **USD 1,500 (one thousand five-hundred dollars of the United States of America)** to the Contractor, against the corresponding tax document backing the rendered services, and GOLD EXPRESS shall withhold and pay all legally applicable taxes. |
| Este monto se liquidará y pagará por meses vencidos, el último día del mes al cual hubiere correspondido el período de prestación de servicios, y se pagará en moneda nacional, según el valor del dólar observado a que se hace referencia en el Capítulo Primero, Número Seis, del Compendio de Normas y Cambios Internacionales del Banco Central de Chile, publicado en el Diario Oficial a la fecha de la emisión de la boleta de honorarios, factura o documento tributario respectivo. <br>| This amount shall be settled and paid on the last day of the month of the respective service provision, in Chilean national currency, according to the observed dollar exchange rate referenced in Item 6 of Chapter 1 of the Central Bank of Chile's Summary of Foreign Exchange Rules, published in the Official Gazette on the date of issue of the corresponding invoice for professional services, or any other type of invoice or tax document. |

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[Translation from Spanish on the right] 4/8

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|:---|:---|
| **<u>CUARTO</u>: Inexistencia de vínculo laboral durante la vigencia del Contrato**.<br> Los comparecientes dejan expresa constancia que entre la Empresa y el Prestador no existe ni existirá vínculo ni relación laboral en los términos establecidos en la legislación laboral. De este modo, el Prestador no estará sujeto a horario, jornada de trabajo, subordinación ni dependencia jerárquica respecto de la Empresa y sus ejecutivos. Asimismo, no se generará a favor de éste, en relación a la Empresa, derecho a indemnización alguna, feriado legal o proporcional, cotizaciones previsionales ni a ningún otro concepto fuera de los honorarios pactados en el presente Contrato en favor del Prestador. | **<u>FOURTH</u>: No Labour Relationship Throughout the Agreement**<br> The appearing parties herein expressly record that there is and shall be no labour relationship, as defined by Chilean labour laws, between the Company and the Contractor. Thus, the Contractor shall not be subject to any timetables, working hours, subordination or reporting lines with regard to the Company or its executives. Likewise, the Contractor shall not be entitled to any compensations, indemnities, legal or proportional holidays, social security contributions or any other benefits payable by the Company, other than the agreed Contractor's fees hereunder. |
| **<u>QUINTO</u>: Lugar de prestación de los servicios**.<br> Los servicios contratados serán prestados en las oficinas del Prestador y en los demás lugares que sean necesarios atendida la naturaleza de los servicios prestados, o en los proyectos de exploración de minerales de GOLD EXPRESS o sus dependencias regionales donde y cuando sean necesarios. | **<u>FIFTH</u>: Place of Service Provision**<br> The retained services shall be provided at the Contractor's offices and any other places as may be needed according the nature thereof, or at any of GOLD EXPRESS' ore mining projects or regional offices, as needed. |
| La Empresa podrá poner a disposición del Prestador elementos técnicos y materiales de propiedad de ésta con el fin de dar cumplimiento al objeto de este Contrato, sin embargo, podrá supervisar, en todo momento, el uso de dichos recursos puestos a disposición del Prestador. La Empresa no dispondrá de un lugar físico o un computador para ser utilizado por el Prestador. El suministro de estos ítems será a cargo y cuenta del Prestador. | The Company may make any of its technical items or materials available to the Contractor for the latter to fulfill the purpose hereof. However, it may also supervise the use given to such resources at any time. The Company shall not provide any physical spaces or computers for the Contractor's use. It shall fall upon the Contractor to provide such items and bear the costs thereof. |
| **<u>SEXTO</u>: Confidencialidad**.<br> En el cumplimiento de las obligaciones contraídas en del Contrato, el Prestador quedará especialmente obligado a guardar la más absoluta y estricta confidencialidad y reserva sobre las operaciones y proyectos de la Empresa y de su matriz, así como de todos los antecedentes, información y documentos que le sean facilitados para la prestación de sus servicios o que conozca con ocasión de ésta, como por ejemplo, patentes, procedimientos, producción, sistemas, ventas, compras y cualquier otro conocimiento cuya divulgación signifique o pueda significar, de cualquier forma, un real o eventual perjuicio para la Empresa, su matriz, sus dueños o sus ejecutivos. | **<u>SIXTH</u>: Confidentiality**<br> While meeting his obligations hereunder, the Contractor shall be especially bound to keep the fullest and strictest confidence and reserve regarding the Company's operations and projects, and those of its parent company, as well as all records, information and documents that may be provided to him in order to facilitate the service provision, or of which he may learn while providing such services, such as, for instance: patents, procedures, production, systems, sales, purchases, or any other knowledge the disclosure of which entailed, or may in any way entail, any actual or potential damages to the Company, its parent company, or any of their owners or executives. |
| Las partes convienen en elevar a la calidad de esencial de este Contrato dicha obligación, por lo tanto, se entiende que la violación de esta confidencialidad significa un incumplimiento grave de las obligaciones que impone el Contrato, por lo que podrá dar lugar, a la decisión de la Empresa, de poner término al presente Contrato sin derecho a indemnización alguna para el Prestador. | The Parties hereby agree that the aforesaid obligation shall be essential hereto, and therefore, any violation of this confidentiality undertaking shall be deemed a serious breach of the obligations hereunder, and may lead to the Company deciding to terminate this Agreement, without the Contractor having any right of compensation or indemnity whatsoever. |
| Toda correspondencia, documentos, registros fueren escritos o no, incluyendo una copia de todos los archivos electrónicos, y cualquier otro bien que sea de propiedad de la Empresa que se encuentre en poder del Prestador o bajo su control, y que sean relativos al negocio de la Empresa, seguirán siendo de propiedad de la Empresa o de la matriz para todo efecto legal, debiendo ser, por lo tanto, restituidos a ésta a su solo requerimiento. | All correspondence, documents, written or other records, including any copies of electronic files, and any other type of assets belonging to the Company that were in the hands or under the control of the Contractor and concerned the Company's business shall remain the latter's property, or that of its parent company, for all legal purposes, and must consequently be returned thereto upon the mere request of either thereof. |

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[Translation from Spanish on the right] 5/8

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|:---|:---|
| **<u>SÉPTIMO</u>: Término anticipado**.<br> Queda expresamente establecido por las partes que, en caso que el Prestador infrinja la limitación establecida en la cláusula Quinta precedente, en caso de incumplimiento grave por parte del Prestador en sus obligaciones en conformidad al presente Contrato, o bien, si actuare de modo tal que pudiere poner en riesgo o perjudicar los intereses o el prestigio de GOLD EXPRESS, sus directores, ejecutivos, empleados o consultores, GOLD EXPRESS tendrá la facultad de poner término inmediato al presente Contrato, pudiendo en tal caso suspender el pago de los honorarios devengados hasta ese momento, a objeto de aplicar dichas sumas al pago de las indemnizaciones a las que eventualmente pudiere resultar obligado el Prestador, como compensación por los perjuicios que causare, todo ello sin perjuicio de los demás derechos y facultades que legalmente asistan a la Empresa. | **<u>SEVENTH</u>: Early Termination**<br> The Parties hereby expressly provide that, if the Contractor were to infringe the limitation previously stipulated in the Fifth Clause, seriously breach any of his obligations hereunder, or act in any way that may endanger or harm GOLD EXPRESS' interests or standing, or those of any of its directors, executives, employees or consultants, the Company shall have the right of immediate termination hereof, and in such a case, may suspend the payment of any fees accrued to that time, so as to apply any such amounts against any compensations or indemnities that the Contractor may have to pay for resulting damages, all without limiting any other rights or actions that may pertain to the Company by law. |
| **<u>OCTAVO</u>: Cesión**.<br> Queda absolutamente prohibido al Prestador ceder o traspasar el presente Contrato, total o parcialmente, o dar participación de él a terceras personas, sin la autorización escrita de la Empresa. | **<u>EIGHTH</u>: Assignment**<br> The Contractor may not in any way assign or transfer this Agreement, or any part thereof, or give any interest therein, to any third parties, without the Company's written authorization. |
| **<u>NOVENO</u>: Duración.**<br> Se deja constancia que el presente contrato rige a partir del 13 de enero de 2023 y tendrá duración de 24 meses a contar de esta fecha. | **<u>NINETH</u>: Duration**<br> This Agreement shall be effective as of January 13, 2023, and shall have a duration of 24 months thereon. |
| **<u>DÉCIMO</u>: Domicilio.**<br> Para todos los efectos del presente Contrato, las partes fijan su domicilio en Santiago y se someten a la jurisdicción del Tribunal Arbitral a que se alude en la cláusula Décimo Primera siguiente. | **<u>TENTH</u> – Jurisdiction:** For all purposes hereof, the Parties hereby set their legal residence in Santiago, and submit to the jurisdiction of the Arbitral Court specified in the following clause, numbered Eleventh. |

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[Translation from Spanish on the right] 6/8

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|:---|:---|
| **<u>DÉCIMO PRIMERO</u>: Arbitraje**.<br> Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción.<br>**<u>Personería</u>**: La personeria de don **Ignacio Joaquín López Alarcón** para actuar en representación de **GOLD EXPRESS MINES SpA**, consta en escritura pública de fecha 17 de noviembre de 2021, suscrita en la Notaria de Santiago de doña Maria Pilar Gutiérrez Rivera bajo el repertorio N.º 30.284/2021.<br>El presente Contrato se firma en dos ejemplares de igual fecha y tenor, quedando uno en poder de la Empresa y uno en poder del Prestador. | **<u>ELEVENTH</u>: Arbitration**<br> Any difficulties or conflicts that may arise between the contracting parties regarding the application, interpretation, duration, validity or implementation hereof, or for any other reasons, shall be submitted to arbitration, according to the then current Arbitration Rules of Procedure of the Santiago Arbitration and Mediation Centre. The Parties hereby grant an irrevocable special power to the Santiago Chamber of Commerce, so that, on a written request from either of them, it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the Parties hereby expressly waive any such rights. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction.<br>**<u>Legal Representation</u>**: **Ignacio Joaquín López Alarcón** has been authorized to represent **GOLD EXPRESS MINES SpA** in a document of public record signed on November 17, 2021, at the Santiago Notary Offices of Maria Pilar Gutiérrez Rivera, Journal No. 30,284/2021.<br>This Agreement has been signed in two identical counterparts on the same date, one given to the Company and the other one to the Contractor.<br>|

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[Translation from Spanish on the right] 7/8

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|:---|
| /s/ Ignacio Joaquín López Alarcón |
| **Ignacio Joaquín López Alarcón** |
| **ID Card No. 16,017,525-7** |
| **For GOLD EXPRESS MINES SpA** |

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|:---|
| /s/ Andrew Sloop |
| **Andrew Sloop** |
| **ID Card No. 200,123,696-5** |

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[Translation from Spanish on the right] 8/8

## Exhibit 10.21

**Exhibit 10.21**

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| &nbsp;&nbsp;**REPERTORIO Nº 9.497-2021.-**<br> **Protocolizado Nº 376.-**<br> Jca. F/Elect. | &nbsp;&nbsp;**JOURNAL No. 9,497-2021** <br> **Public Record No. 376** <br> Jca. F/Elect. |
| &nbsp;&nbsp;**CONTRATO DE EXPLORACIÓN MINERA Y PROMESA UNILATERAL DE CONSTITUCIÓN DE SOCIEDAD**<br> **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A. Y KEY METALS CORPORATION CHILE SpA - Proyecto Fiel Rosita-** | &nbsp;&nbsp;**MINING EXPLORATION AGREEMENT**<br> **AND**<br> **UNILATERAL PROMISE TO <br> INCORPORATE A COMPANY**<br>**SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A. AND KEY METALS CORPORATION CHILE SpA - Fiel Rosita Project-** |
| EN SANTIAGO, REPUBLICA DE CHILE, a treinta de Agosto de dos mil veintiuno, ante mí **MARIA SOLEDAD SANTOS MUÑOZ**, Abogado, Notario Público Titular, de la Séptima Notaría de Santiago; con Oficio en calle Agustinas mil ciento sesenta y uno, entrepiso, comuna y ciudad de Santiago, comparecen: | &nbsp;&nbsp;IN SANTIAGO, REPUBLIC OF CHILE, on August 30, 2021, the following parties have appeared before me, **MARÍA SOLEDAD SANTOS MUÑOZ**, lawyer and Notary Public assigned to the Santiago Seventh Notary Offices, practising at 1,161, Agustinas Street, mezzanine, in the borough and city of Santiago: |
| **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, Rol Único Tributario número noventa y tres millones siete mil guion nueve, sociedad anónima del giro de su denominación, representada por don **<u>José Miguel Gustavo Berguño Cañas</u>**, chileno, casado, ingeniero, cédula de identidad número diez millones novecientos tres mil novecientos noventa y dos guion seis, y don **<u>Pablo Altimiras Ceardi</u>**, chileno, casado, ingeniero, cédula de identidad número trece millones seiscientos cincuenta y siete mil ochocientos sesenta y dos guion seis, todos domiciliados, para estos efectos, en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, comuna de Las Condes, Región Metropolitana, en adelante "**SQM**", por una parte; y | &nbsp;&nbsp;**SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, a company in the business indicated by its name, i.e. mining and chemicals, Chilean Taxpayer No. 93,007,000-9, herein represented by **<u>José Miguel Gustavo Berguño Cañas</u>**, a Chilean engineer, married, National Identification Card No. 10,903,992-6, and **<u>Pablo Altimiras Ceardi</u>**, a Chilean engineer, married, National Identification Card No. 13,657,862-6, all of them with legal address for the purposes hereof at 4,285, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, party of the first part, hereinafter called "**SQM**", and |

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| &nbsp;&nbsp;por la otra, **KEY METALS CORPORATION CHILE SpA**, Rol Único Tributario número setenta y siete millones trescientos noventa y tres mil ochocientos cuarenta y dos guion tres, sociedad por acciones, del giro minero, representada por don **<u>Ignacio Joaquín López Alarcón</u>**, chileno, casado, abogado, cédula de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete, ambos domiciliados, para estos efectos, en calle Pedro de Villagra número dos mil trescientos cincuenta y uno, comuna de Vitacura, en adelante "**KM**"; y SQM y KM individualmente denominadas la "**Parte**" y conjuntamente, las "**Partes**"; | &nbsp;&nbsp;**KEY METALS CORPORATION CHILE SpA**, a joint-stock company in the mining business, Chilean Taxpayer No. **77,393,842-3**, herein represented by **<u>Ignacio Joaquín López Alarcón</u>**, a Chilean lawyer, married, National Identification Card No. 16,017,525-7, both with address at 2,351, Pedro de Villagra St., Vitacura borough, Santiago, Metropolitan Region, party of the second part, hereinafter called "**KM**", with either SQM or KM individually called a "**Party**" and both together, the "**Parties**".<br>|
| &nbsp;&nbsp;los comparecientes mayores de edad, quienes acreditan identidad con las cédulas antes citada y exponen que se ha acordado celebrar el siguiente contrato de exploración y promesa unilateral de constitución de sociedad, en adelante el "**Contrato**": | &nbsp;&nbsp;All of the appearing individuals being of age, they have shown me the forenamed identification cards as proof of their respective identities, and have stated that the Parties have agreed on an exploration agreement and unilateral promise to incorporate a company, hereinafter called the "**Agreement**", whereby they shall be bound as follows: |
| &nbsp;&nbsp;**<u>PRIMERO</u>: DEFINICIONES,**<br> **INTERPRETACIÓN Y VENCIMIENTO DE PLAZOS.** | &nbsp;&nbsp;**<u>FIRST</u> - DEFINITIONS, INTERPRETATION AND DEADLINES:** |
| &nbsp;&nbsp;**<u>Uno. Uno</u>. Definiciones.** Los términos escritos con mayúscula tendrán, para efectos de este Contrato, el significado que en esta Cláusula se señala: | &nbsp;&nbsp;**<u>1.1</u>. Definitions:** For the purposes hereof, the following words or expressions with initial capitals shall have the meanings respectively provided in this clause: |
| &nbsp;&nbsp;**/a/** "**Activos**": Significa todos los Bienes Restringidos, bienes, muebles e inmuebles y derechos tangibles e intangibles destinados por KM a la ejecución del Contrato o que sean necesarios o convenientes para el adecuado desarrollo del Proyecto Minero. | &nbsp;&nbsp;**/a/** "**Assets**" shall cover all of the Restricted Assets, and all movable and immovable, tangible or intangible property and rights allocated by KM to the implementation hereof, or necessary or convenient for properly developing the Mining Project; |
| &nbsp;&nbsp;**/b/** "**Área**": Se define en la <u>Sección Dos. Dos</u>. | &nbsp;&nbsp;**/b/** "**Area**" is defined in <u>Section 2.2</u>; |

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| &nbsp;&nbsp;**/c/** "**Área de Instalaciones**": Se define en la letra /a/ de la <u>Sección Dieciséis. Siete</u>.<br> **/d/** "**Área de Interés**": Significa el área exterior de dos kilómetros contada desde el perímetro del Área.<br> **/e/** "**Aviso de Ejercicio**": Se define en la letra /a/ de la <u>Sección Diez. Uno</u>.<br> **/f/** "**Comunicación de Venta**": Se define en la lera /b/ de la <u>Sección Trece. Uno</u>.<br> **/g/** "**Condiciones**": Se define en la <u>Sección Nueve. Uno</u>.<br> **/h/** "**Contrato**": Significará el presente instrumento.<br> **/i/** "**Derecho a Renuncia**": Se define en la letra /a/ de la <u>Cláusula Décimo Séptima</u>.<br> **/j/** "**Derechos Mineros**": Se define en la <u>Sección Dos. Uno</u>.<br> **/k/** "**Derechos Mineros a Abandonar**": Se define en la letra /a/ de la <u>Cláusula Décimo Séptima</u>.<br> **/l/** "**Día Hábil**": Significa un día que no sea un sábado, domingo u otro día feriado en Chile.<br> **/m/** "**Dólar**" o "**Dólares**": Significa la moneda denominada dólar de los Estados Unidos de América.<br> **/n/** "**Empresa Auditora**": Se define en la <u>Sección Ocho. Cinco. Cuatro</u>.<br> **/o/** "**Estatutos Sociales"**: Se define en la letra /b/ de la <u>Sección Diez. Uno</u>.<br> **/p/** "**Estudio de Factibilidad**": Significa un estudio de factibilidad o feasibility study - según la definición del Canadian Institute of Mining, Metallurgy and Petroleum /"CIM"/ contenida en el "CIM Definition Standards on Mineral Resources and Mineral Reserves" y sus modificaciones- preparado y completado en conformidad al "National Instrument 43101 - Standards of Disclosure for Mineral Projects" /"NI 43-101"/ de los Canadian Securities Administrators, y contendrá al menos una descripción detallada de las | &nbsp;&nbsp;**/c/** "**Facility Area**" is defined in Item /a/ of <u>Section 16.7</u>;<br> **/d/** "**Area of Interest**" shall refer to a two-kilometer area outside the Area perimeter;<br> **/e/** "**Notice of Fulfillment**" is defined in Item /a/ of <u>Section 10.1</u>;<br> **/f/** "**Notification of Sale**" is defined in Item /b/ of <u>Section 13.1</u>;<br> **/g/** "**Conditions**" are defined in <u>Section 9.1</u>;<br> **/h/** "**Agreement**" shall refer to this instrument;<br>**/i/** "**Right of Waiver**" is defined in Item /a/ of<br> <u>Clause 17</u>;<br> **/j/** "**Mining Rights**" are defined in <u>Section 2.1.</u> <br> **/k/** "**Mining Rights to Be Abandoned**" are defined in Item /a/ of <u>Clause 17</u>;<br> **/l/** "**Business Day**" shall refer to any day that is not a Saturday, Sunday or any other holiday in Chile;<br> **/m/** "**Dollar**", "**Dollars**" or "**USD**" shall designate to the currency of the United States of America;<br> **/n/** "**Auditors**" are defined in <u>Section 8.5.4</u>;<br> **/o/** "**Articles of Incorporation"** are defined in Item /b/ of <u>Section 10.1</u>;<br> **/p/** "**Feasibility Study**" shall mean a feasibility study, per the definition of the Canadian Institute of Mining, Metallurgy and Petroleum, (CIM), contained in the "CIM Definition Standards on Mineral Resources and Mineral Reserves" or any amendments thereto, prepared and completed according to the National Instrument 43-101, Standards of Disclosure for Mineral Projects (NI 43-101) for Canadian Securities Administrators, and containing at least a detailed description of reserves; mining, metallurgical and process |

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| &nbsp;&nbsp;reservas, métodos de explotación, metalúrgica y procesamiento; estudio ambiental, ubicación de infraestructura, relaves, botaderos, pilas y otros según corresponda, costos operacionales y capital estimativo; trabajadores necesarios, relaciones con la comunidad y asuntos sociales; costos y métodos de transporte; marketing y análisis del mercado, análisis de sensibilidad, la mejor alternativa técnico-económica de desarrollo de los Derechos Mineros, y otros aspectos usualmente considerados por este tipo de estudios respecto de todos los Derechos Mineros involucrados.<br> **/q/** "**Exploración**": Significa todas las actividades tendientes o que sean necesarias para verificar la existencia, ubicación, cantidad, calidad o valor comercial de los recursos minerales metálicos en los Derechos Mineros con el propósito de buscar un yacimiento minero factible de ser explotado comercialmente.<br> **/r/** "**FCPA**": Se define en la <u>Cláusula Vigésima</u>.<br> **/s/** "**Fuerza Mayor o Caso Fortuito**": Se define en la <u>Cláusula Décimo Novena</u>.<br> **/t/** "**Gastos de Exploración**": Se define en la <u>Sección Ocho. Dos</u>.<br> **/u/** "**Gastos Mínimos de Exploración**": Se define en la <u>Sección Ocho. Dos</u>.<br> **/v/** "**Hipoteca y Prohibición SCM**": Se define en la <u>Sección Diez. Seis.</u> <br> **/w/** "**Informe de Exploración**": Se define en la <u>Sección Ocho. Cinco. Uno</u>.<br> **/x/** "**Leyes Anticorrupción**": Se define en la <u>Cláusula Vigésima</u>.<br> **/y/** "**Notario**": Significa el titular del oficio notarial ante quien se otorga este Contrato, o quien lo subrogue, reemplace o haga sus veces. | &nbsp;&nbsp;methods; an environmental study, the location of all infrastructure, tailings, dumps, heaps, and others as applicable; operating and estimated capital costs; needed workers, community relations and social affairs; transportation costs and methods; marketing and market analysis, sensitivity analysis, the technically and economically best option for developing the Mining Rights, and other aspects usually considered in this type of studies, with regards to all of the concerned Mining Rights;<br> **/q/** "**Exploration**" shall refer to all activities aimed at, or needed for, verifying the existence, location, quantity, quality or commercial value of metallic mineral resources in the Mining rights, so as to find a commercially viable ore deposit;<br> **/r/** "**FCPA**" is defined in <u>Clause 20</u>;<br> **/s/** "**Force Majeure or Unforeseeable Circumstances**" are defined in <u>Clause 19</u>;<br> **/t/** "**Exploration Expenses**" are defined in <u>Section 8.2</u>;<br> **/u/** "**Minimum Exploration Expenses**" are defined in <u>Section 8.2</u>;<br> **/v/** "**The SCM's Mortgage and Restriction**" is defined in <u>Section 10.6</u>;<br> **/w/** "**Exploration Report**" is defined in <u>Section 8.5.1</u>;<br> **/x/** "**Anticorruption Laws**" are defined in <u>Clause 20</u>;<br> **/y/** "**Notary**" shall refer to the one authenticating this Agreement, or any alternate, substitute or deputy thereof; |

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| &nbsp;&nbsp;**/z/** "**Operaciones**"**:** Significa la Exploración, explotación y en general todas las actividades relacionadas con la extracción, manejo, procesamiento, transporte de los recursos minerales, la obtención, recuperación, producción, fundición, refinamiento y comercialización de los Productos Mineros.<br> **/aa/** "**Pacto de Socios**": Se define en la <u>Sección Diez. Siete</u>.<br> **/bb/** "**Pago por Inactividad**": Se define en la <u>Sección Doce. Uno</u>.<br> **/cc/** "**Parte**" y "**Partes**": Se define en la comparecencia.<br> **/dd/** "**Plazo**": Se define en la <u>Sección Nueve. Dos</u>.<br> **/ee/** "**Primas**": Se define en la <u>Cláusula Sexta</u>.<br> **/ff/ "Productos Mineros"**: Significan todos los concentrados, precipitados metales, sustancias metálicas, y en general, lo que se obtiene y/o produce a partir de los minerales metálicos de toda clase extraído de los Derechos Mineros, incluyendo material mineralizado, concentrados y soluciones que contengan dichos minerales y todas las formas en que puedan encontrarse, extraerse o producirse, como igualmente cualquier subproducto de los mismos que tenga un valor comercial.<br> **/gg/** "**Prohibición SQM**": se define en la <u>Sección Quince. Cuatro</u>.<br> **/hh/** "**Promesa**": Se define en la letra /b/ de la <u>Sección Cuatro. Uno</u>.<br> **/ii/** "**Políticas SQM**": Se define en la <u>Cláusula Vigésima</u>.<br> **/jj/** "**Proyecto Minero**": Significa el conjunto de Activos, Derechos Mineros, obras e instalaciones para extraer, tratar y procesar los recursos minerales, obtener, recuperar y/o producir y transportar los Productos Mineros, siendo su objeto la explotación comercial de los Derechos Mineros. | &nbsp;&nbsp;**/z/** "**Operations**" shall cover Exploration, mining, and generally, all activities relating to extracting, handling, processing and transporting mineral resources, as well as obtaining, recovering, producing, smelting, refining and marketing the Mining Products;<br> **/aa/** "**Partnership Agreement**" is defined in <u>Section 10.7</u>;<br> **/bb/** "**Payment for Inactivity**" is defined in <u>Section 12.1</u>;<br> **/cc/** "**Party**" and "**Parties**" are defined in the preamble;<br> **/dd/** "**Term**" is defined in <u>Section 9.2</u>;<br> **/ee/** "**Instalments**" are defined in <u>Clause 6</u>;<br> **/ff/ "Mining Products"** shall refer to any and all concentrates, metal precipitates, metallic substances, and generally, what can be obtained or produced from any kind of metallic minerals mined from the Mining Rights, including mineralized materials, concentrates and solutions containing such minerals, and any other forms in which they may be found, extracted or produced, as well as any by-products thereof having a commercial value;<br> **/gg/** "**SQM's Restriction**" is defined in <u>Section 15.4</u>;<br> **/hh/** "**Promise**" is defined in Item /b/ of <u>Section 4.1</u>;<br> **/ii/** "**SQM's Policies**" are defined in <u>Clause 20</u>;<br> **/jj/** "**Mining Project**" shall cover all of the Assets, Mining Rights, civil works and facilities for mining, treating and processing mineral resources, and obtaining, recovering or producing, and transporting, Mining Products, with the purpose of commercially exploiting the Mining Rights; |

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| &nbsp;&nbsp;**kk/** "**Regalía**": Se define en la letra /b/ de la <u>Sección Diez. Cinco</u>.<br> **/ll/** "**Reserva**": Se define en la <u>Sección Dieciséis. Uno</u>.<br> **/mm/ "Resultados de Exploración"**: Significa todos y cada uno de los documentos, información sustentatoria, planos, informes de ensayos, registro de perforaciones, testigos y cortes de perforación y sondajes, muestras de rocas obtenidas, pulpa remanente del muestreo de análisis geoquímico, trabajos, estudios y los resultados de Exploración, y demás antecedentes e información que KM tenga y que haya generado u obtenido con motivo de la Exploración que hubiere desarrollado en el Área, incluyendo a modo ejemplar y no limitativo la información indicada en la <u>Sección Ocho. Cinco. Uno</u><br> **/nn/** "**SCM**": Sociedad Contractual Minera.<br> **/oo/** "**SQM**": Significará Sociedad Química y Minera de Chile S.A.<br> **/pp/** "**SERNARGEOMIN**": Significará el Servicio Nacional de Geología y Minería.<br> **/qq/** "**Sustancias No Metálicas**": Se define en la letra /c/ de la <u>Sección Dieciséis. Uno</u>.<br> **/rr/** "**Usufructo**": Se define en la letra /a/ de la <u>Sección Dieciséis. Tres</u>.<br> **<u>Uno. Dos</u>. Interpretación.** En este Contrato se entenderá, salvo que el contexto requiera algo distinto, lo siguiente:<br> **/a/** los títulos sirven sólo para mayor conveniencia y no afectarán la interpretación de este Contrato;<br> **/b/** a menos que se especifique lo contrario, las referencias a "Cláusulas", "Secciones". y "Anexos" constituyen referencias a las cláusulas, secciones, subsecciones y anexos de este Contrato; | &nbsp;&nbsp;**/kk/** "**Royalty**" is defined in Item /b/ of<br> <u>Section 10.5</u>;<br> **/ll/** "**Reserve**" is defined in <u>Section 16.1</u>;<br> **/mm/ "Exploration Results"** shall refer to each and all documents, supporting information, maps, trial reports, drilling records, core samples and cuttings, boreholes, rock samples, pulp remnants from geochemical analysis sampling, works, studies and Exploration results, and any other data or information that KM may have, produced or obtained in the context of the Exploration activities performed in the Area, including, for example and without limitation, the information stated in <u>Section 8.5.1</u>;<br>**/nn/** "**SCM**" is the acronym in Spanish of Contract Mining Company;<br> **/oo/** "**SQM**" is the acronym of Sociedad Química y Minera de Chile S.A.<br> **/pp/** "**SERNARGEOMIN**" is the acronym of the Chilean Nacional Geology and Mining Agency;<br> **/qq/** "**Non-Metallic Substances**" is defined in Item /c/ of <u>Section 16.1</u>, and<br> **/rr/** "**Usufruct**" is defined in Item /a/ of <u>Section 16.3.</u> <br> **<u>1.2</u>. Interpretation:** Unless the context required otherwise, the interpretation hereof shall consider:<br> **/a/** that all titles and headings have only been included for convenience, and shall not affect the interpretation hereof;<br> **/b/** that, unless otherwise specified, any references to "Clauses", "Sections" or "Appendices" shall refer to clauses, sections or subsections hereof, or appendices hereto; |

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| &nbsp;&nbsp;**/c/** la referencia a plural tendrá el mismo significado que el singular definido precedentemente, y viceversa; y<br> **/d/** la referencia a cualquier documento o convenio, incluyendo este Contrato, debe entenderse que incluye las referencias a tal documento o convenio, según sea modificado, complementado o sustituido de tiempo en tiempo, si tal modificación, Complemento o sustitución está específicamente autorizada por este Contrato de conformidad con sus términos, y según sea aplicable, sujeto al cumplimiento de los requisitos contenidos en aquél. | &nbsp;&nbsp;**/c/** that the use of plural forms shall have the same meaning previously defined for their respective singular forms, and vice versa, and **/d/** that any references to documents or agreements, including this Agreement, shall be deemed as including references to any future amendments or addenda thereto, as well as any replacements thereof, provided that such amendments, addenda o replacements were specifically authorized herein, according to the terms hereof, and as applicable, conditioned to meeting any and all requirements contained therein.<br>|
| &nbsp;&nbsp;**<u>Uno. Tres</u>. Vencimiento de plazos.** En el caso que un plazo venciere un día sábado, domingo o festivo, el plazo se prorrogará hasta el Día Hábil inmediatamente siguiente. | &nbsp;&nbsp;**<u>1.3</u>. Term Expiry Dates**: Whenever a term expired on a Saturday, Sunday or holiday, it shall be extended to the next Business Day. |
| &nbsp;&nbsp;**<u>SEGUNDO</u>: DERECHOS MINEROS Y ÁREA.** | &nbsp;&nbsp;**<u>SECOND</u> - MINING RIGHTS AND AREA:** |
| &nbsp;&nbsp;**<u>Dos. Uno</u>**. **Derechos Mineros**. SQM declara que es dueña de las concesiones mineras de explotación que se individualizan a continuación, en adelante los "**Derechos Mineros**": | &nbsp;&nbsp;**<u>2.1</u>**. **Mining Rights:** SQM hereby states that it owns the following mining claims for exploitation, hereinafter called the "**Mining Rights**": |
| &nbsp;&nbsp;**<u>Dos. Uno. Uno</u>**. **Conservador de Minas de Vallenar. /Uno/ Reinaldo siete I del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos treinta y cuatro número ciento doce del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar. | &nbsp;&nbsp;**<u>2.1.1</u>**. **Vallenar Mine Registrar:**<br> **/1/ Reinaldo 7 I - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 534, under No. 112, of the Vallenar Mine Registrar's Real-Estate Book for 2017; |
| &nbsp;&nbsp;**/Dos/ Otilio uno del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos diecinueve número cien del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar. | &nbsp;&nbsp;**/2/ Otilio 1 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 319, under No. 100, of the Vallenar Mine Registrar's Real-Estate Book for 2018; |

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| &nbsp;&nbsp;**/Tres/ Otilio diez del uno al veinticinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento treinta y tres número cuarenta y siete del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Cuatro/ Otilio once del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento treinta y siete vuelta número cuarenta y ocho del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Cinco/ Otilio catorce del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos catorce número ciento veintiocho del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Seis/ Otilio quince del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos veintitrés vuelta número ciento uno del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Siete/ Otilio dieciséis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cincuenta número cincuenta del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Ocho/ Otilio veinte del uno al veinte**, cuya sentencia constitutiva y acta de mensura se | &nbsp;&nbsp;**/3/ Otilio 10 - 1 to 25**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 133, under No. 47, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/4/ Otilio 11 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 137, under No. 48, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/5/ Otilio 14 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 414, under No. 128, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/6/ Otilio 15 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 323, under No. 101, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/7/ Otilio 16 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 150, under No. 50, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/8/ Otilio 20 - 1 to 20**, with an award judgment and surveyor's certificate registered to |

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| &nbsp;&nbsp;encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento sesenta y cinco número cincuenta y tres del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Nueve/ Otilio veintiuno del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos veintitrés vuelta número ochenta y dos del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Diez/ Otilio veinticuatro del uno al treinta y siete**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos sesenta y cinco número ciento nueve del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Once/ Otilio veinticinco del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento setenta y uno número cincuenta y cuatro del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Doce/ Otilio cuatro del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento noventa y cuatro vuelta número setenta y siete del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Trece/ Otilio cinco del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas | &nbsp;&nbsp;Sociedad Química y Minera de Chile S.A., on Page 165, under No. 53, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/9/ Otilio 21 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 223, under No. 82, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/10/ Otilio 24 - 1 to 37**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 365, under No. 109, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/11/ Otilio 25 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 171, under No. 54, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/12/ Otilio 4 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 194, under No. 77, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/13/ Otilio 5 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 201, under No. 78, of the Vallenar Mine Registrar's Real-Estate Book for 2018; |

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| &nbsp;&nbsp;doscientos uno vuelta número setenta y ocho del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Catorce/ Otilio seis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento veintiuno número cuarenta y cinco del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Quince/ Otilio doce del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cuarenta y cuatro vuelta número cuarenta y nueve del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Dieciséis/ Otilio trece del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos doce vuelta número ochenta del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Diecisiete/ Otilio diecisiete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos dieciocho vuelta número ochenta y uno del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Dieciocho/ Otilio dieciocho del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cincuenta y cuatro vuelta número cincuenta y uno del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar. | &nbsp;&nbsp;<br> **/14/ Otilio 6 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 121, under No. 45, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/15/ Otilio 12 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 144, under No. 49, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/16/ Otilio 13 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 212, under No. 80, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/17/ Otilio 17 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 218, under No. 81, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/18/ Otilio 18 - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 154, under No. 51, of the Vallenar Mine Registrar's Real-Estate Book for 2018; |

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| &nbsp;&nbsp;<br> **/Diecinueve/ Otilio diecinueve del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento sesenta número cincuenta y dos del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veinte/ Otilio dos del uno al treinta y cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento quince número cuarenta y cuatro del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veintiuno/ Otilio veintidós del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos veintiocho vuelta número ochenta y tres del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veintidós/ Otilio veintitrés del uno al dieciocho**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos sesenta número ciento ocho del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veintitrés/ Otilio siete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos seis vuelta número setenta y nueve del Registro de Propiedad | &nbsp;&nbsp;**/19/ Otilio 19 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 160, under No. 52 of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/20/ Otilio 2 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 115, under No. 44, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/21/ Otilio 22 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 228, under No. 83, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/22/ Otilio 23 - 1 to 18**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 360, under No. 108, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/23/ Otilio 7 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 206, under No. 79, of the Vallenar Mine Registrar's Real-Estate Book for 2018; |

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| &nbsp;&nbsp;correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veinticuatro/ Otilio nueve del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos cincuenta y tres vuelta número ciento siete del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veinticinco/ Otilio ocho del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento veintiocho número cuarenta y seis del Registro de Propiedad correspondiente al año dos mil dieciocho del Conservador de Minas de Vallenar.<br> **/Veintiséis/ Marisela II del uno al cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil seiscientos noventa y cuatro vuelta número trescientos noventa y seis del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Veintisiete/ Bombilla cinco I del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos cuarenta y siete vuelta número sesenta y cinco del Registro de Propiedad correspondiente al año dos mil dieciséis del Conservador de Minas de Vallenar.<br> **/Veintiocho/ Bombilla seis I del uno al ochenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos cincuenta y | &nbsp;&nbsp;<br> **/24/ Otilio 9 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 353, under No. 107, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/25/ Otilio 8 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 128, under No. 46, of the Vallenar Mine Registrar's Real-Estate Book for 2018;<br>**/26/ Marisela II - 1 to 5**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,694, under No. 396, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/27/ Bombilla 5 I - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 247, under No. 65, of the Vallenar Mine Registrar's Real-Estate Book for 2016;<br>**/28/ Bombilla 6 I - 1 to 80**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 254, under No. 66, of the Vallenar Mine Registrar's Real-Estate Book |

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| &nbsp;&nbsp;cuatro vuelta número sesenta y seis del Registro de Propiedad correspondiente al año dos mil dieciséis del Conservador de Minas de Vallenar.<br> **/Veintinueve/ Reinaldo catorce del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos ochenta y cuatro vuelta número ciento tres del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta/ Reinaldo quince del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos setenta y tres número ciento uno del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y uno/ Reinaldo dieciséis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos noventa número ciento cuatro del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y dos/ Reinaldo diecisiete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos noventa y cinco número ochenta y siete del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y tres/ Reinaldo dieciocho del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de | &nbsp;&nbsp;for 2016;<br>**/29/ Reinaldo 14 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 484, under No. 103, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/30/ Reinaldo 15 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 473, under No. 101, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/31/ Reinaldo 16 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 490, under No. 104, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/32/ Reinaldo 17 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 395, under No. 87, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/33/ Reinaldo 18 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 429, under No. 93, of the |

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| &nbsp;&nbsp;Chile S.A., a fojas cuatrocientos veintinueve vuelta número noventa y tres del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y cuatro/ Reinaldo diecinueve del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos cuarenta vuelta número noventa y cinco del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y cinco/ Reinaldo veinte del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos cuarenta y seis número noventa y seis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y seis/ Reinaldo veintiuno del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos noventa y seis número ciento cinco del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y siete/ Reinaldo veintidós del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochocientos cincuenta y uno número ciento ochenta y cinco del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y ocho/ Reinaldo veintitrés del uno al treinta**, cuya sentencia constitutiva y | &nbsp;&nbsp;Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/34/ Reinaldo 19 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 440, under No. 95, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/35/ Reinaldo 20 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 446, under No. 96, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/36/ Reinaldo 21 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 496, under No. 105, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/37/ Reinaldo 22 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 851, under No. 185, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/38/ Reinaldo 23 - 1 to 30**, with an award judgment and surveyor's certificate registered |

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| &nbsp;&nbsp;acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos treinta y cinco número noventa y cuatro del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Treinta y nueve/ Reinaldo veinticuatro del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos uno vuelta número ciento seis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta/ Reinaldo veinticinco del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochocientos cincuenta y seis vuelta número ciento ochenta y seis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y uno/ Reinaldo veintiséis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochocientos sesenta y dos número ciento ochenta y siete del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y dos/ Reinaldo veintiocho del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos ochenta y nueve número ochenta y seis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar. | &nbsp;&nbsp;to Sociedad Química y Minera de Chile S.A., on Page 435, under No. 94, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/39/ Reinaldo 24 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 501, under No. 106, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/40/ Reinaldo 25 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 856, under No. 186, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/41/ Reinaldo 26 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 862, under No. 187, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/42/ Reinaldo 28 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 389, under No. 86, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>|

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| &nbsp;&nbsp;**/Cuarenta y tres/ Reinaldo veintinueve del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos ochenta y tres número ochenta y cinco del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y cuatro/ Reinaldo treinta del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos setenta y siete número ochenta y cuatro del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y cinco/ Reinaldo treinta y uno del uno al veintiséis**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos veintitrés vuelta número noventa y dos del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y seis/ Reinaldo treinta y dos del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos setenta y uno número ochenta y tres del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y siete/ Reinaldo treinta y tres del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos dieciocho número noventa y uno del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar. | &nbsp;&nbsp;**/43/ Reinaldo 29 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 383, under No. 85 of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/44/ Reinaldo 30 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 377, under No. 84, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/45/ Reinaldo 31 - 1 to 26**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 423, under No. 92, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/46/ Reinaldo 32 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 371, under No. 83, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/47/ Reinaldo 33 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 418, under No. 91, of the Vallenar Mine Registrar's Real-Estate Book for 2017; |

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| &nbsp;&nbsp;**/Cuarenta y ocho/ Reinaldo treinta y cuatro del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos doce vuelta número noventa del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cuarenta y nueve/ Reinaldo treinta y cinco del uno al veintinueve**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos doce número ciento ocho del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta/ Reinaldo treinta y seis del uno al doce**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos siete número ochenta y nueve del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y uno/ Reinaldo treinta y siete del uno al nueve**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos cincuenta y uno número noventa y siete del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y dos/ Reinaldo treinta y siete del diez al dieciocho**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y<br>| &nbsp;&nbsp;**/48/ Reinaldo 34 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 412, under No. 90, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/49/ Reinaldo 35 - 1 to 29**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 512, under No. 108, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/50/ Reinaldo 36 - 1 to 12**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 407, under No. 89, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/51/ Reinaldo 37 - 1 to 9**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 451, under No. 97, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/52/ Reinaldo 37 - 10 to 18**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 457, under No. 98, of the Vallenar |

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| &nbsp;&nbsp;Minera de Chile S.A., a fojas cuatrocientos cincuenta y siete número noventa y ocho del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y tres/ Reinaldo treinta y ocho del uno al cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos sesenta y dos número noventa y nueve del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y cuatro/ Reinaldo seis del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos uno número ochenta y ocho del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y cinco/ Reinaldo siete del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos setenta y nueve número ciento dos del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y seis/ Reinaldo ocho del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos sesenta y siete vuelta número cien del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y siete/ Reinaldo veintisiete del uno al cuarenta**, cuya sentencia constitutiva | &nbsp;&nbsp;Mine Registrar's Real-Estate Book for 2017;<br>**/53/ Reinaldo 38 - 1 to 5**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 462, under No. 99, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/54/ Reinaldo 6 - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 401, under No. 88, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/55/ Reinaldo 7 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 479, under No. 102, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/56/ Reinaldo 8 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 467, under No. 100, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/57/ Reinaldo 27 - 1 to 40**, with an award judgment and surveyor's certificate registered |

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| &nbsp;&nbsp;y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos siete número ciento siete del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y ocho/ Reinaldo diez del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos cuarenta y cuatro número ciento catorce del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Cincuenta y nueve/ Reinaldo once del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos cuarenta y ocho vuelta número ciento quince del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Sesenta/ Reinaldo trece del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos cincuenta y ocho número ciento diecisiete del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Sesenta y uno/ Reinaldo doce del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos cincuenta y tres número ciento dieciséis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Sesenta y dos/ Reinaldo nueve del uno al diez**, cuya sentencia constitutiva y acta de | &nbsp;&nbsp;to Sociedad Química y Minera de Chile S.A., on Page 507, under No. 107, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/58/ Reinaldo 10 - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 544, under No. 114, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/59/ Reinaldo 11 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 548, under No. 115, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/60/ Reinaldo 13 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 558, under No. 117, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/61/ Reinaldo 12 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 553, under No. 116, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/62/ Reinaldo 9 - 1 to 10**, with an award judgment and surveyor's certificate registered |

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| &nbsp;&nbsp;mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos treinta y nueve número ciento trece del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Vallenar.<br> **/Sesenta y tres/ Rosita cuarenta y cuatro del uno al dieciocho**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos dos número ciento noventa y ocho del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y cuatro/ Rosita cuarenta y cinco del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos siete número ciento noventa y nueve del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y cinco/ Rosita cuarenta y seis del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos trece número doscientos del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y seis/ Rosita cuarenta y siete del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos diecisiete vuelta número doscientos uno del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y siete/ Rosita cuarenta y ocho** | &nbsp;&nbsp;to Sociedad Química y Minera de Chile S.A., on Page 539, under No. 113, of the Vallenar Mine Registrar's Real-Estate Book for 2017;<br>**/63/ Rosita 44 - 1 to 18**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 902, under No. 198, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/64/ Rosita 45 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 907, under No. 199, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/65/ Rosita 46 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 913, under No. 200, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/66/ Rosita 47 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 917, under No. 201, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/67/ Rosita 48 - 1 to 30**, with an award |

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| &nbsp;&nbsp;**del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos veintidós número doscientos dos del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y ocho/ Rosita cuarenta y nueve del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos veintisiete número doscientos tres del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Sesenta y nueve/ Rosita cincuenta del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos treinta y dos número doscientos cuatro del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta/ Rosita cincuenta y uno del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos treinta y seis vuelta número doscientos cinco del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y uno/ Rosita cincuenta y dos del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos cuarenta y uno número doscientos seis del Registro de Propiedad correspondiente al año dos milquince del Conservador de Minas de Vallenar. | &nbsp;&nbsp;judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 922, under No. 202, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/68/ Rosita 49 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 927, under No. 203, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/69/ Rosita 50 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 932, under No. 204, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/70/ Rosita 51 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 936, under No. 205, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/71/ Rosita 52 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 941, under No. 206, of the Vallenar Mine Registrar's Real-Estate Book for 2015; |

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| &nbsp;&nbsp;**/Setenta y dos/ Rosita cincuenta y tres del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos cuarenta y seis número doscientos siete del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y tres/ Rosita cincuenta y cuatro del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos cincuenta y uno número doscientos ocho del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y cuatro/ Rosita cincuenta y cinco del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos cincuenta y cinco vuelta número doscientos nueve del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y cinco/ Rosita cincuenta y seis del uno al seis**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos sesenta número doscientos diez del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y seis/ Rosita cincuenta y siete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y | &nbsp;&nbsp;**/72/ Rosita 53 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 946, under No. 207, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/73/ Rosita 54 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 951, under No. 208, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/74/ Rosita 55 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 955, under No. 209, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/75/ Rosita 56 - 1 to 6**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 960, under No. 210, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/76/ Rosita 57 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 965, under No. 211, of the Vallenar |

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| &nbsp;&nbsp;Minera de Chile S.A., a fojas novecientos sesenta y cinco número doscientos once del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y siete/ Rosita cincuenta y ocho del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos setenta y uno número doscientos doce del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y ocho/ Rosita cincuenta y nueve del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas novecientos setenta y seis número doscientos trece del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Setenta y nueve/ Bombilla tres del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil trescientos sesenta y uno vuelta número trescientos cinco del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Ochenta/ Bombilla cinco del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos cuatro número sesenta y siete del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Ochenta y uno/ Bombilla diez del uno al treinta**, cuya sentencia constitutiva y acta de | &nbsp;&nbsp;Mine Registrar's Real-Estate Book for 2015;<br>**/77/ Rosita 58 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 971, under No. 212, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/78/ Rosita 59 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 976, under No. 213, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/79/ Bombilla 3 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,361, under No. 305, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/80/ Bombilla 5 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 304, under No. 67, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/81/ Bombilla 10 - 1 to 30**, with an award judgment and surveyor's certificate registered |

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| &nbsp;&nbsp;mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil trescientos setenta y uno vuelta número trescientos siete del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Ochenta y dos/ Bombilla once del uno al dieciséis**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas quinientos treinta y seis número ciento treinta y dos del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Ochenta y tres/ Bombilla cuatro del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil trescientos sesenta y seis vuelta número trescientos seis del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Ochenta y cuatro/ Bombilla seis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos diez número sesenta y ocho del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar.<br> **/Ochenta y cinco/ Bombilla ocho del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos diecisiete número sesenta y nueve del Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Vallenar. | &nbsp;&nbsp;to Sociedad Química y Minera de Chile S.A., on the back of Page 1,371, under No. 307, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/82/ Bombilla 11 - 1 to 16**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 536, under No. 132, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/83/ Bombilla 4 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,366, under No. 306, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/84/ Bombilla 6 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 310, under No. 68, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>**/85/ Bombilla 8 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 317, under No. 69, of the Vallenar Mine Registrar's Real-Estate Book for 2015;<br>|

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| &nbsp;&nbsp;**/Ochenta y seis/ Chiflón cinco del uno al catorce**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento treinta y tres número treinta y ocho del Registro de Propiedad correspondiente al año dos mil trece del Conservador de Minas de Vallenar.<br> **/Ochenta y siete/ Chiflón uno del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos veintidós número doscientos sesenta y siete del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Ochenta y ocho/ Chiflón dos del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochocientos ochenta y seis número ciento noventa y dos del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Ochenta y nueve/ Chiflón tres del uno al diecisiete**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos veintisiete número doscientos sesenta y ocho del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Noventa/ Bombilla uno del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas seiscientos sesenta y nueve número ciento treinta y uno del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar. | &nbsp;&nbsp;**86/ Chiflón 5 - 1 to 14**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 133, under No. 38, of the Vallenar Mine Registrar's Real-Estate Book for 2013;<br>**/87/ Chiflón 1 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 1,222, under No. 267, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/88/ Chiflón 2 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 886, under No. 192, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/89/ Chiflón 3 - 1 to 17**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 1,227, under No. 268, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/90/ Bombilla 1 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 669, under No. 131, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>|

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| &nbsp;&nbsp;**/Noventa y uno/ Bombilla dos del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas seiscientos setenta y cuatro número ciento treinta y dos del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Noventa y dos/ Portezuelo II del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setenta número doce del Registro de Propiedad correspondiente al año dos mil cuatro del Conservador de Minas de Vallenar. <br> **/Noventa y tres/ Marisela del uno al cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos dieciséis número doscientos sesenta y seis del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Vallenar.<br> **/Noventa y cuatro/ Taco del uno al sesenta y dos**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas veinticuatro número cinco del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Vallenar.<br> **/Noventa y cinco/ Pirca seis del uno al cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil treinta y ocho vuelta número ciento noventa y cinco del Registro de Propiedad correspondiente al año mil novecientos noventa y nueve del Conservador de Minas de Vallenar.<br> **/Noventa y seis/ Calvo del once al** | &nbsp;&nbsp; **/91/ Bombilla 2 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 674, under No. 132, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/92/ Portezuelo II - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 70, under No. 12, of the Vallenar Mine Registrar's Real-Estate Book for 2004;<br>**/93/ Marisela - 1 to 5**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 1,216, under No. 266, of the Vallenar Mine Registrar's Real-Estate Book for 2014;<br>**/94/ Taco - 1 to 62**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 24, under No. 5, of the Vallenar Mine Registrar's Real-Estate Book for 2000;<br>**/95/ Pirca 6 - 1 to 5**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 1,038, under No. 195, of the Vallenar Mine Registrar's Real-Estate Book for 1999;<br>**/96/ Calvo - 11 to 48**, with an award judgment |

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| &nbsp;&nbsp;**cuarenta y ocho**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos trece vuelta número cincuenta del Registro de Propiedad correspondiente al año dos mil uno del Conservador de Minas de Vallenar.<br> **/Noventa y siete/ Pirca ocho II del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setecientos setenta y siete vuelta número ciento cuarenta y cuatro del Registro de Propiedad correspondiente al año mil novecientos noventa y nueve del Conservador de Minas de Vallenar.<br> **/Noventa y ocho/ Pirca cinco II del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setecientos veinticuatro vuelta número ciento veintiocho del Registro de Propiedad correspondiente al año mil novecientos noventa y nueve del Conservador de Minas de Vallenar.<br> **/Noventa y nueve/ Pirca cuatro II del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setecientos diecinueve vuelta número ciento veintisiete del Registro de Propiedad correspondiente al año mil novecientos noventa y nueve del Conservador de Minas de Vallenar.<br> **/Cien/ Pelado diecinueve II del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuatrocientos sesenta y ocho vuelta número ochenta y cinco del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Vallenar. | &nbsp;&nbsp;and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 213, under No. 50, of the Vallenar Mine Registrar's Real-Estate Book for 2001;<br>**/97/ Pirca 8 II - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 777, under No. 144, of the Vallenar Mine Registrar's Real-Estate Book for 1999;<br>**/98/ Pirca 5 II - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 724, under No. 128, of the Vallenar Mine Registrar's Real-Estate Book for 1999;<br>**/99/ Pirca 4 II - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 719, under No. 127, of the Vallenar Mine Registrar's Real-Estate Book for 1999;<br>**/100/ Pelado 19 II - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 468, under No. 85, of the Vallenar Mine Registrar's Real-Estate Book for 2000;<br>|

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| &nbsp;&nbsp;**/Ciento uno/ Erika tres del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos diez vuelta número sesenta y cinco del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento dos/ Erika cuatro del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos dieciséis número sesenta y seis del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento tres/ Gallo I del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos veintiuno vuelta número sesenta y siete del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento cuatro/ Ingenio del uno al dieciséis**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas a fojas ciento setenta y cinco número cuarenta y siete del Registro de Propiedad correspondiente al año mil novecientos noventa y seis del Conservador de Minas de Vallenar. La inscripción de dominio a nombre de Sociedad Química y Minera de Chile S.A. se encuentra inscrita a fojas mil ciento noventa número doscientos cincuenta y tres del Registro de Propiedad correspondiente al año dos mil trece del Conservador de Minas de Vallenar. | &nbsp;&nbsp;**/101/ Erika 3 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 310, under No. 65, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/102/ Erika 4 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 316, under No. 66, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/103/ Gallo I - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 321, under No. 67, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/104/ Ingenio - 1 to 16**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 175, under No. 47, of the Vallenar Mine Registrar's Real-Estate Book for 1996, with the registration of ownership by Sociedad Química y Minera de Chile S.A. recorded on Page 1,190, under No. 253, of the Vallenar Mine Registrar's Real-Estate Book for 2013;<br>|

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| &nbsp;&nbsp;**/Ciento cinco/ Pirca siete del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento veintiuno vuelta número diecisiete del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento seis/ Erika diez del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos sesenta y siete vuelta número cuarenta y nueve del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento siete/ Erika once del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos setenta y tres número cincuenta del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento ocho/ Suerte uno del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos sesenta y dos número cuarenta y ocho del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento nueve/ Erizo tres del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos cuarenta y dos vuelta número ochenta y nueve del Registro de | &nbsp;&nbsp;**105/ Pirca 7 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 121, under No. 17, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/106/ Erika 10 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 267, under No. 49, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/107/ Erika 11 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 273, under No. 50, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/108/ Suerte 1 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 262, under No. 48, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/109/ Erizo 3 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 342, under No. 89, of the Vallenar Mine Registrar's Real-Estate Book for 1995; |

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| &nbsp;&nbsp;Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento diez/ Erizo cuatro del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cincuenta y seis vuelta número cuarenta y uno del Registro de Propiedad correspondiente al año mil novecientos noventa y seis del Conservador de Minas de Vallenar.<br> **/Ciento once/ Fortuna una del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos noventa y nueve número setenta y ocho del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento doce/ Erizo diez del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos setenta y cuatro vuelta número setenta y dos del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento trece/ Erizo once del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos setenta y nueve vuelta número setenta y tres del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento catorce/ Pelado del cuarenta y uno al sesenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a | &nbsp;&nbsp;<br>**/110/ Erizo 4 - 1 to 20**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 156, under No. 41, of the Vallenar Mine Registrar's Real-Estate Book for 1996;<br>**/111/ Fortuna 1 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 299, under No. 78, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/112/ Erizo 10 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 274, under No. 72, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/113/ Erizo 13 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 279, under No. 73, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/114/ Pelado - 41 to 60**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., |

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| &nbsp;&nbsp;nombre de Sociedad Química y Minera de Chile S.A., a fojas noventa y uno vuelta número veintisiete del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento quince/ Pelado del sesenta y uno al ochenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas noventa y seis vuelta número veintiocho del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento dieciséis/ Erizo del setenta y uno al ochenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos cincuenta número sesenta y ocho del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento diecisiete/ Erizo del ochenta y uno al ciento diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento siete vuelta número treinta del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento dieciocho/ Erizo del treinta y uno al cincuenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento uno vuelta número veintinueve del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar. | &nbsp;&nbsp;on the back of Page 91, under No. 27, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/115/ Pelado - 61 to 80**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 96, under No. 28, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/116/ Erizo - 71 to 80**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 250, under No. 68, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/117/ Erizo - 81 to 110**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 107, under No. 30, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/118/ Erizo - 31 to 50**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 101, under No. 29, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>|

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| &nbsp;&nbsp;**/Ciento diecinueve/ Erizo del once al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochenta y seis vuelta número veintiséis del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veinte/ Pelado del ciento veintiuno al ciento cincuenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos siete número cincuenta y tres del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintiuno/ Pelado del ciento cincuenta y uno al ciento ochenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento noventa y dos número cuarenta y seis del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintidós/ Pelado del cincuenta y uno al noventa**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos uno número cincuenta y dos del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintitrés/ Pelado del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento treinta y cinco vuelta número treinta y cinco del Registro de Propiedad | &nbsp;&nbsp;**119/ Erizo - 11 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 86, under No. 26, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/120/ Pelado - 121 to 150**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 207, under No. 53, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/121/ Pelado - 151 to 180**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 192, under No. 46, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/122/ Pelado - 51 to 90**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 201, under No. 52, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/123/ Pelado - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 135, under No. 35, of the Vallenar Mine Registrar's Real-Estate Book for 1995; |

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| &nbsp;&nbsp;correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veinticuatro/ Pelado del once al cincuenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos treinta y dos número sesenta y tres del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Vallenar.<br> **/Ciento veinticinco/ Felisa del treinta y uno al setenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos catorce vuelta número ochenta y uno del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintiséis/ Felisa del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos nueve número ochenta del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintisiete/ Kike del ciento uno al ciento sesenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas treinta y uno número seis del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento veintiocho/ Reemplazo del doscientos uno al doscientos sesenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ochenta y uno número veinticinco del | &nbsp;&nbsp;<br> **/124/ Pelado - 11 to 50**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 332, under No. 63, of the Vallenar Mine Registrar's Real-Estate Book for 2000;<br>**/125/ Felisa - 31 to 70**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 314, under No. 81, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/126/ Felisa - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 309, under No. 80, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/127/ Kike - 101 to 160**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 31, under No. 6, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/128/ Reemplazo - 201 to 260**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 81, under No. 25, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>|

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| &nbsp;&nbsp;Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento veintinueve/ Ester I del uno al trece**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos veinte vuelta número ochenta y dos del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento treinta/ Ester II del uno al veinticuatro**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos noventa y cuatro número setenta y siete del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento treinta y uno/ Fortuna dos del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos cuatro número setenta y nueve del Registro de Propiedad correspondiente del año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento treinta y dos/ Gallo II del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas cuarenta y tres vuelta número ocho del Registro de Propiedad correspondiente al año mil novecientos noventa y siete del Conservador de Minas de Vallenar.<br> **/Ciento treinta y tres/ Carola del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., | &nbsp;&nbsp;<br>**/129/ Ester I - 1 to 13**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 320, under No. 82, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/130/ Ester II - 1 to 24**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 294, under No. 77, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/131/ Fortuna 2 - 1 to 40**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 304, under No. 79, of the Vallenar Mine Registrar's Real-Estate Book for 1995;<br>**/132/ Gallo II - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 43, under No. 8, of the Vallenar Mine Registrar's Real-Estate Book for 1997;<br>**/133/ Carola - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 348, under No. 90, of the Vallenar |

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| &nbsp;&nbsp;a fojas trescientos cuarenta y ocho número noventa del Registro de Propiedad correspondiente al año mil novecientos noventa y cinco del Conservador de Minas de Vallenar.<br> **/Ciento treinta y cuatro/ Pelado cinco del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos ochenta y cinco vuelta número ciento doce del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Vallenar.<br> **/Ciento treinta y cinco/ Pelado cuatro del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas doscientos ochenta vuelta número ciento once del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Vallenar.<br> **/Ciento treinta y seis/ Cabellos seis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cincuenta y uno número treinta y nueve del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Vallenar.<br> **/Ciento treinta y siete/ Cabellos siete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas ciento cincuenta y seis número cuarenta del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Vallenar. | &nbsp;&nbsp;Mine Registrar's Real-Estate Book for 1995;<br>**/134/ Pelado 5 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 285, under No. 112, of the Vallenar Mine Registrar's Real-Estate Book for 1992;<br>**/135/ Pelado 4 - 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 280, under No. 111, of the Vallenar Mine Registrar's Real-Estate Book for 1992;<br>**/136/ Cabellos 6 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 151, under No. 39, of the Vallenar Mine Registrar's Real-Estate Book for 1992;<br>**/137/ Cabellos 7 - 1 to 30**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 156, under No. 40, of the Vallenar Mine Registrar's Real-Estate Book for 1992;<br>|
| &nbsp;&nbsp;**<u>Dos. Uno. Dos</u>**. **Conservador de Minas de** | &nbsp;&nbsp;**<u>2.1.2</u>**. **Copiapó Mine Registrar:** |

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| &nbsp;&nbsp;**Copiapó. /Uno/ Reinaldo uno del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos cincuenta y dos número trescientos noventa y tres del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Copiapó.<br> **/Dos/ Reinaldo dos del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos cincuenta y siete vuelta número trescientos noventa y cuatro del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Copiapó.<br> **/Tres/ Reinaldo tres del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos sesenta y tres vuelta número trescientos noventa y cinco del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Copiapó.<br> **/Cuatro/ Reinaldo cuatro del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil doscientos sesenta y nueve vuelta número trescientos noventa y seis del Registro de Propiedad correspondiente al año dos mil diecisiete del Conservador de Minas de Copiapó.<br> **/Cinco/ Chiflón norte uno del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas mil seiscientos setenta y siete vuelta número trescientos veintidós del | &nbsp;&nbsp;**/1/ Reinaldo 1 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 1,252, under No. 393, of the Copiapó Mine Registrar's Real-Estate Book for 2017;<br>**/2/ Reinaldo 2 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,257, under No. 394, of the Copiapó Mine Registrar's Real-Estate Book for 2017;<br>**/3/ Reinaldo 3 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,263, under No. 395, of the Copiapó Mine Registrar's Real-Estate Book for 2017;<br>**/4/ Reinaldo 4 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,269, under No. 396, of the Copiapó Mine Registrar's Real-Estate Book for 2017;<br>**/5/ Chiflón norte 1 - 1 to 40**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 1,677, under No. 322, of the Copiapó Mine Registrar's Real-Estate Book for 2015; |

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| &nbsp;&nbsp;Registro de Propiedad correspondiente al año dos mil quince del Conservador de Minas de Copiapó.<br> **/Seis/ Papela once del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil doscientos noventa y ocho vuelta número setecientos noventa y dos del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Siete/ Gipsy diez del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil ochocientos ochenta y cuatro vuelta número novecientos setenta y siete del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Ocho/ Gipsy siete del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil ochocientos setenta número novecientos setenta y cinco del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Nueve/ Gipsy ocho del uno al treinta y cinco**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil ochocientos setenta y siete número novecientos setenta y seis del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Diez/ Gitana dos del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres | &nbsp;&nbsp;<br>**/6/ Papela 11 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 3,298, under No. 792, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/7/ Gipsy 10 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 3,884, under No. 977, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/8/ Gipsy 7 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 3,870, under No. 975, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/9/ Gipsy 8 - 1 to 35**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 3,877, under No. 976, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/10/ Gitana 2 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 3,891, under |

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| &nbsp;&nbsp;mil ochocientos noventa y uno vuelta número novecientos setenta y ocho del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Once/ Gitana veinte del uno al cuarenta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil novecientos once vuelta número novecientos ochenta y uno del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Doce/ Gitana tres del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil ochocientos noventa y ocho número novecientos setenta y nueve del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Trece/ Gitana cuatro del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas tres mil novecientos cinco número novecientos ochenta del Registro de Propiedad correspondiente al año dos mil catorce del Conservador de Minas de Copiapó.<br> **/Catorce/ Bolsico tres III del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos cuarenta y cuatro vuelta número noventa y uno del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Copiapó.<br> **/Quince/ Bolsico uno III del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre | &nbsp;&nbsp;No. 978, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/11/ Gitana 20 - 1 to 40**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 3,911, under No. 981, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/12/ Gitana 3 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 3,898, under No. 979, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/13/ Gitana 4 - 1 to 10**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 3,905, under No. 980, of the Copiapó Mine Registrar's Real-Estate Book for 2014;<br>**/14/ Bolsico 3 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 344, under No. 91, of the Copiapó Mine Registrar's Real-Estate Book for 2000;<br>**/15/ Bolsico 1 III - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de |

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| &nbsp;&nbsp;de Sociedad Química y Minera de Chile S.A., a fojas trescientos treinta y tres vuelta número ochenta y nueve del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Copiapó.<br> **/Dieciséis/ Bolsico dos III del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas trescientos treinta y nueve número noventa del Registro de Propiedad correspondiente al año dos mil del Conservador de Minas de Copiapó.<br> **/Diecisiete/ Cabellos seis del uno al treinta**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setecientos dieciséis número ciento quince del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Copiapó.<br> **/Dieciocho/ Cabellos tres del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas seiscientos noventa y cuatro vuelta número ciento doce del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Copiapó.<br> **/Diecinueve/ Cabellos cuatro del uno al veinte**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas setecientos uno vuelta número ciento trece del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Copiapó.<br> **/Veinte/ Cabellos uno del uno al diez**, cuya sentencia constitutiva y acta de mensura se | &nbsp;&nbsp;Chile S.A., on the back of Page 333, under No. 89, of the Copiapó Mine Registrar's Real-Estate Book for 2000;<br>**/16/ Bolsico 2 III - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 339, under No. 90, of the Copiapó Mine Registrar's Real-Estate Book for 2000;<br> **/17/ Cabellos 6 - 1 to 30**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on Page 716, under No. 115, of the Copiapó Mine Registrar's Real-Estate Book for 1992;<br>**/18/ Cabellos 3 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 694, under No. 112, of the Copiapó Mine Registrar's Real-Estate Book for 1992;<br>**/19/ Cabellos 4 - 1 to 20**, with an award judgement and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 701, under No. 113, of the Copiapó Mine Registrar's Real-Estate Book for 1992;<br>**/20/ Cabellos 1 - 1 to 10**, with an award judgement and surveyor's certificate |

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| &nbsp;&nbsp;encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas seiscientos ochenta vuelta número ciento diez del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Copiapó.<br> **/Veintiuno/ Cabellos dos del uno al diez**, cuya sentencia constitutiva y acta de mensura se encuentran inscritas, a nombre de Sociedad Química y Minera de Chile S.A., a fojas seiscientos ochenta y siete vuelta número ciento once del Registro de Propiedad correspondiente al año mil novecientos noventa y dos del Conservador de Minas de Copiapó.<br> **<u>Dos. Dos</u>**. **Área**. El área efectiva o de extensión territorial que comprenden los Derechos Mineros es de aproximadamente treinta y seis mil cuatrocientos once hectáreas, ubicada en la Región de Atacama, en adelante el "**Área**". Tanto los Derechos Mineros como el Área se grafican ilustrativamente en el plano que se adjunta como <u>Anexo Dos. Dos</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar. Los Derechos Mineros han sido emplazados en el referido plano de acuerdo con las coordenadas planas universales transversales de Mercator, referidas en el Datum Provisional Sudamericano La Canoa de fecha mil novecientos cincuenta y seis, Elipsoide de Referencia Internacional de fecha mil novecientos veinticuatro, en base a los vértices de cada uno de ellos.<br>| &nbsp;&nbsp;registered to Sociedad Química y Minera de Chile S.A., on the back of Page 680, under No. 110, of the Copiapó Mine Registrar's Real-Estate Book for 1992;<br>**/21/ Cabellos dos 1 to 10**, with an award judgment and surveyor's certificate registered to Sociedad Química y Minera de Chile S.A., on the back of Page 687, under No. 111 of the Copiapó Mine Registrar's Real-Estate Book for 1992.<br>**<u>2.2</u>**. **Area:** The actual area or territorial expansion of the Mining Rights is<br> approximately 36,411 hectares in the Atacama Region, hereinafter called the "**Area**". Both the Mining Rights and the Area are shown in the map annexed hereto as <u>Appendix 2.2</u>, which has been entered on this date in the records of these notary offices, and shall be deemed an integral part hereof for all relevant purposes. The Mining Rights have been marked in the forenamed map according to the Mercator universal transverse plane coordinates, stated in the Provisional South-American Datum at La Canoa of 1956, based on their respective vertices in the International Reference Ellipsoid of 1924.<br>|
| &nbsp;&nbsp;**<u>TERCERO</u>: DECLARACIONES Y GARANTÍAS.** | &nbsp;&nbsp;**<u>THIRD</u> – REPRESENTATIONS AND WARRANTIES:** |
| &nbsp;&nbsp;**<u>Tres. Uno</u>**. **Capacidad de las Partes**. Cada una de las Partes declara y garantiza lo | &nbsp;&nbsp;**3.1**. **Capacity of the Parties:** Each of the Parties hereby represents and warrants: |

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| &nbsp;&nbsp;siguiente: **/a/** que es una empresa, agencia o sociedad debidamente constituida y vigente y que está autorizada para hacer negocios y cumplir los objetivos de este Contrato; **/b/** que tiene la capacidad de celebrar y ejecutar este Contrato y ha adoptado todas las acciones que podrían ser necesarias para permitir su suscripción; **/c/** que este Contrato es suscrito por representantes con facultades y atribuciones suficientes y necesarias para ello; **/d/** que cada una suscribe el presente Contrato en mérito de sus propias informaciones y a su entera iniciativa y riesgo, sin responsabilidad alguna para la otra Parte. | &nbsp;&nbsp;**/a/** that it is a duly incorporated partnership, agency or company in good standing, and authorized to do business and meet the purposes of this Agreement; **/b/** that it is legally competent to enter into, and execute, this Agreement, and has taken all actions that may be needed to enable the execution thereof; **/c/** that the signatories hereof have been granted the sufficient and necessary powers and authority to do so, and **/d/** that they have respectively executed this Agreement on the merits of their own information, on their own initiative and at their own risk, without any responsibility whatsoever falling upon the other Party. |
| &nbsp;&nbsp;**<u>Tres. Dos</u>**. **Declaraciones de SQM**. SQM, con respecto a los Derechos Mineros, declara que a su mejor saber y entender:<br> **/a/** son de su exclusivo dominio y se encuentran vigentes;<br> **/b/** se encuentran libres de toda hipoteca, prenda, usufructo, arrendamiento, prohibición, embargo, acciones y/o condiciones resolutorias, promesas, opciones, servidumbres, regalías o royalties contractuales, derechos preferentes de terceros, derechos reales y, en general, toda limitación o restricción que afecte su dominio;<br> **/c/** no tiene conocimiento de ninguna notificación judicial de demanda, citación o requerimiento en relación a los Derechos Mineros, en la que se le impute un eventual incumplimiento o violación de ley o reglamento, falta de permisos adecuados, o infracciones de cualquier clase o naturaleza;<br> **/d/** no tiene conocimiento que existan terceros que tengan concesiones, pedimentos o manifestaciones mineras que tengan o pudieran tener un mejor derecho o preferencia sobre los Derechos Mineros; y<br> **/e/** no existen a esta fecha pagos de patentes mineras pendientes en relación con los | &nbsp;&nbsp;**<u>3.2</u>**. **Representations by SQM:** In respect of the Mining Rights, SQM hereby represents that to the best of its knowledge and belief:<br> **/a/** it is the sole owner thereof, and that they are presently valid;<br> **/b/** that they are free of any mortgages, pledges, usufructs, leases, restrictions, seizures, actions or conditions for cancellation, promises, options, easements, contractual royalties, pre-emptive rights of third parties, rights in rem, and generally, any other limitations or restrictions affecting its ownership thereof;<br> **/c/** that it is not aware of any court notification of any claims, summons or requirements in connection with the Mining Rights, for not complying or breaking any laws or regulations, lacking any proper permits, or any other kind or sort of offenses;<br> **/d/** that it is not aware of any third-parties' claims for exploration or exploitation, or statements of discovery, having or that may have any better rights or preference over the Mining Rights, and<br> **/e/** that, to this date, there are no outstanding payments of mining patents concerning the |

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Derechos Mineros o, que de existir, serán inmediatamente pagados por SQM de su exclusiva cuenta y costo. Mining Rights, and that, should there be any, they shall be immediately paid by SQM, on its own account at its own cost.

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| &nbsp;&nbsp;**<u>Tres. Tres</u>**. **Declaraciones de KM.** KM declara que:<br> **/a/** acepta a su entera y total satisfacción todas y cada una de las declaraciones efectuadas por SQM en la <u>Sección Tres. Dos</u>;<br> **/b/** conoce y ha visitado el Área y los terrenos superficiales que abarca; y que ha recibido a plena satisfacción las fotocopias de los títulos y certificados de pago de patentes mineras de los Derechos Mineros;<br> **/c/** independientemente ha requerido y obtenido los estudios de títulos y estudios técnicos y asesorías que ha estimado pertinente en relación con los Derechos Mineros y con este Contrato, y declara, en virtud de ello, que tales estudios y asesorías le han permitido suscribir este Contrato en los términos de que da cuenta el mismo y de su exclusiva cuenta, costo, riesgo y responsabilidad;<br> **/d/** conoce y ha revisado los derechos de cualquier naturaleza, incluyendo mineros, que terceros tienen o puedan tener en todo o parte del Área y/o de su predio superficial, los cuales ha tenido en cuenta al momento de celebrar este Contrato.<br> **/e/** una vez ejercida la Promesa, realizará o causará que la SCM efectúe todas las acciones necesarias con el objeto que los Derechos Mineros mantengan su vigencia, validez, preferencia, y para la protección y amparo de los mismos;<br> **/f/** Dentro del Área o en una porción de ella, no es dueña, sea directa, indirectamente o a través de terceros, de uno o más estacamentos salitrales, pedimentos mineros, manifestaciones mineras, concesiones mineras de exploración o de explotación que hayan sido solicitados o<br>| &nbsp;&nbsp;**<u>3.3</u>**. **Representations by KM:** KM hereby represents:<br> **/a/** that it fully and satisfactorily accepts each and all of SQM's representations in <u>Section 3.2</u>;<br> **/b/** that it knows and has visited the Area and surface lands therein, and has satisfactorily received photocopies of the title deeds and certificates of payment of the mining patents corresponding to the Mining Rights;<br> **/c/** that, after requesting and obtaining all of the independent title searches, technical studies and counselling deemed pertinent with regard to the Mining Rights and this Agreement, and based on such searches, studies and counselling, it has executed the latter, in the terms hereof, on its own account and responsibility, and at its own cost and risk;<br> **/d/** that it knows of, and has reviewed, the rights of any kind, including mining, held or that may be held by third parties in the Area, or any part thereof, and in the surface lands comprised therein, and has borne them in mind when executing this Agreement;<br> **/e/** that implementing the Promise shall entail that thereafter, the SCM take all necessary actions to ensure the continued effectiveness, validity, preference, protection and shelter of the Mining Rights;<br> **/f/** that, it does not, directly or indirectly through any third parties, own or have any stacked saltpetre claims, petitioned mining claims for exploration, statements of discovery, and mining claims for exploration or exploitation, submitted by, or awarded to, KM or any of the latter's related person, as the |
| &nbsp;&nbsp;constituidos por KM, cualquier persona relacionada a la misma - según el concepto de persona relacionada se define en el artículo cien de la Ley Número dieciocho mil cuarenta y cinco, o por cualquier trabajador o prestador de servicios para KM;<br> **/g/** Financieramente es y será capaz de solventar las obligaciones que emanan de este Contrato, el cumplimiento de las Condiciones, la Exploración, el funcionamiento de la SCM, la preparación del Estudio de Factibilidad y las Operaciones. | &nbsp;&nbsp;term is defined in Article 100 of Law No. 18,045, or by any other worker or service provider on behalf of KM, within the Area or any part thereof, and<br>**/g/** that it is and shall be financially capable of meeting its obligations hereunder and the Conditions, completing the Exploration, keeping the SCM operational, preparing the Feasibility Study and conducting the Operations. |

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| &nbsp;&nbsp;**<u>CUARTO</u>: OBJETO DEL CONTRATO Y VIGENCIA.** | &nbsp;&nbsp;**<u>FOURTH</u> - PURPOSE AND DURATION OF THE AGREEMENT:** |
| &nbsp;&nbsp;**<u>Cuatro. Uno</u>. Objeto**. SQM y KM suscriben este Contrato para los siguientes fines:<br> **/a/ Exploración:** Sujeto a los términos de este Contrato, al cumplimiento de las obligaciones y Condiciones que se establecen él, SQM otorga a KM derecho para que, sin perjuicio de la Reserva, por su cuenta, costo, riesgo, y responsabilidad, directa o indirectamente, desarrolle la Exploración en los Derechos Mineros.<br> **/b/ Promesa Unilateral para la constitución de una Sociedad Contractual Minera.** Sujeto a los términos de este Contrato, al cumplimiento de las obligaciones y Condiciones que se establecen él, SQM promete constituir una SCM con KM, según como se señala en la <u>Cláusula Décima</u>, siendo facultativo para esta última celebrar o no el contrato prometido, en adelante la "**Promesa**". | &nbsp;&nbsp;**<u>4.1</u>. Purpose:** SQM and KM have executed this Agreement for the following purposes:<br> **/a/ Exploration:** Subject to the terms hereof, and to meeting the obligations and Conditions defined herein, SQM hereby gives KM the right to directly or indirectly perform Exploration works in the Mining Rights, on its own account and responsibility, and at its own cost and risk, without limiting the Reserve.<br> **/b/ Unilateral Promise to Incorporate a Contract Mining Company:** Subject to the terms hereof, and to meeting the obligations and Conditions defined herein, SQM hereby promises to incorporate a SCM with KM, as stipulated in <u>Clause 10</u>, and the latter may opt to execute or not the promised agreement, hereinafter called the "**Promise**". |
| &nbsp;&nbsp;**<u>Cuatro. Dos</u>. Aceptación de KM.** Por medio de este acto, KM, debidamente representada, viene en aceptar el derecho de Exploración, la Promesa y los demás derechos y obligaciones que las Partes se otorgan conforme a los términos del presente Contrato. | &nbsp;&nbsp;**<u>4.2</u>. Acceptance by KM:** Duly represented, KM hereby accepts the forenamed right of Exploration, the Promise and the other rights and obligations that the Parties reciprocally give each hereunder. |

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| &nbsp;&nbsp;**<u>Cuatro. Tres</u>. Obligación de KM con respecto a la SCM y promesa de hecho ajeno.**<br> Con motivo de lo anterior, KM se obliga a causar el cumplimiento por parte de la SCM de todas las obligaciones que en este Contrato se establecen para la SCM y a que estas sean cumplidas por la SCM como promesa de hecho ajeno de acuerdo al artículo mi cuatrocientos cincuenta del Código Civil.<br> **<u>Cuatro. Cuatro</u>. Desistimiento total expreso**.<br> **/a/** En cualquier momento durante la vigencia del Contrato, KM podrá decidir no perseverar en el Contrato, desistiéndose de éste, dándose por terminado el Contrato y extinguiéndose por lo tanto todos los derechos que éste le otorga. Dicha voluntad la manifestará en una escritura pública que suscribirá para tal efecto y en la cual además efectuará los alzamientos y cancelaciones que se señalan en la <u>Sección Cuatro. Nueve</u> siguiente. Dentro de los cinco días corridos siguientes a la fecha de tal escritura pública, KM comunicará a SQM dicho desistimiento adjuntando una copia de la escritura pública de desistimiento y dando cuenta de haberla ingresado a los Conservadores de Minas competentes para su debido registro, y anotación de alzamientos y cancelaciones.<br> **/b/** En el evento de desistimiento durante los primeros doce meses de vigencia del Contrato, KM pagará a SQM la cantidad total de Gastos Mínimos de Exploración correspondientes a dicho periodo.<br> **<u>Cuatro. Cinco</u>. Desistimiento parcial expreso y reducción.** En cualquier momento durante la vigencia del Contrato, y por una vez dentro de cada período anual de vigencia del Contrato, KM podrá decidir no perseverar en el Contrato con respecto a ciertos | &nbsp;&nbsp;**<u>4.3</u>. KM's Obligation with the SCM and the Promise of Performance by Others:**<br> In reason of the foregoing, KM hereby commits to have the SCM meet all of its obligations hereunder as a promise of performance by others, per Article 1,450 of the Chilean Civil Code.<br>**<u>4.4</u>. Full Express Withdrawal:**<br> **/a/** At any time while this Agreement is in effect, KM may decide not to persevere and withdraw, which shall terminate the Agreement, and hence, extinguish all of its rights hereunder. To do so, KM shall express its intention in a public deed, including the lifts and cancellations stated in <u>Section 4.9</u>. Within 5 days of having signed the aforesaid document, KM shall advise SQM of its withdrawal, enclosing a copy of the withdrawal public deed, with proof of entry thereof, and annotations of the lifts and cancellations, in the relevant Mine Registrars' books.<br>**/b/** If it withdrew during the first 12 months hereof, KM shall pay SQM the total amount of Minimum Exploration Expenses corresponding to the said period.<br>**<u>4.5</u>. Express Partial Withdrawal and Reduction:** At any time while this Agreement is in effect and once within each annual period hereof, KM may decide not persevere and withdraw with regard to some of the Mining Rights, which shall terminate the Agreement |

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| &nbsp;&nbsp;Derechos Mineros, desistiéndose de éste, dándose por terminado el Contrato y extinguiéndose por lo tanto todos los derechos que éste le otorga únicamente con respecto a los Derechos Mineros a que se refiere el desistimiento. Dicha voluntad la manifestará y comunicará de la misma forma y plazos aplicables para el desistimiento total expreso.<br> **<u>Cuatro. Seis</u>. Desistimiento tácito**. Se entenderá también que KM ha decidido no perseverar en el Contrato, desistiéndose de éste, dándose por terminado el Contrato y extinguiéndose por lo tanto todos los derechos que éste le otorga, aun cuando no hubiera suscrito la escritura pública y la comunicación de desistimiento, si no cumpliere en forma total y oportuna con cada una de las Condiciones o con lo dispuesto en la <u>Sección Diez. Uno</u> sobre "Constitución de la Sociedad Contractual Minera".<br> **<u>Cuatro. Siete</u>. Vigencia del Contrato**. Sin perjuicio de las obligaciones que subsistan más allá del término del Contrato, este Contrato tendrá vigencia desde la fecha de esta escritura pública y hasta: **/a/** que se constituya la SCM; **/b/** que expire el Plazo; o **/c/** la ocurrencia de cualquiera de las siguientes causales de término anticipado: **- i-**que en cualquier momento, sea en forma expresa o tácita, KM se desista del Contrato; **- ii-** la quiebra o insolvencia de KM; **- iii-** el incumplimiento grave por KM de alguna de las declaraciones y obligaciones de este Contrato; y **- iv-** expropiación de alguno de los Derechos Mineros.<br> **<u>Cuatro. Ocho</u>. Efectos del término del Contrato**. El término del Contrato, sea con respecto a todos o a ciertos Derechos Mineros, tendrá los siguientes efectos:<br> **/a/** La Promesa y la Prohibición SQM quedarán sin efecto con respecto a los | &nbsp;&nbsp;and hence, extinguish all of its rights hereunder, only with regard to the Mining Rights stated in the withdrawal. To do so, KM shall express its intention and advise SQM in the same manner and with the same terms applying to the full express withdrawal.<br>**<u>4.6</u>. Tacit Withdrawal:** It shall also be deemed that KM has decided not to persevere in the Agreement and withdraw from it, which shall terminate the Agreement and hence, extinguish all of its rights hereunder, even without having executed the withdrawal public deed and notification document, if KM failed to fully and timely meet each of the Conditions or the provisions of <u>Section 10.1</u> of "Incorporation of a Contract Mining Company".<br>**<u>4.7</u>. Duration of the Agreement:** Without limiting any surviving obligations, this Agreement shall be effective as of the date hereof until: **/a/** the SCM's incorporation; **/b/** the Term expiry, or<br> **/c/** the occurrence of any of the following causes of early termination: **- i-** KM's express or tacit withdrawal from the Agreement at any time; **- ii-** KM going into bankruptcy or becoming insolvent; **- iii-** KM's serious breach of any of its representations or obligations hereunder, or **- iv-** the expropriation of any of the Mining Rights.<br> **<u>4.8</u>. Effects of the Agreement Termination:** Terminating the Agreement, whether with regard to all or only some of the Mining Rights shall entail the following effects:<br> **/a/** The Promise and SQM's Restriction shall become ineffective with regard to the Mining |

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| &nbsp;&nbsp;Derechos Mineros a los que se refiere el término del Contrato.<br> **/b/** KM se obliga a restituir a SQM la tenencia de los Derechos Mineros de SQM, con el Área libre de ocupantes, maquinarias, equipos, tendidos, materiales, escombros y residuos de cualquier clase generados con ocasión de la Exploración, y en general cumpliendo con todas las leyes aplicables, en especial la Ley Número veinte mil quinientos cincuenta y uno que regula el Cierre de Faenas e Instalaciones Mineras, regulación aplicable, y medidas de reparación y/o restauración que sean exigibles de acuerdo a la normativa vigente en Chile. Previa comunicación a KM, SQM podrá libremente disponer el retiro y almacenamiento o venta de tales bienes, entendiéndose estos abandonados por KM, todo lo anterior sin perjuicio del derecho de SQM a que KM le indemnice los perjuicios que ello le provoque.<br> **/c/** KM se obliga a entregar a SQM, dentro de los treinta días corridos siguientes al término y en un solo acto, todos y cada uno de los Resultados de Exploración, todo lo cual junto con los Informes de Exploración, al término del Contrato, pasará a ser de dominio de SQM. KM entregará esta información sin garantía o declaración de ningún tipo salvo por aquella que se trata de toda la información que está obligada a entregar a SQM. Esta información la entregará a solo riesgo de SQM, quien que podrá libremente usar y ocupar la misma.<br> **/d/** El término del presente Contrato no libera a KM respecto de sus obligaciones vigentes y de cualquiera otra obligación devengada antes o después del término, siempre que se originen con motivo de lo pactado en el Contrato, ni de las responsabilidades imputables a sus trabajos y Exploración | &nbsp;&nbsp;Rights to which the Agreement termination applied;<br> **/b/** KM hereby commits to return possession of SQM's Mining Rights to the latter, with the Area free of any occupants, machinery, equipment, cables, materials, any kind of debris or residues produced during the Exploration works, and generally, abiding by all applicable laws, particularly Law No. 20,551 on Closing Mining Sites and Facilities, and other applicable regulations, fully repaired and restored per current Chilean standards, and after advising KM, SQM may freely order the removal, storage or sale of such assets, which shall be deemed abandoned by KM, all of the foregoing without limiting SQM's right of compensation by KM for any resulting losses;<br>**/c/** KM hereby commits to deliver each and all of the Exploration Results to SQM, all at once and within 30 calendar days of the date of the Agreement termination, and these Results, together with the Exploration Reports, shall become the property of SQM upon termination of the Agreement, with KM providing this information without any guarantees or representations whatsoever other than it being all of the information that KM is bound to provide to SQM, and delivering this information at SQM's sole risk, with the latter entitled to make free use and employment thereof;<br> **/d/** Terminating this Agreement shall neither release KM from its current obligations, or any others accrued before or after the date of termination, provided that they derive from the provisions hereof, nor from any liabilities attributable to its works and Exploration in the Area, and particularly those concerning |

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| &nbsp;&nbsp;efectuada en el Área, en especial las relacionadas al cumplimiento de las normativas ambientales.<br> **/e/** El término de este Contrato no afectará jamás la plena y total vigencia y subsistencia de las disposiciones específicas del mismo que permitan posteriormente requerir u obtener el pronunciamiento de las resoluciones que procedan y el consiguiente cumplimiento y exigibilidad de éstas. En caso de término de este Contrato subsistirán los efectos, obligaciones y cargas de aquellas disposiciones destinadas a perdurar en el tiempo más allá de la duración de éste, según se desprenda de su tenor y/o alcance, especialmente medio ambientales, de pago, y aquellas otras relacionadas con los domicilios, notificaciones, indemnizaciones, multas y arbitraje a que se hace referencia en este Contrato.<br> **<u>Cuatro. Nueve</u>. Alzamiento y cancelación. /a/** En el evento de que el Contrato termine por desistimiento expreso o tácito de KM, o por cualquier otra causa, sea con respecto a todos o a ciertos Derechos Mineros, KM estará obligada a suscribir una escritura pública en la cual manifieste dicho desistimiento o término, y alce y cancele todas las inscripciones, subinscripciones y anotaciones que se hayan practicado en los Registros del Conservador de Minas correspondientes, como consecuencia del Contrato o en relación con él.<br> **/b/** Si KM no otorgare dicha escritura pública dentro de los diez Días Hábiles a contar de la solicitud de SQM para estos efectos, SQM quedará facultado para suscribir dicha escritura pública en nombre y representación de KM. Para dichos fines, por este acto KM, debidamente representada, otorga mandato especial, irrevocable y sin obligación de rendir cuenta a SQM para que, esta última, | &nbsp;&nbsp;abidance by environmental laws and regulations, and<br>**/e/** Terminating this Agreement shall never affect the full effectiveness and survival of any and all specific provisions hereof enabling that any pertaining decisions be requested or issued in the future, or the subsequent abidance by, or enforceability of, the latter, with all effects, obligations and burdens of provisions intended to survive the duration hereof, as deduced from the text or scope hereof, especially environmental and payment specifications, and other stipulations hereunder on legal addresses, notices, indemnities, fines and arbitration.<br>**<u>4.9</u>. Lifting and Cancelation: /a/** In the event of termination hereof in reason of KM's express or tacit withdrawal, or for any other causes, whether with regard to all or some of the Mining Rights, KM shall be bound to execute a public deed, stating its withdrawal or termination decision, and lifting and cancelling all entries, subentries and annotations made in the relevant Mine Registrars' books by virtue of, or in connection, with this Agreement.<br>**/b/** If KM failed to execute the forenamed document within 10 Business Days of SQM having requested so, SQM shall be entitled to execute the public deed on behalf of KM, and to this end and duly represented, KM hereby grants a special and irrevocable power of attorney, without any accountability obligations, to SQM, so that, acting through its legal representatives, the latter may sign |

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| &nbsp;&nbsp;actuando por intermedio de sus apoderados, suscriba el respectivo instrumento en su nombre y representación. El mandato antes indicado se confiere en carácter de irrevocable por estar establecido en favor del acreedor de la obligación de otorgarse el alzamiento y cancelación.<br> **/c/** KM será responsable por todos los gastos y todos los daños y perjuicios directos que se causen a SQM, o que ésta incurra con ocasión o motivo u originados en el incumplimiento de su obligación de alzar y cancelar a que se refieren los literales precedentes.<br> **<u>QUINTO</u>: RELACIÓN ENTRE LAS**<br> **PARTES.**<br> **/a/** Nada de lo que se exprese en este Contrato se considerará que constituye a una Parte en socia de la otra, salvo en las relaciones de socios en la SCM; o a una Parte en agente o representante legal de la otra. No es la intención de las Partes crear, ni podrá este Contrato interpretarse como que crea una sociedad minera, comercial u otra, salvo la sociedad que se promete formar en la <u>Cláusula Décima</u>. Ninguna de las Partes tendrá facultad para actuar en representación o asumir cualquier obligación o responsabilidad por cuenta de la otra Parte, salvo lo que expresamente se faculta en este instrumento.<br> **/b/** Los derechos, deberes, obligaciones y responsabilidades de las Partes serán individuales y no conjuntas o solidarias. Cada Parte será responsable sólo por sus obligaciones y por su participación en los costos y gastos, según se estipula en este instrumento.<br> **<u>SEXTO</u>: PRIMAS Y SU DETERMINACIÓN.** Para mantener la vigencia de este Contrato, KM efectuará a SQM los pagos que se señalan a continuación, los que se | &nbsp;&nbsp;the corresponding instrument on its behalf, with the forenamed power of attorney granted irrevocably, because it is defined in favour of the creditor of the obligation involved in the lifting and cancelation.<br> **/c/** KM shall be responsible for all expenses, as well as all direct damages and losses caused to SQM, or incurred by the latter, as a consequence or result of KM's failure to meet its lift and cancelation obligation, as stated in the previous items.<br>**<u>FIFTH</u> – RELATIONSHIP BETWEEN THE PARTIES:**<br> **/a/** Nothing contained herein may be deemed as either Party becoming a partner of the other, except for their partnership relation in the future SCM, or as either thereof becoming an agent or legal representative of the other; neither the Parties intend to create hereby, nor may this Agreement be interpreted as creating, any mining, commercial or any other kind of company, except for that promised to be incorporated in <u>Clause 10</u>, and unless as expressly authorized herein, neither Party shall be authorized to act for the other, or to undertake any obligations or responsibilities on behalf of the other Party, and<br> **/b/** The Parties' rights, duties, obligations and responsibilities shall be individual, not joint or several, with each thereof only being responsible for its respective obligations and participation in costs and expenses hereunder.<br>**<u>SIXTH</u> – INSTALMENTS:**<br> In order to keep this Agreement in force, KM shall pay the following instalments to SQM, accrued and payable as specified for each |

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| &nbsp;&nbsp;devengarán y pagarán de la siguiente forma, **en adelante las "Primas":**<br> **/a/** la cantidad de <u>setenta y cinco mil Dólares</u> en su equivalente a pesos, moneda nacional, cantidad que asciende a **cincuenta y ocho millones ochocientos setenta y nueve mil quinientos pesos**, que se pagan en este acto, al contado y en dinero efectivo, declarando SQM recibirlo a su entera satisfacción;<br> **/b/** la cantidad de <u>ciento veinticinco mil Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del primer aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintidós;<br> **/c/** la cantidad de <u>ciento setenta y cinco mil Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del segundo aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintitrés;<br> **/d/** la cantidad de <u>quinientos mil Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del tercer aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veinticuatro;<br> **/e/** la cantidad de <u>un millón de Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del cuarto aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veinticinco;<br> **/f/** la cantidad de <u>dos millones de Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del quinto aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintiséis; y<br> **/g/** la cantidad de <u>seis millones ciento veinticinco mil Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del sexto aniversario de este Contrato, esto es, en o antes del día treinta de agosto | &nbsp;&nbsp;thereof, and hereinafter called the **"Instalments":**<br> **/a/** an amount in Chilean pesos [CLP]<br> equivalent to <u>USD 75,000</u>, totalling **CLP 58,879,500**, hereby fully paid in cash, which SQM states to have satisfactorily received;<br>**/b/** an amount in CLP equivalent to <u>USD 125,000</u>, payable on or before the first anniversary hereof, i.e., on or before August 30, 2022;<br>**/c/** an amount in CLP equivalent to <u>USD 175,000</u>, payable on or before the second anniversary hereof, i.e., on or before August 30, 2023;<br>**/d/** an amount in CLP equivalent to <u>USD 500,000</u>, payable on or before the third anniversary hereof, i.e., on or before August 30, 2024;<br>**/e/** an amount in CLP equivalent to <u>USD 1,000,000</u>, payable on or before the fourth anniversary hereof, i.e., on or before August 30, 2025;<br>**/f/** an amount in CLP equivalent to <u>USD 2,000,000</u>, on or before the fifth anniversary hereof, i.e., on or before August 30, 2026, and<br>**/g/** an amount in CLP equivalent to <u>USD 6,125,000</u>, on or before the sixth anniversary hereof, i.e., on or before August 30, 2027. |

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| &nbsp;&nbsp;de dos mil veintisiete.<br> Las Primas no serán reembolsables ni devueltas a KM en el evento de término del Contrato. Cada uno de los pagos anteriores se efectuará mediante vale o vales vistas nominativos en favor de SQM que KM entregará, en o antes de las fechas indicadas, al Notario con la instrucción de ser entregados a SQM. Cada uno de estos vales vistas será tomado por KM y con fondos proporcionados por ésta. Asimismo, serán extendidos en forma irrevocable, al día y sin limitaciones de ninguna especie.<br> **<u>SÉPTIMO</u>: EXPLORACIÓN POR KM.**<br> **<u>Siete. Uno</u>**. **Entrega de los Derechos Mineros**. Con esta misma fecha, SQM entrega a KM los Derechos Mineros para que, durante la vigencia del Contrato, directamente o por medio de contratistas, realice labores de Exploración en ellos –sin perjuicio del derecho de SQM en razón de su Reserva de Sustancias No Metálicas establecida en la <u>Cláusula Décimo Sexta</u>, y de los derechos que le correspondan como dueño de ellos.<br> Con motivo de lo anterior, durante la vigencia del Contrato, y sujeto a la obtención y cumplimiento de todos los permisos, autorizaciones, leyes y reglamentos aplicables, y muy especialmente la obtención de la autorización del dueño del predio superficial para ocupar el suelo del Área, KM podrá:<br> **/a/** explorar en búsqueda de sustancias metálicas concesibles en los Derechos Mineros, incluyendo, sin limitación, la realización de las investigaciones geológicas y geofísicas, mapeos y sondajes que considere conveniente;<br> **/b/** excavar y en general ejecutar, en los terrenos cubiertos por los Derechos Mineros, zanjas, aberturas, piques, fosos, drenajes y | &nbsp;&nbsp;The Instalments shall not be reimbursable or returnable to KM in the event of the Agreement being terminated. Each of the foregoing payments shall be made by a bank or sight draft payable to SQM that KM shall deliver to the Notary, on or before the specified dates, with instructions for delivery to SQM. KM shall purchase each of these drafts with its own funds, and shall have them issued irrevocably, payable on the same date and without any limitations whatsoever.<br> **<u>SEVENTH</u> - EXPLORATION BY KM:**<br> **<u>7.1</u>**. **Delivery of the Mining Rights:** On this date, SQM has delivered the Mining Rights to KM, so that it may, directly or through contractors, perform Exploration works in them while this Agreement is in effect, without limiting SQM's right given by its Reserve of Non-Metallic Substances provided in <u>Clause 16</u>, or its rights as owner thereof.<br>Consequently, while this Agreement is effective, and conditioned to obtaining, and abiding by, all permits and authorizations, applicable laws and regulations, particularly the surface land owner's authorization to occupy the lands within the Area, KM may:<br>**/a/** explore the Mining Rights for licensable metallic substances, including, without limitation, performing geological and geophysical surveys, mapping and drilling, as KM may deem convenient;<br>**/b/** excavate, bore, dig, and generally, make any trenches, openings, boreholes, pits, drains, and generally, do any earthworks, |

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| &nbsp;&nbsp;en general, realizar excavaciones, remoción y traslado de materiales extraídos del terreno natural;<br> **/c/** construir, erigir, operar, mantener, usar, incorporar o retirar cualquiera y toda clase de instalaciones, estructuras, plantas, líneas eléctricas, acopios, pilas de desechos y la correspondiente maquinaria, vehículos, equipos de perforación y otros equipos y toda otra mejora, bienes y dispositivos, según sea necesario, conveniente o adecuado para explorar depósitos minerales o para cualquiera actividad incidental o para cualesquiera de los derechos que se le otorgan mediante este Contrato; y<br> **/d/** extraer y remover muestras de minerales y metales del Área, en cantidades razonables para realizar pruebas y ensayos. | &nbsp;&nbsp;removal or transfer of materials from the natural soil of the lands comprised in the Mining Rights;<br> **/c/** build, erect, operate, maintain, use, add or remove any and all kinds of facilities, structures, plants, power lines, stockpiles, waste piles, the corresponding machinery, vehicles, drill rigs and other equipment, and any other improvements, assets and devices necessary, convenient or suitable for exploring ore deposits, or any incidental activities or any of the rights granted thereto herein, and<br>**/d/** take mineral and metal samples in, and remove from, the Area, in sufficient amounts to conduct tests and trials. |
| &nbsp;&nbsp;**<u>Siete. Dos</u>. Ejecución de los trabajos de Exploración, permisos y responsabilidad.** A cuenta, costo, riesgo y responsabilidad de KM:<br> **/a/** Mientras se encuentre vigente el presente Contrato, KM estará obligado a cuidar que los Derechos Mineros se mantengan libres de todo gravamen que resulte de sus actividades.<br> **/b/** Todos los trabajos que ejecute KM en los Derechos Mineros serán realizado de acuerdo a las mejores prácticas de exploración y minería utilizadas por la industria minera en Chile. Además, será obligación de KM obtener y cumplir todos los permisos y las autorizaciones que sean necesarios desarrollar tales trabajos y cumplir con todas y cada una de las disposiciones legales y reglamentarias vigentes que procedan, en especial con la Ley de Bases del Medio Ambiente y sus reglamentos, con la Ley sobre Cierre de Faenas e Instalaciones Mineras y su reglamento, con el Código de Minería y el | &nbsp;&nbsp;**<u>7.2</u>. Exploration Work Implementation, Permits and Responsibilities:** On **KM's** own account and responsibility, and at its own cost and risk:<br> **/a/** while this Agreement is in force, KM shall be bound to ensure that the Mining Rights are kept free of any burdens that may result from its activities;<br> **/b/** all of **KM's** works in the Mining Rights shall be done following the best exploration and mining practices used by the Chilean mining industry, and likewise, it shall fall upon KM to obtain, and meet the requirements of, all permits and authorizations needed for such works, abiding by all current and relevant legal and regulatory provisions, particularly the Law on Environmental Bases and its regulations, the Law on Closing Mining Sites and Facilities and its regulation, the Chilean Mining Code and the regulation on Mining Safety, the Chilean Labour Code, the Law on Work Accidents and Professional Diseases, and all provisions on workplace safety and |

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| &nbsp;&nbsp;reglamento de Seguridad Minera, con el Código del Trabajo, la Ley de Accidentes del Trabajo y Enfermedades Profesionales y con las disposiciones sobre seguridad e higiene en los lugares de trabajo.<br> **/c/** KM será exclusivamente responsable de las faenas mineras de prospección y Exploración que hará en los Derechos Mineros, así como de los efectos que de tales faenas provinieren, estando obligada a dar cumplimiento a todas las disposiciones jurídicas aplicables en la especie.<br> **/d/** KM entregará copia a SQM del aviso de inicio de actividades de exploración y/o prospección que se presente en conformidad al artículo veintiuno del reglamento de Seguridad Minera, dentro de los cinco Días Hábiles siguientes a su ingreso al SERNAGEOMIN.<br> **/e/** KM se obliga a dar cumplimiento a las exigencias que se deriven de la Ley Número veinte mil quinientos cincuenta y uno que regula el Cierre de Faenas e Instalaciones Mineras, asumiendo por su cuenta, costo, riesgo y responsabilidad la ejecución de las obligaciones de cierre, garantía, medidas y actividades contempladas en el plan de cierre que deberá ser aprobado previo al inicio de la exploración.<br> **/f/** KM se obliga a respetar íntegramente las normas sobre seguridad industrial y prevención de riesgos de SQM, cuando con ocasión de la ejecución de las labores de exploración deba ingresar y/o circular por zonas industriales de ésta, asumiendo la responsabilidad civil, administrativa y penal que su infracción pudiere conllevar.<br> **/g/** Antes de iniciar las labores de Exploración, y al restituir los Derechos Mineros, KM realizará un levantamiento del Área, a fin de establecer el estado en que ésta se encuentra. KM informará a SQM | &nbsp;&nbsp;hygiene;<br>**/c/** KM shall be solely responsible for all the prospecting and Exploration works that it performs in the Mining Rights, as well as any effects thereof, and shall be bound to abide by all legal provisions applicable to this kind of works;<br> **/d/** KM shall furnish SQM with a copy of the notice of commencement of exploration or prospecting activities filed pursuant to Article 21 of the regulation on Mining Safety, within 5 Business Days of having entered it in the system of SERNAGEOMIN;<br> **/e/** KM hereby commits to meet the requirements of Law No. 21,551 on Closing Mining Sites and Facilities, undertaking on its own account and responsibility, and at its own cost and risk, to meet the closure and guarantee obligations, and take the measures and do the activities included in the closure plan, which must be approved before beginning any exploration works;<br> **/f/** KM hereby commits to follow all of SQM's industrial-safety and risk-prevention rules when entering, or moving through, the latter's industrial areas in the performance of its explorations works, and undertakes any civil, administrative or criminal liabilities that may result from braking any thereof, and<br> **/g/** before beginning any Exploration works and when returning the Mining Rights, KM shall survey the Area to determine the conditions thereof, and shall report the results of such surveys to SQM, within 10 calendar |

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| &nbsp;&nbsp;sobre los resultados del levantamiento, dentro de los diez días corridos siguientes a su ejecución | &nbsp;&nbsp;days of completion.<br>|
| &nbsp;&nbsp;**<u>Siete. Tres</u>. Obligaciones laborales. /a/** KM será total y exclusivamente responsable de la contratación, despido y pago, de su exclusiva cuenta, costo y riesgo, de cualquier gasto relacionado con el personal necesario, directo e indirecto, que requiera la ejecución de los trabajos y por la contratación, ejecución y cumplimiento de todos aquellos subcontratos que puedan también proceder. En ese sentido, se entiende que SQM, con motivo de la suscripción y ejecución de este Contrato, no tendrá jamás responsabilidad o vínculo jurídico o laboral de tipo o clase alguna, y en ningún caso de subordinación y dependencia, con los empleados de KM o subcontratistas, proveedores o terceros contratados por KM y con los empleados de éstos.<br> **/b/** SQM no tendrá y no asumirá de manera alguna la responsabilidad por los daños, perjuicios, accidentes, delitos o cuasidelitos civiles o penales que se causen o afecten a los trabajadores de KM o a los contratistas, subcontratistas, proveedores o terceros contratados por KM o a los trabajadores de éstos o a los trabajos, información, propiedad<br> o personas ajenas a tales trabajos, dejando KM totalmente indemne y libre de todo daño a SQM por estos conceptos.<br> **/c/** SQM no tendrá y no asumirá de manera alguna la responsabilidad por demandas laborales y de seguridad social, daños, perjuicios, accidentes, delitos o cuasidelitos civiles o penales que se causen o afecten a los trabajadores de KM o a los contratistas, subcontratistas, proveedores o terceros contratados por KM o a los trabajadores de éstos o a los trabajos, información, propiedad o personas ajenas a tales trabajos, dejando | &nbsp;&nbsp;**<u>7.3</u>. Labour Obligations: /a/** On its own account and its own cost and risk, KM shall be fully and solely responsible for hiring and dismissing the personnel needed for doing the works, and paying any and all direct or indirect expenses relating thereto, and for the execution, implementation and fulfilment of any relevant subcontracts, and in this sense, it shall be deemed that, by virtue of executing and implementing this Agreement, SQM shall never have any responsibility, or any legal or labour relationships whatsoever, and under no circumstances, any subordination or dependency relationships, with **KM's** employees or subcontractors, suppliers or any third parties hired by KM, or their employees;<br> **/b/** SQM shall not have, or in any way undertake, any liabilities for damages, losses, accidents, torts, negligence or any civil or criminal offenses caused by, or affecting, KM workers, or its contractors, subcontractors, suppliers or any third parties hired by KM, or their workers, or any works, information, property, or any other persons external to such works, and KM shall hold SQM harmless and free from any liabilities for such any damages, and<br> **/c/** SQM shall not have, or in any way undertake, any liabilities for claims, be they labour or social security, for damages, losses, accidents, torts, negligence or any civil or criminal offenses caused by, or affecting, KM workers, or its contractors, subcontractors, suppliers or any third parties hired by KM, or their workers, or any works, information, property, or any other persons external to such works, and KM shall hold SQM harmless |

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| &nbsp;&nbsp;KM totalmente indemne y libre de todo daño a SQM por estos conceptos. | &nbsp;&nbsp;and free from any liabilities for any such damages. |
| &nbsp;&nbsp;**<u>Siete. Cuatro</u>. Inspección por SQM.** Durante el período en que KM esté desarrollando la Exploración, SQM tendrá acceso a toda el Área por su propia cuenta y riesgo, para revisar el trabajo que se esté realizando allí, sin perjudicar ni afectar tales labores. En las inspecciones que lleve a cabo, SQM coordinará siempre sus visitas con personal en terreno de KM, para lo cual requerirá dar aviso con a lo menos veinticuatro horas de anticipación.<br>| &nbsp;&nbsp;**<u>7.4</u>. Inspection by SQM:** While KM is doing the Exploration works, on **SQM's** own account and its own risk, the latter shall have access to the entire Area to check on the work underway, without affecting it in any way. SQM shall coordinate its inspection visits with **KM's** field personnel, hence needing to advice of its visits at least 24 hours in advance.<br>|
| &nbsp;&nbsp;**<u>Siete. Cinco</u>. Indemnidad. /a/** SQM tendrá derecho a cobrar a KM, la cual estará obligada a reembolsar, todas las cantidades, incluidos los gastos razonables que genere su eventual defensa legal, y que pueda verse obligada a pagar por los conceptos que se señalan en esta Cláusula y/o que digan relación con el incumplimiento a las obligaciones de KM previstas en esta misma Cláusula. KM en tal sentido, estará siempre obligado a pagar o asegurar el pago, de forma íntegra y oportuna y de su exclusiva cuenta, costo, riesgo y responsabilidad, de toda cantidad que se demande pagar a SQM, como resultado de reclamos, daños, perjuicios, indemnizaciones, acciones o derechos, entre otros, que tengan su origen en la ejecución de los trabajos por parte de KM. Los gastos razonables de una eventual defensa legal de SQM serán reembolsados por KM en la medida que su presupuesto haya sido aprobado previamente por KM, el cual no podrá ser rechazado arbitrariamente.<br> /**b/** KM indemnizará, defenderá y liberará a SQM, sus directores, trabajadores, agentes y apoderados, de cualesquiera y toda pérdida, reclamo, daños, indemnizaciones y responsabilidades que se originen en cualquier acto imputable a KM; o de | &nbsp;&nbsp;**<u>7.5</u>. Indemnity: /a/** SQM shall be entitled to charge KM any and all amounts, including reasonable expenses for any potential legal defense, that it may have had to pay for any of the reasons provided in this Clause, or relating to any breach by KM of its obligations in this Clause, which KM must reimburse, and in this sense, on its own account and responsibility and at its own cost and risk, KM shall be always bound to fully and timely pay, or ensure the full and timely payment of, any and all amounts that SQM were required to pay, as a result of any claims, damages, losses, indemnities, actions or rights, among others, originating from **KM's** performance of the works, and KM shall also reimburse reasonable expenses of any potential legal defence of SQM, to the extent provided by a budget previously approved by KM, which the latter may not arbitrarily reject, and<br>**/b/** KM shall indemnify, defend and release SQM, its directors, workers, agents, legal representatives and attorneys, for, against and from, any and all losses, claims, damages, indemnities and liabilities derived from any acts attributable to KM, or done on |
| &nbsp;&nbsp;cualquiera de sus directores, trabajadores, agentes y apoderados, realizados o cometidos en representación de KM con motivo de la Exploración, salvo autorización expresamente otorgada en este instrumento o salvo lo acordado en otra forma por escrito entre las Partes. | &nbsp;&nbsp;behalf of KM by any of its directors, workers, agents, legal representatives or attorneys, in the context of the Exploration works, unless expressly authorized herein or otherwise agreed in writing by the Parties. |

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| &nbsp;&nbsp;**<u>Siete. Seis</u>. Seguro.** KM mantendrá una suficiente cobertura de seguros para proteger a SQM de reclamos de terceros por las actividades que desarrolle en los Derechos Mineros. | &nbsp;&nbsp;**<u>7.6</u>. Insurance:** KM shall keep a sufficient insurance coverage to shelter SQM from any third-party claims for the activities performed by the former in the Mining Rights. |
| &nbsp;&nbsp;**<u>OCTAVO</u>: GASTOS DE EXPLORACIÓN E INFORMES DE EXPLORACIÓN.** | &nbsp;&nbsp;**<u>EIGHTH</u> - EXPLORATION EXPENSES AND REPORTS:** |
| &nbsp;&nbsp;**<u>Ocho. Uno.</u> Condición**. Para mantener la vigencia de este Contrato, y asimismo como una de las Condiciones, KM: **/a/** incurrirá en los Gastos Mínimos de Exploración; y **/b/** entregará a SQM los Informes de Exploración.<br> **<u>Ocho. Dos</u>. Gastos de Exploración**. KM incurrirá en gastos de exploración no reembolsables en los Derechos Mineros por al menos las cantidades mínimas que se señalan en este Contrato, en adelante los "Gastos Mínimos de Exploración". Para efectos de este Contrato, se entenderá por "Gastos de Exploración" los gastos y costos efectivos incurridos por KM en la Exploración en los Derechos Mineros, incluido su Impuesto al Valor Agregado. Las Partes acuerdan que constituirán Gastos de Exploración, los siguientes gastos incurridos con motivo exclusivo y directo de la Exploración:<br> **/a/** trabajos de mapeo, muestreo, análisis, sondajes, pruebas metalúrgicas, estudios de ingeniería u otros estudios similares, tales como, estudios de estimación de recursos, estudios geológicos, estudios de geofísica, estudios topográficos, etc.;<br> **/b/** materiales, arriendo de equipos, sueldos y | &nbsp;&nbsp;**<u>8.1</u>. Condition:** In other to keep this Agreement in effect and as one the Conditions, KM shall: **/a/** incur the defined Minimum Exploration Expenses, and **/b/** deliver Exploration Reports to SQM.<br> **<u>8.2</u>. Exploration Expenses:** KM shall incur non-reimbursable exploration expenses in the Mining Rights for at least the minimum amounts specified herein, hereinafter called the "**Minimum Exploration Expenses**". For the purposes hereof, "**Exploration Expenses**" shall be understood as the expenses and costs actually incurred by KM for Exploration works in the Mining Rights, including Value Added Taxes. The Parties hereby agree that the following expenses incurred only directly for Exploration works shall be deemed Exploration Expenses:<br> **/a/** mapping, sampling, analyses, drilling, metallurgical tests, engineering and other similar studies, such as resource estimations, geological, geophysical and topographic surveys, etc.;<br>**/b/** materials, equipment rentals, salaries and |

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| &nbsp;&nbsp;honorarios del personal, propio o de contratistas, que ejecuten trabajos de Exploración en el Área;<br> **/c/** exploración, constitución, o adquisición de derechos de aprovechamiento de aguas;<br> **/d/** constitución o adquisición de servidumbres, o de autorización para el uso de predios superficiales;<br> **/e/** obtención de permisos requeridos para la Exploración, trabajos geológicos, geofísicos, geoquímicos, metalúrgicos y de ingeniería;<br> **/f/** construcción, operación y mantención de campamentos;<br> **/g/** construcción y mantención de caminos en el Área; y<br> **/h/** los gastos judiciales en que incurra KM en la protección y amparo de los Derechos Mineros, de acuerdo a lo establecido en la <u>Sección Quince. Dos</u>.<br> **<u>Ocho. Tres</u>. Montos y calendario**. KM incurrirá por concepto de Gastos Mínimos de Exploración en las cantidades que a continuación se señalan:<br> **/a/** la cantidad de <u>quinientos mil Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra entre la firma de este Contrato y su primer aniversario, esto es, en o antes del día treinta de agosto de dos mil veintidós;<br> **/b/** la cantidad de <u>dos millones Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra con posterioridad al primer aniversario y hasta el segundo aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintitrés;<br> **/c/** la cantidad de <u>tres millones de Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra con posterioridad al segundo aniversario y hasta el tercer aniversario de este Contrato, esto es, en o  | &nbsp;&nbsp;fees of own or contractors' personnel doing Exploration works in the Area;<br> **/c/** exploring for, requesting the award of, or purchasing any water-use rights;<br> **/d/** establishing or purchasing any easements, or obtaining authorizations for the use of surface lands;<br> **/e/** obtaining the required permits for Exploration, or geological, geophysical, geochemical, metallurgical or engineering works;<br> **/f/** building, operating and maintaining camps;<br> **/g/** road construction and maintenance in the Area, and<br> **/h/** any legal expenses incurred by KM for protecting and sheltering the Mining Rights, as provided in <u>Section 15.2</u>.<br> **<u>8.3</u>. Amounts and Dates:** KM shall incur Minimum Exploration Expenses in the following amounts:<br> **/a/** an amount in Chilean pesos [CLP] equivalent to <u>USD 500,000</u>, during the period from the execution to the first anniversary hereof, i.e., on or before August 30, 2022;<br>**/b/** an amount in CLP equivalent to <u>USD 2,000,000</u>, during the period from the first to the second anniversary hereof, i.e., on or before August 30, 2023;<br>**/c/** an amount in CLP equivalent to <u>USD 3,000,000</u>, during the period from the second to the third anniversary hereof, i.e., on or before August 30, 2024;<br>|

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| &nbsp;&nbsp;antes del día treinta de agosto de dos mil veinticuatro;<br> **/d/** la cantidad de <u>cuatro millones de Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra con posterioridad al tercer aniversario y hasta el cuarto aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veinticinco;<br> **/e/** la cantidad de <u>cinco millones de Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra con posterioridad al cuarto aniversario y hasta el quinto aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintiséis; y<br> **/f/** la cantidad de <u>cinco millones quinientos mil Dólares</u> en su equivalente a pesos, moneda nacional, en el periodo que transcurra con posterioridad al quinto aniversario y hasta el sexto aniversario de este Contrato, esto es, en o antes del día treinta de agosto de dos mil veintisiete.<br> **<u>Ocho. Cuatro</u>. Determinación del valor, gastos en exceso o menores.**<br> **/a/** Para efectos de determinar el cumplimiento de los Gastos Mínimos de Exploración, se estará al valor del Dólar al día de la facturación del Gasto de Exploración correspondiente.<br> **/b/** Las Partes acuerdan que cualquier exceso de Gastos de Exploración que realice KM por sobre los Gastos Mínimos de Exploración para un período determinado, será contabilizado e imputado como Gastos de Exploración para el o los períodos siguientes. Con todo, y para el caso que se excedan los Gastos Mínimos de Exploración en su totalidad, KM no tendrá derecho a reembolso alguno sobre dicho exceso.<br> **/c/** Las Partes acuerdan que en caso que KM realice Gastos de Exploración por montos | &nbsp;&nbsp;<br> **/d/** an amount in CLP equivalent to <u>USD 4,000,000</u>, during the period from the third to the fourth anniversary hereof, i.e., on or before August 30, 2025;<br>**/e/** an amount in CLP equivalent to <u>USD 5,000,000</u>, during the period from the fourth to the fifth anniversary hereof, i.e., on or before August 30, 2026, and<br>**/f/** an amount in CLP equivalent to <u>USD 5,000,000</u> during the period from the fifth to the sixth anniversary hereof, i.e., on or before August 30, 2027.<br>**<u>8.4</u>. Value Determination, Excess or Lower Expenses:**<br> **/a/** The Dollar equivalent for determining that the Minimum Exploration Expenses are incurred shall correspond to that of the invoice date of the corresponding Exploration Expenses.<br> **/b/** The Parties hereby agree that any Exploration Expenses incurred by KM in excess of the Minimum Exploration Expenses during a given period shall be entered in the accounts and charged as Exploration Expenses of the following periods. Even so, if there were an excess in the overall amount of Minimum Exploration Expenses, KM shall not be entitled to any reimbursements thereof whatsoever.<br> **/c/** The Parties hereby also agree that, if KM incurred amounts of Exploration Expenses |

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| &nbsp;&nbsp;menores a los Gastos Mínimos de Exploración para un período determinado, podrá pagar directamente - dentro de treinta días corridos siguientes al término de ese período- a SQM las diferencias consignadas, manteniendo vigente el Contrato, o bien, - por sólo una vez- podrá incrementar con dicha cantidad los Gastos de Exploración del periodo siguiente. De ser el caso, el pago correspondiente se efectuará mediante vale o vales vistas nominativos en favor de SQM que KM entregará en o antes de las fechas indicadas, al Notario con la instrucción de ser entregados a SQM. Cada uno de estos vales vistas será tomado por KM y con fondos proporcionados por ésta. Asimismo, serán extendidos en forma irrevocable, al día y sin limitaciones de ninguna especie. | &nbsp;&nbsp;lower than the Minimum Exploration Expenses during a given period, it may directly pay the allocated differences to SQM, within 30 calendar days of the end of the corresponding period, hence keeping the Agreement in force, or only once, KM may also increase by this amount the Exploration Expenses of the following period. In such cases, the corresponding payments shall be made by bank or sight drafts payable to the order of SQM that KM shall deliver to the Notary, on or before the specified dates, with instructions for delivery to <u>SQM. KM</u> shall purchase each of these drafts with its own funds, and shall have them issued irrevocably, payable on the same date and without any limitations whatsoever. |
| &nbsp;&nbsp;**<u>Ocho. Cinco</u>. Informes de Exploración**.<br> **<u>Ocho. Cinco. Uno</u>. Contenido del Informe de Exploración.** KM elaborará informes anuales acreditando y describiendo todos los Gastos de Exploración incurridos en la Exploración efectuada en el Área, incluso en exceso de los Gastos Mínimos de Exploración, y dando un reporte detallado de los resultados de dicha Exploración con todos sus antecedentes fundantes y toda la información que KM haya obtenido con motivo de ella, en adelante cada uno, un "**Informe de Exploración**", incluyendo a modo ejemplar y no limitativo:<br> **/a/** información de las campañas de sondajes realizadas /año, método de perforación, diámetros, metros/ y las campañas futuras;<br> **/b/** bases de datos de sondajes, incluyendo tablas "Assays", "Collar", "Survey" y "Lithology";<br> **/c/** bases de datos de zanjas y muestreo superficial;<br> **/d/** ubicación de los sondajes y las zanjas;<br>| &nbsp;&nbsp;**<u>8.5</u>. Exploration Reports:**<br> **<u>8.5.1</u>. Exploration Report Contents:** KM shall prepare annual reports describing, and providing proof of, all of the Exploration Expenses incurred for the Exploration works done in the Area, including any excess Minimum Exploration Expenses, and detailing the results thereof, with all the relevant supporting documents and all the information obtained by KM in the performance thereof, with each of such reports hereinafter called an "**Exploration Report**", and including, without limitation:<br> **/a/** information on the drilling campaigns conducted per year, drilling method, diameter, meter, and future campaigns;<br> **/b/** drilling databases, including "Assay", "Collar", "Survey" and "Lithology" tables;<br> **/c/** trench and surface sampling databases;<br> **/d/** borehole and trench locations;  |

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| &nbsp;&nbsp;**/e/** desviación de los sondajes, método usado y frecuencia de medición;<br> **/f/** descripción geológica de los sondajes, incluyendo el lugar donde se encuentran los testigos;<br> **/g/** porcentaje de recuperación de las muestras; **/h/** leyes de las muestras;<br> **/i/** informes del manejo y resguardo de muestras de sondajes y otras muestras;<br> **/j/** mapeo de zanjas y túneles;<br> **/k/** topografía superficial, de sondajes, de zanjas o labores;<br> **/l/** informes de pruebas de tratabilidad y de densidad, con su respectiva distribución espacial; **/m/** interpretaciones geológicas, geoquímicas, geofísicas, estructurales, entre otras, junto con sus respectivos planos y bases de datos;<br> **/n/** resultados de pruebas metalúrgicas;<br> **/o/** informe geológico incluyendo modelos geológicos, de recursos;<br> **/p/** interpretaciones, perfiles, plantas, sólidos, unidades geológicas y modelos geometalúrgicos;<br> **/q/** para el evento que KM observe la presencia de reservas o recursos proveerá además los informes de estimación de recursos y reservas, y su actualización respectiva, con la metodología empleada, radios de búsqueda, criterios para clasificar los recursos;<br> **/r/** informes de estudio de perfil, pre-factibilidad y/o factibilidad en caso que alguno sea completado en el período correspondiente, definición de ley de corte, recuperaciones mineras, rendimientos de proceso, entre otros;<br> **/s/** informe QA/QC, análisis de muestras<br> duplicados, estándar y blancos. Metodologías de análisis y preparación de muestras; **/**<br> **t/** resultados de investigación geotécnica;<br> **/u/** archivos digitales de planos, | &nbsp;&nbsp;**/e/** borehole deviations, methods used and measurement frequency;<br> **/f/** geological description of boreholes, including core-sample locations;<br> **/g/** sample percentage recoveries;<br> **/h/** sample grades;<br> **/i/** reports on how core and other samples are handled and protected;<br> **/j/** trench and tunnel mapping;<br> **k/** surface, borehole, trench and work topography;<br> **/l/** reports on treatability and density tests, with their respective spatial distribution;<br> **/m/** geological, geochemical, geophysical and structural, among other interpretations, with their respective maps and databases;<br> **/n/** metallurgical test results;<br> **/o/** geological report on resources, including geological models;<br> **/p/** interpretations, cross-sections, layouts, solids, geological units and geo-metallurgical models;<br> **/q/** if KM observed the presence of reserves or resources, it shall also provide resource and reserves estimation reports, and their respective updates, stating the methodology used, search radiuses, and recourse classification criteria;<br> **/r/** conceptual, prefeasibility and feasibility study reports, whenever completed during the relevant period, with grade definitions, mineral recoveries and process capacities, among others;<br> **/s/** QA/QC reports, and duplicate, standard and blank sample analysis, as well as analysis and sample-preparation methodologies;<br> **/t/** geotechnical research results;<br> **/u/** digital files containing layouts, |

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| &nbsp;&nbsp;mapas geológicos, y topográficos; y**/v/** cualquier otra información que se haya generado y que resulte pertinente incluir.<br> **<u>Ocho. Cinco. Dos</u>. Entrega de Informes de Exploración.**<br> **/a/** Los Informes de Exploración serán entregados en la forma, condiciones y con los antecedentes que exija la normativa aplicable, especialmente el Decreto Supremo número ciento cuatro del Ministerio de Minería del año dos mil diecisiete, que establece el reglamento que regula la entrega de información de carácter general obtenida de los trabajos de exploración geológica básica.<br> **/b/** Los Informes de Exploración serán suscritos por el Gerente General y/o el Gerente de Exploraciones de KM.<br> **/c/** KM entregará anualmente a SQM, dentro de los cuarenta y cinco días corridos siguientes al vencimiento del periodo de los Gastos Mínimos de Exploración a que se refieren, con excepción del último Informe de Exploración que se entregará junto con el Aviso de Ejercicio.<br> **/d/** En cualquier momento SQM podrá solicitar a KM que aclare o complemente los Informes de Exploración.<br> **<u>Ocho. Cinco. Tres</u>. Revisión de Informes de Exploración.** Recibido el Informe de Exploración por SQM, SQM tendrá un plazo de veinte días corridos para efectos de revisar que dicho informe respalde los gastos incurridos, y para efectuar observaciones a KM. Durante dicho plazo, las Partes procurarán resolver las dudas o discrepancias en torno a la procedencia de los gastos incluidos y el cumplimiento de los montos mínimos.<br> Vencido el plazo anterior, SQM adoptará una de las siguientes decisiones: **/a/** aprobar el Informe de Exploración, en cuyo caso SQM | &nbsp;&nbsp;geological and topographic maps, and **/v/** any other pertinent information produced.<br>**<u>8.5.2</u>. Delivery of the Exploration Reports:** <br> **/a/** The Exploration Reports shall be delivered in the form and conditions, and with the supporting information, required by applicable laws and regulations, specially Executive Decree No. 104 issued by the Ministry of Mining in 2017, on the rules for delivery of general information obtained from basic geological exploration works;<br> **/b/** The Exploration Reports shall be signed by **KM's** General Manager or Exploration Manager;<br> **/c/** KM shall deliver these reports annually to SQM, within 45 calendar days of the end of period covered by the Minimum Exploration Expenses, except for the last Exploration Report, which shall be delivered together with the Notice of Fulfillment, and<br> **/d/** SQM may request that KM clarifies or completes any Exploration Reports, at any time.<br> **<u>8.5.3</u>. Review of the Exploration Reports:** Upon receipt of an Exploration Report, SQM shall have 20 calendar days for reviewing that it supports the incurred expenses, and making any comments to KM. During that time, the Parties shall do their best to solve any doubts or discrepancies regarding the origin of any of the included expenses or whether the minimum amounts have been incurred.<br> Upon the aforesaid time, SQM shall make one of the following decisions: **/a/** to approve the Exploration Report, in which case, SQM |

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| &nbsp;&nbsp;informará de este hecho a KM; o **/b/** rechazar el Informe de Exploración, en cuyo caso SQM informará de este hecho a KM, especificando las partidas objetadas y las razones en las que fundamente dicha objeción.<br> Si SQM no se pronuncia respecto al Informe de Exploración dentro del plazo de veinte días corridos contados desde la recepción del mismo, se entenderá que el Informe de Exploración correspondiente se encuentra aceptado únicamente con respecto al cumplimiento de los Gastos Mínimos de Exploración.<br> **<u>Ocho. Cinco. Cuatro</u>. Resolución de discrepancias con respecto a los Informes de Exploración.** Si SQM rechaza los Gastos de Exploración de un Informe de Exploración, las discrepancias serán resueltas por una de las empresas que se indican a continuación, que certificará si los Gastos de Exploración han sido debidamente incurridos o no en el período correspondiente, conforme a las siguientes reglas, en adelante la "**Empresa Auditora**":<br> **/a/** Para efectos de la realización de la auditoría independiente antes indicada, SQM designará, a su sola elección, una cualquiera de las siguientes empresas; PricewaterhouseCoopers, Ernst & Young, Deloitte Touche & Tohmatsu, y/o KPMG.<br> **/b/** La Empresa Auditora tendrá un plazo máximo de cuarenta y cinco días corridos contados desde la aceptación del encargo, hecho que comunicará por correo electrónico a SQM y KM en la misma fecha, para entregar una copia de su informe a cada una de las Partes.<br> **/c/** Si, en virtud de la auditoría, uno o más de los gastos incluidos por KM en el Informe de Exploración es finalmente rechazado o se acredita un déficit, KM indemnizará a SQM pagando a esta última una cantidad | &nbsp;&nbsp;shall advise KM of its decision, or **/b/** reject the Exploration Report, in which case, SQM shall advise KM of its decision, specifying any objected items and giving reasons for such objections.<br> If SQM had not communicated its decision on an Exploration Report after 20 calendar days of receipt thereof, the corresponding Exploration Report shall be deemed accepted, but only as having incurred the Minimum Exploration Expenses.<br> **<u>8.5.4</u>. Resolution of Exploration Report Discrepancies:** If SQM rejected any Exploration Expenses in an Exploration Report, any discrepancies shall be resolved by one of the companies listed hereinafter, hereinafter called the "**Auditors**", which shall certify whether or not the Exploration Expenses have been duly incurred during the corresponding period, per the following rules:<br> **/a/** For the purposes of conducting the forenamed independent audit, SQM shall appoint any of the following companies, at its own discretion: PricewaterhouseCoopers, Ernst & Young, Deloitte Touche & Tohmatsu, or KPMG;<br> **/b/** The Auditors shall have a maximum of 45 calendar days of their accepting the assignment and having informed SQM and KM thereof by e-mail on the same day, to deliver a copy of their report to each of the Parties;<br> **/c/** If the audit showed any one or more of the expenses included by KM in the Exploration Report as finally rejected, or confirmed a deficit, KM shall compensate SQM with an amount equivalent to the contested or |

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| &nbsp;&nbsp;equivalente al monto del gasto impugnado y/o faltante dentro del quinto Día Hábil desde que le sea notificado el informe de la Empresa Auditora, mediante la entrega de uno o más vale vista o cheque bancario en Dólares equivalente al monto faltante determinado por la Empresa Auditora. KM dejará estos documentos de pago en poder del Notario, con la instrucción de ser entregados a SQM.<br> **/d/** Si por cualquier causa la Empresa Auditora no entrega el informe requerido dentro del plazo antes indicado o no aceptare el encargo dentro del plazo de quince días corridos, entonces, SQM, siguiendo el procedimiento en la letra /a/ anterior, procederá a designar a una segunda Empresa Auditora para que lleve a cabo el informe requerido. Esta Empresa Auditora tendrá los mismos plazos señalados en la letra /b/ anterior para evacuar su informe. Para el caso que la segunda Empresa Auditora designada por SQM tampoco completare el informe requerido dentro del plazo antes indicado, o no aceptare el cargo dentro del plazo de quince días corridos, entonces cualquiera de las Partes podrá requerir a un árbitro /según se señala a continuación/ que haga dicha determinación dentro del plazo máximo de cuarenta y cinco días corridos contado desde que asuma en el cargo; y a la determinación que haga el árbitro se aplicarán las mismas reglas anteriores.<br> **/e/** Para los efectos de la letra /d/ anterior, la controversia será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las Partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a | &nbsp;&nbsp;missing expenses, within 5 Business Days of having received the Auditors' report, by delivering one or more sight or banker's drafts, in the Dollar equivalent of the missing amount determined by the Auditors to the Notary, with instructions for delivery to SQM.<br>**/d/** If for any reasons, the Auditors did not deliver their report within the forenamed term, or did not accept the assignment within 15 calendar days, by following the procedure previously stated in Item /a/, SQM shall appoint new Auditors to prepare the required report within the same terms as previously provided in Item /b/, and in the event that these new Auditors also failed to complete their report within the forenamed term, or did not accept the assignment within 15 calendar days, either Party may request that an arbitrator, as specified hereinafter, make this decision within a maximum term of 45 calendar days of his or her appointment, with the same previous specified rules applying to the arbitrator's determination;<br>**/e/** For the purposes of the foregoing Item /d/, the facts at issue shall be submitted to arbitration, per then current Rules of Arbitration Procedures of the Santiago Arbitration and Mediation Centre, and the Parties hereby grant special and irrevocable powers of attorney to the Santiago Chamber of Commerce, so that, at the written request |

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| &nbsp;&nbsp;petición escrita de cualquiera de ellas, designe a un árbitro arbitrador en cuanto al procedimiento y de derecho en cuanto al fallo, de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del árbitro no procederá recurso alguno. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción.<br> **/f/** Si el informe de la Empresa Auditora o la resolución del árbitro señalasen que los Gastos de Exploración efectivamente incurridos fueron inferiores a los Gastos Mínimos de Exploración en una cifra mayor al dos por ciento de los mismos, el costo de esta auditoría será pagado por KM. Si, por el contrario, el informe de la Empresa Auditora o la resolución del árbitro confirmasen que los Gastos de Exploración comprometidos en el período respectivo fueron efectivamente efectuados en una proporción superior al noventa y ocho por ciento, el costo de la auditoría será pagado por SQM. | &nbsp;&nbsp;of either of them, it may appoint an arbitrator *ex aequo et bono*, i.e., in equity regarding the proceedings and ruling at law, among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre, whose decisions may not be appealed, and who is hereby specially authorized to rule on any matters within his or her competence and jurisdiction, and<br> **/f/** If the Auditors' report or the arbitrator's award confirmed that the actually incurred Exploration Expenses were lower than the Minimum Exploration Expenses by an amount exceeding 2% thereof, the audit costs shall be paid by KM, and on the contrary, if the Auditors' report or the arbitrator's award ratified that the Exploration Expenses committed for the respective period were actually incurred in a proportion exceeding 98%, SQM shall bear the audit costs.<br>|
| &nbsp;&nbsp;**<u>NOVENO</u>: EJERCICIO DE LA PROMESA. <u>Nueve. Uno</u>. Requisitos para el ejercicio de la Promesa**. Son condiciones para el nacimiento y ejercicio de la Promesa que KM haya previamente cumplido con las siguientes condiciones copulativas, en adelante las "**Condiciones**":<br> **/a/** haber pagado íntegra y oportunamente todas las Primas;<br> **/b/** haber reembolsado a SQM oportunamente el pago de patentes mineras según se regula en la <u>Sección Quince. Uno</u>;<br> **/c/** haber cumplido íntegra y oportunamente con los Gastos Mínimos de Exploración;<br> **/d/** haber cumplido íntegra y oportunamente con los Informes de Exploración; y<br> **/e/** Haber aprobado, al momento del ejercicio de la Promesa, una revisión o due diligence | &nbsp;&nbsp;**<u>NINTH</u> – FULFILLING THE PROMISE:**<br> **<u>9.1</u>. Requirements for fulfilling the Promise:** In order to fulfill the Promise, KM must meet all of the following concurrent conditions precedent, hereinafter called the "**Conditions**":<br> **/a/** having fully and timely paid all the Instalments;<br> **/b/** having timely reimbursed all payments of mining patents to SQM, per <u>Section 15.1</u>;<br> **/c/** having fully and timely incurred the Minimum Exploration Expenses;<br> **/d/** having fully and timely delivered the Exploration Reports, and<br> **/e/** at the time of fulfilling the Promise, having passed a due diligence, conducted by SQM |

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| &nbsp;&nbsp;bajo los estándares FCPA /Foreign Corrupt Practices Act/ de Estados Unidos que será efectuado por y a costa de SQM. Para lo cual, KM comunicará a SQM su intención de ejercer la Promesa con al menos sesenta días corridos de anticipación al Aviso de Ejercicio. KM se obliga a cooperar en el desarrollo de este due diligence y a otorgar toda la información relevante que le solicite SQM. En el evento de que KM no apruebe tal revisión o due diligence, SQM le communitarian tal situación para que sanee o remedie las contingencias que se le comuniquen.<br> **<u>Nueve. Dos</u>. Plazo para ejercer la Promesa**. **/a/** Sujeto al cumplimiento de las Condiciones, el plazo extintivo y fatal para ejercer la Promesa es de seis años contados desde la fecha del presente Contrato, esto es hasta el día treinta de agosto de dos mil veintisiete, en adelante el "**Plazo**".<br> **/b/** En el evento que SQM hubiese requerido a la Empresa Auditora que resuelva una discrepancia en relación al Informe de Exploración correspondiente para acreditar el cumplimiento de la totalidad de los Gastos Mínimos de Exploración comprometidos, conforme a la <u>Sección Ocho. Cinco. Cuatro</u>, y la auditoría no hubiese sido completada dentro del plazo establecido en esta Sección, el Plazo se prorrogará por veinte días corridos a partir de la fecha en que la Empresa Auditora o el árbitro, según sea el caso, comunique su informe o resolución respectiva. Para los efectos de esta prórroga del Plazo, las Partes se obligan a suscribir todos los instrumentos públicos que fuesen necesarios, y a practicar todas las inscripciones y anotaciones que correspondieren, a fin de modificar el Contrato y reflejar dicha prórroga.<br> **<u>Nueve. Tres</u>. Ejercicio anticipado**. En el evento que KM hubiere cumplido anticipadamente con todas las Condiciones, podrá renunciar al Plazo y anticipar el ejercicio de la Promesa. | &nbsp;&nbsp;at its own cost, according to the United-States FCPA (Foreign Corrupt Practices Act) standards. For these purposes, KM shall advise SQM of its intention to fulfill the Promise at least 60 calendar days before the Notice of Fulfillment. KM hereby commits to cooperate in conducting this due diligence and provide all relevant information requested by SQM. If the due diligence were not approved, SQM shall advise KM, stating the contingencies, so that the latter may clear or correct them.<br> **<u>9.2</u>. Term for Fulfilling the Promise:** <br> **/a/** Subject to meeting the Conditions, the extinctive and final deadline for fulfilling the Promise shall be 6 years after the date hereof, i.e., until August 30, 2027, hereinafter called the "**Term**", and<br> **/b/** If SQM had requested that the Auditors resolved any discrepancies concerning the corresponding Exploration Report to ratify that KM had incurred all of the committed Minimum Exploration Expenses, per <u>Section 8.5.4</u>, and the audit had not been completed within the time defined in this Section, the Term shall be extended for 20 calendar days of the date on which the Auditors or the arbitrator, as applicable, delivered their report or final award. For the purposes of this extension of the Term, the Parties hereby commit to sign all of the instruments needed, and to have any and all pertaining entries and annotations made in public records, to amend this Agreement reflecting the said extension.<br>**<u>9.3</u>. Early Fulfillment:** If KM met all of the Conditions before this time, it may waive the Term and fulfill the Promise in advance. |

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| &nbsp;&nbsp;**<u>DÉCIMO</u>: SOCIEDAD CONTRACTUAL**<br> **MINERA.**<br> **<u>Diez. Uno</u>. Constitución de la Sociedad Contractual Minera**.<br> **/a/** Sujeto a los términos de este Contrato, y al cumplimiento de las obligaciones y Condiciones que se establecen en él, si KM decidiera ejercer la Promesa, concurriendo a formar la SCM, enviará dentro del Plazo un aviso a SQM, en adelante el "**Aviso de Ejercicio**", comunicando su intención en tal sentido y adjuntando una copia autorizada ante Notario, como conforme a su original, de los documentos que acrediten el cumplimiento de las Condiciones. El Aviso de Ejercicio, será entregado personalmente por el Notario al Gerente General o al Vicepresidente de Operaciones Nitrato o al Vicepresidente Legal de SQM, y ser enviado con copia al contacto de SQM que se señala en la <u>Cláusula Vigésimo Tercera</u>.<br> **/b/** Las Partes se obligan a, dentro del plazo de sesenta días corridos contados desde que SQM hubiere recibido el Aviso de Ejercicio, suscribir la escritura pública de constitución de la SCM en términos sustancialmente similares a los estatutos sociales contenidos en el <u>Anexo Diez. Uno /b/</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar, en adelante los "**Estatutos Sociales**". Como elemento de la esencia de este Contrato las Partes se obligan a cumplir con los Estatutos Sociales.<br> **/c/** Se entiende que KM se ha desistido de Promesa si no se entrega el Aviso de Ejercicio en la forma y con los documentos que se señalan en la letra /a/ anterior y dentro | &nbsp;&nbsp;**<u>TENTH</u>: - THE CONTRACT MINING**<br> **COMPANY:**<br> **<u>10.1</u>. Incorporation of the Contract Mining Company:**<br> **/a/** Subject to the terms hereof, and to meeting the obligations and Conditions hereunder, if KM decided to fulfill the Promise and form the SCM, it shall send a notice to SQM within the Term, hereinafter called the "**Notice of Fulfillment**", stating its intention in this sense, enclosing copies authenticated by a Notary as true to their originals of the documents proving that the Conditions have been met, and delivered in person by the Notary to SQM's General Manager, Vice-President of Nitrate Operations or Legal Vice-President, with copy to SQM's contact specified in <u>Clause 23</u>;<br>**/b/** The Parties hereby commit to execute the public deed of incorporation of the SCM within 60 calendar days of SQM's receipt of the Notice of Fulfillment, in substantially similar terms to those contained in <u>Appendix 10.1 /b/</u> hereto, which has been entered on this date in the records of these Notary offices, and for all relevant purposes, shall be deemed an integral part hereof, hereinafter called the "**Articles of Incorporation**", with the Parties hereby committing, as an essential element hereof, to abide by the Articles of Incorporation, and<br> **/c/** KM shall be deemed to have withdrawn from the Promise if it failed to deliver the Notice of Fulfillment within the Term, in the form and with the documents previously |

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| &nbsp;&nbsp;del Plazo, o si habiendo cumplido con lo anterior KM no concurre a la suscripción de la escritura pública de constitución de la SCM en la forma y dentro del plazo que se señala en la letra /b/ anterior.<br> **<u>Diez. Dos</u>. Interés social, series de acciones y preferencia.**<br> El interés social en la SCM estará dividido en mil acciones, las que se distribuirán en dos series de acciones de la siguiente forma:<br> **/a/** ochocientas acciones de la <u>Serie A</u>, representarán el ochenta por ciento del interés social, no tendrán preferencia alguna y pertenecerán a KM; y<br> **/b/** doscientas acciones de la <u>Serie B</u>, representarán el veinte por ciento del interés social, tendrán la preferencia que se indica a continuación y pertenecerán a SQM.<br> **<u>Diez. Tres</u>. Preferencia de las acciones de la Serie B.**<br> La preferencia de las acciones de la <u>Serie B</u> consiste en que no perderán su participación del veinte por ciento en el interés social de la SCM y no podrán ser diluidas por causa alguna, quedando por lo tanto eximidas de ejecutar cualquier acto para mantener tal participación y no ser diluidas como, por ejemplo:<br> **/a/** concurrir a los aportes o aumentos de capital a la SCM;<br> **/b/** contribuir a los gastos de la SCM, de cualquier tipo o naturaleza que estos sean; y/o<br> **/c/** otorgar financiamiento de cualquier tipo o naturaleza a la SCM.<br> Con motivo de lo anterior, KM será responsable por todo y cualquier costo y gasto de la SCM, y al hacerlo tendrá la responsabilidad de dejar libre de toda deuda a la SCM, sin que dichos costos y gastos constituyan deuda ni obligación alguna para SQM ni para la SCM. Por lo tanto, | &nbsp;&nbsp;specified in Item /a/, or if having done so, failed to execute the public deed of incorporation of the SCM in the form and within the time previously stipulated in Item /b/.<br> **<u>10.2</u>. Equity Capital, Share Series and Preference:**<br> The SCM's capital shall be divided into 1,000 shares, distributed in two series of as follows:<br> **/a/** 800 <u>Series A</u> shares, representing 80% of the company's capital, with no preference whatsoever and belonging to KM, and<br> **/b/** 200 <u>Series B</u> shares, representing 20% of the company's capital, with the preference provided hereinafter and belonging to SQM.<br> **<u>10.3</u>. Series-B Share Preference:**<br> The <u>Series-B</u> share preference shall consist in that the holder of these shares shall not lose its 20% interest in the SCM's capital, the shares may not be diluted for any reasons, and hence, the holder thereof shall be exempt from doing anything to keep the aforesaid interest and not have its shares diluted, such as, for instance:<br> **/a/** participating in any contributions to the SCM's capital or increases thereof;<br> **/b/** contributing to the SCM's expenses, whatever their type or nature, or<br> **/c/** in any way financing the SCM.<br> Consequently, KM shall be responsible for any and all of the SCM's costs and expenses, and hence, for keeping the SCM free of any debts, so that none of such costs and expenses ever become a debt or obligation of SQM or the SCM. Therefore, without diluting SQM's interest in the SCM, it shall be only KM |

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| &nbsp;&nbsp;únicamente KM, sin diluir la participación de SQM en la SCM, aportará o contribuirá a la SCM todos los fondos necesarios para el desarrollo de las actividades de la SCM y responderá de todo costo, gasto y pérdida de la SCM.<br> **<u>Diez. Cuatro</u>. Extinción de la preferencia de la Serie B.**<br> Sujeto al cumplimiento de las condiciones y términos de los Estatutos Sociales y del Pacto de Socios, y a que la SCM no tenga deuda alguna pendiente de pago, devengada y/o pendiente de devengarse, la preferencia de las acciones <u>Serie B</u> se extinguirá al día siguiente a la aprobación del Estudio de Factibilidad por parte del directorio.<br> **<u>Diez. Cinco</u>. Pago de acciones y aportes.** <br> **/a/** KM suscribirá, enterará y pagará la totalidad de sus acciones de la <u>Serie A</u> en la SCM, equivalente al ochenta por ciento del interés social en ella, mediante el aporte en dominio a la SCM, al momento de su constitución, de los Informes de Exploración, de los Resultados de Exploración, de los Activos adquiridos, directa o indirectamente o a través de terceros, por KM, sea para el cumplimiento de sus obligaciones contractuales, o por cualquier causa.<br> **/b/** SQM suscribirá, enterará y pagará la totalidad de sus acciones de la <u>Serie B</u> en la SCM, equivalente al veinte por ciento del interés social en ella, mediante el aporte en dominio a la SCM, al momento de su constitución, de los Derechos Mineros, teniendo SQM además derecho - por dicho aporte- a la Reserva y al pago por parte de la SCM de una regalía que se otorgará - junto con la constitución de la SCM- en términos sustancialmente similares al <u>Anexo Diez. Cinco /b/</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del | &nbsp;&nbsp;that contributes all of the funds needed by the SCM for performing its activities, and that responds for all of the SCM's costs, expenses and losses.<br> **<u>10.4</u>. Extinction of the Series B Preference:**<br> Subject to having met all the conditions and terms of the Articles of Incorporation and the Partnership Agreement, and to the SCM having no outstanding, accrued or accrual-pending debts, the <u>Series B</u> share preference shall become extinguished on the day after the Board's approval of the Feasibility Study.<br>**<u>10.5</u>. Payment of Shares and Capital Contributions:**<br> **/a/** KM shall subscribe for, and pay up, all of its <u>Series A</u> shares in the SCM, representing 80% interest in the latter's equity capital, by contributing thereto, at the time of its incorporation, the ownership of all Exploration Reports, Exploration Results, and all Assets directly, indirectly or through any third parties, purchased by KM, whether while meeting its contractual obligations or for any other reasons, and<br> **/b/** SQM shall subscribe for, and pay up, all of its <u>Series B</u> shares in the SCM, representing 80% interest in the latter's equity capital, by contributing thereto, at the time of its incorporation, the ownership of all of Mining Rights, a contribution that shall also entitle SQM to the Reserve, and to receive a payment from the SCM of a royalty that shall be established together with the SCM's incorporation, in substantially similar terms to those contained in <u>Appendix 10.5 /b/</u> hereto, which has been entered on this date in the records of these notary offices, and shall be deemed an integral part hereof for all relevant |

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| &nbsp;&nbsp;mismo para todos los efectos a que pueda haber lugar, en adelante la "**Regalía**".<br> **<u>Diez. Seis.</u> Garantía del pago de la Regalía.** Con el fin de garantizar la obligación de la SCM de pagar la Regalía en favor de SQM, en la escritura pública de otorgamiento de la Regalía la SCM constituirá una hipoteca de primer grado y prohibición de no gravar y enajenar los Derechos Mineros en términos sustancialmente similares a los del <u>Anexo Diez. Cinco /b/</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar, en adelante la "**Hipoteca y Prohibición SCM**". Para tal efecto, en caso de que no se constituya la Hipoteca y Prohibición SCM, KM confiere desde ya poder irrevocable y especial, pero tan amplio como en derecho corresponda, a SQM para que, en nombre y representación de KM y sin obligación de rendir cuenta, suscriba todos los actos societarios y corporativos que se requieran en la SCM para que se constituya la Hipoteca y Prohibición SCM.<br> **<u>Diez. Siete</u>. Pacto de Socios.**<br> Junto con la constitución de la SCM, las Partes suscribirán un pacto de socios con respecto a la SCM en términos sustancialmente similares al <u>Anexo Diez. Siete</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar, en adelante el "**Pacto de Socios**". Como elemento de la esencia de este Contrato las Partes se obligan a cumplir con dicho pacto.<br> **<u>UNDÉCIMO</u>: INFORMES DE LA SCM. <u>Once. Uno</u>. Informe de nuevas exploraciones**.<br> Una vez constituida la SCM, ésta le entregará | &nbsp;&nbsp;purposes, hereinafter called the "**Royalty**".<br> **<u>10.6.</u> Royalty Payment Guarantee:**<br> In order to guarantee the SCM's obligation of paying a Royalty to SQM, in the Royalty public deed, the SCM shall establish a senior mortgage on, and a restriction to encumber, or dispose of, the Mining Rights, in substantially similar terms to those contained in <u>Appendix 10.5 /b/</u> hereto, which has been entered on this date in the records of these notary offices, and shall be deemed an integral part hereof for all relevant purposes, hereinafter called the "**SCM's Mortgage and Restriction**". For these purposes and in case of the SCM's Mortgage and Restriction being established, KM hereby grants special and irrevocable powers, as wide as permitted by the laws and without any accountability obligations, to SQM, so that the latter may, on its behalf, execute any and all company and corporate acts needed for establishing the SCM's Mortgage and Restriction.<br> **<u>10.7</u>. Partnership Agreement:**<br> Together with incorporating the SCM, the Parties shall execute a partnership agreement in respect of the SCM, in substantially similar terms to those contained in <u>Appendix 10.7</u> hereto, which has been entered on this date in the records of these notary offices, and shall be deemed an integral part hereof for all relevant purposes, hereinafter called the "**Partnership Agreement**". As an essential element hereof, the Parties hereby commit, to abide by the forenamed agreement.<br> **<u>ELEVENTH</u> - SCM REPORTS:**<br> **<u>11.1</u>. Report on New Exploration Works:** After the SCM has been incorporated, the latter shall furnish SQM with an annual report |

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| &nbsp;&nbsp;anualmente a SQM, dentro del primer cuatrimestre de cada año, un reporte referido a las actividades de Exploración desarrolladas en el Área en el año calendario anterior. Este informe, que no tendrá costo para SQM, contendrá - en la medida que fuere aplicable a los trabajos de Exploración realizados- los mismos elementos referidos en la <u>Sección Ocho. Cinco. Uno</u>.<br> **<u>Once. Dos</u>. Informe sobre Proyecto Minero y reservas**.<br> Si la SCM define o evalúa un Proyecto Minero de explotación de minerales en el Área, a simple requerimiento de cualquiera de sus socios, y sin costo para ellos, les entregará dentro del plazo de veinte días corridos contados desde tal requerimiento, y luego sucesivamente dentro del primer cuatrimestre de cada año, copia del plan de explotación vigente, del plan minero, y los recursos y las reservas estimadas que contenga el Área. De igual forma, y en el evento que durante el año respectivo dicho plan o las estimaciones de reservas varíen, esta circunstancia será comunicada a los socios dentro de los treinta días corridos siguientes a su ocurrencia.<br> Lo anterior es sin perjuicio del derecho exclusivo de la SCM de modificar, variar, suspender, paralizar, descontinuar o en cualquier otra forma alterar el plan de explotación que la SCM entregue a sus socios conforme a esta Sección.<br> **<u>DUODÉCIMO</u>: PAGO POR INACTIVIDAD. <u>Doce. Uno</u>. Objeto y Alcance.**<br> **/a/** Si al cumplirse diez años desde la constitución de la SCM, ésta no ha iniciado la explotación comercial de un yacimiento minero en los Derechos Mineros y mientras no se efectué tal explotación, KM pagará anualmente a SQM, dentro del primer mes de cada año siguiente, una cantidad por | &nbsp;&nbsp;on the Exploration activities performed in the Area during the previous calendar year, which is to be delivered during the first quarter of the following year. This report shall have no costs for SQM, and shall contain the elements specified in <u>Section 8.5.1</u>, as applicable to the completed Exploration works.<br>**<u>11.2</u>. Report on the Mining Project and Reserves:**<br> If the SCM defined or assessed a Mining Project for mineral exploitation in the Area, at the mere request of either of its partners and without any costs thereto, it shall deliver a copy of the current business and mining plans, and estimated resources and reserves contained in the Area, within 20 calendar days of the forenamed request, and subsequently, within the first quarter of each year. Likewise, in the event that the plan or reserve estimates varied during the respective year, this shall be informed to the partners within 30 calendar days of such an occurrence.<br>The foregoing shall not limit the **SCM's** exclusive right of modifying, varying, suspending, halting, discontinuing, or in otherwise altering, the business plan that its delivers to its partners pursuant to this Section.<br> **<u>TWELFTH</u> - PAYMENT FOR INACTIVITY: <u>12.1</u>. Purpose and Scope:**<br> **/a/** If 10 years after its incorporation, the SCM had not yet begun the commercial exploitation of any mining deposit in the Mining Rights, and for as long it did not do so, KM shall make an annual payment for inactivity to SQM, during the first month of each of the subsequent years, in an amount |

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| &nbsp;&nbsp;concepto de inactividad que corresponderá al mayor valor entre: **- i-** un millón de Dólares, o **- ii-** doscientos Dólares por hectárea del Área de los Derechos Mineros aportados a la SCM, en adelante el "**Pago por Inactividad"**.<br> **/b/** Si una vez iniciada la explotación comercial, esta se suspendiese por un periodo de tiempo que exceda el plazo de tres años, se devengará y pagará nuevamente el Pago por Inactividad conforme a lo indicado anteriormente.<br> **/c/** Las Partes dejan expresa constancia que SQM tendrá derecho a cobrar y percibir el Pago por Inactividad aun cuando transfiera el derecho de Regalía, y esta obligación de pago procederá cualquiera sea la persona que sea dueño y/o explote los Derechos Mineros.<br> **/d/** KM podrá eximirse del Pago por Inactividad en caso de que la SCM venda y transfiera a SQM cada uno de los Derechos Mineros a un precio equivalente en pesos a cien Dólares por Derecho Minero.<br> **/e/** Con todo, en caso que, dentro del plazo de diez años contados desde la fecha de constitución de la SCM, el Estudio de Factibilidad no sea aprobado por la SCM según como se establezca en el Pacto de Socios, SQM tendrá derecho a que la SCM se disuelva anticipadamente y liquide, restituyéndose a cada Parte sus aportes efectuados a la SCM, y pasando a SQM el dominio de los Informes de Exploración.<br> **<u>Doce. Dos</u>. Garantías del Pago por Inactividad.**<br> El cumplimiento de la obligación de KM de pagar el Pago por Inactividad se garantizará incluyéndola en la Hipoteca y Prohibición SCM. Para tal efecto, en caso de que no se constituya tal garantía, KM confiere desde ya poder irrevocable y especial, pero tan amplio como en derecho corresponda, a SQM para | &nbsp;&nbsp;equivalent to the greater: **- i-** of USD 1,000,000, or **- ii-** of USD 200,000 per hectare comprised in the Area of the Mining Rights contributed to the SCM, hereinafter called the "**Payment for Inactivity"**;<br> **/b/** If once commenced, the commercial exploitation were halted for a time exceeding 3 years, the Payment for Inactivity shall accrue and become payable again, as previously provided;<br> **/c/** The Parties hereby expressly state that SQM shall be entitled to charge and receive the Payment for Inactivity, even after transferring the Royalty right, and this payment obligation shall apply regardless of who then owned or exploited the Mining Rights;<br> **/d/** KM may be exempted from the Payment for Inactivity if the SCM sold and transferred all of the Mining Rights to SQM, at a price in Chilean pesos equivalent to USD 100 per Mining Right, and<br> **/e/** Even so, if the SCM had not approved the Feasibility Study, as provided in the Partnership Agreement, within 10 years of its incorporation, SQM shall be entitled to request the early dissolution and liquidation of the SCM, with the respective contributions of each Party returned thereto, and ownership of the Exploration Reports passed to SQM.<br>**<u>12.2</u>. Guarantees of the Payment for Inactivity:**<br> That KM met its obligation of Payment for Inactivity shall be guaranteed by including it in the SCM's Mortgage and Restriction. To this end and in the event that this guarantee were not established, KM hereby grants irrevocable special powers, as wide as permitted by the laws, to SQM, so that the |

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| &nbsp;&nbsp;que, en nombre y representación de KM y sin obligación de rendir cuenta, suscriba todos los actos societarios y corporativos que se requieran en la SCM para su constitución.<br> **<u>DÉCIMO TERCERO</u>: DERECHO DE**<br> **VENTA DE LA PARTICIPACIÓN DE SQM EN LA SCM.**<br> **/a/** En caso de que SQM tenga la intención de vender una parte o el total de su participación en la SCM, de acuerdo a los términos y condiciones que se establecen en el Pacto de Socio anexo a este instrumento, KM tendrá el derecho preferente de hacer una primera oferta firme e irrevocable sobre dicha participación. **/b/** Asimismo, de acuerdo a los términos y condiciones que se establecen en el Pacto de Socio anexo a este instrumento, SQM tendrá el derecho de vender toda su participación en la SCM a un tercero o a KM.<br> **<u>DÉCIMO CUARTO</u>: ADQUISICIÓN DE BIENES RESTRINGIDOS EN EL ÁREA Y EN EL ÁREA DE INTERÉS.**<br> Durante la vigencia del Contrato, y por un periodo de dos años posteriores a su término, KM no podrá, directa, indirectamente o a través de terceros, negociar, adquirir o recibir en arriendo, usufructo, comodato o en cualquier otra forma o título, constituir o solicitar la constitución de, uno o más pedimentos mineros, manifestaciones mineras, concesiones mineras de exploración, concesiones mineras de explotación, derechos de aprovechamiento de aguas, derecho de cualquier tipo en relación al predio superficial y/o de otro derecho, que se superpongan total o parcialmente con el Área y/o con el Área de Interés, en adelante los "**Bienes Restringidos**".<br> En caso de incumplimiento a esta prohibición, KM se obliga a:<br> **/a/** <u>en caso que KM ejerza la Promesa</u>: a que | &nbsp;&nbsp;latter, acting for and on behalf of KM, and without any accountability obligations, may execute any and all company or corporate acts needed for incorporating the SCM.<br> **<u>THIRTEENTH</u> - RIGHT OF SALE OF**<br> **SQM'S INTEREST IN THE SCM:**<br> **/a/** If SQM intended to sell all or a part of its interests in the SCM, pursuant to the terms and conditions of the Partnership Agreement annexed hereto, KM shall have a right of first refusal of making a firm and irrevocable first offer for such interests, and<br> **/b/** Likewise, SQM shall be entitled to sell all of its interests in the SCM to KM or any third parties, per the terms and conditions of the Partnership Agreement annexed hereto.<br>**<u>FOURTEENTH</u> - PURCHASE OF**<br> **RESTRICTED ASSETS IN THE AREA AND THE AREA OF INTEREST:**<br> While this Agreement is in effect, and for two years after termination hereof, KM may not directly, indirectly or through any third parties, negotiate, purchase, or take in lease, usufruct, gratuitous bailment, or in any other form or manner, request the award of, or be awarded, any one or more petitioned mining claims for exploration, statements of discovery, mining claims awarded for exploration or exploitation, water use rights, rights of any type on surface lands, or any other rights, fully or partly overlapping the Area or the Area of Interest, hereinafter called the "**Restricted Assets**".<br> In the event of any breach of this restriction,<br> KM hereby commits as follows:<br> **/a/** <u>if KM fulfilled the Promise</u>: to contribute the |

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| &nbsp;&nbsp;los Bienes Restringidos sean aportados a la SCM en los términos de la letra /a/ de la <u>Sección Diez. Cinco</u>; o<br> **/b/** <u>en caso que KM no ejerza la Promesa</u>: a que los Bienes Restringidos sean vendidos a SQM, dentro de los diez días corridos siguientes a que así lo requiera, a un precio de diez Dólares cada uno.<br> **<u>DÉCIMO QUINTO</u>: PROTECCIÓN Y**<br> **AMPARO DE LOS DERECHOS MINEROS. <u>Quince. Uno</u>. Durante la vigencia de la Promesa**.<br> Durante la vigencia de este Contrato, SQM tendrá la responsabilidad de pagar las patentes mineras, lo cual será reembolsado por KM. Para esto, SQM emitirá a KM una nota de cobro incluyendo los comprobantes de pago respectivos por los montos previstos, la cual pagará KM en un plazo no superior a diez días corridos contados desde la fecha en que SQM le hubiere enviado la respectiva nota de cobro.<br> Se deja constancia que en este acto KM reembolsa a SQM la fracción de las patentes mineras que corresponden a los Derechos Mineros por el año dos mil veintiuno, en la parte proporcional al tiempo que medie entre la fecha de celebración del Contrato y el veintiocho de Febrero de dos mil veintidós, suma que asciende a noventa y nueve millones trescientos veintiséis mil cuatrocientos cuarenta y dos pesos, cantidad que KM paga en este acto contra la entrega de una nota de cobro por parte de SQM y SQM declara recibir a su entera conformidad. Si por cualquier causa SQM no cumpliere con su obligación de pagar oportunamente las patentes mineras, KM podrá pagarlas directamente.<br> **<u>Quince. Dos</u>. Defensa**.<br> Durante la vigencia de este Contrato, SQM defenderá los Derechos Mineros, a su | &nbsp;&nbsp;Restricted Assets to the SCM per Item /a/ of <u>Section 10.5</u>, or<br> **/b/** <u>if KM did not fulfill the Promise</u>: to sell the Restricted Assets to SQM, within 10 calendar days of the latter so requiring, at a price of USD 10 each.<br> **<u>FIFTEENTH</u> – PROTECTION AND**<br> **SHELTER OF THE MINING RIGHTS:**<br> **<u>15.1</u>. During the Promise Effective Term:** While this Agreement is in force, SQM shall be responsible for paying the mining patents, KM shall reimburse these payments thereto. To this end, SQM shall issue a collection letter to KM, enclosing the respective receipts of payment in support of the charged amounts, which KM shall pay within at most 10 calendar days of the date on which SQM had sent the respective collection letter.<br> It is herein recorded that KM has hereby reimbursed the fraction of the mining patents corresponding to the Mining Rights for 2021, proportional to the time lapse from the date of execution hereof to February 28, 2022, and totalling CLP 99,326,442, by paying this amount to SQM against delivery by the latter of a collection letter, and in turn, SQM has stated to have satisfactorily received this payment. If for any reasons whatsoever, SQM failed to meet its obligation of timely paying any of such mining patents, KM may pay them directly.<br>**<u>15.2</u>. Defence:**<br> While this Agreement is effective, SQM shall<br> defend the Mining Rights, at its own cost, |

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| &nbsp;&nbsp;exclusivo costo, de cualquier acción judicial de terceros. En caso que SQM tome conocimiento de tal acción judicial, lo comunicará a KM. Si SQM no ejerciere oportunamente, dentro de los plazos legales, la defensa de los Derechos Mineros, KM podrá actuar en los procesos que se hayan iniciado como tercero coadyuvante, a su exclusiva cuenta, costo, riesgo y responsabilidad.<br> **<u>Quince. Tres.</u> Pago de patentes mineras y defensa una vez ejercida la Promesa**.<br> Una vez ejercida la Promesa, la SCM pagará, a su costo, cuenta y responsabilidad, todas las patentes mineras de los Derechos Mineros, antes del día treinta de marzo de cada año, y efectuará todas las actuaciones, diligencias y trámites que sean necesarios o pertinentes para la correcta y debida constitución, protección, amparo y vigencia de los Derechos Mineros. Asimismo, la SCM adoptará, a su exclusivo costo, todas las medidas, judiciales y extrajudiciales, que sean necesarias para tales efectos y para defender dicha propiedad minera de cualquier pretensión de terceros.<br> Si la SCM no ejerciere oportunamente, dentro de los plazos legales, la defensa de los Derechos Mineros, SQM podrá, sin que se encuentre obligado a ello, decidir actuar en representación de la SCM en los procesos que se hayan iniciado. Para estos efectos, la SCM otorgará poder judicial a SQM y los costos legales razonables serán asumidos por la SCM. Alternativamente, y sin que se encuentre obligado a ello, SQM podrá participar en los procesos como tercero coadyuvante, a su exclusivo costo.<br> **<u>Quince. Cuatro</u>. Prohibición en favor de KM.**<br> A fin de garantizar el cumplimiento de las obligaciones que emanan del presente | &nbsp;&nbsp;against any court actions by third parties. Whenever SQM learned of any such actions, it shall advise KM thereof. If SQM failed to timely defend the Mining Rights, within the corresponding legal terms, KM may act as an offended party to assist in any such proceeding, on its own account and responsibility, and at its own cost and risk.<br> **<u>15.3.</u> Payment of Mining Patents and Defence upon Fulfilling the Promise:**<br> After fulfilling the Promise, the SCM shall pay all of the mining patents of the Mining Rights before March 30 of each year, at its own cost, and on its own account and responsibility, and shall do all of the formalities, procedures and paperwork needed or pertinent for properly and duly establishing, protecting and sheltering the Mining Rights, and keeping them valid. Additionally, the SCM shall, at its own cost, take all court or out-of-court measures needed for such purposes and for defending the forenamed mining property against any third-party claims.<br> If the SCM failed to timely defend the Mining Rights, within the corresponding legal terms, SQM may decide, without any obligation to do so, to represent the SCM in any such proceeding. For these purposes, the SCM shall grant a power of attorney-at-law to SQM, and shall bear all reasonable legal fees. Alternatively, and again without any obligation to do so, SQM may intervene in such proceeding as an offended party to assist, at its own cost.<br> **<u>15.4</u>. Restriction in Favour of KM:**<br> So as to guarantee that the obligations hereunder are met, SQM shall establish a restriction to dispose of, or encumber with |

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| &nbsp;&nbsp;Contrato, SQM constituye prohibición de enajenar y gravar con derechos reales, sin previo consentimiento escrito de KM, los Derechos Mineros y/o los minerales que los mismos contengan, en adelante la "**Prohibición SQM**".<br> Se exceptúan de la Prohibición SQM los actos necesarios para usar y gozar de la Reserva. La Prohibición SQM tendrá vigencia hasta el término del Contrato. Por este acto, KM, debidamente representada, acepta la Prohibición SQM y declara que su representada se obliga a alzar y cancelar la presente Prohibición SQM cuando proceda de conformidad a lo señalado precedentemente.<br> **<u>DÉCIMO SEXTO</u>: RESERVA Y**<br> **USUFRUCTO DE SUSTANCIAS**<br> **MINERALES NO METÁLICAS.**<br> **<u>Dieciséis. Uno</u>. Reserva de Sustancias No Metálicas**.<br> **/a/** Las Partes entienden y aceptan desde ya, de manera definitiva e irrevocable y como elemento de la esencia de este Contrato, elemento que se refleja en las valorizaciones y precios que se han considerado en este Contrato, el hecho que SQM se reserva y reservará para sí y no cede, delega, otorga ni confiere por este Contrato - y que no aportará, cederá, delegará, otorgará ni conferirá, ni siquiera al constituirse la SCM, autorización, derecho o expectativa de derecho de cualquier tipo o especie alguna en favor de KM ni de la SCM, según sea el caso, o de cualquier persona, con respecto del descubrimiento, exploración, explotación, y al dominio, en parte o en su totalidad, de una o más Sustancias No Metálicas que se encuentren en los Derechos Mineros, en adelante la "**Reserva**".<br> **/b/** En consecuencia, y en lo que a KM y la SCM concierne, la Reserva corresponde a | &nbsp;&nbsp;rights in rem, the Mining Rights or any minerals contained therein, without KM's prior written consent, hereinafter called "**SQM's Restriction**".<br> All acts needed for the use and enjoyment of the Reserve shall be exempted from SQM's Restriction, which shall be effective until termination hereof. Duly represented, KM hereby accepts SQM's Restriction, and commits to lift and cancel it when pertinent according to the foregoing.<br>**<u>SIXTEENTH</u> - RESERVE AND USUFRUCT OF NON-METALLIC MINERAL**<br> **SUBSTANCES:**<br> **<u>16.1</u>. Reserve of Non-Metallic Substances:**<br> **/a/** The Parties hereby definitively and irrevocably acknowledge as an essential element hereof that reflects in the values and prices included herein, and accept that SQM hereby sets aside and shall set aside any Non-Metallic Substances contained in the Mining Rights for itself, and that it does not hereby, and shall not in the future, not even after the SCM's incorporation, assign, delegate, give or grant any authorizations, rights of any type or kind, or expectations thereof, to either KM or the SCM, as applicable, or any other persons, regarding the discovery, exploration, exploitation or ownership of any part or the entirety of one or more of such substances, hereinafter called the "**Reserve**";<br> **/b/** Consequently, the Reserve absolutely forbids KM and the SCM from exploring for, |

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| &nbsp;&nbsp;una prohibición absoluta de explorar, explotar, beneficiarse o apropiarse de todo o parte de las Sustancias No Metálicas existentes y subyacentes en los Derechos Mineros, declarando KM, a mayor abundamiento, que no podrá ella ni la SCM, jamás ni bajo circunstancia alguna, extraer, en los términos del inciso segundo del artículo ciento dieciséis del Código de Minería, usar, gozar, aprovechar o disponer en forma directa o indirecta o a través de terceros de las Sustancias No Metálicas contenidas en los Derechos Mineros.<br> **/c/** Bajo este Contrato, "**Sustancias No Metálicas**" comprenden e incluyen, entre otras y a título meramente ilustrativo, a aquellas que tienen azufre, sodio, nitrato, potasio, fosfato, yodo, sulfato, borato, carbonato, magnesio y litio en cualquiera de sus formas o compuestos - independientemente de que las mismas se encuentren en minerales, en salmueras o en otros cuerpos o estados- y todos los subproductos y sales asociadas que directa o indirectamente se deriven de dichas sustancias –y que, entre otros, comprenden e incluyen a los subproductos nitrato de sodio, nitrato de potasio, sulfato de sodio, sulfato de potasio, cloruro de potasio, ácido bórico, carbonato de litio y sulfato de litio.<br> **<u>Dieciséis. Dos</u>. Facultades de SQM en relación a la Reserva una vez constituida la SCM.**<br> **/a/** En la constitución de la SCM las Partes darán cuenta de la Reserva y de su reconocimiento por parte de la SCM, asumiendo además la SCM la obligación de imponérsela - en conjunto con la obligación de la letra /b/ siguiente- a cualquier tercero adquirente de los Derechos Mineros. Desde la constitución de la SCM, la Reserva se inscribirá en el Registro de Hipoteca y | &nbsp;&nbsp;mining, benefitting from, or taking over, all or any part of the Non-Metallic Substances existing in, or underlying, the Mining Rights, and furthermore, KM hereby states that it may not ever, nor may the SCM, under any circumstances, directly, indirectly or through any third parties, extract, as defined in the second paragraph of Article 16 of the Chilean Mining Code, use, enjoy, benefit from, or dispose of, any Non-Metallic Substances contained in the Mining Rights, and<br> **/c/** Hereunder, "**Non-Metallic Substances**" shall comprise and include, among others and only as examples, any substances containing any forms or compounds of sulphur, sodium, nitrate, potassium, phosphate, iodine, sulphate, borate, carbonate, magnesium or lithium, regardless of they being in ores, brines, or any other bodies or states, and any other by-products and salts directly or indirectly associated with, or derived from, any such substances, covering and including, among others, any sodium or potassium nitrate, sodium or potassium sulphate, potassium chloride, boric acid, lithium carbonate or lithium sulphate by-products.<br> **<u>16.2</u>. SQM's Rights Regarding the Reserve Upon the SCM's Incorporation:** <br> **/a/** In the SCM's incorporation deed, the Parties shall record the Reserve and the SCM's acknowledgment thereof, and the latter shall also undertake the obligation of having it accepted, together with the obligation stipulated hereinafter in Item /b/, by any third parties purchasing Mining Rights, and as of the SCM's incorporation, the Reserve shall be entered in the relevant Mine Registrar's Book of Mortgages and |

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| &nbsp;&nbsp;Gravámenes del Conservador de Minas competente, y se anotará al margen de la inscripción de dominio vigente y de la inscripción de la sentencia constitutiva y acta de mensura de los Derechos Mineros.<br> **/b/** La Reserva contiene la obligación de que la SCM, y sus sucesores en el dominio de los Derechos Mineros, a su costo, cuenta y responsabilidad mantengan, protejan, amparen y conserven la vigencia de los Derechos Mineros hasta la extinción de la Reserva.<br> **/c/** Con motivo de la Reserva, SQM podrá ejercer todos los derechos que le corresponden a un titular de una concesión minera de explotación con respecto a las Sustancias No Metálicas en los Derechos Mineros. A título ejemplar –y sin que implique limitación- podrá explorar, explotar, retirar, y/o extraer las Sustancias No Metálicas como su único dueño, bajo su exclusiva cuenta, costo, riesgo y responsabilidad. SQM podrá efectuar dicha exploración, explotación, retiro y/o extracción en forma perpetua o hasta el máximo límite permitido por ley.<br> **<u>Dieciséis. Tres</u>. Usufructo**.<br> **/a/** Adicionalmente a la Reserva ya convenida, como elemento de la esencia de este Contrato, dentro del plazo de dos meses de la constitución de la SCM, ésta constituirá, en los términos del artículo ciento setenta y uno del Código de Minería, un usufructo en favor de SQM sobre los Derechos Mineros en términos sustancialmente similares al <u>Anexo Dieciséis. Tres /a/</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar, en adelante el "**Usufructo**".<br> **/b/** En el Usufructo el uso y goce de los Derechos Mineros se circunscribirá y limitará a las Sustancias No Metálicas contenidas en  | &nbsp;&nbsp;Encumbrances, and shall be noted on the margins of the registrations of both the current ownership and the award judgement and surveyor's certificate of the Mining Rights;<br> **/b/** Until its extinction, the Reserve shall include an obligation for the SCM, and its successors in owning the Mining Rights, to maintain, protect and shelter them, and keep them valid, at their own cost, and on their own account and responsibility, and<br> **/c/** By virtue of the Reserve, SQM may exercise any and all of the rights inherent to the holder of any mining claims awarded for exploitation, in respect of Non-Metallic Substances in the Mining Rights, including, as examples and without limitation, exploring for, mining, processing, removing, or extracting the Non-Metallic Substances, as the sole owner thereof, on its own account and responsibility, and at its own cost and risk, to perpetuity or up to the maximum legal limit.<br> **<u>16.3</u>. Usufruct:**<br> **/a/** Apart from the Reserve already agreed, within two months of its incorporation and as an essential element hereof, the SCM shall establish a usufruct of the Mining Rights in favour of SQM, per Article 171 of the Chilean Mining Code, in substantially similar terms to those provided in <u>Appendix 16.3 /a/</u> hereto, which has been entered on this date in the records of these Notary offices, and for all relevant purposes, shall be deemed an integral part hereof, hereinafter called the "**Usufruct**";<br> **/b/** The use and enjoyment of the Mining Rights specified in the Usufruct shall be restricted and limited to the Non-Metallic  |

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| &nbsp;&nbsp;Ellos.<br> **c/** La constitución del Usufructo es de carácter oneroso con un precio en pesos - por cada Derecho Minero- equivalente a la cantidad nominal de cien Dólares, el que fue valorizado por las Partes al determinar los pagos y precios que se establecen en este Contrato.<br> **/d/** El Usufructo se constituirá en términos sustancialmente similares a los contenidos en el <u>Anexo Dieciséis. Tres /a/</u>.<br> **/e/** El Usufructo tendrá una duración de treinta años o el máximo período que contemple la ley al momento de su constitución, eximiéndose a SQM de la obligación de prestar caución suficiente de conservación y restitución y de hacer inventario solemne. En ningún caso el Usufructo se extinguirá por no ejercerse o no hacerse uso o goce de él.<br> **/f/** A SQM no le corresponderá efectuar pago adicional al precio del Usufructo, ni siquiera por concepto de cargas fructuarias o por lo intereses que se señalan en los artículos setecientos noventa y cinco a setecientos noventa y siete del Código Civil, y sólo será responsable de sus propios hechos y omisiones.<br> **/g/** Una vez que el Usufructo se extinga, SQM tendrá el derecho, pero no la obligación asumiendo la SCM la obligación respectiva, de: **- i-** constituir nueva y sucesivamente el Usufructo en los mismos términos que se señala en este Contrato; o **- ii-** suscribir con la SCM una compraventa de minerales in situ y adquirir de aquélla, a un valor nominal, fijo y total del equivalente en pesos a cien Dólares, la totalidad de las Sustancias No Metálicas que se pudieren encontrar en los Derechos Mineros, conviniendo un plazo para su extracción por parte de SQM, conforme las necesidades que ésta acredite para tal efecto. | &nbsp;&nbsp;Substances contained therein;<br> **/c/** The Usufruct shall be defined for a nominal consideration in Chilean pesos per Mining Right equivalent to USD 100, which was appraised by the Parties when determining the payments and prices to be stipulated herein;<br> **/d/** The Usufruct shall be established in terms substantially similar to those contained in <u>Appendix 16.3 /a/</u>;<br> **/e/** The Usufruct shall have a duration of 30 years, or the legally permitted maximum when it is established, and shall exempt SQM from any obligations of providing sufficient conservation and restitution security, or making a sworn inventory, and in no case, shall the Usufruct be extinguished for not exercising it, or not making the uses or enjoyments thereunder;<br> **/f/** SQM shall not need to make any additional payments other than the Usufruct price, not even for burdens to the beneficially own property, or for the interests defined in Articles 795 to 797 of the Chilean Civil Code, and shall only be liable for its own actions and omissions;<br> **/g/** Upon extinction of the Usufruct, SQM shall have the right, but not the obligation, which shall be undertaken by the SCM, **- i-** of establishing a new and successive Usufructs in the terms defined herein, or **–ii-** of executing an agreement with the SCM to buy minerals in-situ, and purchase all the Non-Metallic Substances that may be found in the Mining Rights from the latter, at a nominal, fixed and total price in Chilean pesos equivalent to USD 100, with an agreed term for the extraction thereof by SQM as the latter may prove necessary to do so; |

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| &nbsp;&nbsp;**/h/** Será obligación de la SCM, a su cuenta, costo, y responsabilidad, la mantención, protección, amparo y vigencia los Derechos Mineros hasta que SQM haya hecho ejercicio de su derecho señalado en el literal /ii/ de la letra /f/ precedente.<br> **/i/** La SCM no podrá arrendar, entregar el uso o goce de los Derechos Mineros hasta que se extinga el Usufructo o una vez que SQM haya hecho ejercicio de su derecho señalado en el literal /ii/ de la letra /f/ precedente.<br> **<u>Dieciséis. Cuatro</u>. Interferencia con las operaciones de KM o de la SCM**.<br> **/a/** Si SQM, efectuando sus operaciones en el Área con motivo de la Reserva o del Usufructo, interfiere en algún momento con las operaciones de KM o de la SCM, según corresponda, la afectada enviará una comunicación por escrito a SQM señalando y demostrando las razones de dicha interferencia para que - en un plazo de al menos treinta Días Hábiles- adecue sus actividades o las suspenda por un periodo no superior a un mes.<br> En dicha comunicación además se indicará el lugar de interferencia y si SQM tiene que hacer retiro de maquinaria u otros materiales.<br> **/b/** En el evento que la SCM desee suspender las actividades de SQM por más de un mes, utilizará el procedimiento que se señala en la <u>Sección Dieciséis. Siete</u> sobre "Área de Instalaciones".<br> **<u>Dieciséis. Cinco</u>. Pagos por actividades de SQM**.<br> SQM no pagará monto alguno a KM o a la SCM, con motivo de lo expuesto en esta Cláusula, especialmente, pero no limitado a la Reserva y al Usufructo - distinto a su precio-, cuestión que es de la esencia de este Contrato.<br>| &nbsp;&nbsp; **/h/** On its own account and responsibility, and at its own cost, the SCM shall be bound to maintain, protect and shelter the Mining Rights, and keep them valid, until SQM had exercised the right previously stipulated as Option /ii/ in Item /f/ [SIC], and<br> **/i/** The SCM may not rent or lease out, or deliver the use or enjoyment of, the Mining Rights until the Usufruct had extinguished or SQM had exercised its right previously provided as Option /ii/ in Item /f/ [SIC].<br> **<u>16.4</u>. Interference with KM's or the SCM's Operations:**<br> **/a/** If while conducting operations in the Area in reason of the Reserve or the Usufruct, SQM interfered at any time with KM's or the SCM's operations, as applicable, the affected company shall advise SQM in writing thereof, providing proof of the reasons for any such interference, so that the latter may, within no less than 30 Business Days, adapt its activities, or suspend them for a period not exceeding one month.<br> The forenamed communication shall also include the place or places of interference, and whether or not SQM needed to remove any machines or other materials.<br> **/b/** In the event that the SCM wished that SQM suspended its activities for longer than one month, it shall follow the procedure on the "Facility Area" provided in <u>Section 16.7</u>.<br> **<u>16.5</u>. Payments for SQM's Activities:**<br> SQM shall not make any payments to KM or the SCM in reason of what has been provided in this clause, specially, but not limited to, the Reserve and the Usufruct, other than the corresponding price, and this matter shall be deemed an essential element hereof. |

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| &nbsp;&nbsp;**<u>Dieciséis. Seis</u>. Permisos y**<br> **autorizaciones**.<br> **/a/** SQM obtendrá los permisos y autorizaciones que sean necesarios para sus trabajos de exploración y de explotación en relación con las Sustancias No Metálicas, y cumplir con todas y cada una de las disposiciones legales y reglamentarias vigentes que procedan, en especial con la Ley número diecinueve mil trescientos y sus reglamentos y con la Ley veinte mil quinientos cincuenta y uno y su reglamento. KM o la SCM, según corresponda, suscribirá todo instrumento público o privado que sea necesario a objeto de permitir a SQM el ejercicio pleno de los derechos consagrados en esta Cláusula, sujeto a las limitaciones previstas en este Contrato.<br> **/b/** KM o la SCM, según corresponda, se obliga a permitir que SQM use y goce, en forma gratuita, los permisos y autorizaciones de que sea titular y que puedan ser útiles para las actividades de SQM.<br> **<u>Dieciséis. Siete</u>. Área de Instalaciones**.<br> **/a/** Sin perjuicio de otras autorizaciones y permisos que la SCM deba obtener, con el objeto de ocupar parte de la cara superficial de los Derechos Mineros con instalaciones de beneficio, pilas, minas, botaderos, caminos, líneas de transmisión, acueductos, emplazamiento e instalaciones de labores mineras, rajos, ripios e infraestructura en general que eventualmente sean necesarias para la explotación y beneficio de minerales, en adelante el "**Área de Instalaciones**", permitirá previamente a SQM explotar, descartar o condenar dicha área de una posible explotación de Sustancias No Metálicas, mediante la aplicación de los procedimientos de general aceptación de la industria. Para ello, la SCM comunicará a SQM de su intención de usar el Área de | &nbsp;&nbsp;**<u>16.6</u>. Permits and Authorizations:**<br> **/a/** SQM shall obtain all the permits and authorizations needed for its exploration or mining works regarding Non-Metallic Substances, and shall abide by all of applicable current legal and regulatory provisions, and especially by Law No. 19,300 and its regulations, and Law No. 20,551 and its regulation, and as applicable, KM or the SCM shall execute any or private instruments needed for enabling SQM to fully exercise all of its rights under this clause, conditioned to the limitations provided herein, and<br>**/b/** KM and the SCM hereby commit to enable SQM's gratuitous use and enjoyment of any permits and authorizations held by either of the former, as applicable, that may be useful for SQM's activities.<br> **<u>16.7</u>. Facility Area:**<br> **/a/** Without limiting any other authorizations and permits that the SCM must obtain to occupy a part of the surface of the Mining Rights with process facilities, heaps, piles, mines, dumps, roads, power lines, aqueducts, mine sites and facilities, galleries, sterile materials and infrastructure in general that may eventually be needed for mining and processing minerals, hereinafter called the "**Facility Area**", the SCM shall previously allow SQM to exploit Non-Metallic Substances in the stated area, or discard or reject it from any such potential exploitation, by applying procedures generally accepted by the industry, and for this purpose, the SCM shall advise SQM of its intention to use the Facility Area, and shall deliver a prefeasibility report thereto, at least 5 years before the date |

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| &nbsp;&nbsp;Instalaciones y le entregará un informe de pre-factibilidad con a lo menos cinco años de anticipación a la fecha en que desea ocupar el Área de Instalaciones.<br> **/b/** En tal evento, dentro del plazo de tres meses contados desde la recepción por parte de SQM de la referida comunicación, SQM podrá optar por: **- i-** extraer directamente las Sustancias No Metálicas del Área de las Instalaciones, dentro del plazo de cinco años ya indicado; o **- ii-** suspender sus actividades en el Área de Instalaciones para permitir su ocupación, recibiendo a título de indemnización una cantidad correspondiente al valor del margen económico de las Sustancias No Metálicas que se encuentran dentro del Área de Instalaciones, y que SQM no podrá explotar por todo el período que dure la ocupación, vencido el cual podrá continuar sus actividades para beneficiarse de ellos.<br> **/c/** Para establecer el margen se considerarán los siguientes parámetros: reservas afectadas, ley de yodo, ley de nitrato, ley de potasio, rendimientos globales de yodo SQM, rendimientos globales de nitrato SQM, rendimientos globales de potasio SQM, factor conversión de potasio igual a uno coma noventa y uno /representa la conversión de una tonelada de potasio en una tonelada de cloruro de potasio/, <u>margen operacional yodo - en US$/Kg-</u>: será el promedio obtenido por SQM en su planta "Nueva Victoria" en ventas de yodo directo durante los ciento ochenta días corridos anteriores a la última FECU presentada a aquel en que SQM informe el mismo, <u>margen operacional nitratos de sodio - en US$/TM-</u>: será el promedio obtenido por SQM en las ventas de nitrato de sodio y nitrato de potasio tanto para usos agrícolas como industriales en su planta "Coya Sur" durante los ciento | &nbsp;&nbsp;on which it wished to occupy the Facility Area;<br>**/b/** In such a case, within 3 months of having received the forenamed communication, SQM may opt: **- i-** for directly mining the Non-Metallic Substances in the Facility Area, within the already specified 5 year term, or **- ii-** for suspending its activities in the Facility Area to allow its occupation, and receive a compensation in an amount equivalent to the economic margin of the Non-Metallic Substances existing in the Facility Area, which SQM may not mine throughout the entire occupation period, and upon which period, it may continue its activities to benefit from such substances;<br>**/c/** The following parameters shall be used to determine the margin: the affected reserves; iodine, nitrate and potassium grades; SQM overall iodine, nitrate and potassium capacities; a 1.91 potassium conversion factor, representing the conversion of one tonne of potassium into one tonne of potassium chloride; the <u>iodine operational margin in USD/kg</u>, which shall be the average margin obtained by SQM at its "Nueva Victoria" plant, from direct iodine sales during a period of 180 calendar days immediately prior to the last filed FECU [Uniform, Coded Statistical Datasheet to be filed by Chilean corporations] in which SQM reported it; the <u>operational margin on sodium nitrates in USD/MT</u>, which shall be the average margin obtained by SQM at its "Coya Sur" plant, from sales of sodium and potassium nitrates for both agricultural and industrial use during a period of 180 calendar days immediately prior |

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| &nbsp;&nbsp;ochenta días corridos anteriores a aquel en que SQM informe el mismo; <u>margen operacional cloruro de potasio - en US$/TM-</u>: será el promedio obtenido por SQM en ventas de cloruro de potasio en su planta "MOP G III", durante los ciento ochenta días corridos anteriores a aquel en que SQM informe el mismo. Todos los parámetros antes mencionados tendrán que ser consistentes con aquellos incluidos en los informes oficiales de gestión de SQM a su directorio.<br> **/d/** Para cuantificar las Sustancias No Metálicas existentes en el Área de Instalaciones, las Partes encargarán a un tercero independiente la ejecución de un estudio de reservas, el que será ejecutado dentro de un plazo máximo de tres meses.<br> **/e/** Las Partes podrán de mutuo acuerdo modificar uno o más de los parámetros establecidos en esta Sección.<br> En cuanto a las plantas, y para el caso que alguna de ellas cese sus operaciones o baje sustantivamente su nivel de operaciones, se entiende que SQM usará la referencia de aquellas que las reemplacen como la principal planta asociada a cada uno de los productos indicados.<br> **<u>Dieciséis. Ocho</u>. Instrumentos**.<br> En caso de requerirlo SQM, KM y/o la SCM procurarán el otorgamiento de todos los instrumentos públicos o privados que fueren necesarios para perfeccionar acabadamente la Reserva, constitución de Usufructo y compraventa de minerales in situ.<br> **<u>DÉCIMO SÉPTIMO</u>: DERECHO PREFERENTE PARA LA COMPRA DE LOS DERECHOS MINEROS.**<br> **/a/** Previo cumplimiento de los demás requisitos que hayan acordado las Partes, la SCM podrá - directa o indirectamente-abandonar, reducir, desamparar, caducar, | &nbsp;&nbsp;that in which SQM reported it; the operational <u>margin of potassium chloride in USD/MT</u>, which shall be the average margin obtained by SQM at its "MOP G III" plant, from sales of potassium chloride during a period of 180 calendar days immediately before that in which SQM reported it, with all of these parameters mandatorily consistent with those included in the official SQM management reports submitted to the Board of Directors thereof;<br> **/d/** In order to quantify the Non-Metallic Substances existing in the Facility Area, the Parties shall entrust a study of reserves to an independent third party, to be conducted within a maximum period of three months, and<br> **/e/** By mutual agreement, the Parties may modify one or more of the parameters defined in this Section.<br> In the event that SQM stopped, or substantively lowered the level of, operations at any of its plants, the references used shall be deemed to be those plants replacing them replacing them as main plants with regard to the respectively specified products.<br> **<u>16.8</u>. Instruments:**<br> If SQM so required, KM or the SCM shall do their best to execute any and all public or private instruments needed to fully conclude the Reserve, the Usufruct establishment, and the purchase of minerals in-situ.<br> **<u>SEVENTEENTH</u>: - RIGHT OF FIRST REFUSAL TO PURCHASE THE MINING RIGHTS:**<br> **/a/** Before meeting the rest of the requirements agreed by the Parties, the SCM may directly or indirectly abandon, reduce, desert, waive or extinguish all or any part of |

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| &nbsp;&nbsp;renunciar o extinguir en todo o parte los Derechos Mineros, pedimentos, manifestaciones, concesiones mineras de exploración o de explotación que en el futuro solicite, adquiera y/o constituya, que abarquen total o parcialmente el Área y/o el Área de Interés, en adelante todos ellos denominados como los "**Derechos Mineros a Abandonar**" y este derecho denominado como el "**Derecho a Renuncia**". El ejercicio del Derecho a Renuncia se regulará en el Pacto de Socios.<br> **/b/** La SCM, previo a ejercer su Derecho a Renuncia, se obliga a informarle a SQM de su decisión y a ofrecerle vender el Derecho Minero a Abandonar respectivo. El ejercicio de este derecho por SQM se regulará en el Pacto de Socios.<br> **/c/** Sin perjuicio de lo anterior, SQM tendrá un derecho preferente para comprar o adquirir el o los Derechos Mineros, en el mismo precio, en los mismos términos y condiciones, que aquellos que ofrezca un tercero a la SCM. La decisión de SQM de comprar se deberá comunicar dentro de sesenta días corridos desde que haya recibido toda la información por parte de la SCM. El ejercicio de este derecho se regulará en el Pacto de Socios.<br> **<u>DÉCIMO OCTAVO</u>: RESPONSABILIDAD POR LABORES E INDEMNIDAD.**<br> KM asumirá cualquier costo o gasto relacionado con responsabilidades de cualquier naturaleza, incluyendo ambiental, que pudieren derivarse de las labores que efectúe en los Derechos Mineros, de cualquier naturaleza que las mismas sean, y que fueren imputables a KM, y/o sus contratistas. KM se obliga a mantener libre e indemne a SQM de cualesquiera acciones, demandas, reclamos, procedimientos, sanciones, o cualesquiera actuaciones - de cualquier naturaleza que éstas fuesen- que | &nbsp;&nbsp;the Mining Rights, requests of mining claims for exploration, statements of discovery, mining claims for exploration or exploitation that it may request, purchase or be awarded in the future in the entirety of any part of the Area or the Area of Interest, or let any thereof expire, hereinafter collectively called the "**Mining Rights to Be Abandoned**", with this right hereinafter called the "**Right of Waiver**", and the exercise thereof regulated in the Partnership Agreement;<br> **/b/** The SCM hereby commits to advise SQM of its decision, and offer to sell the corresponding Mining Right to Be Abandoned thereto, before exercising its Right of Waiver, and the exercise of this right by SQM shall be regulated in the Partnership Agreement, and **/c/** Notwithstanding the foregoing, SQM shall have a right of first refusal to purchase or acquire the Mining Rights, at the same price, and in the same terms and conditions, offered by any third parties to the SCM, with SQM advising the latter of its purchase decision within 60 calendar days of receiving all the information from the former, and the exercise of this right regulated in the Partnership Agreement.<br> **<u>EIGHTEENTH</u>: - LIABILITY FOR WORKS AND INDEMNITY:**<br> KM shall bear all costs and expenses in connection with any kind of liabilities, including environmental ones, resulting from its works of whatever nature in the Mining Rights and attributable to KM, or any of its contractors. KM hereby promises to hold SQM harmless in, and free of, any actions, claims, complaints, proceedings, penalties, or any other kind of procedures that may be filed by any third parties or the authorities against SQM for any such liabilities. |

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| &nbsp;&nbsp;pudiesen intentar terceros o la autoridad, en contra de SQM en virtud de las responsabilidades señaladas.<br> Si no obstante lo señalado, SQM resultase obligada a pagar una suma de dinero en virtud de las acciones, demandas, reclamos, procedimientos, sanciones o actuaciones antes referidos, ya sea a título de multa, indemnización de perjuicios, rehabilitación de áreas, programas de cierres de faenas, o por cualquier otra razón, causa o motivo, KM estará obligada a pagar o a reembolsar, en su caso, a SQM todas las cantidades que, en virtud de lo expuesto, hubiese sido obligada a pagar. Lo dispuesto en esta Cláusula subsistirá y continuará vigente al término del Contrato.<br> **<u>DÉCIMO NOVENO</u>: FUERZA MAYOR O**<br> **CASO FORTUITO.**<br> **/a/** Para efectos del presente Contrato, se entenderá por fuerza mayor o caso fortuito, en adelante "**Fuerza Mayor o Caso Fortuito**", el imprevisto a que no es posible resistir, como un naufragio, un terremoto, el apresamiento de enemigos, los actos de autoridad ejercidos por un funcionario público, etc. según se define en el artículo cuarenta y cinco del Código Civil.<br> **/b/** La Parte afectada por el evento de Fuerza Mayor o Caso Fortuito comunicará a la otra Parte en un plazo no mayor a cinco Días Hábiles, la existencia del evento y su fecha de inicio, así como una estimación de su duración y las medidas de mitigación que propone adoptar, todo lo cual será requisito para que, mientras dure tal evento de Fuerza Mayor o Caso Fortuito, se pueda suspender el cumplimiento de la obligación cuyo cumplimiento es impedido, la cual - en todo caso- se hará exigible una vez que cese tal evento de Fuerza Mayor o Caso Fortuito. | &nbsp;&nbsp; <br>Notwithstanding, if SQM had to pay any moneys as a result of any such actions, claims, complaints, proceedings, penalties, or procedures, as fines, compensation for damages, of areas, site closure programs, or for any other reasons or causes, KM must mandatorily pay or reimburse, as applicable, any and all amounts owed by SQM by virtue of the foregoing. The provisions of this clause shall survive and continue to be effective upon termination hereof.<br>**<u>NINETEENTH</u>: - FORCE MAJEURE OR**<br> **UNFORESEEABLE CIRCUMSTANCES:**<br> **/a/** For the purposes of this Agreement, force majeure or unforeseeable circumstance, hereinafter called a "**Force Majeure or Unforeseeable Circumstance**", shall be understood as any unexpected events that it were not possible to withstand, such as shipwreck, earthquake, enemies' arrest, or acts of authority by public officers, etc., as defined in Article 45 of the Civil Code;<br> **/b/** The Party affected by a Force Majeure or Unforeseeable Circumstance shall inform the other thereof, in a maximum term of 5 Business Days, stating the start date and estimated duration thereof, and the intended mitigation measures, all of which shall be required for suspending the need to meet any concerned obligations while the Force Majeure or Unforeseeable Circumstance continued, which in any case, shall be enforceable again thereafter; |

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| &nbsp;&nbsp;**/c/** El cumplimiento de la obligación de reembolso de las patentes mineras pactado en la <u>Sección Quince. Uno</u> no se podrá diferir ni suspender por ningún motivo.<br> **/d/** Si suma de los periodos de eventos de Fuerza Mayor o Caso Fortuito que afecten a KM superaren dieciocho meses, SQM tendrá la facultad de poner término al Contrato, sin derecho a indemnización para KM, con efecto a partir del décimo quinto día siguiente al día en que KM reciba una comunicación en tal sentido.<br> **/e/** Las Partes se reunirán para, de buena fe, acordar los ajustes que en su caso fueren necesarios a los plazos previstos en este Contrato, suscribiendo la correspondiente modificación.<br> **<u>VIGÉSIMO</u>: ANTICORRUPCIÓN**<br> **/a/** KM acuerda dar cumplimiento al Código de Conducta para Socios Comerciales de SQM, a la Política de Cumplimiento Anti Soborno y Corrupción de Sociedad Química y Minera de Chile S.A. y sus empresas relacionadas, en adelante las "**Políticas SQM**", y a todas las leyes aplicables, incluyendo leyes anti soborno, sobre lavado de dinero, financiamiento del terrorismo y receptación, contenidas en las leyes de Chile y la Ley de los Estados Unidos sobre Prácticas Corruptas Extranjeras U.S. Foreign Corrupt Practices Act, "FCPA", en adelante las "**Leyes Anticorrupción**".<br> **/b/** KM asegurará que los bienes que vienen directa o indirectamente de SQM, o aquellos a los cuales tuvo acceso en virtud de este Contrato, cualquiera sea su naturaleza, no serán usados para propósitos ilegales o como parte de cualquier delito bajo las Leyes Anticorrupción. KM declara que no ha hecho ni ha prometido hacer, y acuerda no hacer ni prometer hacer, en relación a este Contrato, ningún pago o transferencia de cualquier | &nbsp;&nbsp;**/c/** Meeting the obligation of reimbursing the mining patents stipulated in <u>Section 15.1</u> may not be deferred or suspended for any reasons whatsoever;<br> **/d/** If the aggregated periods of Force Majeure or Unforeseeable Circumstances affecting KM exceeded 18 months, SQM shall be entitled to terminate the Agreement, without any compensation to KM, and effective the fifteenth day after KM's receipt of a notice in this sense, and<br> **/e/** The Parties shall meet, in good faith, to agree on any adjustments to the terms stipulated herein and shall execute any consequent amendments hereto.<br> **<u>TWENTIETH</u> – ANTICORRUPTION:**<br> **a/** KM hereby agrees to abide by SQM's Code of Conduct for Commercial Partners, and the Anti-Bribery and Anticorruption Compliance Policy of Sociedad Química y Minera de Chile S.A. and its related companies, hereinafter called "**SQM's Policies**", and by all applicable provisions against bribery, money laundering, terrorist financing and the receipt of stolen property contained in Chilean laws and the U.S. Foreign Corrupt Practices Act, "FCPA", hereinafter called the "**Anticorruption Laws**";<br>**/b/** KM shall ensure that all assets coming directly or indirectly from SQM, or those to which it gained access by virtue hereof, regardless of their nature, will not be used for illegal purposes or as a part of any crimes under the Anticorruption Laws. KM hereby states that, in connection with this Agreement, it has not made, or promised to make, and agrees not to make or promise to make, any direct or indirect payments or |

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| &nbsp;&nbsp;cosa de valor, directa o indirectamente, **/i/** a cualquier persona que trabaje en calidad oficial para un gobierno, entidad pública /incluyendo empleados de sociedades anónimas de propiedad o controladas por el gobierno/ u organización pública internacional; **/ii/** a cualquier partido político, funcionario de un partido político o candidato; **/iii/** a un intermediario para que éste pague a cualquiera de los anteriores; **/iv/** a cualquier funcionario, director, empleado o representante de cualquier cliente efectivo o potencial de SQM; **/v/** a cualquier funcionario, director o empleado de SQM o cualquiera de sus personas relacionadas; o **/vi/** a cualquier otra persona o entidad si dicho pago o transferencia infringe las leyes del país en el cual sea hecho, las Políticas SQM o las Leyes Anticorrupción. Es la intención de ambas Partes que no se hagan pagos o transferencias de valor que tengan el objeto o efecto de soborno o "coima" o, en general, acciones o usos de bienes o dineros en relación a entidades o funcionarios públicos o privados que constituyan la realización de actos ilegítimos o inadecuados en conformidad con las Políticas SQM, las Leyes Anticorrupción y las leyes aplicables.<br> **/c/** KM no estará autorizado bajo ninguna circunstancia, ni bajo la instrucción de SQM o sus empleados o representantes, a realizar cualquiera de las actividades prohibidas por las Políticas SQM, las Leyes Anticorrupción, o cualquier otra ley aplicable, ni siquiera bajo pretexto de dar cumplimiento a las instrucciones de SQM o constituir un beneficio para SQM.<br> **/d/** KM acuerda adherir en forma íntegra y total a las Políticas de SQM, y declara haber recibido una copia completa de las mismas, las cuales se encuentran disponibles en <u>http://ir.sqm.com.</u> | &nbsp;&nbsp;transfers of anything of value **/i/** to any persons working as officials of any governments, international public organizations or public entities, including employees of state owned or controlled corporations; **/ii/** to any political parties, officials thereof or candidates; **/iii/** to any intermediaries for payment to any of the foregoing; **/iv/** to any officials, directors, employees or representatives of any of SQM's actual or potential clients; **/v/** to any of SQM's officials, directors, employees or related persons, or **/vi/** to any other individuals or entities, in violation of the laws of the countries in which such payments or transfers were made, or SQM's Policies or the Anticorruption Laws, and both Parties hereby intend that no payments or transfers of value be made with an aim at bribery, and generally that, in connection with entities or public or private officials, no actions be taken or uses made of assets or moneys involving illegitimate or improper acts according to SQM's Policies, the Anticorruption Laws and all applicable laws;<br>**/c/** KM shall not be authorized to do any of the activities forbidden by SQM's Policies, the Anticorruption Laws, or any other applicable laws, under any circumstances, not even on instructions from SQM, or its employees or representatives, or under the guise of following SQM's directives or benefitting the latter;<br> **/d/** KM hereby agrees to fully adhere to all of SQM's Policies, and states that it has received a complete copy thereof, which may also be found at <u>http://ir.sqm.com;</u> |

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| &nbsp;&nbsp;**/e/** KM asegura que los empleados bajo su dependencia y cualquier persona que tenga relación con SQM, se abstendrán de ejecutar, en sus relaciones o vínculos con SQM, cualquier acto que sea ilegal, inadecuado o contrario a las conductas establecidas en las Políticas SQM.<br> **/f/** KM informará inmediatamente a SQM cualquier situación de la que tome conocimiento que pueda resultar en el uso ilegal de los dineros o bienes de SQM o en una violación de las Políticas SQM o de las Leyes Anticorrupción.<br> **/g/** El incumplimiento de esta Cláusula será considerado un incumplimiento grave, material o esencial de las obligaciones impuestas por el Contrato y facultará a SQM a ponerle término inmediato, sin responsabilidad para SQM, y KM indemnizará y mantendrá a SQM indemne por cualquier demanda, pérdida o daño que resulte o se relacione a dicho incumplimiento. Todas las denuncias de KM podrán realizarse ingresando al portal web externo <u>www.SQM.ethicspoint.com</u> o a través de las líneas de teléfono disponibles de acuerdo con su ubicación, especificadas en dicho portal.<br> **<u>VIGÉSIMO PRIMERO</u>: CONFIDENCIALIDAD.**<br> **<u>Veintiuno. Uno</u>. No divulgación de la información.**<br> Toda la información obtenida en relación a la Exploración que efectúe KM será confidencial y, salvo lo dispuesto más adelante, no la entregará ni comunicará a tercero alguno ni al público en general, sin el consentimiento previo y por escrito de SQM.<br> **<u>Veintiuno. Dos.</u> Excepciones a la no divulgación de la información.**<br> El consentimiento requerido no será necesario en los casos en que se entrega información a: | &nbsp;&nbsp;**/e/** KM hereby assures that its employees and any other persons working in connection with SQM shall abstain, in their relations or associations with SQM, from doing anything illegal, improper or contrary to the behaviours defined in any of SQM's Policies;<br> **/f/** KM shall promptly advise SQM of any situations of which it became aware that may result in any illegal uses of SQM's moneys or assets, or in infringements of SQM's Policies or the Anticorruption Laws, and<br> **/g/** Failing to meet the provisions of this clause shall be deemed a serious material or essential breach of the obligations hereunder, and shall enable SQM to immediately terminate this Agreement, without any liability for SQM, and KM shall hold SQM harmless from, and compensate the latter for, any claims, losses or damages that may result from or in connection with any such breaches, for which purposes, any breaches by KM may be reported on the external web portal: <u>www.SQM.ethicspoint.com,</u> or by calling any of the phone lines available per location, as specified on the forenamed portal.<br> **<u>TWENTY FIRST</u>: - CONFIDENTIALITY: <u>21.1</u>. Non-Disclosure of Information:**<br> All information obtained by KM in connection with the Exploration works shall be confidential, and except as provided hereinafter, may not be delivered or communicated to any third parties or the general public, without SQM's prior written consent.<br> **<u>21.2.</u> Information Disclosure Exceptions:** SQM's consent shall not be necessary whenever KM delivered the information: |

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| &nbsp;&nbsp;**/a/** sus filiales, directores, trabajadores, consultores, representantes, asesores, contratistas o subcontratistas que tengan la necesidad de ser informados para el cumplimiento de este Contrato, quienes a su vez asumirán la obligación de confidencialidad de la información que reciban y la obligación de no adquirir, directa o indirectamente o a través de terceros, derecho alguno en el Área ni en el Área de Interés;<br> **/b/** una agencia u organismo federal o estatal<br> o cuerpo regulatorio, especialmente bolsas de valores, de acuerdo con las leyes o reglamentos pertinentes; o<br> **/c/** cuando la información de que se trate ya sea parte del dominio público excepto si fuere por su divulgación en infracción de esta Cláusula.<br> **<u>Veintiuno. Tres</u>. Plazo de la Confidencialidad**.<br> Las disposiciones de esta Cláusula se aplicarán durante la vigencia del Contrato y durante dos años después de su término y/o continuarán aplicándose durante la vigencia de la SCM, en el caso que ésta se constituya.<br> **<u>VIGÉSIMO SEGUNDO</u>: CESIÓN, SUCESORES Y CESIONARIOS.**<br> **<u>Veintidós. Uno</u>. Cesión de posición contractual**.<br> KM no podrá vender, ceder, transferir o de cualquier forma disponer de sus derechos ni novar sus obligaciones que emanan de este Contrato. Sin perjuicio de lo anterior, KM podrá únicamente ceder la totalidad de su posición contractual en este Contrato sujeto a que a esa fecha esté en cumplimiento de sus obligaciones emanadas del Contrato, y que además el adquirente cumpla con las siguientes condiciones copulativas:<br> **/a/** que sea una filial de KM;<br> **/b/** que declare, en el contrato que sirve de | &nbsp;&nbsp;**/a/** to its any of subsidiaries, directors, workers, consultants, representatives, counsellors, contractors or sub-contractors needing to be informed for the implementation hereof, who shall, in turn, undertake the obligations of keeping any information received confidential, and of not, directly, indirectly or through any third parties, acquiring any rights in the Area or the Area of Interest, or<br> **/b/** to any federal or state agencies or organizations, or regulatory bodies, specially stock markets, pursuant to any relevant laws or regulations, or<br> **/c/** whenever the information were already publicly known, except if disclosed in breach of this clause.<br> **<u>21.3</u>. Confidentiality Term:**<br> The provisions of this clause shall apply throughout the duration hereof and for two years thereafter, or shall remain in force while the SCM is effective, if it were incorporated.<br>**<u>TWENTY SECOND</u> - ASSIGNMENT, SUCCESSORS AND ASSIGNEES:**<br> **<u>22.1</u>. Assignment of the Contractual Position:**<br> KM may not sell, assign, transfer, or in any way dispose of, any of its rights, or novate any of its obligations, hereunder. Notwithstanding, KM may only assign its entire contractual position herein, provided that it had then met all of its obligations hereunder, and that the assignee also met the following concurrent conditions:<br>**/a/** That it were one of KM's subsidiaries;<br> **/b/** That it stated its consent and acceptance |

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| &nbsp;&nbsp;título a su adquisición, su consentimiento y aceptación respecto del presente Contrato; **/c/** que en el mismo título se obligue a cumplir las obligaciones que la Parte cedente ha contraído en virtud de este Contrato, en los mismos términos y como si este Contrato hubiere sido originalmente celebrado por dicho adquirente.<br> **/d/** que en el mismo título acepte que<br> cualquier posterior venta, cesión, transferencia u otra disposición en relación al Contrato, estarán sujetos a las mismas restricciones y condiciones contenidas en esta Cláusula;<br> **/e/** que el adquirente o alguna de sus empresas relacionadas /según se define en la Ley Número dieciocho mil cuarenta y cinco sobre Mercado de Valores/, no sea productor de carbonato de litio, hidróxido de litio, cloruro de litio, yodo, sales de yodo orgánico e inorgánico, yodo prilado, nitrato de potasio, nitrato sódico potásico o nitrato de sodio;<br> **/f/** que el adquirente mantenga a esa fecha un balance auditado con una condición financiera que permita el cumplimiento de sus obligaciones en este Contrato, lo que será acreditado con la opinión de una firma contable o financiera de reconocido prestigio seleccionada por mutuo acuerdo entre SQM y KM; y<br> **/g/** que apruebe, al momento de efectuarse la venta, cesión, transferencia o disposición, un due diligence bajo los estándares FCPA /Foreign Corrupt Practices Act/ de Estados Unidos, de acuerdo a los términos de la <u>Sección Nueve. Uno</u> y a las Políticas SQM. Este due diligence será efectuado por y a costa de <u>SQM. KM</u>, o su respectivo sucesor, y el adquirente cooperarán en el desarrollo de este due diligence y otorgarán toda la información que solicite SQM. | &nbsp;&nbsp;hereof in the assignment agreement;<br> **/c/** That, in the same agreement, it committed to meet all of the assignor's obligations hereunder, in the same terms and as if this Agreement had been originally signed by the assignee;<br> **/d/** That, in the same agreement, it accepted that any subsequent sale, assignment, transfer or other disposal hereof shall be subject to the restrictions and conditions stipulated in this clause;<br> **/e/** That neither the assignee nor any of its related companies, as defined in Law No. 18,045 on stock markets, were a producer of lithium carbonate, lithium hydroxide, lithium chloride, iodine, organic or inorganic iodine salts, prilled iodine, or potassium, sodium-potassium or sodium nitrates;<br> **/f/** That, as of that date, the assignee kept an audited balance sheet with a financial situation enabling it to meet its obligations hereunder, which shall be certified by the opinion of a prestigious accounting or financial firm selected by mutual agreement between SQM and KM, and<br> **/g/** That, at the time of the sale, assignment, transfer or disposal, it had passed a due diligence per the United-States Foreign Corrupt Practices Act (FCPA) standards, the terms provided in <u>Section 9.1</u>, and SQM's Policies, which shall be completed by SQM, at its own cost, with KM, or its corresponding successor, and the assignee cooperating in this due diligence and providing all of the information that SQM requested. |

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| &nbsp;&nbsp;**<u>Veintidós. Dos</u>. Cesión por la SCM de los Derechos Mineros una vez ejercida la Promesa.**<br> La SCM no venderá, enajenará o entregará el uso o goce de los Derechos Mineros, sea total o parcial, a un productor exclusivo o productor relevante en Chile de Sustancias No Metálicas. Fuera de estos casos, la SCM podrá hacerlo siempre que cuente con la autorización de SQM e imponga al tercero la obligación de respetar los términos del Contrato que le sean aplicables.<br> **<u>Veintidós. Tres</u>. Cesionarios y**<br> **continuadores legales.**<br> Todas las veces que en este Contrato se mencione a KM o a SQM, dicha mención se entenderá también referida a sus respectivos cesionarios, continuadores legales o sucesores a cualquier título.<br> **<u>VIGÉSIMO TERCERO</u>: AVISOS,**<br> **COMUNICACIONES, NOTIFICACIONES Y CONTACTOS.**<br> **<u>Veintitrés. Uno</u>. Avisos, comunicaciones y notificaciones**.<br> Todos los avisos, comunicaciones o notificaciones que las Partes deban enviar, intercambiar o efectuar en virtud de lo expuesto en este Contrato serán siempre efectuados por escrito. Ellos se harán efectivos y se considerará que han sido entregados:<br> /a/ <u>Si es entrega por mano</u>: en la fecha de entrega si es efectuada en Día Hábil y durante horas normales de oficina, de lo contrario se entenderá entregada el Día Hábil siguiente;<br> /b/ <u>Si es por comunicación electrónica</u>: el Día Hábil siguiente al día en que se reciba la comunicación electrónica;<br> /c/ <u>Si es por correo certificado</u>: el Día Hábil siguiente a su recibo efectivo.<br>| &nbsp;&nbsp;**<u>22.2</u>. Assignment of the Mining Rights by the SCM after Fulfilling the Promise:**<br> The SCM may not fully or partly sell, dispose of, or convey, the use or enjoyment of the Mining Rights to any major producer of, or producer of only, Non-Metallic Substances in Chile. Apart from these cases, the SCM may do so, provided that it had SQM's authorization, and had any such third parties accept the obligation of adhering to all applicable terms hereof.<br> **<u>22.3</u>. Assignees and Legal Continuators:** Each and all references to KM or SQM herein shall be also deemed references to their respective assignees, legal continuators or successors in any capacity.<br>**<u>TWENTY THIRD</u> - NOTICES,**<br> **COMMUNICATIONS, NOTIFICATIONS AND CONTACTS:**<br> **<u>23.1</u>. Notices, Communications and Notifications:**<br> All notices, communications and notifications that the Parties must send, exchange or issue hereunder shall always be in writing, and shall be effective and deemed received:<br>/a/ <u>When delivered by hand:</u> On the date of delivery if it fell on a Business Day and during normal business hours; otherwise, on the next Business Day;<br> /b/ <u>When sent electronically:</u> On the Business Day following receipt thereof, and<br> /c/ <u>When sent by certified mail:</u> On the next Business Day after actual receipt thereof. |

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| &nbsp;&nbsp;**<u>Veintitrés. Dos</u>. Contactos**.<br> Los avisos, comunicaciones o notificaciones<br> se dirigirán a:<br> **/a/ Sociedad Química y Minera de Chile**<br> **S.A.**,<br> al señor Ricardo Gonzalez Montecinos,<br> dirección de correo electrónico <u>ricardo.gonzalez.montecinos@sqm.com</u>, con copia al señor Cristóbal González Ogaz,<br> dirección de correo electrónico <u>cristobal.gonzalez.ogaz@sqm.com</u>, ambos con domicilio en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, Comuna de Las Condes, Región Metropolitana, Chile; o, alternativamente, a la otra persona u otro domicilio que SQM oportunamente informará a KM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula; y<br> **/b/ Key Metals Corporation Chile SpA**, al señor César Andrés López Alarcón, dirección de correo electrónico <u>maco64@me.com</u>, con copia al señor Ignacio Joaquín López Alarcón, dirección de correo electrónico<br> <u>ignacio.lopez@chileinc.cl</u>, ambos con domicilio en calle Pedro de Villagra número dos mil trescientos cincuenta y uno, comuna de Vitacura; o, alternativamente, a la otra persona u otro domicilio que KM oportunamente informará a SQM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula.<br> **<u>VIGÉSIMO CUARTO</u>: PAGO E**<br> **IMPUTACIONES EN DÓLARES.**<br> Salvo disposición específica en contrario en el presente Contrato, todos los pagos e imputaciones y demás similares que se efectúen en Dólar en virtud de lo expuesto en este Contrato se calcularán, previamente y para tal efecto, de acuerdo con el valor | &nbsp;&nbsp;**<u>23.2</u>. Contacts:**<br> All notices, communications or notifications shall be addressed:<br> **/a/ For Sociedad Química y Minera de Chile S.A.**, to: Ricardo Gonzalez Montecinos, e-mail: <u>ricardo.gonzalez.montecinos@sqm.com</u>,<br> with copy to Cristóbal González Ogaz, e-mail: <u>cristobal.gonzalez.ogaz@sqm.com</u>, both with legal address at 4,281, El Trovador, 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, Chile, or alternatively, to any other addressees or addresses that SQM promptly communicated to KM in writing for such purposes, as provided in this clause, and<br>**/b/ For Key Metals Corporation Chile SpA**, to: César Andrés López Alarcón, e-mail: <u>maco64@me.com</u>, with copy to Ignacio<br> Joaquín López Alarcón, e-mail: <u>ignacio.lopez@chileinc.cl</u>, both with legal address at 2,351, Pedro de Villagra St., Vitacura borough, or alternatively, to any other addressees or addresses that KM promptly communicated to SQM in writing for such purposes, per this clause.<br>**<u>TWENTY FOURTH</u> - PAYMENTS AND CHARGES IN DOLLARS:**<br> Save as specifically provided herein, all payments and charges, and the like, made in Dollars hereunder shall be previously determined according to the Dollar unit value called "*observed dollar*" and referred to in Title I, Chapter I, Item 6, of the Compendium |

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| &nbsp;&nbsp;unitario del Dólar a que se hace referencia en el Título I, Capítulo I, número seis, del Compendio de Normas de Cambios Internacionales del Banco Central de Chile denominado "dólar observado" que aparezca publicado en el Diario Oficial del Día Hábil bancario anterior al día del pago e imputación que proceda y, consiguientemente, se podrán efectuar en pesos moneda nacional.<br> **<u>VIGÉSIMO QUINTO</u>: PAGO POR**<br> **TRANSFERENCIA ELECTRÓNICA DE FONDOS.**<br> Los pagos que KM efectúe a SQM por medio de transferencia electrónica de fondos se harán a la cuenta bancaria que para tal efecto SQM le comunique. Para todos los efectos legales, el pago se entenderá efectuado el día en que la cantidad correspondiente al mismo se encuentre totalmente disponible en la cuenta de SQM. Será obligación de KM enviar a SQM los documentos que den prueba de la transferencia de fondos.<br> **<u>VIGÉSIMO SEXTO</u>: INVALIDEZ O**<br> **INEXIGIBILIDAD.**<br> La invalidez o inexigibilidad de una parte o Cláusula de este Contrato no afectarán la validez u obligatoriedad de otra parte o Cláusula del mismo. Toda parte o Cláusula inválida o inexigible se considerará separada de este Contrato; entendiéndose que las Partes negociarán, de buena fe, una modificación a tal Cláusula inválida o inexigible, con el objeto de cumplir con la intención original de las Partes.<br> **<u>VIGÉSIMO SÉPTIMO</u>: TÉRMINO**<br> **ACUERDOS ANTERIORES.**<br> Este Contrato deja sin efecto y reemplaza, totalmente y a partir de este mismo momento, todo otro acuerdo, conversación, convenio, carta, e-mail, fax o contrato oral o escrito que SQM y KM puedan haber anteriormente | &nbsp;&nbsp;of Foreign Exchange Regulations of the Central Bank of Chile, as published in the Official Gazette on the bank Business Day prior to the date of the applicable payment and charge, and consequently, shall be made in Chilean pesos, the national currency.<br>**<u>TWENTY FIFTH</u> - PAYMENT BY**<br> **ELECTRONIC TRANSFER OF FUNDS:**<br> Any payments by KM to SQM via electronic transfer of funds shall be made to the bank account informed by SQM to KM to this end. For all legal purposes, such payment shall be deemed made on the day when the corresponding amounts were fully available in SQM's account. It shall be KM's obligation to forward the documents evidencing each of such transfers of funds to SQM.<br>**<u>TWENTY SIXTH</u> - SEVERABILITY:**<br> If any clauses or parts hereof were invalid or unenforceable, the validity or obligatory nature of the rest of the clauses and parts hereof shall not be affected. Any such invalid or unenforceable clauses or parts shall be deemed separated from this Agreement, in the understanding that the Parties shall, in good faith, negotiate amendments of such invalid or unenforceable clauses, so that they meet their original intention.<br> **<u>TWENTY SEVENTH</u> - TERMINATION OF PREVIOUS AGREEMENTS:**<br> Hereon, this Agreement shall fully annul and replace any other agreements, discussions, contracts, letters, e-mails, faxes, and oral or written contracts, previously executed or agreed at any time by SQM and KM with |

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| &nbsp;&nbsp;suscrito o acordado en cualquier tiempo y con respecto de los Derechos Mineros y de las demás materias indicadas en este instrumento. Por este acto, las Partes dan por terminado el Memorándum de Entendimiento celebrado por las Partes de fecha dieciocho de junio de dos mil veintiuno.<br> **<u>VIGÉSIMO OCTAVO</u>: MODIFICACIONES A ESTE CONTRATO.**<br> Toda modificación total o parcial a uno cualquiera de los términos o Cláusulas de este Contrato, sólo y únicamente producirá sus efectos en la medida exclusiva de que ella haya sido previamente convenida por escrito por las Partes.<br> **<u>VIGÉSIMO NOVENO</u>: RENUNCIA.**<br> Si una Parte no insiste en el estricto cumplimiento de alguna disposición del Contrato, o si no ejerce un derecho, acción, reclamo o recurso en caso de su infracción, ello no constituirá una renuncia de una disposición del Contrato, ni limitará el derecho de esa Parte para, posteriormente, hacer cumplir una disposición o ejercer un derecho.<br> **<u>TRIGÉSIMO</u>: RESOLUCIÓN DE**<br> **CONFLICTOS.**<br> Todas las diferencias, dificultades o conflictos que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este Contrato, serán sometidas al conocimiento y decisión de los Tribunales Ordinarios de Justicia con competencia en la ciudad de Santiago.<br> **<u>TRIGÉSIMO PRIMERO</u>: DOMICILIO Y LEY APLICABLE.**<br> Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este Contrato se rige y regirá siempre por las leyes de la | &nbsp;&nbsp;regard to the Mining Rights or any other matters hereunder. The Parties hereby terminate the Memorandum of Understanding executed thereby on June 18, 2021.<br>**<u>TWENTY EIGHTH</u> – AMENDMENTS:** Any total or partial amendments of any terms or clauses hereof shall only and solely have effect to the extent that they were previously agreed in writing by the Parties.<br>**<u>TWENTY NINTH</u> – WAIVER:**<br> That a Party did not enforce the strict compliance with any provisions hereof, or did not exercise any rights, actions, claims or resorts in case of breaches hereof, shall neither be a waiver of any such provisions, nor limit that Party's right to subsequently enforce any of them or exercise any rights.<br>**<u>THIRTIETH</u> - CONFLICT RESOLUTION:** Any differences, difficulties or conflicts arising between the Parties for any reasons and under any circumstances, whether directly or indirectly relating hereto, shall be submitted for examination and resolution by the ordinary courts of justice with jurisdiction in the city of Santiago.<br>**<u>THIRTY FIRST</u> - LEGAL ADDRESS AND APPLICABLE LAWS:**<br> For all relevant purposes, the Parties hereby set their legal address in the city and borough of Santiago. This Agreement is and shall always be governed by the laws of the |

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| &nbsp;&nbsp;República de Chile.<br> **<u>TRIGÉSIMO SEGUNDO</u>: GASTOS.**<br> **<u>Treinta y dos. Uno</u>. Derechos notariales,**<br> conservatorios y de archivero judicial.<br> Todos los derechos notariales, conservatorios y de archivero judicial en que sea necesario incurrir o pagar con motivo de este Contrato, en especial con respecto a su otorgamiento, desistimiento total o parcial – de ser aplicable y autorizado por este Contrato-, término y ejercicio de la Promesa serán siempre pagados totalmente por KM a su exclusivo costo. KM, a su total y exclusivo costo, dentro del plazo de un mes desde la solicitud de SQM, se obliga a entregar a SQM copia de todas las inscripciones, cancelaciones, anotaciones y certificados que le solicite efectuar con motivo de lo anterior o de los requerimientos registrales al efecto, debidamente pagados por KM al Conservador de Minas respectivo.<br> **<u>Treinta y dos. Dos</u>. Informes de avances y gestiones.**<br> En el caso que KM entregue a SQM copia de los requerimientos registrales, en la forma y plazo señalados en la Sección anterior, entregará a SQM todas las inscripciones, cancelaciones y anotaciones que ésta le haya solicitado efectuar según esta Cláusula, dentro de un plazo de quince días corridos, contado desde la recepción de tales antecedentes por parte de KM del Conservador de Minas correspondiente. En todo caso, KM informará por escrito cada vez que SQM lo requiera y, al menos una vez por mes, los avances y gestiones realizadas ante el Conservador de Minas para la obtención de las inscripciones, cancelaciones y anotaciones referidas.<br> **TRIGÉSIMO TERCERO: FACULTAD AL PORTADOR.**<br> Se faculta al portador de copia autorizada de  | &nbsp;&nbsp;Republic of Chile.<br> **<u>THIRTY SECOND</u> –EXPENSES:**<br> **<u>32.1</u>. Notary, Registrar and Court Archivist Fees:**<br> All notary, registrar and court archivist fees incurred or paid in connection with this Agreement, and particularly for the execution hereof, the total or partial waiver hereof, as applicable and authorized herein, and the termination or exercise of the Promise, shall always be fully paid by KM, at its sole cost. Within one month of SQM's request and at its own cost, KM hereby commits to deliver a copy of all registrations, cancellations, annotations and certificates requested by the latter by virtue of the foregoing, or as needed for registration purposes, duly paid by KM to the relevant Mine Registrar.<br>**<u>32.2</u>. Reports on Progress and Paperwork:**<br> If KM delivered a copy of the registration requirements to SQM, in the manner and within the term stated in the preceding section, it shall also furnish SQM with all registrations, cancellations and annotations requested by the later per this clause, within a term of 15 calendar days of having received them from the relevant Mine Registrar. In any case, KM shall report to SQM in writing, whenever the latter required and at least once a month, on the progress and paperwork completed with the relevant Mine Registrar in order to have the aforesaid registrations, cancellations and annotations made.<br>**<u>THIRTY THIRD</u> – BEARER** <br> **AUTHORIZATION:**<br> The bearer of an authenticated copy hereof is |

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| &nbsp;&nbsp;la presente escritura para requerir las inscripciones y anotaciones que procedan en los registros pertinentes del Conservador de Minas respectivo.<br> **<u>PERSONERÍAS</u>**.<br> La personería de los señores José Miguel Gustavo Berguño Cañas y Pablo Andrés Altimiras Ceardi para actuar en representación de **Sociedad Química y Minera de Chile S.A.** consta en la escritura pública de fecha veintidós de diciembre del año dos mil veinte, otorgada en la Notaría de Santiago de doña María Soledad Santos Muñoz, repertorio número doce mil cuatrocientos treinta y nueve guion dos mil veinte.<br> La personería de don Ignacio Joaquín López Alarcón para actuar en representación de **Key Metals Corporation Chile SpA** consta en escritura pública de fecha quince de junio de dos mil veintiuno, otorgada en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera, repertorio número quince mil quinientos veintiuno guion dos mil veintiuno. Dichas personerías no se insertan por ser conocidas por las Partes y por haber estado a la vista del notario que autoriza.<br>PROTOCOLIZADO: En este acto se procede a protocolizar los siguientes anexos, que pasan a formar parte integrante de la presente escritura, bajo el Número 376: **/a/** "**<u>ANEXO DOS. DOS</u>:** PLANO".<br> **/b/** "**<u>ANEXO DIEZ. UNO /B/</u>:** ESTATUTOS SOCIALES".<br> **/c/** "**<u>ANEXO DIEZ. CINCO /B/</u>:** ACUERDO DE REGALÍA NSR E HIPOTECA Y PROHIBICIÓN SCM".<br> **/d/** "**<u>ANEXO DIEZ. SIETE</u>:** PACTO DE SOCIOS".<br> **/e/** "**<u>ANEXO DIECISÉIS. TRES /A/</u>:** USUFRUCTO". | &nbsp;&nbsp;hereby authorized to request any pertaining entries and annotations in the relevant Mine Registrars' books.<br>**<u>POWERS OF ATTORNEY:</u>** <br> José Miguel Gustavo Berguño Cañas and Pablo Andrés Altimiras Ceardi have been authorized to represent **Sociedad Química y Minera de Chile S.A.** in a document executed on December 22, 2020, at the Santiago Notary offices of María Soledad Santos Muñoz, and entered in the Journal under No. 12,439-2020.<br>Ignacio Joaquín López Alarcón has been authorized to represent **Key Metals Corporation Chile SpA** in a document signed on June 15, 2021, at the Santiago Notary offices of María Pilar Gutiérrez Rivera, and entered in the Journal under No. 15,521-2021.<br> These powers of attorney have not been inserted herein, because they are known by the Parties, and the authenticating Notary has seen them.<br> ENTRY IN THE PROTOCOL: The following appendices are hereby entered in the Protocol, and become an integral part of this public deed, under No. 376:<br> **/a/** "**<u>APPENDIX 2.2</u>:** MAP";<br> **/b/** "**<u>APPENDIX 10.1 /B/</u>:** ARTICLES OF INCORPORATION";<br> **/c/** "**<u>APPENDIX 10.5 /B/</u>:** NSR ROYALTY, MORTGAGE AND RESTRICTION AGREEMENT";<br> **/d/** "**<u>APPENDIX 10.7</u>:** PARTNERSHIP AGREEMENT", and<br> **/e/** "**<u>APPENDIX 16.2 /A/</u>:** USUFRUCT". |
| &nbsp;&nbsp;En comprobante y previa lectura, firman los comparecientes. Se dan copias. **DOY FE**.-<br>| &nbsp;&nbsp;In witness whereof and after readings its contents, the appearing individuals have signed this instrument. Copies have been give. **I ATTEST**.-<br><u>/s/ José Miguel Gustavo Berguño Cañas</u><br> José Miguel Gustavo Berguño Cañas<br> **For Sociedad Química y Minera de Chile S.A.**<br><u>/s/ Pablo Andrés Altimiras Ceardi</u><br> Pablo Andrés Altimiras Ceardi<br> **For Sociedad Química y Minera de Chile S.A.**<br><u>/s/ Ignacio Joaquín López Alarcón</u><br> Ignacio Joaquín López Alarcón<br> **For Key Metals Corporation Chile SpA** |

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| &nbsp;&nbsp;<br> **/a/ <u>ANEXO DOS. DOS</u>:** PLANO.<br>-*El resto de la página se deja <br> intencionalmente en blanco.*-<br>[Al dorso:] *- Esta página se deja <br> intencionalmente en blanco.-* | &nbsp;&nbsp;<br> **/a/ <u>APPENDIX 2.2</u>:** MAP<br>-*The remainder of this page has been <br> intentionally left blank.*-<br>[On the back:] -*This page has been <br> intentionally left blank*.- |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**/b/ <u>ANEXO DIEZ. UNO</u>:** ESTATUTOS<br> SOCIALES. | &nbsp;&nbsp;**/b/ <u>APPENDIX 10.1</u>:** ARTICLES OF<br> INCORPORATION |
| &nbsp;&nbsp;*-El resto de la página se deja<br> intencionalmente en blanco.-* | &nbsp;&nbsp;*-The remainder of this page has been<br> intentionally left blank.-* |
| &nbsp;&nbsp;[Al dorso] *- El resto de la página se deja<br> intencionalmente en blanco.-* | &nbsp;&nbsp;[On the back] *- The remainder of this page<br> has been intentionally left blank.-* |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**CONSTITUCIÓN DE SOCIEDAD**<br> **SOCIEDAD CONTRACTUAL MINERA [●]**<br>**TÍTULO PRIMERO.- NOMBRE,<br> DOMICILIO, DURACIÓN Y OBJETO.-**<br>**<u>PRIMERO</u>: NOMBRE.**<br>El nombre de la sociedad es "**Sociedad Contractual Minera [●]**", en adelante la "<u>Sociedad</u>", pudiendo utilizar para todos los fines legales la denominación abreviada "SCM **[●]**".<br>**<u>SEGUNDO</u>: DOMICILIO.**<br> El domicilio de la Sociedad es la ciudad de Santiago, Región Metropolitana, sin perjuicio de la constitución de agencias, oficinas, sucursales o establecimientos en cualquier punto del país o en el extranjero. Las Juntas de Socios se celebrarán en la ciudad de Santiago, a menos que los socios acuerden por unanimidad hacerlo en otro lugar.<br>**<u>TERCERO</u>: DURACIÓN.**<br> El plazo de duración de la Sociedad es de setenta y cinco años a contar de la fecha la presente escritura de constitución social. Este plazo se entenderá automáticamente prorrogado por periodos iguales y consecutivos de diez años cada uno salvo que cualquiera de los socios manifieste su intención de ponerle término con a lo menos seis meses de anticipación al vencimiento del plazo original o de cualquiera de sus prórrogas, mediante declaración efectuada por escritura pública de la cual se tomará nota al margen de la inscripción de la Sociedad en el Registro de Propiedad del Conservador de Minas del domicilio social.<br>**<u>CUARTO</u>: OBJETO.**<br> El objeto de la Sociedad es: **/a/** explorar, reconocer, prospectar e investigar, desarrollar y explotar yacimientos mineros a fin de extraer, producir y procesar minerales, concentrados u otros productos procedentes | &nbsp;&nbsp;**INCORPORATION**<br> **SOCIEDAD CONTRACTUAL MINERA [●]**<br>**TITLE I – NAME, LEGAL ADDRESS,<br> DURATION AND BUSINESS**<br>**<u>FIRST</u> - NAME:**<br> The company's name shall be "**Sociedad Contractual Minera [●]**", hereinafter called the "<u>Company</u>", and it may use the fantasy acronym "SCM **[●]**" for all legal purposes.<br>**<u>SECOND</u> – LEGAL ADDRESS:**<br> The Company shall be headquartered in the city of Santiago, Metropolitan Region, notwithstanding any agencies, offices, branches or establishments that it may set up anywhere in the country or abroad. The Partners' Meetings shall be held in the city of Santiago, unless otherwise agreed by the partners.<br>**<u>THIRD</u> - DURATION:**<br> The Company's duration shall be 75 years of the date hereof. This term shall be deemed automatically extended for equal consecutive periods of 10 years, unless any of the partners expressed its intention to dissolve it at least 6 months before the expiry of the initial term or any extensions thereof, in a notarized and registered statement, noted on the margin of the Company's entry in the Book of Properties of the Mine Registrar corresponding to the registered Company address.<br>**<u>FOURTH</u> - BUSINESS:**<br> The Company's business shall be: **/a/** to explore for, survey, prospect and study, develop and exploit, ore deposits, in order to mine, produce and process minerals, concentrates or other products from mineral |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 2/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;de sustancias minerales, pudiendo para estos efectos instalar y operar plantas de beneficio y tratamiento de minerales; constituir y adquirir derechos mineros de cualquiera naturaleza; vender, transportar, exportar y comercializar sustancias y productos minerales;<br> **/b/** el beneficio de minerales, tratamiento, procesamiento, producción, uso, transporte, exportación y comercialización de los minerales obtenidos de yacimientos mineros; **/c/** el financiamiento del desarrollo y explotación de los yacimientos mineros;<br> **/d/** la construcción y explotación de plantas de beneficio y concentración;<br> **/e/** la constitución de propiedad minera a fin de proteger las áreas de interés del proyecto mineros y sus instalaciones; y<br> **/f/** en general, celebrar, realizar y ejecutar todos los actos, convenciones y contratos civiles, comerciales, mineros, industriales y metalúrgicos que directa o indirectamente conduzcan al cumplimiento de los objetivos señalados.<br> El objeto de la Sociedad se desarrollará únicamente con respecto a sustancias minerales metálicas.<br>**TÍTULO SEGUNDO.- CAPITAL Y<br> ACCIONES.**<br>**<u>QUINTO</u>: CAPITAL, ACCIONES Y**<br> **PREFERENCIAS.**<br> **<u>Cinco. Uno</u>. Interés social.**<br> El interés social en la Sociedad se divide en **[mil] acciones** ordinarias, nominativas y sin valor nominal, de las cuales [**ochocientas**] **acciones** corresponden a la Serie A sin preferencia alguna, y [**doscientas**] **acciones** corresponden a la Serie B con la preferencia que se indica en la siguiente Sección. Todas las acciones se encuentran totalmente emitidas, distribuidas y suscritas entre los socios.<br> El socio <u>Key Metals Corporation Chile SpA</u> suscribe y paga [**ochocientas**] **acciones de** | &nbsp;&nbsp;substances, and for this purpose, install and operate mineral processing and treatment plants; be awarded and purchase mining rights of any kind, and sell, transport, export and trade mineral substances and products;<br>**/b/** to process, treat, produce, use, transport, export and trade any minerals obtained from ore deposits;<br> **/c/** to finance the development and mining of ore deposits;<br> **/d/** to build and operate process and concentration plants;<br> **/e/** to establish mining properties in order to protect the areas of interest of the mining project and its facilities, and<br> **/f/** generally, to enter into, do and perform any and all acts, civil, commercial, mining, industrial and metallurgic conventions, contracts or agreements directly or indirectly leading to the aforesaid purposes.<br> The Company's business shall only regard metallic mineral substances.<br>**TITLE II - CAPITAL AND SHARES**<br>**<u>FIFTH</u> - CAPITAL, SHARES AND**<br> **PREFERENCES:**<br> **<u>5.1</u>. Equity Capital:**<br> The Company's equity capital shall be divided into **[1,000]** registered common shares, without par value, of which [**800**] shall be Series A without any preference, and the other [**200**] Series B with the preference provided in the following section. All of the shares have been fully issued, distributed to the partners and subscribed.<br><u>Key Metals Corporation Chile SpA</u> hereby subscribes for, and pays up, [**800**] **Series-A** |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 3/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**la Serie A**, y el socio <u>Sociedad Química y Minera de Chile S.A.</u> suscribe y paga [**doscientas**] **acciones de la Serie B**; todo ello en la forma que se señala en el <u>Artículo Primero Transitorio</u> de estos estatutos.<br> **<u>Cinco. Dos</u>. Preferencia de las acciones de la Serie B.**<br> La preferencia de las acciones de la Serie B consiste en que no perderán su participación del veinte por ciento en el interés social de la Sociedad y no podrán ser diluidas por causa alguna, quedando por lo tanto eximidas de ejecutar cualquier acto para mantener tal participación y no ser diluidas como, por ejemplo:<br> **/a/** concurrir a los aportes o aumentos de capital a la Sociedad;<br> **/b/** contribuir a los gastos de la Sociedad, de cualquier tipo o naturaleza que estos sean; y/o<br> **/c/** otorgar financiamiento de cualquier tipo o naturaleza a la Sociedad.<br> **<u>Cinco. Tres</u>. Extinción de la preferencia de la Serie B.**<br> Sujeto al cumplimiento de las condiciones y términos de estos estatutos sociales y del pacto de socios, y a que la Sociedad no tenga deuda alguna pendiente de pago, devengada y/o pendiente de devengarse, la preferencia de las acciones Serie B se extinguirá al día siguiente a la aprobación del Estudio de Factibilidad por parte del Directorio.<br>**<u>SEXTO</u>: TRANSFERENCIA DE LAS**<br> **ACCIONES.**<br> Se efectuará la tradición de las acciones por la inscripción del título en el Registro de Accionistas del Conservador de Minas competente. El título deberá constar siempre en instrumento público. La adjudicación de acciones deberá siempre reducirse a escritura pública, la cual se inscribirá como en el caso anterior. La transferencia o transmisión de las acciones se entenderá sin perjuicio de los gravámenes u obligaciones que les afecten. | &nbsp;&nbsp;shares, and <u>Sociedad Quím</u>ica y Minera de <u>Chile S.A.</u> subscribes for, and pays up, [**200**] **Series-B shares**, all as stipulated in <u>Provisional Article 1</u> hereof.<br>**<u>5.2</u>. Series-B Share Preference:**<br> The <u>Series-B</u> share preference shall consist in that the holder of these shares shall not lose its 20% interest in the Company and the shares may not be diluted for any reasons, hence, the holder thereof shall be exempt from doing anything to keep the aforesaid interest and not have its shares diluted, such as, for instance:<br> **/a/** participating in any contributions to, or increases of, the Company's capital;<br> **/b/** contributing to the Company's expenses, whatever their type or nature, or<br> **/c/** financing the Company in any way.<br>**<u>5.3</u>. Extinction of the Series-B Preference:** Subject to meeting the conditions and terms hereof and those of the partnership agreement, and provided that the Company had no outstanding debts, whether accrued or pending accrual, the preference of the Series-B shares shall be extinguished on the day after the Board's approval of the Feasibility Study.<br>**<u>SIXTH</u> - TRANSFER OF SHARES:**<br> The shares shall be delivered by entering the respective certificates in the relevant Mine Registrar's Book of Shareholders, which must be always notarized and entered in public records. Shares must always be allocated in notarized documents, entered in public records as provided for the previous case. All transfers or conveyances of shares shall be deemed not limiting any burdens or obligations thereof. |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 4/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**<u>SÉPTIMO</u>: FRACCIONES DE ACCIONES**. La Sociedad no reconoce ni admite fracciones de acciones. En caso que una o más acciones pertenezcan en común a dos o más personas, sus dueños deberán designar un apoderado común para que los represente en la Sociedad.<br>**TITULO TERCERO.- RESPONSABILIDAD DE LOS SOCIOS.**<br>**<u>OCTAVO</u>: RESPONSABILIDAD.**<br> Los socios no serán responsables ante terceros de las obligaciones de la Sociedad.<br>**TÍTULO CUARTO.- ADMINISTRACIÓN.**<br>**<u>NOVENO</u>: DIRECTORIO.**<br> **/a/** La Sociedad será administrada por un directorio, en adelante el "**Directorio**", que estará integrado por tres miembros titulares y tres suplentes, los que podrán ser socios o no.<br> **/b/** KM nombrará a dos directores titulares y a dos directores suplentes.<br> **/c/** SQM nombrará a un director titular y a un director suplente.<br> **/d/** SQM, independiente de su participación accionaria y en tanto mantenga una participación de a lo menos el cinco por ciento de las acciones en la Sociedad, podrá designar siempre a un director titular y a un director suplente. En el evento que no tenga derecho a designarlo, podrá designar a un apoderado para que participe en las sesiones del Directorio con los mismos derechos que los demás directores, con excepción del derecho a voto.<br> **/e/** Las designaciones de directores, así como su sustitución o remoción, podrán ser efectuadas libremente y en cualquier época por el socio a quien corresponda su nombramiento, mediante escritura pública anotada al margen de la inscripción social en los Registros de Propiedad y de Socios del Conservador de Minas competente. | &nbsp;&nbsp;**<u>SEVENTH</u>: - FRACTIONAL SHARES:**<br> The Company shall not acknowledge or admit any fractional shares. If any one or more shares were held in common by two or more persons, the latter must appoint a common attorney to represent them in the Company.<br>**TITLE III – PARTNERS' LIABILITY:**<br>**<u>EIGHTH</u> – LIABILITY:**<br> The partners shall not be liable to any third parties for the Company's obligations.<br>**TITLE IV - ADMINISTRATION:**<br>**<u>NINTH</u> - BOARD OF DIRECTORS:**<br> **/a/** The Company shall be administered by a Board of Directors, hereinafter called the "**Board**", to be formed by three regular and three alternate members, who may or may not be partners;<br> **/b/** KM shall designate two regular and two alternate directors;<br> **/c/** SQM shall designate one regular and one alternate directors;<br> **/d/** Regardless of its shareholding and as long as it keeps an interest of at least 5% of the shares in the Company, SQM may always appoint a regular and an alternate directors, and if it were not entitled thereto, it may appoint an attorney to participate in Board meetings with the same rights as the other directors, save the right of vote;<br>**/e/** The partners may freely appoint, replace or remove their respective directors at any time, by notarized and registered documents annotated on the margin of the Company's entry in the relevant Mine Registrar's Books of Properties and Partners; |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 5/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**/f/** El cargo de director no será remunerado.<br> **/g/** Los directores suplentes podrán siempre asistir a las sesiones de Directorio, pero solamente tendrán derecho a voto cuando reemplacen a un director titular designado por el mismo socio, que se encuentre ausente.<br> **/h/** Cualquier director suplente designado por un socio podrá reemplazar a cualquier director titular designado por el mismo socio. **/i/** El reemplazo de un director titular por un suplente que haya sido designado por el mismo socio, es un trámite de orden interno de la Sociedad que no requerirá de ninguna formalidad especial, y que no afectará la validez de la sesión o los acuerdos adoptados por ésta, bastando para su eficacia ante terceros el solo hecho de producirse el reemplazo.<br> **/j/** El Directorio elegirá, de entre sus miembros, a su presidente, quien lo será también de la Sociedad y de la Junta de Socios.<br>**<u>DÉCIMO</u>: ADMINISTRACIÓN DE LA SOCIEDAD.**<br> El Directorio tendrá a su cargo la administración superior de la Sociedad y en especial le corresponderá:<br> **/a/** Ejercer la administración, representación y uso de la razón social de la Sociedad, para lo cual tendrá amplias facultades de administración y disposición, con todas las atribuciones del Artículo siguiente;<br> **/b/** Decidir sobre la adquisición, exploración, desarrollo y explotación de las concesiones mineras de la Sociedad;<br> **/c/** Nombrar, remover y sustituir al presidente del Directorio y al gerente general de la Sociedad de acuerdo a lo que se establece en estos estatutos;<br> **/d/** Citar a Juntas de Socios;<br> **/e/** Disponer la distribución de dividendos con cargo a los beneficios sociales;<br> **/f/** Formar fondos de reserva; | &nbsp;&nbsp;**/f/** Directors shall not be remunerated;<br> **/g/** Alternate directors may always attend Board meetings, but shall only have voting rights when replacing any absent regular directors appointed by the same partner;<br> **/h/** Any alternate directors may replace any regular directors appointed by the same partner;<br> **/i/** Regular director replacements by<br> alternates appointed by the same partner shall be internal Company procedures not requiring any special formalities, and shall not affect the validity of the respective meetings or resolutions made therein, the replacement itself sufficing for it to be valid to any third parties, and<br> **/j/** The Board shall elect a Chair among its members, who shall also preside over Partners Meetings and be the Company's President.<br>**<u>TENTH</u> - ADMINISTRATION OF THE COMPANY:**<br> The Board shall be responsible for the Company's higher governance, and particularly, shall:<br> **/a/** administer, represent and use the Company's name, for which it shall have wide administrative and disposal powers, as provide in the next article;<br> **/b/** make decisions on the purchase, exploration, development and exploitation of the Company's mining claims;<br> **/c/** appoint, remove or replace the Company's Chair of the Board or the general manager, as provided herein;<br> **/d/** convene Partners' Meetings;<br> **/e/** dispose any distribution of dividends<br> against the Company's profits;<br> **/f/** set up reserve funds; |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 6/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**/g/** Otorgar al gerente general los poderes necesarios para que pueda cumplir cabalmente sus funciones;<br> **/h/** Establecer y modificar la política de comercialización que aplique la Sociedad;<br> **/i/** Acordar los presupuestos anuales de operación, de inversiones de capital y de exploraciones de la Sociedad para cada año calendario;<br> **/j/** Acordar los criterios que regirán la disposición de las concesiones mineras y de las acciones de sociedades mineras que sean de propiedad de la Sociedad;<br> **/k/** Establecer y modificar las políticas sobre remuneraciones y beneficios de los empleados de la Sociedad;<br> **/l/** Establecer y modificar las políticas de financiamiento de la Sociedad, los planes de expansión, los presupuestos operativos y de desarrollo de negocios; y<br> **/m/** Las demás que expresamente le confieren estos estatutos.<br>**<u>UNDÉCIMO</u>: FACULTADES DEL**<br> **DIRECTORIO.**<br> Para el cumplimiento de sus funciones de administración, representación y uso de la razón social de la Sociedad, el Directorio podrá ejecutar todos los actos y celebrar todos los contratos y convenciones de cualquier naturaleza que sean, que se relacionen directa o indirectamente con el objeto social, dejándose testimonio, por vía ilustrativa y sin que esta enumeración importe limitación de facultades, que podrá:<br> **/a/** Representar judicial y extrajudicialmente a la Sociedad en todos los actos, contratos y operaciones que sean necesarios o conducentes al cumplimiento de su objeto o que se relacionen con éste directa o indirectamente;<br> **/b/** Celebrar contratos de promesa y de opción;<br> **/c/** Adquirir y enajenar, sujeto a lo que se señala en el artículo vigésimo cuarto, a<br>| &nbsp;&nbsp;**/g/** grant the powers needed for the general manager to fully perform his or her duties;<br> **/h/** define and modify the trade policy applicable to the Company;<br> **/i/** agree on annual operational budgets, capital investments and the Company's exploration activities for each calendar year;<br> **/j/** agree on the criteria for governing the disposal of mining claims and shares in mining companies owned by the Company;<br>**/k/** define and modify policies on the Company's employee compensation and benefits;<br> **/l/** define and modify the Company's financing policies, expansion plans, operational and business development budgets, and<br> **/m/** do anything else expressly authorized herein.<br>**<u>ELEVENTH</u> – BOARD POWERS:**<br> To perform its administration and representation duties and use the Company's name, the Board may take any actions and execute any kind of contracts and agreements directly or indirectly related to the Company's business, and by ways of examples and without limitation, may:<br>**/a/** represent the Company in and out of Court, in any and all acts, contracts, agreements or operations needed or leading to conduct its business, or directly or indirectly relating thereto;<br>**/b/** enter into any promise or option agreements;<br> **/c/** subject to the provisions of Article 24, purchase, or dispose of, any real-estate or |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 7/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;cualquier título bienes raíces o muebles, corporales o incorporales, incluyendo concesiones y derechos regidos especialmente por el Código de Minería, acciones, bonos, debentures y demás valores mobiliarios; darlos y tomarlos en arrendamiento y gravarlos con servidumbres, hipotecas, prendas o cargas de cualquier clase o naturaleza;<br> **/d/** Celebrar contratos de usufructo, de compraventa, de confección de obra material, de arrendamiento de cosas o de servicios, de transporte, de fletamento, de trabajo, de asesorías, de operación, de seguro, de cuenta corriente, de comodato, de mutuo, de depósito, de transacción, de cambio, de comisión, de correduría, de representación, de compraventa a futuro de productos, swaps, forwards, futuros; de avío y, en general, cualquier otro contrato nominado o innominado pudiendo convenir en ellos toda clase de pactos o estipulaciones así sean de su esencia, de su naturaleza o meramente accidentales; fijar precios, intereses, rentas, honorarios, remuneraciones, reajustes, indemnizaciones, plazos aún mayores que los usuales, condiciones, épocas, formas de pago y de entrega y, en general, para modificarlos y ponerles término en cualquier forma; pactar solidaridad o indivisibilidad tanto activa como pasiva, convenir cláusulas penales y multas, ejercitar o renunciar los derechos y acciones que a la Sociedad competen y aceptar la renuncia que se haga en su beneficio; rescindir, resolver, resciliar, dejar sin efecto, poner término o solicitar la terminación de actos y contratos, exigir rendiciones de cuentas, aprobarlas u objetarlas;<br> **/e/** Concurrir a la constitución de sociedades civiles, comerciales y mineras de cualquier tipo o naturaleza, incluso con el Fisco o entidades públicas, de asociaciones o cuentas en participación, corporaciones y<br>| &nbsp;&nbsp;personal properties, tangible or intangible assets, including any claims or rights specifically regulated in the Chilean Mining Code, shares, bonds, debentures and other securities, for any considerations; rent or lease in or out any thereof, or encumber any of them with easements, mortgages, pledges or burdens of any kind or sort;<br> **/d/** enter into any usufruct, purchase, building, rent, lease, service, transportation, freight, work or labour, consulting or counselling, operation, insurance, current-account, gratuitous bailment, mutual, deposit, transaction, exchange, commission, brokerage or representation contracts or agreements; contracts for future sales of products, swaps, forwards, futures; financing agreements, and generally, any other nominate or innominate contracts or agreements, with authority to agree any kind of covenants or stipulations therein, be they of the essence or nature thereof, or merely incidental; to set prices, interests, rents, fees, remunerations, adjustments, compensations, even longer than usual terms, conditions, periods, forms of payment and delivery, and generally, amend or terminate any thereof in any manner; to agree joint and several ownership, active or passive indivisibility, penalty clauses and fines; exercise or waive any rights or actions pertaining to the Company, and accept any such waivers to its benefit; annul, dissolve, cancel, terminate, or request the termination of, any agreements or contracts; demand accountability, and approve or reject account reports;<br> **/e/** agree to incorporate any commercial or mining companies or partnership of any type or nature, even with the State or government organizations, any associations or joint accounts, corporations or cooperatives, or<br>|

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| [Translation on the right] | ![](ex10-21_003.jpg) | 8/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;cooperativas, o tomar parte en aquellas ya constituidas y concurrir a la modificación, disolución y liquidación de aquellas de que forma parte la Sociedad; representar a ésta con voz y voto en todas las sociedades, corporaciones o cooperativas de que forma parte, en que tenga interés y en toda clase de actos, reuniones o juntas, sean ordinarias o extraordinarias;<br> **/f/** Cobrar y percibir todo lo que se adeude a la Sociedad y otorgar recibos, cancelaciones y finiquitos;<br> **/g/** Emitir bonos, títulos de deuda y efectos de comercio;<br> **/h/** Otorgar mandatos generales o especiales, judiciales o extrajudiciales, y revocarlos;<br> **/i/** Representar a la Sociedad ante bancos e instituciones financieras nacionales, extranjeras o internacionales, sean de carácter público o privado con las más amplias facultades que puedan necesitarse, cometerles comisiones de confianza, abrir, cerrar y administrar cuentas corrientes bancarias y cuentas de ahorro, de depósito y/o de crédito, imponerse de su movimiento, aprobar sus saldos, retirar los talonarios de cheques y girar y sobregirar en dichas cuentas, en moneda nacional o extranjera; contratar préstamos, reajustables o no, en cualquier moneda, con o sin interés, en forma de mutuo, pagarés, efectos de comercio, avances contra aceptación, sobregiros, créditos en cuenta corriente, créditos en cuenta especial o en cualquier otra forma, celebrar contratos de cobertura de riesgo, de tasas de interés o de moneda; abrir y cerrar cajas de seguridad; girar, aceptar, reaceptar, revalidar, endosar, avalar, descontar y protestar cheques, letras de cambio, pagarés y demás documentos mercantiles, contratar y cancelar boletas de garantía y cartas de crédito;<br> **/j/** Ceder y aceptar cesiones de créditos, sean nominativos, a la orden o al portador y, en | &nbsp;&nbsp;join any existing ones, and agree to amend, dissolve or liquidate any in which the Company were a party; represent the latter with voice and vote in any companies, corporations or cooperatives in which the Company were already a party or held any interests, and in any sort of acts, meetings, ordinary or extraordinary general meetings;<br> **/f/** charge, collect and receive anything owed to the Company, and issue receipts, cancelations and quittances;<br> **/g/** issue bonds, debt securities and negotiable instruments;<br> **/h/** grant general or special powers of attorney in-fact or at-law, and revoke any thereof;<br> **/i/** represent the Company with national, foreign or international, public or private banks and financial institutions, with as wide an authority as needed; appoint them trustees; open, close and manage any bank current accounts, or any savings, deposit or credit accounts, keep abreast of their movements, approve balances thereof, pick up chequebooks, and draw or overdraw upon any such accounts, in national or foreign currencies; take any loans in any currencies, with or without interests, with flexible or fixed rates, be they mutual, promissory notes, negotiable instruments, advances against acceptance, overdrafts, current or special account credits, or in any other form; enter into interest-rate or currency hedging contracts; rent and stop renting any bank security boxes; draw, accept, reaccept, revalidate, endorse, co-sign, discount or protest any cheques, bills of exchange, promissory notes or other commercial documents; take and cancel any guarantee bonds or letters of credit;<br>**/j/** assign any credits, and accept any credit assignments, in registered, order or bearer |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 9/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;general, efectuar toda clase de operaciones con documentos mercantiles, valores mobiliarios y efectos públicos y de comercio; **/k/** Retirar correspondencia certificada, encomiendas y otros de las oficinas postales, y análogas;<br> **/l/** Efectuar operaciones de importación y exportación de toda clase de productos y/o bienes y extender o suscribir los documentos, actos y contratos relacionados con estas<br> operaciones, ejecutar operaciones<br> aduaneras, endosar documentos de embarque y retirarlos;<br> **/m/** Realizar toda clase de operaciones de cambios internacionales y, en general, todas aquellas que se encuentren bajo la jurisdicción del Banco Central de Chile;<br> **/n/** Suscribir, otorgar, firmar, extender y modificar toda clase de documentos públicos o privados, inclusive escrituras públicas, pudiendo formular en ellos todas las declaraciones que estime necesarias o convenientes a los intereses de la Sociedad; **/o/** Obtener concesiones de cualquier naturaleza u objeto y sobre cualquier clase de bienes incluso inmuebles y obtener derechos de aprovechamiento de aguas;<br> **/p/** Constituir concesiones y derechos mineros en cualquier forma, reconocer y explotar pertenencias y yacimientos mineros;<br> **/q/** Representar judicialmente a la Sociedad teniendo las facultades de desistirse en primera instancia de la acción deducida, aceptar la demanda contraria, absolver posiciones, renunciar los recursos o los términos legales, transigir, comprometer, otorgar a los árbitros facultades de arbitradores, aprobar convenios y percibir;<br> **/r/** Presentar toda clase de solicitudes ante las autoridades y, en general, actuar ante la Comisión Chilena del Cobre, la Corporación Nacional del Cobre de Chile, el Servicio Nacional de Geología y Minería, la Empresa | &nbsp;&nbsp;form, and generally, do any transactions with commercial documents, securities, or public or negotiable instruments;<br> **/k/** pick up any certified mail, parcels or others at post offices and the like;<br> **/l/** do any type of transaction for the import or export of any kind of products or goods, and issue or sign any documents, acts, contracts or agreements relating thereto, complete any transactions with customs, endorse any bills of lading and pick up the items listed therein;<br> **/m/** do any kind of foreign Exchange transactions, and generally, any of those under the competence of the Central Bank of Chile;<br> **/n/** execute, award, sign, issue and amend any sort of public or private documents, including registered notarial deeds, making any statements therein as it may deem necessary or convenient for the Company's interest;<br> **/o/** obtain any licenses, whatever their kind or purpose, on any sort of assets, even real-estate, and water use rights;<br> **/p/** request and be awarded any mining claims or rights of whatever form, survey and mine any ore deposits or mining claims for exploitation;<br> **/q/** represent the Company in court, with authority to withdraw cases at first instance, accept counterclaims, file responses, present defences, waive any rights of appeal or legal conditions, reach agreements, negotiate settlements, grant powers to arbitrators to resolve *ex aequo et bono*, approve agreements and receive any settled amounts; **/r/** submit any type of requests to the authorities, and generally, act before the Chilean Copper Commission, National Copper Corporation, National Geology and Mining Service, National Mining Company |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 10/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;Nacional de Minería y cualesquiera otros organismos públicos o privados;<br> **/s/** Contratar a los trabajadores de la Sociedad, fijarles sus remuneraciones, señalarles sus obligaciones y deberes, fiscalizarlos en el desempeño de sus cargos y poner término a sus servicios;<br> **/t/** Dictar, modificar y dejar sin efecto los reglamentos que requiera el funcionamiento de la Sociedad;<br> **/u/** Cumplir y hacer cumplir estos estatutos y los acuerdos de la Junta de Socios; y<br> **/v/** Presentar anualmente a la junta ordinaria de socios la memoria y balance de las operaciones sociales y un inventario de los haberes y deudas de la Sociedad.<br> Sin perjuicio de lo anterior, el Directorio podrá delegar parte de sus facultades en los gerentes, subgerentes, superintendentes o abogados de la Sociedad, en un director o en un comité de directores, gerentes o ejecutivos y para objetos especialmente determinados en otras personas.<br>**<u>DUODÉCIMO</u>: SESIONES DE**<br> **DIRECTORIO.**<br> **/a/** El Directorio se reunirá periódicamente en los días y hora que el mismo acuerde, a lo menos trimestralmente, sin perjuicio de celebrar reuniones especiales cuando sean citados por su presidente o a requerimiento de uno o más directores. Salvo acuerdo por la unanimidad de los directores, las reuniones se efectuarán en el domicilio social.<br> **/b/** En las reuniones de Directorio solo se conocerán aquellas materias indicadas expresamente en la citación que efectúe el presidente del Directorio, a menos que la unanimidad de los directores en ejercicio acuerde conocer alguna materia no contenida en la citación correspondiente.<br> **/c/** Las citaciones a los directores para reuniones especiales se efectuarán por medio de correo electrónico - con | &nbsp;&nbsp;and any other government or private organizations;<br> **/s/** hire the Company's workers, set their remunerations, fix their obligations and duties, supervise their performance, and dismiss any thereof;<br> **/t/** issue, amend or annul any rules needed for the Company's operation;<br> **/u/** abide by, and enforce, these articles of incorporation and all resolutions made at Partners' Meetings, and<br> **/v/** submit the Company's annual balance sheets and report on operations, and an inventory of assets and liabilities to the respective annual ordinary partners' meeting. Notwithstanding, the Board may delegate any part of its powers to any of the Company's managers, assistant managers, supervisors or lawyers, any director or committees comprised of directors, managers or executives, and for specific purposes, to others.<br>**<u>TWELFTH</u> - BOARD MEETINGS:**<br> **/a/** The Board of Directors shall meet regularly and at least quarterly, on days and at times agreed by them, notwithstanding any special meetings called by the Chair or at the request of one or more directors, all of which shall be held at the corporate headquarters, unless unanimously agreed otherwise by the Board;<br> **/b/** Only matters expressly stated in the Chair's call shall be addressed at Board meetings, unless all of the directors on duty agreed to discuss any matters not included in the corresponding call;<br>**/c/** Calls to special meetings shall be sent to the directors by e-mail, with confirmation of receipt, at least 15 calendar days before the |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 11/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;confirmación de recibo- enviado con a lo menos quince días corridos de anticipación a la fecha de la reunión. No obstante, las sesiones especiales podrán llevarse a cabo sin necesidad de citación si se celebraren con la asistencia de todos los directores.<br> **/d/** En las sesiones de Directorio podrán participar los directores por medios tecnológicos, tales como conferencia telefónica, videoconferencia u otros medios similares que el Directorio autorice, siempre que su comunicación con los demás directores sea permanente y simultánea durante todo el desarrollo de la respectiva sesión. El presidente y quien actúe como secretario de la sesión respectiva deberán certificar, al final del acta que se levante de dicha sesión, la participación de directores por medios tecnológicos y el cumplimiento de las condiciones señaladas.<br>**<u>DÉCIMO TERCERO</u>: QUÓRUMS APLICABLES AL DIRECTORIO.**<br> **<u>Trece. Uno</u>. Quorum de constitución.** Las reuniones del Directorio se constituirán con la asistencia de dos directores a lo menos, debiendo el director designado por SQM ser siempre uno de dichos asistentes.<br> **<u>Trece. Dos</u>. Quorum para acuerdos del Directorio.**<br> Los acuerdos del Directorio requerirán mayoría absoluta de sus miembros presentes con derecho a voto. En caso de empate, el presidente tendrá voto dirimente y no tendrá aplicación lo dispuesto en el inciso final del artículo ciento ochenta y ocho del Código de Minería. Sin perjuicio de lo anterior, se requerirá necesariamente de la aprobación del director elegido por SQM para:<br> **/a/** vender o enajenar, o ceder el uso o goce a cualquier título de todo o parte de los Derechos Mineros;<br> **/b/** constituir derechos reales, que no sean garantías; | &nbsp;&nbsp;date of the respective meeting, though special meetings may be held without call if attended by all directors, and<br>**/d/** Directors may attend Board meetings via technology media, such as teleconference, videoconference or any other similar supports that the Board may authorize, provided that they can communicate with the other directors uninterruptedly and simultaneously throughout the entire meeting, and at the end of the minutes taken during the corresponding meeting, the Chair and whoever acted as secretary therein must certify that such or such director(s) attended via technology media, and that the forenamed conditions were met.<br>**<u>THIRTEENTH</u> - QUORUMS FOR BOARD MEETINGS:**<br> **<u>13.1</u>. Quorum for Meetings:**<br> The quorum for validly holding Board meetings shall be at least two attending members, and one of them must be an SQM appointee.<br> **<u>13.2</u>. Quorum for Board Resolutions:** Board resolutions shall require the approval by simple majority of the attending members with rights of vote. In cases of tie, the Chair shall have a casting vote, and the provisions of the last subparagraph of Article 188 of the Chilean Mining Code shall not apply. Notwithstanding the foregoing, the approval of the director elected by SQM shall be mandatorily required:<br> **/a/** to sell, dispose of, or assign the use or enjoyment of all or any part of the Mining Rights, for whatever consideration;<br> **/b/** to establish rights in-rem that were not guarantees; |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 12/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**/c/** constituir regalías;<br> **/d/** otorgar garantías reales o personales para caucionar obligaciones de las filiales de la Sociedad;<br> **/e/** contratar nuevas deudas, asumir obligaciones o celebrar cualquier acto o contrato que comprometa la capacidad financiera de la Sociedad, ya sea en forma directa o indirecta, por un monto superior a un millón de Dólares;<br> **/f/** celebrar operaciones con Personas Relacionadas en condiciones distintas de las que prevalecen en el mercado;<br> **/g/** celebrar contratos de agencia para comercializar los Productos de la Sociedad a condiciones distintas de mercado;<br> **/h/** llevar a cabo inversiones ajenas al desarrollo y explotación de los Derechos Mineros;<br> **/i/** determinar la política de dividendos de la Sociedad y la declaración y distribución de cualquier dividendo, ya sea en calidad de provisorio o definitivo, cuando ello resulte en una cantidad inferior al cien por ciento de las utilidades líquidas de cada ejercicio;<br> **/j/** solicitar el inicio de un procedimiento concursal de reorganización o liquidación forzosa;<br> **/k/** designar y remover a los auditores externos;<br> **/l/** aprobar o implementar cambios materiales en los principios de auditoría o principios contables que deben ser aplicados por la Sociedad;<br> **/m/** aprobar la colocación en bolsa de valores de las acciones de la Sociedad;<br> **/n/** aprobar el estudio de pre-factibilidad y/o el Estudio de Factibilidad, y el financiamiento para realizar el desarrollo del Proyecto Minero;<br> **/o/** aprobar el Programa de Trabajo, el Presupuesto Minero, el presupuesto anual de la Sociedad y/o cualquiera de sus modificaciones; | &nbsp;&nbsp;**/c/** to establish royalties;<br> **/d/** to give any real or personal guarantees for securing obligations of any of the Company's subsidiaries;<br> **/e/** to take new debts, undertake obligations, or enter into any acts, contracts or agreements, directly or indirectly compromising the Company's financial capacity, for amounts exceeding USD 1,000,000;<br> **/f/** to enter into any transactions with Related Persons in conditions other than those prevailing in the market;<br> **/g/** to enter into any agency agreements for trading the Company's Products in other than market conditions;<br> **/h/** to make any investments other than in developing and exploiting the Mining Rights;<br> **/i/** to define the Company's dividend policy, and the statement and distribution of any provisional or final dividends representing less than 100% of the net profits of any fiscal period;<br> **/j/** to request the start of any reorganization bankruptcy or forced liquidation proceedings;<br>**/k/** to appoint and remove any external auditors;<br> **/l/** to approve or implement any material changes to the audit or accounting principles applicable to the Company;<br> **/m/** to approve any stock-exchange listings of the Company's shares;<br> **/n/** to approve the pre-feasibility study or the Feasibility Study, and any financing of the Mining Project;<br> **/o/** to approve the Work Program, the Mining Budget, the Company's annual budget, or any modifications thereto; |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 13/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;incluida en el presupuesto que exceda de un millón de Dólares;<br> **/q/** adoptar cualquier decisión con respecto a la Reserva, Regalía, Hipoteca y Prohibición SCM, Usufructo y/o Sustancias No Metálicas; y<br> **/r/** Proponer a la Junta de Socios los asuntos que para su acuerdo se requiera la aprobación de SQM.<br>**<u>DÉCIMO CUARTO</u>: ACTAS DE**<br> **DIRECTORIO.**<br> De las deliberaciones y acuerdos del Directorio se dejará constancia en un libro especial de actas, las que deberán ser firmadas por los directores que hubieren concurrido a la sesión, pudiendo acordarse el cumplimiento de los acuerdos sin la previa aprobación del acta, la que en todo caso deberá aprobarse en una reunión posterior. Si alguno de los asistentes falleciere, se negare a firmar el acta o se imposibilitare por cualquier causa para hacerlo, se dejará constancia, por cualquiera de los directores, al pie de la misma de las circunstancias y se dará cuenta de ello en la próxima Junta de Socios, lo cual no obstará, sin embargo, a la validez de los acuerdos tomados. El director que se negare a firmar el acta deberá fundamentar su determinación. Serán también válidos los acuerdos que adopte el Directorio que consten de escritura pública suscrita por todos los directores.<br>**<u>DÉCIMO QUINTO</u>: GERENTE GENERAL**. **/a/** El Directorio designará un gerente general de la Sociedad, quien tendrá bajo su responsabilidad la dirección inmediata de los negocios, operaciones y actividades de la Sociedad, con las atribuciones que al efecto le otorgue el Directorio, en adelante el "**Gerente General**".<br> **/b/** El nombramiento, sustitución o remoción del Gerente General deberá constar por escritura pública anotada al margen de la | &nbsp;&nbsp;investments exceeding USD 1,000,000;<br> **/q/** to make any decisions regarding the Reserve, Royalty, Mortgage and Restriction, Usufruct, or Non-Metallic Substances, and<br> **/r/** to propose any matters requiring SQM's approval for resolution at any Partners' Meetings.<br>**<u>FOURTEENTH</u> - BOARD MINUTES:**<br> The Board meeting discussions and resolutions shall be recorded in a special book of minutes, which must be signed by all attending directors, though they may agree on enforcing any resolutions without the prior approval of the corresponding minutes, which must be always approved at a subsequent meeting. If any of the attendees were to die, refused to sign the minutes or were not able to do so for whatever reasons, any of the directors shall record the specific circumstances at the foot of the respective minutes, and this shall be accounted for at the next Partner's Meeting, without hindering the validity of the concerned resolutions. Any directors refusing to sign minutes must substantiate their decisions. Any Board resolutions made in notarized and registered documents signed by all of the directors shall also be valid.<br>**<u>FIFTEENTH</u> - GENERAL MANAGER:**<br> **/a/** The Board shall appoint a general manager for the Company, hereinafter called the "**General Manager**", who shall be responsible for running the Company's immediate businesses, operations and activities, with the powers granted thereupon by the Board to this end;<br> **/b/** All General Manager appointments, replacements or removals must be respectively recorded in notarized and |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 14/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;inscripción de la Sociedad en los Registros de Propiedad y de Socios del Conservador de Minas competente.<br> **/c/** El Gerente General actuará como secretario en las sesiones del Directorio y de la Junta de Socios, a menos que aquel o ésta designen especialmente ese cargo a otra persona.<br> **/d/** El Gerente General asistirá a las sesiones de Directorio con derecho a voz, salvo que en casos específicos calificados por el Directorio en que estime necesario sesionar sin la presencia de aquél.<br> **/e/** El cargo de Gerente General será incompatible con el de presidente, contador o auditor de la Sociedad.<br>**<u>DÉCIMO SEXTO</u>: INFORMACIÓN.**<br> Cualquier director podrá requerir del Gerente General información acerca de la marcha de los negocios sociales, todo lo cual deberá llevarse a cabo sin interferir con el normal funcionamiento de la Sociedad.<br>**<u>TITULO QUINTO</u>.- JUNTA DE SOCIOS.**<br>**<u>DÉCIMO SÉPTIMO</u>: JUNTA ORDINARIA**<br> **DE SOCIOS.**<br> Los socios se reunirán anualmente en junta ordinaria, en la fecha que el Directorio determine, dentro del primer cuatrimestre de cada año. En ella se tratarán las siguientes materias:<br> /**Uno**/ el examen de la situación de la Sociedad y la aprobación o rechazo de la memoria, del balance, de los estados y demostraciones financieras presentadas por el Directorio o liquidadores de la Sociedad; /**Dos**/ La distribución de las utilidades de cada ejercicio, en especial, el reparto de dividendos; y<br> /**Tres**/ En general cualquier materia de interés de la Sociedad que no sea propia de la junta extraordinaria. | &nbsp;&nbsp;registered documents annotated on the margin of the Company's entry in the relevant Mine Registrar's Books of Properties and Partners;<br> **/c/** The General Manager shall act as secretary at Board and Partner's meetings, unless someone else were appointed to do so at any such meetings;<br> **/d/** The General Manager shall attend the Board meetings with right of voice, except in specifically qualified cases when the Board deemed necessary to meet without his or her attendance, and<br> **/e/** The General Manager may not be also the Company's president, or an accountant or auditor thereof.<br>**<u>SIXTEENTH</u> – INFORMATION:**<br> Any director may request the General Manager to provide information on the status of the Company's businesses, all of which must be done without interfering with the normal running thereof.<br>**<u>TITLE V</u> – PARTNERS' MEETINGS**<br>**<u>SEVENTEENTH</u> - ORDINARY PARTNERS'**<br> **MEETINGS:**<br> The partners shall hold annual ordinary meetings on a date set by the Board within the first four months of each year:<br>/**1**/ to review the Company's situation, and approve or reject the balance sheet and report, financial statements and proofs submitted by the Board or the Company's liquidators;<br> /**2**/ to distribute the profits of each fiscal period, and especially, the dividends, and<br> /**3**/ to address any other matters that were of interest to the Company and not inherent to extraordinary meetings. |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 15/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**<u>DÉCIMO OCTAVO</u>: JUNTA**<br> **EXTRAORDINARIA DE SOCIOS.**<br> Los socios se reunirán en junta extraordinaria cuando el presidente la cite a requerimiento de cualquier Socio. En la junta extraordinaria sólo podrán tratarse los asuntos incluidos en la convocatoria. Sólo en junta extraordinaria de socios especialmente convocada al efecto y celebrada con asistencia de un Notario Público podrá acordarse: **/Uno/** la reforma de estos estatutos sociales; **/Dos/** la disolución anticipada de la Sociedad; **/Tres/** la venta o enajenación de todo su activo o pasivo; **/Cuatro/**su transformación, división o fusión; **/Cinco/** el aumento o disminución del capital y/o del interés social en la Sociedad.<br>**<u>DÉCIMO NOVENO</u>: CITACIÓN A JUNTA.**<br> **/a/** La citación a Junta de Socios la efectuará el presidente del Directorio y en ella expresará si se trata de una junta ordinaria o extraordinaria, el lugar, día y hora en que se deberá celebrar y el objeto u objetos de la reunión.<br> **/b/** La citación se publicará, por una sola vez, en un periódico de circulación en la ciudad de Santiago con a lo menos cuarenta y cinco días corridos de antelación a la fecha de la respectiva junta. Adicionalmente, y con misma antelación, se enviará la citación mediante carta certificada y correo electrónico al domicilio y a la dirección de correo electrónico que cada socio tenga registrada en la Sociedad. La falta de recepción de la carta certificada o del correo electrónico no afectará la validez de la junta ni de los acuerdos que la misma adoptare.<br> **/c/** Las Juntas de Socios tanto ordinarias como extraordinarias, podrán constituirse sin publicación de aviso ni citación alguna cuando concurra la unanimidad de los socios, por sí o por mandatarios debidamente constituidos.<br> **/d/** Será también válida la junta que conste de | &nbsp;&nbsp;**<u>EIGHTEENTH</u> – EXTRAORDINARY PARTNERS' MEETINGS:**<br> The partners shall hold extraordinary meetings whenever convened by the Chair at any Partner's request, and shall only address the matters included in the call. The following matters may only be agreed upon in specifically-called extraordinary partners' meetings with a Notary Public attending:<br> **/1/** any reforms hereto; **/2/** the early dissolution of the Company; **/3/** the sale or disposal of all of its assets or liabilities; **/4/** any transformations, divisions or merges thereof, and **/5/** any increases or reductions of the Company's capital or equity.<br>**<u>NINETEENTH</u> - MEETING CALLS:**<br> **/a/** The Partner's Meetings shall be convened by the Chair of the Board, stating whether they were to be ordinary or extraordinary in each case, as well as the place, day and time, and purpose or purposes thereof;<br> **/b/** Calls shall be published once in a newspaper circulating in the city of Santiago, at least 45 calendar days before the respective meeting, and shall also be sent to each of the partners in the advance, by registered letter and e-mail to the addresses and e-mails that they have recorded with the Company, although not receiving a registered letter or e-mail shall not affect the validity of any meetings or resolutions made therein;<br>**/c/** Both ordinary and extraordinary Partners' Meetings may be held without any publication or notice with all of the partners attending in person or by duly authorized proxies;<br> **/d/** Any meetings recorded in respective |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 16/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;escritura pública suscrita por personas que representen todas las acciones en la Sociedad.<br> **/e/** Los socios podrán concurrir personalmente a las juntas generales o por intermedio de sus representantes legales o mandatarios. Los mandatarios podrán o no ser socios de la Sociedad. El mandato deberá otorgarse por escritura pública.<br>**<u>VIGÉSIMO</u>: CONSTITUCIÓN DE LAS**<br> **JUNTAS DE SOCIOS.**<br> Todas las Juntas de Socios se constituirán a la primera convocatoria con un quórum mínimo de todas las acciones en la Sociedad, y en una segunda convocatoria con la mayoría absoluta de dichas acciones. En el caso de que la ausencia de uno o más socios impida establecer un quórum a la primera convocatoria de una junta ordinaria o extraordinaria de socios, dicha junta será automáticamente postergada, sin necesidad de nueva citación, para el octavo día hábil siguiente a la fecha inicial de dicha junta.<br>**<u>VIGÉSIMO PRIMERO</u>: QUORUM PARA ACUERDOS.**<br> Los acuerdos de las Juntas de Socios, tanto ordinarias como extraordinarias, se adoptarán con la mayoría absoluta de las acciones suscritas y pagadas que se encuentren representadas en la Junta de Socios. Sin perjuicio de lo anterior, se requerirá necesariamente de la aprobación de SQM para los acuerdos relativos a las siguientes materias:<br> **/a/** la disolución anticipada de la Sociedad, su transformación, división o fusión;<br> **/b/** la modificación de los Estatutos Sociales; **/c/** la aprobación de aportes y estimación de bienes no consistentes en dinero;<br> **/d/** la enajenación del 50% o más de su activo, sea que incluya o no su pasivo, lo que se determinará conforme al balance del ejercicio anterior, y la formulación o modificación de cualquier plan de negocios | &nbsp;&nbsp;notarized and registered documents signed by individuals representing all of the Company's shares shall also be valid, and<br> **/e/** The partners may attend general meetings in person or through their respective legal representatives or attorneys, who may also be any of the Company's partners, and must be respectively authorized in notarized and registered documents.<br>**<u>TWENTIETH</u> – QUORUM FOR PARTNERS' MEETINGS:**<br> The quorum required for Partners' Meetings shall be all of the Company's shares represented on first call, and the absolute majority thereof on second call. If the absence of one or more partners prevented reaching a quorum required on first call to any ordinary or extraordinary partners' meetings, the corresponding meeting shall be automatically postponed to the eighth business days after the initially scheduled date, without needing a new call.<br>**<u>TWENTY FIRST</u> - QUORUM FOR**<br> **RESOLUTIONS:**<br> Ordinary and extraordinary Partners' Meetings shall make resolutions with the simple majority of the subscribed and paid-up shares represented. Notwithstanding the foregoing, SQM's approval shall be required to decide on the following matters:<br>**/a/** early dissolving, transforming, splitting-up or merging the Company;<br> **/b/** amending the Articles of Incorporation;<br> **/c/** approving contributions and estimating non-cash assets;<br> **/d/** disposing of 50% or more of its assets, whether or not including its liabilities, which shall be determined per the balance sheet of the previous fiscal period, and creating or modifying any business plans involving the |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 17/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;que contemple la enajenación de activos por un monto que supere dicho porcentaje;<br> **/e/** la celebración de los actos y ejecución de los actos que se señalan en los artículos 169 y 189 del Código de Minería.<br> **/f/** el otorgamiento de garantías reales o personales para caucionar obligaciones de terceros;<br> **/g/** la decisión de externalizar o tercerizar la explotación del Proyecto Minero;<br> **/h/** la formación de sociedades filiales o adquisición de participación en otras sociedades;<br> **/i/** la formación de fondos de reserva, salvo los que sean exigidos por la ley;<br> **/j/** Aprobar las demás materias indicadas en el artículo sesenta y siete de la Ley N° 18.046 sobre Sociedades Anónimas.<br>**<u>VIGÉSIMO SEGUNDO</u>: VOTO EN JUNTA.** En las Juntas de Socios cada acción da derecho a un voto.<br>**<u>VIGÉSIMO TERCERO</u>: ACTAS DE JUNTAS DE SOCIOS.**<br> De las deliberaciones, votaciones y acuerdos de las Juntas de Socios se dejará constancia en un libro especial de actas. En las actas se expresará el nombre de los asistentes y el número de acciones que cada uno posea o represente. Las actas contendrán también una relación sucinta de las observaciones o incidentes producidos, de las proposiciones sometidas a discusión y del resultado de las votaciones.<br> Las deliberaciones y acuerdos de las juntas se escriturarán en el libro de actas respectivo por cualquier medio, siempre que ofrezcan seguridad y no podrán hacerse intercalaciones, supresiones o cualquier otra adulteración que pudiera afectar la fidelidad del acto.<br> Las actas serán firmadas por el presidente y secretario de la junta y por los socios que asistan. Una vez que el acta se encuentre<br>| &nbsp;&nbsp;disposal of assets for an amount exceeding the aforesaid percentage;<br> **/e/** entering into and executing any of the acts stated in Articles 169 and 189 of the Chilean Mining Code;<br> **/f/** giving any real or personal guarantees to secure third party's obligations;<br> **/g/** deciding on outsourcing or externalizing the implementation of the Mining Project;<br> **/h/** creating any subsidiaries or purchasing any interests in other companies;<br>**/i/** creating any reserve funds other than those required by law, and<br> **/j/** approving any of the other matters provided in Article 67 of the Companies Law No. 18,046.<br>**<u>TWENTY SECOND</u> – VOTING RIGHTS:** Each share shall entitle the holder thereof to one right of vote in Partners' Meetings.<br>**<u>TWENTY THIRD</u> - PARTNERS' MEETING MINUTES:**<br> The discussions, votes and resolutions in Partners' Meetings shall be recorded in a special book of minutes, stating the names of all attendees and the number of shares held or represented by each, as well as a brief account of all comments on the discussed motions, any incidents surrounding them, and all voting results.<br>The discussions and resolutions shall be written in the respective book of minutes by any means, provided that they offer security against any intercalations, deletions or any other alterations that may affect the accuracy thereof.<br>The minutes must be signed by the secretary and all attending partners, and once so signed, shall be deemed approved as final, |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 18/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;firmada por las personas indicadas precedentemente, se tendrá por definitivamente aprobada sin necesidad de ninguna otra formalidad y, en consecuencia, los acuerdos consignados en ella se cumplirán sin espera de su aprobación posterior en otra junta.<br>**TÍTULO SEXTO.- BALANCE Y<br> DISTRIBUCIÓN DE UTILIDADES.-**<br>**<u>VIGÉSIMO CUARTO</u>: BALANCE,**<br> **INVENTARIO Y ESTADO.**<br> Al treinta y uno de diciembre de cada año se practicará un balance de las operaciones y negocios sociales y un inventario de los bienes y obligaciones sociales, un estado de ganancias y pérdidas y un informe de los auditores externos. Estos documentos, junto con una memoria explicativa de la situación de la Sociedad en el último ejercicio, serán presentados por el Directorio a consideración de la Junta Ordinaria de Socios. La memoria, balance, inventario y sus antecedentes justificativos estarán a disposición de los socios, en las oficinas de la Sociedad, durante los quince días anteriores a la fecha de celebración de la Junta Ordinaria.<br>**<u>VIGÉSIMO QUINTO</u>: DISTRIBUCIÓN DE DIVIDENDOS.**<br> La Sociedad, a través del Directorio, deberá, salvo acuerdo diferente adoptado con la aprobación de un cien por ciento de las acciones emitidas, suscritas y pagadas, distribuir anualmente como dividendo en dinero a sus socios, a prorrata de sus acciones, a lo menos el treinta por ciento de las utilidades líquidas del ejercicio precedente.<br> El Directorio podrá distribuir utilidades provisorias durante el ejercicio con cargo a las utilidades del mismo, siempre que no hubiere pérdidas acumuladas y bajo la responsabilidad de los directores que las acuerden. No obstante lo señalado, si la | &nbsp;&nbsp;without needing any further formalities. Consequently, the resolutions recorded therein shall be implemented without waiting for the approval thereof at another meeting.<br>**TITLE VI – BALANCE AND DISTRIBUTION OF PROFITS**<br>**<u>TWENTY FOURTH</u> – BALANCE,**<br> **INVENTORY AND STATEMENT:**<br> A balance of the Company's operations and businesses, an inventory of its assets and liabilities, a statement of profit and loss, and a report from external auditors shall be prepared as at December 31 of each year. These documents, together with an explanatory report on the Company's situation during the last fiscal year, shall be submitted by the Board for consideration at the respective Ordinary Partner's Meeting. The report, balance, inventory, and their supporting information, shall be available to the partners, at the Company's offices, during 15 days before the respective Ordinary Meeting.<br>**<u>TWENTY FIFTH</u> - DISTRIBUTION OF**<br> **DIVIDENDS:**<br> Through its Board, the Company must annually distribute at least 30% of the net profits earned during the previous year, as cash dividends to its partners, prorated to their respective shares, unless otherwise agreed by 100% of the issued, subscribed and paid-up shares.<br> The Board may distribute provisional dividends during a fiscal year against the same-year profits, provided that there were no accrued losses and under the responsibility of the directors so resolving. Notwithstanding, if the Company had any |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 19/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;Sociedad tuviere pérdidas acumuladas, las utilidades del ejercicio se destinarán primeramente a absorberlas.<br> Si hubiere pérdidas en el ejercicio, éstas serán absorbidas con las utilidades retenidas, si las hubiere. La parte de las utilidades que no sea destinada a distribución y pago podrá en cualquier momento ser capitalizada o ser destinada a la distribución de utilidades eventuales en ejercicios futuros.<br> La distribución se hará en dinero, sin que tengan aplicación los dos últimos incisos del artículo ciento noventa y cuatro del Código de Minería. Los dividendos serán pagados a los socios inscritos en el Registro de Accionistas del Conservador de Minas competente el quinto día hábil anterior a las fechas establecidas para su pago.<br>**TÍTULO SÉPTIMO.- DISOLUCIÓN Y<br> LIQUIDACIÓN.-**<br>**<u>VIGÉSIMO SEXTO</u>: TÉRMINO DE LA SOCIEDAD.**<br> La Sociedad terminará:<br> /**Uno/** Por la enajenación, extinción o caducidad de todas sus concesiones mineras; /**Dos/** Por la reunión en una sola persona de todas las acciones en que se divide el interés social; y /**Tres/** Por acuerdo de los socios tomado en junta extraordinaria.<br>**<u>VIGÉSIMO SÉPTIMO</u>: LIQUIDACIÓN DE LA SOCIEDAD.**<br> Disuelta la Sociedad por cualquier causa, su liquidación, cuando proceda, será practicada por una junta liquidadora, compuesta por tres miembros, socios o no, designados por la primera Junta de Socios que se celebre con posterioridad a la disolución o en la misma junta extraordinaria en que se acuerde.<br> Los liquidadores durarán en sus funciones hasta el término de la liquidación, sin perjuicio de la facultad de la Junta de Socios de revocarles su mandato y reemplazarlos. Las atribuciones de los liquidadores serán las que<br> le fijen estos estatutos y la Junta de Socios. Las funciones de los liquidadores se remunerarán en la forma que determine la Junta de Socios. Durante la liquidación seguirán aplicándose las normas de estos estatutos en todo aquello que resulte compatible con el estado de liquidación de la Sociedad. Mientras no se designe una junta liquidadora, las medidas conservativas u otras que se requieran serán cumplidas por el Directorio.<br>| &nbsp;&nbsp;accrued losses, the period profits shall go first to absorb such losses.<br> Any loss accrued during a fiscal period shall be absorbed by retained profits, if any. Undistributed profits may be capitalized at any time, or allocated to any potential distributions of profits earned during future fiscal years.<br> Distributions shall be paid out in cash, without applying the last two paragraphs of Article 194 of the Chilean Mining Code. Dividends shall be paid to partners registered in the relevant Mine Registrar's Book of Shareholders 5 business day before the dates defined for dividend payments.<br>**TITLE VII – DISSOLUTION AND<br> LIQUIDATION**<br>**<u>TWENTY SIXTH</u> – WINDING UP THE COMPANY:**<br> The Company shall be winded up:<br> /**1/** upon the disposal, extinction or expiry of all of its mining claims; /**2/** if only one holder came to own all of the Company's shares, or /**3/** on a partners' resolution made to this end at an extraordinary meeting.<br>**<u>TWENTY SEVENTH</u> – LIQUIDATION OF**<br> **THE COMPANY'S ASSETS:**<br> Upon the Company's dissolution for any causes, its assets shall be liquidated, as applicable, by a committee of liquidators, formed by three members, whether partners or not, appointed by the first Partners' Meeting held after the dissolution or at the same extraordinary meeting of the resolution.<br> The liquidators shall remain in office until the liquidation were completed, notwithstanding that the Partners in Meeting may revoke the appointment of, and replace, any of them. The liquidators' capacities shall be as<br> provided herein and set by the Partners in Meeting, and they shall be remunerated as decided at the Partners' Meeting. During the liquidation, the provisions hereunder shall continue applying to the extent compatible with the Company's status under liquidation. While the committee of liquidators were not appointed, the Board shall take any needed custodial or other measures.<br>|

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| [Translation on the right] | ![](ex10-21_003.jpg) | 20/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| **TÍTULO OCTAVO.- RESOLUCIÓN DE<br> CONFLICTOS.-**<br> **<u>VIGÉSIMO OCTAVO</u>: TRIBUNALES**<br> **ORDINARIOS DE JUSTICIA.**<br> Todas las diferencias, dificultades o conflictos que se susciten entre los socios, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con estos estatutos sociales, serán sometidas al conocimiento y decisión de los Tribunales Ordinarios de Justicia con competencia en la ciudad de Santiago.<br>**TÍTULO NOVENO.- NORMAS<br> APLICABLES.-**<br> **<u>VIGÉSIMO NOVENO</u>: NORMAS**<br> **APLICABLES.**<br> En todo lo no previsto en estos estatutos regirán las disposiciones de los artículos doscientos a doscientos cinco del Código de Minería. En todo caso, no serán aplicables las disposiciones de los artículos ciento noventa y cinco, ciento noventa y seis, ciento noventa y siete y ciento noventa y ocho del Código de Minería.<br>**ARTÍCULOS TRANSITORIOS.-**<br>**<u>PRIMERO TRANSITORIO</u>: SUSCRIPCIÓN Y PAGO DEL INTERÉS SOCIAL.**<br> El interés social en la Sociedad se divide en <u>[mil] acciones</u> ordinarias, nominativas y sin valor nominal, el cual se suscribe y paga íntegramente de la siguiente forma: | &nbsp;&nbsp;**TITLE VIII – CONFLICT RESOLUTION**<br>**<u>TWENTY EIGHTH</u> – ORDINARY COURTS OF JUSTICE:**<br> Any differences, difficulties or conflicts arising between the Parties for any reasons and under any circumstances directly or indirectly relating hereto shall be submitted for examination and resolution by the ordinary courts of justice with jurisdiction in the city of Santiago.<br>**TITLE IX – APPLICABLE RULES**<br>**<u>TWENTY NINTH</u> – APPLICABLE RULES:** <br> Anything not stipulated herein shall be governed by the provisions of Articles 200 to 205 of the Chilean Mining Code, but those contained in Articles 195 to 198 of the same code shall not apply in any case.<br>**PROVISIONAL ARTICLES**<br>**<u>PROVISIONAL 1</u> – SUBSCRIPTION AND PAYMENT OF EQUITY SHARES:**<br> The Company's equity capital shall be divided into <u>[1,000]</u> registered common shares, without par value, hereby subscribed for and paid up as follows: |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 21/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;<br> /**Uno/** El socio <u>Key Metals Corporation Chile SpA</u> suscribe y paga íntegramente [**ochocientas**] **acciones**, correspondiente a su interés social en la Sociedad, mediante el aporte en dominio de [insertar según como se haya pactado en el Contrato de Exploración y Promesa]. Este aporte se efectúa [mediante la entrega].<br> /**Dos/** El socio <u>Sociedad Química y Minera de Chile S.A.</u> suscribe y paga íntegramente **[doscientas] acciones**, correspondiente a su interés social en la Sociedad, mediante el aporte en dominio a la Sociedad de las concesiones mineras de explotación que se singularizan en el <u>Artículo Segundo Transitorio</u> siguiente, teniendo SQM además derecho - por dicho aporte- a la Reserva en los términos que señala en el <u>Artículo Tercero Transitorio</u> y al pago por parte de la Sociedad de una regalía según como se pacta en una escritura pública separada que se suscribe con esta misma fecha.<br> El aporte de estas concesiones mineras de explotación se hace como especie o cuerpo cierto, las cuales son entregadas materialmente en este acto a la Sociedad, quien las recibe a su total satisfacción.<br> El aporte de cada una de estas concesiones mineras de explotación se efectúa a completa satisfacción del otro socio y de la Sociedad, quienes otorgan al socio aportante completo finiquito con respecto a su obligación de aporte y pago de su interés social en la Sociedad.<br>**<u>SEGUNDO TRANSITORIO</u>: APORTES DE CONCESIONES MINERAS.**<br> El socio <u>Sociedad Química y Minera de Chile S.A.</u> aporta en dominio, cede y transfiere a la Sociedad, la cual recibe, acepta y adquiere para sí, las siguientes concesiones mineras de explotación:<br> **/Uno/** <u>[●]</u>. | &nbsp;&nbsp;<br> /**1/** <u>Key Metals Corporation Chile</u> SpA hereby subscribes for, and pays up, [**800**] **shares**, corresponding to its equity interest in the Company, by contributing the ownership of [*insert as agreed in the Exploration Agreement and Promise*], through [*the delivery*], and<br> /**2/** <u>Sociedad Química and Minera de Chile S.A.</u> hereby subscribes for, and pays up, [**200**] **shares**, corresponding to its equity interest in the Company, by contributing thereto the ownership of the mining claims for exploitation hereinafter identified in the <u>Provisional Article 2</u>, which shall also entitle SQM to the Reserve in the terms stipulated in the <u>Provisional Article 3</u>, and to receive a royalty from the Company, as agreed in a separate notarized and registered document executed on this date.<br>These mining claims for exploitation are contributed *ad corpus* or as they are, and are hereby physically conveyed to the Company, with the latter stating that it has satisfactorily received them.<br> The contribution of each mining claim for exploitation has been fully satisfactory to the other partner and the Company, and they both hereby fully release the contributing partner of its obligation to contribute towards, and pay for, its equity interest in the Company.<br>**<u>PROVISIONAL 2</u> – CONTRIBUTION IN MINING CLAIMS:**<br> <u>Sociedad Química and Minera de Chile S.A.</u> hereby contributes the ownership of, assigns and transfers the following mining claims for exploitation to the Company, which in turn, receives and accepts them, and acquires them for self:<br> **/1/** <u>[●]</u>. |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 22/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;**<u>TERCERO TRANSITORIO</u>**: **RESERVA DE SUSTANCIAS NO METÁLICAS.**<br> **<u>Tres. Uno Transitorio</u>. Aporte sujeto a la Reserva de Sustancias No Metálicas**.<br> El aporte de SQM de los Derechos Mineros a la Sociedad se efectúa de la forma y sujeto a las condiciones y términos que se indican en este Artículo Transitorio.<br> **<u>Tres. Dos Transitorio</u>. Definiciones.**<br> Para los efectos de este Artículo Transitorio, los términos que se indican a continuación, cada vez que se usen con mayúscula inicial, tendrán el siguiente significado:<br> **/a/** "**Área**": El área efectiva o de extensión territorial que comprenden los Derechos Mineros, la cual es de aproximadamente [●] hectáreas y se encuentra ubicada en la Región de Atacama.<br> **/b/** "**Derechos Mineros**": Según como se definen en el <u>Artículo Primero Transitorio</u>. Asimismo, formarán parte de los Derechos Mineros cualquier solicitud, manifestación, pedimento, concesión minera de exploración y/o de explotación de propiedad de la Sociedad o que la Sociedad constituya o adquiera en el Área, ya sea por cuenta propia o a nombre de terceros, sea que reemplacen, prorroguen o no, o se superpongan total o parcialmente a cualquiera de los Derechos Mineros.<br> **/c/** "**Sustancias No Metálicas**": Comprenden e incluyen, entre otras y a título meramente ilustrativo, a aquellas que tienen azufre, sodio, nitrato, potasio, fosfato, yodo, sulfato, borato, carbonato, magnesio y litio en cualquiera de sus formas o compuestos - independientemente de que las mismas se encuentren en minerales, en salmueras o en otros cuerpos o estados- y todos los subproductos y sales asociadas que directa o indirectamente se deriven de dichas sustancias - y que, entre otros, comprenden e incluyen a los subproductos nitrato de sodio, nitrato de potasio, sulfato de sodio, sulfato de potasio, cloruro de potasio, ácido bórico, carbonato de litio y sulfato de litio. | &nbsp;&nbsp;**<u>PROVISIONAL 3</u> – RESERVE OF NON-METALLIC SUBSTANCES:**<br> **<u>3.1 Provisional</u> – Contribution:**<br> **Conditioned to the Non-Metallic Reserve:** SQM's hereby contributes the Mining Rights to the Company in the manner and under the conditions and terms provided in this provisional article.<br> **<u>3.2 Provisional</u> - Definitions:**<br> For the purposes of this provisional article, the following words and expressions with initial capitals shall have the meanings provided hereinafter for each:<br> **/a/** "**Area**" shall refer to the actual area or territorial expansion covered by the Mining Rights, i.e., approximately [●] hectares in the Atacama Region;<br> **/b/** "**Mining Rights**" shall be as defined in <u>Provisional Article 1</u>, and shall also comprise any requests, statements of discovery, petitioned mining claim for exploration, and awarded mining claims for exploration or exploitation, owned by the Company or that it may be awarded or purchase in the Area, for itself or on behalf of third parties, and that may replace, extend or not, or fully or partly overlap any of the Mining Rights, and<br>**/c/** "**Non-Metallic Substances**" shall comprise and include, among others and only as examples, any substances containing any forms or compounds of sulphur, sodium, nitrate, potassium, phosphate, iodine, sulphate, borate, carbonate, magnesium or lithium, regardless of they being in ores, brines, or any other bodies or states, and any other by products and salts directly or indirectly associated with, or derived from, any such substances, comprising and including, among others, any sodium or potassium nitrate, sodium or potassium sulphate, potassium chloride, boric acid, lithium carbonate or lithium sulphate by products. |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 23/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;<br> **<u>Tres. Tres Transitorio</u>. Reserva de**<br> **Sustancias No Metálicas**.<br> **/a/** Los socios y la Sociedad entienden y aceptan desde ya, de manera definitiva e irrevocable y como elemento de la esencia del aporte de concesiones mineras que efectúa SQM, elemento que se refleja en las valorizaciones y precios que se consideraron en el Contrato de Exploración y Promesa Unilateral de Constitución de Sociedad suscrito por las partes el día [●] en la Notaría de Santiago de doña [●], que la Sociedad reserva a SQM el descubrimiento, exploración, explotación, y el dominio, en parte o en su totalidad, de una o más Sustancias No Metálicas que se encuentren en los Derechos Mineros, en adelante la "**Reserva**".<br> **/b/** En consecuencia, y en lo que a la Sociedad concierne, la Reserva corresponde a una prohibición absoluta de explorar, explotar, beneficiarse o apropiarse de todo o parte de las Sustancias No Metálicas existentes y subyacentes en los Derechos Mineros, declarando los socios, a mayor abundamiento, que no podrá la Sociedad, jamás ni bajo circunstancia alguna, extraer, en los términos del inciso segundo del artículo ciento dieciséis del Código de Minería, usar, gozar, aprovechar o disponer en forma directa o indirecta o a través de terceros de las Sustancias No Metálicas contenidas en los Derechos Mineros.<br>**<u>Tres. Cuatro Transitorio</u>. Titularidad y**<br> **facultades de SQM en relación a la**<br> **Reserva.**<br> **/a/** En este acto los Socios y la Sociedad reconocen la Reserva, y la Sociedad se la vende y cede a SQM, quien la acepta y adquiere, efectuándose en este acto su tradición a satisfacción de todas las partes quienes declaran que su precio se encuentra | &nbsp;&nbsp;**3.3 Provisional - Non-Metallic Substance Reserve:**<br> **/a/** The partners and the Company hereby record that they understand and accept that any full or partial discoveries, exploration or exploitation, and the ownership, of any one or more Non-Metallic Substances contained in the Mining Rights are hereby reserved by the Company for SQM, hereinafter called the "**Reserve**", as the final and irrevocable essence of SQM's contribution in mining claims, reflected in the valuations and prices included in the Exploration Agreement and Unilateral Promise to Incorporate a Company executed by the parties on [●], at the Santiago Notary offices of [●], and<br>**/b/** Consequently, for the Company, the Reserve shall be an absolute restriction from exploring for, exploiting, benefiting from, or appropriating, all or any part of the Non-Metallic Substances existing in, or underlying the Mining Rights, with the partners hereby also stating that the Company may not ever, or under any circumstances, directly or indirectly or through any third parties, extract, as defined in the second paragraph of Article 116 of Chilean Mining Code, use, enjoy, benefit from, or dispose of, any of the Non-Metallic Substances contained in the Mining Rights.<br>**<u>3.4 Provisional</u> – SQM's Ownership and Rights in Connection with the Reserve:**<br> **/a/** The Partners and the Company hereby acknowledge the Reserve, which the Company sells and assigns to SQM, and the latter accepts and acquires, and is hereby transferred to the satisfaction of all parties, which state that the price has been paid as |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 24/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;pagado según como se indica en la <u>Sección Tres. Tres Transitoria</u>, asumiendo además la Sociedad la obligación de imponer su reconocimiento, respeto y cumplimiento - en conjunto con la obligación de la letra /b/ siguiente- a cualquier tercero adquirente de los Derechos Mineros. Desde la constitución de la Sociedad, la Reserva se inscribirá en el Registro de Hipoteca y Gravámenes del Conservador de Minas competente, y se anotará al margen de la inscripción de dominio vigente y de la inscripción de la sentencia constitutiva y acta de mensura de los Derechos Mineros.<br> **/b/** La Reserva contiene la obligación de que la Sociedad, y sus sucesores en el dominio de los Derechos Mineros, a su costo, cuenta y responsabilidad mantengan, protejan, amparen y conserven la vigencia de los Derechos Mineros hasta la extinción de la Reserva.<br> **/c/** Con motivo de la Reserva, SQM podrá ejercer todos los derechos que le corresponden a un titular de una concesión minera de explotación con respecto a las Sustancias No Metálicas en los Derechos Mineros. A título ejemplar –y sin que implique limitación- podrá explorar, explotar, retirar, y/o extraer las Sustancias No Metálicas como su único dueño, bajo su exclusiva cuenta, costo, riesgo y responsabilidad. SQM podrá efectuar dicha exploración, explotación, retiro y/o extracción en forma perpetua o hasta el máximo límite permitido por ley.<br>**<u>Tres. Cinco Transitorio</u>. Interferencia con las operaciones de la Sociedad**.<br> **/a/** Si SQM, efectuando sus operaciones en el Área con motivo de la Reserva, interfiere en algún momento con las operaciones de la Sociedad, la Sociedad - si fuese afectada-enviará una comunicación por escrito a SQM señalando y demostrando las razones de dicha interferencia para que - en un plazo de al menos treinta Días Hábiles- adecue sus actividades o las suspenda por un periodo no | &nbsp;&nbsp;specified in <u>Section 3.3 Provisional</u>, with the Company hereby also undertaking the obligation to have any third-party buyers of the Mining Rights acknowledge, respect, and abide by, the Reserve, as well as meet the obligation stipulated hereinafter in Item /b/, and upon the Company's incorporation, the Reserve being entered in the relevant Mine Registrar's Book of Mortgages and Encumbrances, and annotated on the margin of the registrations of both the current ownership and the award judgement and surveyor's certificate of the Mining Rights;<br> **/b/** The Reserve shall entail an obligation for the Company, and its successor owners of the Mining Rights, to maintain, protect and shelter them, and keep them valid, at their own cost, and on their own account and responsibility, until the Reserve extinguished, and<br> **/c/** By virtue of the Reserve, SQM may exercise any and all of the rights pertaining to owners of mining claims for exploitation in what regards the Non-Metallic Substances contained in the Mining Rights, including, for instance and without limitation, explore for, exploit, remove, and mine them as their single owner, on its own account and responsibility, and at its own cost and risk, to perpetuity or up to the maximum legal limit.<br>**<u>3.5 Provisional</u> - Interference with the**<br> **Company's Operations:**<br> **/a/** If while running its operations in the Area by virtue of the Reserve, SQM interfered with the Company's operations at any time, and this affected the latter, it shall advise SQM in writing, stating the reasons of the interference, providing proof thereof, and specifying the place or places of interference, and whether or not SQM needed to remove any machines or other materials, so that the |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 25/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;superior a un mes. En dicha comunicación además se indicará el lugar de interferencia y si SQM tiene que hacer retiro de maquinaria u otros materiales.<br> **/b/** En el evento que la Sociedad desee suspender las actividades de SQM por más de un mes, utilizará el procedimiento que se señala en la <u>Sección Tres. Ocho Transitorio</u> sobre "Área de Instalaciones".<br>**<u>Tres. Seis Transitorio</u>. Pagos por**<br> **actividades de SQM**.<br> SQM no pagará monto alguno a la Sociedad, con motivo de lo expuesto en este Artículo Transitorio, especialmente, pero no limitado a la Reserva, cuestión que es de la esencia de la constitución de la Sociedad y del aporte que efectúa SQM.<br>**<u>Tres. Siete Transitorio</u>. Permisos y**<br> **autorizaciones**.<br> **/a/** SQM obtendrá los permisos y autorizaciones que sean necesarios para sus trabajos de exploración y de explotación en relación con las Sustancias No Metálicas, y cumplir con todas y cada una de las disposiciones legales y reglamentarias vigentes que procedan, en especial con la Ley número diecinueve mil trescientos y sus reglamentos y con la Ley veinte mil quinientos cincuenta y uno y su reglamento. La Sociedad suscribirá todo instrumento público o privado que sea necesario a objeto de permitir a SQM el ejercicio pleno de los derechos consagrados en este Artículo Transitorio, sujeto a las limitaciones previstas en éste.<br> **/b/** La Sociedad se obliga a permitir que SQM use y goce, en forma gratuita, los permisos y autorizaciones de que sea titular y que puedan ser útiles para las actividades de SQM.<br>**Tres. Ocho Transitorio. Área de**<br> **Instalaciones**.<br> **/a/** Sin perjuicio de otras autorizaciones y<br> permisos que la Sociedad deba obtener, con | &nbsp;&nbsp;latter may, within no less than 30 Business Days, adapt its activities, or suspend them for a period not exceeding one month, and<br> **/b/** In the event that the Company wished that SQM suspended its activities for longer than one month, it shall follow the procedure provided in <u>Section 3.8 Provisional</u> on the "Facility Area".<br>**<u>3.6 Provisional</u> - Payments for SQM's Activities:**<br> SQM shall not make any payments to the Company under the provisions of this provisional article, specially, but not limited to, the Reserve, and this shall be the essence of the Company's incorporation and SQM's contribution.<br>**<u>3.7 Provisional</u> - Permits and**<br> **Authorizations:**<br> **/a/** SQM shall obtain all permits and authorizations needed for its exploration or mining works regarding Non-Metallic Substances, and shall abide by all applicable current legal and regulatory provisions, and especially by Law No. 19,300 and its regulations, and Law No. 20,551 and its regulation, and the Company shall execute any public or private instruments needed for enabling SQM to fully exercise all of its rights under this provisional article, conditioned to the limitations provided herein, and<br>**/b/** The Company hereby commits to enable SQM's gratuitous use and enjoyment of any permits and authorizations held by the former that may be useful for the latter's activities.<br>**<u>3.8 Provisional</u> – Facility Area:**<br> **/a/** Notwithstanding any other authorizations and permits that the Company must obtain to |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 26/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;el objeto de ocupar parte de la cara superficial de los Derechos Mineros con instalaciones de beneficio, pilas, minas, botaderos, caminos, líneas de transmisión, acueductos, emplazamiento e instalaciones de labores mineras, rajos, ripios e infraestructura en general que eventualmente sean necesarias para la explotación y beneficio de minerales, en adelante el "**Área de Instalaciones**", permitirá previamente a SQM explotar, descartar o condenar dicha área de una posible explotación de Sustancias No Metálicas, mediante la aplicación de los procedimientos de general aceptación de la industria. Para ello, la Sociedad comunicará a SQM de su intención de usar el Área de Instalaciones y le entregará un informe de pre-factibilidad con a lo menos cinco años de anticipación a la fecha en que desea ocupar el Área de Instalaciones.<br> **/b/** En tal evento, dentro del plazo de tres meses contados desde la recepción por parte de SQM de la referida comunicación, SQM podrá optar por: **- i-** extraer directamente las Sustancias No Metálicas del Área de las Instalaciones, dentro del plazo de cinco años ya indicado; o **- ii-** suspender sus actividades en el Área de Instalaciones para permitir su ocupación, recibiendo a título de indemnización una cantidad correspondiente al valor del margen económico de las Sustancias No Metálicas que se encuentran dentro del Área de Instalaciones, y que SQM no podrá explotar por todo el período que dure la ocupación, vencido el cual podrá continuar sus actividades para beneficiarse de ellos.<br> **/c/** Para establecer el margen se considerarán los siguientes parámetros: reservas afectadas, ley de yodo, ley de nitrato, ley de potasio, rendimientos globales de yodo SQM, rendimientos globales de nitrato SQM, rendimientos globales de potasio SQM, factor conversión de potasio igual a uno coma noventa y uno (representa | &nbsp;&nbsp;occupy a part of the surface of the Mining Rights with process facilities, heaps, piles, mines, dumps, roads, power lines, aqueducts, mine sites and facilities, galleries, sterile materials and infrastructure in general that may eventually be needed for mining and processing ores, hereinafter called the "**Facility Area**", the Company shall previously allow SQM to exploit Non-Metallic Substances in the stated area, or discard or reject it from any such potential exploitation, by applying procedures generally accepted by the industry, and to that end, the Company shall advise SQM of its intention to use the Facility Area, and shall deliver a prefeasibility report thereto at least 5 years before the date on which it wished to occupy the Facility Area;<br>**/b/** In such a case, within three months of receiving the forenamed communication, SQM may opt: **- i-** for directly mining the Non-Metallic Substances in the Facility Area, within the already specified 5 year term, or **- ii-** for suspending its activities in the Facility Area to allow its occupation, and receive a compensation in an amount equivalent to the economic margin of the Non-Metallic Substances existing in the Facility Area, which SQM may not mine throughout the entire occupation period, upon which, it may continue its activities to benefit from such substances;<br>**/c/** The following parameters shall be used to determine the margin: the affected reserves; iodine, nitrate and potassium grades; SQM overall iodine, nitrate and potassium capacities; a 1.91 potassium conversion factor, representing the conversion of one tonne of potassium into one tonne of potassium chloride; the <u>iodine operational</u> |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 27/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;la conversión de una tonelada de potasio en una tonelada de cloruro de potasio), <u>margen operacional yodo - en US$/Kg-</u>: será el promedio obtenido por SQM en su planta "Nueva Victoria" en ventas de yodo directo durante los ciento ochenta días corridos anteriores a la última FECU presentada a aquel en que SQM informe el mismo, <u>margen operacional nitratos de sodio - en US$/TM-</u>: será el promedio obtenido por SQM en las ventas de nitrato de sodio y nitrato de potasio tanto para usos agrícolas como industriales en su planta "Coya Sur" durante los ciento ochenta días corridos anteriores a aquel en que SQM informe el mismo; <u>margen operacional cloruro de potasio - en US$/TM-</u>: será el promedio obtenido por SQM en ventas de cloruro de potasio en su planta "MOP G III", durante los ciento ochenta días corridos anteriores a aquel en que SQM informe el mismo. Todos los parámetros antes mencionados tendrán que ser consistentes con aquellos incluidos en los informes oficiales de gestión de SQM a su Directorio.<br> **/d/** Para cuantificar las Sustancias No Metálicas existentes en el Área de Instalaciones, las Partes encargarán a un tercero independiente la ejecución de un estudio de reservas, el que será ejecutado dentro de un plazo máximo de tres meses.<br> **/e/** Las Partes podrán de mutuo acuerdo modificar uno o más de los parámetros establecidos en esta Sección.<br> En cuanto a las plantas, y para el caso que alguna de ellas cese sus operaciones o baje sustantivamente su nivel de operaciones, se entiende que SQM usará la referencia de aquellas que las reemplacen como la principal planta asociada a cada uno de los productos indicados.<br>**<u>Tres. Nueve Transitorio</u>. Instrumentos**.<br> En caso de requerirlo SQM, la Sociedad procurará el otorgamiento de todos los<br>| &nbsp;&nbsp;<u>margin in USD/kg</u>, which shall be the average margin obtained by SQM at its "Nueva Victoria" plant, from direct iodine sales during a period of 180 calendar days immediately prior to the last filed FECU [Uniform, Coded Statistical Datasheet to be filed by Chilean corporations] in which SQM reported it; the <u>operational margin on sodium nitrates in USD/MT</u>, which shall be the average margin obtained by SQM at its "Coya Sur" plant, from sales of sodium and potassium nitrates for both agricultural and industrial use, during a period of 180 calendar days immediately prior that in which SQM reported it; the <u>operational margin of potassium chloride in USD/MT</u>, which shall be the average margin obtained by SQM at its "MOP G III" plant, from sales of potassium chloride during a period of 180 calendar days immediately before that in which SQM reported it, with all of these parameters mandatorily consistent with those included in the official SQM management reports submitted to the Board of Directors thereof;<br> **/d/ T**o quantify the Non-Metallic Substances existing in the Facility Area, the Parties shall entrust a study of reserves to an independent third party, to be conducted within a maximum period of three months, and<br> **/e/** The Parties may mutually agree on modifying any one or more of the parameters defined in this section.<br> If SQM stopped, or substantively lowered the level of, operations at any of its plants, the references used shall be those of plants replacing them as main plants in regard to the specific products.<br>**<u>3.9 Provisional</u> – Instruments:**<br> If SQM so required, the Company shall do its best to execute any and all public or private |

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| [Translation on the right] | ![](ex10-21_003.jpg) | 28/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;instrumentos públicos o privados que fueren necesarios para perfeccionar acabadamente la Reserva.<br>**<u>CUARTO TRANSITORIO.</u> VALOR DEL APORTE DE DERECHOS MINEROS.** El aporte de los Derechos Mineros se efectúa al valor que cada uno de ellos se encuentra registradas en la contabilidad tributaria de SQM.<br>**<u>QUINTO TRANSITORIO</u>: DIRECTORIO.** Los socios eligen los siguientes directores: **/a/** Key Metals Corporation Chile SpA elige a los señores [●] y [●] como directores titulares y a los señores [●] y [●] como directores suplentes. **/b/** Sociedad Química y Minera de Chile S.A. elige al señor [●] como director titular y al señor [●] como director suplente.<br>**<u>SEXTO TRANSITORIO</u>: PODER**<br> **ESPECIAL PARA INSCRIBIR Y**<br> **RECTIFICAR.**<br> Se faculta al portador de copia autorizada de esta escritura o de su extracto para requerir y firmar las inscripciones a que haya lugar en los Registros competentes del Conservador de Minas de Santiago y demás inscripciones, subinscripciones y anotaciones de cualquier naturaleza que correspondan, y efectuar todos los trámites necesarios para la debida legalización y constitución de la sociedad.<br> Asimismo, los socios confieren poder especial a los señores [●], [●] y [●], para que actuando indistintamente uno o cualquiera de ellos con uno cualquiera de los señores [●] y [●], puedan aclarar, complementar o rectificar, salvar las omisiones y rectificar los errores únicamente en lo que dice relación con la correcta individualización de los comparecientes y de los bienes aportados, sus descripciones, citas o referencias de títulos o escrituras o cualquier otro requisito que fuera necesario para practicar adecuadamente las inscripciones, subinscripciones y anotaciones que procedan | &nbsp;&nbsp;instruments needed to fully establish the Reserve.<br>**<u>PROVISIONAL 4</u> – VALUE OF THE CONTRIBUTION IN MINING RIGHTS:** The Mining Rights are hereby contributed at their respective values in SQM's tax accounting books.<br>**<u>PROVISIONAL 5</u> – BOARD:**<br> The partners hereby appoint the following directors: **/a/** Key Metals Corporation Chile SpA appoints [●] and [●] as regular directors and [●] and [●] as alternates, and **/b/** Sociedad Química and Minera de Chile S.A. appoints [●] as regular and [●] as alternate director.<br>**<u>SIXTH PROVISIONAL</u> – SPECIAL POWER OF ATTORNEY FOR REGISTRATION AND RECTIFICATION PURPOSES:**<br> The bearer of an authenticated copy hereof or of an excerpt hereof is hereby authorized to request and sign any pertinent entries in the relevant Santiago Mine Registrar's books, and any other pertinent entries, subentries or notes of whatever kind, and do any other paperwork or procedures needed for the due legalization and incorporation of the company.<br> Likewise, the partners hereby grant special powers of attorney to [●], [●] and [●], so that any of them acting individually, or jointly with any of [●] and [●], may clarify, supplement or rectify, or correct any omissions or errors only in respect of the proper identification of the appearing parties and contributed assets, and descriptions of the latter, or quotes of, or references to title deeds, certificates, documents, or any other requirements needed for properly making any pertinent entries, subentries or annotations in the relevant registrars' books. The attorneys are specially authorized to execute any public or |

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 29/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;en los registros conservatorios pertinentes. Los mandatarios quedan especialmente facultados para suscribir todos los instrumentos públicos y privados necesarios para el cumplimiento de su cometido, pudiendo solicitar las anotaciones, inscripciones y subinscripciones a que hubiere lugar, en la matriz de la misma y en los registros públicos correspondientes<br>**<u>SÉPTIMO TRANSITORIO</u>: PODER**<br> **TRIBUTARIO.**<br> Además, se otorga un mandato especial, pero tan amplio como en derecho sea necesario, a los señores [●], [●] y [●], para que, actuando separada e indistintamente uno cualquiera de ellos, en nombre y representación de la Sociedad, obtengan el rol único tributario de la Sociedad y efectúen la declaración de inicio de actividades de la misma ante el Servicio de Impuestos Internos, obtengan clave de internet, y registren a la Sociedad para el servicio en línea del mismo organismo.<br> En el ejercicio de este mandato especial, y sin que ello importe limitación alguna, los mandatarios, actuando en la forma indicada, quedan autorizados para firmar, presentar, modificar y desistirse de toda clase de<br> solicitudes, memoriales, peticiones,<br> declaraciones e instrumentos que fueren necesarios o convenientes para el buen desempeño del mandato que se les confiere.<br>**PERSONERÍAS**:<br> [insertar]<br> *-El resto de la página se deja<br> intencionalmente en blanco.-*<br>| &nbsp;&nbsp;private instruments needed for them to complete their assignment, and may request any pertaining annotations, entries or subentries in the original hereof and the corresponding public records<br>**<u>SEVENTH PROVISIONAL</u> – POWER OF ATTORNEY FOR TAX PURPOSES:**<br> [●], [●] and [●] are also herby granted special powers, as wide as required by law, so that any of them may act for and on behalf of the Company to obtain the latter's taxpayer identification number and file the statement of commencement of activities thereof with the Internal Revenue Service, as well as obtain an internet password and register the Company on the latter's online service.<br>In exercising these special powers and acting as aforesaid, the attorneys are hereby authorized, without limitation, to sign, submit, amend and withdraw any kind of requests, plea briefs, petitions, statements or instruments as needed or convenient for the proper completion of their assignment.<br>**LEGAL REPRESENTATIVES**:<br> [To be inserted]<br> *-The remainder of this page has been<br> intentionally left blank.-*<br>|

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| [Translation on the right] | ![](ex10-21_003.jpg) | 30/31 |

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| **Anexo Diez. Uno /b/** | **Appendix 10.1 /b/** |

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| &nbsp;&nbsp;[Al dorso, encabezado]**Anexo Diez.Uno /b/**<br>*- El resto de la página se deja intencionalmente en blanco.-*<br>| &nbsp;&nbsp;[On the back, header] **Appendix 10.1 /b/**<br>*- The remainder of this page has been intentionally left blank.-*<br>|

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| [Translation on the right]<br> [All stamps have been copied and pasted at the client's request, and translated at the end, as applicable.] | ![](ex10-21_003.jpg) | 31/31 |

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| &nbsp;&nbsp;**/c/ <u>ANEXO DIEZ. CINCO</u>:** ACUERDO DE REGALÍA NSR E HIPOTECA Y PROHIBICIÓN SCM. | &nbsp;&nbsp;**/c/ <u>APPENDIX 10.5</u>:** AGREEMENT ON A <br> NSR ROYALTY, AND THE SCM's <br> MORTGAGE AND RESTRICTION |
| &nbsp;&nbsp;*-El resto de la página se deja<br> intencionalmente en blanco.-*<br>| &nbsp;&nbsp;*-The remainder of this page has been <br> intentionally left blank.-* |
| &nbsp;&nbsp;[Al dorso:] *- El resto de la página se deja*<br> *intencionalmente en blanco.-* | &nbsp;&nbsp;[On the back:] *- The remainder of this page*<br> *has been intentionally left blank.-* |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 1/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**<u>ACUERDO DE REGALÍA NSR, HIPOTECA Y PROHIBICIÓN</u>**<u><sup>1</sup></u><br>**<u>SCM [●]</u>** <br> **<u>Y</u>**<br>**<u>SOCIEDAD QUÍMICA Y MINERA DE</u>**<br> **<u>CHILE S.A.</u>**<br>**-Sector Fiel Rosita-**<br>| &nbsp;&nbsp;**AGREEMENT ON A NSR ROYALTY, AND** <br> **A MORTGAGE AND RESTRICTION**<sup>1</sup><br>**<u>SCM [●]</u>** <br> **<u>AND</u>** <br>**<u>SOCIEDAD QUÍMICA Y MINERA DE</u>**<br> **<u>CHILE S.A.</u>**<br>**-*Fiel Rosita* Sector-**<br>|
| &nbsp;&nbsp;EN SANTIAGO DE CHILE, a [s] de [s] de dos mil [●], entre SCM [s], rol Cinico tributario nOmero [●], sociedad contractual minera, del giro de su denominacion, representada por don [●], [nacionalidad], [estado civil], [profesi0n u oficio], cedula de identidad nCimero [●], ambos domiciliados, para estos efectos, en [●], comuna de [●], en adelante la "SCM", por una parte; y | &nbsp;&nbsp;IN SANTIAGO, CHILE, on [s] [s], 202[●], SCM [●], taxpayer identification No. [●], a contract mining company in the business of its designation, herein represented by [●], [nationality] [profession or activity], [marital status], identity card No. [s], both with address for these purposes at [s], [s] borough, party of the first part, hereinafter called the "SCM", and |
| &nbsp;&nbsp;por la otra, **SOCIEDAD QUIMICA Y MINERA DE CHILE S.A.,** rol unico tributario nilmero noventa y tres millones siete mil guion nueve, sociedad an6nima del giro de su denominaci0n, representada por don [s], [nacionalidad], [estado civil], [profesion u oficio], cedula de identidad nOmero [●], y don [●], [nacionalidad], [estado civil], [profesi0n u oficio], cedula de identidad numero [●], todos domiciliados, para estos efectos, en calle El Trovador nOrnero cuatro mil doscientos ochenta y cinco, piso seis, comuna de Las Condes, Region Metropolitana, en adelante **"SQM";** y SQM y la SCM individualmente denominadas la **"Parte"** y conjuntamente, las **"Partes";** se ha acordado celebrar el siguiente acuerdo de regalia NSR, hipoteca y prohibicion , en adelante el **"Contrato":** | &nbsp;&nbsp;**SOCIEDAD QUIMICA Y MINERA DE CHILE**<br> **S.A.,** taxpayer identification<br> No. 93,007,000-9, a corporation in the business of its name, i.e. mining and chemicals, herein represented by [s], [nationality] [profession or activity], [marital status], identity card No. [●], and [s], [nationality] [profession or activity], [marital status], identity card No. [s], all of them with address, for these purposes, at 4,281, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, party of the second part, hereinafter called **"SQM",** SQM and the SCM hereinafter called a **"Party",** and collectively, the **"Parties",** have agreed to enter into the following NSR royalty, mortgage and restriction agreement, hereinafter called the **"Agreement":** |
| &nbsp;&nbsp;<sup>1</sup>A otorgarse por escritura publica. | &nbsp;&nbsp;<sup>1</sup>To be executed as a public deed. |
| &nbsp;&nbsp;**<u>PRIMERO:</u> ANTECEDENTES.**<br> **<u>Uno. Uno.</u> Contrato de Exploracion y Promesa y constitucion de SCM [●].**<br> **/a/** Por escritura pCiblica otorgada con fecha [●] de Es], en la Notaria de Es], SQM y Key Metals Corporation Chile SpA, en adelante | &nbsp;&nbsp;**FIRST - BACKGROUND:**<br> **1.1. Exploration Agreement and Promise, and the Incorporation of SCM Es]:**<br> **/a/** SQM and Key Metals Corporation Chile SpA, hereinafter called **"KM",** executed a Mining Exploration Agreement and Unilateral |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**"KM"**, celebraron un Contrato de ExploraciOn Minera y Promesa Unilateral de Constituci6n de Sociedad, en adelante el "**Contrato de Exploracion y Promesa.** | &nbsp;&nbsp;Promise of Incorporation, on [●], [●],at the Notary Office of [●], further entered in public records and hereinafter called the "**Exploration Agreement and Promise**"; |
| &nbsp;&nbsp;**/b/** Con motivo del ejercicio de la promesa efectuada en virtud del Contrato de Exploración y Promesa se constituyó SCM [●], según consta en escritura pública de fecha [●] otorgada ante el Notario Público de Santiago don [●]. | &nbsp;&nbsp;**/b/** As promised under the Exploration Agreement and Promise, the SCM [●] was incorporated in a public deed executed on [●] before [●], Santiago Notary; |
| &nbsp;&nbsp;**/c/** En el acto de constitución de la SCM, SQM aportó en dominio a la SCM ciertas concesiones mineras de explotación, recibiendo a cambio [doscientas] acciones de la Serie B en la SCM, la Reserva y el derecho a recibir el pago de una regalía. | &nbsp;&nbsp;**/c/** Upon the SCM incorporation, SQM contributed thereto the ownership of some awarded mining claims for exploitation, and received in return [200] Series B shares therein, the Reserve and the right to receive the payment of a royalty, and |
| &nbsp;&nbsp;**/d/** En virtud del pacto de socios celebrado entre SQM y KM por instrumento privado de fecha [●], en adelante el "**Pacto de Socios**", KM se obligó a pagar a SQM el Pago por Inactividad, según como se define en dicho pacto, cuya descripción se reproduce nuevamente en la <u>Sección Uno. Dos</u> siguiente. La SCM declara conocer, aceptar y haber suscrito el Pacto de Socios. | &nbsp;&nbsp;**/d/** In the partnership agreement signed by SQM and KM on [●], [●], further entered in public records and hereinafter called the "**Partnership Agreement**", KM committed to make a Payment for Inactivity to SQM, defined in the forenamed agreement and described in the transcription of <u>Section 1.2</u>, and the SCM hereby states to know, accept and have signed the Partnership Agreement. |
| &nbsp;&nbsp;**<u>Uno. Dos</u>. Pago por Inactividad.**<br> **/a/** Si al cumplirse diez años desde la constitución de la SCM, ésta no ha iniciado la explotación comercial de un yacimiento minero en los Derechos Mineros, y mientras no se efectué tal explotación, KM pagará anualmente a SQM, dentro del primer mes de cada año siguiente, una cantidad por concepto de inactividad que corresponderá al mayor valor entre: **- i-** un millón de Dólares, o **- ii-** doscientos Dólares por hectárea del Área de los Derechos Mineros aportados a la SCM, en adelante el "**Pago por Inactividad"**. | &nbsp;&nbsp;**<u>1.2</u>. Payment for Inactivity:**<br> **/a/** If 10 years after its incorporation, the SCM had not yet begun the commercial exploitation of any mining deposit in the Mining Rights, and for as long it did not do so, KM shall make an annual payment for inactivity to SQM, within the first month of the following year, in an amount equivalent to the greater: **- i-** of USD 1,000,000, or **- ii-** of USD 200,000 per hectare comprised in the Area of the Mining Rights contributed to the SCM, hereinafter called the "**Payment for Inactivity"**; |
| &nbsp;&nbsp;**/b/** Si una vez iniciada la explotación comercial, esta se suspendiese por un periodo de tiempo que exceda el plazo de tres años, se devengará y pagará nuevamente el Pago por Inactividad conforme a lo indicado anteriormente. | &nbsp;&nbsp;**/b/** If once commenced, the commercial exploitation were halted for a time exceeding 3 years, the Payment for Inactivity shall accrue and become payable again, as previously provided; |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 3/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**/c/** Las Partes dejan expresa constancia que SQM tendrá derecho a cobrar y percibir el Pago por Inactividad aun cuando transfiera el derecho de Regalía, y esta obligación de pago procederá cualquiera sea la persona que sea dueño y/o explote los Derechos Mineros. | &nbsp;&nbsp;**/c/** The Parties hereby expressly state that SQM shall be entitled to charge and receive the Payment for Inactivity, even after transferring the Royalty right, and this payment obligation shall apply regardless of who then owned or exploited the Mining Rights; |
| &nbsp;&nbsp;**/d/** KM podrá eximirse del Pago por Inactividad en caso de que la SCM venda y transfiera a SQM todos los Derechos Mineros a un precio equivalente en pesos a cien Dólares por cada Derecho Minero. | &nbsp;&nbsp;**/d/** KM may be exempted from the Payment for Inactivity if the SCM sold and transferred all of the Mining Rights to SQM, at a price in Chilean pesos equivalent to USD 100 per Mining Right; |
| &nbsp;&nbsp;**/e/** Con todo, en caso que, dentro del plazo de diez años contados desde la fecha de constitución de la SCM, el Estudio de Factibilidad no sea aprobado por la SCM según lo establecido en la <u>Cláusula Undécima</u> del Pacto de Socios, SQM tendrá derecho a que la SCM se disuelva anticipadamente y liquide, restituyéndose a cada Parte sus aportes efectuados a la SCM, y pasando a SQM el dominio de los Informes de Exploración. | &nbsp;&nbsp;**/e/** Even so, if the SCM had not approved the Feasibility Study, as provided in the Partnership Agreement, within 10 years of its incorporation, SQM shall be entitled to request the early dissolution and liquidation of the SCM, with the respective contributions of each Party returned thereto, and ownership of the Exploration Reports passed to SQM, and |
| &nbsp;&nbsp;**/f/** Los términos en mayúscula de la presente Sección se definen en el Pacto de Socios. | &nbsp;&nbsp;**/f/** The initially capitalized terms in this Section are defined in the Partnership Agreement. |
| &nbsp;&nbsp;**<u>Uno. Tres</u>. Concesiones Mineras de Explotación.**<br> En el acto de constitución de la SCM, SQM aportó en dominio a la SCM las siguientes concesiones mineras de explotación:  | &nbsp;&nbsp;**<u>1.3</u>. Awarded Mining Claims for**<br> **Exploitation:**<br> Upon the SCM's incorporation, SQM contributed thereto the ownership of the following awarded mining claims for exploitation: |
| &nbsp;&nbsp;[*Insertar concesiones mineras de explotación inscritas a nombre de la SCM*] | &nbsp;&nbsp;[*Insert the mining claims for exploitation registered to the SCM*] |
| &nbsp;&nbsp;**<u>Uno. Cuatro</u>**. **Área**.<br> El área efectiva o de extensión territorial que comprenden las concesiones mineras de explotación singularizadas en la Sección anterior es de aproximadamente [●] hectáreas, ubicada en la Región de Atacama, en adelante el "**Área**". Tanto dichas concesiones mineras de explotación como el Área se grafican ilustrativamente en los planos que se adjuntan como <u>Anexo Uno.</u> | &nbsp;&nbsp;**<u>1.4</u>**. **Area**.<br> The effective area or territory comprising the awarded mining claims for exploitation described in the preceding Section is approximately [●] hectares, in the Atacama Region, hereinafter called the "**Area**". Both these awarded mining claims for exploitation and the Area are illustrated on the map enclosed as <u>Appendix 1.4</u> hereto, which has been entered on this date in the records of |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;<u>Cuatro</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar. | &nbsp;&nbsp;these Notary offices, and shall be deemed an integral part hereof for all applicable purposes. |
| &nbsp;&nbsp;Las señaladas concesiones mineras de explotación han sido referidas en el plano de acuerdo con las coordenadas planas universales transversales de Mercator, referidas en el Datum Provisional Sudamericano La Canoa de fecha mil novecientos cincuenta y seis, Elipsoide de Referencia Internacional de fecha mil novecientos veinticuatro, en base a los vértices de cada uno de ellos. | &nbsp;&nbsp;The forenamed awarded mining claims for exploitation have been referenced on the map according to the Mercator universal transverse plane coordinates, stated in the Provisional South American Datum at La Canoa of 1956, based on their respective vertices in the International Reference Ellipsoid of 1924. |
| &nbsp;&nbsp;**<u>SEGUNDO</u>: DEFINICIONES,**<br> **INTERPRETACIÓN Y VENCIMIENTO DE**<br> **PLAZOS**.<br> **<u>Dos. Uno</u>. Definiciones.**<br> Los términos escritos con mayúscula tendrán, para efectos de este Contrato, el significado que en esta Cláusula se señala: | &nbsp;&nbsp;**<u>SECOND</u> - DEFINITIONS,**<br> **INTERPRETATION AND DEADLINES:**<br>**<u>2.1</u>. Definitions:**<br> For the purposes hereof, the following words or expressions with initial capitals shall have the meanings respectively provided in this clause: |
| &nbsp;&nbsp;**a/ "Área"**: Se define en la <u>Sección Uno. Tres</u>. | &nbsp;&nbsp;**/a/ "Area"** is defined in <u>Section 1.3</u>; |
| &nbsp;&nbsp;**/b/** "**Contrato**": Significa el presente instrumento. | &nbsp;&nbsp;**/b/** "**Agreement**" refers to this instrument; |
| &nbsp;&nbsp;**/c/** "**Contrato de Exploración y Promesa**": Se define en la <u>Sección Uno. Uno</u>. | &nbsp;&nbsp;**/c/** "**Exploration Agreement and Promise**"<br> is defined in <u>Section 1.1</u>; |
| &nbsp;&nbsp;**/d/** "**Consultora**": Se define en la <u>Sección Cuatro. Seis</u>. | &nbsp;&nbsp;**/d/** "**Consultant**" is defined in <u>Section 4.6</u>; |
| &nbsp;&nbsp;**/e/** "**Deducciones Permitidas**": significa la suma de los siguientes costos, cargos y gastos pagados por la SCM en relación con los Productos Mineros obtenidos del Área con motivo de la explotación de los Derechos Mineros: | &nbsp;&nbsp;**/e/** "**Permitted Deductions**" designate the aggregate of the following costs, charges and expenses paid by the SCM in connection with the Mining Products obtained from exploiting the Mining Rights in the Area: |
| &nbsp;&nbsp;**-i-** Costos de transporte y de seguro de tales Productos Mineros efectivamente incurridos, incluyendo sin limitación carga, fletes, garantía, honorarios de inspectores, impuestos de exportación e importación, cargos de estiba y portuarios, corretaje | &nbsp;&nbsp;**-i-** Actually incurred transportation and insurance costs of such Mining Products, including, without limitation, cargo, freights, guarantees, inspectors' fees, export and import taxes, stevedoring and port fees, maritime and other brokerage expenses |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 5/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;marítimo y otros gastos de corretaje relacionados al transporte, y costos de manejo y almacenaje, desde la ubicación del Área, al lugar de tratamiento y/o al lugar de venta. | &nbsp;&nbsp;related to transportation, and handling and storage costs, from the Area to the place of treatment or sale, as applicable; |
| &nbsp;&nbsp;-ii- Costos por tratamiento y beneficio en el proceso de fundición y refinación de los Productos Mineros efectivamente incurridos, incluyendo cargos por fundición y refinación, penalidades, cargos por impurezas, pesaje, muestreo, análisis de laboratorio, arbitraje y otras deducciones resultantes de estos procesamientos; y | &nbsp;&nbsp;-ii- Actually incurred treatment and processing costs from smelting and refining Mining Products, including smelting and refining charges, penalties, charges for impurities, weighing, sampling, laboratory analysis, arbitration and other deductions resulting from these processes, and |
| &nbsp;&nbsp;-i- Los pagos directos relacionados con impuestos, derechos o gravámenes tributarios, incluyendo aduaneros, o cargos a la producción o venta de minerales y, en general, cualquier otro impuesto, tasa o cargo que grave la producción, venta, uso o exportación de los Productos Mineros o que se relacionen con la existencia, venta, importación, exportación, transporte de los Productos Mineros, que no sean recuperables por la SCM, excluyéndose el impuesto a la renta a que esté afecta la SCM y otros impuestos específicos o royalties, que no serán deducciones permitidas. Para mayor certeza, se deja constancia que el impuesto específico aplicable a la actividad minera en conformidad a la ley chilena - según se establece actualmente en el Artículo sesenta y cuatro de la Ley de Impuesto a la Renta de Chile o en cualquier otra disposición que pueda complementar, modificar o reemplazar a tal disposición/ no será considerado una Deducción Permitida. En ningún caso se deducirán los intereses de capital y préstamos, así como tampoco el pago de otras regalías a las que pudiere estar obligada la SCM. | &nbsp;&nbsp;-i- Direct payments related to taxes, duties and tax levies, including customs; charges on the production or sale of minerals, and generally any other taxes, rates or charges levied on the production, sale, use or export of Mining Products, or those relating to the existence, sale, import, export, transportation of the Mining Products that were unrecoverable by the SCM, and excluding any income taxes payable by the SCM, and any other specific taxes or royalties not allowed as deductions; for greater certainty, it is hereby stipulated that the specific tax applicable to the mining activity pursuant to Chilean laws, as currently defined in Article 64 of the Chilean Income Tax Law, or any other provisions that may supplement, amend or replace it, shall not be deemed a Permitted Deduction, and no interests on capital or loans, or any payments of other mandatory royalties, shall be deducted under any circumstance; |
| &nbsp;&nbsp;**/f/** "**Derecho a Renuncia**": Se define en la letra /a/ de la <u>Cláusula Décima</u>. | &nbsp;&nbsp;**/f/** "**Right of Waiver**" is defined in Item /a/ of <u>Clause 10</u>; |
| &nbsp;&nbsp;**/g/** "**Derechos Mineros**": Son las concesiones mineras de explotación | &nbsp;&nbsp;**g/** "**Mining Rights**" are the awarded mining claims for exploitation contributed by SQM to |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;aportadas por SQM a la SCM, y singularizadas en la <u>SecciOn Uno. Dos.</u> Asimismo, formaran parte de los Derechos Mineros cualquier solicitud, manifestaciOn, pedimento, concesiOn minera de exploracion y/o de explotaciOn de propiedad de la SCM o que la SCM constituya o adquiera en el Area, ya sea por cuenta propia o a nombre de terceros, sea que reemplacen, prorroguen o no, o se superpongan total o parcialmente a cualquiera de los Derechos Mineros. | &nbsp;&nbsp;the SCM and described in <u>Section 1.2,</u> as well as any requests, statements of discovery, requested mining claim for exploration, and awarded mining claims for exploration or exploitation, owned by the SCM or that it may be awarded or purchase in the Area, for itself or on behalf of third parties, and that may replace, extend or not, or fully or partly overlap any of the Mining Rights; |
| &nbsp;&nbsp;**/h/ "Derechos Mineros a Abandonar":** Se define en la letra /a/ de la <u>Clausula Decima.</u> | &nbsp;&nbsp;**/h/** "**Mining Rights to be Abandoned**" are defined in Item /a/ of <u>Clause 10</u>; |
| &nbsp;&nbsp;**/i/** "**Día Hábil**": Significa un día que no sea un sábado, domingo u otro día feriado en Chile. | &nbsp;&nbsp;**/i/** "**Business Day**" means any day that is not a Saturday, Sunday or other holiday in Chile; |
| &nbsp;&nbsp;**/j/** "**Dólar**" o "**Dólares**": Significa la moneda denominada dólar de los Estados Unidos de América. | &nbsp;&nbsp;**/j/** "**Dollar**", "**Dollars**" or "**USD**" designates the legal currency of the United States of America; |
| &nbsp;&nbsp;**/k/** "**Empresa Conectada**": Significa, con respecto a cada Parte, cualquier persona que, directa o indirectamente, controle, sea controlada por o esté bajo común control con dicha otra persona. Para efectos de esta definición, "Control" se debe entender en base a la definición contenida en el artículo 97 de la Ley N°18.045 de Mercado de Valores. | &nbsp;&nbsp;**/k/** "**Connected Company**", regarding each Party, means any company directly or indirectly controlling, being controlled or under common control with that other company, and for the purposes of this definition, "Control" must be understood per the definition provided in Article 97 of Law No. 18,045 on stock markets;<br>|
| &nbsp;&nbsp;**/l/** "**Hipoteca**": Se define en la <u>Sección Cinco. Uno</u>. | &nbsp;&nbsp;**/l/** "**Mortgage**" is defined in <u>Section 5.1</u>; |
| &nbsp;&nbsp;**/m/** "**Ingreso Bruto**": Significa la suma de las siguientes cantidades - sin que exista duplicidad entre ellas- devengadas en cada año: | &nbsp;&nbsp;**/m/** "**Gross Income**" refers to the aggregate of the following amounts accrued each year and without any duplications: |
| &nbsp;&nbsp;-i- Los ingresos devengados para la SCM por las ventas de Productos Mineros a personas que no sean Personas Relacionadas; | &nbsp;&nbsp;-i- The SCM's accrued income from sales of Mining Products to others than its Related Persons; |
| &nbsp;&nbsp;-ii- Los ingresos devengados para la SCM por las ventas de Productos Mineros a Personas Relacionadas, en el entendido que tales ventas deben realizarse por la SCM de buena fe y en condiciones justas y competitivas de mercado /*arm's length*/ de manera que no sean menos favorables para la SCM de lo que habrían sido si se hubieran | &nbsp;&nbsp;-ii- The SCM's accrued income from sales of Mining Products to Related Persons, in the understanding that such sales must be in good faith and at arm's length, so that they are not less favorable for the SCM, in terms of prices, deductions, premiums or any other applicable elements, than if they had been sales to others than its Related Persons, and |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 7/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;hecho a partes que no sean Personas Relacionadas, en términos de precios, deducciones, premios y/o cualquier otro elemento que sea aplicable a dichas ventas; y, |  |
| &nbsp;&nbsp;**-iii-** Cualesquiera pagos devengados para la SCM por concepto de seguros, referidos a pérdidas de Productos Mineros, todo en cuanto tales pérdidas tuvieran cobertura de seguros contratados por la SCM o terceros. | &nbsp;&nbsp;**-iii-** Any accrued insurance payments to the SCM for losses of Mining Products, provided that such losses were covered by insurance taken by the SCM or third parties; |
| &nbsp;&nbsp;**/n/** "**KM**": Se define en la letra /a/ de la <u>Sección Uno. Uno</u>. | &nbsp;&nbsp;**/n/** "**KM**" is defined in Item /a/ of <u>Section 1.1</u>; |
| &nbsp;&nbsp;**/o/** "**Leyes Anticorrupción**": Se define en la letra /a/ de la <u>Cláusula Décimo Tercera</u>. | &nbsp;&nbsp;**/o/** "**Anticorruption Laws**" are defined in Item /a/ of <u>Clause 13</u>; |
| &nbsp;&nbsp;**/p/** "**Liquidación de Regalía**": Se define en la <u>Sección Cuatro. Seis</u>. | &nbsp;&nbsp;**/p/** "**Royalty Settlement Statement**" is defined in <u>Section 4.6</u>; |
| &nbsp;&nbsp;**/q/** "**Metales No Preciosos**": Se entiende entre otros el cobre, molibdeno, zinc, plomo y otros que no sean Metales Preciosos que se encuentren en la superficie o subsuelo de los Derechos Mineros. | &nbsp;&nbsp;**/q/** "**Non-Precious Metals**" include copper, molybdenum, zinc, lead and other minerals, other than Precious Metals, found on the surface or subsoil of the Mining Rights; |
| &nbsp;&nbsp;**/r/** "**Metales Preciosos**": Se entiende entre otros el oro, plata, platino y paladio que se encuentren en la superficie o subsuelo de los Derechos Mineros. | &nbsp;&nbsp;**/r/** "**Precious Metals**" comprise, among others, gold, silver, platinum and palladium found on the surface or subsoil of the Mining Rights; |
| &nbsp;&nbsp;**/s/** "**Operaciones de Cobertura**": Se define en la <u>Sección Cuatro. Tres</u>. | &nbsp;&nbsp;**/s/** "**Coverage Transactions**" are defined in <u>Section 4.3</u>; |
| &nbsp;&nbsp;**/t/** "**Pacto de Socios**": Se define en la letra /d/ de la <u>Sección Uno. Uno</u>. | &nbsp;&nbsp;**/t/** "**Partnership Agreement**" is defined in Item /d/ of <u>Section 1.1</u>; |
| &nbsp;&nbsp;**/u/** "**Pago por Inactividad**": Se define en la letra /a/ de la <u>Sección Uno. Dos</u>. | &nbsp;&nbsp;**/u/** "**Payment for Inactivity"** is defined in Item /a/ of <u>Section 1.2</u>. ; |
| &nbsp;&nbsp;**/v/ "Personas Relacionadas**": Se define en el artículo cien de la Ley dieciocho mil cuarenta y cinco de Mercado de Valores. | &nbsp;&nbsp;**/v/ "Related Persons**" are defined in Article 100 of Law 18,045 on stock markets; |
| &nbsp;&nbsp;**/w/** "**Políticas SQM**": Se define en la letra /a/ de la <u>Cláusula Décimo Tercera</u>. | &nbsp;&nbsp;**/w/** "**SQM's Policies"** are defined in Item /a/ of <u>Clause 13</u>; |
| &nbsp;&nbsp;**/x/** "**Porcentaje NSR**": Se define en la <u>Sección Cuatro. Dos</u>. | &nbsp;&nbsp;**/x/** "**NSR Percentage**" is defined in <u>Section 4.2</u>; |
| &nbsp;&nbsp;**/y/** "**Precio Spot Promedio**": Para cada año vencido, significa para los: | &nbsp;&nbsp;**/y/** "**Average Spot Price**": For each expired year: |
| &nbsp;&nbsp;**<u>-i-</u>** <u>Metales Preciosos</u>: Con respecto al oro, significa el precio promedio diario *Average AM* del oro informado - para dicho año- por el *London Bullion Market Association*. | &nbsp;&nbsp;**-i-** <u>Of Precious Metals</u>: In respect of gold, it means the daily *average AM* of gold informed <br> by the *London Bullion Market Association* for that year, and |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**-ii-** <u>Metales No Preciosos:</u> Con respecto al cobre, significa el precio promedio diario *Cash Mean* del cobre informado - para dicho ario- por el *London Metal Exchange* | &nbsp;&nbsp;**-ii-** <u>Of Non-Precious Met</u>als: In respect of copper, it means the average daily *Cash Mean* price of copper informed by the *London Metal Exchange*, for that year; |
| &nbsp;&nbsp;**/z/** "**Productos Mineros**": Significan todos los<br> concentrados, precipitados metales, sustancias metálicas, y en general, lo que se obtiene y/o produce a partir de los minerales metálicos de toda clase extraído de los Derechos Mineros, incluyendo material mineralizado, concentrados y soluciones que contengan dichos minerales y todas las formas en que puedan encontrarse, extraerse o producirse, como igualmente cualquier subproducto de los mismos que tenga un valor comercial. | &nbsp;&nbsp;**/z/** "**Mining Products**" comprise all the concentrates, metal precipitates, metallic substances, and generally what is obtained or produced from any kind of metallic minerals mined from the Mining Rights, including mineralized materials, concentrates and solutions containing such minerals, and any other forms in which they may be found, extracted or produced, as well as any by-products thereof having a commercial value; |
| &nbsp;&nbsp;[**<u>Nota al Borrador</u>**: Actualizar en el contrato y en el pacto] | &nbsp;&nbsp;**<u>Note to the Draft:</u>** Update this in the agreement and in the partnership agreement] |
| &nbsp;&nbsp;**/aa/** "**Prohibición**": Se define en la <u>Cláusula Sexta</u>. | &nbsp;&nbsp;**/aa/** "**Restriction**" is defined in <u>Clause 6</u>; |
| &nbsp;&nbsp;**/bb/** "**Regalía**": Significa la cantidad de dinero efectivo que resulte al aplicar el Porcentaje NSR al Retorno Neto de Fundición. | &nbsp;&nbsp;**/bb/** "**Royalty**" refers to the monetary amount resulting from applying the NSR Percentage to the Net Smelter Return; |
| &nbsp;&nbsp;/cc/ "Reserve": Significa segun como se define en la escritura de constituci6n social de SCM [.] otorgada el die [.] en la Notarla de Santiago de don [.]. | &nbsp;&nbsp;**/cc/ "Reserve"** is defined in the SCM's incorporation deed executed on [.] at the Santiago Notary Office of [.], and |
| &nbsp;&nbsp;**/dd/ "Retorno Neto de Fundicion":** Con respecto a cada uno de los Metales Preciosos y Metales No Preciosos, significa el Ingreso Bruto menos las Deducciones Permitidas. | &nbsp;&nbsp;**/dd/ "Net Smelter Return"** designates the Gross Income less the Permitted Deductions, in respect of each of the Precious and Non-Precious Metals. |
| &nbsp;&nbsp;**<u>Dos. Dos</u>. Interpretación.**<br> En este Contrato se entenderá, salvo que el contexto requiera algo distinto, lo siguiente: | &nbsp;&nbsp;**2.2. Interpretation:**<br> Unless the context required otherwise, the interpretation hereof shall consider: |
| &nbsp;&nbsp;**/a/** los títulos sirven sólo para mayor conveniencia y no afectarán la interpretación de este Contrato; | &nbsp;&nbsp;**/a/** that all titles are only provided by way of convenience and shall not affect the interpretation of this Agreement; |
| &nbsp;&nbsp;**/b/** a menos que se especifique lo contrario, las referencias a "Cláusulas", "Secciones". y "Anexos" constituyen referencias a las cláusulas, secciones, subsecciones y anexos de este Contrato; | &nbsp;&nbsp;**/b/** that, unless otherwise specified, any references to "Clauses", "Sections" and "Appendices" are references to the clauses, sections, subsections hereof, and appendices hereto; |
| &nbsp;&nbsp;**/c/** la referencia a plural tendrá el mismo | &nbsp;&nbsp;**/c/** that any plural forms shall have the same |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 9/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;significado que el singular definido precedentemente, y viceversa; y | &nbsp;&nbsp;meaning as the previously defined respective singular forms, and *vice versa,* and |
| &nbsp;&nbsp;**/d/** la referenda a cualquier documento o convenio, incluyendo este Contrato, debe entenderse que incluye las referencias a tal documento o convenio, segun sea modificado, complementado o sustituido de tiempo en tiempo, si tal modificaci0n, complemento o sustituci6n esta especificamente autorizada por este Contrato de conformidad con sus terminos, y segun sea aplicable, sujeto al cumplimiento de los requisitos contenidos en aqua'. | &nbsp;&nbsp;**/d/** that any references to documents or agreements, including this Agreement, shall be understood as including references to any eventual amendments or addenda thereto, as well as any replacements thereof, provided that such amendments, addenda or replacements were specifically authorized herein, according to the terms hereof, as applicable, and conditioned to meeting any and all requirements contained therein. |
| &nbsp;&nbsp;**<u>Dos. Tres.</u> Vencimiento de plazos.**<br> En el caso que un plazo venciere un dia sabado, domingo o festivo, el plazo se prorrogara hasta el Dia Habil inmediatamente siguiente. | &nbsp;&nbsp;**<u>2.3</u>. Deadlines:**<br> If a deadline fell on a Saturday, Sunday or holiday, it shall be postponed to the immediately following Business Day. |
| &nbsp;&nbsp;**<u>TERCERO:</u> DECLARACIONES.**<br> **/a/** La SCM declara que a la fecha del presente instrumento los Derechos Mineros<br> le pertenecen en dominio exclusivo y se encuentran libres de gravamenes, hipotecas, cargas, litigios, prohibiciones de gravar y enajenar u otras restricciones, embargos, medidas precautorias, condiciones<br> resolutorias, derechos preferentes de<br> terceros, regal [as voluntarias y<br> convencionales; y que no son objeto de avio, promesa de yenta, opciones, ventas condicionales o a plazo, ni de ningun otro<br> acto o contrato destinado a transferir el<br> dominio de dichos Derechos Mineros o a darlos en garantia de otras obligaciones, ni<br> de otros impedimentos que afecten su libre disposición o la constitución de la Regalia, de la Hipoteca y de la Prohibición. La SCM tambien declara que se han pagado de manera Integra y oportuna todas las patentes mineras que amparan los Derechos Mineros. | &nbsp;&nbsp;**<u>THIRD</u> - REPRESENTATIONS:**<br> **/a/** The SCM hereby represents that, on this date, it is the sole owner of the Mining Rights, which are free of any liens, mortgages, encumbrances, litigations, restrictions to encumber them or dispose thereof, and any other limitations, seizures, precautionary measures, conditions subsequent, third parties' preferential rights, voluntary or conventional royalties, and that none of them are subject to any financing credits, sale promises, options, conditional sales or sales in instalments, or any other acts, contracts or agreements aimed at transferring the ownership thereof or giving them as security of other obligations, or any other impediments affecting the free disposal thereof or the establishment of the Royalty, Mortgage and Restriction, and that all mining licenses sheltering the Mining Rights have been fully and promptly paid; |
| &nbsp;&nbsp;**/b/** La SCM, a solicitud de SQM, se obliga a suscribir todos aquellos instrumentos que puedan ser necesarios para Ilevar a efecto <br> los fines del presente instrumento, en | &nbsp;&nbsp;**/b/** At SQM's request, the SCM hereby commits to sign any instruments needed to carry out the purposes hereof, especially, but not limited to, the entry, sub-entry and |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;especial pero no limitado a la inscripción, sub-inscripción y anotación de los mismos en los registros pertinentes. | &nbsp;&nbsp;annotation hereof in the relevant registries; |
| &nbsp;&nbsp;**/c/** Nada de lo señalado en el presente instrumento podrá interpretarse como que crea, sea en forma expresa o implícita, un joint venture o asociación, sociedad minera, sociedad comercial u otra relación societaria de cualquier tipo o que imponga sobre alguna de las Partes algún deber, obligación o responsabilidad de naturaleza societaria o algún deber, obligación o responsabilidad de carácter fiduciario con respecto a la otra Parte concurrente a este acto. | &nbsp;&nbsp;**/c/** Nothing herein may be interpreted as tacitly or expressly creating any joint ventures or partnerships, mining or commercial companies, or any other kind of corporate relationships imposing any corporate or trustee duties, obligations or liabilities on either Party in respect of the other, and |
| &nbsp;&nbsp;**/d/** Este instrumento no modifica, extingue ni limita los derechos que tenga SQM en virtud del Contrato de Exploración y Promesa, de la constitución de la SCM, del Contrato de Compraventa y Constitución de Derechos de Usufructo Minero, otorgado con esta misma fecha en esta misma Notaría, y de todo contrato o acuerdo entre SQM y KM. | &nbsp;&nbsp;**/d/** This instrument shall not modify, extinguish or limit any of SQM's rights under the Exploration Agreement and Promise, the SCM's Incorporation deed, or the Purchase and Mining Usufruct Agreement signed on this date at these notary offices, or any other contracts or agreements between SQM and KM. |
| &nbsp;&nbsp;**CUARTO: REGALÍA SOBRE RETORNO NETO DE FUNDICIÓN.**<br> **<u>Cuatro. Uno</u>. Regalía.**<br> Como contraprestación al aporte en dominio de los Derechos Mineros, y en forma adicional a las doscientas acciones recibidas por SQM en la SCM y a la Reserva, la SCM irrevocablemente se obliga a pagar cada año una Regalía a SQM. | &nbsp;&nbsp;**<u>FOURTH</u> - NET SMELTER RETURN**<br> **ROYALTY:**<br> **<u>4.1</u>. Royalty:**<br> As payment of the contributed ownership of the Mining Rights, and in addition to the Reserve and the 200 shares in the SCM received by SQM, the SCM hereby irrevocably commits to pay an annual Royalty to SQM. |
| &nbsp;&nbsp;**<u>Cuatro. Dos</u>. Porcentaje NSR.**<br> **/a/** La Regalía se determinará anualmente, tanto con respecto al Retorno Neto de Fundición de Metales Preciosos como con respecto al Retorno Neto de Fundición de Metales No Preciosos de dicho año, utilizando el **"Porcentaje NSR**" que para cada caso se indica en la tabla que se adjunta en el <u>Anexo Cuatro. Dos</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar. | &nbsp;&nbsp;**<u>4.2</u>. NSR Percentage:**<br> **/a/** The Royalty shall be determined each year on the Net Smelter Return of both Precious Non-Precious Metals for that year, using the **"NSR Percentage**" specified for each case in the table annexed as <u>Appendix 4.2</u> hereto, which has been entered on this date in the records of these Notary offices and shall be deemed an integral part hereof for all applicable purposes; |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 11/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**/b/** Para determinar anualmente el Porcentaje NSR aplicable al Retorno Neto de Fundición, se utilizará el Precio Spot Promedio de los Productos Mineros para el año respectivo, según se trate de un Metal Precioso o de un Metal No Precioso. | &nbsp;&nbsp;**/b/** The Average Spot Price of the Mining Products for the respective year, depending on whether they are Precious or Non-Precious Metals, shall be used to determine the annual NSR Percentage applicable to the Net Smelter Return thereof; |
| &nbsp;&nbsp;**/c/** La plata y demás Metales Preciosos serán asimilados a oro y tratados como tal para efectos del cálculo de la Regalía con respecto a los Metales Preciosos. | &nbsp;&nbsp;**/c/** Silver and other Precious Metals shall be assimilated to gold and treated as such for determining the Royalty on Precious Metals, and |
| &nbsp;&nbsp;**/d/** El molibdeno y demás Metales No Preciosos serán asimilados a cobre y tratados como tal para efectos del cálculo de la Regalía con respecto a los Metales no Preciosos. | &nbsp;&nbsp;**/d/** Molybdenum and other Non-Precious Metals shall be assimilated to copper and treated as such for determining the Royalty on Non-Precious Metals. |
| &nbsp;&nbsp;**<u>Cuatro. Tres</u>. Exclusión de las**<br> **Operaciones de Cobertura.**<br> Las ganancias y pérdidas resultantes de las ventas de Productos Mineros de la SCM, o de la participación de la SCM en venta a futuro de materias primas, opciones, venta de Metales Preciosos o Metales No Preciosos, o cualquier combinación posible, y cualquier otra operación de cobertura, incluidas las transacciones comerciales diseñadas para evitar pérdidas y obtener posibles ganancias por las fluctuaciones en el precio del metal, en adelante en conjunto como las **"Operaciones de Cobertura"**, quedan expresamente excluidas de los cálculos de la Regalía de conformidad con el presente instrumento. Las Operaciones de Cobertura por parte de la SCM y todas las ganancias o pérdidas con relación a las mismas, de existir, correrán por cuenta exclusiva de la SCM. | &nbsp;&nbsp;**<u>4.3</u>. Exclusion of Hedging Transactions:** <br> Profits and losses resulting from the sale of the SCM's Mining Products or its interests in the future sales of raw materials, options, sales of Precious or Non-Precious Metals, any possible combination thereof, or any other hedging transactions, including commercial transactions designed to prevent losses and obtain potential profits from fluctuations in the price of metals, hereinafter Collectively called the **"Hedging Transactions"**, are hereby expressly excluded from the calculation of the Royalty as provided herein, and any Hedging Transactions by SCM, as well as any profits or losses relating thereto, if any, shall be exclusively on the SCM's account. |
| &nbsp;&nbsp;**<u>Cuatro. Cuatro</u>. Pago de la Regalía.**<br> El pago de la Regalía se realizará en forma anual, en pesos chilenos o Dólares y a elección de SQM, dentro de los treinta días corridos siguientes al término del año calendario, durante los siguientes noventa y nueve años contados a partir de esta fecha. | &nbsp;&nbsp;**<u>4.4</u>. Payment of the Royalty:**<br> The Royalty shall be paid annually, in Chilean pesos or Dollars, at SQM's decision, within 30 calendar days of the end of each calendar year, and for 99 years of this date. |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**<u>Cuatro. Cinco</u>. Costos de Mercado.**<br> En caso que la fundición, refinación o, en general, cualquier procesamiento distinto de la operación de explotación minera, se lleve a cabo en instalaciones controladas por la SCM o por cualquiera de sus Personas Relacionadas, los cargos, costos y sanciones para dicha fundición, refinación o procesamiento serán equivalentes a la cantidad en que la SCM habría incurrido si la fundición, refinación o procesamiento se hubiera realizado en instalaciones que no fueran de su propiedad ni se encontraren bajo su control, que ofrezcan servicios similares para productos similares en condiciones imperantes, pero en ningún caso superior a los costos reales incurridos por la SCM con respecto a tales fundiciones, refinaciones y procesamientos. | &nbsp;&nbsp;**<u>4.5</u>. Market Costs:**<br> If the smelting, refining, or generally any process other than mining, is done in facilities controlled by the SCM or any of its Related Persons, any charges, costs and penalties for such smelting, refining or processing shall be equal to the amount that the SCM would have incurred if the smelting, refining or processing had been done in facilities not owned or controlled thereby offering similar services for similar products in the prevailing conditions, and under no circumstances, may they exceed the actual costs incurred by the SCM in any such smelters, refiners or processors. |
| &nbsp;&nbsp;**<u>Cuatro. Seis</u>. Liquidación de la Regalía.**<br> **/a/** Cada pago de la Regalía deberá ser acompañado de una liquidación con un detalle suficiente para permitir a SQM determinar el método de cálculo de dicha Regalía y la precisión del mismo, en adelante como la **"Liquidación de Regalía"**. Cada Liquidación de Regalía deberá incluir leyes de concentrados; el número de onzas troy, en el caso de oro; número de libras, en el caso del cobre; y el número de onzas, libras o toneladas métricas, según sea el caso, tratándose de otros Productos Mineros embarcados a una fundición, refinería, u otro procesador o comprador durante el año calendario aplicable; el detalle de los Productos Mineros vendidos, indicando si la venta se hizo a una Persona Relacionada; y todas las Deducciones Permitidas, así como cualquier otra información pertinente, con suficiente detalle para explicar el cálculo de la Regalía. | &nbsp;&nbsp;**<u>4.6</u>. Royalty Settlement Statement:**<br> **/a/** Each Royalty payment shall be accompanied by a settlement statement with sufficient details as to allow SQM to determine the calculation method and accuracy thereof, hereinafter called the "**Royalty Settlement Statement**", which must always include the concentrate grades; troy ounces, in the case of gold; pounds, in the case of copper, and ounces, pounds or metric tons [tonnes], as applicable, for other Mining Products, shipped to any smelters, refineries, or other processors or buyers, during the respective calendar year; details of the Mining Products sold, indicating whether the sales were to any Related Persons, and all Permitted Deductions, as well as any other relevant information, sufficiently detailed to account for the Royalty determination, and |
| &nbsp;&nbsp;**/b/** SQM podrá realizar observaciones a la Liquidación de Regalía dentro de los sesenta días siguiente al pago de la Regalía y entrega de la Liquidación de la Regalía. En el evento de que dichas observaciones fueren aceptadas por | &nbsp;&nbsp;**/b/** SQM may make observations to the Royalty Settlement Statement within 60 days of the Royalty payment and delivery of the Royalty Settlement Statement, and if the SCM accepted such observations, the difference shall |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;la SCM, la diferencia se pagará dentro de los diez días corridos siguientes. En caso de que la SCM no esté de acuerdo con las observaciones formuladas por SQM, a solicitud de SQM, la cantidad disputada será resuelta de manera definitiva y vinculante por una de las consultoras que se designe conforme a la <u>Sección Cuatro. Siete</u> siguiente, en adelante la **"Consultora".** | &nbsp;&nbsp;be paid within the following 10 calendar days, while if the SCM did not agree with SQM's observations, the disputed amount shall be finally resolved in binding terms, at SQM's request, by one of the consulting companies hereinafter listed in <u>Section 4.7</u>, which shall be called the **"Consultant"**. |
| &nbsp;&nbsp;**<u>Cuatro. Siete</u>. Resolución de las**<br> **Diferencias en el Monto de la Regalía.**<br> **/a/** En caso de disputa respecto a la Liquidación de Regalía, se designará por la SCM y SQM de común acuerdo una Consultora de entre las siguientes o a alguno de sus sucesores: SRK, Golder Associates, Wood Group y Hatch. Faltando todas ellas, la SCM y SQM deberán seleccionar una consultora minera con experiencia en procesos y metalurgia de reconocida trayectoria internacional. | &nbsp;&nbsp;**<u>4.7</u>. Resolution of Differences in the**<br> **Royalty Amount:**<br> **/a/** In case of any conflicts regarding the Royalty Settlement Statement, the SCM and SQM shall mutually agree and appoint a Consultant among the following companies or their successors: SRK, Golder Associates, Wood Group and Hatch, and failing all of them, the SCM and SQM shall select a world renowned mining consulting company, with experience in processes and metallurgy; |
| &nbsp;&nbsp;**/b/** En el evento de que la SCM y SQM no pudieran llegar a acuerdo respecto de la designación de la Consultora encargada de la resolución de la disputa, ésta será elegida por la SCM a partir de las tres consultoras que le proponga SQM. | &nbsp;&nbsp;**/b/** If the SCM and SQM failed to reach an agreement regarding the designation of a Consultant for solving the conflict, the SCM shall select one from a shortlist of three candidates proposed by SQM, and |
| &nbsp;&nbsp;**/c/** Si el informe de la Consultora resolviera la disputa fijando un monto a favor de SQM mayor al <u>tres por ciento</u> de la cantidad disputada, el costo incurrido en la resolución de dicha disputa será de cargo de la SCM. En el caso contrario, dicho costo será de cargo de SQM. | &nbsp;&nbsp;**/c/** If the Consultant's report resolved the conflict by setting an amount in favor of SQM exceeding <u>3%</u> of the disputed amount, the cost incurred in resolving the conflict shall be borne by the SCM, and otherwise, by SQM. |
| &nbsp;&nbsp;**<u>Cuatro. Ocho</u>. Mora o Simple Retardo en el Pago de la Regalía.**<br> **/a/** Si la SCM incurre en mora o simple retardo en el pago de la Regalía, siempre que dicha mora o retardo no sea en referencia a la cantidad disputada pendiente de resolución por la Consultora, SQM podrá enviar una | &nbsp;&nbsp;**<u>4.8.</u> Default or Simple Delay in Paying the Royalty:**<br> **/a/** If the SCM defaulted or simply delayed any Royalty payments, and provided that such default or delay did not refer to any disputed amounts pending resolution by the Consultant, SQM may send a notice of the |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;comunicación a la SCM, indicando el hecho del retardo y requiriendo que se efectúe el pago dentro de quince días corridos contados desde el despacho de la comunicación. | &nbsp;&nbsp;delay to the SCM, requiring payment within 15 calendar days thereof; |
| &nbsp;&nbsp;**/b/** Por el período que dure la mora y hasta los seis meses siguientes al envío de la comunicación requiriendo el pago de la Regalía, la SCM deberá pagar mensualmente un interés moratorio de tasa de un cinco por ciento mensual sobre el monto adeudado, por el periodo en que dure la mora, calculado sobre la base de un año de trecientos sesenta y cinco días. Con todo, si transcurridos seis meses contados desde el envío de la comunicación requiriendo el pago de la Regalía, la SCM no ha pagado el monto adeudado, junto al derecho de SQM a demandar el cobro, a partir del séptimo mes de mora, se incrementará el interés moratorio que deberá pagar la SCM mensualmente, a una tasa de un ocho por ciento mensual sobre el monto adeudado, por el periodo en que dure la mora, calculado sobre la base de un año de trecientos sesenta y cinco días. | &nbsp;&nbsp;**/b/** The SCM shall pay a monthly default interest of 5% of the amount owed, on the basis of a 365-day year, for the default period up to 6 months of the notice remittance, and if the SCM had not yet paid the amount owed after 6 months of the notice remittance, together with SQM's right to enforce the payment, the default monthly interest payable by the SCM shall be increased to 8% of the amount owed, calculated on the basis of a 365-day year, from the seventh month of default and for as long as it remained defaulted; |
| &nbsp;&nbsp;**/c/** Con todo, en caso de que la tasa de interés supere el máximo convencional, se aplicará este último. | &nbsp;&nbsp;**/c/** However, if the interest rate exceeded the maximum conventional rate, the latter shall apply, and |
| &nbsp;&nbsp;**/d/** Todo lo anterior sin perjuicio del derecho de SQM a demandar la indemnización de perjuicios que de su incumplimiento se derive. | &nbsp;&nbsp;**/d/** All of the foregoing shall not limit SQM's right to claim compensation for any damages or losses derived from any such noncompliance. |
| &nbsp;&nbsp;**<u>Cuatro. Nueve</u>. Libros y Registros.**<br> **/a/** La SCM deberá llevar libros, cuentas y registros fidedignos y precisos de sus operaciones y actividades relacionadas o requeridas para el cálculo de la Regalía y deberá mantenerlos por un período no inferior a seis años, debiendo realizar todo el registro y actividad contable conforme a los principios contabilidad generalmente aceptados en la República de Chile y a los Estándares Internacionales de Información Financiera - IFRS, por sus siglas en inglés-. | &nbsp;&nbsp;**<u>4.9</u>. Books and Records:**<br> **/a/** The SCM shall keep accurate and reliable books, accounts and records of its operations and activities relating or needed to determine the Royalty, according to generally accepted accounting principles in Chile and the International Financial Reporting Standards, IFRS, and may not discard them for at least 6 years; |
| &nbsp;&nbsp;**/b/** La SCM entregará anualmente a SQM | &nbsp;&nbsp;**/b/** The SCM shall annually deliver to SQM a |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;copia de las liquidaciones recibidas de las fundiciones, refinerías o cualquier otro comprador que reciba y pague la producción de la SCM proveniente de los Derechos Mineros. | &nbsp;&nbsp;copy of the settlement statements received from the smelters, refineries or any other buyers accepting, and paying for, SCM's production from the Mining Rights, and |
| &nbsp;&nbsp;**/c/** Adicionalmente, y a modo de facilitar las evaluaciones independientes de SQM en torno a la Regalía, la SCM deberá poner a disposición de SQM, cada vez que ésta lo requiera por escrito, a contar de la fecha de este Contrato, un informe de exploraciones, el plan minero vigente y su estimación de recursos y reservas vigentes correspondiente a los Derechos Mineros. | &nbsp;&nbsp;**/c/** Additionally and by way of facilitating SQM's independent Royalty assessments, the SCM shall make available an exploration report, as well as the current mining plan, and estimations of resources and reserves in the Mining Rights, to SQM, from the start hereof, at the latter's written request. |
| &nbsp;&nbsp;**<u>Cuatro. Diez</u>. Auditorías e Inspecciones.** <br> **/a/** En cualquier oportunidad razonable, pero no más de dos veces al año, durante horario laboral normal, con un aviso previo razonable, la SCM permitirá a SQM, actuando razonablemente y a su propio costo, a través de sus directivos, empleados, contratistas y/o asesores, ingresar a las oficinas, faena, operación, mina o planta de procesamiento, según corresponda, pudiendo revisar, auditar, examinar y obtener copias de los libros y registros de la SCM que contengan información directamente relacionada o requerida para calcular la Regalía. | &nbsp;&nbsp;**<u>4.10</u>. Audits and Inspections:**<br> **/a/** At any reasonable times, but not more frequently than twice a year, during normal business hours and with reasonable prior notice, the SCM shall allow SQM's directors, employees, contractors or consultants to enter the offices, sites, operations, mines or process plants, as applicable, to review, audit, examine or obtain copies of the SCM's books and records containing information directly related to, or required for, determining the Royalty, provided that they behaved reasonably and this was done at SQM's own cost; |
| &nbsp;&nbsp;**/b/** Durante esta revisión o auditoría, SQM llevará a cabo una auditoría y reconciliación entre los Productos Mineros declarados por la SCM y los Productos Mineros efectivamente producidos y vendidos. Para estos efectos, SQM podrá verificar el cálculo del metal precioso fino y del metal no precioso fino producido y vendido anualmente y lo podrá comparar con el metal declarado en las liquidaciones de las fundiciones, de las refinerías o cualquier otro ente que comercialice el metal, así como podrá revisar, entre otros: estudios geológicos de reservas y leyes; registros contables asociados a la determinación de | &nbsp;&nbsp;**/b/** During these reviews or audits, SQM shall prepare an audit and conciliation between the Mining Products declared by the SCM and those actually produced and sold, and to that end, shall check the calculations of annually produced and sold fine precious and non-precious metals; may compare them against the settlement statements of smelters, refineries or any other entities trading the metals, and may review, among others: the geological studies of reserves and grades; accounting records on the determination of the Permitted Deductions; agreements or contracts of by-product sales or credits; issued and received invoices; processing |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;las Deducciones Permitidas; contratos de ventas y créditos por subproductos; facturas emitidas y recibidas; costos por procesos y todos los antecedentes de respaldo para su determinación; balance metalúrgico y su documentación de respaldo; y contratos de maquila celebrados con terceros o empresas que sean Personas Relacionadas, así como todo otro antecedente que sea útil para determinar el monto de la Regalía. | &nbsp;&nbsp;costs and all back-up data for their determination; the metallurgical balance and its back-up documents, and ore-processing toll agreements with third parties or Related Persons, as well as any other information that may be useful to determine the amount of the Royalty, and |
| &nbsp;&nbsp;**/c/** La SCM deberá permitir a los directivos, empleados, contratistas y/o asesores de SQM, a propio costo de éste y dando un aviso razonable, examinar - durante horas de trabajo normales- cualquiera de los libros, cuentas y registros, informes, planes y estimaciones señalados en la Sección anterior. | &nbsp;&nbsp;**/c/** The SCM shall allow SQM's directors, employees, contractors or consultants to examine any of the books, accounts and records, reports, plans and estimations stated in the preceding Section, at the latter's own cost, with reasonably early notice and during normal business hours. |
| &nbsp;&nbsp;**<u>Cuatro. Once</u>. Mezcla.**<br> La SCM podrá mezclar o alear Productos Mineros con minerales de otras propiedades, propias o de terceros. Antes de que cualquier Producto Minero sea mezclado o aleado con mineral de otras propiedades, deberá ser pesado y muestreado, de acuerdo con las Practices mineras y metalúrgicas comúnmente aceptadas para determinar humedad, contenido de metales y minerales comerciales y otros contenidos. | &nbsp;&nbsp;**<u>4.11</u>. Mixture:**<br> The SCM may mix or alloy Mining Products with minerals from other own or third-party properties. Before doing so, the Mining Product must be weighed and sampled, per the commonly accepted mining and metallurgical practices, to determine humidity and contents of commercial metals, minerals and others. |
| &nbsp;&nbsp;La SCM deberá conservar en su poder y entregar a SQM si éste lo requiere, los análisis - incluyendo humedad y substancias penalizadas-representativos de los Productos Mineros mezclados, durante un período de tiempo razonable, pero no menor a treinta y seis meses desde la fecha de pago a SQM de la Regalía asociada a los Productos Mineros mezclados o aleados, y deberá conservar las muestras de Productos Mineros mezclados o aleados utilizadas para efectuar los análisis, por un período no inferior a sesenta días después de que se haya comunicado de su existencia a SQM. | &nbsp;&nbsp;The SCM must keep representative analysis results of any mixed Mining Products, including humidity and penalized substances, for a reasonable period, no shorter than 36 months of the date of the Royalty payment to SQM associated with the respective mixed or alloyed Mining Products; shall furnish SQM with any such results that the latter may request, and shall keep the samples used for analyzing any mixed or alloyed Mining Products for no less than 60 days after advising SQM of the existence thereof. |
| &nbsp;&nbsp;**<u>Cuatro. Doce</u>. Acopio.**<br> La SCM estará facultada para acopiar o almacenar rocas que contengan Productos  | &nbsp;&nbsp;**<u>4.12</u>. Stockpiling:**<br> The SCM may stockpile or store rocks containing Mining Products, in the  |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;Mineros, en el entendido que dichos acopios rocas almacenadas estarán sujetas a los términos de este Contrato y al pago de la Regalía una vez comercializados. | &nbsp;&nbsp;understanding that such stockpiles or stored rocks shall be subject to the terms hereof and the payment of the Royalty once sold. |
| &nbsp;&nbsp;**<u>Cuatro. Trece</u>. Mineral Bruto Maquila.**<br> La SCM solo podrá entregar mineral bruto extraído de los Derechos Mineros para que sea maquilado o procesado por un tercero, sea<br> o no Persona Relacionada con la SCM, si el respectivo contrato de maquila o procesamiento se realiza a costos de mercado y establece las condiciones que resulten razonables para que SQM pueda acceder o confirmar, sin mayor carga o costo que los establecidos en el presente Contrato, así como a la información requerida para el cálculo y pago de la Regalía. | &nbsp;&nbsp;**<u>4.13</u>. Crude Ore Tolling:**<br> The SCM may only deliver crude ores from the Mining Rights to be processed by any third parties, whether its Related Persons or others, provided that the corresponding toll or processing agreements were at market costs and established reasonable conditions for SQM to access or ratify the Royalty determination, as well as the information required for determining and paying the Royalty, without any further charges or costs than those defined herein. |
| &nbsp;&nbsp;**<u>Cuatro. Catorce</u>. Relaves.**<br> Todos los relaves, residuos, desmontes, materiales de desechos de lixiviación y otros materiales de desecho resultantes de las operaciones y actividades de la SCM en los Derechos Mineros, serán de exclusiva propiedad y responsabilidad de la SCM, pero permanecerán sujetos a los términos de este Contrato y al pago de la Regalía correspondiente. | &nbsp;&nbsp;**<u>4.14</u>. Tailings:**<br> The SCM shall solely own and be responsibility for all tailings, residues, waste, overburden, leach waste materials and other wastes from its operations and activities in the Mining Rights, though they shall remain subject to the terms hereof and the payment of the corresponding Royalty. |
| &nbsp;&nbsp;**<u>Cuatro. Quince</u>. Compromisos vinculados a los Derechos Mineros.**<br> La Regalía y los demás derechos de SQM establecidos en el presente Contrato se extenderán a: | &nbsp;&nbsp;**<u>4.15</u>. Commitments Associated with the Mining Rights:**<br> The Royalty and other SQM's rights hereunder shall extend: |
| &nbsp;&nbsp;**/a/** cualesquiera modificación, traslado, ajuste, solicitud o locación adicional de los Derechos Mineros, o cualesquiera pedimentos o manifestaciones que se conviertan en concesiones mineras, comprendidas en el Área, y cualesquiera otros derechos mineros que reclame la SCM que se relacionen con cualesquiera derechos dentro del Área; | &nbsp;&nbsp;**/a/** to any amendments, transfers, adjustments, requests of the Mining Rights, and any additional locations therein, as well as any petitioned mining claims for exploration or statements of discovery to become mining claims, comprised in the Area, and any other mining rights that the SCM may claim in connection with any rights within the Area; |
| &nbsp;&nbsp;**/b/** Cualquier renovación, modificación u otra | &nbsp;&nbsp;**/b/** to any renewals, amendments or other |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;alteración o extensión de cualquier derecho, de cualesquiera terrenos o inmuebles que hoy tenga la SCM o que adquiera en el futuro como consecuencia de sus derechos en los Derechos Mineros o que comprendan su misma Área. Adicionalmente, la Regalía constituye un derecho en los Productos Mineros y hasta que se le ponga término en la forma prevista en el presente instrumento, obligará a la SCM y a sus sucesores y cesionarios en los Derechos Mineros o porción de los mismos y representará un derecho en los minerales existentes; | &nbsp;&nbsp;alterations or extensions of any rights, lands or properties currently held by the SCM, or that it may purchase in the future as a consequence of its rights on the Mining Rights, or comprised in the same Area, with the Royalty also being a right on the Mining Rights, and binding the SCM, its successor and assignee holders of the Mining Rights or any parts thereof, and representing a right on existing ores, until terminated as provided herein; |
| &nbsp;&nbsp;**/c/** La Regalía será aplicable, exigible y extensiva a todos aquellos títulos que hagan dueño a la SCM de las sustancias minerales que extraiga dentro de los límites del Área y a aquellas concesiones mineras que actualmente posea o llegue a constituir o adquirir la SCM, por si o por medio de terceros, sus sucesores o cesionarios, en el Área, incluyendo aquellas correspondientes a demasías que existieren a la fecha de celebración del presente Contrato. | &nbsp;&nbsp;**/c/** also applying to, being enforceable on, and extending to, any and all title deeds naming the SCM as owner of the mineral substances extracted thereby within the limits of the Area, and any and all awarded mining claims owned by the SCM or that it may be awarded or purchased therein, whether for itself or on behalf of third parties, its successors or assignees, including excess quantities existing on the date of execution hereof, and |
| &nbsp;&nbsp;**/d/** Cualquier transferencia, cesión, novación, traspaso y/o enajenación de cualquiera de los Derechos Mineros y/o de la Regalía, según corresponda, se efectuará por escritura pública, requerirá la autorización previa y por escrito de SQM y que el cesionario, adquirente o nuevo deudor acepte - por declaración contenida en dicha escritura pública- sujetarse y quedar vinculado a los términos, condiciones y acuerdos Establecidos en este instrumento, especialmente en lo que dice relación con el pago de la Regalía. En caso de no contarse con dicha declaración, los actos antes señalados no tendrán efecto alguno y serán inoponibles para SQM. | &nbsp;&nbsp;**/d/** any transfers, assignments, novation, conveyances or disposals of any of the Mining Rights or the Royalty, as applicable, shall be notarized and entered in public records, requiring SQM's prior and written authorization, and the acceptance of any assignees, buyers or new obligors in a statement therein to be subject to, and bound by, the terms, conditions and agreements hereunder, especially those concerning the Royalty payment, without which no such transfers, assignments, novation, conveyances or disposals shall be effective or enforceable to SQM. |
| &nbsp;&nbsp;En consecuencia, la obligación de pago de la Regalía a que se refiere esta Cláusula obligará del mismo modo y en los mismos términos a cualquier sucesor de la SCM en el | &nbsp;&nbsp;Consequently, the obligation of paying the Royalty under this clause shall bind any and all of the SCM's successors equally and in the same terms in what regards the ownership of |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;dominio de los Derechos Mineros o de los derechos mineros a los cuales la Regalía sea aplicable, exigible y se extienda. | &nbsp;&nbsp;the Mining Rights or the mining rights to which the Royalty applied, extended and were enforceable. |
| &nbsp;&nbsp;**<u>Cuatro. Dieciséis</u>. Preferencia de la**<br> **Regalía.**<br> Con el objeto de garantizar el íntegro y oportuno cumplimiento de la obligación de pago de la Regalía, la SCM declara y garantiza, y se obliga a que terceros titulares de nuevas regalías que se pacten sobre el Área declaren y garanticen en el título de dicha regalía, en favor de SQM: | &nbsp;&nbsp;**<u>4.16</u>. Preference of the Royalty:**<br> In order to guarantee the prompt and full payment of the Royalty, the SCM hereby represents and guarantees, and commits to ensure, that, in the title deed of any new royalties that may be agreed on the Area, any third-party holders of any such royalties shall represent and guarantee, in favour of SQM: |
| &nbsp;&nbsp;**/a/** que reconocen la validez y vigencia del Contrato y las obligaciones que emanan de él para la SCM; | &nbsp;&nbsp;**/a/** That they acknowledge the validity and effectiveness hereof and the SCM's obligations hereunder; |
| &nbsp;&nbsp;**/b/** que renuncian a ejercer cualquier reclamo, acción, sea judicial o extrajudicial, en contra del Contrato, de la Regalía, así como respecto de su cálculo y/o pago. Asimismo, se obligan, bajo promesa de hecho ajeno, a que ninguna de sus Personas Relacionadas podrá ejercer tales reclamos y acciones; | &nbsp;&nbsp;**/b/** That they waive all claims, and in or out of court actions, against the Agreement, the Royalty, or the determination or payment thereof, and undertake, as a promise of performance by others, that none of their Related Persons may exercise any such claims or actions; |
| &nbsp;&nbsp;**/c/** que cada uno de los derechos a favor de SQM pactados en el Contrato prevalecerá, será preferente, y su ejercicio tendrá prioridad con respecto a cualquier otro derecho que pudiere tener el tercero; | &nbsp;&nbsp;**/c/** That each of SQM's right hereunder shall prevail and be preferential, and the exercise thereof shall have priority over any of their rights; |
| &nbsp;&nbsp;**/d/** que la Regalía se pagará a SQM en primer lugar y con prioridad a otras regalías que pudieren tener terceros; | &nbsp;&nbsp;**/d/** That the Royalty shall be paid to SQM firstly and with priority over any other third-party royalties; |
| &nbsp;&nbsp;**/e/** que para el cálculo y pago de la Regalía en favor de SQM no se deducirá, bajo ningún respecto, por ningún motivo y ni siquiera como deducción autorizada o permitida, las regalías que pudieran tener terceros; | &nbsp;&nbsp;**/e/** That, for the calculation and payment of the Royalty to SQM, no other third-party royalties may be deducted in any respects or for any reasons, not even as authorized or permitted deductions; |
| &nbsp;&nbsp;**/f/** que en ningún caso otras regalías podrán pagarse en forma adelantada, provisoria, ni en periodos inferiores a los pactados para el pago de la Regalía en favor de SQM; | &nbsp;&nbsp;**/f/** That no other royalties shall be paid in advance, provisionally or in shorter periods than those agreed for the Royalty payment to SQM; |
| &nbsp;&nbsp;**/g/** que si SQM adquiere cualquiera de, algunos o todos los Derechos Mineros, no tendrá obligación de pago en favor de algún tercero por concepto de regalía, obligándose | &nbsp;&nbsp;**/g/** That if SQM purchased any, some or all of the Mining Rights, it shall not be bound to make any payments on account of any third- party royalties, with the SCM hereby |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;la SCM a extinguir las regalías que existan al momento que SQM suscriba el título traslaticio de domino para dicha adquisición; | &nbsp;&nbsp;committing to extinguish any royalties existing at the time of SQM's execution of any deeds of transfer of rights for any such purchases; |
| &nbsp;&nbsp;**/h/** que el ejercicio de los derechos que emanan de regalías de terceros no podrá efectuarse en perjuicio de los derechos que emanan para SQM de este Contrato y de la Regalía en favor de SQM. | &nbsp;&nbsp;**/h/** That none of the rights under any third-party royalties may be detrimental to SQM's rights hereunder or under the Royalty; |
| &nbsp;&nbsp;**/i/** que toda información que la SCM entregue a terceros con motivo de sus regalías deberá ser entregada a SQM en ese mismo momento; y | &nbsp;&nbsp;**/i/** That all information delivered by the SCM to any third parties by virtue of any royalties must be simultaneously delivered to SQM, and |
| &nbsp;&nbsp;**/j/** que se obligan a que los sucesores y cesionarios de la SCM en el dominio de los Derechos Mineros cumplan - y que los terceros titulares de regalías, como sus sucesores y cesionarios, se obliguen a cumplir- con esta Sección, debiendo informarle por escrito a SQM del acuerdo de cambio de titular de la regalía con una antelación de a lo menos diez Días Hábiles a la fecha del título traslaticio de dominio. | &nbsp;&nbsp;**/j/** That they hereby commit to have any of the SCM's successor or assignee owners of the Mining Rights, and to have any third-party royalty holders, their successors and assignees commit, to comply with this section and advise SQM in writing of any agreements changing the holder of any such royalties at least 10 Business Days before of the date of the respective deed of transfer of ownership. |
| &nbsp;&nbsp;**<u>Cuatro. Diecinueve</u>. Inscripción.**<br> La Regalía se inscribirá en el Registro de Hipotecas y Gravámenes del Conservador de Minas correspondiente y se anotará al margen de la inscripción de sentencia constitutiva y acta de mensura, de la inscripción de dominio vigente de cada Derecho Minero. | &nbsp;&nbsp;**<u>14.19</u>. Registration:**<br> The Royalty shall be entered in the relevant Mine Registrar's Book of Mortgages and Encumbrances, and annotated on the margin of the award sentence and surveyor's certificate in the registration of the current ownership of each Mining Right. |
| &nbsp;&nbsp;**QUINTO: HIPOTECA.**<br> **<u>Cinco. Uno</u>. Constitución de Hipoteca.** <br> Con el propósito de garantizar a SQM el cumplimiento íntegro y oportuno del pago de la Regalía, así como de la obligación de KM de pagar el Pago por Inactividad, la SCM constituye por este acto y en favor de SQM, quien a su vez acepta, hipoteca de primer grado sobre cada una de los Derechos Mineros, en adelante la "**Hipoteca**". | &nbsp;&nbsp;**<u>FIFTH</u> - MORTGAGE:**<br> **<u>5.1</u>. Taking a Mortgage:**<br> In order to assure SQM of the full and timely payment of the Royalty, as well as KM's mandatory Payment for Inactivity, the SCM hereby takes a senior mortgage on each of the Mining Rights, hereinafter called the "**Mortgage**", in favor of SQM, which in turn accepts it. |
| &nbsp;&nbsp;**<u>Cinco. Dos</u>. Cobertura adicional de la Hipoteca.** | &nbsp;&nbsp;**<u>5.2</u>. Additional Mortgage Coverage:** |
| &nbsp;&nbsp;La obligación garantizada por la Hipoteca comprende además los intereses, incluso penales, comisiones, honorarios, impuestos y | &nbsp;&nbsp;The obligation guaranteed by the Mortgage shall also include any interests, even penalty ones; commissions, fees and taxes regarding |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;cualquier otra obligación accesoria existente en relación con la Regalía y con el Pago por Inactividad, obligaciones accesorias que, en su caso, incluirán, sin que ello implique limitación alguna, obligaciones en relación a honorarios legales, costas, gastos, indemnización por daños, impuestos, cargas, contribuciones, derechos, montos retenidos, remuneraciones, aumentos de costo, cargas financieras, gastos reembolsables, desembolsos y cualesquiera otras sumas adeudadas, así como las prórrogas y renovaciones que pudieren convenirse en relación a la Regalía y al Pago por Inactividad. | &nbsp;&nbsp;the Royalty and the Payment for Inactivity, as well as any other accessory obligations in connection thereof, including without limitation, obligations associated with legal fees, costs, expenses, damage compensations, taxes, charges, contributions, rights, withheld amounts, remunerations, cost increases, financial charges, reimbursable expenses, disbursements, and any other amounts owed, as well as any extensions or renewals that may be agreed in respect of the Royalty and the Payment for Inactivity. |
| &nbsp;&nbsp;**<u>Cinco. Tres</u>. Cobertura de gastos legales.** <br> La Hipoteca garantiza además el reembolso de gastos y honorarios legales, judiciales o extrajudiciales, incluyendo honorarios razonables de abogados en los que se haya incurrido en razón de requerimientos o medidas de cobro, actos de ejecución o demandas relacionadas con la Hipoteca. Los gastos razonables de una eventual defensa legal de SQM serán reembolsados por la SCM en la medida que su presupuesto haya sido aprobado previamente por la SCM, el cual no podrá ser rechazado arbitrariamente. | &nbsp;&nbsp;**<u>5.3</u>. Coverage of Legal Expenses:**<br> The Mortgage shall also guarantee the reimbursement of any and all in-court or out-of-court legal costs and fees, including reasonable attorneys' fees, incurred for collection requirements or measures, enforcement actions or claims relating to the Mortgage. The SCM shall reimburse any reasonable expenses of any potential defense of SQM, to the extent previously approved by the SCM, which may not arbitrarily deny any such approval. |
| &nbsp;&nbsp;**<u>Cinco. Cuatro</u>. Alcance de la Hipoteca.**<br> La Hipoteca comprenderá y se extenderá sobre los Derechos Mineros y a sus bienes que se reputan accesorios. La SCM declara que con respecto a los bienes que se reputan accesorios a los Derechos Mineros no se ha constituido prenda alguna. | &nbsp;&nbsp;**<u>5.4</u>. Extent of the Mortgage:**<br> The Mortgage shall include, and extend to, the Mining Rights and accessory assets thereof. The SCM hereby states that none of the accessory assets of the Mining Rights have been pledged in any way. |
| &nbsp;&nbsp;**<u>Cinco. Cinco</u>. Beneficiarios.**<br> La Hipoteca beneficiará a SQM, y los derechos que ellas otorgan podrán ser ejercidos por SQM o por quienes revistan la calidad de sucesores o cesionarios a cualquier título de SQM. Tales sucesores o cesionarios a cualquier título tendrán en | &nbsp;&nbsp;**<u>5.5</u>. Beneficiaries:**<br> The Mortgage shall benefit SQM, and the rights thereof may be exercised by SQM or any of its successors or assignees in any capacities, which shall have the same rights and benefits as SQM in respect of the SCM, and shall be considered as such for all |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;contra de la SCM los mismos derechos y beneficios que esta escritura otorga a SQM, considerándose como tal para todos los efectos legales y contractuales a que haya lugar. | &nbsp;&nbsp;applicable legal and contractual purposes. |
| &nbsp;&nbsp;**SEXTO: PROHIBICIÓN.**<br> **La SCM, con el propósito de** garantizar a SQM el íntegro y oportuno cumplimiento de la obligación de pago de la Regalía, así como de la obligación de KM de pagar el Pago por Inactividad, y de los demás derechos de SQM de que da cuenta este Contrato, establece y constituye en favor de SQM, quien acepta, una obligación de no gravar, enajenar, prometer gravar o enajenar, disponer o constituir garantías reales o cualquier carga gravamen, prohibición, regalías o derechos en favor de terceros, ni impedimento o restricción que pudiere afectar o embarazar el libre uso, goce o disposición de cualquiera de los Derechos Mineros o celebrar acto o contrato alguno que pudiera afectarlas, sin autorización escrita de SQM, en adelante como la "**Prohibición**". | &nbsp;&nbsp;**<u>SIXTH</u> - RESTRICTION:**<br> In order to assure SQM of the full and timely Royalty payment, as well as KM's Payment for Inactivity, and the rest of SQM's rights hereunder, the SCM hereby establishes and creates an obligation in favor of SQM, which in turn accepts it, consisting in a restriction to encumber, sell, promise to encumber or sell, dispose of, or establish any real guarantees or any other burdens, charges, restrictions, royalties or rights in favor of third parties, or any impediments or limitations that may affect or hinder the free use, disposal or enjoyment of any of the Mining Rights, or enter into any acts, contracts or agreements that may affect them, without SQM's previous written authorization, hereinafter called the "**Restriction**". |
| &nbsp;&nbsp;**<u>SÉPTIMO</u>: CONSENTIMIENTO Y**<br> **OBLIGACIONES.**<br> **<u>Siete. Uno</u>. Consentimiento.**<br> SQM acepta la Hipoteca que la SCM constituye y la Prohibición a que en ella se sujeta. | &nbsp;&nbsp;**<u>SEVENTH - CONSENT AND<br> OBLIGATIONS:</u>** <br> **<u>7.1</u>. Consent:**<br> SQM hereby accepts the Mortgage established by the SCM and the Restriction to which it is conditioned. |
| &nbsp;&nbsp;**<u>Siete. Dos</u>. Extensión de la Regalía, Hipoteca y Prohibición.**<br> La Regalia, Hipoteca y la Prohibición se harán extensivas sin necesidad de pacto expreso y en los mismos términos a los pedimentos, manifestaciones, concesiones de exploración y concesiones de explotación que pudieren llegar a constituirse por la SCM, sea directa o indirectamente por ella, en el Área. A mayor abundamiento, la SCM se obliga a suscribir una escritura pública extendiendo, en los mismos términos de esta escritura, la Regalía, Hipoteca y la Prohibición sobre tales pedimentos, manifestaciones, concesiones mineras de exploración o de explotación. | &nbsp;&nbsp;**<u>7.2</u>. Extension of the Royalty, Mortgage and Restriction:**<br> The Royalty, Mortgage and Restriction shall be extended, without needing any express agreement and in the same terms, to any petitioned mining claims for exploration, statements of discovery, and mining claims for exploration or exploitation, that may be directly or indirectly awarded to the SCM in the Area. Additionally, the SCM shall sign public deeds of any such extensions. |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**<u>NOVENO</u>: PROTECCIÓN, AMPARO Y**<br> **VIGENCIA DE LOS DERECHOS**<br> **MINEROS.** | &nbsp;&nbsp;**<u>NINTH</u> [SIC] - PROTECTION, SHELTER AND VALIDITY OF THE MINING RIGHTS:** |
| &nbsp;&nbsp;El íntegro y oportuno cumplimiento de la obligación de pago de la Regalía y de los demás derechos de SQM que se pactan en este Contrato, conlleva para la SCM la necesidad de cumplir también y en forma íntegra y oportuna, de su exclusiva cuenta, costo, riesgo y responsabilidad y en favor de SQM, que acepta, las siguientes obligaciones esenciales y copulativas: | &nbsp;&nbsp;Having to fully and timely meet the Royalty payment obligation and adhere to the rest of SQM's rights hereunder shall entail that, on its own account and responsibility, and at its own cost and risk, the SCM also needed to fully and timely meet the following essential and concurrent obligations to SQM, which in turn accepts them: |
| &nbsp;&nbsp;**/a/** La SCM pagará, a su costo, cuenta y responsabilidad, todas las patentes mineras de los Derechos Mineros, antes del día treinta de marzo de cada año, y efectuará todas las actuaciones, diligencias y trámites que sean necesarios o pertinentes para la correcta y debida constitución, protección, amparo y vigencia de los Derechos Mineros. Asimismo, la SCM adoptará, a su exclusivo costo, todas las medidas, judiciales y extrajudiciales, que sean necesarias para tales efectos y para defender dicha propiedad minera de cualquier pretensión de terceros. Si la SCM no ejerciere oportunamente, dentro de los plazos legales, la defensa de los Derechos Mineros, SQM podrá, sin que se encuentre obligado a ello, actuar en representación de la SCM en los procesos que se hayan iniciado. Para estos efectos, la SCM otorgará poder judicial a SQM y los costos legales razonables serán asumidos por la SCM. Alternativamente, y sin que se encuentre obligado a ello, SQM podrá participar en los procesos como tercero coadyuvante, a su exclusivo costo. | &nbsp;&nbsp;**/a/** At its own cost, and on its own account and responsibility, the SCM shall pay the mining licenses of all the Mining Rights before March 30 of every year, and shall complete all acts, proceedings and paperwork needed or pertinent to properly and duly establish, protect and shelter the Mining Rights, and to keep them valid, and also at its own cost, shall take any in or out of court measures that may be needed for such purposes or to defend such mining properties from any third-party claims, and if the SCM failed to defend the Mining Rights within the corresponding legal terms, SQM may, without having to, represent the SCM in any filed proceedings, for which purposes, the SCM shall grant a power of attorney-at-law to SQM and shall bear all reasonable legal costs, and alternatively, SQM may, without any obligation to so, intervene in such proceeding as an offended party to assist, at its own cost, and |
| &nbsp;&nbsp;**/b/** La SCM deberá permanentemente mantener los Derechos Mineros libres de todo litigio, embargo, carga, contrato, convenio, acuerdo, transacción, promesa, opción, renuncia, derechos preferentes de | &nbsp;&nbsp;**/b/** The SCM shall permanently keep the Mining Rights free of any litigations, seizures, charges, contracts, agreements, arrangements, transactions, promises, options, waivers, third-party preferential |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;terceros, medida precautoria, acción resolutoria, restricción de uso, evicción, deudas por concepto de patentes mineras y demás de cualquier tipo, clase o monto y, en general, libres de toda modalidad o caución total o parcial y de tipo o clase alguna que deba o pueda eventual o efectivamente restringir o afectar a las mismas, y realizar todas las diligencias y actuaciones que sean necesarias y conducentes con el propósito de alzar o de liberar a los Derechos Mineros de una cualquiera de las situaciones precedentes que pueda afectar a los mismos y que resulten de acciones de terceros. | &nbsp;&nbsp;rights, precautionary measures, actions for cancellation, restrictions of use, encumbrances, unpaid mining licenses and others of any kind or sort, or in any amounts, and generally, free of any kind or sort of total or partial payment modalities or sureties owed, or that may potentially or actually restrict or affect them, and shall take any actions and complete any processes needed and leading to lift any such burdens and release the Mining Rights from any of the previous situations resulting from third parties' actions. |
| &nbsp;&nbsp;**<u>DÉCIMO</u>: DERECHO PREFERENTE PARA LA COMPRA DE LOS DERECHOS**<br> **MINEROS.**<br> **/a/** Previo cumplimiento de los demás requisitos que hayan acordado las Partes, la SCM podrá - directa o indirectamente-abandonar, reducir, desamparar, caducar, renunciar o extinguir en todo o parte los Derechos Mineros, pedimentos, manifestaciones, concesiones mineras de exploración o de explotación que en el futuro solicite, adquiera y/o constituya, que abarquen total o parcialmente el Área, en adelante todos ellos denominados como los "**Derechos Mineros a Abandonar**" y este derecho denominado como el "**Derecho a Renuncia**". | &nbsp;&nbsp;**<u>TENTH - PREFERENTIAL RIGHT TO</u>** <br> **<u>PURCHASE THE MINING RIGHTS:</u>** <br> **/a/** Upon meeting the other requirements agreed by the Parties, the SCM may directly or indirectly abandon, reduce, desert, waive or extinguish all or any part of the Mining Rights, petitioned mining claims for exploration, statements of discovery, and mining claims for exploration or exploitation, that it may request, purchase or be awarded in the future in the entirety of any part of the Area, or let any thereof expire, hereinafter collectively called the "**Mining Rights to be Abandoned,**" and this right, the "**Right of Waiver**"; |
| &nbsp;&nbsp;**/b/** Para ejercer su Derecho a Renuncia, la SCM previamente deberá informar a SQM por medio de carta certificada enviada al domicilio de esta, su decisión de ejercer su Derecho a Renuncia indicando el nombre del Derecho Minero a Abandonar y sus datos necesarios Para individualizarlo, incluyendo, antecedentes de inscripción de dominio, Rol Nacional, y datos del expediente judicial de tramitación, entre otros, ofreciéndole vender el Derecho Minero a Abandonar respectivo. Recibida la carta, SQM tendrá un plazo de | &nbsp;&nbsp;**/b/** Before exercising its Right of Waiver, the SCM shall advise SQM of its decision to do so by certified letter sent to the latter's address, stating the name of the Mining Right(s) to be Abandoned and the necessary identifying information, including information on the registration of ownership, the property registration number, information on the court dossier, among others, and offering to sell thereto the Mining Right(s) to be Abandoned, and SQM shall have 30 calendar days of receipt thereof to communicate its decision to |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;treinta días corridos para comunicar, por medio de carta certificada, su decisión de comprar el Derecho Minero a Abandonar ofrecido vender. Si SQM no da respuesta al ofrecimiento de venta de SCM dentro del plazo de treinta días corridos, se entenderá que SQM ha renunciado al ejercicio de su derecho de compra, y la SCM podrá ejercer libremente su Derecho a Renuncia, de pleno derecho y sin necesidad de acuerdo adicional alguno de este Pacto y sin que se le genere responsabilidad alguna por el ejercicio de tal derecho. | &nbsp;&nbsp;purchase, also by certified letter, upon which term, if SQM had not replied to the offer to sell, it shall be deemed that it has waived its preferential right of purchase, and the SCM may freely exercise its Right of Waiver, by force of law, without needing any additional agreements hereunder and without any liabilities arising from its exercise of such right; |
| &nbsp;&nbsp;**/c/** En el evento que SQM comunique su intención de ejercer su derecho de compra, deberá indicar en dicha comunicación el día en que las partes deberán concurrir a suscribir el contrato de compraventa, plazo que no podrá exceder de los treinta días corridos contados desde enviada la comunicación por parte de SQM. El contrato de compraventa se otorgará en la misma notaría en la que se otorga el presente instrumento, o aquella que la reemplace y sustituya, y el precio de compraventa será la suma única y total del valor de la patente anual del respectivo Derecho Minero a Abandonar objeto del mismo. | &nbsp;&nbsp;**/c/** If SQM communicated its intention to purchase, in the same letter, it shall specify the execution date of the purchase agreement, which may not be more than 30 calendar days later, and must be at the same notary offices of execution hereof, or any others that may replace or substitute them, and the total purchase price shall amount to the cost of the annual license pertaining to the purchased Mining Right(s) to be Abandoned; |
| &nbsp;&nbsp;**/d/** El contrato de compraventa antes señalado se celebrará pura y simplemente, y él o los Derechos Mineros se venderán como cuerpo cierto, en el estado en que se encuentran al día de la celebración, con todo lo edificado y construido sobre ellos, y demás instalaciones destinadas permanentemente a la investigación, arranque y extracción de sustancias minerales, con todos sus usos, derechos, costumbres, derechos y servidumbres, activas y pasivas y libres de obligación de pago de regalías voluntarias y convencionales, de todo embargo, prohibiciones, condiciones resolutorias, litigios pendientes, de contratos de entrega de minerales o de arriendo, o cualquiera otra | &nbsp;&nbsp;**/d/** The aforesaid purchase agreement shall be pure and simple, and the Mining Rights shall be sold *ad corpus*, as they were on the date of the execution, with all buildings and constructions thereon, and all other facilities permanently allocated to study, strip and mine mineral substances, with all their uses, rights, customs, active or passive rights of way and easements, and free of any voluntarily or conventional royalty obligations, seizures, restrictions, conditions subsequent, pending litigations, mineral delivery or lease agreements, and any other kind of acts, real or personal rights, liens or limitations preventing the free use, enjoyment, disposal and conveyance thereof, and |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;clase de actos, derechos reales o personales, gravamen y prohibición, que impidan su libre uso, goce, disposición y entrega. |  |
| &nbsp;&nbsp;**/e/** Sin perjuicio de lo anterior, SQM tendrá un derecho preferente para comprar o adquirir el o los Derechos Mineros, en el mismo precio, en los mismos términos y condiciones, que aquellos que ofrezca un tercero a la SCM. La decisión de SQM de comprar se deberá comunicar dentro de sesenta días corridos desde que haya recibido toda la información por parte de la SCM. Esta compraventa se efectuará en los términos señalados en la letra /d/ anterior. | &nbsp;&nbsp;**/e/** Notwithstanding the foregoing, SQM shall have a preferential right to purchase or acquire the Mining Rights, at the same price and in the same terms and conditions offered by any third parties to the SCM, and SQM's decision to buy shall be communicated within 60 calendar days of receipt of all of the information from the SCM, and any such purchase agreement shall be as previously provided in Item /d/. |
| &nbsp;&nbsp;**<u>UNDÉCIMO</u>: DEFENSA E INDEMNIDAD.** <br> **/a/** La SCM se obliga a defender judicial y extrajudicialmente, indemnizar y liberar de toda responsabilidad a SQM, a sus directores, funcionarios, empleados, agentes y representantes de todos ellos respecto de cualquier reclamo, demanda, acción, perjuicio, sanción, obligación, responsabilidad, pérdida o gastos - incluyendo honorarios y gastos legales- que surjan con motivo de: | &nbsp;&nbsp;**<u>ELEVENTH</u> - DEFENSE AND INDEMNITY:** <br> **/a/** The SCM hereby commits to defend SQM in and out of court, and to indemnify and release the latter, its directors, officers and employees, agents, and representatives of any thereof, of any responsibilities, in respect of any claims, lawsuits, actions, and for any damages, penalties, obligations, liabilities, losses or expenses, including legal fees and expenses, arising: |
| &nbsp;&nbsp;-i- as actividades que efectúe, directa o indirectamente a través de sus contratistas, en los Derechos Mineros; | &nbsp;&nbsp;-i- from any activities performed directly or indirectly through contractors in the Mining Rights; |
| &nbsp;&nbsp;-ii- el incumplimiento real o la imputación de incumplimiento por parte de la SCM - o de sus contratistas- de cualquier ley, ordenanza, reglamento, norma u orden, o disposición del Contrato; | &nbsp;&nbsp;-ii- from any actual or claimed infringements to any laws, bylaws, regulations, standards or orders, or breaches of the provisions hereof, by the SCM, or any of its contractors; |
| &nbsp;&nbsp;-iii- las lesiones o muerte de cualquier persona - incluidos los empleados de SQM y de la SCM- o los daños o pérdidas de bienes atribuibles directa o indirectamente a la ejecución del Contrato o a las acciones u omisiones de la SCM y/o de sus contratistas; y | &nbsp;&nbsp;-iii- from any personal injuries or death, including those suffered by SQM's and SCM's employees, or property damages or losses directly or indirectly attributable to the implementation hereof, or any actions or omissions by the SCM or any of its contractors, and |
| &nbsp;&nbsp;-iv- cualquier responsabilidad relacionada con impuestos, contribuciones, derechos, gravámenes y retenciones legales. | &nbsp;&nbsp;-iv- from any liabilities regarding taxes, contributions, duties, levies or legal withholdings; |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 27/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**/b/** Las obligaciones de liberación, defensa e indemnización que se indican en la presente Cláusula serán exigibles aun cuando dichos daños, gastos, multas, sanciones, etc., hayan sido causadas total o parcialmente por la Parte indemnizada. | &nbsp;&nbsp;**/b/** The obligations of release, defense and indemnity stated in this clause shall be enforceable even when such damages, expenses, fines, penalties, etc. had been totally or partially caused by the indemnified Party; |
| &nbsp;&nbsp;**/c/** Si, no obstante lo señalado, SQM resultase obligada a pagar una suma de dinero en virtud de las acciones, demandas, reclamos, procedimientos, sanciones o actuaciones antes referidos, ya sea a título de multa, indemnización de perjuicios, rehabilitación de áreas, programas de cierres de faenas, o por cualquier otra razón, causa o motivo, la SCM estará obligada a pagar o a reembolsar, en su caso, a SQM todas las cantidades que, en virtud de lo expuesto, hubiese sido obligada a pagar. | &nbsp;&nbsp;**/c/** If despite the foregoing, SQM were forced to pay any amounts of money in reason of any of the foregoing actions, lawsuits, claims, proceedings, penalties or procedures, whether as fines, damage compensations, area restorations, site closing programs, or for any other reasons or causes, the SCM shall be bound to pay or reimburse thereto, as applicable, all amounts so paid by SQM in such cases, and |
| &nbsp;&nbsp;**/d/** Las disposiciones de esta Cláusula y las obligaciones de defensa e indemnización de la SCM contempladas en este instrumento se mantendrán plenamente vigentes incluso después del término del Contrato. | &nbsp;&nbsp;**/d/** The provisions of this clause and the SCM's obligations of defense and indemnity hereunder shall remain fully effective even after termination hereof. |
| &nbsp;&nbsp;**<u>DUODÉCIMO</u>: FUERZA MAYOR O CASO FORTUITO.**<br> **/a/** Para efectos del presente Contrato, se entenderá por fuerza mayor o caso fortuito, en adelante "**Fuerza Mayor o Caso Fortuito**", el imprevisto a que no es posible resistir, como un naufragio, un terremoto, el apresamiento de enemigos, los actos de autoridad ejercidos por un funcionario público, etc. según se define en el artículo cuarenta y cinco del Código Civil. | &nbsp;&nbsp;**<u>TWELFTH</u> - FORCE MAJEURE OR**<br> **UNFORESEEABLE CIRCUMSTANCES:**<br> **/a/** For the purposes hereof, force majeure or unforeseeable circumstance, hereinafter called a "**Force Majeure or Unforeseeable Circumstance**" shall be understood as any unexpected events that it were not possible to withstand, such as shipwrecks, earthquakes, enemies' arrests, or acts of authority by public officers, etc., as defined in Article 45 of the Civil Code. |
| &nbsp;&nbsp;**/b/** La Parte afectada por el evento de Fuerza Mayor o Caso Fortuito comunicará a la otra Parte en un plazo no mayor a cinco Días Hábiles, la existencia del evento y su fecha de inicio, así como una estimación de su duración y las medidas de mitigación que propone adoptar, todo lo cual será requisito para que, mientras dure tal evento de Fuerza Mayor o Caso Fortuito, se pueda suspender el cumplimiento de la obligación cuyo | &nbsp;&nbsp;**/b/** The Party affected by a Force Majeure or Unforeseeable Circumstance shall inform the other thereof, within no more than 5 Business Days, stating the start date and estimated duration thereof, and the intended mitigation measures, all of which shall be required for suspending the need to meet any concerned obligations while the Force Majeure or Unforeseeable Circumstance continued, which in any case, shall be enforceable again |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;cumplimiento es impedido, la cual - en todo thereafter. caso- se hará exigible una vez que cese tal evento de Fuerza Mayor o Caso Fortuito. |  |
| &nbsp;&nbsp;**<u>DÉCIMO TERCERO</u>: ANTICORRUPCIÓN**. **/a/** La SCM acuerda dar cumplimiento al Código de Conducta para Socios Comerciales de SQM, a la Política de Cumplimiento Anti Soborno y Corrupción de Sociedad Química y Minera de Chile S.A. y sus empresas relacionadas, en adelante las "**Políticas SQM**", y a todas las leyes aplicables, incluyendo leyes anti soborno, sobre lavado de dinero, financiamiento del terrorismo y receptación, contenidas en las leyes de Chile y la Ley de los Estados Unidos sobre Prácticas Corruptas Extranjeras *U.S. Foreign Corrupt Practices Act, "FCPA"*, en adelante las "**Leyes Anticorrupción**". | &nbsp;&nbsp;**<u>THIRTEENTH</u> – ANTICORRUPTION**:<br> **/a/** The SCM hereby agrees to comply with the Code of Conduct for SQM's Commercial Partners, the Anti-Bribery and Anticorruption Compliance Policy of Sociedad Química y Minera de Chile S.A. and its related companies, hereinafter called "**SQM's Policies"**, and with all applicable provisions against bribery, money laundering, terrorist financing and the receipt of stolen property contained in Chilean laws and the U.S. Foreign Corrupt Practices Act, "FCPA", hereinafter called the "**Anticorruption Laws**"; |
| &nbsp;&nbsp;**/b/** La SCM asegurará que los bienes que vienen directa o indirectamente de SQM, o aquellos a los cuales tuvo acceso en virtud de este Contrato, cualquiera sea su naturaleza, no serán usados para propósitos ilegales o como parte de cualquier delito bajo las Leyes Anticorrupción. La SCM declara que no ha hecho ni ha prometido hacer, y acuerda no hacer ni prometer hacer, en relación a este Contrato, ningún pago o transferencia de cualquier cosa de valor, directa o indirectamente, **/i/** a cualquier persona que trabaje en calidad oficial para un gobierno, entidad pública (incluyendo empleados de sociedades anónimas de propiedad o controladas por el gobierno) u organización pública internacional; **/ii/** a cualquier partido político, funcionario de un partido político o candidato; **/iii/** a un intermediario para que éste pague a cualquiera de los anteriores; **/iv/** a cualquier funcionario, director, empleado o representante de cualquier cliente efectivo o potencial de SQM; **/v/** a cualquier funcionario, director o empleado de SQM o cualquiera de sus Personas Relacionadas; o **/vi/** a cualquier | &nbsp;&nbsp;**/b/** The SCM shall ensure that any assets coming directly or indirectly from SQM, or those to which it had access by virtue hereof, regardless of their nature, will not be used for illegal purposes or as a part of any crimes under the Anticorruption Laws. KM hereby states that, in connection with this Agreement, it has not made, or promised to make, and agrees not to make or promise to make, any direct or indirect payments or transfers of anything of value **/i/** to any persons working as officials of any governments, international public organizations or public entities, including employees of state owned or controlled corporations; **/ii/** to any political parties, officials thereof or candidates; **/iii/** to any intermediaries for payment to any of the foregoing; **/iv/** to any officials, directors, employees or representatives of any of SQM's actual or potential clients; **/v/** to any of SQM's officials, directors, employees or related persons, or **/vi/** to any other individuals or entities, in violation of the laws of the countries in which such payments or |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 29/40 |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;otra persona o entidad si dicho pago o transferencia infringe las leyes del país en el cual sea hecho, las Políticas SQM o las Leyes Anticorrupción. Es la intención de ambas Partes que no se hagan pagos o transferencias de valor que tengan el objeto efecto de soborno o "coima" o, en general, acciones o usos de bienes o dineros en relación a entidades o funcionarios públicos o privados que constituyan la realización de actos ilegítimos o inadecuados en conformidad con las Políticas SQM, las Leyes Anticorrupción y las leyes aplicables. | &nbsp;&nbsp;transfers were made, or SQM's Policies or the Anticorruption Laws, and both Parties hereby intend that no payments or transfers of value be made with an aim at bribery, and generally that, in connection with entities or public or private officials, no actions be taken or uses made of assets or moneys involving illegitimate or improper acts according to SQM's Policies, the Anticorruption Laws and all applicable laws; |
| &nbsp;&nbsp;**/c/** La SCM no estará autorizado bajo ninguna circunstancia, ni bajo la instrucción de SQM o sus empleados o representantes, a realizar cualquiera de las actividades prohibidas por las Políticas SQM, las Leyes Anticorrupción, cualquier otra ley aplicable, ni siquiera bajo pretexto de dar cumplimiento a las instrucciones de SQM o constituir un beneficio para SQM. | &nbsp;&nbsp;**/c/** The SCM shall not be authorized to do any of the activities forbidden by SQM's Policies, the Anticorruption Laws, or any other applicable laws, under any circumstances, not even on instructions from SQM, or its employees or representatives, or under the excuse of following SQM's directives or creating benefits for SQM; |
| &nbsp;&nbsp;**/d/** La SCM acuerda adherir en forma íntegra y total a las Políticas de SQM, y declara haber recibido una copia completa de las mismas, las cuales se encuentran disponibles en http://ir.sqm.com. | &nbsp;&nbsp;**/d/** The SCM hereby agrees to fully and totally adhere to all of SQM's Policies, and states that it has received a complete copy thereof, which are also available at http://ir.sqm.com; |
| &nbsp;&nbsp;**/e/** La SCM asegura que los empleados bajo su dependencia y cualquier persona que tenga relación con SQM, se abstendrán de ejecutar, en sus relaciones o vínculos con SQM, cualquier acto que sea ilegal, inadecuado o contrario a las conductas establecidas en las Políticas SQM. | &nbsp;&nbsp;**/e/** The SCM hereby guarantees that the employees under its authority and any persons related to SQM shall refrain from doing anything illegal, improper or contrary to the conducts established in SQM's Policies, in their relationships or associations with SQM; |
| &nbsp;&nbsp;**/f/** La SCM informará inmediatamente a SQM cualquier situación de la que tome conocimiento que pueda resultar en el uso ilegal de los dineros o bienes de SQM o en una violación de las Políticas SQM o de las Leyes Anticorrupción. | &nbsp;&nbsp;**/f/** The SCM shall immediately advise SQM of any situation of which it became aware that may result in any illegal use of SQM's funds or assets, or in the violation of SQM's Policies or the Anticorruption Laws, and |
| &nbsp;&nbsp;**/g/** El incumplimiento de esta Cláusula será considerado un incumplimiento grave, material o esencial de las obligaciones impuestas por el Contrato y facultará a SQM | &nbsp;&nbsp;**/g/** Any breaches of this clause shall be considered gross, material or essential breaches of the obligations hereunder, and shall entitle SQM to terminate this agreement |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;a ponerle término inmediato, sin responsabilidad para SQM, y la SCM indemnizará y mantendrá a SQM indemne por cualquier demanda, pérdida o daño que resulte se relacione a dicho incumplimiento. Todas las denuncias de la SCM podrán realizarse ingresando al portal web externo <u>www.SQM.ethicspoint.com</u> o a través de las líneas de teléfono disponibles de acuerdo con su ubicación, especificadas en dicho portal. | &nbsp;&nbsp;immediately, without any liability for SQM, and the SCM shall hold SQM harmless from, and compensate the latter for, any claims, losses or damages that may result from or in connection with any such breaches.<br> The SCM may report by entering the external web portal: <u>www.SQM.ethicspoint.com</u>, or by calling any of the phone lines available per location, as specified thereon. |
| &nbsp;&nbsp;**<u>DÉCIMO CUARTO</u>: CONFIDENCIALIDAD. <u>Catorce. Uno</u>. Confidencialidad.**<br> Toda la información obtenida en relación con el cumplimiento del Contrato será confidencial y no será entregada a ningún tercero ni al público en general, sin el consentimiento previo y por escrito de la Parte divulgadora. | &nbsp;&nbsp;**<u>FOURTEENTH</u> - CONFIDENTIALITY:** <br> **<u>14.1.</u> Confidentiality:**<br> Any information obtained in relation to the implementation hereof shall be confidential and not delivered to any third parties or the general public, without the prior written consent of the disclosing Party. |
| &nbsp;&nbsp;**<u>Catorce. Dos</u>. Excepciones.**<br> El consentimiento no será requerido en los casos en que se entregue información a: | &nbsp;&nbsp;**<u>14.2</u>. Exceptions:**<br> The consent shall not be required when information is delivered: |
| &nbsp;&nbsp;**/a/** una Empresa Conectada, sus directores, trabajadores, consultores, asesores, contratistas o subcontratistas para el cumplimiento de sus funciones o encargos; | &nbsp;&nbsp;**/a/** to any Connected Companies, their directors, workers, consultants, advisors, contractors or subcontractors for performing their duties or commissions; |
| &nbsp;&nbsp;**/b/** una agencia u organismo federal o estatal,<br> cuerpo regulatorio, especialmente bolsas de valores, de acuerdo con las leyes o reglamentos pertinentes o con las normas de cualquier índole; | &nbsp;&nbsp;**/b/** to any federal or state agencies or entities, or regulatory bodies, especially stock exchange markets, according to pertinent laws, regulations or rules of any kind; |
| &nbsp;&nbsp;**/c/** un tercero que esté interesado en adquirir la Regalía, previa suscripción de un acuerdo de confidencialidad; o | &nbsp;&nbsp;**/c/** to any third parties interested in purchasing the Royalty, upon execution of a confidentiality agreement, or |
| &nbsp;&nbsp;**/d/** cuando la información de que se trate ya forme parte del dominio público, excepto si fuere por su indebida divulgación por alguna de las Partes. | &nbsp;&nbsp;**/d/** when the concerned information is already known by the public, except if through an undue disclosure by one of the Parties. |
| &nbsp;&nbsp;En los casos indicados en las letras /a/ y /c/ del párrafo anterior, sólo será entregada la información confidencial que el tercero tenga necesidad legítima de conocer para el propósito de cumplir con el objeto de que se señala en dichas letras /a/ y /c/, según | &nbsp;&nbsp;In the cases indicated in Items /a/ and /c/ of the preceding paragraph, only the confidential information that such third parties rightfully needed to know for the purposes stated in the said Items /a/ or /c/, as applicable, may be disclosed, and only conditioned to a |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;corresponda, y sólo si está sujeto a una obligación de confidencialidad y a la prohibición de utilizar dicha información para otro propósito. | &nbsp;&nbsp;confidentiality obligation and the restriction to use the information for any other purposes. |
| &nbsp;&nbsp;Además, en todo evento en el caso de la letra /c/ y en el caso que a los consultores, asesores, contratistas o subcontratistas se les entregue información sobre las reservas, recursos mineros o estratégica sobre los Derechos Mineros, la Parte divulgadora deberá previamente suscribir un acuerdo de confidencialidad con ellos, en el cual el receptor se obligue a no solicitar ni adquirir, directa, indirectamente o a través de terceros, derechos mineros o inmuebles en el Área, obligándose a vendérselos - al precio de diez Dólares por cada derecho- a la SCM para el caso que lo haga, dentro de los diez días corridos siguientes a que así lo requiera la SCM. | &nbsp;&nbsp;Additionally, in all events of Item /c/ with consultants, advisors, contractors or subcontractors receiving information on reserves, mining resources or strategic data on the Mining Rights, the disclosing Party shall Previously subscribe confidentiality agreements with them, whereby the receivers commit not to request or acquire mining rights or properties in the Area directly, indirectly or through any third parties, and having done so, they further promise to sell them to the SCM, at the price of USD 10 per right, within the 10 calendar days of the latter so requesting. |
| &nbsp;&nbsp;**<u>Catorce. Tres</u>. Anuncios y avisos**<br> **públicos.**<br> En caso de que alguna de las Partes requiera hacer, por ley o regulación aplicable a la que esté sujeta, algún anuncio o aviso público, distinto a los señalados en la letra /b/ de la <u>Sección Catorce. Dos</u>, en relación a las materias contenidas en este Contrato, previamente deberá compartir con la otra Parte un proyecto de comunicado y otorgar a dicha Parte un plazo no menor a siete Días Hábiles para revisarlo y dar sus observaciones, mismas que deberán de ser consideradas por la Parte que tenga la obligación de emitir el anuncio o aviso público siempre que se ajusten a la ley o regulación aplicable a la que esté sujeta. | &nbsp;&nbsp;**<u>14.3</u>. Notices and Public Notices:**<br> Should the law or any applicable regulations to which it were subject require that any of the Parties issued any public notices or announcements on matters hereunder, other than those stated in Item /b/ of <u>Section 14.2</u>, it must previously share a draft release with the other Party and give the latter at least 7 Business Days to examine it and make any comments, which must be considered by the Party having to issue the public notice or announcement, provided that they adhere to any applicable laws or regulations. |
| &nbsp;&nbsp;**<u>Catorce. Cuatro</u>. Vigencia.**<br> Las disposiciones de esta Cláusula se aplicarán durante la vigencia del Contrato, y en caso de que éste termine, se aplicarán también por un plazo de dos años contado desde la terminación del Contrato. | &nbsp;&nbsp;**<u>14.4</u>. Survival of this Clause:**<br> The provisions of this clause shall apply throughout the effective term hereof, and should this Agreement terminate, they shall also apply for two years thereafter. |
| &nbsp;&nbsp;**<u>DÉCIMO QUINTO</u>: CESIÓN, SUCESORES** | &nbsp;&nbsp;**<u>FIFTEENTH</u> - ASSIGNMENT,** |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**Y CESIONARIOS**. | &nbsp;&nbsp;**SUCCESSORS AND ASSIGNEES:** |
| &nbsp;&nbsp;La SCM no podrá vender, ceder, enajenar, transferir, asignar - ni siquiera por división- o de cualquier forma disponer de sus derechos ni novar sus obligaciones que emanan de este Contrato, a menos que según conste por escritura pública haya sido autorizada previa, expresa y específicamente para el caso en particular por SQM. | &nbsp;&nbsp;The SCM may not sell, assign, convey, transfer or hand over, not even through division, or in any way dispose of, its rights, or novate its obligations hereunder, unless previously, expressly and specifically authorized by SQM in a public deed, on a case by case basis. |
| &nbsp;&nbsp;**<u>DÉCIMO SEXTO</u>: AVISOS,**<br> **COMUNICACIONES, NOTIFICACIONES Y CONTACTOS.**<br> **<u>Dieciséis. Uno</u>. Avisos, comunicaciones y notificaciones**.<br> Todos los avisos, comunicaciones o notificaciones que las Partes deban enviar, intercambiar o efectuar en virtud de lo expuesto en este Contrato serán siempre efectuados por escrito. Ellos se harán efectivos y se considerará que han sido entregados: | &nbsp;&nbsp;**<u>SIXTEENTH</u> - NOTICES,**<br> **COMMUNICATIONS, NOTIFICATIONS AND CONTACTS:**<br> **<u>16.1</u>. Notices, Communications and Notifications**:<br> All notices, communications and notifications that the Parties must send, exchange or issue hereunder shall always be in writing, and shall be effective and deemed received: |
| &nbsp;&nbsp;**/a/** <u>Si es entrega por mano</u>: en la fecha de entrega si es efectuada en Día Hábil y durante horas normales de oficina, de lo contrario se entenderá entregada el Día Hábil siguiente; | &nbsp;&nbsp;**/a/** <u>When delivered by hand:</u> On the date of delivery if it fell on a Business Day and during normal business hours, and otherwise, on the next Business Day; |
| &nbsp;&nbsp;**/b/** <u>Si es por comunicación electrónica</u>: el Día Hábil siguiente al día en que se reciba la comunicación electrónica; | &nbsp;&nbsp;**/b/** <u>When electronically delivered:</u> On the Business Day following receipt thereof, and |
| &nbsp;&nbsp;**/c/** <u>Si es por correo certificado</u>: el Día Hábil siguiente a su recibo efectivo. | &nbsp;&nbsp;**/c/** <u>When delivered by certified mail:</u> On the next Business Day after actual receipt thereof. |
| &nbsp;&nbsp;**<u>Dieciséis. Dos</u>. Contactos**.<br> Los avisos, comunicaciones o notificaciones se dirigirán a:<br>| &nbsp;&nbsp;**<u>16.2</u>. Contacts**:<br> All notices, communications or notifications shall be addressed:<br>|
| &nbsp;&nbsp;**/a/** Sociedad Química y Minera de Chile S.A., al señor [●], dirección de correo electrónico [●], con copia al señor [●], dirección de correo electrónico [●], ambos con domicilio en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, Comuna de Las Condes, Región Metropolitana, Chile; o, alternativamente, a la otra persona u otro domicilio que SQM oportunamente informará | &nbsp;&nbsp;**/a/** For Sociedad Química y Minera de Chile S.A., to: [●], e-mail: [●], with copy to [●], e-mail: [●], both with legal address at 4,281, El Trovador, 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, Chile, or alternatively, to any other addressees or addresses that SQM promptly communicated to the SCM in writing for such purposes, as provided in this clause, and |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;a la SCM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula; y |  |
| &nbsp;&nbsp;**/b/** SCM [●], al señor [●], dirección de correo electrónico [●], domicilio en [●], comuna de [●]; o, alternativamente, a la otra persona u otro domicilio que [●] oportunamente informará a SQM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula. | &nbsp;&nbsp;**/b/** For the SCM, to: [●], e-mail: [●], with copy to [●], e-mail: [●], both with legal address at [●], [●] borough, or alternatively, to any other addressees or addresses that [●] promptly communicated to SQM in writing for such purposes, per this clause. |
| &nbsp;&nbsp;**<u>DÉCIMO SÉPTIMO</u>: PAGO E**<br> **IMPUTACIONES EN DÓLARES.**<br> Salvo disposición específica en contrario en el presente Contrato, todos los pagos e imputaciones y demás similares que se efectúen en Dólar en virtud de lo expuesto en este Contrato se calcularán, previamente y para tal efecto, de acuerdo con el valor unitario del Dólar a que se hace referencia en el Título I, Capítulo I, número seis, del Compendio de Normas de Cambios Internacionales del Banco Central de Chile denominado "*dólar observado*" que aparezca publicado en el Diario Oficial del Día Hábil bancario anterior al día del pago e imputación que proceda y, consiguientemente, se podrán efectuar en pesos moneda nacional. | &nbsp;&nbsp;**<u>SEVENTEENTH</u> - PAYMENTS AND**<br> **CHARGES IN DOLLARS:**<br> Save as specifically provided herein, all payments, charges and the like made in Dollars hereunder shall be previously determined according to the Dollar unit value called "*observed dollar*" and referred to in Title I, Chapter I, Item 6, of the Compendium of Foreign Exchange Regulations of the Central Bank of Chile, as published in the Official Gazette on the bank Business Day prior to the date of the applicable payment and charge, and consequently, shall be made in Chilean pesos, the national currency. |
| &nbsp;&nbsp;**<u>DÉCIMO OCTAVO</u>: PAGO POR**<br> **TRANSFERENCIA ELECTRÓNICA DE FONDOS**.<br> Los pagos que la SCM efectúe a SQM por medio de transferencia electrónica de fondos se harán a la cuenta bancaria que para tal efecto SQM le comunique. Para todos los efectos legales, el pago se entenderá efectuado el día en que la cantidad correspondiente al mismo se encuentre totalmente disponible en la cuenta de SQM. Será obligación de la SCM enviar a SQM los documentos que den prueba de la transferencia de fondos. | &nbsp;&nbsp;**<u>EIGHTEENTH</u> - PAYMENT BY**<br> **ELECTRONIC TRANSFER OF FUNDS**:<br> Any payments by the SCM to SQM via electronic transfer of funds shall be made to the bank account informed by SQM to the SCM to this end. For all legal purposes, such payments shall be deemed made on the day when the corresponding amounts were fully available in SQM's account. It shall be the SCM's obligation to forward the documents evidencing each of such transfers of funds to SQM. |
| &nbsp;&nbsp;**<u>DÉCIMO NOVENO</u>: INVALIDEZ O** | &nbsp;&nbsp;**<u>NINETEENTH</u> - SEVERABILITY:** |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**INEXIGIBILIDAD.**<br> La invalidez o inexigibilidad de una parte o Cláusula de este Contrato no afectarán la validez u obligatoriedad de otra parte o Cláusula del mismo. Toda parte o Cláusula inválida o inexigible se considerará separada de este Contrato; entendiéndose que las Partes negociarán, de buena fe, una modificación a tal Cláusula inválida o inexigible, con el objeto de cumplir con la intención original de las Partes. | &nbsp;&nbsp;If any clauses or parts hereof were invalid or unenforceable, the validity or obligatory nature of the rest of the clauses and parts hereof shall not be affected. Any such invalid or unenforceable clauses or parts shall be deemed separated from this Agreement, in the understanding that the Parties shall, in good faith, negotiate amendments thereto, so that they meet their original intention. |
| &nbsp;&nbsp;**<u>VIGÉSIMO</u>: TÉRMINO ACUERDOS**<br> **ANTERIORES**.<br> Este Contrato deja sin efecto y reemplaza, totalmente y a partir de este mismo momento, todo otro acuerdo, conversación, convenio, carta, e-mail, fax o contrato oral o escrito que SQM y la SCM puedan haber anteriormente suscrito o acordado en cualquier tiempo y con respecto de las demás materias indicadas en este instrumento. | &nbsp;&nbsp;**<u>TWENTIETH</u> - TERMINATION OF**<br> **PREVIOUS AGREEMENTS:**<br> This Agreement shall hereon fully annul and replace any other agreements, discussions, contracts, letters, e-mails, faxes, and oral or written contracts, previously executed or agreed at any time by SQM and SCM with regard to the Mining Rights or any other matters hereunder. |
| &nbsp;&nbsp;**<u>VIGÉSIMO PRIMERO</u>: MODIFICACIONES A ESTE CONTRATO**.<br> Toda modificación total o parcial a uno cualquiera de los términos o Cláusulas de este Contrato, sólo y únicamente producirá sus efectos en la medida exclusiva de que ella haya sido previamente convenida por escrito por las Partes. | &nbsp;&nbsp;**<u>TWENTY-FIRST</u> – AMENDMENTS:**<br> Any total or partial amendments to any terms or clauses hereof shall only and solely be effective if previously agreed in writing by the Parties. |
| &nbsp;&nbsp;**<u>VIGÉSIMO SEGUNDO</u>: RENUNCIA**.<br> Si una Parte no insiste en el estricto cumplimiento de alguna disposición del Contrato, o si no ejerce un derecho, acción, reclamo o recurso en caso de su infracción, ello no constituirá una renuncia de una disposición del Contrato, ni limitará el derecho de esa Parte para, posteriormente, hacer cumplir una disposición o ejercer un derecho. | &nbsp;&nbsp;**<u>TWENTY-SECOND</u> - WAIVER:**<br> That a Party did not enforce the strict compliance with any provisions hereof, or did not exercise any rights, actions, claims or resorts in cases of breach, shall neither be a waiver of any such provisions, nor limit that Party's right to subsequently enforce any of them or exercise any of its rights. |
| &nbsp;&nbsp;**<u>VIGÉSIMO TERCERO</u>: RESOLUCIÓN DE**<br> **CONFLICTOS**. | &nbsp;&nbsp;**<u>TWENTY-THIRD – CONFLICT RESOLUTION</u>:** |
| &nbsp;&nbsp;Todas las diferencias, dificultades o conflictos | &nbsp;&nbsp;Any differences, difficulties or conflicts arising |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este Contrato, serán sometidas al conocimiento y decisión de los Tribunales Ordinarios de Justicia con competencia en la ciudad de Santiago. | &nbsp;&nbsp;between the Parties for any reasons and under any circumstances, whether directly or indirectly relating hereto, shall be submitted for examination and resolution by the ordinary courts of justice with jurisdiction in the city of Santiago. |
| &nbsp;&nbsp;**<u>VIGÉSIMO CUARTO</u>: DOMICILIO Y LEY APLICABLE**.<br> Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este Contrato se rige y regirá siempre por las leyes de la República de Chile. | &nbsp;&nbsp;**<u>TWENTY-FOURTH</u> - LEGAL ADDRESS**<br> **AND APPLICABLE LAWS:**<br> For all relevant purposes, the Parties hereby set their legal address in the city and borough of Santiago. This Agreement is and shall always be governed by the laws of the Republic of Chile. |
| &nbsp;&nbsp;**<u>VIGÉSIMO QUINTO</u>: GASTOS**<br> **<u>Veinticinco. Uno</u>. Derechos notariales, conservatorios y de archivero judicial.**<br> Todos los derechos notariales, conservatorios y de archivero judicial en que sea necesario incurrir o pagar con motivo de este Contrato, en especial con respecto a su otorgamiento, desistimiento total o parcial – de ser aplicable y autorizado por este Contrato-, término y ejercicio de la Promesa serán siempre pagados totalmente por la SCM a su exclusivo costo. La SCM, a su total y exclusivo costo, dentro del plazo de un mes desde la solicitud de SQM, se obliga a entregar a SQM copia de todas las inscripciones, cancelaciones, anotaciones y certificados que le solicite efectuar con motivo de lo anterior o de los requerimientos registrales al efecto, debidamente pagados por la SCM al Conservador de Minas respectivo. | &nbsp;&nbsp;**<u>TWENTY-FIFTH</u> - EXPENSES:**<br> **<u>25.1</u>. Notary, Registrar and Court Archivist Fees:**<br> All notary, registrar and court archivist fees incurred or paid in connection with this Agreement, and particularly for the execution hereof, the total or partial waiver hereof, as applicable and authorized herein, and the termination or exercise of the Promise, shall always be fully paid by the SCM, at its sole cost. Within one month of SQM's request and at its own cost, the SCM hereby commits to deliver a copy of all registrations, cancellations, annotations and certificates requested by the latter by virtue of the foregoing, or as needed for registration purposes, duly paid by the SCM to the relevant Mine Registrars. |
| &nbsp;&nbsp;**<u>Veinticinco. Dos</u>. Informes de avances y gestiones.**<br> En el caso que la SCM entregue a SQM copia de los requerimientos registrales, en la forma y plazo señalados en la Sección anterior, entregará a SQM todas las inscripciones, cancelaciones y anotaciones que ésta le haya solicitado efectuar según esta Cláusula, dentro de un plazo de quince días corridos, | &nbsp;&nbsp;**<u>25.2</u>. Reports on Progress and Paperwork:** <br> If the SCM delivered a copy of the registration requirements to SQM, in the manner and within the term stated in the preceding section, it shall also furnish SQM with all registrations, cancellations and annotations requested by the later per this clause, within 15 calendar days of having received them from the relevant Mine Registrars. In any |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;contado desde la recepción de tales antecedentes por parte de la SCM del Conservador de Minas correspondiente. En todo caso, la SCM informará por escrito cada vez que SQM lo requiera y, al menos una vez por mes, los avances y gestiones realizadas ante el Conservador de Minas para la obtención de las inscripciones, cancelaciones y anotaciones referidas. | &nbsp;&nbsp;case, the SCM shall report to SQM in writing, whenever the latter required and at least once a month, on the progress and paperwork completed with the relevant Mine Registrars in order to have the aforesaid registrations, cancellations and annotations entered. |
| &nbsp;&nbsp;**<u>VIGÉSIMO SEXTO</u>: FACULTAD AL PORTADOR.**<br> Se faculta al portador de copia autorizada de la presente escritura para requerir las inscripciones y anotaciones que procedan en los registros pertinentes del Conservador de Minas respectivo. | &nbsp;&nbsp;**<u>TWENTY-SIXTH</u> - BEARER AUTHORIZATION:**<br> The bearer of an authenticated copy hereof is hereby authorized to request any pertaining entries and annotations in the relevant Mine Registrars' books. |
| &nbsp;&nbsp;**<u>PERSONERÍAS</u>**. | &nbsp;&nbsp;**<u>POWERS OF ATTORNEY:</u>** |
| &nbsp;&nbsp;*-El resto de la página se deja*<br> *intencionalmente en blanco.-* | &nbsp;&nbsp;*-The rest of this page has been intentionally left blank.-* |
| &nbsp;&nbsp;![](forms-1pg130_003.jpg) | &nbsp;&nbsp;[Stamp on the top right corner of all odd pages: MARÍA SOLEDAD SANTOS MUÑOZ, NOTARY ASSIGNED, SANTIAGO 7th NOTARY OFFI CES] |
| &nbsp;&nbsp;![](forms-1pg130_004.jpg) | &nbsp;&nbsp;[Stamp on the bottom right of all odd pages: MARÍA SOLEDAD SANTOS M., NOTARY PUBLIC, SANTIAGO 7<sup>TH</sup> NOTARY OFFICES, ATTESTING, SANTIAGO CHILE] |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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| &nbsp;&nbsp;**<u>Anexo Uno. Cuatro</u>: Plano.** | &nbsp;&nbsp;**<u>Appendix 1.4</u>: Map** |
| &nbsp;&nbsp;[*Insertar*] | &nbsp;&nbsp;*[To be inserted]* |
| &nbsp;&nbsp;-El resto de la página se deja - *intencionalmente en blanco-* | &nbsp;&nbsp;*The rest of this page has been intentionally* <br> *left blank.* |
| &nbsp;&nbsp;[Al dorso] *- El resto de la página se deja* | &nbsp;&nbsp;[On the back] *- The remainder of this page has* |
| &nbsp;&nbsp;*intencionalmente en blanco.-* | &nbsp;&nbsp;*been intentionally left blank.-* |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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**<u>Anexo Cuatro. Dos</u>: Tabla.**

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| **Precio Spot Promedio de <br> Metales Preciosos** | **Precio Spot Promedio de <br> Metales Preciosos** | **Precio Spot Promedio de <br> Metales No Preciosos** | **Precio Spot Promedio de <br> Metales No Preciosos** | **Porcentaje NSR** |
| **Desde <br> US$/oz-Oro** | **Hasta <br> US$/oz-Oro** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Desde US$/lb-Cobre** | &nbsp;&nbsp;&nbsp;&nbsp;**Hasta US$/lb- Cobre** | **Porcentaje NSR** |
| 0 | 500 | 0 | 15<br> 15 | 1,25% |
| 500 | 700 | 150 | 200 | 1,25% |
| 700 | 900 | 20 | 250 | 1,25% |
| 900 | 1.100 | 250 | 300 | 1,50% |
| 1.100 | 1.300 | 300 | 350 | 2,00% |
| 1.300 | 1.500 | 350 | 400 | 3,00% |
| 1.500 | 1.700 | 400 | 450 | 4,00% |
| 1.700 | 1.900 | 450 | 500 | 4,50% |
| 1.900 | 2.000 | 500 | 550 | 4,50% |
| 2.000 | 2.400 | 55 | 600 | 5,00% |
| 2.400 | 2.600 | 600 | 700 | 6,00% |
| 2.600 | 2.800 | 700 | 800 | 7,00% |
| 2.800 | 3.000 | 800 | 900 | 8,00% |
| 3.000 | 3.200 | 900 | 1000 | 9,00% |
| Mayor a 3.200 | Mayor a 3.200 | Mayor a 10 | Mayor a 10 | 10,00% |

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| ***Anexo Diez. Cinco /b/*** | ***Appendix 10.5 /b/*** |

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**<u>Appendix 4.2</u>: Table**

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| **Average Spot Price of <br> Precious Metals** | **Average Spot Price of <br> Precious Metals** | **Average Spot Price of <br> Non-Precious Metals** | **Average Spot Price of <br> Non-Precious Metals** | **NSR**<br> **Percentage** |
| **From**<br> **USD/oz-Gold** | **To**<br> **USD/oz-Gold** | **From**<br> **USD/lb-Copper** | **To**<br> **USD/lb-Copper** | **NSR**<br> **Percentage** |
| 0 | 500 | 0 | 1.5 | 1.25% |
| 500 | 700 | 1.50 | 2.00 | 1.25% |
| 700 | 900 | 2.0 | 2.50 | 1.25% |
| 900 | 1100 | 2.50 | 3.00 | 1.50% |
| 1100 | 1300 | 3.00 | 3.50 | 2.00% |
| 1300 | 1500 | 3.50 | 4.00 | 3.00% |
| 1500 | 1700 | 4.00 | 4.50 | 4.00% |
| 1700 | 1900 | 4.50 | 5.00 | 4.50% |
| 1900 | 2000 | 5.00 | 5.50 | 4.50% |
| 2000 | 2400 | 5.5 | 6.00 | 5.00% |
| 2400 | 2600 | 6.00 | 7.00 | 6.00% |
| 2600 | 2800 | 7.00 | 8.00 | 7.00% |
| 2800 | 3000 | 8.00 | 9.00 | 8.00% |
| 3000 | 3200 | 9.00 | 10.00 | 9.00% |
| More than 3,200 | More than 3,200 | More than 10 | More than 10 | 10.00% |

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| **/d/ ANEXO DIEZ. SIETE:** PACTO DE SOCIOS. | &nbsp;&nbsp;**/d/ APPENDIX 10.7:** PARTNERSHIP AGREEMENT |
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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 1/57 |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>ANEXO DIEZ. SIETE</u>: PACTO DE SOCIOS.** | &nbsp;&nbsp;**<u>APPENDIX 10.7</u>: PARTNERSHIP AGREEMENT** |
| **PACTO DE SOCIOS** | &nbsp;&nbsp;**SCM [●]** |
| **SCM [●]** | &nbsp;&nbsp;**PARTNERSHIP AGREEMENT** |
| **ENTRE** | &nbsp;&nbsp;**BY AND BETWEEN** |
| **KEY METALS CORPORATION CHILE<br> SpA** | &nbsp;&nbsp;**KEY METALS CORPORATION CHILE<br> SpA** |
| **Y** | &nbsp;&nbsp;**AND** |
| **SOCIEDAD QUÍMICA Y MINERA DE<br> CHILE S.A.** | &nbsp;&nbsp;**SOCIEDAD QUÍMICA Y MINERA DE<br> CHILE S.A.** |
| *-El resto de la página se deja<br> intencionalmente en blanco.-* | &nbsp;&nbsp;*-The remainder of this page has been<br> intentionally left blank.-* |
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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>PACTO DE SOCIOS</u>**<br>En Santiago de Chile, con fecha [●], entre: **Key Metals Corporation Chile SpA**, RUT N° 77.393.842-3, en adelante "**KM**", representada según se acreditará, por don [●], cédula nacional de identidad N° [●], domiciliados para estos efectos en [●]; | &nbsp;&nbsp;**<u>PARTNERSHIP AGREEMENT</u>**<br>In Santiago, Chile, on [●], by and between: **Key Metals Corporation Chile SpA**, Taxpayer Identification No. 77,393,842-3, hereinafter called "**KM**" and herein represented, as shall be evidenced, by [●], national identity card No. [●], both with address for the purposes hereof at [●], and<br>|
| **Sociedad Química y Minera de Chile S.A.**, sociedad debidamente constituida bajo las leyes de la República de Chile, RUT N° 93.007.000-9, en adelante "**SQM**", representada según se acreditará por don [●], cédula nacional de identidad N° [●] y por don [●], cédula nacional de identidad N° [●], domiciliados para estos efectos en [●]; ambas en adelante también conjuntamente denominadas las "**Partes**" o individualmente como una "**Parte**"; | &nbsp;&nbsp;**Sociedad Química y Minera de Chile S.A.**, a duly incorporated company under the laws of the Republic of Chile, Taxpayer Identification No. 93,007,000-9, hereinafter called "**SQM**" and herein represented, as shall be evidenced, by [●], national identity card No. [●] and [●], national identity card No. [●], all of them with legal address for the purposes hereof at [●], both of them together hereinafter called the "**Parties**", and individually a "**Party**", |
| quienes declaran que han acordado celebrar el presente pacto de socios, en adelante el "**Pacto**", a que se sujetarán sus relaciones mutuas en razón de su calidad de socios de SCM [●], en adelante, la "**SCM**". | &nbsp;&nbsp;have stated that they have agreed on entering into this partnership agreement, hereinafter called the "**Agreement**", whereby they shall govern their mutual relations as partners of SCM [●], hereinafter called the "**SCM**". |
| **<u>PRIMERO</u>: ANTECEDENTES**.<br> La SCM es una sociedad contractual minera válidamente constituida según consta de escritura pública de fecha [●] otorgada ante el Notario Público de Santiago don [●], en adelante como los "**Estatutos Sociales**". La SCM se encuentra en proceso de inscripción en el Registro de Propiedad y de Accionistas del Conservador de Minas de Santiago.<br> El objeto de la SCM es: **/a/** explorar, reconocer, prospectar e investigar, desarrollar y explotar yacimientos mineros a fin de extraer, producir y procesar minerales, concentrados u otros productos procedentes de sustancias minerales, pudiendo para estos efectos instalar y operar plantas de beneficio y tratamiento de minerales; | &nbsp;&nbsp;**<u>FIRST</u> - BACKGROUND:**<br> The SCM is a mining contract company, validly incorporated as evidenced in a public deed executed on [●], before the Santiago Notary Public [●], hereinafter called the "**Articles of Incorporation**". The SCM is in the process of registering in the Santiago Mine Registrar's books of Property and Shareholders.<br> The SCM's business shall be: **/a/** to explore for, survey, prospect and study, develop and exploit, ore deposits, in order to mine, produce and process minerals, concentrates or other products from mineral substances, and for this purpose, install and operate mineral processing and treatment plants; be awarded and purchase mining rights of any |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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constituir y adquirir derechos mineros de cualquiera naturaleza; vender, transportar, exportar y comercializar sustancias y productos minerales; kind, and sell, transport, export and trade mineral substances and products;

/b/ el beneficio de minerales, tratamiento, procesamiento, producción, uso, transporte, exportación y comercialización de los minerales obtenidos de yacimientos mineros; /b/ to process, treat, produce, use, transport, export and trade any minerals obtained from ore deposits;

/c/ el financiamiento del desarrollo y explotación de los yacimientos mineros; /c/ to finance the development and mining of ore deposits;

/d/ la construcción y explotación de plantas de beneficio y concentración; /d/ to build and operate process and concentration plants;

/e/ la constitución de propiedad minera a fin de proteger las áreas de interés del proyecto minero y sus instalaciones; y /e/ to establish mining property in order to protect the areas of interest of the mining project and its facilities, and

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| /f/ en general, celebrar, realizar y ejecutar todos los actos, convenciones y contratos civiles, comerciales, mineros, industriales y metalúrgicos que directa o indirectamente conduzcan al cumplimiento de los objetivos señalados.<br>| &nbsp;&nbsp;/f/ generally, to enter into, do and perform any and all acts, civil, commercial, mining, industrial and metallurgic conventions, contracts and agreements directly or indirectly leading to the aforesaid purposes. |
| El objeto de la SCM se desarrollará únicamente con respecto a sustancias minerales metálicas. | &nbsp;&nbsp;The SCM's business shall only regard metallic mineral substances. |

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| El capital de la SCM asciende a la cantidad de [●], el interés social se encuentra dividido en mil acciones, de las cuales ochocientas corresponden a la Serie A y doscientas corresponden a la Serie B. | &nbsp;&nbsp;The SCM's capital shall amount to [●] and its equity capital shall be divided into 1,000 shares, with 800 thereof being Series A, and the other 200, Series B. |

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Quienes suscriben este Pacto son los únicos socios de la SCM conforme la siguiente distribución: The signatories of this Agreement shall be the only partners in SCM, with the following distribution:

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| **Socio** | **Nº. de acciones** | **Porcentaje** | **Partner** | **Number of Shares** | **Interest** |
| KM | 800 Serie A | 80% | KM | 800 Series A | 80% |
| SQM | 200 Serie B | 20% | SQM | 200 Series B | 20% |

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| **<u>SEGUNDO</u>: DEFINICIONES,<br> INTERPRETACIÓN Y VENCIMIENTO DE PLAZOS.**<br> **<u>Dos. Uno</u>. Definiciones.**<br> Para efectos del presente Pacto, los términos en mayúscula que se indican a continuación tendrán los siguientes significados:<br> **/a/ "Acciones"**: Se refiere a las acciones en | &nbsp;&nbsp;**<u>SECOND</u> - DEFINITIONS,**<br> **INTERPRETATION AND TERM EXPIRY DATES:**<br> **<u>2.1</u>. Definitions:**<br> For the purposes hereof, the following words or expressions with initial capitals shall have the meanings respectively provided in this clause:<br> **/a/ "Shares"** refer to stock in SCM, whether |

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[Translation on the right] 4/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| la SCM, ya sea aquellas que suscriban los Socios al momento de la constitución de la SCM, o bien aquellas que directa o indirectamente adquieran en el futuro, a cualquier título, ya sean acciones de pago o liberadas de pago. | &nbsp;&nbsp;subscribed by the Partners upon the SCM's incorporation, or directly or indirectly acquired thereby in the future, for any consideration, whether cash or non-cash shares; |

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| **/b/** "**Acciones Ofertadas**": Se define en la <u>Sección Doce. Tres</u>.<br>| &nbsp;&nbsp;**/b/** "**Offered Shares**" are defined in <u>Section 12.3</u>; |

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| **/c/** "**Aceptación del Socio Destinatario**": Se define en la letra /c/ de la <u>Sección Doce. Tres</u>.<br>| &nbsp;&nbsp;**/c/** "**Recipient Partner's Acceptance**" is defined in Item /c/ of <u>Section 12.3</u>; |

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| <br> **/d/** "**Activos Mineros**": Significa los Derechos Mineros, los Productos Mineros y todos los otros bienes, muebles e inmuebles y derechos tangibles e intangibles destinados por la SCM a la ejecución del Proyecto Minero o que sean necesarios o convenientes para su adecuado desarrollo.<br>| &nbsp;&nbsp;<br> **/d/** "**Mining Assets**" mean the Mining Rights, the Mining Products and all other movable or immovable property, and tangible or intangible rights, assigned by the SCM to implementing the Mining Project, or necessary or convenient for the proper development thereof;<br>|

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| <br> **/e/** "**Área"**: Significa el área efectiva o de extensión territorial que comprenden los Derechos Mineros.<br>| &nbsp;&nbsp;**/e/** "**Area"** means the actual area or territorial expansion covered by the Mining Rights;<br>|

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| <br> **/f/** "**Aviso**": Se define en la letra /a/ de la <u>Sección Doce</u>. Tres. | &nbsp;&nbsp;**/f/** "**Notice**" is defined in Item /a/ of <u>Section 12.3</u>; |

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| <br> **/g/** "**Bienes Restringidos**": Se define en la <u>Cláusula Décimo Sexta</u>.<br>| &nbsp;&nbsp;**/g/** "**Restricted Assets**" are defined in <u>Clause 16</u>;<br>|

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| <br> **/h/** "**Comité Técnico**": Se define en la <u>Sección Nueve. Uno</u>.<br>| &nbsp;&nbsp;<br> **/h/** "**Technical Committee**" is defined in <u>Section 9.1</u>;<br>|

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| <br> **/i/** "**Comunicación de Intención de Venta**": Se define en la lera /a/ de la <u>Sección Doce. Dos</u>.<br>| &nbsp;&nbsp;<br> **/i/** "**Letter of Intent to Sell**" is defined in Item /a/ of <u>Section 12.2</u>;<br>|
| /j/ "**Comunicación de Venta**": Se define en la lera /b/ de la <u>Sección Quince. Uno</u>. | &nbsp;&nbsp;**/j/** "**Notice of Sale**" is defined in Item /b/ of <u>Section 15.1</u>; |

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| <br> **/k/** "**Contrato de Exploración y Promesa**": Se refiere al Contrato de Exploración Minera y Promesa Unilateral de Constitución de Sociedad celebrado entre SQM y KM con fecha [●].<br>| &nbsp;&nbsp;**/k/** "**Exploration Agreement and Promise**" refers to the Mining Exploration Agreement and Unilateral Promise to Incorporate a Company executed by SQM and KM on [●]; |

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| <br>**/l/** "**Control**" o "**Controlador**": Según como se define en el artículo 97 de la Ley N°18.045 de Mercado de Valores. | &nbsp;&nbsp;**/l/** "**Control**" or "**Controller**" are defined in Article 97 of Law No. 18,045 on stock markets; |

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| <br>**/m/** "**Derechos Mineros**": Son las concesiones mineras de explotación aportadas por SQM a la SCM. Asimismo, formarán parte de los Derechos Mineros cualquier solicitud, manifestación, | &nbsp;&nbsp;**/m/** "**Mining Rights**" are the mining claims awarded for exploitation contributed by SQM to the SCM, as well as any requests, statements of discovery, requested mining claims for exploration, and awarded mining |

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[Translation on the right] 5/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| pedimento, concesión minera de exploración y/o de explotación de propiedad de la SCM o que la SCM constituya o adquiera en el Área, ya sea por cuenta propia o a nombre de terceros, sea que reemplacen, prorroguen o no, o se superpongan total o parcialmente a cualquiera de los Derechos Mineros.<br> **/n/ "Día Hábil"**: Significa un día que no sea un sábado, domingo u otro día feriado en Chile.<br> **/o/** "**Directorio**": Se define en la <u>Sección Siete. Uno</u>.<br> **/p/** "**Dólar" o "Dólares**": Significa la moneda denominada dólar de los Estados Unidos de América.<br> **/q/** "**Empresa Conectada**": Significa, con respecto a cada Parte, cualquier persona que, directa o indirectamente, controle, sea controlada por o esté bajo común control con dicha otra persona. Para efectos de esta definición, "Control" se debe entender en base a la definición contenida en el artículo 97 de la Ley N°18.045 de Mercado de Valores.<br> **/r/** "**Empresa Revisora**": Se define en la letra /a/ de <u>Sección Once. Cuatro</u>.<br> **/s/** "**Estatutos Sociales**": Se define en la Cláusula Primera.<br> **/t/** "**Estudio de Factibilidad**": Significa un estudio de factibilidad o *feasibility study* - según la definición del *Canadian Institute of Mining, Metallurgy and Petroleum /*"CIM"/ contenida en el "*CIM Definition Standards on Mineral Resources and Mineral Reserves"* y sus modificaciones- preparado y completado en conformidad al "*Nationtrial Instrument 43101 - Standards of Disclosure for Mineral Projects"* /"NI 43-101"/ de los *Canadian Securities Administrators,* y contendrá al menos una descripción detallada de las reservas, métodos de explotación, metalúrgica y procesamiento; estudio ambiental, ubicación de infraestructura, relaves, botaderos, pilas y otros según | &nbsp;&nbsp;claims for exploration or exploitation, owed by the SCM in the Area, or that the latter may be awarded or purchased therein, whether for itself or on behalf of third parties, which may replace, extend or not, or fully or partly overlap any of the Mining Rights;<br> **/n/ "Business Day"** means any day other than Saturday, Sunday or other holidays in Chile;<br>**/o/** "**Board of Directors"** is defined in <u>Section 7.1</u>;<br> **/p/** "**Dollar", "Dollars" or "USD"** refer to the national currency of the United States of America;<br>**/q/** "**Connected Company**", regarding each Party, means any company directly or indirectly controlling, being controlled or under common control with that other company, and for the purposes of this definition, "Control" must be understood according to the definition provided in Article 97 of Law No. 18,045 on stock markets;<br> **/r/** "**Reviewers**" are defined in Item /a/ of <u>Section 11.4</u>;<br> **/s/** "**Articles of Incorporation**" are defined in Clause 1;<br> **/t/** "**Feasibility Study**" means a feasibility study, per the definition of the Canadian Institute of Mining, Metallurgy and Petroleum, (CIM), contained in the "CIM Definition Standards on Mineral Resources and Mineral Reserves" or any amendments thereto, prepared and completed according to the National Instrument 43-101, Standards of Disclosure for Mineral Projects (NI 43-101) for Canadian Securities Administrators, and containing at least a detailed description of reserves; mining, metallurgical and process methods; an environmental study, the location of all infrastructure, tailings, dumps, heaps, and others as applicable; operating and estimated capital costs; needed workers, |

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[Translation on the right] 6/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| corresponda, costos operacionales y capital estimativo; trabajadores necesarios, relaciones con la comunidad y asuntos sociales; costos y métodos de transporte; marketing y análisis del mercado, análisis de sensibilidad; la mejor alternativa técnico-económica de desarrollo de los Derechos Mineros, y otros aspectos usualmente considerados por este tipo de estudios respecto de todos los Derechos Mineros involucrados.<br> **/u/** "**Exploración**": Significa todas las actividades tendientes o que sean necesarias para verificar la existencia, ubicación, cantidad, calidad o valor comercial de los recursos minerales metálicos en los Derechos Mineros con el propósito de buscar un yacimiento minero factible de ser explotado comercialmente.<br> **/v/** "**Fuerza Mayor o Caso Fortuito**": Se define en la letra /a/ de la <u>Cláusula Vigésimo</u>.<br>**/w/** "**Gerente General**": Se define en la <u>Cláusula Décimo Quinta</u> de los Estatutos Sociales.<br> **/x/** "**Hipoteca y Prohibición SCM**": Se define en la <u>Sección Diez. Seis</u> del Contrato de Exploración y Promesa.<br> **/y/** "**Informe de Exploración**": Se define en la <u>Sección Ocho. Cinco. Uno</u> del Contrato de Exploración y Promesa.<br> **/z/** "**KM**": Se define en la comparecencia de este Pacto.<br> **/aa/** "**Oferta del Tercero**": Se define en la letra /a/ de la <u>Sección Doce. Tres</u>.<br> **/bb/** "**Oferta Preferente**": Se define en la letra /c/ de la <u>Sección Doce. Dos</u>.<br> **/cc/** "**Opción de Compra**": Se define en la letra /b/ de la <u>Sección Doce. Tres</u>.<br> **/dd/** "**Operaciones**"**:** Significa la Exploración, explotación y en general todas las actividades relacionadas con la extracción, manejo, procesamiento, transporte de los recursos minerales, la obtención, | &nbsp;&nbsp;community relations and social affairs; transportation costs and methods; marketing and market analysis, sensitivity analysis, the technically and economically best option for developing the Mining Rights, and other aspects usually considered in this type of studies, with regards to all of the concerned Mining Rights;<br> **/u/** "**Exploration**" refers to all activities aimed at, or needed for, verifying the existence, location, quantity, quality or commercial value of metallic mineral resources in the Mining Rights, so as to find commercially viable ore deposits;<br> **/v/** "**Force Majeure or Unforeseeable Circumstance**" is defined in Item /a/ of <u>Clause 20</u>;<br> **/w/** "**General Manager**" is defined in <u>Clause 15</u> of the Articles of Incorporation;<br> **/x/** "**The SCM's Mortgage and Restriction**" is defined in <u>Section 10.6</u> of the Exploration Agreement and Promise;<br> **/y/** "**Exploration Report**" is defined in <u>Section 8.5.1</u> of the Exploration Agreement and Promise;<br>**/z/** "**KM**" is defined in the preamble hereof;<br>**/aa/** "**Third-Party's Offer**" is defined in Item /a/ of <u>Section 12.3</u>;<br> **/bb/** "**Preferential Offer**" is defined in Item /c/ of <u>Section 12.2</u>.;<br> **/cc/** "**Purchase Option**" is defined in Item /b/ of <u>Section 2.3</u>;<br> **/dd/** "**Operations**" cover the Exploration, mining, and generally, all activities relating to extracting, handling, processing and transporting mineral resources, as well as obtaining, recovering, producing, smelting, |

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[Translation on the right] 7/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| recuperación, producción, fundición, refinamiento y comercialización de los Productos Mineros.<br> **/ee/** "**Operador**": Se define en la <u>Sección Diez. Uno</u>.<br> **/ff/** "**Parte**" o "**Partes**": Se define en la comparecencia de este Pacto.<br> **/gg/** "**Pacto"**: Se define en la Comparecencia.<br> **/hh/** "**Pago por Inactividad**": Se define en la lera /a/ de la <u>Sección Catorce. Uno</u>.<br> **/ii/** "**Periodo del Derecho Preferente de Oferta**": Se define en la lera /b/ de la <u>Sección Doce. Dos</u>.<br> **/jj/ Personas Relacionadas**": Se define en el artículo 100 de la Ley 18.045 de Mercado de Valores.<br> **/kk/** "**Políticas SQM**": Significa el Código de Conducta para Socios Comerciales de SQM y la Política de Cumplimiento Anti Soborno y Corrupción de Sociedad Química y Minera de Chile S.A. y sus empresas relacionadas.<br> **/ll/** "**Presupuesto Minero**": Significa una estimación detallada de todos los costos del Programa de Trabajo. El Presupuesto se establecerá en Dólares y los gastos en que se incurra en moneda nacional se convertirán a Dólares según el tipo de cambio correspondiente a la fecha en que se efectúe el desembolso.<br> **/mm/ "Productos Mineros"**: Significan todos los concentrados, precipitados metales, sustancias metálicas, y en general, lo que se obtiene y/o produce a partir de los minerales metálicos de toda clase extraído de los Derechos Mineros, incluyendo material mineralizado, concentrados y soluciones que contengan dichos minerales y todas las formas en que puedan encontrarse, extraerse o producirse, como igualmente cualquier subproducto de los mismos que tenga un valor comercial.<br> **/nn/** "**Programa de Trabajo**": Significa una | &nbsp;&nbsp;refining and marketing the Mining Products;<br> **/ee/** "**Operator**" is defined in <u>Section 10.1</u>;<br>**/ff/** "**Party**" or "**Parties**" are defined in the preamble hereof;<br> **/gg/** "**Agreement"** is defined in the preamble;<br> **/hh/** "**Payment for Inactivity**" is defined in Item /a/ of <u>Section 14.1</u>;<br> **/ii/** "**Period of the Right of Pre-Emption**" is defined in Item /b/ of <u>Section 12.2</u>;<br>**/jj/ "Related Persons**" are defined in Article 100 of Law No. 18,045, on stock markets;<br>**/kk/** "**SQM's Policies"** comprise the Code of Conduct for SQM's Commercial Partners, and the Anti-Bribery and Anticorruption Compliance Policy of Sociedad Química y Minera de Chile S.A. and its related companies;<br> **/ll/** "**Mining Budget**" refers to a detailed and complete cost estimation of the Work Program, prepared in Dollars, with the expenses to be incurred in national currency and converted into Dollars according to the exchange rate corresponding to the date of disbursement;<br> **/mm/ "Mining Products"** comprise all concentrates, metal precipitates, metallic substances, and generally what is obtained or produced from metallic minerals of any type extracted from the Mining Rights, including mineralized materials, concentrates and solutions containing such minerals, and all forms in which they may be found, mined or produced, as well as any by-products thereof having a commercial value;<br> **/nn/** "**Work Program**" means a reasonably |

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[Translation on the right] 8/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| descripción razonablemente detallada de las actividades de Exploración o de las Operaciones que se proponen. Además, contendrá, un listado y descripción de las partidas principales del Presupuesto Minero para realizar dichas actividades, una estimación de los costos o gastos en los que se incurrirá y una estimación del plazo máximo para que los Socios, enteren la parte que les corresponda en el financiamiento de dicho programa.<br> **/oo/** "**Proyecto Minero**": Significa el conjunto de Activos Mineros, Derechos Mineros, obras e instalaciones para extraer, tratar y procesar los recursos minerales, obtener, recuperar y/o producir y transportar los Productos Mineros, siendo su objeto la explotación comercial de los Derechos Mineros.<br> **/pp/** "**Regalía**": Se define en la letra /b/ de la <u>Sección Diez. Cuatro</u> del Contrato de Exploración y Promesa.<br> **/qq/** "**Reserva**": Se define en la <u>Sección Dieciséis. Uno</u> del Contrato de Exploración y Promesa y en los estatutos de la SCM.<br> **/rr/** "**SCM**": Se define en la comparecencia de este Pacto.<br> **/ss/** "**Socios**": Se define como los titulares de las Acciones al momento de la constitución de la SCM - KM y SQM- y los terceros que adquieran acciones de la SCM en virtud de transferencias realizadas por KM y SQM de acuerdo a lo dispuesto en este Pacto.<br> **/tt/** "**Socio Vendedor**": Se define en la letra /a/ de la <u>Sección Doce. Tres</u>.<br> **/uu/** "**Socio Destinatario**": Se define en la letra /a/ de la <u>Sección Doce. Tres</u>.<br> **/vv/** "**SQM**": Se define en la comparecencia de este Pacto.<br> **/ww/** "**Sustancias No Metálicas**": Se define en la letra /c/ de la <u>Sección Dieciséis. Uno</u> del Contrato de Exploración y Promesa.<br> **/xx/** "**Usufructo**": Según se define en la letra /a/ de la <u>Sección Dieciséis. Tres</u> del Contrato de Exploración y Promesa. | &nbsp;&nbsp;detailed description of the Exploration activities or proposed Operations, also containing a list and outline of the main items in the Mining Budget for such activities, the estimated costs or expenses and estimated the maximum term for the Partners to make their respective contributions to this program financing;<br>**/oo/** "**Mining Project**" means the aggregate of Mining Assets, Mining Rights, works and installations for extracting, treating and processing obtained, recovered or produced mineral resources, and transporting the Mining Products, all aimed at the commercial exploitation of the Mining Rights;<br> **/pp/** "**Royalty**" is defined in Item /b/ of <u>Section 10.4</u> of the Exploration Agreement and Promise;<br>**/qq/** "**Reserve**" is defined in <u>Section 16.1</u> of the Exploration Agreement and Promise, and in the SCM's Articles of Incorporation;<br> **/rr/** "**SCM**" is defined in the preamble hereof;<br>**/ss/** "**Partners**" are defined as the holders of the Shares in the SCM upon incorporation thereof, i.e. KM and SQM, and any third parties purchasing shares in the SCM by virtue of transfers by KM or SQM, as provided herein;<br>**/tt/** "**Selling Partner**" is defined in Item /a/ of <u>Section 12.3</u>;<br>**/uu/** "**Recipient Partner**" is defined in Item /a/ of <u>Section 12.3</u>;<br> **/vv/** "**SQM**" is defined in the preamble hereof;<br>**/ww/** "**Non-Metallic Substances**" are defined in Item /c/ of <u>Section 16.1</u> of the Exploration Agreement and Promise, and<br>**/xx/** "**Usufruct**" is defined in Item /a/ of <u>Section 16.3</u> of the Exploration Agreement and Promise.<br>|

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[Translation on the right] 9/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>Dos. Dos</u>. Interpretación.**<br> En este Pacto se entenderá, salvo que el contexto requiera algo distinto, lo siguiente:<br> **/a/** los títulos sirven sólo para mayor conveniencia y no afectarán la interpretación de este Pacto;<br>**/b/** a menos que se especifique lo contrario, las referencias a "Cláusulas", "Secciones". y "Anexos" constituyen referencias a las cláusulas, secciones, subsecciones y anexos de este Pacto;<br> **/c/** la referencia a plural tendrá el mismo significado que el singular definido precedentemente, y viceversa; y<br>**/d/** la referencia a cualquier documento o convenio, incluyendo este Pacto, debe entenderse que incluye las referencias a tal documento o convenio, según sea modificado, complementado o sustituido de tiempo en tiempo, si tal modificación, complemento o sustitución está específicamente autorizada por este Pacto de conformidad con sus términos, y según sea aplicable, sujeto al cumplimiento de los requisitos contenidos en aquél.<br>**<u>Dos. Tres</u>. Vencimiento de plazos.**<br> En el caso que un plazo venciere un día sábado, domingo o festivo, el plazo se prorrogará hasta el Día Hábil inmediatamente siguiente.<br>**<u>TERCERO</u>: OBJETO DEL PACTO DE<br> SOCIOS**.<br> En este acto, los comparecientes suscriben el presente Pacto, mediante el cual regirán sus relaciones como titulares de Acciones de la SCM y otras materias de su interés, en conformidad a las estipulaciones y disposiciones que se establecen a continuación.<br> Sin perjuicio de las estipulaciones siguientes, y del fiel cumplimiento de todas y cada una de las obligaciones que resulten para los Socios en su calidad de tales, de un modo especial se comprometen a respetar los siguientes principios y deberes particulares: /a/ | &nbsp;&nbsp;**<u>2.2</u>. Interpretation:**<br> Unless the context required otherwise, the interpretation hereof shall consider:<br> **/a/** that all titles have only been inserted by way of convenience and shall not affect the interpretation hereof;<br>**/b/** that, unless otherwise specified, any references to "Clauses", "Sections" or "Appendices" shall refer to clauses, sections or subsections hereof, or appendices hereto;<br>**/c/** that any plural forms shall have the same meaning as their respective previously defined singular forms, and vice versa, and<br> **/d/** that any references to documents or agreements, including this Agreement, shall be deemed as including references to any eventual amendments or addenda thereto, as well as replacements thereof, provided that such amendments, addenda or replacements were specifically authorized herein, according to the terms hereof, as applicable, and conditioned to meeting any and all requirements contained therein.<br>**<u>2.3</u> Deadlines:**<br> If any terms ended on a Saturday, Sunday or holiday, the deadlines shall be postponed until the immediately following Business Day.<br>**<u>THIRD</u> - PURPOSE OF THE<br> PARTNERSHIP AGREEMENT:**<br> The appearing parties hereby execute this Agreement, whereby they shall govern their relationships as holders of Shares in the SCM and other matters of their interest, per the stipulations and provisions defined hereinafter.<br>Notwithstanding the following stipulations and the true compliance of each and every obligation resulting for the Partners as such, the Parties specially commit to respect the following principles and particular duties: |

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[Translation on the right] 10/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| <br> **/a/** fin de optimizar la administración y operación de la SCM, las Partes convienen en colaborar mutuamente y se comprometen a emplear sus mejores esfuerzos en orden a asegurar que la administración y operación de la SCM sean ejecutadas en la forma más eficiente posible para beneficio y éxito del negocio. Cada uno de los Socios instruirá a sus representantes y directores de la SCM de un modo que dé plena vigencia y efecto a las disposiciones de este Pacto.<br> **/b/** La SCM será administrada de modo que:<br> **-i-** actúe independientemente de los intereses particulares y de los negocios de cada Socio;<br> **-ii-** genere utilidades para los Socios;<br> **-iii-** se asegure de que las operaciones entre la SCM y cualquiera de sus Socios y Personas Relacionadas se ajusten a condiciones de equidad similares a los que habitualmente prevalecen en el mercado;<br> **-iv-** no se vulneren ni se tome provecho indebido o ilegal de los secretos profesionales y de la información confidencial de la SCM en perjuicio de esta última, aún más allá del término de las relaciones laborales de sus empleados y/o término de las participaciones accionarias de los Socios;<br> **-v-** no haga uso ni explote las denominaciones, marcas comerciales o razones sociales de sus Socios, sin el consentimiento previo y por escrito del respectivo Socio; y<br> **-vi-** siempre privilegie el beneficio de los Socios mediante la obtención de utilidades de la SCM y su distribución a través de dividendos.<br>**<u>CUARTO</u>: EXTENSIÓN DE ESTE ACUERDO**.<br> El presente Pacto se aplica tanto a las Acciones que cada una de las Partes tiene actualmente en la SCM como a las que cualquiera de las Partes adquiera en el futuro a cualquier título.<br>| &nbsp;&nbsp;**/a/** In order to optimize the SCM's administration and operation, the Parties hereby agree to mutually cooperate and make their best efforts to ensure that the SCM's administration and operation are as efficient as possible for the benefit and success of the business, and to instruct their respective representatives and directors in the SCM in a way that gives full validity and effectiveness to the provisions hereof, and<br>**/b/** the SCM shall be managed so:<br> **-i-** as to act independently from each Partner's particular interests and business;<br> **-ii-** as to yield profits for the Partners;<br> **-iii-** as to ensure that the operations between the SCM and any of its Partners and Related Persons adjust to arm's length similar conditions to those usually prevailing in the market;<br>**-iv-** as to ensure that no confidential information or professional secrets are broken or illegally used to the detriment thereof, even after the end of any labour relationships or the Partners' shareholdings;<br>**-v-** as not to use, or benefit from, its Partner's sales descriptions, trademarks or corporate names, without the respective Partner's prior and written consent, and<br> **-vi-** as to always privilege the Partners' benefit by yielding profits for the SCM's and distributing them as dividends.<br>**<u>FOURTH</u> - EXTENSION OF THIS AGREEMENT:**<br> This Agreement shall apply to both the Shares currently held by each Party in the SCM and those that either one may acquire in the future for any consideration. |

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[Translation on the right] 11/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| <br> **<u>QUINTO</u>: RELACIÓN ENTRE LAS PARTES Y OTRAS ACTIVIDADES**.<br> **<u>Cinco. Uno</u>. Relación entre las Partes.**<br> Ninguna de las Partes tendrá facultad para actuar en representación o asumir cualquier obligación o responsabilidad por cuenta de la otra Parte, salvo lo que expresamente se faculta en este instrumento.<br> Los derechos, deberes, obligaciones y responsabilidades de las Partes serán individuales y no conjuntas o solidarias. Cada Parte será responsable sólo por sus obligaciones y por su participación en los costos y gastos, según se estipula en este instrumento.<br> **<u>Cinco. Dos</u>. Actividades fuera del Área.**<br> Cada una de las Partes tendrá el libre e irrestricto derecho de dedicarse, en forma independiente, y/o en representación de terceros, a su propio negocio y a recibir todos los beneficios de cualquier negocio que esté fuera de los límites del perímetro del Área sin consultar a la otra Parte o invitar o permitir que participe la otra Parte.<br>**<u>SEXTO</u>: INTERÉS SOCIAL.**<br> **<u>Seis. Uno</u>. Interés social, series de acciones y preferencia.**<br> El interés social en la SCM estará dividido en [●] acciones, las que se distribuirán en dos series de acciones de la siguiente forma:<br> **/a/ [**●] acciones de la <u>Serie A</u>, representarán el ochenta por ciento del interés social, no tendrán preferencia alguna y pertenecerán a KM; y<br> **/b/** [●] acciones de la <u>Serie B</u>, representarán el veinte por ciento del interés social, tendrán la preferencia que se indica a continuación y pertenecerán a SQM. | &nbsp;&nbsp;**<u>FIFTH</u> - RELATIONSHIP BETWEEN THE PARTIES AND OTHER ACTIVITIES**:<br> **<u>5.1</u>. Relationship between the Parties:**<br> Unless as expressly authorized herein, neither Party may act for, or undertake any obligations or responsibilities on behalf of, the other.<br>The Parties' rights, duties, obligations and responsibilities shall be individual and not joint or several. Each Party shall only be responsible for its own obligations and participation in the costs and expenses, as stipulated herein.<br>**<u>5.2</u>. Activities Outside the Area:**<br> Each Party shall be freely and unlimitedly entitled to independently, or on behalf of any third parties, conduct its own business, and receive all benefits from any businesses outside the boundaries of the Area, without either consulting the other Party, or inviting or permitting the participation thereof.<br>**SIXTH - CORPORATE <u>INTEREST</u>:**<br> **<u>6.1</u>. Corporate Interest, Share Series and Preference:**<br> The corporate interest in the SCM shall be divided into E●] shares, distributed in two series as follows:<br>**/a/** E●] <u>Series A</u> shares, representing 80% of the company's equity, with no preference whatsoever and belonging to KM, and<br>**/b/** E●] <u>Series B</u> shares, representing 20% of the company's capital, with the preference provided hereinafter and belonging to SQM.<br>|

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[Translation on the right] 12/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>Seis. Dos</u>. Preferencia de las acciones de la Serie B.**<br> La preferencia de las acciones de la <u>Serie B</u> consiste en que no perderán su participación del veinte por ciento en el interés social de la SCM y no podrán ser diluidas por causa alguna, quedando por lo tanto eximidas de ejecutar cualquier acto para mantener tal participación y no ser diluidas como, por ejemplo:<br> **/a/** concurrir a los aportes o aumentos de capital a la SCM;<br> **/b/** contribuir a los gastos de la SCM, de cualquier tipo o naturaleza que estos sean; y/o<br>**/c/** otorgar financiamiento de cualquier tipo o naturaleza a la SCM.<br> Con motivo de lo anterior, KM será responsable por todo y cualquier costo y gasto de la SCM, y al hacerlo tendrá la responsabilidad de dejar libre de toda deuda a la SCM, sin que dichos costos y gastos constituyan deuda ni obligación alguna para SQM ni para la SCM.<br> Por lo tanto, únicamente KM, sin diluir la participación de SQM en la SCM, aportará o contribuirá a la SCM todos los fondos necesarios para el desarrollo de las actividades de la SCM y responderá de todo costo, gasto y pérdida de la SCM.<br> **<u>Seis. Tres</u>. Extinción de la preferencia de la Serie B.**<br> Sujeto al cumplimiento de las condiciones y términos de los Estatutos Sociales y del Pacto, y a que la SCM no tenga deuda alguna pendiente de pago, devengada y/o pendiente de devengarse, la preferencia de las acciones Serie B se extinguirá al día siguiente a la aprobación del Estudio de Factibilidad por parte del Directorio.<br> **<u>SÉPTIMO</u>: ADMINISTRACIÓN**.<br> **<u>Siete. Uno</u>. Directorio**.<br> **/a/** La SCM será administrada por un<br>| &nbsp;&nbsp;**<u>6.2.</u> Preference of Series B Shares:**<br>The <u>Series-B</u> share preference shall consist in that the holder of these shares shall not lose its 20% interest in the SCM, the shares may not be diluted for any reasons, and hence, the holder thereof shall be exempt from doing anything to keep the aforesaid interest and not have its shares diluted, such as, for instance:<br> **/a/** participating in any contributions to, or increases of, the SCM's capital;<br> **/b/** contributing to the SCM's expenses, whatever their type or nature, or<br> **/c/** financing the SCM in any way.<br>Consequently, KM shall be responsible for any and all of the SCM's costs and expenses, and hence, for keeping the SCM free of any debts, so that none of such costs and expenses ever become a debt or obligation of SQM or the SCM.<br>Therefore, without diluting SQM's interest in the SCM, only KM shall contribute all of the funds needed by the SCM for performing its activities, and respond for all of the SCM's costs, expenses and losses.<br>**<u>6.3.</u> Extinction of the Series B Preference:**<br>Subject to compliance with the conditions and terms of the Articles of Incorporation and the Partnership Agreement, and provided the SCM had no outstanding debts, whether accrued or pending accrual, the preference of the Series B shares shall be extinguished on the day after the Board's approval of the Feasibility Study.<br>**<u>SEVENTH</u> – ADMINISTRATION:**<br> **<u>7.1</u>. Board of Directors**:<br> **/a/** The SCM shall be administered by a<br>|

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[Translation on the right] 13/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| directorio, en adelante el "**Directorio**", que estará integrado por tres miembros titulares y tres suplentes, los que podrán ser socios o no.<br>**/b/** KM nombrará a dos directores titulares y a dos directores suplentes.<br> **/c/** SQM nombrará a un director titular y a un director suplente.<br> **/d/** SQM, independiente de su participación accionaria y en tanto mantenga una participación de a lo menos el 5% de las acciones en la SCM, podrá designar siempre a un director titular y a un director suplente. En el evento que no tenga derecho a designarlo, podrá designar a un apoderado para que participe en las sesiones del Directorio con los mismos derechos que los demás directores, con excepción del derecho a voto.<br> **<u>Siete. Dos</u>. Sesiones de Directorio.**<br> **/a/** El Directorio se reunirá periódicamente en los días y hora que el mismo acuerde, a lo menos trimestralmente, sin perjuicio de celebrar reuniones especiales cuando sean citados por su presidente o a requerimiento de uno o más directores. Salvo acuerdo por la unanimidad de los directores, las reuniones se efectuarán en el domicilio social.<br> **/b/** En las reuniones de Directorio solo se conocerán aquellas materias indicadas expresamente en la citación que efectúe el presidente del Directorio, a menos que la unanimidad de los directores en ejercicio acuerde conocer alguna materia no contenida en la citación correspondiente.<br> **<u>Siete. Tres</u>. Quorum de constitución.**<br> Las reuniones del Directorio se constituirán con la asistencia de dos directores a lo menos, debiendo el director designado por SQM ser siempre uno de dichos asistentes.<br> **<u>Siete. Cuatro</u>. Quorum para acuerdos del Directorio.**<br> Los acuerdos del Directorio requerirán mayoría absoluta de sus miembros presentes | &nbsp;&nbsp;Board of Directors, hereinafter called the "**Board**", to be formed by three regular and three alternate members, who may or may not be partners;<br> **/b/** KM shall designate two regular and two alternate directors;<br> **/c/** SQM shall designate one regular and one alternate directors, and<br> **/d/** Regardless of SQM's shareholding and as long as it keeps an interest of at least 5% of the shares in the SCM, SQM may always designate a regular and an alternate board member. In the event that it were not entitled to such appointments, it may designate an agent to participate in the Board meetings with the same rights as the other directors, except for the voting right.<br>**<u>7.2</u> Meetings of the Board of Directors:**<br> **/a/** The Board of Directors shall meet regularly and at least quarterly, on days and at times agreed by them, without limiting any special meetings called by the Chair or at the request of one or more directors, and with all such meetings held at the corporate headquarters, unless unanimously agreed otherwise by the Board;<br>**/b/** Only matters expressly stated in the Chair's call shall be addressed at Board meetings, unless all of the directors on duty agreed to discuss any matters not included in the corresponding call;<br>**<u>7.3.</u> Quorum for Meetings:**<br> The Board meetings shall be validly held with at least two attending directors, provided that one of them were SQM's appointee.<br>**<u>7.4.</u> Quorum for Board Resolutions:**<br>Board resolutions shall require the approval by simple majority of the attending members |

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[Translation on the right] 14/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| con derecho a voto. En caso de empate, el presidente tendrá voto dirimente y no tendrá aplicación lo dispuesto en el inciso final del artículo ciento ochenta y ocho del Código de Minería. Sin perjuicio de lo anterior, se requerirá necesariamente de la aprobación del director elegido por SQM para:<br> **/a/** vender o enajenar, o ceder el uso o goce a cualquier título de todo o parte de los Derechos Mineros;<br>**/b/** constituir derechos reales, que no sean garantías;<br> **/c/** constituir regalías;<br> **/d/** otorgar garantías reales o personales para caucionar obligaciones de las filiales de la SCM;<br>**/e/** contratar nuevas deudas, asumir obligaciones o celebrar cualquier acto o contrato que comprometa la capacidad financiera de la SCM, ya sea en forma directa o indirecta, por un monto superior a un millón de Dólares;<br> **/f/** celebrar operaciones con Personas Relacionadas en condiciones distintas de las que prevalecen en el mercado;<br> **/g/** celebrar contratos de agencia para comercializar los Productos Mineros de la SCM a condiciones distintas de mercado;<br> **/h/** llevar a cabo inversiones ajenas al desarrollo y explotación de los Derechos Mineros;<br> **/i/** determinar la política de dividendos de la SCM y la declaración y distribución de cualquier dividendo, ya sea en calidad de provisorio o definitivo, cuando ello resulte en una cantidad inferior al treinta por ciento de las utilidades líquidas de cada ejercicio;<br> **/j/** solicitar el inicio de un procedimiento concursal de reorganización o liquidación forzosa;<br> **/k/** designar y remover a los auditores externos;<br>**/l/** aprobar o implementar cambios materiales en los principios de auditoría o principios<br>| &nbsp;&nbsp;with voting right. In cases of tie, the Chair shall have a casting vote, and the provisions of the last subparagraph of Article 188 of the Mining Code shall not apply. Notwithstanding the foregoing, the approval of the director elected by SQM shall be required:<br>**/a/** to sell, dispose of, or assign the use or enjoyment of all or any part of the Mining Rights, for whatever consideration;<br> **/b/** to establish rights in rem that were not guarantees;<br> **/c/** to establish royalties;<br> **/d/** to give any real or personal guarantees for securing obligations of any of the SCM's subsidiaries;<br> **/e/** to take new debts, assume obligations, or enter into any acts, contracts or agreements, directly or indirectly compromising the SCM's financial capacity, for any amounts exceeding USD 1,000,000;<br>**/f/** to enter into any transactions with Related Persons in conditions other than those prevailing in the market;<br> **/g/** to enter into any agency agreements for trading the SCM's mining products in conditions other than at arm's length;<br> **/h/** to make any investments other than in developing and exploiting the Mining Rights;<br>**/i/** to determine the SCM's dividend policy, and the filing and distribution of any provisional or final dividends, whenever they represented less than 30% of the net profits of any fiscal period;<br>**/j/** to request the start of reorganization bankruptcy or forced liquidation proceedings;<br>**/k/** to designate and remove any external auditors;<br> **/l/** to approve or implement any material changes to the audit or accounting principles<br>|

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[Translation on the right] 15/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| contables que deben ser aplicados por la SCM;<br> **/m/** aprobar la colocación en bolsa de valores de las acciones de la SCM;<br> **/n/** aprobar el estudio de pre-factibilidad y/o el Estudio de Factibilidad, y el financiamiento para realizar el desarrollo del Proyecto Minero;<br> **/o/** aprobar el Programa de Trabajo, el Presupuesto Minero, el presupuesto anual de la SCM y/o cualquiera de sus modificaciones; <br> **/p/** autorizar cualquier gasto o inversión no incluida en el presupuesto que exceda de un millón de Dólares;<br> **/q/** adoptar cualquier decisión con respecto a la Reserva, Regalía, Hipoteca y Prohibición SCM, Usufructo y/o Sustancias No Metálicas; y<br> **/r/** Proponer a la Junta de Socios los asuntos que para su acuerdo se requiera la aprobación de SQM.<br> **<u>Siete. Cinco</u>. Gerente General y ejecutivos.**<br> **/a/** El Gerente General deberá:<br> **-i-** someter a la aprobación del Directorio todos aquellos asuntos o materias que por su naturaleza o importancia presenten características de extraordinarios o trasciendan las facultades normales u ordinarias de administración;<br> **-ii-** presentar a los directores estados de cuenta mensuales que reflejen los gastos efectuados en el desarrollo de su gestión; e<br> **-iii-** informar al Directorio de todas las operaciones con Personas Relacionadas.<br> **/b/** Los demás gerentes, sub-gerentes y ejecutivos principales de la SCM serán designados por el Directorio a proposición del Gerente General.<br>**/c/** El cargo de Gerente General y de cualquier otro gerente será incompatible con el de presidente, contador o auditor de la SCM. | &nbsp;&nbsp;to be applied by the SCM;<br> **/m/** to approve the stock-exchange listing of the SCM's shares;<br> **/n/** to approve the pre-feasibility or Feasibility Study, and financing of the Mining Project;<br>**/o/** to approve the Work Program, the Mining Budget, the SCM's annual budget, or any modifications thereto;<br>**/p/** to authorize any expenses or investments not included in the budget and exceeding USD 1,000,000;<br> **/q/** to make any decisions regarding the Reserve, Royalty, Mortgage and Restriction, Usufruct, or Non-Metallic Substances, and<br> **/r/** to propose matters requiring SQM's approval for resolution to any Partners' Meetings.<br> **<u>7.5.</u> General Manager and Executives:**<br>**/a/** The General Manager shall:<br> **-i-** submit all issues or matters extraordinary or exceeding the normal or ordinary administration powers because of their nature or importance, for the Board's approval;<br>**-ii-** monthly account to the board members in writing on all expenses incurred in the course of his or her management, and<br> **-iii-** inform the Board of all transactions with Related Persons;<br> **/b/** The rest of the managers, as well as all assistant managers and top executives, of the SCM shall be appointed by the Board at the General Manager's proposal, and<br> **/c/** None of the individuals holding the General Manager or any other managerial positions may be the SCM's Chair, or an accountant or auditor thereof. |

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[Translation on the right] 16/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>OCTAVO</u>: JUNTAS DE SOCIOS.**<br> **<u>Ocho. Uno</u>. Sesiones de la Junta de Socios.**<br> Los socios se reunirán anualmente en junta ordinaria, en la fecha que el Directorio determine, dentro del primer cuatrimestre de cada año, y en junta extraordinaria cuando el presidente la cite a requerimiento de cualquier Socio.<br> **<u>Ocho. Dos</u>. Quorum de constitución.**<br> Las Juntas de Socios se constituirán con la asistencia de la mayoría absoluta de las Acciones, debiendo SQM ser siempre uno de dichos asistentes.<br> **<u>Ocho. Tres</u>. Quorum para los acuerdos de la Junta de Socios.**<br> Los acuerdos de las Juntas de Socios, tanto ordinarias como extraordinarias, se adoptarán con la mayoría absoluta de las acciones suscritas y pagadas que se encuentren representadas en la Junta de Socios.<br> Sin perjuicio de lo anterior, se requerirá necesariamente de la aprobación de SQM para los acuerdos relativos a las siguientes materias:<br> **/a/** la disolución anticipada de la SCM, su transformación, división o fusión;<br> **/b/** la modificación de los Estatutos Sociales; <br> **/c/** la aprobación de aportes y estimación de bienes no consistentes en dinero;<br> **/d/** la enajenación del 50% o más de su activo, sea que incluya o no su pasivo, lo que se determinará conforme al balance del ejercicio anterior, y la formulación o modificación de cualquier plan de negocios que contemple la enajenación de activos por un monto que supere dicho porcentaje;<br> **/e/** la celebración de los actos y ejecución de los actos que se señalan en los artículos 169 y 189 del Código de Minería.<br> **/f/** el otorgamiento de garantías reales o personales para caucionar obligaciones de terceros; | &nbsp;&nbsp;**<u>EIGHTH</u> - PARTNERS' MEETINGS:**<br> **<u>8.1</u>. Partners' Meetings:**<br> The partners shall hold annual ordinary meetings on a date set by the Board within the first four months of each year, and extraordinary meetings whenever called by the Chair at any Partner's request.<br> **<u>8.2</u>. Quorum:**<br> Partners' Meetings shall be validly held with the attendance of a simple majority of Shares and SQM must always be present.<br>**<u>8.3</u>. Quorum for Resolutions in Partners' Meeting:**<br>Ordinary and extraordinary Partners' Meetings shall adopt resolutions with the simple majority of the subscribed and paid-up shares represented.<br>Notwithstanding the foregoing, SQM's approval shall be required to decide on the following matters:<br>**/a/** early dissolving, transforming, splitting-up or merging the SCM;<br> **/b/** amending the Articles of Incorporation;<br> **/c/** approving contributions and estimating non-cash assets;<br> **/d/** disposing of 50% or more of its assets, whether or not including its liabilities, which shall be determined per the balance sheet of the previous fiscal period, and creating or modifying any business plans comprising the disposal of assets for an amount exceeding the aforesaid percentage;<br>**/e/** entering into and executing any of the acts stated in Articles 169 and 189 of the Mining Code.<br>**/f/** giving any real or personal guarantees to secure third party's obligations; |

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[Translation on the right] 17/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **/g/** la decisión de externalizar o tercerizar la explotación del Proyecto Minero;<br> **/h/** la formación de sociedades filiales o adquisición de participación en otras sociedades;<br> **/i/** la formación de fondos de reserva, salvo los que sean exigidos por la ley;<br> **/j/** Aprobar las demás materias indicadas en el artículo sesenta y siete de la Ley N° 18.046 sobre Sociedades Anónimas.<br> **<u>NOVENO</u>: COMITÉ TÉCNICO.**<br> **<u>Nueve. Uno</u>. Comité Técnico**.<br> **/a/** La SCM contará también con un comité técnico, en adelante el "**Comité Técnico**", que estará formado por cuatro miembros titulares y sus correspondientes suplentes, de los cuales dos miembros titulares y sus correspondientes suplentes serán nombrados por KM y dos miembros titulares y sus correspondientes suplentes serán nombrados por SQM. Uno de los miembros designados por KM deberá ser el Gerente General, quien presidirá el Comité Técnico.<br> **/b/** Las materias que considerará el Comité Técnico serán fundamentalmente de orden técnico y no serán objeto de votación.<br> **/c/** El Comité Técnico dejará de existir tan pronto como KM o SQM se diluyan en o a menos de un diez por ciento del interés social.<br> **<u>Nueve. Dos</u>. Función.**<br> Sin perjuicio de las facultades privativas del Directorio y del Gerente General, es función del Comité Técnico:<br> **/a/** la dirección, revisión para su presentación al Directorio del estudio de pre-factibilidad, del Estudio de Factibilidad, de los Programas de Trabajo y del Presupuesto; y<br> **/b/** el análisis periódico y sistemático de las Operaciones, del Programa de Trabajo y del Presupuesto para facilitar la toma de decisiones en forma oportuna por parte del Socio que los haya designado. | &nbsp;&nbsp;**/g/** deciding on outsourcing or externalizing the exploitation of the Mining Project;<br> **/h/** creating any subsidiaries or purchasing any interests in other companies;<br>**/i/** creating any reserve funds other than those required by law, and<br> **/j/** approving any of the other matters provided in Article 67 of the Companies Law No. 18,046.<br>**<u>NINTH</u> - <u>TECHNICAL</u> COMMITTEE:**<br> **<u>9.1</u>. Technical Committee**:<br> **/a/** The SCM shall also have a technical committee, hereinafter called the "**Technical Committee**", to be formed by four regular members and their corresponding alternates, with two of each appointed by KM, and two of each by SQM, and one of the members designated by KM being the General Manager, who shall chair the Technical Committee;<br>**/b/** The matters to be considered by the Technical Committee shall be basically technical and shall not be voted, and<br>**/c/** The Technical Committee shall cease to exist as soon as KM or SQM diluted their equity to 10% or less.<br> **<u>9.2.</u> Duties:**<br> Notwithstanding the exclusive powers of the Board of Directors and the General Manager, the Technical Committee shall be in charge:<br> **/a/** of the governance, and reviewing the prefeasibility Study, the Feasibility Study, the Work Programs and Budget for submittal to the Board, and<br> **/b/** of the periodical and systematic analysis of the Operations, Work Program and Budget to facilitate a timely decision-making by their respective appointing Partners. |

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[Translation on the right] 18/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>Nueve. Tres</u>. Reuniones.**<br> **/a/** El Comité Técnico celebrará reuniones ordinarias, cada tres meses, en el lugar y fecha que acuerden los Socios - sin perjuicio de que puedan realizarse por videoconferencia-, y serán convocadas por el Gerente General, debiendo citar a sus miembros con diez días corridos de anticipación. Además, cualquiera de sus miembros podrá solicitar al Gerente General que se convoque a una reunión extraordinaria, a la cual citará con quince días corridos de anticipación. En caso de emergencia, bastará un aviso dado con una anticipación razonable.<br> **/b/** Cada convocatoria a reunión incluirá una tabla detallada preparada por el Gerente General, en caso de una reunión ordinaria, o por el miembro que convoque a la reunión, en caso de una reunión extraordinaria, pero cualquier asunto podrá ser considerado con el consentimiento de todos los asistentes.<br> **/c/** El quorum de constitución de una reunión será al menos la asistencia de un miembro en representación de cada Socio. <br> **/d/** El Gerente General levantará un acta y la distribuirá a los demás miembros dentro de los diez siguientes a su realización. Una vez firmada por todos los asistentes, el acta será el registro oficial de las decisiones tomadas por el Comité Técnico.<br>**<u>DÉCIMO</u>: OPERADOR**.<br> **<u>Diez. Uno</u>. Operador.**<br> KM será el operador del Proyecto Minero, en adelante el "**Operador**". La SCM suscribirá un contrato con el Operador con el objeto de regular los derechos y obligaciones de las Partes, según las prácticas y estándares habituales de la industria para contratos de esta naturaleza, en adelante el "**Contrato de Operaciones**". En el evento de no suscribirse el Contrato de Operaciones, la función del Operador la llevará la misma SCM. | &nbsp;&nbsp;**<u>9.3.</u> Meetings:**<br> **/a/** The Technical Committee shall meet in ordinary meetings every three months, at the place and on the date agreed by the Partners, notwithstanding that they may be held by video conference; the General Manager shall call the members to any meetings 10 calendar days in advance thereof, and additionally, any of the members may request the General Manager to call an extraordinary meeting, for which purpose a call notice shall be sent 15 calendar days in advance, though in emergencies, a notice given with reasonable advance shall suffice;<br> **/b/** Each meeting call shall include a detailed agenda prepared by the General Manager for ordinary meetings, or by the member calling the meeting for extraordinary meetings, but any other issues may be addressed with the consent of all attending members;<br>**/c/** The quorum for validly holding meetings shall be at least one attending member per Partner, and<br>**/d/** The General Manager shall prepare minutes and distribute them to the other members within 10 days of each meeting, and once signed by all members present, these minutes shall be the official record of the Technical Committee's decisions.<br>**<u>TENTH</u> - OPERATOR:**<br> **<u>10.1</u>. Operator:**<br> KM shall be the operator of the Mining Project, hereinafter called the "**Operator**", and the SCM shall execute an agreement with the Operator to govern the Parties' rights and obligations, per the usual practices and standards in the industry for agreements of this kind, hereinafter called the "**Operations Agreement**". Should the Operations Agreement not be executed, the SCM itself shall undertake the Operator's duties. |

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[Translation on the right] 19/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>Diez. Dos</u>. Funciones.**<br> El Operador tendrá a su cargo la administración ordinaria –día a día–, conducción y control de las Operaciones conforme al Programa de Trabajo y al Presupuesto Minero aprobado por el Directorio.<br> Las Operaciones se realizarán, los gastos se incurrirán y los Activos Mineros se adquirirán únicamente según el Programa de Trabajo y el Presupuesto Minero.<br> El Operador responderá de culpa leve ante la SCM y sus Socios por cualquier acto u omisión que resulte en daños, pérdidas, costos, gastos, multas, responsabilidades, acciones, reclamos, demandas o juicios y que le sea imputable.<br> **<u>Diez. Tres</u>. Presentación del Programa de Trabajo y del Presupuesto Minero al Directorio.**<br> El Programa de Trabajo y el Presupuesto Minero, a menos que el Directorio determine lo contrario, cubrirán un periodo de un año calendario.<br> Por lo menos dos meses antes de su vencimiento, el Gerente General preparará y propondrá el Programa de Trabajo y el Presupuesto Minero para el período siguiente, que será presentado al Comité Técnico y al Directorio. En todo caso, el Presupuesto Minero será presentado a más tardar en el mes de septiembre de cada año para efectos de que sea informado a SQM.<br> Cada uno del Programa de Trabajo y Presupuesto Minero, se presentará en forma y con un grado razonable de detalle para permitir que los miembros del Directorio tomen las decisiones pertinentes.<br> El Directorio deberá revisar el Programa de Trabajo y el Presupuesto Minero, y si estima que es adecuado, lo aprobará, sin perjuicio de introducirle cambios si lo estimare necesario. | &nbsp;&nbsp;**<u>10.2.</u> Duties:**<br> The Operator shall be in charge of the ordinary, day-by-day, administration, direction and control of the Operations, in accordance with the Work Program and Mining Budget approved by the Board.<br> The Operations, incurred expenses and purchase of Mining Assets shall be according to the Work Program and Mining Budget.<br>The Operator shall be responsible to the SCM and its Partners for any negligent acts or omissions resulting in damages, losses, costs, expenses, fines, liabilities, actions, claims, lawsuits or trials attributable thereto.<br>**<u>10.3.</u> Submittal of the Work Program and Mining Budget to the Board:**<br>Unless the Board determined otherwise, the Work Program and the Mining Budget shall cover a period of one calendar year.<br> At least two months before their expiration, the General Manager shall prepare and propose a Work Program and a Mining Budget for the next period. These documents shall be submitted to the Technical Committee and the Board. In any case, the Mining Budget shall be submitted within the month of September of each year, so that it may be communicated to SQM.<br>Both the Work Program and the Mining Budget shall be presented in a format and with sufficient details to enable the Board members' decisions.<br>After reviewing the Work Program and the Mining Budget, the Board shall approve them, if deemed adequate, but may also make any changes deemed necessary thereto. |

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[Translation on the right] 20/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **<u>UNDÉCIMO</u>: FASE DE FACTIBILIDAD**.<br> **<u>Once. Uno</u>. Estudio de Factibilidad**.<br> Desde la constitución de la SCM, ésta deberá desarrollar y concluir un Estudio de Factibilidad para ejecutar un Proyecto Minero que concluya que tal proyecto es técnica y económicamente viable, y que se encuentra en estado de financiarse por cualquier banco e institución financiera, pública o privada, fondos de inversión, inversionistas individuales o institucionales, sean nacionales, extranjeros o internacionales, debiendo contener los términos del financiamiento que requiera el Proyecto Minero, según las prácticas de la industria.<br> El Estudio de Factibilidad deberá ser presentado al Directorio en un plazo máximo de tres años contados desde la fecha de la escritura pública de constitución de la SCM.<br> Con motivo de la preferencia de la Acciones pertenecientes a la Serie B, el financiamiento de los gastos que origine el desarrollo y conclusión del estudio de pre-factibilidad y del Estudio de Factibilidad será de costo y cuenta de los Socios que tengan Acciones de la Serie A.<br> **<u>Once. Dos</u>. Presentación y revisión del Estudio de Factibilidad.**<br> El Gerente General presentará al Directorio el Estudio de Factibilidad, adjuntando toda la documentación relacionada a él - incluyendo toda la información, mapas y otra documentación e información relevante-, en forma impresa o digital, para que, en el plazo que va entre los sesenta a ochenta días corridos siguientes, el Directorio se reúna para pronunciarse sobre la aprobación o rechazo del Estudio de Factibilidad.<br> En la referida reunión, el director designado por SQM podrá aprobar el Estudio de Factibilidad o rechazarlo fundadamente.<br> **<u>Once. Tres</u>. Discrepancia**.<br> En caso de que el director designado por<br>| &nbsp;&nbsp;**<u>ELEVENTH</u> - FEASIBILITY STAGE:**<br> **<u>11.1</u>. Feasibility Study:**<br> From its incorporation, the SCM shall conduct and complete a Feasibility Study to implement a Mining Project, concluding that such a project is technically and economically viable, can be financed by any national, foreign or international, public or private banks or financial institutions, investment funds, individual or institutional investors, and containing the financing terms required for the Mining Project, according to industry practice.<br>The Feasibility Study shall be submitted to the Board in a maximum term of three years of the date of the SCM's incorporation.<br>Because of the Series B Share preference, financing the expenses of conducting and completing the prefeasibility study and the Feasibility Study shall be paid and borne by the Partners holding Series A Shares.<br>**<u>11.2.</u> Submittal and Review of the Feasibility Study:**<br>The General Manager shall submit the Feasibility Study for the Board's consideration, enclosing any documents related thereto, and including all printed or digital information, maps and other documents and relevant information, for the Board to approve or reject it, at a meeting held within 60 to 80 calendar days thereafter.<br>At the aforesaid meeting, the SQM-appointed director may approve the Feasibility Study or reject it providing reasons.<br>**<u>11.3</u>. Differences:**<br> If the SQM-appointed director rejected the<br>|

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[Translation on the right] 21/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| SQM rechace el Estudio de Factibilidad, la SCM deberá adoptar, en un plazo de veinte días corridos, una de las siguientes decisiones:<br> **/a/** aceptar las objeciones planteadas por SQM, en cuyo caso deberá entregar una nueva versión del Estudio de Factibilidad corregido en conformidad con ellas, dentro del plazo que acuerden las Partes, el que no podrá ser inferior a un año desde la fecha de aceptación antedicha; o<br> **/b/** rechazar las objeciones planteadas por SQM, en cuyo caso la SCM informará de este hecho a SQM, especificando las objeciones rechazadas y sus motivos.<br> Si la SCM no se pronuncia respecto a las objeciones planteadas por SQM dentro del plazo de veinte días corridos, se entenderá que las acepta.<br> **<u>Once. Cuatro</u>. Resolución de Discrepancias**.<br> Si la SCM rechaza las objeciones planteadas por SQM, las discrepancias serán resueltas de acuerdo a las reglas que se indican a continuación:<br> **/a/** Para efectos de resolver las discrepancias antes indicadas, SQM designará, a su sola elección, una cualquiera de las siguientes empresas o a alguno de sus sucesores: SRK Consulting, Golder Associates, Wood Group y Hatch, en adelante, la "**Empresa Revisora**".<br> **/b/** La Empresa Revisora tendrá un plazo máximo de cuarenta y cinco días corridos contados desde la aceptación del encargo - hecho que comunicará por correo electrónico a SQM y a KM en la misma fecha- para entregar una copia de su informe a cada una de las Partes.<br> **/c/** Si por cualquier causa la Empresa Revisora no completa el informe requerido dentro del plazo antes indicado o no aceptare el encargo dentro del plazo de quince días corridos, entonces, SQM procederá a<br>| &nbsp;&nbsp;Feasibility Study, the SCM may make one of the following decisions, within 20 calendar days:<br>**/a/** to accept SQM's objections, and in this case, submit a new, accordingly amended version of the Feasibility Study, within a term agreed by the Parties, which may not be shorter than one year after the aforesaid acceptance, or<br>**/b/** to reject SQM's objections, and in this case, advise SQM thereof, specifying the rejected objections with reasons.<br>If the SCM failed to accept or reject SQM's objections within 20 calendar days, these shall be deemed accepted.<br>**<u>11.4.</u> Resolution of Discrepancies:**<br> If the SCM rejected SQM's objections, any discrepancies shall be resolved according to the following rules:<br>**/a/** For the purposes of resolving any such discrepancies, SQM shall appoint one of the following companies, or any of their successors, at its own choice: SRK Consulting, Golder Associates, Wood Group and Hatch, hereinafter called the "**Reviewers**";<br> **/b/** The Reviewers shall deliver a copy of their report to each Party, within a maximum term of 45 calendar days of accepting the commission by advising SQM and KM of their acceptance by e-mail on the same date;<br>**/c/** If for any reasons, the Reviewers failed to complete the report required within the aforesaid term or to accept the commission within a term of 15 calendar days, then, SQM shall proceed to designate new Reviewers for<br>|

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[Translation on the right] 22/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| designar a una segunda Empresa Revisora para que lleve a cabo el informe requerido. Esta Empresa Revisora tendrá los mismos plazos señalados en la letra /b/ anterior para evacuar su informe. Para el caso que la segunda Empresa Revisora designada por SQM tampoco completare el informe requerido dentro del plazo antes indicado, o no aceptare el cargo dentro del plazo de quince días corridos, entonces las Partes de común acuerdo designarán a la Empresa Revisora.<br> **/d/** Si en virtud de la revisión, una o más de las objeciones planteadas por SQM son finalmente aceptadas por la Empresa Revisora, la SCM deberá entregar una nueva versión del Estudio de Factibilidad corregido en conformidad con las objeciones en cuestión, dentro del plazo que acuerden las Partes, el que no podrá ser inferior a seis meses desde recibido el resultado de la revisión.<br> **/e/** Si todas las objeciones planteadas por SQM son finalmente rechazadas por la Empresa Revisora, el Estudio de Factibilidad se entenderá por aprobado.<br>**<u>DUODÉCIMO</u>: RESTRICCIONES A LAS TRANSFERENCIAS DE ACCIONES Y DERECHOS PREFERENTES.**<br> **<u>Doce. Uno</u>. Restricciones a las transferencias**.<br> Los Socios se obligan recíprocamente en este acto a someterse a las disposiciones de este Pacto en todo aquello que diga relación con la venta, enajenación, gravamen, cesión y/o transferencia de Acciones.<br> En particular, cada Socio se obliga durante la vigencia de este Pacto, sin el consentimiento del otro Socio, a no enajenar, vender, ceder, transferir, disponer, prendar, dar en depósito, constituir limitaciones o derechos a favor de terceros, o gravar de alguna manera ni a cualquier título ninguna de sus Acciones o de<br>| &nbsp;&nbsp;drafting the required report, within the same periods stated in the preceding Item /b/, and in the event that these new Reviewers also failed to complete the required report within the aforesaid term, or to accept the commission within the term of 15 calendar days, then the Parties shall appoint the Reviewers by mutual agreement;<br>**/d/** If based on the review, one or more of SQM's objections were finally accepted by the Reviewers, the SCM shall deliver a new, accordingly rectified version of the Feasibility Study, within a term agreed by the Parties, which may not be shorter than 6 months after receiving the outcome of the review, and<br>**/e/** If all of SQM's objections are finally rejected by the Reviewers, the Feasibility Study shall be deemed approved.<br>**<u>TWELFTH</u> - <u>SHARE</u> TRANSFER RESTRICTIONS AND PREFERENTIAL RIGHTS:**<br>**<u>12.1</u>. Transfer Restrictions:**<br>The Partners hereby reciprocally commit to submit to the provisions hereof in everything related to the sale, disposal, encumbrance, assignment or transfer of Shares.<br>Particularly, each Partner hereby promises not to, in any way or for any consideration, save per the procedures agreed herein, convey, sell, assign, transfer, dispose of, pledge, give in deposit, or encumber, any of its Shares or options to subscribe for Shares, as applicable, and not to establish any<br>|

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[Translation on the right] 23/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| sus opciones para suscribir Acciones, según sea el caso, salvo conforme a los procedimientos que se acuerden en este Pacto.<br> Sin perjuicio de lo anterior, en el evento que una o más Acciones de KM sean objeto de embargos u otras medidas judiciales o prejudiciales de cualquier tipo, KM inmediatamente obtendrá que sean dejadas sin efecto o sustituidas por otras garantías. En el evento que no lo logre, dentro de los 15 Días Hábiles siguientes al requerimiento de SQM, SQM tendrá el derecho, pero no la obligación, para comprar los Derechos Mineros y la SCM la obligación de vendérselos al precio de cien Dólares cada uno de ellos de la forma que se pacta en la letra /e/ de la <u>Sección Décimo Octava</u> sobre "Derecho Preferente para la compra de los Derechos Mineros".<br> **<u>Doce. Dos</u>. Derecho Preferente de Oferta**.<br> **/a/** En caso de que SQM tenga la intención de vender una parte o el total de sus Acciones, deberá notificársela por escrito a KM, en adelante la "**Comunicación de Intención de Venta**". A continuación, KM - dentro del Periodo del Derecho Preferente de Oferta-tendrá el derecho preferente de hacer una primera oferta firme e irrevocable sobre dicha participación.<br> **/b/** El "**Periodo del Derecho Preferente de Oferta**" comenzará desde la notificación de la Comunicación de Intención de Venta y tendrá una vigencia hasta que ocurra lo primero de lo siguiente:<br> **-i-** Treinta Días Hábiles desde la notificación a KM de la Comunicación de Intención de Venta. Este plazo se extenderá por treinta Días Hábiles adicionales desde que KM comunique la Oferta Preferente a SQM;<br> **-ii-** SQM notifique a KM que rechaza la Oferta Preferente; o<br>**-iii-** Sesenta Días Hábiles desde la notificación a KM de la Comunicación de<br>| &nbsp;&nbsp;limitations or rights in favor of third parties thereon, without the other Partner's consent, while this Agreement is effective.<br> Notwithstanding the foregoing, should one or more of KM's Shares be subject to seizure, or any other trial or pre-trial measures of whatever kind, KM shall immediately have them annulled or replaced by other guarantees. If this were not possible after 15 Business Days of SQM so requesting, the latter shall have the right, but not the obligation, to purchase the Mining Rights, and the SCM shall be bound to sell them thereto, at the price of USD 100 each, in the manner agreed in Item /e/ of <u>Section 18</u> on the "Preferential Right to Purchase Mining Rights."<br>**<u>12.2</u>. Right of Pre-Emption:**<br> **/a/** If SQM intended to sell any part or all of its shares, it shall advise KM in writing, hereinafter called the "**Letter of Intent to Sell**" , and within the period of the Right of Pre-Emption, KM shall have a preferential right to make a first, firm and irrevocable offer on such shareholding;<br>**/b/** The "**Period of the Right of Pre-Emption**" shall begin with forwarding the Letter of Intent to Sell and expire on the earliest of the following occurrences:<br>**-i-** A lapse of 30 Business Days after forwarding the Letter of Intent to Sell to KM, which may be extended for another 30 Business Days of KM sending a Preferential Offer to SQM;<br>**-ii-** SQM communicating its rejection of the Preferential Offer to KM, or<br> **-iii-** A lapse of 60 Business Days after forwarding the Letter of Intent to Sell to KM; |

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[Translation on the right] 24/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| Intención de Venta.<br> **/c/** La **"Oferta Preferente"** deberá ser una oferta de compra, por KM a SQM, escrita, formal, pura y simple respecto de todas las Acciones que SQM haya decido vender.<br> **/d/** SQM deberá responder la Oferta Preferente por escrito en el plazo de 30 Días Hábiles desde que le sea notificada. En caso de que la Oferta Preferente sea rechazada por SQM, ésta tendrá la opción de vender el total de sus Acciones en la SCM según como se estable en la <u>Cláusula Décimo Quinta</u> sobre "Derecho de Venta de la Participación de SQM en la SCM".<br> **/e/** Si no se suscribe una compraventa - de la participación de SQM en la SCM- con un tercero dentro del plazo de un año desde el término del Periodo del Derecho Preferente de Oferta, las Acciones de SQM en la SCM no podrán ser vendidas a un tercero, salvo que sean ofrecidas nuevamente a KM, de acuerdo con la presente Sección.<br> **/f/** Por el contrario, en caso que la Oferta Preferente sea aceptada, KM y SQM deberán suscribir el contrato de compraventa de acciones dentro de los 30 días corridos contados desde la aceptación.<br> **<u>Doce. Tres</u>. Derecho Preferente de Compra**.<br> **/a/** Si KM, en adelante el "**Socio Vendedor**", recibe una oferta formal de buena fe de un tercero - entendiendo por tal una oferta de una persona que no sea Persona Relacionada con el Socio Vendedor, con un interés serio y actual de adquirir las Acciones respectivas, en adelante la "**Oferta del Tercero**"-, para comprar todo o parte de las Acciones del Socio Vendedor, en adelante las "**Acciones Ofertadas**", y el Socio Vendedor tiene intención de vender o enajenar las Acciones respectivas, deberá remitir al otro Socio, en adelante el "**Socio Destinatario**", una comunicación por escrito, en adelante el "**Aviso**", por medio de la cual informará los<br>| &nbsp;&nbsp; <br> **/c/** The **"Preferential Offer"** shall be a written, formal, pure and simple proposal by KM to purchase all of the Shares that SQM had decided to sell;<br>**/d/** SQM shall answer the Preferential Offer in writing within 30 Business Days of receipt, and if rejected, shall have the option of selling all its shares in the SCM as stated in <u>Clause 15</u> on "SQM's Right to Sell its Interest in the SCM";<br>**/e/** If no agreements to purchase of SQM's shares in SQM were executed with any third parties within one year of Right of Pre-Emption having expired, SQM's Shares in the SCM may not be sold to any third parties, without offering them again to KM, per this section, and<br>**/f/** On the contrary, if the Preferential Offer were accepted, KM and SQM shall execute a share purchase agreement within 30 calendar days of acceptance.<br>**<u>12.3</u>. Right of First Refusal:**<br>**/a/** If KM, hereinafter called the "**Selling Partner**", received a formal offer to purchase all or a part of its Shares, hereinafter called the "**Offered Shares**", made in good faith by any third party not Related Person thereto having a firm and actual interest in purchasing such Shares, hereinafter called the "**Third Party's Offer**", and the Selling Partner intended to sell or convey those Shares, the latter shall send a written notice, hereinafter called the "**Notice**", to the other Partner, hereinafter called the "**Recipient Partner**", fully detailing all the information on the Third Party's Offer, attaching a copy thereof, and precisely stating the number of Shares that the third party offered to buy, the purchase |

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[Translation on the right] 25/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| detalles completos e íntegros que conciernen a la Oferta del Tercero, con una copia de la misma, con indicación precisa del número de Acciones que el tercero ofrece comprar, el precio de compra por Acción ofrecido por el tercero y cualquier otro término o condición aplicable a la Oferta del Tercero.<br> **/b/** Una vez dado el Aviso por el Socio Vendedor, el Socio Destinatario tendrá el derecho y la opción irrevocable de comprar todas, y no menos que todas, las Acciones Ofertadas, en los mismos términos y condiciones contenidos en la Oferta del Tercero, en adelante la "**Opción de Compra**".<br> **/c/** Si el Socio Destinatario decide ejercer la Opción de Compra, deberá comunicarlo por escrito al Socio Vendedor, dentro de los treinta Días Hábiles siguientes a la fecha del Aviso, en adelante la "**Aceptación del Socio Destinatario**". La Aceptación del Socio Destinatario deberá ser pura y simple y extenderse a la cantidad de Acciones Ofertadas contenidas en la Oferta del Tercero.<br> **/d/** Ejercida la Opción de Compra por el Socio Destinatario conforme a los párrafos precedentes, la respectiva compraventa entre éste y el Socio Vendedor se celebrará dentro de los noventa Días Hábiles siguientes al vencimiento del plazo indicado en la letra /c/ anterior. Las Acciones Ofertadas deberán transferirse libres de cualquier prenda, gravamen o prohibición de cualquier naturaleza.<br> **/e/** En el evento que el Socio Destinatario no hubiese ejercido la Opción de Compra de conformidad con los párrafos precedentes, el Socio Vendedor podrá libremente venderlas al tercero que efectuó la Oferta del Tercero en términos no más favorables para dicho tercero, en ningún aspecto, condición o estipulación, a los contenidos en la Oferta del Tercero, dentro de los noventa Días Hábiles<br>| &nbsp;&nbsp;price per Share offered and any other terms or conditions applicable to the Third Party's Offer;<br>**/b/** Once the Selling Partner had given the Notice, the Recipient Partner shall have an irrevocable right and option to purchase all, and no less than all, of the Offered Shares, in the same terms and conditions as those of the Third Party's Offer, hereinafter called the "**Purchase Option**";<br>**/c/** If the Recipient Partner decided to exercise the Purchase Option, it shall advise the Selling Partner in writing, within 30 Business Days of the date of the Notice, hereinafter called the "**Recipient Partner's Acceptance**", which shall be pure and simple and for all the Offered Shares of the Third Party's Offer;<br>**/d/** Upon the Recipient Partner exercising the Purchase Option pursuant to the preceding paragraphs, the Selling and Recipient Partners shall execute the pertaining purchase agreement, within 90 Business Days of the term previously stipulated in Item /c/ having expired, and the Offered Shares must be transferred free of pledges, liens or restrictions of any kind;<br>**/e/** Should the Recipient Partner fail to exercise the Purchase Option per the preceding paragraphs, the Selling Partner may freely sell them to the third party that made the Third Party's Offer, in terms no less favorable in any aspects, conditions or stipulations than those contained in the Third Party's Offer, within 90 Business Days the term previously specified in Item /c/ having<br>|

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[Translation on the right] 26/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| siguientes al vencimiento del plazo indicado en la letra /c/ anterior. Si la venta no se materializa dentro dicho plazo, las Acciones Ofertadas no podrán ser vendidas, cedidas o transferidas, salvo que sean ofrecidas nuevamente al Socio Destinatario, de acuerdo con la presente Sección.<br> **/f/** Las ventas, cesiones o transferencias de una parte o la totalidad de las Acciones del Socio Vendedor a un tercero, serán inoponibles al otro Socio si el Socio Vendedor no siguió el procedimiento señalado en esta Sección.<br> **<u>Doce. Cuatro</u>. Pacto de Adhesión en la venta de las Acciones**.<br> **/a/** En caso que KM, en su calidad de Socio mayoritario, decida vender una parte o el total de sus Acciones, SQM tendrá el derecho a que KM incluya en la venta al mismo comprador, la misma proporción de las Acciones que SQM mantenga, en los mismos términos y condiciones de venta por Acción que aquellas convenidas entre KM y el tercero.<br> **/b/** Para estos efectos, KM deberá enviar un aviso por escrito a SQM informándole su intención de vender una parte o el total de sus Acciones y las condiciones de dicha venta. SQM tendrá un plazo de treinta Días Hábiles contados desde dicha notificación para informar a KM de su intención de que las Acciones de su propiedad sean incluidas en dicha venta.<br> **/c/** En el evento de que SQM informe a KM dicha intención, KM dispondrá de un plazo de seis meses para completar dicha venta en los mismos términos señalados en el aviso antes indicado, quedando KM liberado de responsabilidad en el evento que no logre concretar la transacción de venta de sus Acciones y las de SQM a dicho tercero.<br> **/d/** En el evento de que SQM no informe a KM de su intención dentro del plazo de treinta Días Hábiles antes señalado, o bien informe<br>| &nbsp;&nbsp;expired, upon which term, the Offered Shares may not be sold, assigned or transferred, unless they are offered again to the Recipient Partner, as provided in this section, and<br>**/f/** Any sales, assignments or transfers of any part or all of the Selling Partner's Shares to any third parties shall be unenforceable against the other Partner if the Selling Partner did not follow the procedure provided in this section.<br> **<u>12.4</u>. Agreement to Adhere to the Share Sale:**<br>**/a/** If KM decided, as majority Partner, to sell a part or all of its Shares, SQM shall be entitled to have KM include the same proportion of Shares held by SQM, in the sale to the same buyer, in the same terms and conditions of sale per Share as those agreed between KM and the third party;<br>**/b/** For these purposes, KM shall send a written notice to SQM informing the latter of its intention to sell a part or all of its Shares, and the conditions of such sale, and SQM shall have a term of 30 Business Days of receipt thereof to advise KM of its intention to have its own Shares included in the sale;<br>**/c/** If SQM so advised KM, KM shall have a 6 months to complete the sale in the terms specified in the aforesaid notice, with KM being released from liability if it did not manage to close the sale of its own and SQM's Shares to that third party;<br>**/d/** If SQM failed to inform KM of its intention within the aforesaid term of 30 Business Days, or informed its intention not to sell its<br>|

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[Translation on the right] 27/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| su intención de no vender sus Acciones, KM estará facultado para vender, dentro del plazo de seis meses, todo o parte de sus Acciones sin tener que incluir a SQM en dicha transacción, en los mismos términos contenidos en el aviso enviado a SQM.<br> **/e/** Si por cualquier motivo, KM no cumple con lo convenido en esta Sección y vende un porcentaje o el total de sus Acciones sin incluir la prorrata de las Acciones de propiedad de SQM, al mismo comprador y en los mismos términos y condiciones, pese a haber recibido el aviso oportuno y por escrito de SQM informando su intención de ser incluido en dicha venta, KM quedará obligada a comprar a SQM sus Acciones, a simple requerimiento de ésta, en los mismos términos y condiciones de la venta que KM realizó.<br> **<u>Doce. Cinco</u>. Requisitos para la transferencia de Acciones**.<br> Sujeto a que KM esté en cumplimiento de sus obligaciones emanadas del Pacto y al cumplimiento de los requisitos para la transferencia de las Acciones que le sean aplicables, KM podrá vender, ceder, transferir o de cualquier forma disponer de todo o parte de sus Acciones en la medida que además el adquirente cumpla con las siguientes condiciones copulativas:<br> **/a/** que declare, en el contrato que sirve de título a su adquisición, su consentimiento y aceptación respecto del presente Pacto;<br> **/b/** que en el mismo título se obligue a cumplir las obligaciones que la Parte cedente ha contraído en virtud de este Pacto, en los mismos términos y como si este Pacto hubiere sido originalmente celebrado por dicho adquirente.<br> **/c/** que en el mismo título acepte que cualquier posterior venta, cesión, transferencia u otra disposición en relación con las Acciones, estarán sujetos a las mismas restricciones y condiciones contenidas en esta Cláusula; | &nbsp;&nbsp;Shares, KM shall be entitled to sell all or any portion of its Shares, within 6 months, in the terms specified in the notice sent to SQM, without needing to include SQM in the transaction, and<br>**/e/** If for any reason, KM failed to meet the stipulations of this section, and sold a percentage or all of its Shares, without including SQM's *pro rata* number of Shares to the same buyer and in the same terms and conditions, despite having received the prompt written notice of SQM informing its intention to be included in the sale, KM shall be bound to purchase those Shares from SQM, on the latter's mere request, in the same terms and conditions as those of the sale closed by KM.<br>**<u>12.5</u>. Requirements for the Transfer of Shares:**<br> Conditioned to KM having met its obligations hereunder and any applicable requirements for the transfer of Shares, KM may sell, assign, transfer, or in any way dispose of, all or any part of its Shares, provided that the buyer also met the following concurrent conditions:<br>**/a/** that it stated its consent and acceptance hereof in the agreement serving as share certificate;<br>**/b/** that, in the same certificate, it committed to meet all of the assignor's obligations hereunder, in the same terms and as if this Agreement had been originally executed by the buyer;<br>**/c/** that, in the same certificate, it accepted that any subsequent sales, assignments, transfers or other disposals of the Shares shall be subject to the limitations and conditions contained in this clause; |

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| <br> **/d/** que el adquirente o alguna empresa que sea Persona Relacionada con él, no sea productor de carbonato de litio, hidróxido de litio, cloruro de litio, yodo, sales de yodo orgánico e inorgánico, yodo prilado, nitrato de potasio, nitrato sódico potásico o nitrato de sodio;<br> **/e/** que el adquirente mantenga a esa fecha un balance auditado con una condición financiera que permita el cumplimiento de sus obligaciones en este Pacto, lo que será acreditado con la opinión de una firma contable o financiera de reconocido prestigio seleccionada por mutuo acuerdo entre SQM y KM; y<br> **/f/** que apruebe, al momento de efectuarse la venta, cesión, transferencia o disposición, un *due diligence* bajo los estándares FCPA (*Foreign Corrupt Practices Act)* de Estados Unidos y a las Políticas SQM. Este *due diligence* será efectuado por y a costa de SQM. KM, o su respectivo sucesor, y el adquirente cooperarán en el desarrollo de este *due diligence* y otorgarán toda la información que solicite SQM.<br> **<u>Doce. Seis</u>. Aceptación del Pacto por el adquirente**.<br> Como condición para que terceros distintos de Empresas Conectadas de las Partes se incorporen a la SCM, ellos deberán suscribir el presente Pacto y deberá modificarse el mismo en el sentido de hacerlo extensivo a dichas nuevas partes. Para dichos efectos, los terceros que se incorporen a la SCM deberán señalar por escrito que asumen todos y cada uno de los términos, obligaciones y derechos que el Pacto les impone u otorga.<br> **<u>Doce. Siete</u>. Cambio de control**.<br> En caso de ocurrir que un tercero adquiera, directa o indirectamente, el Control de KM - o bien en la sociedad que por parte de KM detente directa o indirectamente participación | &nbsp;&nbsp;**/d/** that neither buyer or any of its Related Persons were a producer of lithium carbonate, lithium hydroxide, lithium chloride, iodine, organic or inorganic iodine salts, prilled iodine, or potassium, sodium-potassium or sodium nitrates;<br>**/e/** that the buyer kept an audited balance sheet as on that date, with a financial position enabling it to meet its obligations hereunder, which shall be certified with the opinion of a prestigious accounting or financial firm selected by mutual agreement between SQM and KM, and<br>**/f/** that, at the time of the sale, assignment, transfer or disposal, the buyer passed a due diligence per the United-States Foreign Corrupt Practices Act (FCPA) standards and SQM's Policies, which shall be conducted by SQM, at its own cost, and KM, or its corresponding successor, and the buyer shall cooperate in this due diligence and provide all of the information that SQM requested.<br> **<u>12.6.</u> The Buyer's Acceptance of the Agreement:**<br> As a condition for including any third parties, other than the Parties' Connected Companies, in the SCM, they must execute this Agreement amended so that it extends thereto. For these purposes, any third party joining the SCM must state in writing that they undertake each and all terms, obligations and rights hereunder.<br>**<u>12.7.</u> Change of Control:**<br> If any third parties were to acquire the direct or indirect Control of KM, or the company holding a direct or indirect interest in the SCM on behalf of KM, such third parties must meet |

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| accionaria en la SCM-, dicho tercero deberá cumplir con los requisitos establecidos en la <u>Sección Doce. Cinco</u>. En cualquier caso de cambio de Control, SQM tendrá el derecho, pero no la obligación, de vender y transferir sus Acciones en la SCM a KM, quien a su vez tendrá la obligación de comprarlas según como se estable en la <u>Cláusula Décimo Quinta</u> sobre "Derecho de Venta de la Participación de SQM en la SCM".<br>**<u>DÉCIMO TERCERO</u>: INFORMES DE LA SCM**.<br> **<u>Trece. Uno</u>. Informe de nuevas exploraciones**.<br> Una vez constituida la SCM, ésta le entregará anualmente a SQM, dentro del primer cuatrimestre de cada año, un reporte referido a las actividades de Exploración desarrolladas en el Área en el año calendario anterior. Este informe, que no tendrá costo para SQM, contendrá - en la medida que fuere aplicable a los trabajos de Exploración realizados- todos sus antecedentes fundantes y toda la información que KM haya obtenido con motivo de ella, incluyendo a modo ejemplar y no limitativo:<br> **/a/** información de las campañas de sondajes realizadas - año, método de perforación, diámetros, metros- y las campañas futuras;<br> **/b/** bases de datos de sondajes, incluyendo tablas "Assays", "Collar", "Survey" y "Lithology";<br> **/c/** bases de datos de zanjas y muestreo superficial;<br> **/d/** ubicación de los sondajes y las zanjas;<br> **/e/** desviación de los sondajes, método usado y frecuencia de medición;<br> **/f/** descripción geológica de los sondajes, incluyendo el lugar donde se encuentran los testigos;<br> **/g/** porcentaje de recuperación de las muestras;<br> **/h/** leyes de las muestras;<br> **/i/** informes del manejo y resguardo de | &nbsp;&nbsp;the requirements defined in <u>Section 12.5.</u> In any cases of change of Control, SQM shall be entitled, but not obliged, to sell and transfer its shares in the SCM to KM, which in turn shall be bound to buy them as stated in <u>Clause 15</u> on "SQM's Right to Sell its Shares in the SCM".<br>**THIRTEENTH - THE SCM's REPORTS:**<br>**<u>13.1.</u> Report on New Explorations:**<br> Upon its incorporation and within the first 4 months of each year, the SCM shall provide SQM with an annual report on the Exploration activities developed in the Area during the preceding calendar year. This report shall have no cost for SQM and shall contain, to the extent applicable to the executed Exploration works, all supporting documents and all information obtained by KM in the performance thereof, including, by way of example and without limitation:<br>**/a/** information on drilling campaigns, specifying years, methods, diameters, meters, and future campaigns;<br>**/b/** borehole databases, including tables on "Assays", "Collar", "Survey" and "Lithology";<br> **/c/** trench and surface-sampling databases;<br>**/d/** borehole and trench locations;<br> **/e/** drilling deviations, used methods and measurement frequencies;<br> **/f/** geological description of boreholes, including core-sample locations;<br>**/g/** sample recovery percentages;<br>**/h/** sample grades;<br> **/i/** reports on handling and safeguards of |

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[Translation on the right] 30/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| muestras de sondajes y otras muestras;<br> **/j/** mapeo de zanjas y túneles;<br> **/k/** topografía superficial, de sondajes, de zanjas o labores;<br> **/l/** informes de pruebas de tratabilidad y de densidad, con su respectiva distribución espacial;<br> **/m/** interpretaciones geológicas, geoquímicas, geofísicas, estructurales, entre otras, junto con sus respectivos planos y bases de datos;<br> **/n/** resultados de pruebas metalúrgicas;<br> **/o/** informe geológico incluyendo modelos geológicos, de recursos;<br> **/p/** interpretaciones, perfiles, plantas, sólidos, unidades geológicas y modelos geometalúrgicos;<br> **/q/** para el evento que KM observe la presencia de reservas o recursos proveerá además los informes de estimación de recursos y reservas, y su actualización respectiva, con la metodología empleada, radios de búsqueda, criterios para clasificar los recursos;<br> **/r/** informes de estudio de perfil, pre-factibilidad y/o factibilidad en caso que alguno sea completado en el período correspondiente, definición de ley de corte, recuperaciones mineras, rendimientos de proceso, entre otros;<br> **/s/** informe QA/QC, análisis de muestras duplicados, estándar y blancos. Metodologías de análisis y preparación de muestras;<br> **/t/** resultados de investigación geotécnica;<br> **/u/** archivos digitales de planos, mapas geológicos, y topográficos; y<br> **/v/** cualquier otra información que se haya generado y que resulte pertinente incluir.<br>**<u>Trece. Dos</u>. Informe sobre Proyecto Minero y reservas**.<br> Si la SCM define o evalúa un Proyecto Minero de explotación de minerales en el Área, a simple requerimiento de cualquiera de sus | &nbsp;&nbsp;drilling and other samples;<br> **/j/** trench and tunnel mapping;<br> **/k/** surface, borehole, trench and work topography;<br> **/l/** treatability and density testing reports, with their corresponding spatial distribution;<br>**/m/** geological, geochemical, geophysical, structural and other interpretations, with their corresponding drawings and databases;<br>**/n/** results of metallurgical tests;<br> **/o/** a geological report including geological models, and resources;<br> **/p/** interpretations, profiles, plants, solids, geological units and geo-metallurgical models;<br>**/q/** in the event that KM observed the presence of reserves or resources, it shall also provide reports on resource and reserve estimations, and their respective update, with the employed methodology, search radius, and resource classification criteria;<br> **/r/** conceptual, pre-feasibility and feasibility study reports, if any were completed in the corresponding period, with cut-off grades, mineral recoveries and process capacities, among other;<br> **/s/** a QA/QC report, with analysis of standard, blank and replicated samples, analysis methodologies and sample preparation; <br> **/t/** geotechnical research results;<br> **/u/** digital files of drawings, geological and topographic maps, and<br> **/v/** any other pertinent information produced.<br>**<u>13.2.</u> Report on Mining Project and Reserves:**<br> If the SCM defined or assessed a Mining Project in the Area, at the simple request of any of its partners, and at no cost for them, it |

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[Translation on the right] 31/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| socios, y sin costo para ellos, les entregará dentro del plazo de veinte días corridos contados desde tal requerimiento, y luego sucesivamente dentro del primer cuatrimestre de cada año, copia del plan de explotación vigente, del plan minero, y los recursos y las reservas estimadas que contenga el Área. De igual forma, y en el evento que durante el año respectivo dicho plan o las estimaciones de reservas varíen, esta circunstancia será comunicada a los Socios dentro de los treinta días corridos siguientes a su ocurrencia. Lo anterior es sin perjuicio del derecho exclusivo de la SCM de modificar, variar, suspender, paralizar, descontinuar o en cualquier otra forma alterar el plan de explotación que la SCM entregue a sus socios conforme a esta Sección.<br> **<u>DÉCIMO CUARTO</u>. PAGO POR INACTIVIDAD.**<br> **<u>Catorce. Uno</u>. Objeto y Alcance.**<br> **/a/** Si al cumplirse diez años desde la constitución de la SCM, ésta no ha iniciado la explotación comercial de un yacimiento minero en los Derechos Mineros, y mientras no se efectué tal explotación, KM pagará anualmente a SQM, dentro del primer mes de cada año siguiente, una cantidad por concepto de inactividad que corresponderá al mayor valor entre: **- i-** un millón de Dólares, o **- ii-** doscientos Dólares por hectárea del Área de los Derechos Mineros aportados a la SCM, en adelante el "**Pago por Inactividad"**.<br> **/b/** Si una vez iniciada la explotación comercial, esta se suspendiese por un periodo de tiempo que exceda el plazo de tres años, se devengará y pagará nuevamente el Pago por Inactividad conforme a lo indicado anteriormente.<br> **/c/** Las Partes dejan expresa constancia que SQM tendrá derecho a cobrar y percibir el Pago por Inactividad aun cuando transfiera el derecho de Regalía, y esta obligación de pago procederá cualquiera sea la persona | &nbsp;&nbsp;shall deliver a copy of the current exploitation and mining plans, and estimated resources and reserves contained in the Area, within of 20 calendar days of any such request, and successively within the first 4-months of each year. If during the corresponding year, such plans or the reserve estimations changed, it shall advise the Partners thereof within 30 calendar days of any such occurrences. The foregoing shall not limit the SCM's exclusive right to modify, change, suspend, stop, discontinue or in any other way alter the mining plan furnished by the SCM to its Partners per this section.<br>**FOURTEENTH - PAYMENT FOR INACTIVITY:**<br> **<u>14.1</u>. Purpose and Scope:**<br> **/a/** If after 10 years of its incorporation, the SCM's had not started the commercial exploitation of any ore deposit in the Mining Rights, and as long as it did not do so, KM shall make an annual payment for inactivity to SQM, within the first month of each year thereafter, in an amount equivalent to the greater: **- i-** of USD 1,000,000, or **- ii-** of USD 200,000 per hectare in the Area of the Mining Rights contributed to the SCM, hereinafter called the "**Payment for Inactivity"**;<br> **/b/** If once started, the commercial exploitation were suspended for a period exceeding 3 years, the Payment for Inactivity shall be accrued and paid again, as previously stated;<br> **/c/** The Parties hereby expressly record that SQM shall be entitled to charge and receive the Payment for Inactivity even after transferring the Royalty right, and this payment obligation shall apply regardless of |

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[Translation on the right] 32/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| que sea dueño y/o explote los Derechos Mineros.<br>**/d/** KM podrá eximirse del Pago por Inactividad en caso de que la SCM venda y transfiera a SQM todos los Derechos Mineros a un precio equivalente en pesos a cien Dólares por cada Derecho Minero.<br> **/e/** Con todo, en caso que, dentro del plazo de diez años contados desde la fecha de constitución de la SCM, el Estudio de Factibilidad no sea aprobado por la SCM según lo establecido en la <u>Cláusula Undécima</u>, SQM tendrá derecho a que la SCM se disuelva anticipadamente y liquide, restituyéndose a cada Parte sus aportes efectuados a la SCM, y pasando a SQM el dominio de los Informes de Exploración.<br>**<u>Catorce. Dos</u>. Garantías del Pago por Inactividad.**<br> El cumplimiento de la obligación de KM de pagar el Pago por Inactividad se garantizará incluyéndola en la Hipoteca y Prohibición SCM.<br> Para tal efecto, en caso de que no se constituya tal garantía, KM confiere desde ya poder irrevocable y especial, pero tan amplio como en derecho corresponda, a SQM para que, en nombre y representación de KM y sin obligación de rendir cuenta, suscriba todos los actos societarios y corporativos que se requieran en la SCM para su constitución.<br>**<u>DÉCIMO QUINTO</u>: DERECHO DE VENTA DE LA PARTICIPACIÓN DE SQM EN LA SCM.**<br> **<u>Quince. Uno</u>. Derecho de venta.**<br> **/a/** SQM tendrá el derecho de vender toda su participación en la SCM: <br> **-i-** a un tercero en los términos, condiciones y precio que estime conveniente, o <br> **-ii-** a KM, quien estará obligado a comprarla.<br> **/b/** En caso de que SQM decida ejercer su derecho de vender a KM toda su participación en la SCM, deberá notificársela por escrito a | &nbsp;&nbsp;whoever then owned or exploited the Mining Rights;<br> **/d/** KM may be released from the Payment for Inactivity if the SCM sold and transferred all of the Mining Rights to SQM, at a price in Chilean pesos equivalent to USD 100 each, and<br>**/e/** Nevertheless, if the SCM had not approved the Feasibility Study, as provided in in <u>Clause 11</u> of the Partnership Agreement, after 10 years of its incorporation, SQM shall be entitled to the early dissolution and liquidation of the SCM, with the respective contributions of each Party returned thereto, and ownership of the Exploration Reports passed to SQM.<br>**<u>14.2.</u> Guarantees of the Payment for Inactivity:**<br> KM's Payment for Inactivity obligation shall be guaranteed by including it in the SCM's Mortgage and Restriction.<br> For this purpose and in the event that this guarantee were not created, KM hereby grants irrevocable special powers, as wide as legally permitted, to SQM, so that, on behalf and in representation of KM, and without any accountability obligations, SQM may execute all company or corporate acts needed by the SCM for its incorporation.<br>**<u>FIFTEENTH</u> - SQM's RIGHT TO SELL ITS INTEREST IN THE SCM:**<br> **<u>15.1.</u> Right of Sale:**<br> **/a/** SQM shall be entitled to sell all its Shares in the SCM:<br> **-i-** to any third party in the terms, conditions and price that it deemed convenient, or<br> **-ii-** to KM, which shall be bound to buy them.<br> **/b/** If SQM decided to exercise its right of sale of all its Shares in the SCM to KM, the former shall advise the latter in writing, hereinafter |

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[Translation on the right] 33/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| KM, en adelante la "**Comunicación de Venta**".<br>**<u>Quince. Dos</u>. Venta a KM.**<br> **/a/** En caso de que SQM venda toda su participación en la SCM a KM, el precio será, a elección de SQM:<br> **-i-** un precio justo de mercado determinado por un tercero según como se señala en el <u>Anexo N° 15.2 /a/ - i-</u> de este Pacto, el cual se entiende formar parte integrante de éste; o<br> **-ii-** un incremento en los valores de la Regalía determinado por un tercero. Para esta determinación se seguirá el mismo procedimiento y factores que se señalan en el <u>Anexo N° 15.2 /a/ - i-</u>.<br> **/b/** En la Comunicación de Venta, SQM deberá informar el precio de la compraventa.<br> **/c/** La participación en la SCM será vendida por SQM libre de toda prenda, gravamen, litigio o prohibición. Con todo, SQM no estará obligada a otorgar declaraciones o garantías sobre tal participación, distintas de aquellas indicadas anteriormente.<br> **/d/** La compraventa de la participación de SQM en la SCM se suscribirá dentro los 90 días corridos siguientes a la Comunicación de Venta. KM deberá consentir y cooperar en la suscripción de los documentos que SQM razonablemente estimare necesarios para la celebración de la compraventa.<br> **/e/** En caso de que SQM elija el pago con un incremento en los valores de la Regalía, la Hipoteca y Prohibición SCM garantizará y se extenderá a este incremento, para lo cual la SCM suscribirá una escritura pública de modificación y ampliación de la Hipoteca y Prohibición SCM. Para tal efecto, en caso de que no se suscriba dicha escritura pública de modificación y ampliación, KM confiere desde ya poder irrevocable y especial, pero tan amplio como en derecho corresponda, a SQM para que, en nombre y representación de KM y sin obligación de rendir cuenta, suscriba todos los actos societarios y corporativos que se requieran en la SCM para que se suscriba. | &nbsp;&nbsp;called the "**Notice of Sale.**"<br>**<u>15.2.</u> Sale to KM:**<br> **/a/** If SQM sold all its Shares in the SCM to KM, at SQM's option, the price shall be:<br> **-i-** at arm's length determined by a third party, as stated in <u>Appendix 15.2 /a/ - i-</u> hereto, which is understood as an integral part hereof, or<br>**-ii-** at the increased Royalty values determined by a third party, following the same procedure and factors stated in <u>Appendix 15.2 /a/ - i-</u>;<br>**/b/** In the Notice of Sale, SQM shall inform the purchase price;<br> **/c/** SQM shall sell its interest in the SCM free of any pledges, liens, litigations or restrictions, but shall not be bound to make representations or guarantees thereon, other than those previously stated; <br> **/d/** The agreement to purchase SQM's interest in the SCM shall be executed within 90 calendar days of the Notice of Sale, and KM shall consent and cooperate by signing any documents that SQM deemed reasonably necessary for the execution of the purchase agreement;<br>**/e/** If SQM opted for the increased Royalty values, the SCM's Mortgage and Restriction shall guarantee and include this increase, by the SCM executing a notarized and registered amendment and extension of the Mortgage and Restriction, and in case the latter did not do so, KM hereby grants irrevocable and special powers of attorney, as ample as legally required, to SQM, so that, on behalf and in representation of KM and without any accountability obligations, it may sign any company documents required by the SCM for the execution thereof, and |

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[Translation on the right] 34/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| <br> **/f/** KM podrá designar a un tercero, que cumpla con las Políticas SQM y con esta Sección, para que compre toda la participación de SQM en la SCM. Esta designación deberá ser comunicada por KM a SQM dentro de los 15 días corridos siguientes a la Comunicación de Venta. En el caso de que el tercero no cumpla con las Políticas SQM, la participación de SQM en la SCM la deberá comprar KM.<br>**<u>DÉCIMO SEXTO</u>: ADQUISICIÓN DE BIENES RESTRINGIDOS EN EL ÁREA Y EN EL ÁREA DE INTERÉS**.<br> Durante la vigencia del Pacto, y por un periodo de dos años posteriores a su término, ningún Socio podrá, directa, indirectamente o a través de terceros, negociar, adquirir o recibir en arriendo, usufructo, comodato o en cualquier otra forma o título, constituir o solicitar la constitución de uno o más pedimentos mineros, manifestaciones mineras, concesiones mineras de exploración, concesiones mineras de explotación, derechos de aprovechamiento de aguas, derecho de cualquier tipo en relación al predio superficial y/o de otro derecho, que se superpongan total o parcialmente con el Área, en adelante los "**Bienes Restringidos**". En caso de incumplimiento a esta prohibición, el Socio infractor se obliga a que los Bienes Restringidos sean vendidos a la SCM, dentro de los diez días corridos siguientes a que así lo requiera el otro Socio y/o la SCM, a un precio de diez Dólares cada uno.<br>**<u>DÉCIMO SÉPTIMO</u>: PROTECCIÓN, AMPARO Y GRAVÁMENES DE LOS DERECHOS MINEROS**.<br> **<u>Diecisiete. Uno</u>. Protección, amparo y vigencia de los Derechos Mineros**.<br> La SCM pagará, a su costo, cuenta y | &nbsp;&nbsp;**/f/** KM may designate a third party compliant with SQM's Policies and this section to buy all of SQM's interests in the SCM, advising SQM thereof within 15 calendar days of the Notice of Sale, and if the third party failed to comply with SQM's policies, SQM's interests in the SCM must be purchased by KM.<br>**<u>SIXTEENTH</u> - ACQUISITION OF RESTRICTED ASSETS IN THE AREA AND THE AREA OF INTEREST:** <br> While the Agreement is in force and for a period of two years thereafter, no Partner may, directly, indirectly or through any third parties, negotiate, acquire or receive in lease, usufruct, loan or in any other way or for any consideration, or request or be awarded, any one or more petitioned mining claims for exploration, awarded mining claims for exploration or exploitation, water use rights, rights of any kind on the surface land, or any other rights, overlapping all or any part of the Area, hereinafter called the "**Restricted Assets**." Each Partner hereby commits to sell the Restricted Assets to the SCM within 10 calendar days of the other Partner or the SCM so requesting, at a price of 10 Dollars each, if it breached this restriction.<br>**<u>SEVENTEENTH</u>: PROTECTION, SHELTER AND ENCUMBRANCES OF THE MINING RIGHTS:**<br> **<u>17.1</u>. Protection, Shelter and Validity of the Mining Rights:**<br> The SCM shall pay all mining patents of the |

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[Translation on the right] 35/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| responsabilidad, todas las patentes mineras de los Derechos Mineros, antes del día treinta de marzo de cada año, y efectuará todas las actuaciones, diligencias y trámites que sean necesarios o pertinentes para la correcta y debida constitución, protección, amparo y vigencia de los Derechos Mineros. Asimismo, la SCM adoptará, a su exclusivo costo, todas las medidas, judiciales y extrajudiciales, que sean necesarias para tales efectos y para defender dicha propiedad minera de cualquier pretensión de terceros.<br> Si la SCM no ejerciere oportunamente, dentro de los plazos legales, la defensa de los Derechos Mineros, SQM podrá, sin que se encuentre obligado a ello, actuar en representación de la SCM en los procesos que se hayan iniciado. Para estos efectos, la SCM otorgará poder judicial a SQM y los costos legales razonables serán asumidos por la SCM.<br> Alternativamente, y sin que se encuentre obligado a ello, SQM podrá participar en los procesos como tercero coadyuvante, a su exclusivo costo.<br>**<u>Diecisiete. Dos</u>. Gravámenes de los Derechos Mineros.**<br> Los Derechos Mineros quedarán sujetos a los gravámenes, términos y obligaciones pactados por la SCM en los contratos en los cuales se constituya la Reserva, Regalía, Hipoteca y Prohibición SCM y Usufructo, obligándose KM a cumplir con ellos, y a causar que la SCM también cumpla con ellos, siendo imprescindible para lo anterior que los Derechos Mineros se encuentren debidamente protegidos, amparados y vigentes. KM se obliga en forma adicional, a procurar que la SCM dé cumplimiento estricto por parte de sus órganos sociales, a los compromisos y obligaciones contractuales pactadas en dichos contratos. A modo ejemplar, y sin que ello implique exclusión de otras obligaciones, no se podrán adoptar  | &nbsp;&nbsp;Mining Rights, before March 30 of every year, at its own cost, and on its account and responsibility, and shall take any actions and complete any procedures and paperwork that may be necessary or applicable to properly and duly establish, protect and shelter the Mining Rights, and keep them valid. Likewise, the SCM shall, at its sole cost, take all judicial and extrajudicial measures that may be necessary for such purposes and to defend such mining properties from any third-party claims.<br> If the SCM failed to promptly defend the Mining Rights within the legal terms, SQM may represent the SCM in any initiated processes, without being obliged thereto. For these purposes, the SCM shall grant a power of attorney-at-law to SQM and assume all reasonable legal costs.<br> Alternatively and without being obliged thereto, SQM may take part in the processes as intervenor, at its sole cost.<br>**<u>17.2.</u> Liens on Mining Rights:**<br>The Mining Rights shall be subject to the liens, terms and obligations agreed by the SCM in the agreements establishing the Reserve, the Royalty, the SCM's Mortgage and Restriction and the Usufruct, while KM hereby commits to comply, and have the SCM to also comply, therewith, for which that the Mining Rights be always duly protected, sheltered and valid shall be essential. Additionally KM hereby promises to do its best for the SCM's corporate bodies strictly complying with the commitments and obligations agreed in the aforesaid agreements. By way of example, and without implying the exclusion of any other obligations, no decisions, agreements or omissions may compromise or endanger the  |

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[Translation on the right] 36/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| decisiones o acuerdos algunos, o incurrir en omisiones que comprometan o pongan en riesgo el cumplimiento íntegro y oportuno de dichas obligaciones.<br>**<u>DÉCIMO OCTAVO</u>: DERECHO PREFERENTE PARA LA COMPRA DE LOS DERECHOS MINEROS.**<br> **/a/** Previo cumplimiento de los demás requisitos que hayan acordado las Partes, la SCM podrá - directa o indirectamente-abandonar, reducir, desamparar, caducar, renunciar o extinguir en todo o parte los Derechos Mineros, pedimentos, manifestaciones, concesiones mineras de exploración o de explotación que en el futuro solicite, adquiera y/o constituya, que abarquen total o parcialmente el Área, en adelante todos ellos denominados como los "**Derechos Mineros a Abandonar**" y este derecho denominado como el "**Derecho a Renuncia**".<br> **/b/** Para ejercer su Derecho a Renuncia, la SCM previamente deberá informar a SQM por medio de carta certificada enviada al domicilio de esta, su decisión de ejercer su Derecho a Renuncia indicando el nombre del Derecho Minero a Abandonar y sus datos necesarios para individualizarlo, incluyendo, antecedentes de inscripción de dominio, Rol Nacional, y datos del expediente judicial de tramitación, entre otros, ofreciéndole vender el Derecho Minero a Abandonar respectivo. Recibida la carta, SQM tendrá un plazo de treinta días corridos para comunicar, por medio de carta certificada, su decisión de comprar el Derecho Minero a Abandonar ofrecido vender. Si SQM no da respuesta al ofrecimiento de venta de SCM dentro del plazo de treinta días corridos, se entenderá que SQM ha renunciado al ejercicio de su derecho de compra, y la SCM podrá ejercer libremente su Derecho a Renuncia, de pleno derecho y sin necesidad de acuerdo adicional alguno de este Pacto y sin que se le genere responsabilidad alguna por el ejercicio de tal derecho. | &nbsp;&nbsp;full and prompt fulfilment of such obligations.<br>**<u>EIGHTEENTH</u> - PREFERENTIAL RIGHT TO PURCHASE MINING RIGHTS:**<br> **/a/** Upon meeting the other requirements agreed by the Parties, the SCM may directly or indirectly abandon, reduce, desert, waive or extinguish all or any part of the Mining Rights, petitioned mining claims for exploration, statements of discovery, or mining claims for exploration or exploitation, that it may request, purchase or be awarded in the future in the entirety of any part of the Area, or let any thereof expire, hereinafter collectively called the "**Mining Rights to be Abandoned,**" and this right, the "**Right of Waiver**";<br> **/b/** To exercise its Right of Waiver, the SCM shall previously inform its decision to SQM, by certified letter sent to the latter's address, stating the name of the Mining Right to be Abandoned, providing the necessary identifying information, including that on ownership registration, property registration number and court dossier, among others, and offering to sell the corresponding Mining Right to be Abandoned; upon receiving the letter, SQM shall have 30 Business Days to inform, by certified letter, its decision to buy the Mining Right to be Abandoned offered for sale; if SQM did not answer to the SCM's offer within 30 calendar days, it shall be understood that SQM had waived its right, and the SCM may freely and rightfully exercise its Right of Waiver, without the need for any additional agreements hereunder, and without this creating any liabilities thereto; |

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[Translation on the right] 37/57

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| /c/ En el evento que SQM comunique su intención de ejercer su derecho de compra, deberá indicar en dicha comunicación el día en que las partes deberán concurrir a suscribir el contrato de compraventa, plazo que no podrá exceder de los treinta días corridos contados desde enviada la comunicación por parte de SQM. El contrato de compraventa se otorgará en la misma notaría en la que se otorga el presente instrumento, o aquella que la reemplace y sustituya, y el precio de compraventa será la suma única y total del valor de la patente anual del respectivo Derecho Minero a Abandonar objeto del mismo.<br> **/d/** El contrato de compraventa antes señalado se celebrará pura y simplemente, y él o los Derechos Mineros se venderán como cuerpo cierto, en el estado en que se encuentran al día de la celebración, con todo lo edificado y construido sobre ellos, y demás instalaciones destinadas permanentemente a la investigación, arranque y extracción de sustancias minerales, con todos sus usos, derechos, costumbres, derechos y servidumbres, activas y pasivas y libres de obligación de pago de regalías voluntarias o convencionales, de todo embargo, prohibiciones, condiciones resolutorias, litigios pendientes, de contratos de entrega de minerales o de arriendo, o cualquiera otra clase de actos, derechos reales o personales, gravamen y prohibición, que impidan su libre uso, goce, disposición y entrega.<br> **/e/** Sin perjuicio de lo anterior, SQM tendrá un derecho preferente para comprar o adquirir el o los Derechos Mineros, en el mismo precio, en los mismos términos y condiciones, que aquellos que ofrezca un tercero a la SCM. La decisión de SQM de comprar se deberá comunicar dentro de sesenta días corridos | &nbsp;&nbsp;/c/ In the event SQM informed its intention to exercise its purchase right, in the same notice, it shall indicate the date when the parties must sign the purchase agreement, which may not exceed 30 calendar days after SQM's remittance of the notice; the purchase agreement shall be signed in the same notarial offices as this instrument, or such other offices replacing it, and the purchase price shall be the single and total cost of the annual patent of the respective Mining Right to be Abandoned thereunder;<br>**/d/** The forenamed purchase agreement shall be pure and simple, and the Mining Rights shall be sold as *corpus certum*, as they were on the date of the execution, with all buildings and constructions thereon, and other facilities permanently destined to searching for, mining and extracting mineral substances, with all their uses, rights, customs, rights of way and easements, whether active or passive, and free of any payment obligations of voluntary or conventional royalties, any seizures, limitations, conditions subsequent, pending litigations, agreements for the delivery of mineral or leases, or any other kind of acts, rights in-rem or personal rights, liens or restrictions, preventing the free use, enjoyment, disposal and delivery thereof, and<br> **/e/** Notwithstanding the foregoing, SQM shall have a right of first refusal to purchase or acquire the Mining Rights, at the same price, and in the same terms and conditions, offered by any third parties to the SCM, with SQM advising the latter of its purchase decision within 60 calendar days of receiving all the |

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[Translation on the right] 38/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| desde que haya recibido toda la información por parte de la SCM. Esta compraventa se efectuará en los términos señalados en la letra /d/ anterior.<br>**<u>DÉCIMO NOVENO</u>: RESPONSABILIDAD POR LABORES E INDEMNIDAD**.<br> **/a/** La SCM asumirá cualquier costo o gasto relacionado con responsabilidades de cualquier naturaleza, incluyendo ambiental, que pudieren derivarse de las labores que efectúe en los Derechos Mineros, de cualquier naturaleza que las mismas sean, y que fueren imputables a la SCM y/o sus contratistas. La SCM se obliga a mantener libre e indemne a SQM de cualesquiera acciones, demandas, reclamos, procedimientos, sanciones, o cualesquiera actuaciones - de cualquier naturaleza que éstas fuesen- que pudiesen intentar terceros o la autoridad en contra de SQM en virtud de las responsabilidades señaladas. Si no obstante lo señalado, SQM resultase obligada a pagar una suma de dinero en virtud de las acciones, demandas, reclamos, procedimientos, sanciones o actuaciones antes referidos, ya sea a título de multa, indemnización de perjuicios, rehabilitación de áreas, programas de cierres de faenas, o por cualquier otra razón, causa o motivo, la SCM estará obligada a pagar o a reembolsar, en su caso, a SQM todas las cantidades que, en virtud de lo expuesto, hubiese sido obligada a pagar. Lo dispuesto en esta Cláusula subsistirá y continuará vigente al término del Pacto.<br> **/b/** La SCM mantendrá una suficiente cobertura de seguros para proteger a SQM de reclamos de terceros por las actividades que desarrolle en los Derechos Mineros.<br>**<u>VIGÉSIMO</u>: FUERZA MAYOR O CASO FORTUITO.**<br> **/a/** Para efectos del presente Contrato, se entenderá por fuerza mayor o caso fortuito, | &nbsp;&nbsp;information from the former, and this purchase being in the terms stated in the preceding Item /d/.<br>**<u>NINETEENTH</u> - LIABILITY FOR WORKS AND INDEMNITY:**<br> **/a/** The SCM shall assume any costs or expenses related to liabilities of any nature, including those regarding the environment, that may derive from the works done in the Mining Rights, whatever their nature, and were attributable to the SCM or any of its contractors, and hereby commits to keep SQM harmless and free of any actions, lawsuits, claims, procedures, penalties or acts of any kind that may be attempted by third parties or the authority against SQM in reason of the aforesaid liabilities, but if SQM had to pay any sums of money because of any such actions, shares, claims, complaints, procedures, penalties or acts, whether by way of fines, damage compensations, area restorations, site closing programs, or for any other reasons, causes or motives, the SCM shall be bound to pay or reimburse, as the case may be, all amounts so disbursed by SQM, and the provisions of this clause shall survive and continue effective upon termination hereof, and<br>**/b/** The SCM shall keep enough insurance coverage to protect SQM from any third party claims for the former's activities in the Mining Rights.<br>**<u>TWENTIETH</u> - FORCE MAJEURE OR UNFORESEEABLE CIRCUMSTANCES:**<br> **/a/** For the purposes of this Agreement, force majeure or unforeseeable circumstance, |

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[Translation on the right] 39/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| en adelante "**Fuerza Mayor o Caso Fortuito**", el imprevisto a que no es posible resistir, como un naufragio, un terremoto, el apresamiento de enemigos, los actos de autoridad ejercidos por un funcionario público, etc. según se define en el artículo cuarenta y cinco del Código Civil.<br>**/b/** La Parte afectada por el evento de Fuerza Mayor o Caso Fortuito comunicará a la otra Parte en un plazo no mayor a cinco Días Hábiles, la existencia del evento y su fecha de inicio, así como una estimación de su duración y las medidas de mitigación que propone adoptar, todo lo cual será requisito para que, mientras dure tal evento de Fuerza Mayor o Caso Fortuito, se pueda suspender el cumplimiento de la obligación cuyo cumplimiento es impedido, la cual - en todo caso- se hará exigible una vez que cese tal evento de Fuerza Mayor o Caso Fortuito.<br>**<u>VIGÉSIMO PRIMERO</u>: ANTICORRUPCIÓN.**<br> **<u>Veintiuno. Uno</u>. Definiciones.**<br> Para los efectos de esta Cláusula, los términos que se indican a continuación, cada vez que se usen con mayúscula inicial, tendrán el siguiente significado:<br> **/a/** "**Cosa de Valor**": Significa cualquier Item o beneficio, incluyendo, pero no limitado a, dinero en efectivo, equivalentes a efectivo - tales como *gift cards*, certificados de regalos o descuentos para mercancías-, préstamos, regalos, viajes, entretenimiento, comidas, viáticos, favores, negocios u oportunidades laborales, así como el cumplimiento de una solicitud de entregar una cosa de valor a un tercero - tales como, un pariente de un Funcionario Público u otra persona externa-. <br> **/b/** "**Persona Cercana**": Significa el cónyuge, pareja, padres, abuelos, hermanos, hijos, nietos, sobrinos, tíos o primos, ya sea por consanguineidad o por afinidad; incluidos los del cónyuge o pareja del Funcionario Público; un socio de negocios, o cualquier otra persona que el Funcionario Público considere cercana. | &nbsp;&nbsp;hereinafter called a "**Force Majeure or Unforeseeable Circumstance**" shall be understood as any unexpected events that it were not possible to withstand, such as shipwrecks, earthquakes, enemies' arrests, or acts of authority by public officers, etc., as defined in Article 45 of the Civil Code, and<br> **/b/** The Party affected by the Force Majeure or Unforeseeable Circumstance shall inform the other thereof in a maximum term of 5 Business Days, specifying the starting date and a duration estimate, as well as the mitigation measures to be taken, all of which shall be required for suspending the need to meet any obligations involved while the Force Majeure or Unforeseeable Circumstance continued, which in any case, shall be enforceable again thereafter.<br>**<u>TWENTY-FIRST</u> - ANTICORRUPTION:**<br> **<u>21.1.</u> Definitions:**<br> For the purposes of this clause, the following terms, whenever written with an initial capital letter, shall have the following meaning:<br>**/a/** "**Valuable Thing**" shall refer to any items or benefits, including, but not limited to, cash, equivalent to cash, such as gift cards, gift certificates or discounts for goods, loans, presents, trips, entertainment, food, travel expenses, favours, businesses or work opportunities, as well as responding to any requests to deliver any valuable things to any third parties, such as, a Public Officer's relatives or other external persons;<br>**/b/** "**Close Person"** shall designate the spouse or partner, or a parent, grandparent, sibling, child, grandchild, nephew or niece, aunt, uncle or cousin, whether by blood or affinity, including those of any Public Officers' spouses or partners, any business partners or any other individuals that any Public Officers considered close; |

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[Translation on the right] 40/57

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| ***Anexo Diez.*** *Siete* | ***Appendix 10.7*** |

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| **/c/** "**Entidad Pública**": Significa todo órgano, departamento, agencia u órgano estatal nacional, regional, local u otro, de cualquier poder /ejecutivo, legislativo o judicial/, u otra organización, sociedad o empresa de propiedad o controlada por el Estado.<br> **/d/** "**Funcionario Público**": Significa todo:<br> **/i/** funcionario o empleado de cualquier gobierno nacional, regional, local u otro, o cualquier departamento, agencia u órgano de dicho gobierno, incluyendo todo funcionario elegido o designado en cualquier poder - ejecutivo, legislativo o judicial-;<br> **/ii/** funcionario o empleado de una sociedad o empresa de propiedad, controlada por, o que desempeña la función de un gobierno;<br> **/iii/** funcionario o empleado de universidades u organizaciones de investigación públicas o patrocinadas por el estado;<br> **/iv/** partido político, funcionario de un partido político o candidato a un cargo público de cualquier nivel;<br> **/v/** funcionario o empleado de una organización pública internacional - por ejemplo, el Banco Mundial, las Naciones Unidas o el Fondo Monetario Internacional-;<br> **/vi/** miembro de una familia real o miembro de fuerzas militares;<br> **/vii/** persona natural actuando en calidad oficial por o en representación de cualquiera de las categorías anteriores - ya sea remunerado o no-; y<br> **/viii/** persona natural que de otra forma califique como Funcionario Público bajo las leyes locales aplicables. <br> **/e/** "**Pago Prohibido**": Significa el pago, oferta o promesa de pago, o autorización de pago, oferta o promesa de dinero o cualquier Cosa de Valor, directa o indirectamente a:<br> **-i-** un Funcionario Público con el objeto de influenciar inadecuadamente sus acciones o decisiones, o para asegurar cualquier ventaja inadecuada de parte de dicho Funcionario Público; | &nbsp;&nbsp;**/c/** "**Public Entity**" shall mean any state, national, regional, local or other bodies, departments, agencies or organizations of the executive, legislative or judiciary powers, or other organizations or companies owned or controlled by the State;<br> **/d/** "**Public Officer**" shall designate:<br> **/i/** any officers or employees of national, regional, local or other governments, or any departments, agencies or bodies thereof, including any officers elected or appointed to the executive, legislative or judiciary powers;<br> **/ii/** any officers or employees of companies or corporations owned or controlled by any governments, or performing duties as such;<br> **/iii/** any officers or employees of universities or research organizations, whether public or sponsored by the state;<br> **/iv/** any political parties, officers thereof, or candidates to a public offices at any level; <br> **/v/** any officers or employees of any international public organizations, for example, the World Bank, the United Nations, or the International Monetary Fund;<br> **/vi/** any members of royal families or armed forces;<br> **/vii/** any individuals acting officially for, or on behalf of, any of the previous categories, whether or not remunerated, and<br> **/viii/** any individuals who otherwise qualified as Public Officers under the applicable local laws; <br> **/e/** "**Prohibited Payment**" shall mean any direct or indirect payments, offers or promises to pay, or payment authorizations, offers or promises of cash or any Valuable Things: <br> **-i-** to any Public Officers to improperly influence their actions or decisions, or secure any improper advantages from them; |

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[Translation on the right] 41/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| <br> **-ii-** cualquier persona - sea Funcionario Público o no, incluyendo los clientes, potenciales clientes, dueños, ejecutivos, directores y empleados de SQM- para influenciarla a actuar o dejar de actuar, para recompensarla por actuar o dejar de actuar, o cuando la recepción de la Cosa de Valor infringe por sí misma un deber de buena fe, imparcialidad o confianza; o<br> **-iii-** cualquier persona mientras sepa o tenga razones para saber que todo o una parte de los dineros u otras Cosas de Valor serán ofrecidas, prometidas o dadas a un Funcionario Público con el objeto de influenciar o recompensar en forma inadecuada una acción oficial, o a cualquier persona para influenciarla o recompensarla por infringir un deber de buena fe, imparcialidad o confianza.<br> **/f/** "**Socio de Desarrollo Comercial**": Significa cualquier transacción de negocios con: **/i/** toda persona natural o entidad que, a través de cualquier transacción, reciba intereses de trabajo, regalías, intereses de ganancias netos, y/u otra transferencia de minerales en cualquier propiedad de la SCM, y **/ii/** toda persona natural o entidad para una actividad o entrega de trabajo en conjunto en la que los costos, riesgos y/o ganancias que surgen del trabajo son compartidos por las partes.<br> **/g/** "**Tercera Parte Intermediaria**": Significa cualquier persona natural que no sea empleada de cualquiera de los socios de la SCM, o cualquier entidad que no sea de propiedad o controlada, aún en parte, por uno de los socios de la SCM, que la SCM haya contratado o contrate en el futuro para proveer bienes o servicios a la SCM, o para participar en actividades de negocios con o en representación de la SCM, y que, en el curso de la provisión de bienes y servicios a la SCM, tenga contacto con una Entidad Pública o un Funcionario Público en representación de la SCM o con una persona o entidad que se sabe o se cree que es de propiedad o controlada por una Entidad Pública o un Funcionario Público. | &nbsp;&nbsp;<br> **-ii-** to any persons, whether or not Public Officers, including SQM's clients, potential clients, owners, executives, directors and employees, in order to influence or compensate their actions or inactions, or whenever receiving such Valuable Things breached *per se* any duties of good faith, impartiality or trust, or<br> **-iii-** to any persons while knowing, or having reasons to know, that all or a part of the cash or other Valuable Things shall be offered, promised or given to Public Officers to improperly influence or compensate any official actions, or to any persons so as to influence or compensate them for breaching any duties of good faith, impartiality or trust;<br> **/f/** "**Commercial Development Partner**" shall mean any business transactions: **/i/** with any individuals or organizations that, through any transactions, received work interests, royalties, interests on net earnings, or any transfers of minerals in any of the SCM's properties, or **/ii/** with any individuals or organizations for joint activities or work deliveries, where the costs, risks or earnings arising from the work were shared by the parties, and<br> **/g/** "**Intermediary Third Party**" shall designate any individuals who were not employed by any of the SCM's partners, or any entities not fully or partly owned or controlled by any of the latter, that the SCM had employed, or may employ in the future, to provide goods or services, or to take part in business activities with, or on behalf of, the SCM, and that, in the course of providing goods and services thereto had contact with any Public Entities or Officers on its behalf, or with any individuals or organizations known to be, or deemed as being, owned or controlled by any thereof. |

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[Translation on the right] 42/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>Veintiuno. Dos</u>. Declaraciones y Garantías.**<br> Por la duración de este Pacto y en relación al mismo, KM declara y garantiza que:<br> **/a/** Los dueños, ejecutivos, directores, empleados, subcontratistas, agentes, socios, personas relacionadas de KM, en adelante cada uno, un "**Agente de KM**", así como los directores y ejecutivos de KM designados para la SCM, no efectuarán Pagos Prohibidos en relación al negocio y operación de la SCM y de cualquiera de sus filiales o personas relacionadas.<br> **/b/** KM, la SCM y los Agentes de KM han cumplido y cumplirán con todas las leyes anticorrupción aplicables, incluidas las leyes de Chile, [●] y la Ley de los Estados Unidos sobre Prácticas Corruptas Extranjeras *U.S. Foreign Corrupt Practices Act, "***FCPA***"*, en adelante las "**Leyes Anticorrupción**".<br> **/c/** Conforme al conocimiento de KM, ningún Agente de KM es un Funcionario Público o Persona Cercana de un Funcionario Público, y ningún Funcionario Público es directa o indirectamente dueño o inversionista. KM informará a SQM, en forma oportuna y por escrito si, en cualquier momento, hay un cambio en cualquiera de las declaraciones realizadas en este párrafo. Si, en opinión de SQM, dicho cambio aumenta los riesgos de cumplimiento relacionados a la SCM, las partes trabajarán conjuntamente para lograr una solución aceptable. Si no se encuentra una solución aceptable, dicho cambio constituirá un fundamento para la terminación de la SCM conforme se establece en la <u>Sección Veintiuno. Cuatro</u> sobre "Terminación" contenida más abajo. | &nbsp;&nbsp;**<u>21.2</u>. Representations and Guarantees:**<br> For the duration of this Agreement and in relation hereto, KM herby represents and guarantees:<br> **/a/** That none of KM's owners, executives, directors, employees, subcontractors, agents, partners or Related Persons, hereinafter each thereof called a "**KM Agent,**" and none of the KM-appointed directors and officers in the SCM, shall make any Prohibited Payments regarding the business and operation of the latter, or any of its subsidiaries or Related Persons;<br> **/b/** That KM, the SCM and all KM's Agents have complied, and will comply, with all applicable anticorruption laws, including the laws of Chile, [●] and the US Foreign Corrupt Practice Act, *"***FCPA**", hereinafter called the "**Anticorruption Laws**";<br>**/c/** That, to KM's knowledge, none of its Agents are Public Officers or Close Persons of any thereof, and no Public Officers are direct or indirect owners or investors, and that it shall inform SQM promptly and writing, if at any time, there were any changes in any of the representations in this paragraph, but if in its opinion, any such changes increased the risk of compliance with reference to the SCM, the parties shall jointly work to reach an acceptable solution, and should they not find any, such changes shall be causes for the SCM's termination as established hereinafter in <u>Section 21.4</u> on "Termination"; |

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[Translation on the right] 43/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **/d/** KM no empleará ni contratará a sub- agentes, personas, entidades o representantes para desempeñar los deberes u obligaciones de KM bajo este Pacto y la SCM, para realizar cualquier acto que KM no pueda realizar conforme a este Pacto, o que constituiría una infracción de este Pacto sin el consentimiento previo y escrito de SQM.<br> **/e/** KM cumplirá con el Código de Ética y la Política de Cumplimiento Anti Soborno y Corrupción de SQM y ha implementado y continuará manteniendo políticas y procedimientos escritos diseñados para asegurar y promover el cumplimiento de las Leyes Anticorrupción, incluyendo procedimientos de *due diligence* basados en riesgo, contratación y monitoreo de terceros. Si KM no cuenta con dichas políticas y procedimientos escritos ya implementados, KM deberá asegurar que dichas políticas y procedimientos sean implementadas dentro de un año.<br> **/f/** KM deberá hacer que la SCM prepare y mantenga libros y registros financieros precisos y razonablemente detallados relacionados con su desempeño y a los pagos efectuados. KM deberá provocar que la SCM diseñe y mantenga un sistema de controles contables internos suficiente para asegurar razonablemente que: **- i-** las transacciones sean ejecutadas y que se dé acceso a los activos sólo en conformidad con la autorización general o específica de la administración; **- ii-** las transacciones sean registradas en la forma en que sea necesaria para permitir la preparación de estados financieros periódicos y para mantener la contabilidad de los activos; y **- iii-** la contabilidad registrada de los activos sea comparada con los activos existentes en intervalos razonables de tiempo y se adopten las acciones que sean adecuadas en caso de existir diferencias. | &nbsp;&nbsp;**/d/** That KM shall not hire or employ any subagents, individuals, organizations or representatives to perform its duties or meet its obligations hereunder, or those of the SCM, or to do anything that KM may not do hereunder, or that would be a breach without SQM's prior written consent;<br> **/e/** That KM shall comply with SQM's Code of Ethics and Anti-Bribery and Anticorruption Compliance Policy; has implemented, and shall continue to maintain, written policies and procedures designed to ensure and promote compliance with the Anticorruption Laws, including due diligence procedures based on third parties' risk, hiring and monitoring, and if it had not yet implemented any such written policies and procedures, it shall ensure that they be implemented within one year;<br> **/f/** That KM shall cause the SCM to prepare and keep accurate and reasonably detailed financial books and records of its performance and payments made, and shall have the SCM design and keep an internal accounting control system sufficient to reasonably ensure: **- i-** that all transactions are made and access to assets given only pursuant to general or specific authorizations of the administration; **- ii-** that all transactions are registered as needed for regularly preparing financial statements and keeping the accounting of assets, and **- iii-** that all asset accounting records are compared against the existing assets at reasonable time intervals, and adequate actions taken in case of any differences; |

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[Translation on the right] 44/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **/g/** En caso que así sea solicitado, mientras SQM sea socio de la SCM y por un plazo de cinco años luego de que haya dejado de serlo, SQM tendrá derecho a auditar y examinar los libros y registros financieros de la SCM y KM de modo de verificar el cumplimiento de este Pacto y de las declaraciones, garantías y compromisos aquí asumidos. KM entregará toda la información y asistencia que sea razonablemente requerida por SQM en relación a dicha auditoría, incluyendo acceso a su personal clave, incluyendo a quienes trabajan por o en representación de la SCM. Las auditorías serán realizadas por los empleados del Departamento de Auditoría Interna de SQM o por un auditor independiente u otra firma profesional mutuamente aceptable para SQM y KM. Los costos de dichas auditorías serán de cargo de la Parte que la solicite.<br> **/h/** La información anticorrupción usada en el *due diligence* previamente entregada por KM a SQM sigue siendo precisa y completa. KM acuerda entregar a SQM la información adicional para el *due diligence* que pueda ser requerida por SQM mientras KM sea socio de la SCM. En caso de cambios significativos de la información de *due diligence* previamente entregada a SQM, KM acuerda notificarle dichos cambios en forma oportuna y por escrito a SQM.<br> **/i/** KM deberá causar la implementación, dentro de un plazo razonable, de una función de cumplimiento independiente en la SCM que la supervise, para monitorear el cumplimiento de las Leyes Anticorrupción. Esa función de cumplimiento independiente incluirá al menos a un representante de SQM. KM deberá asegurar que dentro de los cuarenta y cinco días corridos siguientes a la constitución de la SCM, la función de cumplimiento independiente de la SCM genere la adopción e implementación de políticas y procedimientos escritos que rijan a | &nbsp;&nbsp;**/g/** That, if so requested, while SQM is a partner in the SCM and for a term of 5 years thereafter, SQM shall be entitled to audit and examine the SCM's and KM's financial books and records to verify compliance with this Agreement, and the representations, guarantees and commitments assumed herein, with KM delivering all information and assistance reasonably required by SQM regarding such audits, including access to its key personnel, even those who work for or on behalf of the SCM, audits that shall conducted by employees of SQM's Internal Audit Department, external auditors or other professional firm acceptable to both SQM and KM, with the costs borne by the requesting Party;<br>**/h/** That all anticorruption information used in the due diligence and previously delivered by KM to SQM is still precise and complete, and KM hereby agrees to deliver to SQM any additional due-diligence information that the latter may require while it is a partner in the SCM, and in case of significant any changes to the information previously delivered to SQM in this context, KM also agrees to communicate them thereto promptly and in writing;<br> **/i/** That, within a reasonable period of time, KM shall cause the implementation of an independent compliance role in the SCM to supervise and monitor compliance with the Anticorruption Laws, which shall include at least one SQM representative, and KM shall ensure that within 45 calendar days of its incorporation, the SCM's independent compliance role brings about the adoption and implementation of written governance policies and procedures that also ensure and promote compliance with the Anticorruption Laws, including, but not limited to, an |

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[Translation on the right] 45/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| la SCM, que aseguren y promuevan el cumplimiento de las Leyes Anticorrupción, incluyendo pero no limitado a, una política anticorrupción, una política de viajes y entretenimientos, y un programa de *due diligence* de terceros basado en el riesgo, en adelante las "**Políticas Anticorrupción**", y que sean sustancialmente equivalentes a las Políticas Anticorrupción existentes de SQM. SQM revisará las Políticas Anticorrupción implementadas en la SCM para determinar si son sustancialmente equivalentes.<br> **/j/** A solicitud de cualquier otra parte, KM deberá hacer que la SCM contrate a un abogado externo para asesoría legal sobre asuntos anticorrupción.<br> **/k/** KM acuerda que los Agentes de KM, así como las personas que trabajen en representación de la SCM que puedan interactuar con Funcionarios Públicos, incluyendo sub-agentes o subcontratistas aprobados por SQM, deberán realizar una capacitación de cumplimiento anticorrupción. **/l/** KM acuerda certificar el cumplimiento de las declaraciones y garantías anteriores, y de las Políticas Anticorrupción, anualmente o cuando sea así sea solicitado por SQM.<br> **/m/** Se podrá remover de la SCM a un director y/u otro cargo gerencial identificado en este acuerdo o en otros relacionados y designado por un Socio, con causa justificada, incluyendo la infracción de las Políticas Anticorrupción de la SCM, solo mediante el voto de los directores de la Parte cumplidora.<br> **/n/** Todo aporte que KM haga a la SCM, incluyendo, pero no limitado a, información, estudios, análisis, reportes, informes y muestras relacionadas con concesiones mineras, derechos mineros, concesiones, licencias, permisos y autorizaciones, fueron obtenidos, y se mantendrán, cumpliendo con las Leyes Anticorrupción y todas las otras leyes aplicables. | &nbsp;&nbsp;anticorruption policy, a travel and entertainment policy, a risk-based third-party due diligence program, hereinafter called the "**Anticorruption Policies**", essentially equivalent to SQM's Anticorruption Policies, with SQM verifying that they are so by reviewing them;<br>**/j/** That, at the request of any other parties, KM shall have the SCM hire an external lawyer as counsel on anticorruption issues;<br>**/k/** That KM hereby agrees that its Agents and any individuals working on behalf of the SCM, who may interact with Public Officers, including subagents or subcontractors approved by SQM, must attend an anticorruption compliance training course; **/l/** That KM hereby agrees to certify compliance with the previous representations and guarantees and the Anticorruption Policies, annually or whenever so requested by SQM;<br>**/m/** That any directors or other managers identified herein, or in other related agreements, and appointed by a Partner may be removed from the SCM with justification, including the breach of the SCM's Anticorruption Policies, and only with the vote of the complying Party's board members, and<br> **/n/** That any contributions made by KM to the SCM, including, but not limited to, information, studies, analysis, reports, notifications and samples relating to mining claims or rights, other claims, licenses, permits or authorizations, were obtained and shall be kept in compliance with the Anticorruption Laws and all other applicable laws. |

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[Translation on the right] 46/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>Veintiuno. Tres</u>. Terceros.**<br> La SCM deberá revisar y aprobar o rechazar a todas las Terceras Partes Intermediarias y Socios de Desarrollo Comercial de la SCM conforme a las políticas y procedimientos implementadas en conformidad la letra /i/ de la <u>Sección Veintiuno. Dos</u>. La SCM o KM deberá notificar a SQM antes de contratar a una Tercera Parte Intermediaria o Socio de Desarrollo Comercial y deberá entregar a SQM trimestralmente una lista de todas las Terceras Partes Intermediarias y todos los Socios de Desarrollo Comercial aprobados, además de entregar a SQM informes mensuales de los pagos efectuados a Terceras Partes Intermediarias, incluyendo los materiales de respaldo que sean relevantes. Cuando sea solicitado por SQM, la SCM le entregará a SQM todos los archivos de *due diligence* relacionados y correspondientes a dichas Terceras Partes Intermediarias y dichos Socios de Desarrollo Comercial.<br>**<u>Veintiuno. Cuatro</u>. Terminación.**<br> **/a/** Si SQM razonablemente y de buena fe, y en base a evidencia fidedigna, cree que puede haber habido un incumplimiento de cualquier declaración o garantía establecida en la <u>Sección Veintiuno. Dos</u> sobre "Declaraciones y Garantías" de esta Cláusula, entonces KM deberá cooperar de buena fe para determinar si dicho incumplimiento ha ocurrido. Si SQM determina razonablemente y de buena fe, en base a evidencia fidedigna, que ha habido incumplimiento de cualquiera de dichas declaraciones o garantías de parte de KM, o si KM no coopera de buena fe, tendrá derecho a poner término unilateral e inmediato a su participación en la SCM, o a adoptar otras acciones apropiadas en conformidad con los términos de este Pacto.<br> **/b/** KM acuerda que, si SQM razonablemente y de buena fe, y en base a evidencia | &nbsp;&nbsp;**<u>21.3</u>. Third Parties:**<br>The SCM shall review, and approve or reject, any Intermediary Third Parties and Commercial Development Partners of the SCM per the policies and procedures implemented as provided in Item /i/ of <u>Section 21.2</u>. The SCM and KM shall notify SQM before hiring any Intermediary Third Parties or taking any Business Development Partners, and shall quarterly deliver a list of all approved Intermediary Third Parties and Commercial Development Parties to SQM, as well as monthly reports on payments made to Intermediary Third Parties, including any pertinent supporting documents. At SQM's request, the SCM shall deliver thereto all files on due diligence relating and corresponding to such Intermediary Third Parties and Business Development Partners.<br>**<u>21.4</u>. Termination:** <br> **/a/** If reasonably, in good faith, and based on true evidence, SQM believed that any of the representations or guarantees made in <u>Section 21.2</u> on "Representations and Guarantees" of this clause had been breached, KM shall cooperate in good faith to determine whether any such breaches had actually occurred, and should SQM, also reasonably, in good faith, and based on true evidence, determine that there had indeed been any such beaches by KM, or should KM not cooperate in good faith, SQM shall be entitled to unilaterally and immediately terminate its shareholding in the SCM, or adopt other appropriate actions in accordance with the terms hereof, and<br>**/b/** KM hereby agrees that, if reasonably, in good faith and based on true evidence, SQM |

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[Translation on the right] 47/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| fidedigna, determina que KM ha incumplido cualquier declaración o garantía establecida en la <u>Sección Veintiuno. Dos</u> sobre "Declaraciones y Garantías" de esta Cláusula en relación a la SCM, SQM tendrá una opción para **- i-** comprar a KM toda su participación social en la SCM; o **- ii-** vender a KM o a un tercero toda su participación social en la SCM según como se estable en la <u>Cláusula Décimo Quinta</u> sobre "Derecho de Venta de la Participación de SQM en la SCM".<br>**<u>VIGÉSIMO SEGUNDO</u>: CONFIDENCIALIDAD.**<br> **<u>Veintidós. Uno</u>. Confidencialidad.**<br> Toda la información obtenida en relación con el cumplimiento del Pacto será de propiedad exclusiva de las Partes y confidencial. Exceptuando lo dispuesto más adelante, tal información no será entregada a ningún tercero ni al público en general, sin el consentimiento previo y por escrito de la otra Parte.<br>**<u>Veintidós. Dos</u>. Excepciones.**<br> El consentimiento no será requerido en los casos en que se entregue información a:<br> **/a/** una Empresa Conectada, sus directores, trabajadores, consultores, asesores, contratistas o subcontratistas para el cumplimiento de sus funciones o encargos;<br> **/b/** una agencia u organismo federal o estatal, o cuerpo regulatorio, especialmente bolsas de valores, de acuerdo con las leyes o reglamentos pertinentes o con las normas de cualquier índole;<br> **/c/** un tercero que esté interesado en adquirir una participación en la SCM o en una de las Partes, en las condiciones indicadas en este Pacto, previa suscripción de un acuerdo de confidencialidad; o<br> **/d/** cuando la información de que se trate ya forme parte del dominio público, excepto si fuere por su indebida divulgación por alguna de las Partes. | &nbsp;&nbsp;determined that KM had not complied with any of the representations or guarantees made in <u>Section 21.2</u> on "Representations and Guarantees" of this clause with respect to the SCM, SQM may opt **- i-** for buying all of KM's equity in the SCM; or **- ii-** for selling all its equity in the SCM to KM or any third parties, as stipulated in <u>Clause 15</u> on "SQM's Right to Sell its Interest in the SCM".<br>**<u>TWENTY-SECOND</u> - CONFIDENTIALITY:**<br> **<u>22.1</u> Confidentiality:**<br> Any information obtained regarding the implementation hereof shall be confidential and solely owned by the Parties. Except as provided hereinafter, any such information shall not be delivered to any third parties or the general public without the other Party's prior written consent.<br>**<u>22.2</u>. Exceptions:**<br> The consent shall not be required in cases when information is delivered:<br> **/a/** to any Connected Companies, or any of their directors, workers, consultants, advisors, contractors or subcontractors, for the performance of their duties or commissions;<br> **/b/** to any federal or state agencies or entities, or regulatory bodies, specially stock exchanges, according to any pertinent laws or regulations or rules of any kind;<br> **/c/** to any third parties interested in acquiring interests in the SCM or any of the Parties, in the conditions stated herein, upon subscription of a confidentiality agreement, or<br> **/d/** when the concerned information is already public, except if it is so because of an undue disclosure by any of the Parties. |

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[Translation on the right] 48/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| En los casos indicados en las letras /a/ y /c/ del párrafo anterior, sólo será entregada la información confidencial que el tercero tenga necesidad legítima de conocer para el propósito de cumplir con el objeto de que se señala en dichas letras /a/ y /c/, según corresponda, y sólo si está sujeto a una obligación de confidencialidad y a la prohibición de utilizar dicha información para otro propósito.<br>Además, en todo evento en el caso de la letra /c/ y en el caso que a los consultores, asesores, contratistas o subcontratistas se les entregue información sobre las reservas, recursos mineros o estratégica sobre los Derechos Mineros, el Socio divulgador deberá previamente suscribir un acuerdo de confidencialidad con ellos, en el cual el receptor se obligue a cumplir con lo que se señala en la <u>Cláusula Décimo Sexta</u> sobre "Adquisición de Bienes Restringidos en el Área".<br>**<u>Veintidós. Tres</u>. Anuncios y avisos públicos.**<br> **/a/** En caso que una de las Partes quiera divulgar el hecho de la suscripción del Pacto a la prensa, las Partes deberán acordar el alcance, oportunidad y términos del comunicado en términos consistentes con las políticas de comunicaciones externas de ambas Partes.<br> **/b/** En caso de que alguna de las Partes requiera hacer, por ley o regulación aplicable a la que esté sujeta, algún anuncio o aviso público, distinto a los señalados en la letra /b/ de la <u>Sección Veintidós. Dos</u>, en relación a las materias contenidas en este Pacto, previamente deberá compartir con la otra Parte un proyecto de comunicado y otorgar a dicha Parte un plazo no menor a siete Días Hábiles para revisarlo y dar sus observaciones, mismas que deberán de ser consideradas por la Parte que tenga la obligación de emitir el anuncio o aviso público siempre que se ajusten a la ley o regulación aplicable a la que esté sujeta. | &nbsp;&nbsp;In the cases stated in the previous Items /a/ and /c/, the deliveries shall only include confidential information that such third parties legitimately need to know for the purpose of complying with the matters stated in said Items /a/ and /c/, as applicable, and solely if subject to an obligation of confidentiality and a restriction to use it for any other purposes.<br>Additionally, in all events in the case of Item /c/ with consultants, advisors, contractors or subcontractors receiving information on the reserves, mining resources or strategic data on the Mining Rights, the disclosing Partner shall previously subscribe a confidentiality agreement with them, whereby any such receivers committed to comply with the provisions of <u>Clause 16</u> on "Acquisition of Restricted Assets in the Area". <br>**<u>22.3</u>. Public Announcements and Notices:**<br> **/a/** If one of the Parties wished to disclose the execution hereof to the press, the Parties shall agree the extent, time and terms of such release in a manner consistent with the external communication policies of both Parties, and<br> **/b/** If one of the Parties were required, by any applicable laws or regulation to which it were subject, to issue any public announcements or communication on matters hereunder, other than as stated in Item /b/ of <u>Section 22.2</u>, it shall previously share a draft release with the other Party, and give it a term no shorter than 7 Business Days to review it and present its observations, which shall be considered by the Party obliged to issue the public announcement or release, provided that they adhere to all applicable laws or regulations by which it were governed. |

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[Translation on the right] 49/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>Veintidós. Cuatro</u>. Vigencia.**<br> Las disposiciones de esta Cláusula se aplicarán durante la vigencia del Pacto, y en caso de que éste termine, se aplicarán también por un plazo de dos años contado desde la terminación del Pacto.<br>**<u>VIGÉSIMO TERCERO</u>: CESIÓN Y EFECTOS DEL PACTO**.<br> **<u>Veintitrés. Uno</u>. Cesión**.<br> Exceptuando las transferencias de las Acciones conforme a los términos de este Pacto, ninguna de las Partes podrá ceder ni transferir cualquiera de sus derechos u obligaciones bajo este Pacto sin la autorización previa y por escrito de la otra.<br>**<u>Veintitrés. Dos</u>. Efectos del Pacto con respecto a las Partes, sucesores y cesionarios**.<br> Este Pacto será obligatorio para las Partes y sus respectivos sucesores y cesionarios autorizados.<br>**<u>Veintitrés. Tres</u>. Adhesión al Pacto**.<br> Cada vez que una de las Partes efectúe una transferencia de Acciones, siempre bajo los términos y condiciones establecidos en este Pacto, el tercero adquirente deberá adherirse pura y simplemente al presente Pacto haciendo suyos los derechos y obligaciones que contiene. En razón de ello, el tercero adquirente de las Acciones estará obligado a suscribirlo, en sus mismos términos y condiciones, simultánea y conjuntamente con la adquisición de ellas.<br>**<u>VIGÉSIMO CUARTO</u>: AVISOS, COMUNICACIONES, NOTIFICACIONES Y CONTACTOS**.<br>**<u>Veinticuatro. Uno</u>. Avisos, comunicaciones y notificaciones**.<br> Todos los avisos, comunicaciones o notificaciones que las Partes deban enviar, intercambiar o efectuar en virtud de lo expuesto en este Pacto serán siempre efectuados por escrito. Ellos se harán efectivos y se considerará que han sido entregados: | &nbsp;&nbsp;**<u>22.4</u>. Duration:**<br> The provisions of this clause shall apply throughout the effective term hereof and for two years thereafter, should it be terminated.<br>**TWENTY<u>-THIRD</u> - AGREEMENT ASSIGNMENT AND EFFECTS**:<br> **<u>23.1</u>. Assignment**.<br> Except for transfers of Shares pursuant to the terms hereof, neither Party may assign or transfer any of its rights or obligations hereunder without the other party's prior and written authorization. <br>**<u>23.2</u>. Effects of the Agreement on the Parties, Successors and Assignees:**<br> This Agreement shall be binding to the Parties and their respective authorized successors or assignees. <br>**<u>23.3</u>. Adherence to the Agreement:**<br> Whenever one of the Parties transferred Shares, always under the terms and conditions hereof, any third-party buyers shall pure and simply adhere hereto, assuming the rights and obligations hereunder. Therefore, such third-party buyers of shares shall have to execute it, in the same terms and conditions, simultaneously and concurrently with their respective purchases.<br>**<u>TWENTY-FOURTH</u> - NOTICES, COMMUNICATIONS, NOTIFICATIONS AND CONTACTS:**<br>**<u>24.1</u>. Notices, Communications and Notifications:**<br> All notices, communications and notifications sent, exchanged or issued by the Parties hereunder shall always be in writing, and shall be effective and considered received: |

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[Translation on the right] 50/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **/a/** <u>Si es entrega por mano</u>: en la fecha de entrega si es efectuada en Día Hábil y durante horas normales de oficina, de lo contrario se entenderá entregada el Día Hábil siguiente;<br> **/b/** <u>Si es por comunicación electrónica</u>: el Día Hábil siguiente al día en que se reciba la comunicación electrónica;<br> **/c/** <u>Si es por correo certificado</u>: el Día Hábil siguiente a su recibo efectivo.<br>**<u>Veinticuatro. Dos</u>. Contactos**.<br> Los avisos, comunicaciones o notificaciones se dirigirán a:<br>**/a/** Sociedad Química y Minera de Chile S.A., al señor [●], dirección de correo electrónico [●], con copia al señor [●], dirección de correo electrónico [●], ambos con domicilio en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, Comuna de Las Condes, Región Metropolitana, Chile; o, alternativamente, a la otra persona u otro domicilio que SQM oportunamente informará a KM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula; y<br>**/b/** Key Metals Corporation Chile SpA, al señor [●], dirección de correo electrónico [●], domicilio en [●], comuna de [●]; o, alternativamente, a la otra persona u otro domicilio que KM oportunamente informará a SQM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula.<br>**<u>VIGÉSIMO QUINTO</u>: PAGO E IMPUTACIONES EN DÓLARES.**<br>Salvo disposición específica en contrario en el presente Pacto, todos los pagos e imputaciones y demás similares que se efectúen en Dólar en virtud de lo expuesto en este Pacto se calcularán, previamente y para | &nbsp;&nbsp;**/a/** <u>When delivered by hand</u>: On the date of delivery if a Business Day and during normal business hours, and otherwise, on the next Business Day;<br> **/b/** <u>When sent electronically</u>: On the following Business Day of receipt thereof, and<br> **/c/** <u>When sent by certified mail</u>: On the next Business Day after actual receipt thereof.<br>**<u>24.2</u>. Contacts:**<br> All notices, communications or notifications shall be addressed as follows:<br>**/a/** For Sociedad Química y Minera de Chile S.A., to [●], e-mail address [●], with copy to [●], e-mail address [●], both with address at 4,281, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough,, Metropolitan Region, Chile, or alternatively, to any other persons or addresses promptly informed by SQM to KM in writing and sent as provided in this clause, and<br>**/b/** For Key Metals Corporation Chile Spa, to [●], e-mail address [●], with address at [●], borough of [●]; or, alternatively, to any other persons or addresses promptly informed to by KM to SQM in writing and sent as provided in this clause.<br>**<u>TWENTY-FIFTH</u> - PAYMENT AND CHARGES IN DOLLARS:**<br>Save as otherwise specifically provided herein, all payments and charges, and the like, made in Dollars hereunder shall be previously converted for such purposes according to the Dollar unit value designated |

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[Translation on the right] 51/57

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| tal efecto, de acuerdo con el valor unitario del Dólar a que se hace referencia en el Título I, Capítulo I, número seis, del Compendio de Normas de Cambios Internacionales del Banco Central de Chile denominado "*dólar observado*" que aparezca publicado en el Diario Oficial del Día Hábil bancario anterior al día del pago e imputación que proceda y, consiguientemente, se podrán efectuar en pesos moneda nacional.<br>**<u>VIGÉSIMO SEXTO</u>: PAGO POR TRANSFERENCIA ELECTRÓNICA DE FONDOS**.<br>Los pagos que KM efectúe a SQM por medio de transferencia electrónica de fondos se harán a la cuenta bancaria que para tal efecto SQM le comunique. Para todos los efectos legales, el pago se entenderá efectuado el día en que la cantidad correspondiente al mismo se encuentre totalmente disponible en la cuenta de SQM. Será obligación de KM enviar a SQM los documentos que den prueba de la transferencia de fondos.<br>**<u>VIGÉSIMO SÉPTIMO</u>: INVALIDEZ O INEXIGIBILIDAD.**<br>La invalidez o inexigibilidad de una parte o Cláusula de este Pacto no afectarán la validez u obligatoriedad de otra parte o Cláusula del mismo. Toda parte o Cláusula inválida o inexigible se considerará separada de este Pacto; entendiéndose que las Partes negociarán, de buena fe, una modificación a tal Cláusula inválida o inexigible, con el objeto de cumplir con la intención original de las Partes.<br>**<u>VIGÉSIMO OCTAVO</u>: TÉRMINO ACUERDOS ANTERIORES**.<br>Este Pacto deja sin efecto y reemplaza, totalmente y a partir de este mismo momento, todo otro acuerdo, conversación, convenio, carta, e-mail, fax o contrato oral o escrito que SQM y KM puedan haber anteriormente suscrito o acordado en cualquier tiempo y con | &nbsp;&nbsp;"*observed dollar*" and referred to in Title I, Chapter I, number 6, of the Compendium of Foreign Exchange Regulations of the Central Bank of Chile, as published in the Official Gazette on the bank Business Day prior to the date of the applicable payments and charges, and consequently, they can be made in Chilean pesos.<br>**<u>TWENTY-SIXTH</u> - PAYMENTS BY ELECTRONIC TRANSFER OF FUNDS:**<br>Any payments by KM to SQM via electronic transfers shall be made to the bank account informed by the latter to that end. For all legal purposes, any such payments shall be deemed made on the day when the corresponding amounts were fully available in SQM's account. It shall be KM's obligation to send any documents evidencing such transfers of funds to SQM.<br>**<u>TWENTY-SEVENTH</u> - SEVERABILITY:**<br>The invalidity or unenforceability of any portions or clauses hereof shall not affect the validity or obligatory nature of any other parts or clauses hereof. Any invalid or unenforceable portions or clauses shall be considered separated from this Agreement, in the understanding that the Parties shall negotiate amendments thereof in good faith, so that they meet their original intentions.<br>**<u>TWENTY-EIGHTH</u> - TERMINATION OF PREVIOUS AGREEMENTS:**<br>From now on, this Agreement shall totally annul and replace any other agreements, conversations, arrangements, letters, e-mails, faxes, or oral or written contracts, previously executed or agreed by SQM and KM at any time with regard to the SCM, |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| respecto de SCM, sin perjuicio de lo establecido en los Estatutos Sociales.<br>**<u>VIGÉSIMO NOVENO</u>: MODIFICACIONES A ESTE PACTO**.<br>Toda modificación total o parcial a uno cualquiera de los términos o Cláusulas de este Pacto, sólo y únicamente producirá sus efectos en la medida exclusiva de que ella haya sido previamente convenida por escrito por las Partes.<br>**<u>TRIGÉSIMO</u>: RENUNCIA**.<br>Si una Parte no insiste en el estricto cumplimiento de alguna disposición del Pacto, o si no ejerce un derecho, acción, reclamo o recurso en caso de su infracción, ello no constituirá una renuncia de una disposición del Pacto, ni limitará el derecho de esa Parte para, posteriormente, hacer cumplir una disposición o ejercer un derecho.<br>**<u>TRIGÉSIMO PRIMERO</u>: RESOLUCIÓN DE CONFLICTOS**.<br>Todas las diferencias, dificultades o conflictos que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este Pacto, serán sometidas al conocimiento y decisión de los Tribunales Ordinarios de Justicia con competencia en la ciudad de Santiago.<br>**<u>TRIGÉSIMO SEGUNDO</u>: DOMICILIO Y LEY APLICABLE**.<br>Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este Pacto se rige y regirá siempre por las leyes de la República de Chile.<br>**<u>TRIGÉSIMO TERCERO</u>: DURACIÓN**.<br>El presente Pacto tendrá una duración indefinida y expirará ipso facto y de pleno derecho, en los siguientes eventos:<br> **/a/** de común acuerdo por los Socios, lo que deberá constar por escrito; | &nbsp;&nbsp;without limiting the Articles of Incorporation.<br>**<u>TWENTY-NINTH</u> – AMENDMENTS TO THIS AGREEMENT**:<br>Any total or partial amendments to any terms or clauses hereof shall only and solely have effect to the extent that they had been previously agreed in writing by the Parties.<br>**<u>THIRTY</u> – WAIVER**:<br>That a Party did not enforce the strict compliance with any provisions hereof, or did not exercise any rights, actions, claims or resorts in case of breaches hereof, shall neither be a waiver of any such provisions, nor limit that Party's right to subsequently enforce any of them or exercise any rights.<br>**<u>THIRTY-FIRST</u> - CONFLICT RESOLUTION:**<br>Any differences, difficulties or conflict arising between the Parties for any reasons and under any circumstances directly or indirectly relating hereto shall be submitted for examination and resolution by the ordinary courts of justice with jurisdiction in the city of Santiago.<br>**<u>THIRTY-SECOND</u> – LEGAL ADDRESS AND APPLICABLE LAW**:<br>For all applicable purposes, the Parties specifically set their address in the city and borough of Santiago. This Agreement is, and shall always be, governed by the laws of the Republic of Chile.<br>**<u>THIRTY-THIRD</u> – DURATION**:<br>This Agreement shall have an indefinite duration and shall *ipso facto* and rightfully expire on the following occasions:<br> **/a/** the Partners' mutual agreement, which must be evidenced in writing; |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **/b/** por disolución de la SCM;<br> **/c/** por la adquisición de todas las Acciones por parte de un Socio y/o las empresas que sean Personas Relacionadas con él; y<br> **/d/** conforme a los propios términos establecidos en este Pacto.<br>En estos casos, y sin perjuicio de la terminación del Pacto, subsistirán los efectos, vigencia, obligaciones y cargas de aquellas disposiciones del presente Pacto destinadas a perdurar en el tiempo más allá de la duración de éste, según se desprenda de su tenor y/o alcance y particularmente aquellas que se hayan establecido en beneficio de la Reserva y el Usufructo a favor de SQM.<br>**<u>TRIGÉSIMO CUARTO</u>: CUMPLIMIENTO DEL PACTO.**<br> **<u>Treinta y cuatro. Uno</u>. Cumplimiento del Pacto**.<br>Los Socios se obligan a cumplir con los Estatutos Sociales, y a realizar todas las acciones, actos y contratos que fueran necesarios o útiles para que la SCM cumpla con ellos de conformidad a las normas legales, reglamentarias y convencionales que les sean exigibles o aplicables, así como a las estipulaciones del presente Pacto.<br>**<u>Treinta y cuatro. Uno</u>. Normas de interpretación**.<br>El presente Pacto se interpretará en conjunto con los Estatutos Sociales. No obstante lo anterior, para los efectos de regular las relaciones entre los Socios, y en el evento de surgir disputas entre ellos, las Partes que lo suscriben convienen que en caso de conflicto entre las disposiciones de este Pacto y las disposiciones de los Estatutos Sociales, prevalecerán las disposiciones, términos y condiciones de este Pacto. En todo lo no previsto por este Pacto, serán supletorios los Estatutos Sociales.<br>**<u>Treinta y cuatro. Dos</u>. Promesa de Hecho Ajeno**.<br> La adopción, ejecución o celebración de | &nbsp;&nbsp;**/b/** the SCM's dissolution;<br> **/c/** the acquisition of all Shares by a Partner or companies that were Related Persons thereto, or<br> **/d/** per the terms hereof themselves.<br>In these cases, the effects, validity, obligations and burdens of any provisions hereof intended to survive beyond the duration hereof, as inferred from their wording or scope, shall survive notwithstanding the termination hereof, and particularly those that have been established to the benefit of the Reserve and the Usufruct in favor of SQM.<br>**<u>THIRTY-FOURTH</u> - IMPLEMENTATION OF THE AGREEMENT:**<br> **<u>34.1.</u> Implementation of the Agreement**:<br>The Partners hereby promise to comply with the Articles of Incorporation, take any actions, and execute any acts, contracts or agreements that may be necessary or useful for the SCM to comply with them, in accordance with all enforceable or applicable legal, regulatory and conventional rules, and the stipulations hereof.<br>**<u>34.1</u>.** [SIC] **Rules of Interpretation:**<br>This Agreement shall be interpreted together with the Articles of Incorporation. However, for the purposes of regulating the relationships between the Partners and in the event of any conflicts between them, the Parties hereby agree that, in case of any conflicts between the provisions hereof and those of the Articles of Incorporation, the provisions, terms and conditions hereof shall prevail. The Articles of Incorporation shall supplement anything not provided by this Agreement.<br>**<u>34.2</u>. Promise of Performance by Others:**<br> Making any decisions, or executing, or entering into, any acts, contracts or |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| decisiones, actos y contratos necesarios para el cumplimiento de este Pacto, deben ser ejecutadas o acordadas por las Partes o sus representantes, sea en el curso de la administración ordinaria de la SCM, en un directorio o en una junta de socios, según la materia de que se trate. En este acto y como promesa de hecho ajeno, según los términos del artículo mil cuatrocientos cincuenta del Código Civil, las Partes se obligan a que los directores designados por ellas no infringirán las obligaciones asumidas por las Partes en el presente Pacto, en lo relativo a la administración de la SCM.<br>Con motivo de lo anterior, KM se obliga a causar el cumplimiento por parte de la SCM de todas las obligaciones que en este Pacto se establecen para la SCM y a que éstas - como promesa de hecho ajeno de acuerdo al artículo mi cuatrocientos cincuenta del Código Civil- sean cumplidas por la SCM.<br>**<u>Treinta y cuatro. Tres</u>. Declaración**.<br> Las Partes y sus representantes declaran y garantizan que tienen facultades suficientes para suscribir el presente Pacto, para obligarse y dar cumplimiento al mismo de conformidad a sus términos.<br>**<u>Treinta y cinco. Cuatro</u>. Aceptación del Pacto por la SCM**.<br> Por este acto, SCM [●], sociedad del giro de su denominación, representada según se acreditará, por don [●], cédula nacional de identidad N°[●], ambos domiciliados para estos efectos en [●], acepta el presente Pacto, para lo cual se obliga a cumplir con todos sus términos y condiciones en todo lo que a ella concierna, incluyendo - entre otras-la obligación de suscribir las escrituras públicas de constitución en favor de SQM, y a cumplir y respetar la Reserva, Regalía, Hipoteca y Prohibición SCM y Usufructo. | &nbsp;&nbsp;agreements needed for the implementation hereof must be made or agreed by the Parties or their representatives, in the course of the SCM's ordinary administration, or in board or partners' meetings, depending on the matters. The Parties hereby promise that their respectively appointed board members shall meet the obligations assumed by the Parties in this Agreement in what regards the SCM's administration, and do so as a promise of performance by others according to the terms of Article 1,450 of the Civil Code.<br>Consequently, KM hereby commits to have the SCM meet all of the latter's obligations hereunder, and as a promise of performance by others according to Article 1,450 of the Civil Code, ensure that the SCM does so.<br>**<u>34.3</u>. Representation:**<br> The Parties and their representatives hereby represent and guarantee that they have sufficient authority to subscribe this Agreement, to bind themselves and implement this Agreement per its terms.<br>**<u>35.4</u>.** [SIC] **The SCM's Acceptance of the Agreement:**<br> The SCM [●], a company in the mining business, herein represented, as shall be proven, by [●], national identity card No. [●], both with legal address for the purposes hereof at [●], hereby accepts this Agreement, for which purpose it commits to meet all terms and conditions hereof in anything related thereto, including, among others, the obligation to execute, abide by and adhere to, the notarized and registered documents establishing the Reserve, the Royalty, SCM's Mortgage and Restriction, and the Usufruct in favor of SQM. |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>Treinta y seis. Cinco</u>. Depósito del Pacto**.<br> Una copia autorizada de este Pacto es depositada en la SCM. Presente a este acto, don [●], en representación de la SCM, recibe una copia autorizada de este Pacto y se notifica de sus términos.<br>**<u>TRIGÉSIMO QUINTO</u>: FACULTAD AL PORTADOR**.<br> Se faculta al portador de una copia debidamente firmada de este Pacto para requerir su anotación en el Registro de Accionistas del Conservador de Minas, requerir la inscripción de las prohibiciones contenidas en él, y para materializar las demás medidas de publicidad del Pacto que fueren requeridas; como asimismo para requerir su protocolización en una Notaría de Santiago.<br>**<u>PERSONERÍAS</u>.**<br> La personería de don [●] para representar a Key Metals Corporation Chile SpA consta en escritura pública de fecha [●], otorgada en la Notaría de [Santiago] de don [●].<br> La personería de don [●] y de don [●] para representar a Sociedad Química y Minera de Chile S.A. consta en escritura pública de fecha [●], otorgada en la Notaría de Santiago de don [●].<br> La personería de don [●] para representar a SCM [●] consta en escritura pública de fecha [●], otorgada en la Notaría de Santiago de don [●].<br> [●]<br> pp. **Key Metals Corporation Chile SpA.**<br> [●]<br> pp. **Sociedad Química y Minera de Chile**<br> **S.A.**<br> [●]<br> pp. **Sociedad Química y Minera de Chile**<br> **S.A.**<br> [●]<br> pp. **SCM [●]** | &nbsp;&nbsp;**<u>36.5.</u>** [SIC] **Authenticated Copy to the SCM:**<br> An authenticated copy hereof is hereby given to the SCM, through [●] appearing herein on behalf thereof, who receives it and is informed of the terms hereof.<br>**<u>THIRTY-FIFTH</u> – BEARER AUTHORIZATION:**<br> The bearer of a duly signed copy hereof is hereby authorized to request that it be annotated in the Mine Registrar's Book of Shareholders, as well as the entry of the restrictions herein, and to take any necessary publishing measures, and request the filing thereof at a Santiago notarial office.<br>**<u>POWERS OF ATTORNEY:</u>**<br> [●] has been authorized to represent Key Metals Corporation Chile SpA in a public document executed on [●], at the [Santiago] Notary Office of [●].<br> [●] and [●] have been authorized to represent Sociedad Química y Minera de Chile S.A. in a public document signed on [●], at the Santiago Notary Office of [●].<br> [●] has been authorized to represent the SCM [●] in a public document signed on [●], at the [Santiago] Notary Office of [●].<br> [●]<br> For **Key Metals Corporation Chile SpA**<br> [●]<br> For **Sociedad Química y Minera de Chile**<br> **S.A.**<br> [●]<br> For **Sociedad Química y Minera de Chile**<br> **S.A.**<br> [●]<br> For **the SCM [●]** |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| *-El resto de la página se deja intencionalmente en blanco.-* |
| ![](ex10-21_004.jpg)<br>![](ex10-21_005.jpg)<br> &nbsp;&nbsp; <br> [Stamp on the top right corner of all odd pages:<br>MARÍA SOLEDAD SANTOS MUÑOZ, NOTARY ASSIGNED, SANTIAGO 7<sup>th</sup> NOTARY OFFICES]<br>[Stamp on the bottom right of all odd pages:<br> MARÍA SOLEDAD SANTOS M., NOTARY PUBLIC, SANTIAGO 7<sup>th</sup> NOTARY OFFICES, ATTESTING, SANTIAGO CHILE] |

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| ***Anexo Diez.** Siete* | ***Appendix 10.7*** |

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| **<u>Anexo N° 15.2 /b/ - i</u>**: **Precio justo de<br> mercado.**<br> **1. Definiciones.**<br>**/a/** "**Consultor"**: Significa un consultor de reconocido prestigio con experiencia en la industria minera y designado de conformidad con lo establecido en este Anexo.<br> **/b/** "**Precio Justo de Mercado"**: Significa el precio de la participación de SQM en la SCM, según sea determinado por el Consultor, en términos y condiciones de mercado prevalecientes en ese momento.<br>**2. Determinación del Precio Justo de Mercado.**<br>**/a/** En la comunicación en que SQM notifique a KM su decisión de ejercer su derecho de venta, SQM designará al Consultor, a su sola elección, de una cualquiera de las siguientes empresas o a alguno de sus sucesores: SRK Consulting, Golder Associates, Wood Group y Hatch<br> **/b/** El Consultor deberá determinar el Precio Justo de Mercado en un plazo no mayor a sesenta Días Hábiles contados a partir de la fecha de su designación.<br> **/c/** Las Partes se obligan a cooperar con el Consultor y a proporcionarle, o causar que la SCM le proporcione, la información que razonablemente solicite para el cumplimiento de su encargo, incluyendo de manera enunciativa, los libros, registros, contabilidad, reportes, contratos e información técnica relativa a los Derechos Mineros, según corresponda.<br> **/d/** Para efectos de determinar el Precio Justo de Mercado, el Consultor deberá tomar en cuenta los siguientes factores:<br> **-i-** los trabajos, resultados e interpretación de exploración realizados hasta la fecha;<br> **-ii-** los estudios de estimación de recursos;<br> **-iii-** los estudios de ingeniería; | &nbsp;&nbsp;**<u>Appendix 15.2 /b/ - i</u>**: **Fair <u>Market</u> Price:**<br>**1. Definitions:**<br>**/a/** "**Consultants"** shall mean any prestigious consulting firm with experience in the mining industry designated per this Appendix, and<br>**/b/** "**Fair Market Price"** shall refer to the price of SQM's Shares in the SCM, as determined by the Consultants, at arm's length conditions prevailing at that time;<br>**2. Determination of the Fair Market Price:**<br>**/a/** In its notice advising KM of its decision to exercise its right of sale, SQM shall designate the Consultants, at its discretion, among any of the following companies or their successors: SRK Consulting, Golder Associates, Wood Group and Hatch;<br> **/b/** The Consultants shall determine the Fair Market Price within a maximum of 60 Business Days of their appointment;<br>**/c/** The Parties hereby promise to cooperate with the Consultants and furnish them, or have the SCM furnish them, any information that they may reasonably request to complete their commission, including, without limitation, all pertinent books, records, accounting, reports, contracts, agreements and technical information on the Mining Rights;<br> **/d/** For the purposes of determining the Fair Market Price, the Consultants shall take into account the following factors:<br> **-i-** exploration works, results and interpretation as at that date;<br> **-ii-** resource estimation studies;<br> **-iii-** engineering studies; |

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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 1/2 |

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| **-iv-** servidumbres mineras, derechos de aprovechamientos de aguas, acuerdos con comunidades, licencias y permisos;<br> **-v-** la preferencia y derechos de las Acciones de SQM; y<br> **-vi-** cualquier otra información que considere relevante.<br> **/e/** La decisión del Consultor será obligatoria para las Partes, renunciando ellas desde ya a todos los recursos legales.<br> **/f/** Los honorarios del Consultor serán cubiertos por SQM.<br>| &nbsp;&nbsp;**-iv-** mining easements, water use rights, agreements with communities, licenses and permits;<br> **-v-** preference and rights of **SQM's** Shares, and<br> **-vi-** any other information deemed relevant;<br> **/e/ The Consultant's decision shall binding to** the Parties, who hereby waive any legal actions, and<br> **/f/ The Consultant's fees shall be covered by** SQM. |
| *-El resto de la página se deja intencionalmente en blanco.-* | &nbsp;&nbsp;*-The remainder of this page has been intentionally left blank.-*<br>|
| [Al dorso, encabezado] **Anexo Diez.Siete** | &nbsp;&nbsp;[On the back, header] **Appendix 10.7**<br>|
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| [Translation on the right]<br>[All stamps have been copied and pasted at the client's request, and<br>translated at the end, as applicable.] | ![](forms-1pg130_002.jpg) | 2/2 |

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| &nbsp;&nbsp;<br> **<u>/e/ ANEXO DIECISÉIS. TRES</u>:**<br> USUFRUCTO.<br>*-El resto de la página se deja intencionalmente en blanco.-*<br>*-El resto de la página se deja intencionalmente en blanco.-* | &nbsp;&nbsp;**<u>/e/ APPENDIX 16.3:</u>** <u>USUFRUCT</u> <br>*-The remainder of this page has been intentionally left blank.-*<br>*-The remainder of this page has been intentionally left blank.-* |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;**<u>CONTRATO DE COMPRAVENTA Y<br> CONSTITUCIÓN DE USUFRUCTO<br> MINERO</u>**<sup>1</sup><br>**<u>SCM [●]</u>** <br> **<br> Y**<br> **<u>SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.</u>** <br>**-Sector Fiel Rosita-**<br>|
| &nbsp;&nbsp;EN SANTIAGO DE CHILE, a [●] de [●] de dos mil [●],<br> Entre SCM [●], rol único tributario número [●], sociedad contractual minera, del giro de su denominación, representada por don [●], [nacionalidad], [estado civil], [profesión u oficio], cédula de identidad número [●], ambos domiciliados, para estos efectos, en [●], comuna de [●], en adelante la "**SCM**", por una parte;<br> y por la otra, **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, rol único tributario número noventa y tres millones siete mil guion nueve, sociedad anónima del giro de su denominación, representada por don [●], [nacionalidad], [estado civil], [profesión u oficio], cédula de identidad número [●], y don [●], [nacionalidad], [estado civil], [profesión u oficio], cédula de identidad número [●], todos domiciliados, para estos efectos, en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, comuna de Las Condes, Región Metropolitana, en Adelante "**SQM**"; y SQM e individualmente denominadas la "**Parte**" y conjuntamente, las "**Partes**"; se ha acordado celebrar el siguiente contrato de compraventa y constitución de usufructo minero, en adelante el "**Contrato**":<br><sup>1</sup> A otorgarse por escritura pública.<br>**PRIMERO: ANTECEDENTES.**<br> **Uno. Uno. Contrato de Exploración y Promesa y constitución de SCM [●]**<br> &nbsp;&nbsp;IN SANTIAGO, CHILE, on [●] [●], 202[●], SCM [●], taxpayer identification No. [●], a contract mining company engaged in mining operations, herein represented by [●], [nationality] [profession or activity], [marital status], identification card No. [●], both with address, for the purposes hereof, at [●], [●] borough, party of the first part, hereinafter called the "**SCM**", and<br> **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, taxpayer identification No. 93,007,000-9, a corporation in the business of its name, i.e. mining and chemicals, herein represented by [●], [nationality] [profession or activity], [marital status], identification card No. [●], and [●], [nationality] [profession or activity], [marital status], identity card No. [●], all of them with address, for the purposes hereof, at 4,281, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, party of the second part, hereinafter called "**SQM**", with [●] and SQM hereinafter called a "**Party**", and collectively, the "**Parties**", have agreed on the following purchase and mining usufruct agreement, hereinafter called the "**Agreement**":<br><sup>1</sup> To be executed as a public deed.<br>**<u>FIRST</u> – BACKGROUND:**<br> **1. 1. Exploration Agreement and Promise, and the Incorporation of SCM [●]:** |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;<br>**/a/** Por escritura pública otorgada con fecha [●] de [●], en la Notaría de [●], SQM y Key Metals Corporation Chile SpA, en adelante "**KM**", celebraron un Contrato de Exploración Minera y Promesa Unilateral de Constitución de Sociedad, en adelante el "**Contrato de Exploración y Promesa**".<br> **/b/** Con motivo del ejercicio de la promesa efectuada en virtud del Contrato de Exploración y Promesa se constituyó SCM [●]*,* según consta en escritura pública de fecha [●] otorgada ante el Notario Público de Santiago don [●].<br> **/c/** Según los pactado en el Contrato de Exploración y Promesa, y con motivo de la constitución de la SCM y del aporte en dominio de ciertas concesiones mineras de explotación que efectuó SQM a la SCM, por este acto la SCM, en los términos de este Contrato, constituye un usufructo sobre cada uno de los Derechos Mineros, en favor de SQM.<br>**<u>Uno. Dos</u>. Concesiones Mineras de Explotación.**<br> En el acto de constitución de la SCM, SQM aportó en dominio a la SCM las siguientes concesiones mineras de explotación:<br> [*Insertar concesiones mineras de explotación inscritas a nombre de la SCM*]<br>**<u>Uno. Tres</u>**. **Área**.<br> El área efectiva o de extensión territorial que comprenden las concesiones mineras de explotación singularizadas en la Sección anterior es de aproximadamente [●] hectáreas, ubicada en la Región de Atacama, en adelante el "**Área**". Tanto dichas concesiones mineras de explotación como el Área se grafican ilustrativamente en los planos que se adjuntan como <u>Anexo Uno. Tres</u> de este Contrato, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo para todos los efectos a que pueda haber lugar. | &nbsp;&nbsp;**/a/** SQM and Key Metals Corporation Chile SpA, hereinafter called "**KM**", executed a Mining Exploration Agreement and Unilateral Promise of Incorporation, on [●], [●], at the Notary Office of [●], which was further entered in public records, hereinafter called the "**Exploration Agreement and Promise**";<br> **/b/** As promised under the Exploration Agreement and Promise, SCM [●] was incorporated in a public deed executed on [●] before [●], Santiago Notary Public, and<br> **/c/** As agreed in the Exploration Agreement and Promise, and on the occasion of the SCM's incorporation and the contribution of the ownership of a number of mining claims for exploitation by SQM to the latter, the SCM hereby establishes an ufufruct on each of the Mining Rights in favour of SQM, in the terms herein.<br>**<u>1.2</u>. Mining Claims for Exploitation:**<br> Upon the SCM's incorporation, SQM contributed thereto the ownership of the following awarded mining claims for exploitation:<br> [*Insert the mining claims for exploitation registered to the SCM*]<br>**<u>1.3</u>**. **Area:**<br> The effective area or territory covered by the mining claims for exploitation identified in the previous section is approximately [●] hectares in the Atacama Region, hereinafter called the "**Area**". Both the forenamed mining claims for exploitation and the Area are illustrated on the map enclosed as <u>Appendix 1.3</u> hereto, which has been entered on this date in the records of these Notary offices, and shall be deemed an integral part hereof for all applicable purposes. |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp; Las señaladas concesiones mineras de explotación han sido referidas en el plano de acuerdo con las coordenadas planas universales transversales de Mercator, referidas en el Datum Provisional Sudamericano La Canoa de fecha mil novecientos cincuenta y seis, Elipsoide de Referencia Internacional de fecha mil novecientos veinticuatro, en base a los vértices de cada uno de ellos.<br>**<u>SEGUNDO</u>: DEFINICIONES, INTERPRETACIÓN Y VENCIMIENTO DE PLAZOS.**<br> **<u>Dos. Uno</u>. Definiciones.**<br> Los términos escritos con mayúscula tendrán, para efectos de este Contrato, el significado que en esta Cláusula se señala:<br> **/a/ "Área"**: Se define en la <u>Sección Uno. Tres</u>.<br> **/b/** "**Contrato**": Significa el presente instrumento.<br> **/c/** "**Contrato de Exploración y Promesa**": Se define en la <u>Sección Uno. Uno</u>.<br> **/d/** "**Derecho a Renuncia**": Se define en la letra /a/ de la <u>Cláusula Séptima</u>.<br> **/e/** "**Derechos Mineros**": Son las concesiones mineras de explotación, aportadas por SQM a la SCM y singularizadas en la <u>Sección Uno. Dos</u>. Asimismo, formarán parte de los Derechos Mineros cualquier solicitud, manifestación, pedimento, concesión minera de exploración y/o de explotación de propiedad de la SCM o que la SCM constituya o adquiera en el Área, ya sea por cuenta propia o a nombre de terceros, sea que reemplacen, prorroguen o no, o se superpongan total o parcialmente a cualquiera de los Derechos Mineros.<br> **/f/** "**Derechos Mineros a Abandonar**": Se define en la letra /a/ de la <u>Cláusula Séptima</u>.<br> **/g/** "**Día Hábil**": Significa un día que no sea un sábado, domingo u otro día feriado en Chile. <br>| &nbsp;&nbsp;The forenamed mining claims for exploitation have been referenced on the map according to the Mercator universal transverse plane coordinates, as stated in the Provisional South American Datum at La Canoa of 1956, based on their respective vertices in the International Reference Ellipsoid of 1924.<br>**<u>SECOND</u> - DEFINITIONS, INTERPRETATION AND DEADLINES:**<br> **<u>2.1</u>. Definitions:**<br> For the purposes hereof, the following words or expressions with initial capitals shall have the meanings respectively provided in this clause:<br> **/a/ "Area"** is defined in <u>Section 1.3</u>;<br> **/b/** "**Agreement**" shall refer to this instrument;<br> **/c/** "**Exploration Agreement and Promise**" is defined in <u>Section 1.1</u>;<br> **/d/** "**Right of Waiver**" is defined in Item /a/ of <u>Clause 7</u>;<br> **/e/** "**Mining Rights**" shall comprise the mining claims for exploitation contributed by SQM to the SCM and described in <u>Section 1.2</u>, as well as any requests, statements of discovery, petitioned mining claim for exploration, and awarded mining claims for exploration or exploitation, owned by the SCM or that it may be awarded or purchase in the Area, for itself or on behalf of any third parties, and that may replace, extend or not, or fully or partly overlap any of the Mining Rights;<br> **/f/** "**Mining Rights to be Abandoned**" are defined in Item /a/ of <u>Clause 7</u>;<br> **/g/** "**Business Day**" shall mean any day that is not a Saturday, Sunday or other holiday in Chile; |

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| &nbsp;&nbsp;**/h/** "**Dólar**" o "**Dólares**": Significa la moneda denominada dólar de los Estados Unidos de América.<br> **/i/** "**Empresa Conectada**": Significa, con respecto a cada Parte, cualquier persona que, directa o indirectamente, controle, sea controlada por o esté bajo común control con dicha otra persona. Para efectos de esta definición, "Control" se debe entender en base a la definición contenida en el artículo 97 de la Ley N°18.045 de Mercado de Valores.<br> **/j/** "**KM**": Se define en la letra /a/ de la <u>Sección Uno. Uno</u>.<br> **/k/** "**Leyes Anticorrupción**": Se define en la letra /a/ de la <u>Cláusula Novena</u>.<br> **/l/** "**Políticas SQM**": Se define en la letra /a/ de la <u>Cláusula Novena</u>.<br> **/m/** "**Precio de la Compraventa**": Se define en la letra /a/ de la <u>Cláusula Novena</u>.<br> **/n/** "**Prohibición**": Se define en la <u>Sección Cuatro. Doce</u>.<br> **/o/** "**Sustancias No Metálicas**": Comprenden e incluyen, entre otras y a título meramente ilustrativo, a aquellas que tienen azufre, sodio, nitrato, potasio, fosfato, yodo, sulfato, borato, carbonato, magnesio y litio en cualquiera de sus formas o compuestos - independientemente de que las mismas se encuentren en minerales, en salmueras o en otros cuerpos o estados- y todos los subproductos y sales asociadas que directa o indirectamente se deriven de dichas sustancias - y que, entre otros, comprenden e incluyen a los subproductos nitrato de sodio, nitrato de potasio, sulfato de sodio, sulfato de potasio, cloruro de potasio, ácido bórico, carbonato de litio y sulfato de litio.<br> **/p/** "**Usufructo**": Se define en la <u>Sección Cuatro. Uno</u>.<br>**<u>Dos. Dos</u>. Interpretación.**<br> En este Contrato se entenderá, salvo que el contexto requiera algo distinto, lo siguiente: | &nbsp;&nbsp;**/h/** "**Dollar**", "**Dollars**" or "**USD**" shall refer to dollars of the United States of America;<br> **/i/** "**Connected Company**", regarding each Party, shall mean any company directly or indirectly controlling, being controlled or under common control with that other company, and for the purposes of this definition, "Control" must be understood per the definition provided in Article 97 of Law No. 18,045 on stock markets;<br> **/j/** "**KM**" is defined in Item /a/ of <u>Section 1.1</u>;<br> **/k/** "**Anticorruption Laws**" are defined in Item /a/ of <u>Clause 9</u>;<br> **/l/** "**SQM's Policies"** are defined in Item /a/ of <u>Clause 9</u>;<br> **/m/** "**Purchase Price**" is defined in Item /a/ of <u>Clause 9</u>;<br> **/n/** "**Restriction**" is defined in <u>Section 4.12</u>.;<br> **/o/** "**Non-Metallic Substances**" shall comprise and include, among others and only as examples, any substances containing any forms or compounds of sulphur, sodium, nitrate, potassium, phosphate, iodine, sulphate, borate, carbonate, magnesium or lithium, regardless of they being in ores, brines, or any other bodies or states, and any other by-products and salts directly or indirectly associated with, or derived from, any such substances, covering and including, among others, any sodium or potassium nitrate, sodium or potassium sulphate, potassium chloride, boric acid, lithium carbonate or lithium sulphate by-products, and<br> **/p/** "**Usufruct**" is defined in <u>Section 4.1</u>.<br>**<u>2.2</u>. Interpretation:**<br> Unless the context required otherwise, the interpretation hereof shall consider: |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;**/a/** los títulos sirven sólo para mayor conveniencia y no afectarán la interpretación de este Contrato;<br> **/b/** a menos que se especifique lo contrario, las referencias a "Cláusulas", "Secciones". y "Anexos" constituyen referencias a las cláusulas, secciones, subsecciones y anexos de este Contrato;<br> **/c/** la referencia a plural tendrá el mismo significado que el singular definido precedentemente, y viceversa; y<br> **/d/** la referencia a cualquier documento o convenio, incluyendo este Contrato, debe entenderse que incluye las referencias a tal documento o convenio, según sea modificado, complementado o sustituido de tiempo en tiempo, si tal modificación, complemento o sustitución está específicamente autorizada por este Contrato de conformidad con sus términos, y según sea aplicable, sujeto al cumplimiento de los requisitos contenidos en aquél.<br>**<u>Dos. Tres</u>. Vencimiento de plazos.**<br> En el caso que un plazo venciere un día sábado, domingo o festivo, el plazo se prorrogará hasta el Día Hábil inmediatamente siguiente.<br>**<u>TERCERO</u>: DECLARACIONES.**<br> **/a/** La SCM declara que a la fecha del presente instrumento los Derechos Mineros le pertenecen en dominio exclusivo y se encuentran libres de gravámenes, hipotecas, cargas, litigios, prohibiciones de gravar y enajenar u otras restricciones, embargos, medidas precautorias, condiciones resolutorias, derechos preferentes de terceros, regalías voluntarias y convencionales; y que no son objeto de avío, promesa de venta, opciones, regalías convencionales, ventas condicionales o a plazo, ni de ningún otro acto o contrato destinado a transferir el dominio de dichos Derechos Mineros o a darlos en garantía de otras obligaciones, ni de otros impedimentos | &nbsp;&nbsp;**/a/** that all titles are only provided by way of convenience and shall not affect the interpretation of this Agreement;<br> **/b/** that, unless otherwise specified, any references to "Clauses", "Sections" and "Appendices" shall refer to the clauses, sections, subsections hereof, and appendices hereto;<br> **/c/** that any plural forms shall have the same meaning as their previously defined singular forms, and *vice versa*, and<br> **/d/** that any references to documents or agreements, including this Agreement, shall be understood as also including references to any eventual amendments or addenda thereto, as well as any replacements thereof, provided that such amendments, addenda or replacements were specifically authorized herein, according to the terms hereof, and conditioned to meeting all of the requirements<br> thereunder, as applicable.<br>**<u>2.3</u>. Deadlines:**<br> If a deadline fell on a Saturday, Sunday or holiday, it shall be postponed to the immediately following Business Day.<br>**<u>THIRD</u> - REPRESENTATIONS:**<br> /**a/** The SCM hereby represents that, on this date, it is the sole owner of the Mining Rights, which are free of any liens, mortgages, encumbrances, litigations, restrictions to encumber them or dispose thereof, and any other limitations, seizures, precautionary measures, conditions subsequent, third parties' preferential rights, voluntary or conventional royalties, and that none of them are subject to any financing credits, sale promises, options, conventional royalties [SIC], conditional sales or sales in instalments, or any other acts, contracts or agreements aimed at transferring the ownership thereof or giving them as security of other obligations, or any other impediments<br>|

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;que afecten su libre disposición o la constitución del Usufructo y de la Prohibición. La SCM también declara que se han pagado de manera íntegra y oportuna todas las patentes mineras que amparan los Derechos Mineros.<br> **/b/** La SCM, a solicitud de SQM, se obliga a suscribir todos aquellos instrumentos que puedan ser necesarios para llevar a efecto los fines del presente instrumento, en especial pero no limitado a la inscripción, sub-inscripción y anotación de los mismos en los registros pertinentes.<br> **/c/** Nada de lo señalado en el presente instrumento podrá interpretarse como que crea, sea en forma expresa o implícita, un joint venture o asociación, sociedad minera, sociedad comercial u otra relación societaria de cualquier tipo o que imponga sobre alguna de las Partes algún deber, obligación o responsabilidad de naturaleza societaria o algún deber, obligación o responsabilidad de carácter fiduciario con respecto a la otra Parte concurrente a este acto.<br> **/d/** Este instrumento no modifica, extingue ni limita los derechos que tenga SQM en virtud del Contrato de Exploración y Promesa, de la constitución de la SCM, del Acuerdo de Regalía NSR, Hipoteca y Prohibición, otorgado con esta misma fecha en esta misma Notaría, y de todo contrato o acuerdo entre SQM y KM.<br>**<u>CUARTO</u>: COMPRAVENTA Y CONSTITUCIÓN DE USUFRUCTO.** <br> **<u>Cuatro. Uno</u>. Usufructo.**<br> En este acto la SCM vende, cede y transfiere a SQM, quien compra, acepta y adquiere, en los términos que se pactan en este instrumento, y de acuerdo al artículo ciento setenta y uno del Código de Minería, usufructo en favor de SQM sobre los Derechos Mineros, en el cual el uso y goce de los Derechos Mineros se circunscribirá y limitará a las Sustancias No Metálicas | &nbsp;&nbsp;affecting the free disposal thereof or the establishment of the Usufruct and Restriction, and that all mining licenses sheltering the Mining Rights have been fully and promptly paid;<br> **/b/** At SQM's request, the SCM hereby commits to sign any instruments needed to carry out the purposes hereof, especially, but not limited to, the entry, sub-entry and annotation hereof in the relevant registries;<br> **/c/** Nothing herein may be interpreted as tacitly or expressly creating any joint ventures or partnerships, mining or commercial companies, or any other kind of corporate relationships imposing any corporate or trustee duties, obligations or liabilities on either Party in respect of the other, and<br> **/d/** This instrument shall not modify, extinguish or limit any of SQM's rights under the Exploration Agreement and Promise, the SCM's Incorporation, or the NSR Royalty, Mortgage and Restriction Agreement executed on this date at these notary offices, or any other contracts or agreements between SQM and KM.<br>**<u>FOURTH</u> - USUFRUCT PURCHASE:**<br> **<u>4.1</u>. Usufruct:**<br> The SCM hereby sells, assigns and transfers a usufruct on the Mining Rights to SQM, which in turn purchases, accepts and acquires it, in the terms agreed herein, and, per Article 171 of the Chilean Mining Code, whereby the use and enjoyment of the Mining Rights shall be restricted and limited to the Non-Metallic Substances contained therein, with SQM specially authorized to explore for, mine and remove them as their |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;contenidas en ellos, facultando especialmente a SQM para explorar y explotarlos y poder retirar las Sustancias No Metálicas ubicadas en ellos como su único dueño, en adelante el **"Usufructo".**<br>**<u>Cuatro. Dos</u>. Precio de la Compraventa**.<br> **/a/** El precio de la compraventa del Usufructo es la cantidad de cien <u>Dólares</u>, por cada Derecho Minero, resultando un total de [●] Dólares, equivalente a <u>[●] pesos</u>, moneda nacional, en adelante como el **"Precio de la Compraventa"**, cantidad que SQM paga a la SCM, declarando esta última recibirlos a su entera satisfacción.<br> **/b/** El Precio de la Compraventa y los términos del Usufructo fueron valorizados por SQM y KM al determinar los pagos y precios establecidos en el Contrato de Exploración y Promesa.<br>**<u>Cuatro. Tres</u>. Liberación.**<br>La SCM exime y libera a SQM, quien no tendrá ningún tipo de obligación ni carga al respecto, de:<br> **/a/** la obligación de prestar caución suficiente de conservación y restitución y de hacer inventario solemne, entendiendo - además-por aplicación de lo dispuesto en el artículo ciento setenta y uno del Código de Minería, que la explotación de las Sustancias No Metálicas, hecha conforme a lo dispuesto en el presente instrumento, constituye uso y goce legítimo de los Derechos Mineros, no siendo responsable SQM de la disminución de Sustancias No Metálicas en los Derechos Mineros que a consecuencia de tal explotación sobrevenga;<br> **/b/** efectuar pago adicional al Precio de la Compraventa, ni siquiera por concepto de cargas fructuarias o por lo intereses que se señalan en los artículos setecientos noventa y cinco a setecientos noventa y siete del Código Civil - inclusive-, y sólo será responsable de sus propios hechos y omisiones, y | &nbsp;&nbsp;single owner, hereinafter called the **"Usufruct".**<br>**<u>4.2</u>. Purchase Price:**<br> **/a/** The Usufruct purchase price shall amount to <u>USD 100</u> per Mining Right, totalling <u>USD [●]</u>, equivalent to <u>CLP [●]</u>, hereinafter called the **"Purchase Price"**, which SQM hereby pays to the SCM, and the latter states to have satisfactorily received, and<br>**/b/** The Usufruct Purchase Price and terms were valued by SQM and KM when determining the payments and prices set forth in the Exploration Agreement and Promise.<br>**<u>4.3</u>. Release:**<br>The SCM hereby exempts and releases SQM, which shall not have any kind of obligation or burden in this respect:<br> **/a/** from the obligation of providing sufficient conservation and restitution security, or making a sworn inventory, also understanding that, per the provisions of Article 171 of the Chilean Mining Code, exploiting Non-Metallic Substances, as provided herein, shall be a rightful use and enjoyment of the Mining Rights, and that SQM shall not be liable for any reduction in such Non-Metallic Substances contained therein resulting from this exploitation;<br> **/b/** from making any payments other than the Purchase Price, not even for burdens to the beneficially own property, or for the interests provided in Articles 795 to 797 of the Chilean Civil Code, thus SQM being liable only for its own actions and omissions, and<br>|

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| &nbsp;&nbsp;**/c/** la mantención, protección, amparo, defensa, vigencia, tributos y cargas que graven los Derechos Mineros, siendo éstos obligación y de costo, cuenta y responsabilidad de la SCM.<br>**<u>Cuatro. Cuatro</u>. Vigencia.**<br>**/a/** Este Contrato y el Usufructo tendrán una duración de treinta años a contar de la fecha de la presente escritura [o el máximo período que contemple la ley a la fecha del presente instrumento].<br> **/b/** En ningún caso el Usufructo se extinguirá por no ejercerse o no hacerse uso o goce de él.<br>**<u>Cuatro. Cinco</u>. Derechos al término del Usufructo.**<br>Una vez que el Usufructo se extinga, SQM tendrá el derecho, pero no la obligación, asumiendo la SCM la obligación respectiva, de:<br> **/a/** constituir nueva y sucesivamente el Usufructo en los mismos términos que se señala en este Contrato; o<br> **/b/** suscribir con la SCM una compraventa de minerales in situ y adquirir de aquélla, a un valor nominal, fijo y total del equivalente en pesos a cien Dólares, la totalidad de las Sustancias No Metálicas que se pudieren encontrar en los Derechos Mineros, conviniendo un plazo para su extracción por parte de SQM, conforme las necesidades que ésta acredite para tal efecto.<br>**<u>Cuatro. Seis</u>. Prohibición de arrendar.**<br>La SCM no podrá arrendar, entregar el uso o goce de los Derechos Mineros hasta que se extinga el Usufructo o una vez que SQM haya hecho ejercicio de su derecho señalado en la letra /b/ de la <u>Sección Cuatro. Cinco</u>.<br>**<u>Cuatro. Siete</u>. Interferencia con las operaciones de la SCM.**<br>**/a/** Si SQM, efectuando sus operaciones en el Área con motivo del Usufructo, interfiere en algún momento con las operaciones de la  | &nbsp;&nbsp;**/c/** from maintaining, protecting, sheltering or defending the Mining Rights, keeping them valid, or paying any taxes or burdens levied thereon, which shall be all obligations and responsibilities on the SCM's account, and at its own cost.<br>**<u>4.4</u>. Duration:**<br>**/a/** This Agreement and the Usufruct shall be effective for 34 years of the date hereof [or the legally permitted maximum duration as on the date hereof], and<br> **/b/** In no case, shall the Usufruct extinguish for not having been used or enjoyed, or because the right had not been exercised.<br>**<u>4.5</u>. Rights upon the Usufruct Termination:**<br>Upon extinction of the Usufruct, SQM shall have the right, but not the obligation, which shall be undertaken by the SCM:<br> **/a/** of establishing a new and successive Usufructs in the same terms hereunder, or<br> **/b/** of executing an agreement with the SCM to buy minerals in-situ, and buy all the Non-Metallic Substances that may be found in the Mining Rights from the latter, for a nominal, fixed and total price in Chilean pesos equivalent to USD 100, with an agreed term for the extraction thereof by SQM, according to what the latter may prove necessary.<br>**<u>4.6</u>. Lease Prohibition:**<br>The SCM may not rent or lease out, or deliver the use or enjoyment of, the Mining Rights until the Usufruct had extinguished or SQM had exercised its right previously provided in Item /b/ of <u>Section 4.5</u>.<br>**<u>4.7</u>. Interference with the Company's Operations:**<br>**/a/** If while running its operations in the Area by virtue of the Usufruct, SQM interfered with the SCM's operations at any time, and this |

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| &nbsp;&nbsp;SCM, la SCM - si fuese afectada- enviará una comunicación por escrito a SQM señalando y demostrando las razones de dicha interferencia para que - en un plazo de al menos treinta Días Hábiles- adecue sus actividades o las suspenda por un periodo no superior a un mes. En dicha comunicación además se indicará el lugar de interferencia y si SQM tiene que hacer retiro de maquinaria u otros materiales.<br> **/b/** En el evento que la SCM desee suspender las actividades de SQM por más de un mes, utilizará el procedimiento que se señala en la <u>Sección Cuatro. Diez</u> sobre "Área de Instalaciones".<br>**<u>Cuatro. Ocho</u>. Pagos por actividades de SQM**.<br>SQM no pagará monto alguno a la SCM, con motivo de lo expuesto en esta Cláusula, especialmente, pero no limitado al Usufructo - distinto a su precio-, cuestión que es de la esencia de este Contrato.<br>**<u>Cuatro. Nueve</u>. Permisos y autorizaciones.**<br>**/a/** SQM obtendrá los permisos y autorizaciones que sean necesarios para sus trabajos de exploración y de explotación en relación con las Sustancias No Metálicas, y cumplir con todas y cada una de las disposiciones legales y reglamentarias vigentes que procedan, en especial con la Ley número diecinueve mil trescientos y sus reglamentos y con la Ley veinte mil quinientos cincuenta y uno y su reglamento. La SCM suscribirá todo instrumento público o privado que sea necesario a objeto de permitir a SQM el ejercicio pleno de los derechos consagrados en esta Cláusula, sujeto a las limitaciones previstas en este Contrato.<br> **/b/** La SCM se obliga a permitir que SQM use y goce, en forma gratuita, los permisos y autorizaciones de que sea titular y que puedan ser útiles para las actividades de SQM. | &nbsp;&nbsp;affected the latter, it shall advise SQM in writing, specifying the reasons of the interference, providing proof thereof, and stating the place or places of interference, and whether or not SQM needed to remove any machines or other materials, so that the latter may, within no less than 30 Business Days, adapt its activities, or suspend them for a period not exceeding one month, and<br> **/b/** In the event that the SCM wished that SQM suspended its activities for longer than one month, it shall follow the procedure provided in <u>Section 4.10</u> on the "Facility Area".<br>**<u>4.8</u>. Payments for SQM's Activities:**<br>SQM shall not make any payments to the SCM in reason of the provisions of this clause, particularly, but not limited to, the Usufruct, other than the price thereof, and this matter shall be deemed an essential element hereof.<br>**<u>4.9</u>. Permits and Authorizations:**<br>**/a/** SQM shall obtain all permits and authorizations needed for its exploration or mining works regarding Non-Metallic Substances, and shall abide by all applicable current legal and regulatory provisions, and specifically by Law No. 19,300 and its regulations, and Law No. 20,551 and its regulation, and the SCM shall execute any public or private instruments needed to enable the full exercise all of SQM's rights under this clause, conditioned to the limitations hereunder, and<br>**/b/** The SCM hereby commits to enable SQM's gratuitous use and enjoyment of any permits and authorizations held by the former that may be useful for the latter's activities. |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp; **<u>Cuatro. Diez</u>. Área de Instalaciones**.<br>**/a/** Sin perjuicio de otras autorizaciones y permisos que la SCM deba obtener, con el objeto de ocupar parte de la cara superficial de los Derechos Mineros con instalaciones de beneficio, pilas, minas, botaderos, caminos, líneas de transmisión, acueductos, emplazamiento e instalaciones de labores mineras, rajos, ripios e infraestructura en general que eventualmente sean necesarias para la explotación y beneficio de minerales, en adelante el "**Área de Instalaciones**", permitirá previamente a SQM explotar, descartar o condenar dicha área de una posible explotación de Sustancias No Metálicas, mediante la aplicación de los procedimientos de general aceptación de la industria. Para ello, la SCM comunicará a SQM de su intención de usar el Área de Instalaciones y le entregará un informe de pre-factibilidad con a lo menos cinco años de anticipación a la fecha en que desea ocupar el Área de Instalaciones.<br> **/b/** En tal evento, dentro del plazo de tres meses contados desde la recepción por parte de SQM de la referida comunicación, SQM podrá optar por:<br> **-i-** extraer directamente las Sustancias No Metálicas del Área de las Instalaciones, dentro del plazo de cinco años ya indicado; o<br> **-ii-** suspender sus actividades en el Área de Instalaciones para permitir su ocupación, recibiendo a título de indemnización una cantidad correspondiente al valor del margen económico de las Sustancias No Metálicas que se encuentran dentro del Área de Instalaciones, y que SQM no podrá explotar por todo el período que dure la ocupación, vencido el cual podrá continuar sus actividades para beneficiarse de ellos.<br> **/c/** Para establecer el margen se considerarán los siguientes parámetros: reservas afectadas, ley de yodo, ley de | &nbsp;&nbsp;**<u>4.10</u>. Facility Area:**<br>**/a/** Notwithstanding any other authorizations and permits that it must obtain to occupy a part of the surface of the Mining Rights with process facilities, heaps, piles, mines, dumps, roads, power lines, aqueducts, mine sites and facilities, galleries, overburden and infrastructure in general that may eventually be needed for mining and processing ores, hereinafter called the "**Facility Area**", the SCM shall previously allow SQM to exploit Non-Metallic Substances in the stated area, or discard or reject it from any such potential exploitation, by applying procedures generally accepted by the industry, and to that end, the SCM shall advise SQM of its intention to use the Facility Area, and shall deliver a prefeasibility report thereto at least 5 years before the date on which it wished to occupy the Facility Area;<br>**/b/** In such a case, within three months of receiving the forenamed communication, SQM may opt:<br>**i-** for directly mining the Non-Metallic Substances in the Facility Area, within the already specified 5 year term, or<br> **-ii-** for suspending its activities in the Facility Area to allow its occupation, and receive a compensation in an amount equivalent to the economic margin of the Non-Metallic Substances existing in the Facility Area, which SQM may not mine throughout the entire occupation period, upon which, it may continue its activities to benefit from such substances;<br> **/c/** The following parameters shall be used to determine the margin: the affected reserves; iodine, nitrate and potassium grades; SQM |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| &nbsp;&nbsp;nitrato, ley de potasio, rendimientos globales de yodo SQM, rendimientos globales de nitrato SQM, rendimientos globales de potasio SQM, factor conversión de potasio igual a uno coma noventa y uno (representa la conversión de una tonelada de potasio en una tonelada de cloruro de potasio), <u>margen operacional yodo - en US$/Kg-</u>: será el promedio obtenido por SQM en su planta "Nueva Victoria" en ventas de yodo directo durante los ciento ochenta días corridos anteriores a la última FECU presentada a aquel en que SQM informe el mismo, <u>margen operacional nitratos de sodio - en US$/TM-</u>: será el promedio obtenido por SQM en las ventas de nitrato de sodio y nitrato de potasio tanto para usos agrícolas como industriales en su planta "Coya Sur" durante los ciento ochenta días corridos anteriores a aquel en que SQM informe el mismo; <u>margen operacional cloruro de potasio - en US$/TM-</u>: será el promedio obtenido por SQM en ventas de cloruro de potasio en su planta "MOP G III", durante los ciento ochenta días corridos anteriores a aquel en que SQM informe el mismo. Todos los parámetros antes mencionados tendrán que ser consistentes con aquellos incluidos en los informes oficiales de gestión de SQM a su directorio.<br> **/d/** Para cuantificar las Sustancias No Metálicas existentes en el Área de Instalaciones, las Partes encargarán a un tercero independiente la ejecución de un estudio de reservas, el que será ejecutado dentro de un plazo máximo de tres meses.<br> **/e/** Las Partes podrán de mutuo acuerdo modificar uno o más de los parámetros establecidos en esta Sección.<br> En cuanto a las plantas, y para el caso que alguna de ellas cese sus operaciones o baje sustantivamente su nivel de operaciones, se entiende que SQM usará la referencia de aquellas que las reemplacen como la principal planta asociada a cada uno de los productos indicados. | &nbsp;&nbsp;overall iodine, nitrate and potassium capacities; a 1.91 potassium conversion factor, representing the conversion of one tonne of potassium into one tonne of potassium chloride; the <u>iodine operational margin in USD/kg</u>, which shall be the average margin obtained by SQM at its "Nueva Victoria" plant, from direct iodine sales during a period of 180 calendar days immediately prior to the last filed FECU [Uniform, Coded Statistical Datasheet to be filed by Chilean corporations] in which SQM reported it; the <u>operational margin on sodium nitrates in USD/MT</u>, which shall be the average margin obtained by SQM at its "Coya Sur" plant, from sales of sodium and potassium nitrates for both agricultural and industrial use, during a period of 180 calendar days immediately prior that in which SQM reported it; the <u>operational margin of potassium chloride in USD/MT</u>, which shall be the average margin obtained by SQM at its "MOP G III" plant, from sales of potassium chloride during a period of 180 calendar days immediately before that in which SQM reported it, and all of these parameters shall be mandatorily consistent with those included in the official SQM management reports submitted to the Board of Directors thereof;<br> **/d/** To quantify the Non-Metallic Substances existing in the Facility Area, the Parties shall entrust a study of reserves to an independent third party, to be completed within a maximum period of three months, and<br> **/e/** The Parties may mutually agree on modifying any one or more of the parameters defined in this section.<br> If SQM stopped, or substantively lowered the level of, operations at any of its plants, the references used shall be those of the plants replacing them as main plants in regard to the specific products. |

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| ***Anexo Dieciséis.Tres /a/*** | ***Appendix 16.3/a/*** |

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| **<u>Cuatro. Once</u>. Instrumentos**.<br> En caso de requerirlo SQM, la SCM procurará el otorgamiento de todos los instrumentos públicos o privados que fueren necesarios para perfeccionar acabadamente la constitución de Usufructo y la compraventa de minerales in situ.<br>**<u>Cuatro. Doce</u>. Prohibición**.<br> La SCM, con el propósito de garantizar a SQM el íntegro y oportuno cumplimiento del Usufructo y de las obligaciones de la SCM pactados en este Contrato, establece y constituye en favor de SQM, quien acepta, una obligación de no gravar, enajenar, prometer gravar o enajenar, disponer o constituir garantías reales o cualquier carga, gravamen, prohibición, regalías o derechos en favor de terceros, ni impedimento o restricción que pudiere afectar o embarazar el libre uso, goce o disposición de cualquiera de los Derechos Mineros o celebrar acto o contrato alguno que pudiera afectarlas, sin autorización escrita de SQM, en adelante como la "**Prohibición**". La Prohibición se extenderá de la misma forma que se señala en la <u>Cláusula Quinta</u>.<br>**<u>QUINTO</u>: EXTENSIÓN DEL USUFRUCTO.** <br> Al Usufructo se harán extensivas sin necesidad de pacto expreso y en los mismos términos a los pedimentos, manifestaciones, concesiones de exploración y concesiones de explotación que pudieren llegar a constituirse por la SCM, sea directa o indirectamente por ella, en el Área. A mayor abundamiento, la SCM se obliga a suscribir una escritura pública extendiendo este Contrato sobre tales pedimentos, manifestaciones, concesiones mineras de exploración o de explotación.<br>| **<u>4.11</u>. Instruments:**<br> If SQM so required, the Company shall do its best to execute any public or private instruments needed to fully establish the Usufruct and the purchase of minerals in-situ.<br>**<u>4.12</u>. Restriction**:<br> In order to assure SQM of the SCM fully and timely complying with the Usufruct an meeting its obligations hereunder, the SCM hereby establishes a restriction in favour of SQM, which in turn accepts it, consisting in an obligation not to encumber, sell, promise to encumber or sell, dispose of, or establish any real guarantees or any other burdens, charges, restrictions, royalties or rights in favor of third parties, or any impediments or limitations that may affect or hinder the free use, disposal or enjoyment of any of the Mining Rights, and not to sign any contracts or agreements that may affect them, without SQM's previous written authorization, hereinafter called the "**Restriction**". The Restriction shall extend as provided in in <u>Clause 5</u>.<br>**<u>FIFTH</u> - USUFRUCT EXTENSION:**<br> Without needing any express agreements and in the same terms, the Usufruct shall extend to any petitioned mining claims for exploration, statements of Discovery, or mining claims for exploration or exploitation that may be directly or indirectly awarded to the SCM in the Area. Furthermore, the SCM hereby commits to execute the respective notarized and registered documents extending this Agreement to each thereof.  |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| **<u>SEXTO</u>: PROTECCIÓN, AMPARO Y VIGENCIA DE LOS DERECHOS MINEROS.** | **<u>SIXTH - PROTECTI</u>ON, SHELTER AND <u>VALIDITY OF THE MI</u>NING RIGHTS:** |
| El íntegro y oportuno cumplimiento de las obligaciones de la SCM y de los demás derechos de SQM que se pactan en este Contrato, conlleva para la SCM la necesidad de cumplir también y en forma íntegra y oportuna, de su exclusiva cuenta, costo, riesgo y responsabilidad y en favor de SQM, que acepta, las siguientes obligaciones esenciales y copulativas:<br> **/a/** La SCM pagará, a su costo, cuenta y responsabilidad, todas las patentes mineras de los Derechos Mineros, antes del día treinta de marzo de cada año, y efectuará todas las actuaciones, diligencias y trámites que sean necesarios o pertinentes para la correcta y debida constitución, protección, amparo y vigencia de los Derechos Mineros. Asimismo, la SCM adoptará, a su exclusivo costo, todas las medidas, judiciales y extrajudiciales, que sean necesarias para tales efectos y para defender dicha propiedad minera de cualquier pretensión de terceros. Si la SCM no ejerciere oportunamente, dentro de los plazos legales, la defensa de los Derechos Mineros, SQM podrá, sin que se encuentre obligado a ello, actuar en representación de la SCM en los procesos que se hayan iniciado. Para estos efectos, la SCM otorgará poder judicial a SQM y los costos legales razonables serán asumidos por la SCM. Alternativamente, y sin que se encuentre obligado a ello, SQM podrá participar en los procesos como tercero coadyuvante, a su exclusivo costo.<br> **/b/** La SCM deberá permanentemente mantener los Derechos Mineros libres de todo litigio, embargo, carga, contrato, convenio, acuerdo, transacción, promesa, opción, renuncia, derechos preferentes de terceros, medida precautoria, acción resolutoria, restricción de uso, evicción, | Having to fully and timely meet its obligations and adhere to the rest of SQM's rights hereunder shall entail that, on its own account and responsibility, and at its own cost and risk, the SCM must also fully and timely meet the following essential and concurrent obligations to SQM, which in turn accepts them:<br> **/a/** At its own cost, and on its own account and responsibility, the SCM shall pay the mining licenses of all the Mining Rights before March 30 of every year, and shall complete all acts, proceedings and paperwork needed or pertinent to properly and duly establish, protect and shelter the Mining Rights, and to keep them valid; at its own cost, shall take any in or out of court actions needed for such purposes or to defend such mining properties from any third-party claims, and if the SCM failed to defend the Mining Rights within the corresponding legal terms, SQM may, but shall not be bound to, represent the SCM in any filed proceedings, for which purposes, the SCM shall grant a power of attorney-at-law to SQM and bear all reasonable legal costs, and alternatively, SQM may, without having to, intervene in such proceeding as an offended party to assist, at its own cost, and<br>**/b/** The SCM must permanently keep the Mining Rights free of any litigations, seizures, charges, contracts, agreements, arrangements, transactions, promises, options, waivers, third-party preferential rights, precautionary measures, actions for cancellation, restrictions of use, |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| <br> deudas por concepto de patentes mineras y demás de cualquier tipo, clase o monto y, en general, libres de toda modalidad o caución total o parcial y de tipo o clase alguna que deba o pueda eventual o efectivamente restringir o afectar a las mismas, y realizar todas las diligencias y actuaciones que sean necesarias y conducentes con el propósito de alzar o de liberar a los Derechos Mineros de una cualquiera de las situaciones precedentes que pueda afectar a los mismos y que resulten de acciones de terceros.<br>**<u>SÉPTIMO</u>: DERECHO PREFERENTE PARA LA COMPRA DE LOS DERECHOS MINEROS.**<br>**/a/** Previo cumplimiento de los demás requisitos que hayan acordado las Partes, la SCM podrá - directa o indirectamente-abandonar, reducir, desamparar, caducar, renunciar o extinguir en todo o parte los Derechos Mineros, pedimentos, manifestaciones, concesiones mineras de exploración o de explotación que en el futuro solicite, adquiera y/o constituya, que abarquen total o parcialmente el Área, en adelante todos ellos denominados como los "**Derechos Mineros a Abandonar**" y este derecho denominado como el "**Derecho a Renuncia**".<br> **/b/** Para ejercer su Derecho a Renuncia, la SCM previamente deberá informar a SQM por medio de carta certificada enviada al domicilio de esta, su decisión de ejercer su Derecho a Renuncia indicando el nombre del Derecho Minero a Abandonar y sus datos necesarios para individualizarlo, incluyendo, antecedentes de inscripción de dominio, Rol Nacional, y datos del expediente judicial de tramitación, entre otros, ofreciéndole vender el Derecho Minero a Abandonar respectivo. Recibida la carta, SQM tendrá un plazo de treinta días corridos para comunicar, por medio de carta certificada, su decisión de comprar el Derecho Minero a Abandonar <br>| encumbrances, unpaid mining licenses and others of any kind or sort or in any amounts, and generally, free of any kind or sort of total or partial payment modalities or sureties owed, or that may potentially or actually restrict or affect them, and take any actions and complete any processes needed and leading to lift any such limitations and release the Mining Rights from any such situations resulting from third parties' actions.<br>**<u>SEVENTH</u> - PREFERENTIAL RIGHT TO PURCHASE THE MINING RIGHTS:**<br>**/a/** Upon meeting the other requirements agreed by the Parties, the SCM may directly or indirectly abandon, reduce, desert, waive or extinguish all or any part of the Mining Rights, petitioned mining claims for exploration, statements of discovery, and mining claims for exploration or exploitation, that it may request, purchase or be awarded in the future in the entirety of any part of the Area, or let any thereof expire, hereinafter collectively called the "**Mining Rights to be Abandoned,**" and this right referred to as the "**Right of Waiver**";<br> **/b/** Before exercising its Right of Waiver, the SCM shall advise SQM of its decision to do so by certified letter sent to the latter's address, stating the name of the Mining Right or Rights to be Abandoned and the necessary identifying information, including information on the registration of ownership, the property registration number and the court dossier, among others, and offering to sell it or them thereto, and SQM shall have 30 calendar days of receipt thereof to communicate its decision to purchase, also by certified letter, upon which term, if SQM had not replied to the offer to sell, it shall be deemed that it has waived its preferential right of purchase, and |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| ofrecido vender. Si SQM no da respuesta al ofrecimiento de venta de SCM dentro del plazo de treinta días corridos, se entenderá que SQM ha renunciado al ejercicio de su derecho de compra, y la SCM podrá ejercer libremente su Derecho a Renuncia, de pleno derecho y sin necesidad de acuerdo adicional alguno de este Pacto y sin que se le genere responsabilidad alguna por el ejercicio de tal derecho.<br> **/c/** En el evento que SQM comunique su intención de ejercer su derecho de compra, deberá indicar en dicha comunicación el día en que las partes deberán concurrir a suscribir el contrato de compraventa, plazo que no podrá exceder de los treinta días corridos contados desde enviada la comunicación por parte de SQM. El contrato de compraventa se otorgará en la misma notaría en la que se otorga el presente instrumento, o aquella que la reemplace y sustituya, y el precio de compraventa será la suma única y total del valor de la patente anual del respectivo Derecho Minero a Abandonar objeto del mismo.<br> **/d/** El contrato de compraventa antes señalado se celebrará pura y simplemente, y él o los Derechos Mineros se venderán como cuerpo cierto, en el estado en que se encuentran al día de la celebración, con todo lo edificado y construido sobre ellos, y demás instalaciones destinadas permanentemente a la investigación, arranque y extracción de sustancias minerales, con todos sus usos, derechos, costumbres, derechos y servidumbres, activas y pasivas y libres de obligación de pago de regalías voluntarias o convencionales, de todo embargo, prohibiciones, condiciones resolutorias, litigios pendientes, de contratos de entrega de minerales o de arriendo, o cualquiera otra clase de actos, derechos reales o personales, gravamen y prohibición, que impidan su libre uso, goce, disposición y entrega. <br>| the SCM may freely exercise its Right of Waiver, by force of law, without needing any additional agreements hereunder and without any liabilities arising from its exercise thereof;<br>**/c/** If SQM communicated its intention to purchase, in the same letter, it shall specify the date for executing the purchase agreement, which may not be more than 30 calendar days thereafter, and must be at the same notary offices as this instrument, or any others that may replace or substitute them, and the total purchase price shall amount to the cost of the annual license corresponding to the purchased Mining Right or Rights to be Abandoned;<br>**/d/** The aforesaid purchase agreement shall be pure and simple, and the Mining Rights shall be sold *ad corpus*, as they were on the date of execution, with all buildings and constructions thereon, and all other facilities permanently allocated to study, strip and mine mineral substances, with all their uses, rights, customs, active or passive rights of way and easements, and free of any voluntarily or conventional royalty obligations, seizures, restrictions, conditions subsequent, pending litigations, mineral delivery or lease agreements, and any other kind of acts, real or personal rights, liens or limitations that may prevent the free use, enjoyment, disposal and conveyance thereof, and |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| <br> **/e/** Sin perjuicio de lo anterior, SQM tendrá un derecho preferente para comprar o adquirir el o los Derechos Mineros, en el mismo precio, en los mismos términos y condiciones, que aquellos que ofrezca un tercero a la SCM. La decisión de SQM de comprar se deberá comunicar dentro de sesenta días corridos desde que haya recibido toda la información por parte de la SCM. Esta compraventa se efectuará en los términos señalados en la letra /d/ anterior.<br>**<u>OCTAVO</u>: DEFENSA E INDEMNIDAD.**<br>**/a/** La SCM se obliga a defender judicial y extrajudicialmente, indemnizar y liberar de toda responsabilidad a SQM, a sus directores, funcionarios, empleados, agentes y representantes de todos ellos respecto de cualquier reclamo, demanda, acción, perjuicio, sanción, obligación, responsabilidad, pérdida o gastos - incluyendo honorarios y gastos legales- que surjan con motivo de:<br> **-i-** las actividades que efectúe, directa o indirectamente a través de sus contratistas, en los Derechos Mineros;<br> **-ii-** el incumplimiento real o la imputación de incumplimiento por parte de la SCM - o de sus contratistas- de cualquier ley, ordenanza, reglamento, norma u orden, o disposición del Contrato;<br> **-iii-** las lesiones o muerte de cualquier persona - incluidos los empleados de SQM y de la SCM- o los daños o pérdidas de bienes atribuibles directa o indirectamente a la ejecución del Contrato o a las acciones u omisiones de la SCM y/o de sus contratistas; y<br> **-iv-** cualquier responsabilidad relacionada con impuestos, contribuciones, derechos, gravámenes y retenciones legales.<br> /b/ Las obligaciones de liberación, defensa e indemnización que se indican en la presente Cláusula serán exigibles aun cuando dichos daños, gastos, multas, sanciones, etc., hayan  | **/e/** Notwithstanding the foregoing, SQM shall have a preferential right to purchase or acquire the Mining Rights, at the same price and in the same terms and conditions offered by any third parties to the SCM, with SQM communicating its decision to buy within 60 calendar days of receipt of all of the information from the SCM, and any such purchase agreement being as previously provided in Item /d/.<br>**<u>EIGHTH</u> - DEFENSE AND INDEMNITY:**<br>**/a/** The SCM hereby commits to defend SQM in and out of court, and to indemnify and release the latter, its directors, officers, employees, agents, and any representatives thereof, of any responsibilities, in respect of any claims, lawsuits, actions, and for any damages, penalties, obligations, liabilities, losses or expenses, including legal fees and expenses, arising:<br> **-i-** from any activities that it performed directly or indirectly through its contractors in the Mining Rights;<br> **-ii-** from any actual or claimed infringements to any laws, bylaws, regulations, standards or orders, or breaches of the provisions hereof, by the SCM, or any of its contractors;<br> **-iii-** from any personal injuries or death, including those suffered by SQM's and SCM's employees, and any property damages or losses directly or indirectly attributable to the implementation hereof, or to any actions or omissions by the SCM or any of its contractors, and<br> **-iv-** from any liabilities in regard of taxes, contributions, duties, levies or legal withholdings;<br> /b/ The obligations of release, defense and indemnity stated in this clause shall be enforceable even when such damages, expenses, fines, penalties, etc. had been fully |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| sido causadas total o parcialmente por la Parte indemnizada.<br> **/c/** Si, no obstante lo señalado, SQM resultase obligada a pagar una suma de dinero en virtud de las acciones, demandas, reclamos, procedimientos, sanciones o actuaciones antes referidos, ya sea a título de multa, indemnización de perjuicios, rehabilitación de áreas, programas de cierres de faenas, o por cualquier otra razón, causa o motivo, la SCM estará obligada a pagar o a reembolsar, en su caso, a SQM todas las cantidades que, en virtud de lo expuesto, hubiese sido obligada a pagar.<br> **/d/** Las disposiciones de esta Cláusula y las obligaciones de defensa e indemnización de la SCM contempladas en este instrumento se mantendrán plenamente vigentes incluso después del término del Contrato.<br> **/e/** Los gastos razonables de una eventual defensa legal de SQM serán reembolsados por la SCM en la medida que su presupuesto haya sido aprobado previamente por la SCM, el cual no podrá ser rechazado arbitrariamente.<br>**<u>NOVENO</u>: FUERZA MAYOR O CASO FORTUITO.**<br>**/a/** Para efectos del presente Contrato, se entenderá por fuerza mayor o caso fortuito, en adelante "**Fuerza Mayor o Caso Fortuito**", el imprevisto a que no es posible resistir, como un naufragio, un terremoto, el apresamiento de enemigos, los actos de autoridad ejercidos por un funcionario público, etc. según se define en el artículo cuarenta y cinco del Código Civil.<br> **/b/** La Parte afectada por el evento de Fuerza Mayor o Caso Fortuito comunicará a la otra Parte en un plazo no mayor a cinco Días Hábiles, la existencia del evento y su fecha de inicio, así como una estimación de su duración y las medidas de mitigación que propone adoptar, todo lo cual será requisito para que, mientras dure tal evento de Fuerza  | or partly caused by the indemnified Party;<br> **/c/** If despite the foregoing, SQM had to pay any amounts of money in reason of any of the foregoing actions, lawsuits, claims, proceedings, penalties or procedures, as fines, damage compensations, area restorations, site closing programs, or for any other reasons or causes, the SCM shall be bound to pay or reimburse thereto, as applicable, all amounts paid by SQM in such cases;<br>**/d/** The provisions of this clause and the SCM's obligations of defense and indemnity hereunder shall remain fully effective even after termination hereof, and<br> **/e/** The SCM shall reimburse any reasonable expenses incurred in any potential defense of SQM, to the extent previously approved by the SCM, which may not be arbitrarily denied.<br>**<u>NINTH</u> - FORCE MAJEURE OR UNFORESEEABLE CIRCUMSTANCES:**<br>**/a/** For the purposes hereof, force majeure or unforeseeable circumstance, hereinafter called a "**Force Majeure or Unforeseeable Circumstance**", shall be understood as any unexpected events that it were not possible to withstand, such as shipwrecks, earthquakes, enemies' arrests, or acts of authority by public officers, etc., as defined in Article 45 of the Civil Code, and<br> **/b/** The Party affected by a Force Majeure or Unforeseeable Circumstance shall advise the other thereof, within no more than 5 Business Days, stating the start date and estimated duration thereof, and the intended mitigation measures, all of which shall be required for suspending the need to meet any obligations involved while the Force Majeure or |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| <br> Mayor o Caso Fortuito, se pueda suspender el cumplimiento de la obligación cuyo cumplimiento es impedido, la cual - en todo caso- se hará exigible una vez que cese tal evento de Fuerza Mayor o Caso Fortuito.<br>**<u>DÉCIMO</u>: ANTICORRUPCIÓN**.<br>**/a/** La SCM acuerda dar cumplimiento al Código de Conducta para Socios Comerciales de SQM, a la Política de Cumplimiento Anti Soborno y Corrupción de Sociedad Química y Minera de Chile S.A. y sus empresas relacionadas, en adelante las "**Políticas SQM**", y a todas las leyes aplicables, incluyendo leyes anti soborno, sobre lavado de dinero, financiamiento del terrorismo y receptación, contenidas en las leyes de Chile y la Ley de los Estados Unidos sobre Prácticas Corruptas Extranjeras *U.S. Foreign Corrupt Practices Act, "FCPA"*, en adelante las "**Leyes Anticorrupción**".<br> /b/ La SCM asegurará que los bienes que vienen directa o indirectamente de SQM, o aquellos a los cuales tuvo acceso en virtud de este Contrato, cualquiera sea su naturaleza, no serán usados para propósitos ilegales o como parte de cualquier delito bajo las Leyes Anticorrupción. La SCM declara que no ha hecho ni ha prometido hacer, y acuerda no hacer ni prometer hacer, en relación a este Contrato, ningún pago o transferencia de cualquier cosa de valor, directa o indirectamente, **/i/** a cualquier persona que trabaje en calidad oficial para un gobierno, entidad pública (incluyendo empleados de sociedades anónimas de propiedad o controladas por el gobierno) u organización pública internacional; **/ii/** a cualquier partido político, funcionario de un partido político o candidato; **/iii/** a un intermediario para que éste pague a cualquiera de los anteriores; **/iv/** a cualquier funcionario, director, empleado o representante de cualquier cliente efectivo o potencial de SQM; **/v/** a cualquier funcionario, director o empleado de SQM o cualquiera de <br>| Unforeseeable Circumstance lasts, which in any case, shall be enforceable again thereafter.<br>**<u>TENTH</u> - ANTICORRUPTION**:<br>**/a/** The SCM hereby agrees to abide by the Code of Conduct for SQM's Commercial Partners, the Anti-Bribery and Anticorruption Compliance Policy of Sociedad Química y Minera de Chile S.A. and its related companies, hereinafter called "**SQM's Policies"**, and all applicable provisions against bribery, money laundering, terrorist financing and the receipt of stolen property contained in Chilean laws and the U.S. Foreign Corrupt Practices Act, "FCPA", hereinafter called the "**Anticorruption Laws**";<br>**/b/** The SCM shall ensure that all assets coming directly or indirectly from SQM, or those accessed hereunder, regardless of their nature, are not used for illegal purposes or as a part of any crimes under the Anticorruption Laws, and hereby states that, in connection with this Agreement, it has not made or committed, and agrees not to make or commit, any direct or indirect payments or transfers of anything of value **/i/** to any persons working as officials of any governments, international public organizations or public entities, including employees of state owned or controlled corporations; **/ii/** to any political parties, officials thereof or candidates; **/iii/** to any intermediaries for payment to any of the foregoing; **/iv/** to any officials, directors, employees or representatives of any of SQM's actual or potential clients; **/v/** to any of SQM's officials, directors, employees or related persons, or **/vi/** to any other individuals or entities, in violation of the laws of the countries in which such payments or |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| sus Personas Relacionadas; o **/vi/** a cualquier otra persona o entidad si dicho pago o transferencia infringe las leyes del país en el cual sea hecho, las Políticas SQM o las Leyes Anticorrupción. Es la intención de ambas Partes que no se hagan pagos o transferencias de valor que tengan el objeto efecto de soborno o "coima" o, en general, acciones o usos de bienes o dineros en relación a entidades o funcionarios públicos o privados que constituyan la realización de actos ilegítimos o inadecuados en conformidad con las Políticas SQM, las Leyes Anticorrupción y las leyes aplicables.<br> **/c/** La SCM no estará autorizado bajo ninguna circunstancia, ni bajo la instrucción de SQM o sus empleados o representantes, a realizar cualquiera de las actividades prohibidas por las Políticas SQM, las Leyes Anticorrupción, cualquier otra ley aplicable, ni siquiera bajo pretexto de dar cumplimiento a las instrucciones de SQM o constituir un beneficio para SQM.<br> **/d/** La SCM acuerda adherir en forma íntegra y total a las Políticas de SQM, y declara haber recibido una copia completa de las mismas, las cuales se encuentran disponibles en <u>http://ir.sqm.com.</u><br> **/e/** La SCM asegura que los empleados bajo su dependencia y cualquier persona que tenga relación con SQM, se abstendrán de ejecutar, en sus relaciones o vínculos con SQM, cualquier acto que sea ilegal, inadecuado o contrario a las conductas establecidas en las Políticas SQM.<br> **/f/** La SCM informará inmediatamente a SQM cualquier situación de la que tome conocimiento que pueda resultar en el uso ilegal de los dineros o bienes de SQM o en una violación de las Políticas SQM o de las Leyes Anticorrupción.<br> **/g/** El incumplimiento de esta Cláusula será considerado un incumplimiento grave, material o esencial de las obligaciones | transfers were made, or SQM's Policies or the Anticorruption Laws, and both Parties hereby intend that no payments or transfers of value be made with an aim at bribery, and generally that, in connection with entities or public or private officials, and no actions be taken or uses made of assets or moneys involving illegitimate or improper acts according to SQM's Policies, the Anticorruption Laws and all applicable laws;<br>**/c/** The SCM shall not be authorized to do any of the activities forbidden by SQM's Policies, the Anticorruption Laws, or any other applicable laws, under any circumstances, not even on instructions from SQM, or its employees or representatives, or under the guise of following SQM's directives or creating benefits for SQM;<br> **/d/** The SCM hereby agrees to fully abide by all of SQM's Policies, and states that it has received a complete copy thereof, which are also available at <u>http://ir.sqm.com;</u><br> **/e/** The SCM hereby guarantees that all employees under its authority and any persons related to SQM shall refrain, in their relations or associations with the latter, from doing anything illegal, improper or contrary to the conducts established in SQM's Policies;<br> **/f/** The SCM shall immediately advise SQM of any situation of which it became aware that may result in any illegal use of SQM's moneys or assets, or in violations of SQM's Policies or the Anticorruption Laws, and<br> **/g/** Any breaches of this clause shall be considered gross, material or essential breaches of the obligations hereunder, and |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| impuestas por el Contrato y facultará a SQM a ponerle término inmediato, sin responsabilidad para SQM, y la SCM indemnizará y mantendrá a SaQM indemne por cualquier demanda, pérdida o daño que resulte o se relacione a dicho incumplimiento. Todas las denuncias de la SCM podrán realizarse ingresando al portal web externo <u>www.SQM.ethicspoint.com</u> o a través de las líneas de teléfono disponibles de acuerdo con su ubicación, especificadas en dicho portal.<br>**<u>UNDÉCIMO</u>: CONFIDENCIALIDAD.** <br> **<u>Once. Uno</u>. Confidencialidad.**<br>Toda la información obtenida en relación con el cumplimiento del Contrato será confidencial y no será entregada a ningún tercero ni al público en general, sin el consentimiento previo y por escrito de la Parte divulgadora.<br>**<u>Once. Dos</u>. Excepciones.**<br>El consentimiento no será requerido en los casos en que se entregue información a:<br> **/a/** una Empresa Conectada, sus directores, trabajadores, consultores, asesores, contratistas o subcontratistas para el cumplimiento de sus funciones o encargos;<br> **/b/** una agencia u organismo federal o estatal, o cuerpo regulatorio, especialmente bolsas de valores, de acuerdo con las leyes o reglamentos pertinentes o con las normas de cualquier índole;<br> **/c/** un tercero que esté interesado en adquirir una participación en la SCM o en una de las Partes, previa suscripción de un acuerdo de confidencialidad; o<br> **/d/** cuando la información de que se trate ya forme parte del dominio público, excepto si fuere por su indebida divulgación por alguna de las Partes.<br> En los casos indicados en las letras /a/ y /c/ del párrafo anterior, sólo será entregada la información confidencial que el tercero tenga necesidad legítima de conocer para el propósito de cumplir con el objeto de que se | shall entitle SQM to immediately terminate this agreement, without any liability for the latter, and the SCM shall hold SQM harmless from, and compensate the latter for, any claims, losses or damages resulting from, or in connection with, any such breaches. The SCM may report any such situations on the external web portal at: <u>www.SQM.ethicspoint.com</u>, or through any of the phone lines available per location, as specified thereon.<br>**<u>ELEVENTH</u> - CONFIDENTIALITY:**<br> **<u>11.1.</u> Confidentiality:**<br>Any information obtained in connection with the implementation hereof shall be confidential, and may not be delivered to any third parties or the general public, without the prior written consent of the disclosing Party.<br>**<u>11.2</u>. Exceptions:**<br>This consent shall not be required when delivering information:<br> **/a/** to any Connected Companies, their directors, workers, consultants, advisors, contractors or sub-contractors, so that they may perform their duties or commissions;<br> **/b/** to any federal or state agencies or organizations, or regulatory bodies, especially stock exchanges, per applicable laws, regulations or rules of any kind;<br> **/c/** to any third parties interested in purchasing an interest in the SCM or any of the Parties, upon execution of a confidentiality agreement, or<br>**/d/** when the concerned information is already known by the public, except if it had been unduly disclosed by one of the Parties.<br>In the cases indicated in Items /a/ and /c/ of the previous paragraph, any such disclosures may only include the specific confidential information that such third parties rightfully needed to know for the purposes stated in the |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| señala en dichas letras /a/ y /c/, según corresponda, y sólo si está sujeto a una obligación de confidencialidad y a la prohibición de utilizar dicha información para otro propósito.<br>Además, en todo evento en el caso de la letra /c/ y en el caso que a los consultores, asesores, contratistas o subcontratistas se les entregue información sobre las reservas, recursos mineros o estratégica sobre los Derechos Mineros, la Parte divulgadora deberá previamente suscribir un acuerdo de confidencialidad con ellos, en el cual el receptor se obligue a no solicitar ni adquirir, directa, indirectamente o a través de terceros, derechos mineros o inmuebles en el Área, obligándose a vendérselos - al precio de diez Dólares por cada derecho- a la SCM para el caso que lo haga, dentro de los diez días corridos siguientes a que así lo requiera la SCM.<br>**<u>Once. Tres</u>. Anuncios y avisos públicos.**<br>En caso de que alguna de las Partes requiera hacer, por ley o regulación aplicable a la que esté sujeta, algún anuncio o aviso público, distinto a los señalados en la letra /b/ de la <u>Sección Catorce. Dos</u>, en relación a las materias contenidas en este Contrato, previamente deberá compartir con la otra Parte un proyecto de comunicado y otorgar a dicha Parte un plazo no menor a siete Días Hábiles para revisarlo y dar sus observaciones, mismas que deberán de ser consideradas por la Parte que tenga la obligación de emitir el anuncio o aviso público siempre que se ajusten a la ley o regulación aplicable a la que esté sujeta.<br>**<u>Once. Cuatro</u>. Vigencia.**<br>Las disposiciones de esta Cláusula se aplicarán durante la vigencia del Contrato, y en caso de que éste termine, se aplicarán también por un plazo de dos años contado desde la terminación del Contrato.<br>| said Items /a/ or /c/, as applicable, and always conditioned to a confidentiality obligation and the restriction to use the information for any other purposes.<br>Additionally, in all events of Item /c/ involving consultants, advisors, contractors or subcontractors receiving information on reserves, mining resources or strategic data on the Mining Rights, the disclosing Party shall previously sign confidentiality agreements with them, whereby the receivers commit not to request or acquire any mining rights or properties in the Area, directly, indirectly or through any third parties, and having done so, they further promise to sell them to the SCM, at the price of USD 10 per right, within 10 calendar days of the latter so requesting.<br>**<u>11.3</u>. Notices and Public Notices:**<br>Should the law or any applicable regulations to which any of the Parties were subject require that it issued any public notices or announcements on matters hereunder, other than those stated in Item /b/ of <u>Section 14.2</u>, it must previously share a draft release with the other Party and give the latter at least 7 Business Days to examine it and make any comments. The Party having to issue the public notice or announcement must consider all such comments, provided that they adhere to any applicable laws or regulations.<br>**<u>11.4</u>. Survival of this Clause:**<br>The provisions of this clause shall apply throughout the effective term hereof and for two years thereafter in case of termination. |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| **<u>DUODÉCIMO</u>: CESIÓN, SUCESORES Y CESIONARIOS**.<br>La SCM no podrá vender, ceder, enajenar, transferir, asignar - ni siquiera por división- o de cualquier forma disponer de sus derechos ni novar sus obligaciones que emanan de este Contrato, a menos que según conste por escritura pública haya sido autorizada previa, expresa y específicamente para el caso en particular por SQM.<br>**<u>DÉCIMO TERCERO</u>: AVISOS, COMUNICACIONES, NOTIFICACIONES Y CONTACTOS.**<br>**<u>Trece. Uno</u>. Avisos, comunicaciones y notificaciones**.<br>Todos los avisos, comunicaciones o notificaciones que las Partes deban enviar, intercambiar o efectuar en virtud de lo expuesto en este Contrato serán siempre efectuados por escrito. Ellos se harán efectivos y se considerará que han sido entregados:<br> **/a/** <u>Si es entrega por mano</u>: en la fecha de entrega si es efectuada en Día Hábil y durante horas normales de oficina, de lo contrario se entenderá entregada el Día Hábil siguiente;<br> **/b/** <u>Si es por comunicación electrónica</u>: el Día Hábil siguiente al día en que se reciba la comunicación electrónica;<br> **/c/** <u>Si es por correo certificado</u>: el Día Hábil siguiente a su recibo efectivo.<br>**<u>Trece. Dos</u>. Contactos**.<br>Los avisos, comunicaciones o notificaciones se dirigirán a:<br> **/a/** Sociedad Química y Minera de Chile S.A., al señor [●], dirección de correo electrónico [●], con copia al señor [●], dirección de correo electrónico [●], ambos con domicilio en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, Comuna de Las Condes, Región Metropolitana, Chile; o, alternativamente, a la otra persona u otro domicilio que SQM oportunamente informará a la SCM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula; y | **<u>TWELFTH</u> - ASSIGNMENT, SUCCESSORS AND ASSIGNEES:**<br>The SCM may not sell, assign, convey, transfer or hand out, not even through division, or in any way dispose of, its rights, or novate its obligations hereunder, unless previously, expressly and specifically authorized by SQM in a notarized and registered document, on a case by case basis.<br>**<u>THIRTEENTH</u> - NOTICES, COMMUNICATIONS, NOTIFICATIONS AND CONTACTS:**<br>**<u>13.1</u>. Notices, Communications and Notifications**:<br>All notices, communications and notifications that the Parties must send, exchange or issue hereunder shall always be in writing, and shall be effective and deemed received:<br> **/a/** <u>When delivered by hand:</u> On the date of delivery if it fell on a Business Day and during normal business hours, and otherwise, on the next Business Day;<br> **/b/** <u>When electronically sent:</u> On the Business Day following receipt thereof, and<br> **/c/** <u>When sent by certified mail:</u> On the next Business Day after actual receipt thereof.<br>**<u>13.2</u>. Contacts**:<br>All notices, communications or notifications shall be addressed:<br> **/a/** For Sociedad Química y Minera de Chile S.A., to: [●], e-mail: [●], with copy to [●], e-mail: [●], both with legal address at 4,281, El Trovador, 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, Chile, or alternatively, to any other addressees or addresses that SQM timely communicated to the SCM in writing for such purposes, as provided in this clause, and |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| **/b/** SCM [●], al señor [●], dirección de correo electrónico [●], domicilio en [●], comuna de [●]; o, alternativamente, a la otra persona u otro domicilio que la SCM oportunamente informará a SQM mediante una comunicación escrita que enviará para tal efecto en conformidad con lo expuesto en esta Cláusula.<br>**<u>DÉCIMO CUARTO</u>: PAGO E IMPUTACIONES EN DÓLARES.**<br>Salvo disposición específica en contrario en el presente Contrato, todos los pagos e imputaciones y demás similares que se efectúen en Dólar en virtud de lo expuesto en este Contrato se calcularán, previamente y para tal efecto, de acuerdo con el valor unitario del Dólar a que se hace referencia en el Título I, Capítulo I, número seis, del Compendio de Normas de Cambios Internacionales del Banco Central de Chile denominado "*dólar observado*" que aparezca publicado en el Diario Oficial del Día Hábil bancario anterior al día del pago e imputación que proceda y, consiguientemente, se podrán efectuar en pesos moneda nacional.<br>**<u>DÉCIMO QUINTO</u>: PAGO POR TRANSFERENCIA ELECTRÓNICA DE FONDOS.**<br>Los pagos que la SCM efectúe a SQM por medio de transferencia electrónica de fondos se harán a la cuenta bancaria que para tal efecto SQM le comunique. Para todos los efectos legales, el pago se entenderá efectuado el día en que la cantidad correspondiente al mismo se encuentre totalmente disponible en la cuenta de SQM. Será obligación de la SCM enviar a SQM los documentos que den prueba de la transferencia de fondos.<br>| **/b/** For the SCM, to: [●], e-mail: [●], with copy to [●], e-mail: [●], both with legal address at [●], [●] borough, or alternatively, to any other addressees or addresses that the SCM timely communicated to SQM in writing for such purposes, per this clause.<br>**<u>FOURTEENTH</u> - PAYMENTS AND CHARGES IN DOLLARS:**<br>Save as specifically provided herein, all payments, charges and the like made in Dollars hereunder shall be previously determined according to the unit value thereof called "*observed dollar*" and referred to in Title I, Chapter I, Item 6, of the Compendium of Foreign Exchange Regulations of the Central Bank of Chile, as published in the Official Gazette on the bank Business Day before that of the applicable payment and charge, and consequently, shall be made in Chilean pesos, the national currency.<br>**<u>FIFTEENTH</u> - PAYMENT BY ELECTRONIC TRANSFER OF FUNDS:**<br>Any payments by the SCM to SQM via electronic transfer shall be made to the bank account communicated by SQM to the SCM to this end. For all legal purposes, such payments shall be effective on the day when the corresponding amounts were fully available in SQM's account. It shall be the SCM's obligation to forward the documents proving each of such transfers of funds to SQM.<br>|

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| **<u>DÉCIMO SEXTO</u>: INVALIDEZ O INEXIGIBILIDAD.**<br>La invalidez o inexigibilidad de una parte o Cláusula de este Contrato no afectarán la validez u obligatoriedad de otra parte o Cláusula del mismo. Toda parte o Cláusula inválida o inexigible se considerará separada de este Contrato; entendiéndose que las Partes negociarán, de buena fe, una modificación a tal Cláusula inválida o inexigible, con el objeto de cumplir con la intención original de las Partes.<br>**<u>DÉCIMO SÉPTIMO</u>: TÉRMINO ACUERDOS ANTERIORES.**<br>Este Contrato deja sin efecto y reemplaza, totalmente y a partir de este mismo momento, todo otro acuerdo, conversación, convenio, carta, e-mail, fax o contrato oral o escrito que SQM y la SCM puedan haber anteriormente suscrito o acordado en cualquier tiempo y con respecto de las demás materias indicadas en este instrumento.<br>**<u>DÉCIMO OCTAVO</u>: MODIFICACIONES A ESTE CONTRATO**.<br>Toda modificación total o parcial a uno cualquiera de los términos o Cláusulas de este Contrato, sólo y únicamente producirá sus efectos en la medida exclusiva de que ella haya sido previamente convenida por escrito por las Partes.<br>**<u>DÉCIMO NOVENO</u>: RENUNCIA**.<br>Si una Parte no insiste en el estricto cumplimiento de alguna disposición del Contrato, o si no ejerce un derecho, acción, reclamo o recurso en caso de su infracción, ello no constituirá una renuncia de una disposición del Contrato, ni limitará el derecho de esa Parte para, posteriormente, hacer cumplir una disposición o ejercer un derecho. | **<u>SIXTEENTH</u> - SEVERABILITY:**<br>If any clauses or parts hereof were invalid or unenforceable, the validity or obligatory nature of the remainder of the clauses and parts hereof shall not be affected. Any such invalid or unenforceable clauses or parts shall be deemed separated from this Agreement, in the understanding that the Parties shall, in good faith, negotiate amendments thereto, so that they meet their original intention.<br>**<u>SEVENTEENTH</u> - TERMINATION OF PREVIOUS AGREEMENTS:**<br>This Agreement shall hereon fully annul and replace any other agreements, discussions, contracts, letters, e-mails, faxes, and oral or written contracts, previously executed or agreed at any time by SQM and SCM with regard to the Mining Rights or any other matters hereunder.<br>**<u>EIGHTEENTH</u> - AMENDMENTS:**<br>Any total or partial amendments to any terms or clauses hereof shall only and solely be effective if previously agreed in writing by the Parties.<br>**<u>NINETEENTH</u> - WAIVER:**<br>That a Party did not enforce the strict compliance with any provisions hereof, or did not exercise any rights, actions, claims or resorts in cases of breach, shall neither be a waiver of any such provisions, nor limit that Party's right to subsequently enforce any of them or exercise any of its rights. |

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| **<u>VIGÉSIMO</u>: RESOLUCIÓN DE CONFLICTOS.**<br>Todas las diferencias, dificultades o conflictos que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este Contrato, serán sometidas al conocimiento y decisión de los Tribunales Ordinarios de Justicia con competencia en la ciudad de Santiago.<br>**<u>VIGÉSIMO PRIMERO</u>: DOMICILIO Y LEY APLICABLE**.<br>Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este Contrato se rige y regirá siempre por las leyes de la República de Chile.<br>**<u>VIGÉSIMO SEGUNDO</u>: GASTOS**<br>**<u>Veintidós. Uno</u>. Derechos notariales, conservatorios y de archivero judicial.**<br> Todos los derechos notariales, conservatorios y de archivero judicial en que sea necesario incurrir o pagar con motivo de este Contrato, en especial con respecto a su otorgamiento, desistimiento total o parcial – de ser aplicable y autorizado por este Contrato-, término y ejercicio de la Promesa serán siempre pagados totalmente por la SCM a su exclusivo costo. La SCM, a su total y exclusivo costo, dentro del plazo de un mes desde la solicitud de SQM, se obliga a entregar a SQM copia de todas las inscripciones, cancelaciones, anotaciones y certificados que le solicite efectuar con motivo de lo anterior o de los requerimientos registrales al efecto, debidamente pagados por la SCM al Conservador de Minas respectivo.<br>**<u>Veintidós. Dos</u>. Informes de avances y gestiones.**<br> En el caso que la SCM entregue a SQM copia de los requerimientos registrales, en la forma y plazo señalados en la Sección anterior, <br>| **<u>TWENTIETH</u> - CONFLICT RESOLUTION:**<br>Any differences, difficulties or conflicts arising between the Parties for any reasons and under any circumstances, whether directly or indirectly relating hereto, shall be submitted for examination and resolution by the ordinary courts of justice with jurisdiction in the city of Santiago.<br>**<u>TWENTY-FIRST</u> - LEGAL ADDRESS AND GOVERNING LAWS:**<br>For all relevant purposes, the Parties hereby set their legal address in the city and borough of Santiago. This Agreement is and shall always be governed by the laws of the Republic of Chile.<br>**<u>TWENTY-SECOND</u> - EXPENSES:**<br>**<u>25.1</u>. Notary, Registrar and Court Archivist Fees:**<br> All notary, registrar and court archivist fees incurred or paid in connection with this Agreement, and particularly for the execution, the total or partial waiver hereof, as applicable and authorized herein, and the termination or exercise of the Promise, shall always be fully paid by the SCM, at its own cost. Within one month of SQM's request and at its own cost, the SCM hereby commits to deliver a copy of all registrations, cancellations, annotations and certificates requested by the latter by virtue of the foregoing, or as needed for registration purposes, duly paid by the SCM to the relevant Mine Registrars.<br>**<u>22.2</u>. Reports on Progress and Paperwork:**<br> If the SCM delivered a copy of the registration requirements to SQM, in the manner and within the term stated in the previous section, |

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[Translation on the right]

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| **Anexo Dieciséis.Tres /a/** | **Appendix 16.3 /a/** |

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| entregará a SQM todas las inscripciones, cancelaciones y anotaciones que ésta le haya solicitado efectuar según esta Cláusula, dentro de un plazo de quince días corridos, contado desde la recepción de tales antecedentes por parte de la SCM del Conservador de Minas correspondiente. En todo caso, la SCM informará por escrito cada vez que SQM lo requiera y, al menos una vez por mes, los avances y gestiones realizadas ante el Conservador de Minas para la obtención de las inscripciones, cancelaciones y anotaciones referidas.<br>**<u>VIGÉSIMO TERCERO</u>: FACULTAD AL PORTADOR.**<br>Se faculta al portador de copia autorizada de la presente escritura para requerir las inscripciones y anotaciones que procedan en los registros pertinentes del Conservador de Minas respectivo.<br>**<u>PERSONERÍAS</u>**.<br>*-El resto de la página se deja intencionalmente en blanco.-*<br>Anexo Uno. Tres: Plano<br> [Insertar]<br>Se dan copias. DOY FE.<br>| &nbsp;&nbsp;it shall also furnish SQM with all registrations, cancellations and annotations requested by the later per this clause, within 15 calendar days of having received them from the relevant Mine Registrars. In any case, the SCM shall report to SQM in writing, whenever the latter required and at least once a month, on the progress and paperwork completed with the relevant Mine Registrars in order to have the aforesaid registrations, cancellations and annotations entered.<br>**<u>TWENTY-THREE</u> - BEARER AUTHORIZATION:**<br>The bearer of an authenticated copy hereof is hereby authorized to request any pertinent entries and annotations in the relevant Mine Registrars**'** books.<br>**<u>POWERS OF ATTORNEY:</u>**<br>*-The rest of this page has been intentionally left blank.-*<br>Appendix 1.3: Map<br> [To be inserted]<br>Copies have been given. I ATTEST.<br><u>/s/ José Miguel Gustavo Berguño Cañas</u><br> José Miguel Gustavo Berguño Cañas<br> For Sociedad Química y Minera de Chile S.A.<br><u>/s/ Pablo Andrés Altimiras Ceardi</u> <br> Pablo Andrés Altimiras Ceardi<br> For Sociedad Química y Minera de Chile S.A.<br><u>/s/ Ignacio Joaquín López Alarcón</u> <br> Pablo Andrés Altimiras Ceardi<br> For Sociedad Química y Minera de Chile S.A.<br>|

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[Translation on the right]

## Exhibit 10.22

**Exhibit 10.22**

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| **REPERTORIO N.° 7.261 -2022.-**<br> **Protocolizado N.° 824-**<br> Jca. F/Elect. | **JOURNAL No. 7,261-2022** <br> **Public Record No. 824** <br> Jca. F/Elect. |
| **MODIFICACIÓN DE CONTRATO DE** <br> **EXPLORACIÓN MINERA** <br> **Y** <br> **PROMESA UNILATERAL DE** <br> **CONSTITUCIÓN DE SOCIEDAD** | **AMENDMENT TO A MINING** <br> **EXPLORATION AGREEMENT** <br> **AND** <br> **UNILATERAL PROMISE TO** <br> **INCORPORATE A COMPANY** <br> **\*\*\*** |
| **SOCIEDAD QUÍMICA Y MINERA DE** <br> **CHILE S.A.** <br> **Y** <br> **KEY METALS CORPORATION CHILE** <br> **SpA** <br> **-Proyecto Fiel Rosita-**<br> \*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\* | **SOCIEDAD QUÍMICA Y MINERA DE** <br> **CHILE S.A.** <br> **AND** <br> **KEY METALS CORPORATION CHILE** <br> **SpA** <br> **-Fiel Rosita Project-**<br> \*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\* |
| EN SANTIAGO, REPUBLICA DE CHILE, a 27 de julio de dos mil veintidós, ante mí **MARIA SOLEDAD SANTOS MUÑOZ**, Abogado, Notario Público Titular, de la Séptima Notaría de Santiago; con Oficio en calle Agustinas mil ciento sesenta y uno, entrepiso, comuna y ciudad de Santiago, comparecen:<br>don **<u>José Miguel Gustavo Berguño Cañas</u>**, chileno, casado, ingeniero, cédula de identidad número diez<br> millones novecientos tres mil novecientos noventa y dos guion seis, y don **<u>Gonzalo Ignacio Aguirre Toro,</u>**  | IN SANTIAGO, REPUBLIC OF CHILE, on July 27, 2022, the following parties have appeared before me, **MARÍA SOLEDAD SANTOS MUÑOZ**, lawyer and Notary Public assigned to the Santiago Seventh Notary Offices, practising at 1,161, Agustinas Street, mezzanine, in the borough and city of Santiago:<br>**<u>José Miguel Gustavo Berguño Cañas</u>**, a Chilean engineer, married, National Identification Card No. 10,903,992-6, and **<u>Gonzalo Ignacio Aguirre Toro</u>**, a Chilean lawyer, married, National Identification Card No. 13,441,419-7, |

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| chileno, casado, abogado, cédula de identidad número trece millones cuatrocientos cuarenta y un mil cuatrocientos diecinueve guión siete, ambos en nombre y representación de **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, Rol Único Tributario número noventa y tres millones siete mil guion nueve, sociedad anónima del giro de su denominación, todos domiciliados, para estos efectos, en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, comuna de Las Condes, Región Metropolitana, en adelante "**SQM**", por una parte; y | both of them acting for and representing **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, a company in the business indicated by its name, i.e. mining and chemicals, Chilean Taxpayer No. 93,007,000-9, and all of them with legal address for the purposes hereof at 4,285, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, party of the first part, hereinafter called "**SQM**", and |
| por la otra, don **<u>Ignacio Joaquín López Alarcón</u>**, chileno, casado, abogado, cédula de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete, en nombre y representación de **KEY METALS CORPORATION CHILE SpA**, Rol Único Tributario número setenta y siete millones trescientos noventa y tres mil ochocientos cuarenta y dos guion tres, sociedad por acciones, del giro minero, ambos domiciliados, para estos efectos, en calle Pedro de Villagra número dos mil trescientos cincuenta y uno, comuna de Vitacura, en adelante "**KM**"; y SQM y KM individualmente denominadas la "**Parte**" y conjuntamente, las "**Partes**"; los comparecientes mayores de edad, quienes acreditan identidad con las cédulas antes citada y exponen que se ha acordado celebrar la siguiente modificación de contrato de exploración y promesa unilateral de constitución de sociedad. | **<u>Ignacio Joaquín López Alarcón</u>**, a Chilean lawyer, married, National Identification Card No. 16,017,525-7, herein acting for and representing **KEY METALS CORPORATION CHILE SpA**, a joint-stock company in the mining business, Chilean Taxpayer No. **77,393,842-3**, both with address at 2,351, Pedro de Villagra St., Vitacura borough, Santiago, Metropolitan Region, party of the second part, hereinafter called "**KM**", with either SQM or KM individually called a "**Party**" and both together, the "**Parties**".<br>The appearing individuals are of age, have shown me the forenamed identification cards as proof of their respective identities, and have agreed on an amendment to their exploration agreement and unilateral promise to incorporate a company, as follows: |

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| **<u>PRIMERO</u>: ANTECEDENTES.**<br>**<u>Uno. Uno</u>. Contrato.** Con fecha treinta de agosto de dos mil veintiuno, por escritura pública otorgada en la Notaria de Santiago de doña Maria Soledad Santos Muñoz, bajo el repertorio número nueve mil cuatrocientos noventa y siete, guion dos mil veintiuno, las Partes suscribieron un contrato denominado "Contrato de Exploración Minera y Promesa Unilateral de Constitución de Sociedad", en adelante el "**<u>Contrato</u>**". KM declara que el Contrato no ha sido objeto de inscripción alguna en el Conservador de Minas competente. | **<u>FIRST</u> - BACKGROUND**<br>**<u>1.1</u>. Agreement:** On August 30, 2021, at the Notary offices of Maria Soledad Santos Muñoz, the Parties entered into<br> an agreement entitled "Mining Exploration Agreement and Unilateral Promise to Incorporate a Company", hereinafter called the "**<u>Agreement</u>**", Journal No. 9,497-2021. KM hereby states that the Agreement was never entered in the relevant Mine Registrar's books. |
| **<u>Uno. Dos</u>. Ausencia de modificaciones.** El Contrato no ha sido objeto de modificaciones a la fecha. **<u>Uno. Tres</u>. Definiciones.** A menos que en este instrumento se le dé una definición diferente, todas las palabras que comiencen con letra mayúscula tendrán la misma definición que se les otorga en el Contrato. | **<u>1.2</u>. No Previous Amendments:** To this day, the Agreement has not been amended in any way.<br>**<u>1.3</u>. Definitions:** Unless otherwise defined herein, all words or expressions with initial capitals shall have the meanings respectively provided in the Agreement. |

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| **<u>SEGUNDO</u>: MODIFICACIÓN DEL**<br> **CONTRATO.**<br>Por el presente acto, con el objeto de modificar el Porcentaje NSR aplicable para la determinación de la Regalia, las Partes acuerdan modificar el <u>Anexo</u>  | **<u>SECOND</u> – AMENDMENT TO THE AGREEMENT**<br>In order to change the NSR percentage applicable to the Royalty determination, the Parties hereby agree on amending the <u>Appendix 10.5</u> to the Agreement, |

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| <u>Diez. Cinco /b/</u> del Contrato, denominado "ACUERDO DE REGALÍA NSR, HIPOTECA Y PROHIBICIÓN SCM", reemplazando íntegramente la tabla contenida en su <u>Anexo Cuatro. Dos</u> denominado "Tabla" por la tabla que se adjunta en el <u>Anexo Cláusula Segunda</u> de este instrumento, el cual se protocoliza con esta fecha en los registros de esta notaría y se entiende formar parte del mismo y del Contrato para todos los efectos a que pueda haber lugar.<br>| entitled "AGREEMENT ON A NSR ROYALTY, AND THE SCM's MORTGAGE AND RESTRICTION", and entirely replacing the table contained in <u>Appendix 4.2</u> thereto, entitled "Table", by the table annexed hereto as <u>Appendix to Clause 2</u>, which is hereby entered in the records of this Notary office, and is deemed a part hereof and of the Agreement for all applicable purposes.<br>|
| **<u>TERCERO</u>: VIGENCIA.**<br>El Contrato continúa vigente en todo lo no modificado y con las modificaciones incorporadas.<br>| **<u>THIRD</u> – EFFECTIVENESS**<br>In all that is not amended hereby, the Agreement shall remain effective with the included amendments.<br>|
| **<u>CUARTO</u>: RESOLUCIÓN DE CONFLICTOS.**<br>Todas las diferencias, dificultades o conflictos que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este instrumento, serán resueltas de acuerdo a la <u>Cláusula Trigésimo</u> del Contrato sobre "Resolución de Co nflictos".<br>| **<u>FOURTH</u> – CONFLICT RESOLUTION** Any differences, difficulties or conflicts arising between the Parties for any reasons and under any circumstances, whether directly or indirectly relating hereto, shall be resolved as provided in Clause 30 of the Agreement on "Conflict Resolution".<br>|
| **<u>QUINTO</u>: DOMICILIO Y LEY APLICABLE.**<br>Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este instrumento se rige y regirá siempre por las leyes de la República de Chile. | **<u>FIFTH</u> – LEGAL ADDRESS AND APPLICABLE LAWS**<br>For all relevant purposes, the Parties hereby set their legal address in the city and borough of Santiago. This instrument is and shall always be governed by the laws of the Republic of Chile. |

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| **<u>SEXTO</u>: GASTOS.**<br>**<u>Seis. Uno</u>. Derechos notariales, conservatorios y de archivero judicial.** Todos los derechos notariales, conservatorios y de archivero judicial en que sea necesario incurrir o pagar con motivo de este instrumento, serán siempre pagados totalmente por KM a su exclusivo costo. KM, a su total y exclusivo costo, dentro del plazo de un mes desde la solicitud de SQM, se obliga a entregar a SQM copia de todas las inscripciones, anotaciones y certificados que le solicite efectuar con motivo de lo anterior o de los requerimientos registrales para tal efecto debidamente pagados. | **<u>SIXTH</u> – EXPENSES**<br>**<u>6.1.</u> Notary, Registrar and Court Archivist Fees:** All notary, registrar and court archivist fees incurred or paid in connection with this instrument shall always be fully paid by KM at its sole cost. Within one month of SQM's request and at its own cost, KM hereby commits to deliver a duly paid copy of all registrations, cancellations, annotations and certificates requested by the latter according to the foregoing, or as needed for registration purposes.  |
| **<u>Seis. Dos</u>. Informes de avances y gestiones.** En el caso que KM entregue a SQM copia de los requerimientos registrales, en la forma y plazo señalados en la Sección anterior, entregará a SQM todas las inscripciones y anotaciones que ésta le haya solicitado efectuar según esta Cláusula, dentro de un plazo de quince días corridos, contado desde la recepción de tales antecedentes por parte de KM del Conservador de Minas correspondiente. En todo caso, KM informará por escrito cada vez que SQM lo requiera y, al menos una vez por mes, los avances y gestiones realizadas ante el Conservador de Minas para la obtención de las inscripciones y anotaciones referidas. | **<u>6.2.</u> Reports on Progress and Paperwork:** If KM delivered a copy of the registration requirements to SQM in the manner and within the term stated in the preceding section, it shall also furnish SQM with all registrations, cancellations and annotations requested by the latter per this clause, within 15 calendar days of having received them from the relevant Mine Registrar. In any event, KM shall report to SQM in writing, whenever the latter required and at least once a month, on the progress and paperwork completed with the relevant Mine Registrar in order to enter the aforesaid registrations, cancellations and annotations. |

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| **<u>SÉPTIMO</u>: FACULTAD AL PORTADOR.**<br>Se faculta al portador de copia autorizada de la presente escritura para requerir las inscripciones y anotaciones que procedan en los registros pertinentes del Conservador de Minas respectivo. | **<u>SEVENTH</u> – BEARER AUTHORIZATION**<br>The bearer of an authenticated copy hereof is hereby authorized to request any pertaining entries and annotations in the relevant Mine Registrar's books. |
| **<u>PERSONERÍAS</u>.** La personeria de los señores **José Miguel Gustavo Berguño Cañas** y **Gonzalo Ignacio Aguirre Toro** para actuar en representación de **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.** consta en la escritura pública de fecha veintidós de diciembre del año dos mil veinte, otorgada en la Notaria de Santiago de doña Maria Soledad Santos Muñoz, repertorio número doce mil cuatrocientos treinta y nueve, guion dos mil veinte. | **<u>POWERS OF ATTORNEY</u>** <br>**José Miguel Gustavo Berguño Cañas** and **Gonzalo Ignacio Aguirre Toro** have been authorized to represent **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.** in a document executed on December 22, 2020, at the Santiago Notary offices of Maria Soledad Santos Muñoz, and entered in the Journal under No. 12,439-2020. |
| La personeria de don **Ignacio Joaquín López Alarcón** para actuar en representación de **KEY METALS CORPORATION CHILE SpA** consta en escritura pública de fecha quince de junio de dos mil veintiuno, otorgada en la Notaria de Santiago de doña Maria Pilar Gutiérrez Rivera, repertorio número quince mil quinientos veintiuno, guion dos mil veintiuno. | Ignacio Joaquin López Alarcón has been authorized to represent **KEY METALS CORPORATION CHILE SpA** in a document signed on June 15, 2021, at the Santiago Notary offices of Maria Pilar Gutiérrez Rivera, and entered in the Journal under No. 15,521-2021.<br>|
| Dichas personerias no se insertan por ser conocidas por las Partes y por haber estado a la vista del notario que autoriza. | These powers of attorney have not been inserted herein, because they are known by the Parties, and the authenticating Notary has seen them. |

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| PROTOCOLIZADO: En este acto se procede a protocolizar el siguiente anexo, que pasa a formar parte integrante de la presente escritura, bajo el Número <u>824</u>:<br>| FORMALIZATION: The following appendix is hereby entered in the Journal under No. <u>824</u>, and becomes an integral part of this notarized and registered document:<br>|
| **<u>ANEXO CLÁUSULA SEGUNDA</u>: ANEXO DIEZ. CINCO /B/: ACUERDO DE REGALÍA NSR, HIPOTECA Y PROHIBICIÓN SCM. Anexo Cuatro. Dos: Tabla.**" | **<u>APPENDIX TO CLAUSE 2</u>: <u>APPENDIX 10.5 /B/</u>: NSR ROYALTY, MORTGAGE AND RESTRICTION AGREEMENT; Appendix 4.2: Table".**<br>|
| En comprobante y previa lectura, firman los comparecientes. Se dan copias. **DOY FE**. -<br>| In witness whereof and after reading its contents, the appearing individuals have signed this instrument. Copies have been given. **I ATTEST**. |
|  | <br> <u>/s/ José Miguel Gustavo Berguño Cañas</u><br> José Miguel Gustavo Berguño Cañas<br> **For Sociedad Química y Minera de Chile S.A.**<br><u>/s/ Gonzalo Ignacio Aguirre Toro</u> <br> Gonzalo Ignacio Aguirre Toro<br> **For Sociedad Química y Minera de Chile S.A.**<br>|
|  | <u>/s/ Ignacio Joaquín López Alarcón</u><br> Ignacio Joaquín López Alarcón<br> **For Key Metals Corporation Chile SpA** |

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| ***Anexo Cláusula Segunda*** | ***Appendix to Clause 2*** |

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![](ex10-22_001.jpg)

**<u>ANEXO CLÁUSULA SEGUNDA</u>**

**<u>ANEXO DIEZ. CINCO /B/: ACUERDO DE REGALÍA NSR, HIPOTECA Y<br> PROHIBICIÓN SCM.</u>**

**<u>Anexo Cuatro. Dos</u>: Tabla.**

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| **Precio Spot Promedio de** <br> **Metales Preciosos** | **Precio Spot Promedio de** <br> **Metales Preciosos** | **Precio Spot Promedio de** <br> **Metales No Preciosos** | **Precio Spot Promedio de** <br> **Metales No Preciosos** | **Porcentaje** <br> **NSR** |
| **Desde** <br> **US$/oz-Oro** | **Hasta**<br> **US$/oz-Oro** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Desde US$/lb-Cobre** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Hasta US$/lb-Cobre** | **Porcentaje** <br> **NSR** |
| 0 | 500 | 0 | 15 | 1,00% |
| 500 | 700 | 150 | 200 | 1,00% |
| 700 | 900 | 20 | 250 | 1,00% |
| 900 | 1.100 | 250 | 300 | 1,25% |
| 1.100 | 1.300 | 300 | 350 | 1,50% |
| 1.300 | 1.500 | 350 | 400 | 2,00% |
| 1.500 | 1.700 | 400 | 450 | 2,50% |
| 1.700 | 1.900 | 450 | 500 | 3,00% |
| 1.900 | 2.000 | 500 | 550 | 3,00% |
| 2.000 | 2.400 | 55 | 600 | 3,50% |
| 2.400 | 2.600 | 600 | 700 | 4,00% |
| 2.600 | 2.800 | 700 | 800 | 4,50% |
| 2.800 | 3.000 | 800 | 900 | 5,00% |
| 3.000 | 3.200 | 900 | 1000 | 6,00% |
| Mayor a 3.200 | Mayor a 3.200 | Mayor a 10 | Mayor a 10 | 10,00% |

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| ***Anexo Cláusula Segunda*** | ***Appendix to Clause 2*** |

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July 27, 2022,<br> Contentious-Administrative Jurisdiction,<br> Public Record No. 824<br> Journal No. 7,261-2022<br>

[Translation on the right]

**<u>APPENDIX TO CLAUSE 2</u>**

**<u>APPENDIX 10.5 /B/: NSR ROYALTY, MORTGAGE AND RESTRICTION<br> AGREEMENT</u>**

**<u>Appendix 4.2</u>: Table**

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|:---|:---|:---|:---|:---|
| **Average Spot Price of <br> Precious Metals** | **Average Spot Price of <br> Precious Metals** | **Average Spot Price of <br> Non-Precious Metals** | **Average Spot Price of <br> Non-Precious Metals** | **NSR**<br> **Percentage** |
| **From**<br> **USD/oz-Gold** | **To**<br> **USD/oz-Gold** | **From**<br> **USD/lb-Copper** | **To**<br> **USD/lb-Copper** | **NSR**<br> **Percentage** |
| 0 | 500 | 0 | 1.5 | 1.00% |
| 500 | 700 | 1.50 | 2.00 | 1.00% |
| 700 | 900 | 2 | 2.50 | 1.00% |
| 900 | 1100 | 2.50 | 3.00 | 1.25% |
| 1100 | 1300 | 3.00 | 3.50 | 1.50% |
| 1300 | 1500 | 3.50 | 4.00 | 2.00% |
| 1500 | 1700 | 4.00 | 4.50 | 2.50% |
| 1700 | 1900 | 4.50 | 5.00 | 3.00% |
| 1900 | 2000 | 5.00 | 5.50 | 3.00% |
| 2000 | 2400 | 5.5 | 6.00 | 3.50% |
| 2400 | 2600 | 6.00 | 7.00 | 4.00% |
| 2600 | 2800 | 7.00 | 8.00 | 4.50% |
| 2800 | 3000 | 8.00 | 9.00 | 5.00% |
| 3000 | 3200 | 9.00 | 10.00 | 6.00% |
| More than 3,200 | More than 3,200 | More than 10 | More than 10 | 10.00% |

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[Translation on the right]

## Exhibit 10.23

**Exhibit 10.23**

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| **REPERTORIO N.º 6.462-2023.-**<br> **Jca. F/Elect.**<br>**Segunda** **MODIFICACIÓN**<br>**CONTRATO DE EXPLORACIÓN MINERA**<br> **Y**<br> **PROMESA UNILATERAL DE CONSTITUCIÓN DE SOCIEDAD**<br> **-Proyecto Fiel Rosita-**<br> **\*\*\***<br> **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**<br> **Y**<br> **KEY METALS CORPORATION CHILE SpA**<br> \*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\* | **Journal** **No. 6,462-2023**<br> **Jca. F/Elect.**<br>**Second Amendment**<br>**Mining EXPLORATION Agreement**<br> **and**<br> **UNILATERAL PROMISE to Incorporate a Company**<br> **-Fiel Rosita Project-**<br> **\*\*\***<br> **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**<br> **and**<br> **KEY METALS CORPORATION CHILE SpA**<br> \*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\*\* |
| **En Santiago, República de Chile** a veintitrés de junio de dos mil veintitrés, ante mí **MARIA SOLEDAD SANTOS MUÑOZ**, Abogado, Notario Público Titular de la Séptima Notaría de Santiago; con Oficio en calle Agustinas mil ciento sesenta y uno, entrepiso, comuna y ciudad de Santiago, comparecen: | **In Santiago, Republic of Chile**, on June 23, 2023, the following parties have appeared before me, **MARÍA SOLEDAD SANTOS MUÑOZ**, lawyer and Notary Public assigned to the Santiago Seventh Notary Offices, practising at 1,161, Agustinas Street, mezzanine, in the borough and city of Santiago: |
| don **José Miguel Gustavo Berguño Cañas**, chileno, casado, ingeniero, cédula de identidad número diez millones novecientos tres mil novecientos noventa y dos guion seis, y don **Gonzalo Ignacio Aguirre Toro<u>,</u>** chileno, casado, abogado, cédula de identidad número trece millones cuatrocientos cuarenta y un mil cuatrocientos diecinueve guión siete, ambos en nombre y representación de **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, Rol Único Tributario número noventa y tres millones siete mil guion nueve, sociedad anónima del giro de su denominación, todos domiciliados, para estos efectos, en calle El Trovador número cuatro mil doscientos ochenta y cinco, piso seis, comuna de Las Condes, Región Metropolitana, en adelante "**<u>SQM</u>**", por una parte; y | **José Miguel Gustavo Berguño Cañas**, a Chilean engineer, married, National Identification Card No. 10,903,992-6, and **Gonzalo Ignacio Aguirre Toro**, a Chilean lawyer, married, National Identification Card No. 13,441,419-7, both of them acting for and representing **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.**, a company in the business indicated by its name, i.e. mining and chemicals, Chilean Taxpayer No. 93,007,000-9, and all of them with legal address for the purposes hereof at 4,285, El Trovador St., 6<sup>th</sup> Floor, Las Condes borough, Metropolitan Region, party of the first part, hereinafter called "**<u>SQM</u>**", and |
| por la otra, don **Ignacio Joaquín López Alarcón**, chileno, casado, abogado, cédula de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete, en nombre y representación de **KEY METALS CORPORATION CHILE SpA**, Rol Único Tributario número setenta y siete millones trescientos noventa y tres mil ochocientos cuarenta y dos guion tres, sociedad por acciones, del giro minero, ambos domiciliados, para estos efectos, en calle Pedro de Villagra número dos mil trescientos cincuenta y uno, comuna de Vitacura, en adelante "**<u>KM</u>**"; y SQM y KM individualmente denominadas la "**<u>Parte</u>**" y conjuntamente, las "**<u>Partes</u>**"; | **Ignacio Joaquín López Alarcón**, a Chilean lawyer, married, National Identification Card No. 16,017,525-7, herein acting for and representing **KEY METALS CORPORATION CHILE SpA**, a joint-stock company in the mining business, Chilean Taxpayer No. 77,393,842-3, both with address at 2,351, Pedro de Villagra St., Vitacura borough, Santiago, Metropolitan Region, party of the second part, hereinafter called "**<u>KM</u>**", with SQM or KM individually called a "**<u>Party</u>**", and both together, the "**<u>Parties</u>**". |

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| los comparecientes mayores de edad, quienes acreditan identidad con las cédulas antes citadas y exponen que se ha acordado celebrar la siguiente modificación de contrato de exploración y promesa unilateral de constitución de sociedad. | The appearing individuals are of age, have shown me the forenamed identification cards as proof of their respective identities, and have agreed on an amendment to their exploration agreement and unilateral promise to incorporate a company, as follows: |
| **<u>PRIMERO</u>: ANTECEDENTES.**<br>**<u>Uno. Uno</u>. Contrato.**<br>Con fecha treinta de agosto de dos mil veintiuno, por escritura pública otorgada en la Notaría de Santiago de doña María Soledad Santos Muñoz, bajo el repertorio número nueve mil cuatrocientos noventa y siete, guion dos mil veintiuno, las Partes suscribieron un contrato denominado "Contrato de Exploración Minera y Promesa Unilateral de Constitución de Sociedad", en adelante el "**<u>Contrato</u>**". KM declara que el Contrato no ha sido objeto de inscripción alguna en el Conservador de Minas competente. | **<u>First</u> – Background Information**<br>**<u>1.1.</u> Agreement**<br>On August 30, 2021, at the Notary offices of María Soledad Santos Muñoz, the Parties entered into an agreement entitled "Mining Exploration Agreement and Unilateral Promise to Incorporate a Company", hereinafter called the "**<u>Agreement</u>**", Journal No. 9,497-2021. KM hereby states that the Agreement has never been entered in the relevant Mine Registrar's books. |

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| **<u>Uno. Dos</u>. Definiciones.**<br>A menos que en este instrumento se le dé una definición diferente, todas las palabras que comiencen con letra mayúscula tendrán la misma definición que se les otorga en el Contrato. | **<u>1.2</u>. Definitions**<br>Unless otherwise defined herein, all words or expressions with initial capitals shall have the meanings respectively defined for them in the Agreement. |
| **<u>Uno. Tres</u>. Modificaciones.**<br>El Contrato fue modificado en única oportunidad mediante escritura pública otorgada con fecha veintisiete de julio de dos mil veintidós en la Notaría de Santiago de doña María Soledad Santos Muñoz, bajo el repertorio número siete mil doscientos sesenta y uno guion dos mil veintidós, en el sentido de modificar el porcentaje aplicable para la determinación de la Regalía establecida en el <u>Anexo Diez. Cinco /b/</u> del Contrato. | **<u>1.3</u>. Amendments**<br>The Agreement was amended only once in a document of public record signed on July 27, 2022, at the Santiago Notary Office of María Soledad Santos Muñoz, entered in the Journal under No. 7,261-2022, with the purpose of amending the percentage applicable to determine the Royalty defined in <u>Appendix 10.5 /b/</u> to the Agreement. |
| **<u>SEGUNDO</u>: MODIFICACIÓN DEL CONTRATO.**<br>Por el presente acto, las Partes, según lo establecido en la <u>Cláusula Vigésimo Octava</u> del Contrato, acuerdan modificarlo del modo que se indica a continuación: | **<u>Second</u> – Amendment to the Agreement**<br>Per <u>Clause 28</u> of the Agreement, the Parties hereby agree on amending the latter as follows: |
| **<u>Dos. Uno:</u>** En la <u>Cláusula Sexta</u> sobre "*Primas y su Determinación*", las Partes acuerdan remplazar íntegramente la letra /g/ de dicha cláusula, por el texto que sigue a continuación:<br>| **<u>2.1:</u>** The Parties hereby agree on replacing the entire <u>letter /g/</u> of <u>Clause 6</u> on "*Instalments*" with the following text: |
| "**/g/** la cantidad de <u>seis millones ciento veinticinco mil Dólares</u>, en su equivalente en pesos, moneda nacional, pagaderos en o antes del día treinta y uno de diciembre de dos mil veintisiete; | "**/g/** an amount in CLP equivalent to <u>USD 6,125,000</u>, payable on or before December 31, 2027; |
| **<u>Dos. Dos:</u>** En la <u>Sección Ocho. Tres,</u> sobre "*Montos y calendario*", las Partes acuerdan remplazar íntegramente las <u>letras /b/, /c/, /d/, /e/ y /f/</u> de dicha sección, por el texto que sigue a continuación: | **<u>2.2:</u>** The Parties hereby agree on replacing the entire <u>letters /b/, /c/, /d/, /e/ and /f/</u> of <u>Section 8.3</u> on "*Amounts and Dates*" with the following text: |

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| *"**/b/** la cantidad de <u>dos millones de Dólares</u> en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veintitrés;* | "***/b/*** *an amount in CLP equivalent to <u>USD 2,000,000</u>, payable on or before December 31, 2023;* |

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| ***/c/*** *la cantidad de <u>tres millones de Dólares</u> en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veinticuatro;* | ***/c/*** *an amount in CLP equivalent to <u>USD 3,000,000</u>, payable on or before December 31, 2024;* |
| ***/d/*** *la cantidad de <u>cuatro millones de Dólares</u> en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veinticinco;* | ***/d/*** *an amount in CLP equivalent to <u>USD 4,000,000</u>, payable on or before December 31, 2025;* |
| ***/e/*** *la cantidad de <u>cinco millones de Dólares</u> en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veintiséis; y* | ***/e/*** *an amount in CLP equivalent to <u>USD 5,000,000</u>, payable on or before December 31, 2026, and* |
| ***/f/*** *la cantidad de <u>cinco millones quinientos mil Dólares</u>, en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veintisiete".* | ***/f/*** *an amount in CLP equivalent to <u>USD 5,500,000</u>, payable on or before December 31, 2027*". |
| **<u>Dos. Tres:</u>** En la <u>Sección Nueve. Dos</u> sobres "*Plazo para ejercer la Promesa*", las Partes acuerdan remplazar íntegramente la letra /a/ de dicha sección, por el texto que sigue a continuación: | **<u>2.3:</u>** The Parties hereby agree on replacing the entire letter /a/ of <u>Section 9.2</u> on the "*Term for Fulfilling the Promise*" with the following text: |
| *"**/a/** Sujeto a los términos de este Contrato, al cumplimiento de las obligaciones, Condiciones y a que se entiendan aprobados todos los Informes de exploración según como se señala en este Contrato, el plazo extintivo y fatal para ejercer la Promesa es hasta el día treinta y uno de diciembre de dos mil veintisiete, en adelante el "**Plazo**"*. | "***/a/*** *Subject to the terms hereof, to having met the obligations and Conditions hereunder, and to all of the Exploration Reports having been deemed approved as provided herein, the extinctive final deadline for fulfilling the Promise shall be December 31, 2027, hereinafter called the "**Term**".* |

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| **<u>Dos. Cuatro:</u>** En la <u>Sección Diez. Uno</u> sobre "*Constitución de la Sociedad Contractual Minera*", las Partes acuerdan remplazar íntegramente la <u>letra /a/</u> de dicha sección, por el texto que sigue a continuación: | **<u>2.4:</u>** The Parties hereby agree on replacing the entire <u>letter /a/</u> of <u>Section 10.1</u> on the "*Incorporation of the Contract Mining Company*" with the following text: |
| "***/a/*** *Sujeto a los términos de este Contrato, al cumplimiento de las obligaciones, Condiciones y a que se entiendan aprobados todos los Informes de Exploración según como se señala en este Contrato, si KM decidiera ejercer la Promesa, concurriendo a formar la SCM, enviará dentro del Plazo un aviso a SQM comunicando su intención en tal sentido y adjuntando una copia autorizada ante Notario, como conforme a su original, de los documentos que acrediten el cumplimiento de las Condiciones y la aprobación de todos los Informes de Exploración, en adelante el "**Aviso de Ejercicio**". El Aviso de Ejercicio, será entregado personalmente por el Notario al Gerente General o al Vicepresidente de Operaciones Nitrato o al Vicepresidente Legal de SQM, y ser enviado con copia al contacto de SQM que se señala en la <u>Cláusula Vigésimo Tercera</u>*". | "***/a/*** *Subject to the terms hereof, to having met the obligations and Conditions hereunder, and to all of the Exploration Reports having been deemed approved as provided herein, if KM decided to fulfill the Promise and form the SCM, it shall send a notice to SQM within the Term, hereinafter called the "**Notice of Fulfillment**", stating its intention in this sense, enclosing copies of the documents proving that the Conditions had been met and the Exploration Reports approved, authenticated by a Notary as true to their originals, and delivered in person by the Notary to SQM's General Manager, Vice-President of Nitrate Operations or Legal Vice-President, with copy to SQM's contact specified in <u>Clause 23</u>*". |
| **<u>TERCERO</u>: INCREMENTO EN LOS GASTOS MÍNIMOS DE EXPLORACIÓN.**<br>KM declara que:<br> **/a/** para el primer periodo de Gastos Mínimos de Exploración, vencido el día treinta de agosto de dos mil veintidós, sólo efectuó Gastos de Exploración por un monto de trescientos veinticinco mil doscientos ochenta y un Dólares, faltándole una cantidad de **ciento setenta y cuatro mil setecientos diecinueve Dólares** para cumplir los Gastos Mínimos de Exploración para dicho periodo; | **<u>Third</u> – Increase in Minimum Exploration Expenses**<br>KM hereby states:<br> **/a/** That, during the first period set for Minimum Exploration Expenses, which ended on August 30, 2022, its Exploration Expenses only totalled USD 325,281, leaving an unspent amount of **USD 174,719** to meet the Minimum Exploration Expenses defined for that period; |
| **/b/** hace uso del derecho que se le otorga en la <u>letra /c/</u> de la <u>Sección Ocho. Cuatro</u> del Contrato, incrementando en ciento setenta y cuatro mil setecientos diecinueve Dólares la cantidad de Gastos Mínimos de Exploración a incurrir en el segundo periodo que vence el treinta y uno de diciembre de dos mil veintitrés; | **/b/** That, by exercising the right granted thereto in <u>letter /c/</u> of <u>Section 8.4</u> of the Agreement, it hereby increases the Minimum Exploration Expenses to be spent during the second period ending on December 31, 2023, by USD 174,719, and |
| **/c/** en virtud de lo anterior se obliga a incurrir por concepto de Gastos Mínimos de Exploración la cantidad de **dos millones ciento setenta y cuatro mil setecientos diecinueve Dólares** en su equivalente a pesos, moneda nacional, en o antes del día treinta y uno de diciembre de dos mil veintitrés. | **/c/** That, therefore, it hereby commits to spend Minimum Exploration Expenses in an amount in CLP equivalent to **USD 2,174,719** on or before December 31, 2023. |

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| **<u>Cuarto</u>** **: Vigencia.**<br>El Contrato continúa vigente en todo lo no modificado y con las modificaciones incorporadas. | **<u>Fourth</u> – Effectiveness**<br>In all that is not amended hereby, the Agreement shall remain effective with the included amendments. |
| **<u>QUINTO</u>: RESOLUCIÓN DE CONFLICTOS.**<br>Todas las diferencias, dificultades o conflictos que se susciten entre las Partes, por cualquier motivo y bajo cualquier circunstancia, relacionadas directa o indirectamente con este instrumento, serán resueltas de acuerdo a la Cláusula Trigésima del Contrato sobre "Resolución de Conflictos". | **<u>Fifth</u> – CONFLICT Resolution**<br>Any differences, difficulties or conflicts that may arise between the Parties for any reasons and under any circumstances, whether directly or indirectly relating hereto, shall be resolved as provided in Clause 30 of the Agreement on "Conflict Resolution". |
| **<u>SEXTO</u>: DOMICILIO Y LEY APLICABLE.**<br>Las Partes, para todos los efectos pertinentes, fijan domicilio especial en la ciudad y comuna de Santiago. Este instrumento se rige y regirá siempre por las leyes de la República de Chile. | **<u>Sixth</u> – LEGAL ADDRESS AND APPLICABLE LAWS**<br>For all relevant purposes, the Parties hereby specially set their legal address in the city and borough of Santiago. This instrument is and shall always be governed by the laws of the Republic of Chile. |
| **<u>SÉPTIMO</u>: GASTOS.**<br>Todos los derechos notariales, conservatorios y de archivero judicial en que sea necesario incurrir o pagar con motivo de este instrumento, serán siempre pagados totalmente por KM a su exclusivo costo. | **<u>Seventh</u> – Expenses**<br>All notary, registrar and court-archivist fees incurred or paid in connection with this instrument shall always be fully paid by KM alone, at its own cost. |
| Asimismo, KM, dentro del plazo de un mes a contar de esta fecha, se obliga gestionar todas las inscripciones o anotaciones que sean pertinentes para materializar los acuerdos alcanzados en el presente instrumento, debiendo entregar a SQM copia de dichas inscripciones y anotaciones una vez sean practicadas por los organismos correspondientes. | KM hereby also promises that, within one month hereof, it shall process any and all registrations or annotations relevant to bring about the agreements reached herein, and once completed by the corresponding organizations, deliver a copy thereof to SQM. |

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| **<u>Octavo</u>** **: FACULTAD AL PORTADOR.**<br>Se faculta al portador de copia autorizada de la presente escritura para requerir las inscripciones y anotaciones que procedan en los registros pertinentes del Conservador de Minas respectivo. | **<u>Eighth</u> – Bearer Authorization**<br>The bearer of an authenticated copy hereof is hereby authorized to request any pertaining entries and annotations in the relevant Mine Registrar's books. |
| **<u>PERSONERÍAS</u>.** La personería de los señores **José Miguel Gustavo Berguño Cañas** y **Gonzalo Ignacio Aguirre Toro** para actuar en representación de **SOCIEDAD QUÍMICA Y MINERA DE CHILE S.A.** consta en la escritura pública de fecha veinte de enero del año dos mil veintitrés, otorgada en la Notaría de Santiago de doña María Soledad Santos Muñoz, repertorio número seiscientos ochenta y seis, guión dos mil veintitrés. | **<u>Powers of Attorney</u>**<br>**José Miguel Gustavo Berguño Cañas** and **Gonzalo Ignacio Aguirre Toro** have been authorized to represent **Sociedad Química y Minera de Chile** **S.A.** in a document executed on January 20, 2023, at the Santiago Notary offices of María Soledad Santos Muñoz, and entered in the Journal under No. 686-2023. |
| La personería de don **Ignacio Joaquín López Alarcón** para actuar en representación de **KEY METALS CORPORATION CHILE SpA** consta en escritura pública de fecha quince de junio de dos mil veintiuno, otorgada en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera, repertorio número quince mil quinientos veintiuno, guion dos mil veintiuno. | **Ignacio Joaquín López Alarcón** has been authorized to represent **Key Metals Corporation Chile** **SpA** in a document signed on June 15, 2021, at the Santiago Notary offices of María Pilar Gutiérrez Rivera, and entered in the Journal under No. 15,521-2021. |
| Dichas personerías no se insertan por ser conocidas por las Partes y por haber estado a la vista del notario que autoriza. | These powers of attorney have not been inserted herein, because they are known by the Parties, and the authenticating Notary has seen them. |
| En comprobante y previa lectura, firman los comparecientes. Se dan copias. **DOY FE**. | In witness whereof and after reading its contents, the appearing individuals have signed this instrument. Copies have been given. **I ATTEST**. |

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| <u>/s/ José Miguel Gustavo Berguño Cañas</u> |
| José Miguel Gustavo Berguño Cañas |
| **For Sociedad Química y Minera de Chile S.A** |

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| <u>/s/ Gonzalo Ignacio Aguirre Toro</u> |
| Gonzalo Ignacio Aguirre Toro |
| **For Sociedad Química y Minera de Chile S.A.** |

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| <u>/s/ Ignacio Joaquín López Alarcón</u> |
| Ignacio Joaquín López Alarcón |
| **For Key Metals Corporation Chile SpA** |

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## Exhibit 10.24

**Exhibit 10.24**

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| **REPERTORIO N° 11/2023** | **JOURNAL No. 11-2023** |
| **AB/I. López**<br> **OT:122875.- J. R.: V. CALVUÉN**<br>**CONTRATO DE COMPRAVENTA<br> DE CONCESIONES MINERAS**<br>**MANQUEHUE ASESORÍAS<br> MINERAS SpA**<br>**A**<br>**GOLD EXPRESS MINES SpA**<br>| **Lawyer/I. López**<br> **W.O.: 122,875. - J. R.: V. CALVUÉN**<br>**AGREEMENT TO PURCHASE<br> MINING CLAIMS**<br>**MANQUEHUE ASESORÍAS<br> MINERAS SpA**<br>**AND**<br>**GOLD EXPRESS MINES SpA** |
| En Santiago de Chile, a **tres de Enero de dos mil veintitrés**, ante mi, PAULA ANDREA LUNA SAEZ, abogada, domiciliada en Huérfanos seiscientos sesenta y nueve, octavo piso, comuna de Santiago, Notario Suplente de doña Maria Pilar Gutiérrez Rivera, titular de la Décimo Octava Notaria de Santiago, según Decreto Número quinientos ochenta y cuatro - dos mil veintidós, de la Ilustrisima Corte de Apelaciones de Santiago de fecha veintisiete de diciembre de dos mil veintidós, y protocolizado en esta Notaria con fecha veintinueve de diciembre de dos mil veintidós bajo el Repertorio número diecinueve mil quinientos veintiuno/ dos mil veintidós, comparece: | In Santiago, Chile, on **January 3, 2023**, the following individual has appeared before me, PAULA ANDREA LUNA SAEZ, lawyer practicing at 669, Huérfanos St., 8th Floor, Santiago borough, and Deputy Notary acting for Maria Pilar Gutiérrez Rivera, assigned to the Santiago Eighteenth Notary Offices, per Decree No. 584-2022, of the Santiago Appellate Court, dated December 27, 2022, and entered in the records of this Notary Offices on December 29, 2022, under Journal No. 19,521/2022: |
| don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, chileno, casado, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete, en representación, según se acreditará, de **MANQUEHUE ASESORÍAS** | **IGNACIO JOAQUÍN LÓPEZ**<br> **ALARCÓN**, a Chilean lawyer, national identification card No. 16,017,525-7, and as shall be proven hereinafter, herein representing **MANQUEHUE ASESORÍA MINERAS SpA**, a company validly incorporated and in good |

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| **MINERAS SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número **setenta y seis millones setecientos sesenta y cinco mil novecientos ochenta y cinco guion siete**, ambos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Región Metropolitana, en Adelante la "**<u>Vendedora</u>**", la "**<u>Propietaria</u>**" o "**<u>MAM</u>**", por una parte; y | standing according to Chilean laws, Taxpayer Identification No. **76,765,985-7**, both with address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, Vitacura borough, Santiago, Metropolitan Region, party of the first part, hereinafter called the "**<u>Seller</u>**", the "**<u>Owner</u>**" or "**<u>MAM</u>**", and |
| de **GOLD EXPRESS MINES SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número **setenta y** siete millones cuatrocientos noventa y ocho mil trescientos veinticuatro, guion cuatro, en adelante también la "**<u>Compradora</u>**" o "**<u>GEM</u>**", todos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Región Metropolitana, los anteriores conjuntamente como las "**<u>Partes</u>**";  | **GOLD EXPRESS MINES SpA**, a company validly incorporated and in good standing according to Chilean laws, Taxpayer Identification No. **77,498,324-4**, hereinafter also c alled the "**<u>Buyer</u>**" or "**<u>GEM</u>**", all of them with legal address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, Vitacura borough, Santiago, Metropolitan region, and hereinafter collectively called the "**<u>Parties</u>**"; |
| el compareciente mayor de edad, quien acredita su identidad con la cédula citada y expone: | The appearing individual is of age, has shown the forenamed identification card as proof of his identity and has stated as follows: |
| **<u>PRIMERO</u>: Propiedades mineras**. La Vendedora es dueña de las siguientes concesiones mineras de explotación ubicadas en las comunas de Freirina y Vallenar, respectivamente, Provincia de Huasco, Tercera Región, que conforman una parte del "**Proyecto Cerro Blanco**": | **<u>FIRST</u>: Mining Properties**<br>The Seller owns the following mining claims for exploitation in the Freirina and Vallenar boroughs, Huasco Province, Third Region, which make up a part of the "**Cerro Blanco Project**": |
| i) Concesión minera de explotación denominada "**CAROLINA UNO 11 A CAROLINA UNO 30**", la cual se encuentra inscrita a fojas ciento cuarenta y cinco número cuarenta y uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y seis, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y dos, número ciento treinta del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | i) Mining claim for exploitation called **CAROLINA 1, 11 to 30**, registered under No. 41 on Page 145 of the Freirina Mine Registrar's 1996 Book of Properties, with the title on its name recorded under No. 130 on Page 882 of the same Registrar's 2022 Book of Properties; |
| ii) Concesión minera de explotación denominada "**CAROLINA DOS 11 A CAROLINA DOS 30**", la cual se encuentra inscrita a fojas ciento cincuenta y uno número cuarenta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y seis, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y tres número ciento treinta y uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | ii) Mining claim for exploitation called **CAROLINA 3, 11 to 30**, registered under No. 43 on Page 157 of the |

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| iii) Concesión minera de explotación denominada "**CAROLINA TRES 11 A CAROLINA TRES 30**", la cual se encuentra inscrita a fojas ciento cincuenta y siete número cuarenta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y seis, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y cuatro número ciento treinta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | iii) Mining claim for exploitation called **CAROLINA 3, 11 to 30**, registered under No. 43 on Page 157 of the Freirina Mine Registrar's 1996 Book of Properties, with the title on its name recorded under No. 132 on Page 884 of the same Registrar's 2022 Book of Properties; |
| iv) Concesión minera de explotación denominada "**CAROLINA SEIS 1 A CAROLINA SEIS 30**", la cual se encuentra inscrita a fojas ciento sesenta y cuatro número cuarenta y cuatro del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y seis, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y cinco número ciento treinta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | iv) Mining claim for exploitation called **CAROLINA 6, 1 to 30**, registered under No. 44 on Page 164 of the Freirina Mine Registrar's 1996 Book of Properties, with the title on its name recorded under No. 133 on Page 885 of the same Registrar's 2022 Book of Properties;<br>|
| v) Concesión minera de explotación denominada "**CAROL DOS UNO 1 A CAROL DOS UNO 60**", la cual se encuentra inscrita a fojas doscientos, número cuarenta y seis del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y siete, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y seis, número ciento treinta y cuatro del Registro de Propiedad del conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | v) Mining claim for exploitation called CAROL 2-1, 1 to 60, registered under No. 46 on Page 200 of the Freirina Mine Registrar's 1997 Book of Properties, with the title on its name recorded under No. 134 on Page 886 of the same Registrar's 2022 Book of Properties; |
| vi) Concesión minera de explotación denominada "**CAROL DOS DOS 1 A CAROL DOS DOS 60**", la cual se encuentra inscrita a fojas doscientos siete número cuarenta y siete del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y siete, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y siete número ciento treinta y cinco del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | vi) Mining claim for exploitation called **CAROL 2-2, 1 to 60**, registered under No. 47 on Page 207 of the Freirina Mine Registrar's 1997 Book of Properties, with the title on its name recorded under No. 135 on Page 887 of the same Registrar's 2022 Book of Properties; |
| vii) Concesión minera de explotación denominada "**CAROL DOS TRES 1 A CAROL DOS TRES 60**", la cual se encuentra inscrita a fojas doscientos catorce número cuarenta y ocho del Registro de Propiedad del Conservador de Minas de Freirina,correspondiente al año mil novecientos noventa y siete, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y ocho número ciento treinta y seis del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | vii) Mining claim for exploitation called **CAROL 2-3, 1 to 60**, registered under No. 48 on Page 214 of the Freirina Mine Registrar's 1997 Book of Properties, with the title on its name recorded under No. 136 on Page 888 of the same Registrar's 2022 Book of Properties; |

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| viii) Concesión minera de explotación denominada "**CAROL DOS SEIS 1 A CAROL DOS SEIS 60**", la cual se encuentra inscrita a fojas doscientos veintidós número cuarenta y nueve del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos noventa y siete, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos ochenta y nueve número ciento treinta y siete del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | viii) Mining claim for exploitation called **CAROL 2-6, 1 to 60**, registered under No. 49 on Page 222 of the Freirina Mine Registrar's 1997 Book of Properties, with the title on its name recorded under No. 137 on Page 889 of the same Registrar's 2022 Book of Properties; |
| ix) Concesión minera de explotación denominada "**ENRIQUE UNO AL TREINTA**", la cual se encuentra inscrita a fojas cincuenta, número seis del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año mil novecientos sesenta y cuatro, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa, número ciento treinta y ocho del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | viii) Mining claim for exploitation called **ENRIQUE, 1 to 30**, registered under No. 6 on Page 50 of the Freirina Mine Registrar's 1964 Book of Properties, with the title on its name recorded under No. 138 on Page 890 of the same Registrar's 2022 Book of Properties; |
| Concesión minera de explotación denominada "**ELISA 9, 1 AL 30**", la cual se encuentra inscrita a fojas setenta y uno número doce del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil doce, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y uno número ciento treinta y nueve del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | x) Mining claim for exploitation called **ELISA 9, 1 to 30**, registered under No. 12 on Page 71 of the Freirina Mine Registrar's 2012 Book of Properties, with the title on its name recorded under No. 139 on Page 891 of the same Registrar's 2022 Book of Properties;<br>|
| x) Concesión minera de explotación denominada "**ELISA 10, 1 AL 30**", la cual se encuentra inscrita a fojas ocho, número dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil doce, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y dos, número ciento cuarenta del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xi) Mining claim for exploitation called **ELISA 10, 1 to 30**, registered under No. 2 on Page 8 of the Freirina Mine Registrar's 2012 Book of Properties, with the title on its name recorded under No. 140 on Page 892 of the same Registrar's 2022 Book of Properties; |
| xi) Concesión minera de explotación denominada "**ELISA 11, 1 AL 10**", la cual se encuentra inscrita a fojas doscientos setenta y seis número cincuenta y uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil ocho, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y tres, número ciento cuarenta y uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xii) Mining claim for exploitation called **ELISA 11, 1 to 10**, registered under No. 51 on Page 276 of the Freirina Mine Registrar's 2008 Book of Properties, with the title on its name recorded under No. 141 on Page 893 of the same Registrar's 2022 Book of Properties;<br>|
| xiii) Concesión minera de explotación denominada "ELISA 12, 1 AL 22", la cual se encuentra inscrita a fojas ciento veintiocho, número veinticuatro del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil doce, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y cuatro, número ciento cuarenta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xiii) Mining claim for exploitation called **ELISA 12, 1 to 22**, registered under No. 24 on Page 128 of the Freirina Mine Registrar's 2012 Book of Properties, with the title on its name recorded under No. 142 on Page 894 of the same Registrar's 2022 Book of Properties; |

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| xiv) Concesión minera de explotación denominada "**ELISA 14, 1 AL 28**", la cual se encuentra inscrita a fojas doscientos ochenta y tres, número cincuenta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil ocho, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y cinco, número ciento cuarenta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xiv) Mining claim for exploitation called **ELISA 14, 1 to 28**, registered under No. 52 on Page 283 of the Freirina Mine Registrar's 2008 Book of Properties, with the title on its name recorded under No. 143 on Page 895 of the same Registrar's 2022 Book of Properties; |
| xv) Concesión minera de explotación denominada "**ELISA 15, 1 AL 28**", la cual se encuentra inscrita a fojas ciento setenta y cuatro, número sesenta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil nueve, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y seis, número ciento cuarenta y cuatro del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xv) Mining claim for exploitation called **ELISA 15, 1 to 28**, registered under No. 63 on Page 174 of the Freirina Mine Registrar's 2009 Book of Properties, with the title on its name recorded under No. 144 on Page 896 of the same Registrar's 2022 Book of Properties; |
| xvi) Concesión minera de explotación denominada "**ELISA 19, 1 AL 26**", la cual se encuentra inscrita a fojas cuatrocientos cincuenta y uno número ochenta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil trece, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y siete, número ciento cuarenta y cinco del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xvi) Mining claim for exploitation called **ELISA 19, 1 to 26**, registered under No. 83 on Page 451 of the Freirina Mine Registrar's 2013 Book of Properties, with the title on its name recorded under No. 145 on Page 897 of the same Registrar's 2022 Book of Properties; |
| xvii) Concesión minera de explotación denominada "**ELISA 21, 1 AL 30**", la cual se encuentra inscrita a fojas doscientos sesenta y uno número cuarenta y nueve del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil ocho, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y ocho, número ciento cuarenta y seis del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xvii) Mining claim for exploitation called **ELISA 21, 1 to 30**, registered under No. 49 on Page 261 of the Freirina Mine Registrar's 2008 Book of Properties, with the title on its name recorded under No. 146 on Page 898 of the same Registrar's 2022 Book of Properties; |
| xviii) Concesión minera de explotación denominada "**FREIRINA 1, 1 AL 50**", la cual se encuentra inscrita a fojas ciento sesenta y seis, número treinta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil catorce, y cuyo título a su nombre se encuentra inscrito a fojas ochocientos noventa y nueve, número ciento cuarenta y siete del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xviii) Mining claim for exploitation called **FREIRINA 1, 1 to 50**, registered under No. 32 on Page 166 of the Freirina Mine Registrar's 2014 Book of Properties, with the title on its name recorded under No. 147 on Page 899 of the same Registrar's 2022 Book of Properties; |

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| xix) Concesión minera de explotación denominada "**FREIRINA 2, 1 AL 100**", la cual se encuentra inscrita a fojas ciento setenta y tres, número treinta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil catorce, y cuyo título a su nombre se encuentra inscrito a fojas novecientos, número ciento cuarenta y ocho del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xix) Mining claim for exploitation called **FREIRINA 2, 1 to 100**, registered under No. 33 on Page 173 of the Freirina Mine Registrar's 2014 Book of Properties, with the title on its name recorded under No. 148 on Page 900 of the same Registrar's 2022 Book of Properties; |
| xx) Concesión minera de explotación denominada "**MEM 34, 1 AL 44**", la cual se encuentra inscrita a fojas ochocientos dieciocho, número ciento veinticinco del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil quince, y cuyo título a su nombre se encuentra inscrito a fojas novecientos uno número ciento cuarenta y nueve del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xx) Mining claim for exploitation called **MEM 34, 1 to 44**, registered under No. 125 on Page 818 of the Freirina Mine Registrar's 2015 Book of Properties, with the title on its name recorded under No. 149 on Page 901 of the same Registrar's 2022 Book of Properties; |
| xx) Concesión minera de explotación denominada "**MEM 35, 1 AL 44**", la cual se encuentra inscrita a fojas ciento cuarenta y dos, número treinta y nueve del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil dieciséis, y cuyo título a su nombre se encuentra inscrito a fojas novecientos dos, número ciento cincuenta del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | xxi) Mining claim for exploitation called **MEM 35, 1 to 44**, registered under No. 39 on Page 142 of the Freirina Mine Registrar's 2016 Book of Properties, with the title on its name recorded under No. 150 on Page 902 of the same Registrar's 2022 Book of Properties; |
| xxii) Concesión minera de explotación denominada "**MEM 71, 1 AL 20**", la cual se encuentra inscrita a fojas seiscientos treinta y cuatro, número ciento uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil dieciocho, y cuyo título a su nombre se encuentra inscrito a fojas novecientos tres, número ciento cincuenta y uno del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; | called **MEM 71, 1 to 20**, registered under No. 101 on Page 634 of the Freirina Mine Registrar's 2018 Book of Properties, with the title on its name recorded under No. 151 on Page 903 of the same Registrar's 2022 Book of Properties; |
| xxiii) Concesión minera de explotación denominada "**MEM 74, 1 AL 10**", la cual se encuentra inscrita a fojas ochenta y nueve, número treinta y tres del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil diecinueve, y cuyo título a su nombre se encuentra inscrito a fojas novecientos cuatro, número ciento cincuenta y dos del Registro de Propiedad del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós; y, | xxiii) Mining claim for exploitation called **MEM 74, 1 to 10**, registered under No. 33 on Page 89 of the Freirina Mine Registrar's 2019 Book of Properties, with the title on its name recorded under No. 152 on Page 904 of the same Registrar's 2022 Book of Properties, and |

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| xxiv) Concesión minera de explotación denominada "**CERRO BLANCO 1, 1 AL 20**", cuya manifestación y título a su nombre se encuentra inscrito a fojas mil seiscientos cuarenta y uno vuelta número setecientos setenta y nueve del Registro de Descubrimientos del Conservador de Minas de Vallenar, correspondiente al año dos mil veintidós. | xxiv) Mining claim for exploitation called **CERRO BLANCO 1, 1 to 20**, registered under No. 779 on the back of Page 1,641 of the Vallenar Mine Registrar's 2022 Book of Discoveries.<br>|
| **<u>SEGUNDO</u>**: **Declaraciones.**<br>**UNO.** Las concesiones mineras antes individualizadas se denominarán en adelante las "**<u>Concesiones Mineras</u>**". DOS. Para todos los efectos del presente Contrato, se entenderán como parte de la denominación de Concesiones Mineras a todas las concesiones mineras que eventualmente constituya la Vendedora, por sí o a través de terceros, en el área superficial de ésta, de acuerdo a lo establecido en el presente instrumento. | **<u>SECOND</u>: Representations**<br>1. The previously identified mining claims shall be hereinafter called the "**<u>Mining Claims</u>**".<br>2. For all purposes hereof, any and all mining claims that the Seller may, directly or through third parties, be awarded in the future within the surface area of the Mining Claims, as provided herein, shall be deemed a part of the Mining Claims. |
| **TRES.** La Vendedora, de buena fe, declara y garantiza en su leal saber y entender, a través de su representante compareciente, las siguientes declaraciones respecto de las concesiones Mineras de que es dueña:<br>a) se encuentran vigentes, ubicadas en terrenos abiertos e incultos que a su vez están ubicados en las comunas de Freirina y Vallenar, respectivamente, Provincia de Huasco, Tercera Región; | **3.** Through its appearing representative, in good faith and to the best of its knowledge and belief, the Seller hereby makes the following representations on the Mining Claims that it owns:<br>a) That they are presently valid and located on open and uncultivated lands in the Freirina and Vallenar boroughs, Huasco Province, Third Region; |
| b) sobre ellas ha tenido y tiene dominio exclusivo. y excluyente y derechos preferentes o antelados para constituir propiedad minera definitiva; no se superponen a ningún derecho de tercero que pudiere habilitar a ese tercero para explorar o explotar cualquier sustancia susceptible de concesión minera en el mismo terreno, salvo excepciones que ya son de conocimiento de la Compradora; | b) That it has had and presently has full, sole and exclusive ownership thereof, and preferential or first rights of establishing final mining properties, and that they do not overlay any third-party rights to explore or extract any substances susceptible of being awarded mining claims on the same land, with the presently existing exceptions that are known by the Buyer; |
| c) fueron adquiridas con justo título, de buena fe, conforme a la ley, reglamentos y demás normas aplicables; todas sus transferencias y transmisiones de dominio se han efectuado legalmente; | c) That they were acquired with good titles, in good faith and abiding by all applicable laws, regulations and other rules, with all ownership transfers and conveyances legally done; |
| d) el proceso de constitución de ellas se ha llevado conforme a la ley, reglamentos y demás normas aplicables; | d) That they were staked, claimed, and awarded pursuant to all applicable laws, regulations and other rules; |
| e) se encuentran libres de hipotecas, gravámenes, prohibiciones, promesas y opciones de cualquier naturaleza, salvo la regalía descrita más adelante en el presente instrumento; | e) That they are free of mortgages, encumbrances, restrictions, promises or options of any kind, with the exception of the royalty described hereinafter; |
| f) las tasas de manifestación y pedimento, en su caso, y las patentes mineras han sido pagadas oportunamente y en las cantidades que correspondan, | f) That all fees for exploration or exploitation, as applicable, and all mining patents, have been timely and fully paid; |
| g) no existe juicio pendiente en que la Vendedora sea parte o intervenga como tercero y no conoce acciones judiciales pendientes que pudieran afectarlas o estén relacionadas o se relacionen en cualquier manera con la Vendedora o las Concesiones Mineras, o que afecten o pudieren afectar el dominio de la Vendedora; y, | g) That there are no outstanding lawsuits to which the Seller is a party or in which it intervenes as a third party, and that it does not know of any outstanding court proceedings that may affect the Mining Claims, are in any way related to the Seller or the Mining Claims, or affect or may affect its ownership thereof, and |

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| h) no existen ni conocen otras concesiones de su propiedad y(o de personas relacionadas, entendiéndose como tales, para todos los efectos de este contrato, las referidas en el artículo cien de la Ley dieciocho mil cuarenta y cinco, que se encuentren vigentes dentro del perímetro cubierto por cada una de las Concesiones Mineras, en adelante "**<u>Área de Interés</u>**", que, singularizada en el plano que, firmado por las partes, se agrega como anexo privado de este contrato, documento que el Notario autorizante tiene a la vista y protocoliza con esta misma fecha y repertorio, entendiéndose formar parte del mismo. | h) That neither it nor any of its related companies or persons - understood for the purposes hereof as those provided in Article 100 of Law No. 18,045- own any other valid claims within the perimeter covered by each [SIC] of the Mining Claims, hereinafter called the "**<u>Area of Interest</u>**", as identified on the map signed by the parties that is annexed hereto as a private document, which is deemed an integral part hereof, and the authenticating Notary has seen and entered in the Journal on this date and under the same number.  |
| Las circunstancias y hechos a que se refieren las declaraciones que acaban de efectuarse se han considerado determinantes para la celebración de este Contrato de Compraventa de Concesiones Mineras, en adelante el "**<u>Contrato</u>**". | The circumstances and facts contained in the previous representations have been decisive for entering into this Agreement to Purchase Mining Claims, hereinafter called the "**<u>Agreement</u>**". |
| Asimismo, la efectividad de estas declaraciones será determinante en lo que respecta al consentimiento de la Compradora para la celebración del presente Contrato. | Likewise, the effectiveness of such representations shall be conclusive for the Buyer to consent to the execution hereof. |
| **<u>TERCERO</u>: Compraventa de Concesiones Mineras**.<br>**UNO**. Por el presente instrumento, la Vendedora, a través de su representante compareciente, vende, cede y transfiere a la Compradora, las Concesiones Mineras individualizadas en la cláusula Primera precedente, que la Compradora, a través de su representante compareciente, compra, recibe y adquiere para sí en este acto. | **<u>THIRD</u>: Purchase of Mining Claims**<br>**1.** Through its appearing representative, the Seller hereby sells, assigns and transfers the Mining Claims previously identified in the first clause to the Buyer, and through its appearing representative, the latter hereby purchases, receives and acquires the forenamed Mining Claims. |
| **DOS**. La Vendedora declara que ella o personas relacionadas con ella no poseen ni son dueñas o titulares de derechos de cualquier especie sobre los predios superficiales o derechos de agua que puedan existir o no en el Área de Interés. | 2. The Seller hereby states that it does not hold or own any kind of rights on surface lands or any water rights that may or may not exist in the Area of Interest, nor do any of its related persons. |
| **TRES**. Se comprenden también en el presente Contrato: | 3. This Agreement also includes: |
| a) los derechos de agua inherentes o que, según lo dispuesto en el artículo ciento diez del Código de Minería, pueden corresponder por las Concesiones Mineras, los que se constituyan o adquieran por la Vendedora o personas relacionadas con ella respecto de las Concesiones Mineras y los que benefician o puedan beneficiar a las Concesiones Mineras y que la Vendedora y personas relacionadas a ella lleguen a poseer, tener, usar o disponer a cualquier título, en el Área de Interés; | a) All water rights that are inherent, or that may correspond to the Mining Claims, per Article 110 of the Chilean Mining Code; any that the Seller or any of its related persons may be awarded, or acquire, in respect of any of the Mining Claims; any that benefit or may benefit any of the Mining Claims, and any that the Seller or any of its related persons may own, have, use or get for whatever reason, in the Area of Interest; |
| b) los derechos de cualquier clase sobre terrenos superficiales, incluyendo dominio y(o servidumbres, que llegaren a corresponderle a las Concesiones Mineras; | b) All rights of whatever kind on surface lands, including ownership and servitudes, that may pertain in the future to the Mining Claims, and |
| c) cualquier otro pedimento o manifestación que la Vendedora o personas relacionadas a ella, presenten o hayan presentado en el Área de Interés, así como las concesiones mineras que de ellas deriven. | c) Any other petitions or statements of discovery in connection with the Area of Interests that the Seller or any of its related persons may submit, or have submitted, as well as the mining claims that may derive from them. |

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| Todos los derechos y bienes mencionados en los tres literales anteriores, se comprenderán cedidos y transferidos por la Vendedora a la Compradora, sin costo adicional para ésta. Todo lo anterior, en las condiciones que se señalan en las cláusulas siguientes. | All of the rights and assets specified in the three previous items shall be deemed assigned and transferred by the Seller to the Buyer, without any additional costs to the latter, and under the conditions provided in the following clauses. |
| **<u>CUARTO</u>**: **Precio de la compraventa.** | **<u>FOURTH</u>**: **Purchase Price** |
| **UNO**. El precio único y total de la compraventa de todas las Concesiones Mineras y los otros bienes y derechos referidos en el numeral Tres de la cláusula Tercera, es ochocientos sesenta mil dólares de los Estados Unidos de América, suma que la Compradora pagó con anterioridad a la fecha del presente instrumento por medio de depósito en la cuenta corriente dólar de la Vendedora, quien declara haber recibido a su entera y total satisfacción, renunciando a la acción resolutoria respecto del pago del precio de la compraventa por las Concesiones Mineras. | **1**. The single and total purchase price of all of the Mining Claims and other assets and rights listed in Item 3 of the third clause is USD 860,000 (eight-hundred and sixty thousand dollars of the United States of América), which the Buyer has already paid before the date hereof by a deposit into the Seller's current account in dollars. The latter hereby states that it has satisfactorily received the full amount, and waives all actions for rescission in respect of the payment of the purchase price of the Mining Claims. |
| **DOS**. Para todo efecto legal, el precio respecto de cada una de las Concesiones Mineras individualizadas en la cláusula Primera y los otros bienes y derechos referidos en el numeral Tres de la cláusula Tercera, es el valor proporcional, en partes iguales, del monto único y total indicado en el numeral anterior. | **2**. For all legal purposes, the price of each of the Mining Claims identified in the first clause, and the other assets and rights stated in Item 3 of the third clause, shall be proportional, in equal parts, to the single and total price provided in the previous item. |
| **<u>QUINTO</u>: Otras obligaciones de GEM.** | **<u>FIFTH</u>: Other GEM Obligations** |
| La Compradora declara conocer y aceptar los términos del Contrato de Compraventa de Concesiones Mineras, y sus respectivos Anexos, celebrado entre WHITE MOUNTAIN MINERALS SpA y MANQUEHUE ASESORÍAS MINERAS SpA por medio de escritura pública suscrita con fecha nueve de diciembre de dos mil veintidós, en la Notaria de Santiago de don Luis Ignacio Manquehual Mery bajo el repertorio número diecinueve mil noventa y cinco guion dos mil veintidós, y se compromete a cumplir con todas las obligaciones incluidas en dicho contrato, y en especial, las siguientes: | The Buyer hereby states that it knows and accepts the terms of the Agreement to Purchase Mining Claims, and the Appendices thereto, between WHITE MOUNTAIN MINERALS SpA and MANQUEHUE ASESORÍAS MINERAS SpA, which was signed on December 9, 2022, at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, recorded in the Journal under No. 19,095-2022, and further entered in public records, and promises to meet all of the obligations thereunder, and particularly, the following ones: |
| **UNO.** En su calidad de Pagador del NSR, pagar al Titular del NSR una regalia consistente en un dos por ciento de los Retornos Netos de Fundición o Net Smelter Return que GEM reciba de los productos que provengan de minerales que se extraigan exclusivamente de la Concesiones Mineras, y asimismo, tendrá el derecho de recomprar al Titular del NSR la mitad de esta regalia, en la suma de un millón de dólares de los Estados Unidos de América. Esta regalia se encuentra inscrita a fojas ciento cuarenta y siete, número cuarenta y cuatro del Registro de Hipotecas y Gravámenes del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós. | **1**. As Payer of the NSR, GEM shall pay a royalty of 2% of the Net Smelter Return received for products from minerals exclusively extracted from the Mining Claims to the Owner of the NSR, and shall also have the right of buying back a half of this royalty from the latter, for an amount of USD 1,000,000 (one million dollars of the United States of América). This royalty is recorded under No. 44 on Page 147 of the Freirina Mine Registrar's 2022 Book of Mortgages and Encumbrances. |

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[Translation from Spanish on the right] 9/14

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| **DOS**. GEM, o sus sucesores, deberán comprar y utilizar agua procesada para el Proyecto Cerro Blanco, proveída exclusivamente por la planta de desalinización controlada y operada por WMM o su matriz estadounidense Nexo Water Ventures LLC o cualquiera otra que ésta última designe, a menos que las partes acuerden algo distinto. | 2. GEM, or its successors, must buy and use processed water for the Cerro Blanco Project, exclusively from the desalination plant controlled and operated by WMM or its parent company Nexo Water Ventures LLC, headquartered in the United States, or any other company that the latter may designate, unless the parties agree otherwise. |
| **TRES**. A más tardar el día quince de enero de dos mil veintitrés, GEM, deberá nombrar a Andrew Sloop o a quien este designe como su representante como miembro de un comité asesor de GEM para el Proyecto Cerro Blanco, con una retribución de mil quinientos dólares mensuales líquidos. Esta remuneración deberá ser pagada por GEM a Andrew Sloop o a quien este designe como su representante mientras WHITE MOUNTAIN MINERALS SpA o una Persona Relacionada a ésta última sea el Titular del NSR. Tal designación deberá constar en un instrumento privado ante Notario, firmado por el gerente general de GEM. | 3. No later than January 15, 2023, GEM must appoint Andrew Sloop, or whoever he may designate as his representative, to a GEM advisory committee to the Cerro Blanco Project, with a monthly net consideration of USD 1,500, payable by GEM to Andrew Sloop, or whoever he may designate as his representative, in as long as WHITE MOUNTAIN MINERALS SpA or any of its Related Persons own the NSR. This appointment must be recorded in a private document signed by the General Manager of GEM before a Notary.<br>|
| **<u>SEXTO</u>: Incumplimiento de las** **obligaciones de GEM.** | **<u>SIXTH</u>: Breach of Obligations by GEM** |
| Las Partes acuerdan que el incumplimiento de las obligaciones de MAM establecidas en la cláusula precedente, el presente contrato se entenderá resuelto desde ocurrido el incumplimiento, sin necesidad de una declaración judicial operando la resolución del Contrato de Compraventa de pleno derecho. Sin perjuicio de lo anterior, MAM tendrá derecho a retener el precio del Contrato de Compraventa. Las Partes acuerdan desde ya que, a título de avaluación anticipada y convencional de los perjuicios que provengan del incumplimiento la cantidad de ochocientos sesenta mil dólares de los Estados Unidos de América y el derecho a exigir la transferencia inmediata del dominio de las Concesiones Mineras a MAM, o quién ésta última designe. | The Parties hereby agree that any failure to meet the MAM obligations defined in the previous clause shall entail the rescission hereof as of the breach, without needing any court order of rescission by force of law. Without limiting the foregoing, MAM shall be entitled to keep the Purchase Price hereunder. As an anticipated and conventional valuation of the damages caused by any such breach, the Parties hereby agree on a payment in the amount of USD 860,000 (eight-hundred and sixty thousand dollars of the United States of América) and the right of enforcing the immediate transfer of the ownership of the Mining Claims to MAM, or whoever the latter may designate. |

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[Translation from Spanish on the right] 10/14

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| **<u>SÉPTIMO</u>**: **Forma de venta y saneamiento**. | **<u>SEVENTH</u>: Type of Sale and Title** **Clearance** |
| Las Concesiones Mineras se venden como cuerpo cierto, en el estado en que se encuentren al día de la celebración del presente Contrato y con derecho preferente en toda la superficie pedida o manifestada, salvo las excepciones ya conocidas por la Compradora, con todos sus usos, prohibiciones, litigios, embargos, acciones resolutorias, contratos de entrega de minerales o de arriendo, o cualquiera otra clase de actos, gravámenes, derechos reales o personales que impidan el libre uso, goce, disposición y entrega de las Concesiones Mineras y demás bienes referidos en la cláusula Tercera y con todas las demás características declaradas en la cláusula Segunda de este instrumento. Con todo, responderá la Vendedora del saneamiento en conformidad a la ley. La entrega de las Concesiones Mineras se efectúa por la Vendedora a la Compradora en este acto. | The Mining Claims are hereby sold *ad corpus*, in their respective conditions on the date of execution hereof, with pre-emptive rights over the entire petitioned or discovered area, save for the exceptions already known by the Buyer; all their uses, restrictions, lawsuits, actions for revocation, mineral delivery agreements, leases or any other kind of contracts or agreements, encumbrances, real or personal rights preventing the free use, enjoyment, disposal or delivery thereof; the other assets specified in the third clause hereof, and the other characteristics stated in the second clause hereof. Nevertheless, the Seller shall be responsible for clearing all titles, as required by the law. The Seller hereby conveys the Mining Claims to the Buyer. |
| **<u>OCTAVO</u>**: **Indivisibilidad y perdurabilidad**. | **<u>EIGHTH</u>: Indivisibility and Perpetuity** |
| Todas y cada una de las obligaciones que por este instrumento contrae la Vendedora, tendrán carácter indivisible, de conformidad a los art íc ul os mil quinientos v e i ntis é is, número cuatro y mil quinientos veintiocho del Código Civil. | Each and all of the Seller's obligations hereunder shall be indivisible, according to Articles 1,526, paragraph 4, and 1,528 of the Chilean Civil Code. |
| **<u>NOVENO</u>: Ley aplicable.** | **<u>NINETH</u>: Applicable Laws** |
| Se deja constancia que el presente Contrato se rige por las leyes chilenas y en especial, por las disposiciones del Código de Minería de la República de Chile del año mil novecientos ochenta y tres. Lo mismo se conviene respecto de sus eventuales modificaciones y complementos. | This Agreement shall be governed by the laws of the Republic of Chile, and primarily, by the provisions of the Chilean Mining Code of 1983. The same shall apply to any amendments or supplemental agreements hereof. |
| **<u>DÉCIMO</u>: Gastos de Notaría e inscripciones.** | **<u>TENTH</u>: Notary and Registrations Fees** |
| Los gastos y derechos de Notaría que se generen con ocasión del presente Contrato y los derechos por las inscripciones en el Conservador de Minas respectivo, serán de exclusivo cargo de la Compradora. Esta última no responderá en lo absoluto de los impuestos u otras cargas personales que para la Vendedora y(o sus socios deriven del Contrato. | All Notary fees arising in connection with this Agreement and any entries in the relevant Mine Registrar's books shall be solely borne by the Buyer. The latter shall in no way be liable for any taxes or other personal burdens resulting from this Agreement for the Seller or its partners. |
| **<u>DÉCIMO PRIMERO</u>: Arbitraje.** | **<u>ELEVENTH</u>: Arbitration** |
| Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y(o jurisdicción. | Any conflicts or disputes that may arise between the contracting parties on the application, interpretation, duration, validity or implementation hereof, or for whatever other reasons, shall be submitted to arbitration, according to the then current Rules of Arbitration Procedures of the Santiago Arbitration and Mediation Centre. The parties hereby grant irrevocable special powers to the Santiago Chamber of Commerce, so that it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the parties hereby expressly waive any such rights. The arbitrator shall be specially authorized to rule on any matters within his or her competence and jurisdiction. |
| **<u>DÉCIMO SEGUNDO:</u> Fijación de domicilio**. | **<u>TWELFTH</u>: Jurisdiction** |
| Para todos los efectos del presente Contrato, todos los comparecientes fijan y fijarán su domicilio en la comuna y ciudad de Santiago y se someten y someterán a la competencia del tribunal arbitral antes mencionado.<br>| For all purposes hereof, the parties hereby set and shall set their legal address in the borough and city of Santiago, and submit and shall submit to the jurisdiction of the forenamed arbitral court. |

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[Translation from Spanish on the right] 11/14

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| **<u>DÉCIMO TERCERO</u>: Mandato.** | **<u>THIRTEENTH</u>: Authorization** |
| Se faculta al portador de una copia autorizada de esta escritura pública para requerir las inscripciones, subinscripciones, anotaciones, alzamientos y cancelaciones que correspondan. | The bearer of an authenticated copy hereof is hereby authorized to request any relevant entries, subentries, notes,lifts and cancellations in the corresponding public records. |
| Se faculta también al abogado don Ignacio Joaquín López Alarcón, para que pueda corregir los errores de cita u omisión en que las partes pudieren haber incurrido en este Contrato y/o sus anexos, pudiendo al efecto presentar una o más minutas ante el Conservador respectivo y/u otorgar o firmar las escrituras o instrumentos públicos o privados necesarios o convenientes. | Ignacio Joaquín López Alarcón, lawyer, is also hereby authorized to correct any reference errors or omissions that may have slipped herein. To this end, he may file any one or more briefs with the relevant Registrars, and grant or sign any necessary or convenient, registered or private documents. |
| **<u>DÉCIMO CUARTO</u>**: **Vigencia de las cláusulas**. | **<u>FOURTEENTH</u>**: **Severability** |
| Si cualquiera de las cláusulas de este Contrato, o una parte de ellas, es anulable o es declarada nula o ilegal o es inaplicable en cualquier respecto por cualquier ley, reglamento o disposición de la autoridad o tribunal, la validez, legalidad o aplicabilidad a las demás cláusulas del Contrato no se verán afectadas de ninguna forma. | If any of the clauses hereof, or any part thereof, were voidable or declared void or illegal, or were unenforceable in any respect, by any laws, regulations, or authority or Court orders, the validity, legality or enforceability of the remaining clauses hereof shall not be affected in any way. |
| **<u>Personerías</u>:** | **<u>Legal Representation</u>:** |
| La personería de don **IGNACIO**<br> **JOAQUÍN LÓPEZ ALARCÓN** para actuar en representación de **MANQUEHUE ASESORÍAS MINERAS SpA**, consta en escritura pública de fecha catorce de julio de dos mil diecisiete, suscrita en la Notaría de Santiago de don Patricio Zaldivar Mackenna bajo el repertorio número once mil ciento treinta y dos guion dos mil diecisiete, y su personeria para actuar en representación de **GOLD EXPRESS MINES SpA**, consta en escritura pública de fecha diecisiete de noviembre de dos mil veintiuno, suscrita en la Notaria de Santiago de doña Maria Pilar Gutiérrez Rivera bajo el repertorio número treinta mil doscientos ochenta y cuatro guion dos mil veintiuno. | **IGNACIO JOAQUÍN LÓPEZ ALARCÓN** has been authorized to act for, and on behalf of, **MANQUEHUE ASESORÍAS MINERAS SpA** in a notarized and registered document executed on July 14, 2017, at the Santiago Notary Offices of Patricio Zaldívar Mackenna, ntered in the Journal under No. 11,130-2017, and his authorization to act for, and on behalf of, **GOLD EXPRESS MINES SpA** was granted in a notarized and registered document signed on November 17, 2021, at the Santiago Notary Offices of Maria Pilar Gutiérrez Rivera, entered in the Journal under No. 30,284-2021. |
| Estas escrituras no se insertan por ser conocidas del Notario que autoriza, por las partes y a expresa petición de éstas. | These documents have not been included at the explicit request of the appearing parties, because they are known to them and the authenticating Notary. |
| **Minuta redactada por el abogado Ignacio López A.** | **Drafted by Ignacio López A., Esq.** |
| En comprobante y previa lectura firman el compareciente el presente instrumento. Se da copia. Doy fe. - | In witness whereof and after reading its contents, the appearing individual has signed this instrument. Copies have been given. I attest. |
|  | <br><u>/s/ IGNACIO JOAQUÍN LÓPEZ ALARCÓN</u><br> IGNACIO JOAQUÍN LÓPEZ ALARCÓN**<br> Identification Card No. 16,017,525-7<br> For MANQUEHUE ASESORÍAS MINERAS SpA<br> For GOLD EXPRESS MINES SpA** |

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[Translation from Spanish on the right] 12/14

![](ex10-24_001.jpg)

[Translation from Spanish on the right] 13/14

[Stamped and handwritten:

Entered in the Journal

under No. 11 January 3, 2023]

**APPENDIX**

**AREA OF INTEREST**

![](ex10-24_002.jpg)

[Translation from Spanish on the right] 14/14

## Exhibit 10.25

**Exhibit 10.25**

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| **REPERTORIO N° 721/2023**<br>**AB/l. López**<br>**OT: 124,086 - J. R.: V. CALVUEN** | **JOURNAL No. 721-2023**<br>**Lawyer/l. López**<br>**W.O. 124,086 - J. R.: V. CALVUEN** |
| **CONTRATO DE COMPRAVENTA**<br> **DE CONCESIONES MINERAS**<br>**MANQUEHUE ASESORÍAS**<br>**MINERAS SpA**<br>**A**<br>**GOLD EXPRESS MINES SpA**<br>En Santiago de Chile, a dieciocho de enero de dos mil veintitrés, ante mí, **MARÍA PILAR GUTIÉRREZ RIVERA**, abogado, Notario Público, titular de la Décimo Octava Notaría de Santiago, domiciliada en Huérfanos seiscientos sesenta y nueve, piso ocho, comuna de Santiago, **COMPARECE**:<br>don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, chileno, casado, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete, en representación, según se acreditará, de MANQUEHUE ASESORÍAS MINERAS SpA, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número setenta y seis millones setecientos sesenta y cinco mil novecientos ochenta y cinco guion siete, ambos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Region Metropolitana, en adelante la "**<u>Vendedora</u>**", la "**<u>Propietaria</u>**" o "**<u>MAM</u>**", por una parte; y | **AGREEMENT TO PURCHASE**<br> **MINING CLAIMS**<br>**MANQUEHUE ASESORÍAS**<br>**MINERAS SpA**<br>**AND**<br>**GOLD EXPRESS MINES SpA**<br>In Santiago, Chile, on January 18, 2023, the following individual **HAS APPEARED BEFORE ME, MARÍA PILAR GUTIÉRREZ RIVERA**, lawyer and Notary Public assigned to the Santiago Eighteenth Notary Offices, with address at 669, Huerfanos St., 8th Floor, Santiago borough:<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, a Chilean lawyer, national identification card No. 16,017,525-7, and as shall be proven hereinafter, Herein representing **MANQUEHUE ASESORÍAS MINERAS SpA**, a company validly incorporated and in good standing according to Chilean laws, Taxpayer Identification No. **76,765,985-7**, both with address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, Vitacura borough, Santiago, Metropolitan Region, party of the first part, hereinafter called the "**<u>Seller</u>**", the "**<u>Owner</u>**" or "**<u>MAM</u>**", and |

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| de **GOLD EXPRESS MINES SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número **setenta y siete millones cuatrocientos noventa y ocho mil trescientos veinticuatro, guion cuatro**, en adelante también la "**<u>Compradora</u>**" o "**<u>GEM</u>**", todos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Región Metropolitana, los anteriores conjuntamente como las "**<u>Partes</u>**"; el compareciente mayor de edad, quien acredita su identidad con la cédula citada y expone:<br>**<u>PRIMERO</u>: Propiedades mineras**.<br>La Vendedora es dueña de las siguientes concesiones mineras de exploración ubicadas en la comuna de Freirina, Provincia de Huasco, Tercera Región: i) Concesión minera de exploración en trámite denominada "**CERRO BLANCO 2**", cuyo pedimento se encuentra inscrita a fojas cuarenta y cinco, número veintidós, del Registro de Descubrimientos del Conservador de Minas de Freirina, correspondiente al año dos mil veintitrés; y, ii) Concesión minera de exploración en trámite denominada "**CERRO BLANCO 3**", cuyo pedimento se encuentra inscrita a fojas cuarenta y siete, número veintitrés, del Registro de Descubrimientos del Conservador de Minas de Freirina, correspondiente al año dos mil veintitrés. | **GOLD EXPRESS MINES SpA**, a company validly incorporated and in good standing according to Chilean laws, Taxpayer Identification No. **77,498,324-4**, hereinafter also called the "**<u>Buyer</u>**" or "**<u>GEM</u>**", all of them with legal address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, Vitacura borough, Santiago, Metropolitan Region, and hereinafter collectively called the "**<u>Parties</u>**";<br>The appearing individual is of age, has shown the forenamed identification card as proof of his identity and has stated as follows:<br>**<u>FIRST</u>: Mining Properties**<br>The Seller owns the following mining claims for exploration in the Freirina borough, Huasco Province, Third Region:<br>i) Filed mining claim for exploration called "**CERRO BLANCO 2**", with the request recorded under No. 22 on Page 45 of the Freirina Mine Registrar's 2023 Book of Discoveries, and<br>ii) Filed mining claim for exploration called "**CERRO BLANCO 3**", with the request recorded under No. 23 on Page 47 of the Freirina Mine Registrar's 2023 Book of Discoveries; |

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[Translation from Spanish on the right] 2/11

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| **<u>SEGUNDO</u>: Declaraciones**.<br>**UNO**. Las concesiones mineras antes individualizadas se denominarán en adelante las "**<u>Concesiones Mineras</u>**". **DOS**. Para todos los efectos del presente Contrato, se entenderán como parte de la denominación de Concesiones Mineras a todas las concesiones mineras que eventualmente constituya la Vendedora, por sí o a través de terceros, en el área superficial de ésta, de acuerdo a lo establecido en el presente instrumento. **TRES**. La Vendedora, de buena fe, declara y garantiza en su leal saber y entender, a través de su representante compareciente, las siguientes declaraciones respecto de las Concesiones Mineras de que es dueña:<br>a) se encuentran vigentes, ubicadas en terrenos abiertos e incultos que a su vez están ubicados en la comuna de Freirina, Provincia de Huasco, Tercera Región;<br>b) sobre ellas ha tenido y tiene dominio exclusivo. y excluyente y derechos preferentes o antelados para constituir propiedad minera definitiva; no se superponen a ningún derecho de tercero que pudiere habilitar a ese tercero para explorar o explotar cualquier sustancia susceptible de concesión minera en el mismo terreno, salvo excepciones que ya son de conocimiento de la Compradora; | <br> **<u>SECOND</u>: Representations**<br>**1**. The previously identified mining claims shall be hereinafter called the "**<u>Mining Claims</u>**".<br>**2**. For all purposes hereof, any and all mining claims that the Seller may, directly or through third parties, be awarded in the future within the surface area of the Mining Claims, as provided herein, shall be deemed a part of the Mining Claims.<br>**3.** Through its appearing representative, in good faith and to the best of its knowledge and belief, the Seller hereby makes the following representations on the Mining Claims that it owns:<br>a) That they are presently valid and located on open and uncultivated lands in the Freirina borough, Huasco Province, Third Region;<br>b) That it has had and presently has full, sole and exclusive ownership thereof, and preferential or first rights of establishing final mining properties, and that they do not overlay any third-party rights to explore or extract any substances susceptible of being awarded mining claims on the same land, with the exceptions that are known by the Buyer; |

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[Translation from Spanish on the right] 3/11

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| <br> c) fueron adquiridas con justo titulo, de buena fe, conforme a la ley, reglamentos y dernas normas aplicables; todas sus transferencias y transmisiones de dominio se han efectuado legalmente;<br>d) el proceso de constitución de ellas se ha Ilevado conforme a la ley, reglamentos y dernas normas aplicables;<br>e) se encuentran libres de hipotecas, gravámenes, prohibiciones, promesas y opciones de cualquier naturaleza, salvo la regalia descrita mas adelante en el presente instrumento;<br>f) las tasas de manifestación y pedimento, en su caso, y las patentes mineras han sido pagadas oportunamente y en las cantidades que correspondan,<br>g) no existe juicio pendiente en que la Vendedora sea parte o intervenga como tercero y no conoce acciones judiciales pendientes que pudieran afectarlas o esten relacionadas o se relacionen en cualquier manera con la Vendedora o las Concesiones Mineras, o que afecten o pudieren afectar el dominio de la Vendedora; y,<br>h) no existen ni conocen otras concesiones de su propiedad y/o de personas relacionadas, entendiendose como tales, para todos los efectos de este contrato, las referidas en el articulo cien de la Ley dieciocho mil cuarenta y cinco, que se encuentren vigentes dentro del perimetro cubierto por cads una de las Concesiones Mineras, en adelante "**<u>Area de Interés</u>**", que, singularizada en el piano que, firmado por las partes, se agrega como anexo privado de este contrato, documento que el Notario autorizante tiene a la vista y protocoliza con esta misma fecha y repertorio, entendiendose formar parte del mismo. | <br> c) That they were acquired with good titles, in good faith and abiding by all applicable laws, regulations and other rules, with all ownership transfers and conveyances legally done;<br>d) That they were staked, claimed, and awarded pursuant to all applicable laws, regulations and other rules;<br>e) That they are free of mortgages, encumbrances, restrictions, promises or options of any kind, with the exception of the royalty described hereinafter;<br>f) That all fees for exploration or exploitation, as applicable, and all mining patents, have been timely and fully paid;<br>g) That there are no outstanding lawsuits to which the Seller is a party or in which it intervenes as a third party, and that it does not know of any outstanding court proceedings that may affect the Mining Claims, are in any way related to the Seller or the Mining Claims, or affect or may affect its ownership thereof, and<br>h) That neither it nor any of its related companies or persons - understood for the purposes hereof as those provided in Article 100 of Law No. 18,045- own any other valid claims within the perimeter covered by each [SIC] of the Mining Claims, hereinafter called the "**<u>Area of Interest</u>**", as identified on the map signed by the parties that is annexed hereto as a private document, which is deemed an integral part hereof, and the authenticating Notary has seen and entered in the Journal on this date and under the same number. |

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[Translation from Spanish on the right] 4/11

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| <br> Las circunstancias y hechos a que se refieren las declaraciones que acaban de efectuarse se han considerado determinantes para la celebración de este Contrato de Compraventa de Concesiones Mineras, en adelante el "**<u>Contrato</u>**".<br>Asimismo, la efectividad de estas declaraciones ser á determinante en lo que respects al consentimiento de la Compradora para la celebración del presente Contrato.<br>**<u>TERCERO</u>: Compraventa de** <br>**Concesiones Mineras**.<br>**UNO**. Por el presente instrumento, la Vendedora, a través de su representante compareciente, vende, cede y transfiere a la Compradora, las Concesiones Mineras individualizadas en la cláusula Primera precedente, que la Compradora, a trav és de su representante compareciente, compra, recibe y adquiere para si en este acto. **DOS**. La Vendedora declara que ella o personas relacionadas con ella no poseen ni son due ñas o titulares de derechos de cualquier especie sobre los predios superficiales o derechos de agua que puedan existir o no en el Area de Interes. | <br> The circumstances and facts contained in the previous representations have been decisive for entering into this Agreement to Purchase Mining Claims, hereinafter called the "Agreement".<br>Likewise, the effectiveness of such representations shall be conclusive for the Buyer to consent to the execution hereof.<br>**<u>THIRD</u>: Purchase of Mining Claims**<br>**1.** Through its appearing representative, the Seller hereby sells, assigns and transfers the Mining Claims previously identified in the first clause to the Buyer, and through its appearing representative, the latter hereby purchases, receives and acquires the forenamed Mining Claims.<br>**2.** The Seller hereby states that it does not hold or own any kind of rights on surface lands or any water rights that may or may not exist in the Area of Interest, nor do any of its related persons. |

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[Translation from Spanish on the right] 5/11

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| <br> **TRES**. Se comprenden tambien en el presente Contrato:<br>a) los derechos de agua inherentes o que, segiin lo dispuesto en el articulo ciento diez del Código de Mineria, pueden corresponder por las Concesiones Mineras, los que se constituyan o adquieran por la Vendedora o personas relacionadas con ella respecto de las Concesiones Mineras y los que benefician o puedan beneficiar a las Concesiones Mineras y que la Vendedora y personas relacionadas a ella Ileguen a poseer, tener, usar o disponer a cualquier título, en el Área de Interés;<br>b) los derechos de cualquier clase sobre terrenos superficiales, incluyendo dominio y/o servidumbres, que Ilegaren a corresponderle a las Concesiones Mineras;<br>c) cualquier otro pedimento o manifestación que la Vendedora o personas relacionadas a ella, presenten o hayan presentado en el Área de Interés, así como las concesiones mineras que de ellas deriven.<br>Todos los derechos y bienes mencionados en los tres literales anteriores, se comprenderan cedidos y transferidos por la Vendedora a la Compradora, sin costo adicional para esta. Todo lo anterior, en las condiciones que se senalan en las | <br> **3**. This Agreement also includes:<br>a) All water rights that are inherent, or that may correspond to the Mining Claims, per Article 110 of the Chilean Mining Code; any that the Seller or any of its related persons may be awarded, or acquire, in respect of any of the Mining Claims; any that benefit or may benefit any of the Mining Claims, and any that the Seller or any of its related persons may own, have, use or get for whatever reason, in the Area of Interest;<br>b) All rights of whatever kind on surface lands, including ownership and servitudes, that may pertain in the future to the Mining Claims, and<br>c) Any other petitions or statements of discovery in connection with the Area of Interests that the Seller or any of its related persons may submit, or have submitted, as well as the mining claims that may derive from them.<br>All of the rights and assets specified in the three previous items shall be deemed assigned and transferred by the Seller to the Buyer, without any additional costs to the latter, and under the conditions provided in the f ollowing clauses. |

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[Translation from Spanish on the right] 6/11

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| **<u>CUARTO</u>: Precio de la compraventa.**<br>**UNO**. El precio Onico y total de la corn praventa de todas las Concesiones Mineras y los otros bienes y derechos referidos en el numeral Tres de la cláusula Tercera, es cincuenta mil dólares de los Estados Unidos de América, suma que la Compradora pagó con anterioridad a la fecha del presente instrumento por medio de depósito en la cuenta corriente dólar de la Vendedora, quien declara haber recibido a su entera y total satisfacción, renunciando a la acción resolutoria respecto del pago del precio de la compraventa por las Concesiones Mineras.<br>**DOS**. Para todo efecto legal, el precio respecto de cada una de las Concesiones Mineras individualizadas en la clausula Primera y los otros bienes y derechos referidos en el numeral Tres de la clausula Tercera, es el valor proporcional, en partes iguales, del monto Onico y total indicado en el numeral anterior.<br>**<u>QUINTO</u>: Forma de yenta y**<br>**saneamiento.** Las Concesiones Mineras se venden como cuerpo cierto, en el estado en que se encuentren al dia de la celebración del presente Contrato y con derecho preferente en toda la superficie pedida o manifestada, salvo las excepciones ya conocidas por la Compradora, con todos sus usos, prohibiciones, litigios, embargos, acciones resolutorias, contratos de entrega de minerales o de arriendo, o cualquiera otra clase de actos, gravamenes, derechos reales o personales que impidan el libre uso, goce, disposición y entrega de las Concesiones Mineras y dernas bienes referidos en la clausula Tercera y con todas las dernas caracteristicas declaradas en la clausula Segunda de este instrumento. Con todo, responders la Vendedora del saneamiento en conformidad a la ley. La entrega de las Concesiones Mineras se efectúa por la Vendedora a la Compradora en este acto. | **<u>FOURTH</u>: Purchase Price**<br>**1.** The single and total purchase price of all of the Mining Claims and other assets and rights listed in Item 3 of the third clause is USD 50,000 (fifty thousand dollars of the United States of America), which the Buyer has already paid before the date hereof by a deposit into the Seller's current account in dollars. The latter hereby states that it has satisfactorily received the full amount, and waives all actions for rescission in respect of the payment of the purchase price of the Mining Claims.<br>**2.** For all legal purposes, the price of each of the Mining Claims identified in the first clause, and the other assets and rights stated in Item 3 of the third clause, shall be proportional, in equal parts, to the single and total price provided in the previous item.<br>**<u>FIFTH</u>: Type of Sale and Title Clearance** The Mining Claims are hereby sold ad corpus, in their respective conditions on the date of execution hereof, with pre-emptive rights over the entire petitioned or discovered area, save for the exceptions already known by the Buyer; all their uses, restrictions, lawsuits, actions for revocation, mineral delivery agreements, leases or any other kind of contracts or agreements, encumbrances, real or personal rights preventing the free use, enjoyment, disposal or delivery thereof; the other assets specified in the third clause hereof, and the other characteristics stated in the second clause hereof. Nevertheless, the Seller shall be responsible for clearing all titles, as required by the law. The Seller hereby conveys the Mining Claims to the Buyer. |

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[Translation from Spanish on the right] 7/11

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| <br> **SEXTO: Indivisibilidad y** <br>**perdurabilidad.**<br>Todas y cada una de las obligaciones que por este instrumento contrae la Vendedora, tendrán carácter indivisible, de conformidad a los artículos mil quinientos veintiséis, nórnero cuatro y mil quinientos veintiocho del Código Civil.<br>**<u>SEPTIMO:</u> Ley aplicable.**<br>Se deja constancia que el presente Contrato se rige por las leyes chilenas y en especial, por las disposiciones del Código de Minería de la República de Chile del ano mil novecientos ochenta y tres. Lo mismo se conviene respecto de sus eventuales modificaciones y complementos. | <br> **<u>SIXTH</u>: Indivisibility and Perpetuity**<br>Each and all of the Seller's obligations hereunder shall be indivisible, according to Articles 1,526, paragraph 4, and 1,528 of the Chilean Civil Code.<br>**<u>SEVENTH</u>: Applicable Laws**<br>This Agreement shall be governed by the laws of the Republic of Chile, and primarily, by the provisions of the Chilean Mining Code of 1983. The same shall apply to any amendments or supplemental agreements hereof. |

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[Translation from Spanish on the right] 8/11

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| **<u>OCTAVO</u>: Gastos de Notaria e**<br>**inscripciones.**<br>Los gastos y derechos de Notaria que se generen con ocasión del presente Contrato y los derechos por las inscripciones en el Conservador de Minas respectivo, seran de exclusivo cargo de la Compradora. Esta última no responders en lo absoluto de los impuestos u otras cargas personales que para la Vendedora y/o sus socios deriven del Contrato.<br>**<u>NOVENO</u>: Arbitraje**.<br>Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo sera sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción. | **<u>EIGHTH</u>: Notary and Registrations** <br>**Fees**<br>All Notary fees arising in connection with this Agreement and any entries in the relevant Mine Registrar's books shall be solely borne by the Buyer. The latter shall in no way be liable for any taxes or other personal burdens resulting from this Agreement for the Seller or its partners.<br>**<u>NINETH</u>: Arbitration**<br>Any conflicts or disputes that may arise between the contracting parties on the application, interpretation, duration, validity or implementation hereof, or for whatever other reasons, shall be submitted to arbitration, according to the then current Rules of Arbitration Procedures of the Santiago Arbitration and Mediation Centre. The parties hereby grant irrevocable special powers to the Santiago Chamber of Commerce, so that it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the parties hereby expressly waive any such rights. The arbitrator shall be specially authorized to rule on any matters within his or her competence and jurisdiction. |

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[Translation from Spanish on the right] 9/11

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| **<u>DÉCIMO</u>: Fijación de domicilio**.<br>Para todos los efectos del presente Contrato, todos los comparecientes fijan y fijarán su domicilio en la comuna y ciudad de Santiago y se someten y someterán a la competencia del tribunal arbitral antes mencionado.<br>**<u>DECIMO PRIMERO</u>: Mandato**.<br>Se faculta al portador de una copia autorizada de esta escritura pública para requerir las inscripciones, subinscripciones, anotaciones, alzamientos y cancelaciones que correspondan.<br>Se faculta también al abogado don Ignacio Joaquin López Alarcón, para que pueda corregir los errores de cita u omisión en que las partes pudieren haber incurrido en este Contrato y/o sus anexos, pudiendo al efecto presentar una o más minutas ante el Conservador respectivo y/u otorgar o firmar las escrituras o instrumentos públicos o privados necesarios o convenientes.<br>**<u>DÉCIMO SEGUNDO</u>: Vigencia de las cláusulas**.<br>Si cualquiera de las cláusulas de este Contrato, o una parte de ellas, es anulable o es declarada nula o ilegal o es inaplicable en cualquier respecto por cualquier ley, reglamento o disposición de la autoridad o tribunal, la validez, legalidad o aplicabilidad a las dernás cláusulas del Contrato no se verán afectadas de ninguna forma. | **<u>TENTH</u>: Jurisdiction**<br>For all purposes hereof, the parties hereby set and shall set their legal address in the borough and city of Santiago, and submit and shall submit to the jurisdiction of the forenamed arbitral court.<br>**<u>ELEVENTH</u>: Authorization**<br>The bearer of an authenticated copy hereof is hereby authorized to request any relevant entries, subentries, notes, lifts and cancellations in the corresponding public records.<br>Ignacio Joaquin López Alarcón, lawyer, is also hereby authorized to correct any reference errors or omissions that may have slipped herein. To this end, he may file any one or more briefs with the relevant Registrars, and grant or sign any necessary or convenient, registered or private documents.<br>**<u>TWELFTH</u>: Severability**<br>If any of the clauses hereof, or any part thereof, were voidable or declared void or illegal, or were unenforceable in any respect, by any laws, regulations, or authority or Court orders, the validity, legality or enforceability of the remaining clauses hereof shall not be affected in any way. |

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[Translation from Spanish on the right] 10/11

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| **<u>Personerias</u>**:<br>La personeria de don **IGNACIO J OAQUÍN LÓPEZ ALARCÓN** para actuar en representación de **MANQUEHUE ASESORÍAS MINERAS SpA**, consta en escritura pública de fecha catorce de julio de dos mil diecisiete, suscrita en la Notaria de Santiago de don Patricio Zaldívar Mackenna bajo el repertorio número once mil ciento treinta y dos guion dos mil diecisiete, y su personería para actuar en representación de **GOLD EXPRESS MINES SpA**, consta en escritura pública de fecha diecisiete de noviembre de dos mil veintiuno, suscrita en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera bajo el repertorio número treinta mil doscientos ochenta y cuatro guion dos mil veintiuno.<br>Estas escrituras no se insertan por ser conocidas del Notario que autoriza, por las partes y a expresa petición de éstas.<br>**Minuta redactada por el abogado Ignacio López A.**<br>En comprobante y previa lectura firman el compareciente el presente instrumento. Se da copia. Doy fe. –<br>| **<u>Legal Representation</u>:**<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN** has been authorized to act for, and on behalf of, **MANQUEHUE ASESORÍAS MINERAS SpA** in a notarized and registered document executed on July 14, 2017, at the Santiago Notary Offices of Patricio Zaldivar Mackenna, entered in the Journal under No. 11,130-2017, and his authorization to act for, and on behalf of, **GOLD EXPRESS MINES SpA** was granted in a notarized and registered document signed on November 17, 2021, at the Santiago Notary Offices of María Pilar Gutiérrez Rivera, entered in the Journal under No. 30,284-2021<br>These documents have not been included at the explicit request of the appearing parties, because they are known to them and the authenticating Notary.<br>**Drafted by Ignacio López A., Esq**. In witness whereof and after reading its contents, the appearing individual has signed this instrument. Copies have been given. I attest.<br><u>/s/ IGNACIO JOAQUÍN LÓPEZ ALARCÓN</u><br>IGNACIO JOAQUÍN LÓPEZ ALARCÓN **Identification Card No. 16,017,525-7 For MANQUEHUE ASESORÍAS MINERAS SpA For GOLD EXPRESS MINES SpA** |

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[Translation from Spanish on the right] 11/11

## Exhibit 10.27

**Exhibit 10.27**

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| Abog. Redac; **CRISTÓBAL MORANDÉ**<br>**Repertorio Nº 9.943/2023**<br>**<u>MODIFICACIÓN DE REGALÍA DE</u>**<br>**<u>CONCESIONES MINERAS</u>**<br>**<u>WHITE MOUNTAIN MINERALS SPA</u>**<br>**<u>Y</u>**<br>**<u>GOLD EXPRESS MINES SPA</u>**<br>En Santiago de Chile, a cuatro de julio de dos mil veintitrés, ante mí, **JEAN JACQUES DUTREY OSSA**, Abogado, Notario Suplente del Titular de la Octava Notaría de Santiago, señor **Luis Ignacio Manquehual Mery**, según Decreto Judicial protocolizado bajo el número cuatro mil ciento seis del mes de junio del año en curso, ambos domiciliados en calle Huérfanos novecientos cuarenta y uno oficina trescientos dos, comuna y ciudad de Santiago; Comparecen:<br>Don **ANDRÉS DEL FÁVERO BRAUN**, chileno, casado, abogado, cédula nacional de identidad número catorce millones ciento veintiún mil setecientos siete guión cero, en representación, según se acreditará, de **WHITE MOUNTAIN MINERALS SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número setenta y seis millones trescientos diecinueve mil novecientos cincuenta y seis guión ocho, ambos domiciliados, para estos efectos, en Burgos ochenta, Oficina doscientos uno, comuna de Las Condes, Santiago Región Metropolitana, en adelante "**<u>WMM</u>**", por una parte; y | Drafting Lawyer: **CRISTÓBAL MORANDÉ**<br>**Journal No. 9,943-2023**<br>**<u>AMENDMENT TO THE ROYALTY ON</u>**<br>**<u>MINING CLAIMS</u>**<br>**<u>WHITE MOUNTAIN MINERALS SpA</u>**<br>**<u>AND</u>**<br>**<u>GOLD EXPRESS MINES SpA</u>**<br>In Santiago, Chile, on July 4, 2023, the following individuals have appeared before me, **JEAN JACQUES DUTREY OSSA**, lawyer and Deputy Notary acting for **Luis Ignacio Manquehual Mery**, Notary assigned to the Santiago Eighth Notary Offices, per a Court Decree entered in public records under No. **4,106** in June of this year, both with address at 941, Huérfanos St., Suite 302, in the borough and city of Santiago:<br>**ANDRÉS DEL FÁVERO BRAUN**, a Chilean lawyer, married, national identification card No. 14,121,707-0, and as shall be proven hereinafter, herein representing **WHITE MOUNTAIN MINERALS SpA**, a company incorporated and in good standing according to Chilean laws, Taxpayer Identification No. 76,319,956-8, both with address for the purposes hereof at 80, Burgos St., Suite 201, in the borough of Las Condes, Santiago, Metropolitan Region, party of the first part, hereinafter called "**<u>WMM</u>**", and |

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| por la otra, don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, chileno, casado, abogado, cédula nacional de identidad número dieciséis millón\*es diecisiete mil quinientos veinticinco guión siete, en representación, según se acreditará, de **GOLD EXPRESS MINES SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número setenta y siete millones cuatrocientos noventa y ocho mil trescientos veinticuatro guión cuatro, en adelante también "**<u>GEM</u>**", ambos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Región Metropolitana, los anteriores conjuntamente como las "**<u>Partes</u>**"; los comparecientes mayores de edad, quienes acreditan su identidad con las cédulas citadas y exponen:<br>**<u>PRIMERO</u>: Antecedentes.**<br>**UNO.** Con fecha nueve de diciembre de dos mil veintidós, por medio de escritura pública suscrita en la Notaría de Santiago de don Luis Ignacio Manquehual Mery bajo el repertorio número diecinueve mil noventa y cinco guión dos mil veintidós, WHITE MOUNTAIN MINERALS SpA y MANQUEHUE ASESORÍAS MINERAS SpA celebraron un Contrato de Compraventa de Concesiones Mineras, y sus respectivos Anexos, con respecto a las concesiones mineras ahí individualizadas.<br>**DOS.** En dicho Contrato de Compraventa de Concesiones Mineras, se establece que MANQUEHUE ASESORÍAS MINERAS SpA, en su calidad de Pagador y/o Deudor del NSR, debe pagar a WHITE MOUNTAIN MINERALS SpA, en su calidad de Titular del NSR, una regalía consistente en un dos por ciento de los | **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, a Chilean lawyer, married, national identification card No. 16,017,525-7, and as shall be proven hereinafter, herein representing **GOLD EXPRESS MINES SpA**, a company incorporated and in good standing according to Chilean laws, Taxpayer Identification No. 77,498,324-4, both with address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, in the Vitacura borough, Santiago, Metropolitan Region, party of the second part, hereinafter called "**<u>GEM</u>**", and together with WMM, the "**<u>Parties</u>**".<br>The appearing individuals are of age, have shown me the forenamed identification cards as proof of their respective identities and have stated as follows:<br>**<u>FIRST</u>: Background Information**<br>1. On December 9, 2022, at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, WHITE MOUNTAIN MINERALS SpA and MANQUEHUE ASESORÍAS MINERAS SpA executed a document of public record, Journal No. 19,095-2022, contaning their Agreement to Purchase Mining Claims, and the appendices thereto, in respect of the mining claims identified therein.<br>2. The forenamed Purchase Agreement stipulates that MANQUEHUE ASESORÍAS MINERAS SpA, the NSR Payer or Debtor, must pay a royalty amounting to 2% of the Net Smelter Return received by the latter for the Products coming from minerals extracted only from the mining claims identified therein, hereinafter called the "Royalty", to WHITE MOUNTAIN MINERALS SpA, the NSR Owner. The Royalty is registered under No. 44 on Page 147 of the Freirina Mine Registrar's 2022 Book of Mortgages and Encumbrances. |

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| Retornos Netos de Fundición o Net Smelter Return que MANQUEHUE ASESORÍAS MINERAS SpA reciba de los productos que provengan de minerales que se extraigan exclusivamente de las concesiones mineras ahí indicadas, en adelante también la "**<u>Regalía</u>**". La Regalía se encuentra inscrita a fojas ciento cuarenta y siete, número cuarenta y cuatro, del Registro de Hipotecas y Gravámenes del Conservador de Minas de Freirina, correspondiente al año dos mil veintidós.<br>**TRES.** Asimismo, en su cláusula Quinta número Tres, y en la cláusula IV número Dos de su Anexo NSR, se establece que, en cualquier momento a contar de la fecha de dicho Contrato de Compraventa, el Pagador y/o Deudor del NSR tendrá derecho a recomprar al Titular del NSR la mitad, es decir, el cincuenta por ciento, de la Regalía NSR, en la suma de un millón de dólares de los Estados Unidos de América, en adelante también el "**<u>Derecho de Recompra de la Regalía</u>**".<br>**CUATRO.** Con fecha tres de enero de dos mil veintitrés, por medio de escritura pública suscrita en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera bajo el repertorio número once guión dos mil veintitrés, MANQUEHUE ASESORÍAS MINERAS SpA y GOLD EXPRESS MINES SpA celebraron un Contrato de Compraventa de Concesiones Mineras, y sus respectivos Anexos, por el cual GOLD EXPRESS MINES SpA adquirió la totalidad de las concesiones mineras indicadas en el número Uno anterior.<br>| <br> 3. Likewise, Item 3 of the Fifth clause of the forenamed Purchase Agreement, and Item 2 of the fourth clause of the NSR Appendix thereto, stipulate that, at any time as of the date thereof, the NSR Payer or Debtor shall be entitled to buy back half, i. e., 50%, of the NSR Royalty from the NSR Owner, for USD 1,000,000 [one million dollars of the United States of America], hereinafter also called the "Right of Buying Back the Royalty".<br>4. On January 3, 2023, at the Santiago Notary Offices of María Pilar Gutiérrez Rivera, MANQUEHUE ASESORÍAS MINERAS SpA and GOLD EXPRESS MINES SpA signed a document of public record, Journal No. 11-2023, contaning their Agreement to Purchase Mining Claims, and the appendices thereto, whereby GOLD EXPRESS MINES SpA acquired all of the mining claims previouly identified in Item 1.<br>5. In Item 1 of the Fifth clause thereof, GOLD EXPRESS MINES SpA, now the NSR Payer or Debtor, thereby agreed to, acknowledged and accepted, its obligation to pay the Royalty to WHITE MOUNTAIN MINERALS SpA, the NSR Owner, as provided in the Agreement to Purchase Mining Claims previously identified in Item 1, and consequently, it is now GOLD EXPRESS MINES SpA that shall be entitled to buy back half of the Royalty from the NSR Owner for USD 1,000,000 [one million dollars of the United States of America], per the previously described terms. |

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| **CINCO.** En su cláusula Quinta número Uno, GOLD EXPRESS MINES SpA, ahora en su calidad de Pagador y/o Deudor del NSR, declara, reconoce y acepta su obligación de pagar la Regalía a WHITE MOUNTAIN MINERALS SpA en su calidad de Titular del NSR, según los términos acordados en el Contrato de Concesiones Mineras individualizado en el número Uno anterior, y por lo tanto, ahora es GOLD EXPRESS MINES SpA quien tiene el derecho de recomprar al Titular del NSR la mitad de la Regalía, en la suma de un millón de dólares de los Estados Unidos de América, según los términos anteriormente descritos.<br>**<u>SEGUNDO:</u> Modificación de la Regalía.**<br>En el presente acto, las Partes vienen en modificar los términos del Derecho de Recompra de la Regalía, reemplazando los términos descritos en la cláusula Primera anterior, por los siguientes:<br>"Derecho de Recompra. En cualquier momento, a contar de la fecha del Contrato de Compraventa, el Pagador y/o Deudor del NSR tendrá derecho a recomprar al Titular del NSR la totalidad, es decir, el cien por ciento de la Regalía NSR, por la suma de un millón novecientos cincuenta mil dólares de los Estados Unidos de América. Una vez ejercido este derecho y realizado el pago correspondiente, la Regalía NSR se entenderá eliminada y cancelada para todo efecto legal. Este derecho se ejercerá mediante una notificación por escrito del Pagador y/o Deudor del NSR al Titular del NSR, manifestando su intención de adquirir el cien por ciento de la Regalía NSR, indicando la fecha y hora en que deberá suscribirse el documento por el cual opere dicha Transferencia, el que se otorgará ante el Notario Público.". | <br> **<u>SECOND</u>: Amendment to the Royalty**<br>The Parties hereby amend the terms of the Right of Buying Back the Royalty, by replacing those previously provided in the First clause with the following text:<br>"**<u>Right of Buy Back</u>** - At any time as of the date of the Purchase Agreement, the NSR Payer or Debtor shall be entitled to buy back 100% of the NSR Royalty from the NSR Owner, for an amount of USD 1,950,000 [one million, nine-hundred and fifty thousand dollars of the United States of America]. Upon exercising this right and making the corresponding payment, the NSR Royalty shall be deemed extinguished and voided for all legal purposes.<br>The NSR Payer or Debtor may exercise this right, by advising the NSR Owner in writing of its intention to purchase 100% of the NSR Royalty, stating the date and time for signing the document that would make the Transfer effective before the Notary Public.". |

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[Translation from Spanish on the right]

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| | |
|:---|:---|
| **<u>TERCERO</u>: Contraprestación**.<br>Como contraprestación por el Derecho de Recompra y su modificación descrita en la cláusula Segunda anterior, GEM paga en este acto a WMM la suma de ciento cincuenta mil dólares de los Estados Unidos de América, que WMM declara y garantiza recibir a su total y completa satisfacción.<br>**<u>CUARTO</u>: Vigencia.**<br>La Regalía y los Contratos de Compraventa de Concesiones Mineras antes citados continúan vigentes en todo lo no modificado.<br>**<u>QUINTO</u>: Consentimiento, aceptación y autorización.**<br>Presente a este acto, don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, ya individualizado, en representación, según se acreditará, de **MANQUEHUE ASESORÍAS MINERAS SpA**, sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número setenta y seis millones setecientos sesenta y cinco mil novecientos ochenta y cinco guión siete, ambos domiciliados para estos efectos en calle Alonso de Monroy número dos mil seiscientos setenta y siete, oficina seiscientos dos, comuna de Vitacura, Santiago, Región Metropolitana, viene en consentir y aceptar los términos descritos en el presente instrumento y, en especial, autoriza expresamente la modificación del Derecho de Recompra de la Regalía objeto del presente instrumento.<br>**<u>SEXTO</u>: Gastos de Notaría e inscripciones.** Los gastos y derechos de Notaría que se generen con ocasión del presente instrumento y los derechos por las inscripciones en el | **<u>THIRD</u>: Consideration**<br>In consideration of the Right of Buy Back and the amendment thereof previously described in the Second clause, GEM hereby pays an amount of USD 150,000 [one-hundred and fifty thousand dollars of the United States of America] to WMM, which the latter represents and warrants having satisfactorily received.<br>**<u>FOURTH</u>: Effectiveness**<br>All what has not been amended herein of the Royalty and the forenamed Agreements to Purchase Mining Claims shall remain effective.<br>**<u>FIFTH</u>: Consent, Acceptance and Authorization**<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN**, previously identified as one of the appearing individuals, and as shall be proven hereinafter, herein also representing **MANQUEHUE ASESORÍA MINERAS SpA**, a company incorporated and in good standing according to Chilean laws, Taxpayer Identification No. 76,765,985-7, both with address for the purposes hereof at 2,677, Alonso de Monroy Street, Suite 602, in the Vitacura borough, Santiago, Metropolitan Region, hereby consents to, and accepts, the terms described herein, and particularly, expressly authorizes the amendment to the Right of Buying Back the Royalty, subject matter hereof.<br>**<u>SIXTH</u>: Notary and Registrations Fees** GEM alone shall bear all Notary fees that may arise in connection with this instrument and any entries in the relevant Mine Registrar's books. |

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[Translation from Spanish on the right]

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| | |
|:---|:---|
| Conservador de Minas respectivo, serán de exclusivo cargo de GEM. Esta última no responderá en lo absoluto de los impuestos u otras cargas personales que para la WMM y/o sus socios deriven del presente instrumento.<br>**<u>SÉPTIMO</u>: Arbitraje.**<br>Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este instrumento o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción.<br>**<u>OCTAVO:</u> Fijación de domicilio.**<br>Para todos los efectos del presente instrumento, todos los comparecientes fijan y fijarán su domicilio en la comuna y ciudad de Santiago y se someten y someterán a la competencia del tribunal arbitral antes mencionado.<br>**<u>NOVENO</u>: Mandato.**<br>Se faculta al portador de una copia autorizada de esta escritura pública para requerir las inscripciones, subinscripciones, anotaciones, alzamientos y cancelaciones que correspondan. | The latter may not be liable in any way for any taxes or other personal burdens resulting from this instrument for WMM or its partners.<br>**<u>SEVENTH</u>: Arbitration**<br>Any conflicts or disputes that may arise between the contracting parties on the application, interpretation, duration, validity or implementation hereof, or for any other reasons, shall be submitted to arbitration, according to the then current Arbitration Rules of Procedure of the Santiago Arbitration and Mediation Centre. The parties hereby grant an irrevocable special power to the Santiago Chamber of Commerce, so that, at the written request of either of them, it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the parties hereby expressly waive any such rights. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction.<br>**<u>EIGHTH</u>: Jurisdiction**<br>For all purposes hereof, the parties hereby set and shall set their legal address in the borough and city of Santiago, and submit and shall submit to the jurisdiction of the forenamed arbitral court.<br>**<u>NINETH</u>: Authorization**<br>The bearer of an authenticated copy hereof is hereby authorized to request any pertaining entries, subentries, notes, lifts or cancellations in public records. |

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[Translation from Spanish on the right]

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| | |
|:---|:---|
| <br> Se faculta también a los abogados don Andrés del Fávero Braun y don Ignacio Joaquín López Alarcón, para que actuando conjuntamente y con la firma de ambos, puedan corregir los errores de cita u omisión en que las partes pudieren haber incurrido en este instrumento y/o sus anexos, pudiendo al efecto presentar una o más minutas ante el Conservador respectivo y/u otorgar o firmar las escrituras o instrumentos públicos o privados necesarios o convenientes.<br>**<u>DÉCIMO</u>: Vigencia de las cláusulas.**<br>Si cualquiera de las cláusulas de este instrumento, o una parte de ellas, es anulable o es declarada nula o ilegal o es inaplicable en cualquier respecto por cualquier ley, reglamento o disposición de la autoridad o tribunal, la validez, legalidad o aplicabilidad a las demás cláusulas de éste no se verán afectadas de ninguna forma.<br>**<u>Personerías</u>:**<br>La personería de don **ANDRÉS DEL FÁVERO BRAUN** para representar a **WHITE MOUNTAIN MINERALS SpA**, consta en escritura pública de fecha veinticinco de mayo de dos mil veintiuno, suscrita en la Notaría de Santiago de don Luis Ignacio Manquehual Mery bajo el repertorio número nueve mil ochocientos setenta y cinco guión dos mil veintiuno. | Andrés del Fávero Braun and Ignacio Joaquín López Alarcón, lawyers, are also hereby authorized, so that, jointly and with the signatures of both of them, they may correct any reference errors or omissions that may have slipped herein or in the appendices hereto, for which, they may file any one or more briefs with the relevant Registrars, and grant or sign any documents, either of public record or of a private nature, as may be needed or convenient.<br>**<u>TENTH</u>: Severability**<br>If any of the clauses hereof, or any part thereof, were voidable or declared void or illegal, or were unenforceable in any respect, by or per any laws, regulations, or authority or Court orders, the validity, legality or enforceability of the remaining clauses hereof shall not be affected in any way.<br>**<u>Legal Representation</u>:**<br>**ANDRÉS DEL FÁVERO BRAUN** has been authorized to represent **WHITE MOUNTAIN MINERALS SpA** in a notarized document of public record signed on May 25, 2021, at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, Journal No. 9,875-2021.<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN** has been authorized to represent **GOLD EXPRESS MINES SpA** in a notarized document of public record executed on November 17, 2021, at the Santiago Notary Offices of María Pilar Gutiérrez |

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[Translation from Spanish on the right]

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| | |
|:---|:---|
| La personería de don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN** para actuar en representación de **GOLD EXPRESS MINES SpA**, consta en escritura pública de fecha diecisiete de noviembre de dos mil veintiuno, suscrita en la Notaría de Santiago de doña María Pilar Gutiérrez Rivera bajo el repertorio número treinta mil doscientos ochenta y cuatro guión dos mil veintiuno, y su personería para actuar en representación de **MANQUEHUE ASESORÍAS MINERAS SpA**, en escritura pública de fecha catorce de julio de dos mil diecisiete, suscrita en la Notaría de Santiago de don Patricio Zaldívar Mackenna bajo el repertorio número once mil ciento treinta y dos guión dos mil diecisiete.<br>Las citadas personerías no se insertan a expresa petición de las Partes por ser conocidas de ellas y que l Notario que autoriza que autoriza ha tenido a la vista. - En comprobante y previa lectura, firman los comparecientes. Se da copia. Doy fe. | Rivera, Journal No. 30,284-2021, and to represent **MANQUEHUE ASESORÍAS MINERAS SpA** in a notarized document of public record signed on July 14, 2017, at the Santiago Notary Offices of Patricio Zaldívar Mackenna, Journal No. 11,132-2017.<br>These documents have not been included at the explicit request of the Parties, because they are known to them and the authenticating Notary has seen them.<br>In witness whereof and after reading its contents, the appearing individuals have signed this instrument. Copies have been given. I attest. |
|  | &nbsp;&nbsp;<u>/s/ ANDRÉS DEL FÁVERO BRAUN</u><br> ANDRÉS DEL FÁVERO BRAUN,<br> Identification Card No. 14,121,707-0<br> For WHITE MOUNTAIN MINERALS SpA |
|  | <u>/s/ IGNACIO JOAQUÍN LÓPEZ ALARCÓN</u><br> IGNACIO JOAQUÍN LÓPEZ ALARCÓN<br> Identification Card No. 16,017,525-7 <br> For GOLD EXPRESS MINES SpA <br> For MANQUEHUE ASESORÍAS MINERAS SpA |

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[Translation from Spanish on the right]

## Exhibit 10.28

**Exhibit 10.28**

**<u>SUBSCRIPTION AGREEMENT</u>**

**KEY METALS CORP.**

**CESAR LOPEZ, PRESIDENT**

**430 Grand Bay Drive, Apt. 1206**

**Key Biscayne, Florida 33149**

Ladies and Gentlemen:

It is understood that, upon the acceptance of this subscription by Key Metals Corp., a Delaware corporation (the "Company"), the undersigned will receive an executed counterpart of this Subscription Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. *Subscription*. The undersigned hereby irrevocably subscribes for and agrees to purchase<u> </u> Shares of Common Stock (the "Securities") for a price of $0.001 per Share, for a total of<u> </u>. The undersigned tenders herewith a check or bank wire in the above amount (the "Funds").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. *Conditions of Subscription*. The undersigned understands and agrees that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company shall have the right to reject the subscription, in whole or in part;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall have no obligation to accept subscriptions for Shares in the order received; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The certificate for the Shares to be issued and delivered on account of this subscription will only be issued in the name of, and delivered to, the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. *Representations and Warranties of the Undersigned*. The undersigned hereby agrees, represents, and warrants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The undersigned understands that the Securities are being offered and sold under the exemption from registration provided for by Section 4(2) of the Securities Act of 1933 (the "Act") and similar exemptions from registration, or limited registration provisions, for private offerings under federal and state law securities laws, that it is purchasing the Securities without being furnished any offering literature or prospectus, that this transaction has not been scrutinized by the United States Securities and Exchange Commission or by any state securities administrator because of the small number of persons solicited and the private aspects of the offering, that all documents, records, and books pertaining to this investment have been made available to the undersigned and his representatives, including his attorney, his accountants, and/or his purchaser representative, and that the books and records of the Company will be available upon reasonable notice for inspection by investors during reasonable business hours at its principal place of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The undersigned, if a natural person or general partner of a partnership, (i) is a citizen of the United States, and at least 21 years of age, and (ii) is a bona fide resident and domiciliary (not a temporary or transient resident) of the state indicated on the signature page below and has no present intention of becoming a resident of any other state or jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the undersigned is an individual, the undersigned is an "accredited investor" as defined by Rule 501(a) of Regulation D under the Act (a natural person whose individual net worth or joint net worth with that person's spouse, at the time of such person's purchase of the Securities exceeds $1.0 million, excluding the value of the primary residence of such person.)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The undersigned is able (i) to bear the economic risk of its investment, (ii) to hold the Securities for an indefinite period of time, and (iii) to afford a complete loss of its investment; and represents that it has adequate means of providing for its current needs and possible personal contingencies, and that it has no need for liquidity in this investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Securities are being acquired by the undersigned in good faith solely for its own personal account, unless otherwise specifically set forth below, and these Securities are being acquired for investment purposes only, and not with a view to or for the resale, distribution, subdivision, or fractionalization thereof; the undersigned has no contract, undertaking, understanding, agreement, or arrangement, formal or informal, with any person to sell, transfer, or pledge to any person the Securities or any part thereof, the undersigned has no present plans to enter into any such contract, undertaking, agreement, or arrangement; and it understands that the legal consequences of the foregoing representations and warranties to mean that it must bear the economic risk of the investment for an indefinite period of time because the Securities have not been registered under the Act, and, therefore, cannot be sold unless they are subsequently registered under the Act (which the Company is not obligated to do) or an exemption from such registration is available;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The undersigned consents to the placement of a legend on the certificate evidencing the Securities being purchased by it, which legend shall be in form substantially as follows:

**THESE SECURITIES HAVE NOT BEEN REGISTERED FOR PUBLIC SALE WITH THE SECURITIES AND EXCHANGE COMMISSION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER ANY STATE SECURITIES LAWS. THE SALE, PLEDGE OR OTHER DISPOSITION OF THE SECURITIES IS PROHIBITED UNLESS THE COMPANY RECEIVES AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY AND ITS COUNSEL THAT SUCH SALE OR OTHER DISPOSITION DOES NOT REQUIRE REGISTRATION UNDER SUCH ACTS; and**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Its Purchaser Representative(s) (as defined in Regulation "D" of the Securities and Exchange Commission), if any, has been<u> </u> (if none, so specify). If the undersigned was advised by a Purchaser Representative, the undersigned has been advised by its Purchaser Representative as to the merits and risks of the investment in the Company in general and the suitability of the investment for the undersigned in particular, and the Purchaser Representative has confirmed to the undersigned in writing any existing or intended future relationship between the Purchaser Representative and the Company or any affiliate of such entity, and any compensation received or to be received as the result of such relationship.

If more than one person is signing this Agreement, each representation, warranty, and undertaking made herein shall be a joint and several representations, warranty, or undertaking of each person. If the undersigned is a partnership, corporation, trust, or other entity (i) the undersigned represents and warrants that if it is not an "accredited investor," each person involved in the decision of such entity to purchase the Securities has such knowledge and experience in financial and business matters as to be capable of evaluating the merits and risks of an investment in the Securities, (ii) the undersigned has enclosed with this Agreement appropriate evidence of the authority of the individual executing this Agreement to act on its behalf; and (iii) the undersigned entity and each individual signing on behalf of such entity represent and warrant that the purchase of the Securities pursuant to this Subscription Agreement has been duly authorized by all necessary corporate, partnership, or other action, and that such individuals are authorized to bind the undersigned to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. *Transferability*. The undersigned agrees not to transfer or assign this Agreement, or of any of its interest herein, and any such transfer shall be void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. *Revocation*. The undersigned agrees that it may not cancel, terminate, or revoke this Agreement or any agreement of the undersigned made hereunder and that this Agreement shall survive the death or disability of the undersigned and shall be binding upon the undersigned's heirs, executors, administrators, successors, and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. *No Waiver*. Notwithstanding any of the representations, warranties, acknowledgments, or agreements made herein by the undersigned, the undersigned does not waive any right granted to it under federal or state securities laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. *Continuing Effect of Representations and Warranties; Undertaking*. The representation and warranties of Paragraph 3 are true and accurate as of the date of this Subscription Agreement and shall be true and accurate as of the date of delivery of the Funds and shall survive such delivery. If in any respect, such representations and warranties shall not be true and accurate prior to the issuance of Securities to the undersigned, the undersigned shall give prompt written notice of such fact to the Company and to the Purchaser Representative, if any, specifying which representations and warranties are not true and accurate and in what respects they are inaccurate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. *Indemnification*. The undersigned acknowledges that it understands the meaning and legal consequences of the representations and warranties contained in Paragraph 3 and of the undertaking contained in Paragraph 7, and hereby agrees to defend, indemnify, and hold harmless the Company and its officers, directors, employees and agents, and their successors and assigns, from and against any and all loss, damage, liability, or expense (including attorneys' fees) due to or arising out of the inaccuracy of any representation or acknowledgment or the breach of any agreement, warranty, or undertaking of the undersigned contained in this Subscription Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. *Miscellaneous*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. All notices or other communications given or made hereunder shall be sufficiently given if hand-delivered or mailed by registered or certified mail return receipt requested, postage prepaid, to the undersigned or to the Company at the respective addresses set forth herein, or such other addresses as the undersigned or the Company shall designate to the other by notice in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. This Agreement shall be governed by and construed in accordance with the internal laws of the State of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. This Agreement constitutes the entire agreement among the parties hereto with respect to the subject matter hereof and may be amended only by a writing executed by all parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. *Signatures*. The "undersigned" or "it" shall mean each person or entity whose signature appears below.

I/we have read this Subscription Agreement and agree to be bound by its terms.

Type of Ownership (check one):

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| | |
|:---|:---|
| [ ] Individual | [ ] Partnership\*\* |
| [ ] Tenants in Common\* | [ ] As Trustee\*\* |
| [ ] Joint Tenants with Right of Survivorship\* | [ ] Corporation\*\*\* |
| [ ] Other: |  |

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\*All participants must sign (attach additional sheets if necessary).

\*\*Please attach Partnership Agreement, trust instrument, or document authorizing investment and signature by the undersigned on behalf of the trust or partnership.

\*\*\*If a corporation, please provide a copy of a certified resolution authorizing this investment.

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| |
|:---|
| (Print Name(s) of Subscriber) |
| (Signature(s)) |

---

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| |
|:---|
| (Date) |
| (Social Security or Federal ID No.) |
| (Address) |
| (Name(s) as should appear on stock certificate) |

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The Company hereby accepts the foregoing Subscription subject to the terms and conditions hereof

This<u> </u> day of<u> </u> 2021.

Key Metals Corp.

By:   <br> Cesar Lopez, President

**<u>WIRE TRANSFER INFORMATION</u>:**

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| | |
|:---|:---|
| **Account#:** |  |
| **ABA#:** |  |
| **Swift#:** |  |
| **Name on Account:** | **Key Metals Corp.** |
| **Account Address:** |  |
| **Bank:** |  |
| **Bank Address:** |  |

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## Exhibit 10.29

**Exhibit 10.29**

Key Metals Corp.

A Delaware Corporation

Securities Purchase Agreement

Cover Page

SECURITIES PURCHASE AGREEMENT

This SECURITIES PURCHASE AGREEMENT (this "<u>Agreement</u>") is made as _____________________, 2021 by and among Key Metals Corp., a Delaware corporation (the "<u>Company</u>"), on the one hand, and the investor(s) named on the applicable signature pages hereto (each, an "<u>Investor</u>") on the other hand. Certain capitalized terms used but not otherwise defined herein shall have the meanings given to such terms in Section 8.13 hereof.

WHEREAS, the Company and the Investor are executing and delivering this Agreement in reliance upon the exemption from the registration requirements of the Securities Act of 1933 (the "<u>Securities Act</u>") provided by Section 4(2) thereof and Rule 506 promulgated thereunder.

WHEREAS, the Investor wishes to purchase and acquire from the Company, and the Company wishes to issue and sell to the Investor, securities of the Company as more fully described in this Agreement.

THEREFORE, for good and valuable consideration, the receipt and legal adequacy of which are hereby acknowledged by each of the parties hereto, the parties hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Purchase and Sale of Shares</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1. <u>Purchase and Sale</u>. Subject to and in reliance upon the representations, warranties, terms and conditions of this Agreement, the Company shall issue and sell, severally and not jointly, to each of the Investors, and each of the Investors, severally and not jointly, hereby subscribes to and shall purchase from the Company, at one or more Closings described in <u>Section 1.3</u> hereof, the number of shares (such shares being purchased by an Investor, the "<u>Purchased Shares</u>") of the Company's Common Stock (as defined in <u>Section 3.1(a)</u> hereof) as set forth on the Investor's signature page which is attached hereto and executed by the Investor and accepted by the Company as evidenced by its countersignature on such signature page, for a purchase price of Twenty-Five Cents ($0.25) per share (the "<u>Purchase Price</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2. <u>The Offering</u>. The offer and sale of the Purchased Shares hereunder (the "Offering") is being made pursuant to Rule 506 of Regulation D promulgated under the Securities Act. The Company intends to sell up to 20,000,000 shares of Common Stock in the Offering. The Company may accept, and consummate a Closing with respect to, subscriptions from Investor with respect to any number of Purchased Shares. The Company may hold multiple Closings, for any number of Purchased Shares, as determined in the Company's sole discretion until the maximum number of Purchased Shares has been sold. All funds paid by an Investor in connection with its subscription, if and to the extent such subscription is accepted by the Company, will be immediately available to the Company upon acceptance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3. <u>The Closings</u>. Each closing of the sale and purchase of the Purchased Shares (each, a "<u>Closing</u>") hereunder shall take place at the offices of the Company on such date (the "<u>Closing Date</u>") as the Company and the Investor participating in such Closing shall mutually agree. At each Closing, each Investor, on the one hand, and the Company, on the other hand, shall deliver to each other the items specified in this Agreement, including those items specified in <u>Section 6.3</u> and <u>Section 7.5</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Representations and Warranties of Each Investor</u>. To induce the Company to enter into this Agreement, each Investor, severally as to such Investor only and not jointly with any other Investor, hereby represents, warrants and covenants to the Company as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1. <u>Purchase for Investment</u>. The Investor is acquiring the Purchased Shares for investment purposes only and not for the account of any other person or entity. The Investor is not acquiring the Purchased Shares with a view to resell, distribute, subdivide or otherwise transfer the Purchased Shares to any other person or entity in violation of the Securities Act or the securities laws of any U.S. state.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2. <u>No Registration of Purchased Shares</u>. The Investor understands that the Purchased Shares have not been registered under the Securities Act, or the securities laws of any U.S. state or non-U.S. jurisdiction; (ii) the Purchased Shares are being offered as a private placement pursuant to the exemption from registration provided by Section 4(2) of the Securities Act and/or Regulation D promulgated thereunder; (iii) the Purchased Shares may not be resold or transferred except as permitted by the Securities Act and any applicable U.S. state or non-U.S. securities laws, pursuant to registration or exemption therefrom; and (iv) there will be no public market for the Purchased Shares and there is no obligation on the part of the Company to register the Purchased Shares under the Securities Act or the laws of any U.S. state or non-U.S. jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3. <u>Additional Transfer Restrictions</u>. The Investor understands and agrees that, in addition to any restrictions that may be set forth in this Agreement, the following legend will be placed on any certificate(s) or other document(s) evidencing the Purchased Shares and the Investor must comply with the terms and conditions set forth in such legend prior to any resales, pledges, hypothecations or other transfers of the Purchased Shares:

"THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES LAWS OF THE UNITED STATES OR ANY OTHER JURISDICTION AND MAY NOT BE TRANSFERRED EXCEPT (A) PURSUANT TO AN EFFECTIVE REGISTRATION UNDER SUCH LAWS OR COMPLIANCE WITH OTHER APPLICABLE REQUIREMENTS THEREOF, OR (B) PURSUANT TO A VALID EXEMPTION FROM SUCH REGISTRATION OR OTHER REQUIREMENTS AND THE RECEIPT BY THE COMPANY OF AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY STATING THAT THE PROPOSED TRANSFER OF THE COMPANY'S SECURITIES IS EXEMPT FROM THE REGISTRATION PROVISIONS OF ALL APPLICABLE LAWS."

Stop transfer instructions have been or will be placed on any certificates or other documents evidencing the Purchased Shares so as to restrict the resale, pledge, hypothecation or other transfer thereof in accordance with the provisions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4. <u>Authority or Capacity</u>. If the Investor is an individual, the Investor has the legal capacity and authority to execute, deliver and perform the Investor's obligations under this Agreement. If the Investor is a corporation, partnership, limited liability company, trust or other entity; (i) it has the requisite power and authority to execute, deliver and perform this Agreement; (ii) the person executing this Agreement on behalf of the Investor has the full power and authority to execute, deliver and perform this Agreement on behalf of the Investor; (iii) it is duly formed and organized, validly existing, and (if applicable) in good standing under the laws of its jurisdiction of incorporation or formation; and (iv) the execution, delivery and performance of this Agreement will not (A) conflict with, or result in any violation of or default under, any provision of any charter, by-laws, trust agreement, partnership agreement or other governing instrument applicable to the Investor, any agreement or other instrument to which the Investor or its properties is a party, or any judgment, decree, statute, order, rule or regulation, or (B) require any notice to, or filing with, or authorization, consent or approval of, any public body or authority applicable to the Investor or the Investor's business or properties. This Agreement is the valid and binding obligation of the Investor, enforceable against the Investor in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5. <u>Accredited Investor</u>. The Investor is aware of what constitutes an "accredited investor" as that term is defined under Regulation D promulgated under the Securities Act and attached as <u>Exhibit A</u> hereto, and under the laws, if any, of each state governing the Investor, and the Investor is an accredited investor for purposes of Regulation D pursuant to the applicable provision checked on <u>Exhibit A</u> by the Investor, and the Investor is an accredited investor or equivalent under the applicable laws, if any, of the state governing the Investor. The Investor is able to bear the economic risks of this investment in the Purchased Shares, is able to hold the Purchased Shares for an indefinite period of time and has a sufficient net worth to sustain a loss of its entire investment in the Purchased Shares in the event such loss should occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6. <u>Knowledge and Sophistication</u>. The Investor has such knowledge, sophistication and experience in financial and business matters as to be capable of evaluating the merits and risks of an investment in the Company, and the Purchased Shares, and the Investor is able to bear the economic risk of investing in the Purchased Shares. In connection with the purchase of the Purchased Shares, the Investor meets all suitability standards imposed on them by applicable law, including federal and state securities laws and as set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7. <u>Independent Counsel</u>. The Investor acknowledges that he, she or it has been advised to consult with his, her or its own attorney regarding legal matters concerning the Company, and the investment in the Purchased Shares, and has been advised to consult with the Investor's tax advisor regarding the tax consequences of acquiring the Purchased Shares. The Investor confirms that the Purchased Shares were not offered to the Investor by any means of general solicitation or general advertising. The Investor: (i) has obtained, in the judgment of the Investor, sufficient information to evaluate the merits and risks of an investment in the Company; and (ii) has sufficient knowledge and experience in financial and business matters to evaluate the merits and risks associated with such investment and to make an informed investment decision with respect thereto. The Investor has not relied and will not rely upon any offering material or literature other than the Agreement, or upon any information given to the Investor by persons other than the Company and its officers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8. <u>Independent Investigation</u>. The Investor has relied on its own examination of the Company and the terms of the Agreement, including the merits and risks involved, and has reviewed the merits and risks of the purchase of Purchased Shares with tax, legal and investment counsel to the extent deemed advisable by the Investor. The Investor understands that neither the United States Securities and Exchange Commission (the "<u>Commission</u>") nor any other federal, state or non-U.S. agency has recommended, approved or endorsed the purchase of the Purchased Shares as an investment or passed on the accuracy or adequacy of the information set forth in this Agreement or any other documents used in connection with the offering contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9. <u>Risk of Loss of Investment; No Liquidity; Risk Factors relating to the Investment in the Purchased Shares</u>. The Investor understands that an investment in the Purchased Shares is highly speculative and involves a high degree of risk of loss of the Investor's entire investment in the Purchased Shares. Due to the nature of the Company's business, contracts and assets, the privately-held nature of the Company, the lack of any recent operating history, the lack of a public market in the Purchased Shares, and the restrictions on any sale or transfer of the Purchased Shares, the Investor cannot expect to be able to liquidate any investment in the Purchased Shares in the case of an emergency, or perhaps at all. The Investor has adequate means to provide for his, her or its current cash needs and possible contingencies and has the financial capacity to hold the Purchased Shares purchased hereby for an indefinite period of time. In addition, the Investor acknowledges that there are other important risk factors to consider in his, her or its determination to invest in the Purchased Shares. These risk factors include, without limitation, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company's business plans will require substantial additional amounts of financing beyond the amount being invested in the Company by the Investor, and there is no certainty that the Company will be able to obtain such additional financing on favorable or acceptable terms and conditions or at all, and any such additional financing may result in further and significant dilution to the percentage of ownership held by the Investor, and may dilute the value of the Investor's Purchased Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The offering price of the Purchased Shares and other terms of this offering were determined arbitrarily by the Company and do not necessarily bear any direct relationship to the Company's assets, book value or any other generally accepted criteria of valuation or the assets or book value of The Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Company has no recent operating history and is dependent upon the knowledge, experience and services of its executive officers to operate its business, and the loss of any of the Company's executive officers may have a material adverse effect on the Company's business, operations or financial condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The value, if any, of the Company's rights and prospects in certain mining claims, leases and or other properties has not been established by any engineer's report, assay, or other investigation.

The Investor has reviewed, understands, and has accepted all of these risks in connection with the investment in the Purchased Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10. <u>State Securities Laws</u>. The Investor received this Agreement and first learned of the Company in the country and state or province listed as the address of the Investor set forth on the Investor's signature page hereto. If the address is within the United States, the Investor intends that, in addition to federal securities laws, the state securities laws of the state listed as the address of that Investor, to the extent applicable, shall govern this offering.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11. <u>No Prohibited Transaction</u>. If the Investor is (i) an "employee benefit plan" within the meaning of Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended ("<u>ERISA</u>") or (ii) an individual retirement account as described in Section 408(a) of the Internal Revenue Code ("<u>IRC</u>"), governmental benefit plan or other "benefit plan investor" within the meaning of U.S. Department of Labor Regulation 2510.3-101(f)(2), or if any part of the funds used by the Investor to acquire Purchased Shares constitutes assets of an "employee benefit plan" within the meaning of Section 3(3) of ERISA or of an IRC, or assets allocated to any account in which any such employee benefit plan or IRA (or its related trust) has any interest, the acquisition of Purchased Shares has been duly authorized in accordance with the governing documents of the relevant plan or account and such acquisition and the subsequent holding of the Purchased Shares do not and will not constitute a "prohibited transaction" within the meaning of Section 406 of ERISA or Section 4975 of the IRC that is not subject to an exemption therefrom contained in ERISA, or in the rules and regulations adopted by the U.S. Department of Labor thereunder, or in an individual or class exemption therefrom.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12. <u>Federal Law Provisions</u>. Neither the Investor, nor any person having a direct or indirect beneficial interest in the Purchased Shares to be acquired under this Agreement, appears on the Specially Designated Nationals and Blocked Person List of the Office of Foreign Assets Control in the United States Department of the Treasury. The Investor does not know or have any reason to suspect that (i) monies used to fund the Investor's investment in Purchased Shares have been or will be derived from or related to any illegal activities; or (ii) the proceeds from the Investor's investment in Purchased Shares will be used to finance any illegal activities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.13. <u>No Unlawful Activity</u>. To the best knowledge of the Investor, the current structure of this transaction and all transactions and activities contemplated hereunder is not a scheme to unlawfully avoid the registration requirements of the U.S. Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Representations and Warranties of the Company</u>. To induce the Investor to enter into this Agreement, the Company hereby represents warrants and covenants to each Investor as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1. <u>Organization, Good Standing and Power</u>. The Company is a corporation duly incorporated, validly existing and in good standing under the laws of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2. <u>Authorization; Enforcement</u>. The Company has the requisite corporate power and authority to enter into and perform this Agreement and to issue and sell the Purchased Shares in accordance with the terms hereof. The execution, delivery and performance of this Agreement by the Company and the consummation by it of the transactions contemplated hereby have been duly and validly authorized by all necessary corporate action, and no further consent or authorization of the Company or its Board of Directors or stockholders is required. This Agreement constitutes a valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, liquidation, conservatorship, receivership or similar laws relating to, or affecting generally the enforcement of, creditor's rights and remedies or by other equitable principles of general application.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3. <u>Capitalization</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company has 220,000,000 shares of authorized capital stock, consisting of (i) 200,000,000 shares of common stock, par value $0.001 per share (the "Common Stock"), and (ii) 20,000,000 shares of preferred stock, par value $0.001 per share (the "Preferred Stock"). The Company at the time of the beginning of this offering shall have 13,000,000 shares issued and outstanding which were issued to the founders of the Company for nominal consideration. No shares of Preferred Stock have been issued and no shares of Preferred Stock have been designated as a series thereof. There are no outstanding Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No stockholders of the Company are entitled to preemptive rights with respect to any of the Purchased Shares to be subscribed for and purchased in the Offering. The Company has furnished or made available to the Investor true and correct copies of the Company's Certificate of Incorporation as filed with the Secretary of State of the State of Delaware (the "<u>Certificate of Incorporation</u>") as in effect on the date and the Company's By-laws as in effect on the date hereof (the "<u>By-laws</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4. <u>Issuance of Purchased Shares</u>. The Purchased Shares to be issued in the Offering have been duly authorized by all necessary corporate action and, when paid for or issued in accordance with the terms hereof, shall be validly issued, fully paid and nonassessable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5. <u>No Conflicts</u>. The execution, delivery and performance of this Agreement by the Company and the consummation by the Company of the transactions contemplated herein and the issuance of the Purchased Shares as contemplated hereby do not and will not (i) violate or conflict with any provision of the Company's Certificate of Incorporation or By-laws, (ii) conflict with, or constitute a default (or an event which with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, mortgage, deed of trust, indenture, note, bond, license, lease agreement, instrument or obligation to which the Company is a party or by which it or its properties or assets are bound, (iii) create or impose a lien, mortgage, security interest, charge or encumbrance of any nature on any property of the Company under any agreement or any commitment to which the Company is a party or by which the Company is bound or by which any of its respective properties or assets are bound, or (iv) result in a violation of any federal, state, provincial, local or foreign statute, rule, regulation, order, judgment or decree (including federal, state and province securities laws and regulations) applicable to the Company or by which any property or asset of the Company is bound or affected. The Company is not required under federal, state, or local law, rule or regulation to obtain any consent, authorization or order of, or make any filing or registration with, any court or governmental agency in order for it to execute, deliver or perform any of its obligations under this Agreement, or issue and sell the Purchased Shares in accordance with the terms hereof; <u>provided that</u>, for purposes of the representation made in this sentence, the Company is assuming and relying upon the accuracy of the relevant representations, covenants and agreements of the Investor herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6. <u>Non-Reporting Company</u>. The Company is not a reporting company subject to the U.S. securities laws, and the Company's securities are not registered with the Commission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7. Compliance with Law. The offer and sale of all capital stock, convertible securities, rights, warrants, or options of the Company issued and outstanding as of the date hereof complied in all material respects with applicable United States federal and state securities laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8. Certain Payments. The Company may in its sole and absolute discretion compensate one or more unaffiliated Persons who acted as an agent, finder or financial advisor on behalf of the Company with respect to certain of the transactions contemplated hereby in amounts determined by the Company in its sole discretion to be reasonable in light of the services performed and amounts customarily paid for similar services by similarly situated companies; provided that such compensation will not in any case exceed ten percent (10%) of the Purchase Price of the applicable Purchased Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9. <u>Mineral Property Outcomes</u>. The Investor has received a PowerPoint style Investor presentation setting forth the mining rights owned or controlled by the Company. The information in this Investor Presentation does not purport to be a comprehensive description of all the opportunities the Company may consider or pursue, nor is such information intended to include all of the information about the properties described therein which would be included in an engineer's report of a registration statement filed under the Securities Act. Such information comes from sources believed by the Company to be reliable, but the Company has not independently verified such information. Information of the type included in the Investor Presentation is inherently subject to significant uncertainties and contingencies, many of which are beyond the Company's control. No specific results can be assured on inferred with respect to any mineral or mining opportunities described thereon.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10. <u>Actions Pending</u>. There is no action, suit, claim, investigation, arbitration, alternate dispute resolution proceeding or any other proceeding pending or, to the knowledge of the Company, threatened against the Company which questions the validity of this Agreement or the transactions contemplated hereby or any action taken or to be taken pursuant hereto. There is no action, suit, claim, investigation, arbitration, alternate dispute resolution proceeding or any other proceeding pending or, to the knowledge of the Company, threatened, against or involving the Company or any of its respective properties or assets. There are no outstanding orders, judgments, injunctions, awards or decrees of any court, arbitrator or governmental or regulatory body against the Company or any officers or directors of the Company in their capacities as such.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11. <u>Securities Act</u>. Based in part upon the representations of the Investor contained herein, the Company has complied and will comply with all applicable U.S. federal and state securities laws in connection with the offer, issuance and sale of the Purchased Shares hereunder. Neither the Company nor anyone acting on its behalf, directly or indirectly, has or will sell, offer to sell or solicit offers to buy any of the Purchased Shares or similar securities to, or solicit offers with respect thereto from, or enter into any preliminary conversations or negotiations relating thereto with, any person, or has taken or will take any action so as to bring the issuance and sale of any of the Purchased Shares under the registration provisions of the Securities Act and applicable state securities laws, and neither the Company, nor any person acting on its behalf, has engaged in any form of general solicitation or general advertising (within the meaning of Regulation D under the Securities Act) in connection with the offer or sale of any of the Purchased Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12. <u>Governmental Approvals</u>. Except for the filing of any notice prior or subsequent to the Closing Date that may be required under applicable state and/or federal securities laws (which if required, shall be filed on a timely basis), including the filing of a Form D, no authorization, consent, approval, license, exemption of, filing or registration with any court or governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign, is or will be necessary for, or in connection with, the execution or delivery of the Purchased Shares, or for the performance by the Company of its obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Reliance on Representations and Warranties; Indemnification</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1. <u>Company Reliance on Investor Representations and Warranties</u>. Each Investor understands the meaning of the representations and warranties contained in this Agreement and understands and acknowledges that the Company is relying upon the representations and warranties contained in this Agreement in determining whether the Company is eligible for exemption from the registration requirements contained in the Securities Act and in determining whether to enter into the transaction contemplated hereby. The representations and warranties set forth in this Agreement shall survive for a period of three years following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2. <u>Indemnification by Investor</u>. Each Investor hereby agrees to indemnify and hold harmless the Company, and its officers, directors, agents and employees from and against any and all losses, damages, expenses, liabilities or reasonable attorneys' fees (including attorneys' fees and expenses incurred in a securities action in which no judgment in favor of the Investor is rendered) due to or arising out of a breach of any representation or warranty of the Investor contained in this Agreement provided by the Investor in connection with the Investor's investment in the Purchased Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3. <u>Indemnification by Company</u>. The Company shall indemnify, defend and hold the Investor harmless against any and all liabilities, loss, cost or damage, together with all reasonable costs and expenses related thereto (including reasonable legal and accounting fees and expenses), arising from, relating to, or connected with a statement, representation, warranty or covenant of the Company contained herein that is breached in a manner that results in a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Covenants</u>. The Company covenants with the Investor (which covenants are solely for the benefit of the Investor) as set forth in this Section 5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1. <u>Other Agreements</u>. The Company shall not enter into any agreement in which the terms of such agreement would restrict or impair the Company's right or ability to perform this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2. <u>Use of Proceeds</u>. The proceeds from the sale of the Purchased Shares will be used by the Company for working capital and general corporate purposes of the Company including certain exploration costs and costs of securing exploration rights or rights to mining claims, leases or other interests and to make certain payments to the mineral property owner, to undertake required work on the mineral property, and to make certain payments to one or more agents, finders or financial advisors as described in <u>Section 3.8</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Conditions to the Obligations of each Investor</u>. The obligation of each Investor to proceed with the Closing is subject to the following conditions, any and all of which may be waived, in whole or in part, to the extent permitted by applicable law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1. <u>Agreement and Covenants</u>. The Company shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by it on or prior to the closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2. <u>No Order</u>. No Governmental Authority or other agency or commission or federal or state court of competent jurisdiction shall have enacted, issued, promulgated, enforced or entered any statute, rule, regulation, executive order, decree, injunction, or other order (whether temporary, preliminary or permanent) which is in effect and which materially restricts, prevents or prohibits consummation of the closing contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3. <u>Deliveries</u>. The Company shall have delivered to the Investor (i) a certificate of recent date from an appropriate Governmental Authority of the State of Delaware attesting to the good standing of the Company in such state; and (ii) a copy of this Agreement duly executed by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4. <u>Post-Closing Delivery of Confirmation of Shares</u>. The Company has not yet chosen a transfer agent but is interviewing various companies to provide this service. Within fifteen business days following the hiring of the transfer agent, the Company shall deliver to the Investor the certificates representing the Purchased Shares purchased by the Investor registered in the name of the Investor or its nominee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Conditions to the Obligations of the Company</u>. The obligation of the Company to proceed with the Closing is subject to the following conditions, any and all of which may be waived, in whole or in part, to the extent permitted by applicable law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1. <u>Representations and Warranties</u>. Each of the representations and warranties of each respective Investor contained in this Agreement shall be true and correct as of the Closing as though made on and as of the Closing, except those representations and warranties which address matters only as of a particular date shall remain true and correct as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2. <u>Agreement and Covenants</u>. Each respective Investor shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by the Investor on or prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3. <u>No Order</u>. No Governmental Authority or other agency or commission or federal or state court of competent jurisdiction shall have enacted, issued, promulgated, enforced or entered any statute, rule, regulation, executive order, decree, injunction, or other order (whether temporary, preliminary or permanent) which is applicable and which materially restricts, prevents or prohibits consummation of the Closing or any transaction contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4. <u>Covenants, Agreements and Conditions</u>. All covenants, agreements and conditions contained in this Agreement to be performed by the Investor on or prior to the date of the applicable closing shall have been performed or complied with in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5. <u>Payment of Purchase Price</u>. Payment by the Investor of the purchase price hereunder by cashier's check or wire transfer to the Company, and receipt of any such wire shall have been confirmed by the Company's bank.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1. <u>Additional Information, Documents, Tax Forms, Certificates</u>. The Investor agrees that promptly (and in any event within ten calendar days) after receipt of a request from the Company, the Investor shall provide such additional information and deliver such additional documents as shall be reasonably necessary to comply with any federal, state, local or non-U.S. securities, tax or anti-money laundering laws, rules or regulations to which the Company is subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2. <u>Binding Effect; Beneficiaries</u>. This Agreement shall be binding upon, inure to the benefit of and be enforceable by the parties hereto and their respective heirs, executors, administrators and other successors, and no other persons or entities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3. <u>Notices</u>. All notices and other communications hereunder shall be in writing, and shall be delivered in person, or by first class certified mail return receipt requested (postage prepaid) or by facsimile transaction duly addressed to the parties at their respective addresses or facsimile numbers, as applicable, set forth as follows:

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| | |
|:---|:---|
| If to the Company: | Key Metals Corp. |
|  | 430 Grand Bay Drive, Apt. 1206 |
|  | Key Biscayne, Florida 33149 |
|  | Attention: Cesar Lopez |
|  | E-Mail: maco64@me.com |

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If to the Investor: The address set forth below the Investor's signature on the signature page hereto

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4. Any party may specify a different address (including E-Mail address) for such purpose by a notice of change of address (or E-Mail address) given to the other party in the manner specified by this Section 8.3. Any notice hereunder shall be effective: (i) on the day delivered in person; (ii) on the day received, if sent by mail (as aforesaid); (iii) on the day sent, if sent by E-Mail prior to 5:00 p.m. (Delaware time) on a business day, or if sent thereafter, on the next business day; or (iv) on the fourth (4th) business day following the date sent, if sent by certified mail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5. <u>Remedies Cumulative; Invalidity</u>. All remedies, rights, undertakings, obligations and agreements contained in this Agreement shall be cumulative, and none of them shall be in limitation of any other remedy, right, undertaking, obligation or agreement available to any of the parties hereto, whether at law, in equity or otherwise. The invalidity, illegality or unenforceability of any term or provision contained in this Agreement (as determined by a court of competent jurisdiction) shall not affect the validity, legality or enforceability of any other term or provision hereof. It is the intent of the parties that this Agreement shall be enforced to the fullest extent permitted by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6. <u>Amendment; Waiver</u>. This Agreement may be amended, and any provision of this agreement may be waived, by vote of the holders of at least two-thirds of the Purchased Shares sold in this offering; <u>provided</u> that no such amendment or waiver shall be valid without the written consent of the Company. No waiver by a party of any breach of any provision of this Agreement shall be deemed to be a waiver of any preceding or subsequent breach of the same or similar nature or of any other provision of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7. <u>GOVERNING LAW; JURISDICTION</u>. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED THEREIN, WITHOUT REGARD OR REFERENCE TO ITS CHOICE OF LAWS OR CONFLICTS OF LAWS PRINCIPLES. THIS AGREEMENT SHALL NOT BE CONSTRUED OR INTERPRETED AGAINST THE PARTY CAUSING THIS AGREEMENT TO BE DRAFTED. THE PARTIES HEREBY UNCONDITIONALLY AND IRREVOCABLY CONSENT TO THE EXCLUSIVE PERSONAL AND SUBJECT MATTER JURISDICTION OF THE SOUTHERN DISTRICT OF THE FEDERAL DISTRICT COURT OF DELAWARE AND OF THE COURTS OF THE STATE OF DELAWARE LOCATED IN DELAWARE COUNTY IN RESPECT OF ANY CLAIM, ACTION, SUIT OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT. IN CONNECTION WITH ANY SUCH CLAIM, ACTION, SUIT OR PROCEEDING, THE PARTIES UNCONDITIONALLY AND IRREVOCABLY WAIVE ANY RIGHT (A) TO CONTEST THE VENUE OF SUCH COURTS; (B) TO ASSERT THAT SUCH COURTS IN ANY WAY CONSTITUTE AN INCONVENIENT FORUM; (C) TO REQUEST OR HAVE A JURY TRIAL; AND (D) TO ASSERT THAT SUCH PARTY IS ENTITLED TO ANY IMMUNITY FROM LEGAL PROCESS, JUDGMENT OR EXECUTION OF JUDGMENT. THE PREVAILING PARTY IN ANY CLAIM, ACTION, SUIT OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT SHALL BE ENTITLED TO COLLECT ITS COSTS AND EXPENSES IN CONNECTION WITH SUCH CLAIM, ACTION, SUIT OR PROCEEDING (INCLUDING, WITHOUT LIMITATION, THE REASONABLE FEES AND EXPENSES OF ATTORNEYS AND OTHER EXPERTS AND COURT COSTS).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8. <u>Assignment, etc</u>. This Agreement shall inure to the benefit of, and shall be binding upon, the parties and their successors and permitted assigns. Except as otherwise provided herein, this Agreement may not be assigned by any party hereto nor may any party's duties or obligations hereunder be delegated, without the prior written consent of the other party, except that the Company shall be entitled to assign this Agreement in connection with (i) a merger or consolidation or (ii) the sale of all or substantially all of its business or of all or substantially all of its assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9. <u>Complete Agreement</u>. This Agreement constitutes the entire understanding and agreement of the parties with respect to the subject matter hereof, and supersedes any and all other prior agreements and understandings, if any, whether oral or written, with respect to such subject matter, all of which are merged herein. There are no representations, warranties, agreements or promises between the parties with respect to such subject matter, except those which are expressly set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10. <u>Counterparts</u>. This Agreement may be executed in two (2) or more counterparts, each of which when executed shall be deemed to be an original, and all of which, when taken together, shall constitute one and the same document and shall become effective when counterparts have been signed by each party and delivered to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission, such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) the same with the same force and effect as if such facsimile signature page were an original thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11. <u>Severability</u>. In the case where any one or more of the provisions of this Agreement shall be invalid or unenforceable in any respect, the validity and enforceability of the remaining terms and provisions of this Agreement shall not in any way be affected or impaired thereby and the parties will attempt to agree upon a valid and enforceable provision which shall be a reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute provision in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12. <u>Ancillary Documents</u>. The parties agree to execute any additional documents and perform any acts which are or may become necessary to effectuate the intent and purposes of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.13. <u>Headings</u>. The section headings contained in this Agreement are inserted herein for the purpose of convenience and reference only and are not to be given any substantive effect and shall not be used or have any affect on the construction or interpretation of any term or provision hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.14. <u>Definitions</u>. In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following terms shall have the meanings set for the below in this <u>Section 8.13</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "<u>Action</u>" means any action, suit, inquiry, notice of violation, proceeding (including any partial proceeding such as a deposition) or investigation pending or threatened in writing against or affecting any Person or any of its properties before or by any court, arbitrator, governmental or administrative agency, regulatory authority (federal, state, county, local or foreign), stock market, stock exchange or trading facility.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "<u>Affiliate</u>" means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control with a Person, as such terms are used in and construed under Rule 144.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "<u>Governmental Authority</u>" means any nation or principality or other autonomous government entity, including without limitation the United States and the PRC, and any state, province, county, shire, city, town, municipality or other political subdivision thereof or therein, and any legislature, executive, agency, division, commission, bureau, subdivision, audit group, procuring office or any regulatory authority, court, panel, or adjudicatory body of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "<u>Law</u>" means any law, rule, regulation (including without limitation any national, federal or state securities law, rule or regulation), order, judgment, injunction, ruling, judgment, finding, proclamation, decree, restriction or other statement of or by any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "<u>Lien</u>" means any lien, charge, encumbrance, security interest, right of first refusal or other restrictions of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "<u>Material Adverse Effect</u>" means any of (i) a material and adverse effect on the legality, validity or enforceability of this Agreement, (ii) a material and adverse effect on the results of operations, assets, prospects, business or condition (financial or otherwise) of the Company and its Subsidiaries, taken as a whole, or (iii) an adverse impairment to the Company's ability to perform on a timely basis its obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "<u>Delaware Courts</u>" means the state and federal courts sitting in the City of Reno, Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "<u>Options</u>" means any options, warrants or other rights to subscribe for, purchase, convert into, exchange for or otherwise acquire shares of Common Stock or other Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "<u>Person</u>" means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

[The remainder of this page is intentionally left blank.]

IN WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above

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| | |
|:---|:---|
| KEY METALS CORP. | KEY METALS CORP. |
| By: |  |
|  | Cesar Lopez, CEO & President |

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[Remainder of page intentionally left blank;

signature pages for investors follow.]

IN WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above.

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| |
|:---|
| SIGNATURE OF INVESTOR(S) |
| _______________________________________________ |
| _______________________________________________ |
| Printed Name(s): _________________________________ |

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Number of Purchased Shares: ____________________________

Amount of Investment: _________________________________________________

Investor's U.S. Federal Tax I.D. #: _________________________________________

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| |
|:---|
| Email of Investor: |
| Address of Investor: |

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The above Investor's subscription for the Purchased

Shares is hereby accepted and agreed to by the Company:

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| | |
|:---|:---|
| KEY METALS CORP. | KEY METALS CORP. |
| By: |  |
|  | Cesar Lopez, CEO & President |

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<u>EXHIBIT A</u>

KEY METALS CORP.

DEFINITION OF U.S. ACCREDITED INVESTOR

In accordance with Section 2.5 of the Securities Purchase Agreement to which this Exhibit A is attached, the Investor hereby indicates, by check mark in the applicable space below, each category in which the Investor qualifies as an "Accredited Investor."

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| | |
|:---|:---|
| ☐ (1) | A bank as defined in Section 3(a)(2) of the Securities Act, or any savings and loan association or other institution as defined in Section 3(a)(5)(A) of the Securities Act whether acting in its individual or fiduciary capacity; |

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☐ (2) A broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934;

☐ (3) An insurance company as defined in Section 2(13) of the Securities Act;

☐ (4) An investment company registered under the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of that Act;

☐ (5) A Small Business Investment Company licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958;

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| | |
|:---|:---|
| ☐ (6) | A plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, if such plan has total assets in excess of $5,000,000; |

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| | |
|:---|:---|
| ☐ (7) | An employee benefit plan within the meaning of the Employee Retirement Income Security Act of 1974, if the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such act, which is either a bank, savings and loan association, insurance company, or registered investment adviser, or if the employee benefit plan has total assets in excess of $5,000,000 or, if a self-directed plan, with investment decisions made solely by persons that are accredited Investor; |

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☐ (8) A private business development company as defined in Section 202(a)(22) of the Investment Advisers Act of 1940;

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| | |
|:---|:---|
| ☐ (9) | An organization described in Section 501(c)(3) of the Internal Revenue Code, a corporation, Massachusetts or similar business trust, or partnership, not formed for the specific purpose of acquiring the Shares, with total assets in excess of $5,000,000; |

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| | |
|:---|:---|
| ☐ (10) | A trust, with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring the Shares, whose purchase is directed by a sophisticated person who has such knowledge and experience in financial and business matters that such person is capable of evaluating the merits and risks of investing in the Company; |

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| | |
|:---|:---|
| ☐ (11) | A natural person whose individual net worth, or joint net worth with that person's spouse, at the time of his or her purchase exceeds $1,000,000 (excluding in such calculation the value of your primary residence and the related amount of indebtedness secured by your primary residence up to its fair market value and including in such calculation, if applicable, the related amount of indebtedness secured by your primary residence that exceeds its fair market value and the amount of any increase on the related indebtedness secured by your primary residence incurred within 60 days prior to your purchase of the Company's securities); |

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| | |
|:---|:---|
| ☐ (12) | A natural person who had an individual income in excess of $200,000 in each of the two most recent years, or joint income with that person's spouse in excess of $300,000, in each of those years, and has a reasonable expectation of reaching the same income level in the current year; |

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☐ (13) An executive officer or director of the Company;

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| | |
|:---|:---|
| ☐ (14) | An entity in which all of the equity owners qualify under any of the above subparagraphs. If the undersigned belongs to this investor category only, list the equity owners of the undersigned, and the investor category which each such equity owner satisfies. |

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| |
|:---|
| Investor(s) Signature |
| Date: |
| Investor(s) Signature |
| Date: |

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<u>EXHIBIT B</u> 

KEY METALS CORP.

DESCRIPTION OF MINERAL PROJECTS FOR

EXPLORATION & DEVELOPMENT

(*Please refer to the PowerPoint presentation immediately following this page*

*or as sent by separate attachment*.)

## Exhibit 10.30

**Exhibit 10.30**

**<u>DISCLOSURE ACKNOWLEDGMENT</u>**

The undersigned (the "**Investor**"), intending to make an investment in Key Metals Corp. the "**Company**"), understands and acknowledges the following.

1. The
 Investor meets the definition of "accredited investor" set forth in Rule 501
 of Regulation D promulgated under the Securities Act of 1933.

2. The
 Investor can withstand the loss of the entire investment that the Investor makes in the Company.

3. The
 Investor is a highly sophisticated person that has knowledge of private equity and venture
 capital investing, and is capable of independently evaluating the risks involved with an
 investment in the securities being offered by the company through Paulson Investment Company,
 LLC ()"**PIC** ").

4. The
 Investor hereby represents that he/she/it is exercising his/her/its independent judgment
 in evaluating the investment and is not relying on any representation or recommendation not
 contained within the offering documents.

5. It
 is possible that the Company may need additional capital after the current round of financing.

6. The
 Investor understands that in the event that the Company does conduct a subsequent round of
 financing, that a failure to participate in such financing may result in adverse consequences
 to the Investor, including but not limited to dilution of investment.

7. An
 investment in the securities being offered by the Company is a highly speculative investment
 that carries significant risk, which risk could result in the loss of the Investor's
 entire investment, including any subsequent investments Investor may make as a result of
 pro rata rights offerings, or other financings.

I, _________________________________, have reviewed foregoing, as well as the other documents incorporated by reference in the Subscription Agreement (collectively the "**Transaction Documents**"), and in spite of the risks set forth in this document, as well as those set forth in the Transaction Documents, I would like to make the investment for which I have subscribed in the attached subscription document.

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| | |
|:---|:---|
| **Signature:_________________________________** | **Signature:______________________________** |
| **Print Name:________________________________** | **Print Name:_____________________________** |
| **On Behalf Of:______________________________** | **On Behalf Of:__________________________**__ |
| **Date Signed: _______________________________** | **Date Signed: ____________________________** |

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SECURITIES PURCHASE AGREEMENT

This SECURITIES PURCHASE AGREEMENT (this "Agreement") is made on , by and among Key Metals Corp., a Delaware corporation (the "Company"), on the one hand, and the investor(s) named on the applicable signature pages hereto (each, an "Investor") on the other hand. Certain capitalized terms used but not otherwise defined herein shall have the meanings given to such terms in Section 8.31 hereof.

WHEREAS, the Company and the Investor are executing and delivering this Agreement in reliance upon the exemption from the registration requirements of the Securities Act of 1933 (the "Securities Act") provided by Section 4(a)(2) thereof and Rule 506(c) promulgated thereunder.

WHEREAS, the Investor wishes to purchase and acquire from the Company, and the Company wishes to issue and sell to the Investor, securities of the Company as more fully described in this Agreement.

THEREFORE, for good and valuable consideration, the receipt and legal adequacy of which are hereby acknowledged by each of the parties hereto, the parties hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Purchase
 and Sale of Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <u>Purchase and Sale</u>. Subject to and in reliance upon the representations, warranties, terms and conditions of this Agreement, the Company shall issue and sell, severally and not jointly, to each of the Investors, and each of the Investors, severally and not jointly, hereby subscribes to and shall purchase from the Company, at one or more Closings described in Section 1.3 hereof, the number of shares (such shares being purchased by an Investor, the "Securities") of the Company's Common Stock (as defined in Section 3.1(a) hereof) as set forth on the Investor's signature page which is attached hereto and executed by the Investor and accepted by the Company as evidenced by its countersignature on such signature page, for a purchase price of Twenty-Five Cents ($0.25) per share (the "Purchase Price"). Each Investor will also receive a warrant, substantially in the form attached hereto as Exhibit A (the "Warrants" and together with the Securities and the shares of Common Stock issuable upon exercise of the Warrants, collectively, the "Securities"), to purchase a number of shares of Common Stock equal to 50% of the number of Securities. The Warrants will be exercisable for Common Stock for a 5-year period commencing at the Closing (as defined below) at an exercise price of $0.45 per share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <u>The Offering</u>. The offer and sale of the Securities hereunder (the "Offering") is being made pursuant to Rule 506(c) of Regulation D promulgated under the Securities Act. The Company intends to sell up to 24,000,000 shares of Common Stock in the Offering but may increase this amount at its sole discretion without notice or consent of Investors. The Company may accept, and consummate a Closing with respect to, subscriptions from Investor with respect to any number of Securities. The Company may hold multiple Closings, for any number of Securities as determined in the Company's sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 <u>The Closings</u>. Each closing of the sale and purchase of the Securities (each, a "Closing") hereunder shall take place at the offices of the Company on such date (the "Closing Date") as the Company and the Investor participating in such Closing shall mutually agree. At each Closing, each Investor, on the one hand, and the Company, on the other hand, shall deliver to each other the items specified in this Agreement, including those items specified in Section 6.3 and Section 7.5 hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Representations and Warranties of Each Investor</u>. To induce the Company to enter into this Agreement, each Investor, severally as to such Investor only and not jointly with any other Investor, hereby represents, warrants and covenants to the Company as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <u>Purchase for Investment</u>. The Investor is acquiring the Securities for investment purposes only and not for the account of any other person or entity. The Investor is not acquiring the Securities with a view to resell, distribute, subdivide, or otherwise transfer the Securities to any other person or entity in violation of the Securities Act or the securities laws of any U.S. state.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <u>No Registration of Securities</u>. The Investor understands that the Securities have not been registered under the Securities Act, or the securities laws of any U.S. state or non-U.S. jurisdiction; (ii) the Securities are being offered as a private placement pursuant to the exemption from registration provided by Section 4(a)(2) of the Securities Act and/or Regulation D promulgated thereunder; (iii) the Securities may not be resold or transferred except as permitted by the Securities Act and any applicable U.S. state or non-U.S. securities laws, pursuant to registration or exemption therefrom; and (iv) there will be no public market for the Securities and there is no obligation on the part of the Company to register the Securities under the Securities Act or the laws of any U.S. state or non-U.S. jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <u>Additional Transfer Restrictions</u>. The Investor understands and agrees that, in addition to any restrictions that may be set forth in this Agreement, the following legend will be placed on any certificate(s) or other document(s) evidencing the Securities and the Investor must comply with the terms and conditions set forth in such legend prior to any resales, pledges, hypothecations or other transfers of the Securities:

"THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES LAWS OF THE UNITED STATES OR ANY OTHER JURISDICTION AND MAY NOT BE TRANSFERRED EXCEPT (A) PURSUANT TO AN EFFECTIVE REGISTRATION UNDER SUCH LAWS OR COMPLIANCE WITH OTHER APPLICABLE REQUIREMENTS THEREOF, OR (B) PURSUANT TO A VALID EXEMPTION FROM SUCH REGISTRATION OR OTHER REQUIREMENTS AND THE RECEIPT BY THE COMPANY OF AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY STATING THAT THE PROPOSED TRANSFER OF THE COMPANY'S

SECURITIES IS EXEMPT FROM THE REGISTRATION PROVISIONS OF ALL APPLICABLE LAWS."

Stop transfer instructions may be placed on any certificates or other documents evidencing the Securities to restrict the resale, pledge, hypothecation or other transfer thereof in accordance with the provisions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <u>Authority or Capacity</u>. If the Investor is an individual, the Investor has the legal capacity and authority to execute, deliver and perform the Investor's obligations under this Agreement. If the Investor is a corporation, partnership, limited liability company, trust or other entity; (i) it has the requisite power and authority to execute, deliver and perform this Agreement; (ii) the person executing this Agreement on behalf of the Investor has the full power and authority to execute, deliver and perform this Agreement on behalf of the Investor; (iii) it is duly formed and organized, validly existing, and (if applicable) in good standing under the laws of its jurisdiction of incorporation or formation; and (iv) the execution, delivery and performance of this Agreement will not (A) conflict with, or result in any violation of or default under, any provision of any charter, by-laws, trust agreement, partnership agreement or other governing instrument applicable to the Investor, any agreement or other instrument to which the Investor or its properties is a party, or any judgment, decree, statute, order, rule or regulation, or (B) require any notice to, or filing with, or authorization, consent or approval of, any public body or authority applicable to the Investor or the Investor's business or properties. This Agreement is the valid and binding obligation of the Investor, enforceable against the Investor in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 <u>Accredited Investor</u>. The Investor is aware of what constitutes an "accredited investor" as that term is defined under Regulation D promulgated under the Securities Act and attached as Exhibit B hereto, and under the laws, if any, of each state governing the Investor, and the Investor is an accredited investor for purposes of Regulation D pursuant to the applicable provision checked on Exhibit B by the Investor, and the Investor is an accredited investor or equivalent under the applicable laws, if any, of the state governing the Investor. The Investor is able to bear the economic risks of this investment in the Securities, is able to hold the Securities for an indefinite period of time and has a sufficient net worth to sustain a loss of its entire investment in the Securities in the event such loss should occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 <u>Knowledge and Sophistication</u>. The Investor has such knowledge, sophistication and experience in financial and business matters as to be capable of evaluating the merits and risks of an investment in the Company, and the Securities, and the Investor is able to bear the economic risk of investing in the Securities. In connection with the purchase of the Securities, the Investor meets all suitability standards imposed on them by applicable law, including federal and state securities laws and as set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 <u>Independent Counsel</u>. The Investor acknowledges that he, she or it has been advised to consult with his, her or its own attorney regarding legal matters concerning the Company, and the investment in the Securities, and has been advised to consult with the Investor's tax advisor regarding the tax consequences of acquiring the Securities. The Investor confirms that the Securities were not offered to the Investor by any means of general solicitation or general advertising. The Investor: (i) has obtained, in the judgment of the Investor, sufficient information to evaluate the merits and risks of an investment in the Company; and (ii) has sufficient knowledge and experience in financial and business matters to evaluate the merits and risks associated with such investment and to make an informed investment decision with respect thereto. The Investor has not relied and will not rely upon any offering material or literature other than the Agreement, or upon any information given to the Investor by persons other than the Company and its officers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 <u>Independent Investigation</u>. The Investor has relied on its own examination of the Company and the terms of the Agreement, including the merits and risks involved, and has reviewed the merits and risks of the purchase of Securities with tax, legal and investment counsel to the extent deemed advisable by the Investor. The Investor understands that neither the United States Securities and Exchange Commission (the "Commission") nor any other federal, state or non-U.S. agency has recommended, approved or endorsed the purchase of the Securities as an investment or passed on the accuracy or adequacy of the information set forth in this Agreement or any other documents used in connection with the offering contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 <u>Risk of Loss of Investment; No Liquidity; Risk Factors relating to the Investment in the Securities</u>. The Investor understands that an investment in the Securities is highly speculative and involves a high degree of risk of loss of the Investor's entire investment in the Securities. Due to the nature of the Company's business, contracts and assets, the privately-held nature of the Company, the lack of any recent operating history, the lack of a public market in the Securities, and the restrictions on any sale or transfer of the Securities, the Investor cannot expect to be able to liquidate any investment in the Securities in the case of an emergency, or perhaps at all. The Investor has adequate means to provide for his, her or its current cash needs and contingencies and has the financial capacity to hold the Securities purchased hereby for an indefinite period of time. In addition, the Investor acknowledges that there are other important risk factors to consider in his, her or its determination to invest in the Securities. These risk factors include, without limitation, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company's business plans will require substantial additional amounts of financing beyond the amount being invested in the Company by the Investor, and there is no certainty that the Company will be able to obtain such additional financing on favorable or acceptable terms and conditions or at all, and any such additional financing may result in further and significant dilution to the percentage of ownership held by the Investor, and may dilute the value of the Investor's Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The offering price of the Securities and other terms of this offering were determined arbitrarily by the Company and do not necessarily bear any direct relationship to the Company's assets, book value or any other generally accepted criteria of valuation or the assets or book value of The Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Company has no recent operating history and is dependent upon the knowledge, experience and services of its executive officers to operate its business, and the loss of any of the Company's executive officers may have a material adverse effect on the Company's business, operations or financial condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The value, if any, of the Company's rights and prospects in certain mining claims, leases and or other properties has not been established by any engineer's report, assay, or other investigation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The Investor has reviewed, understands, and has accepted these risks as well as those set forth in Section V of the Private Placement Offering Summary, in connection with the investment in the Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 <u>Placement Agent</u>. The Investor is aware that Paulson Investment Company, LLC (the "Placement Agent"), for the services it is providing in this Offering will receive, with respect to subscriptions made in this Offering through the Placement Agent, (1) cash compensation equal to 13% of the gross proceeds received by the Company from such subscribers; and (2) warrants to purchase a number of shares equal to 15% of the aggregate number of Securities issued to Investors in the Offering. The warrants will be exercisable for a period of ten (10) years from the date of issuance at an exercise price of $0.25. Employees of Placement Agent, including those who may make recommendations to purchase the Securities. The Company has also engaged Placement Agent to provide consulting services for which the Company will issue a warrant to purchase 3,500,000 shares of the Company's Common Stock. The warrants will have the same terms as the warrants issued to the Placement Agent for its services as a placement agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 The Investor is not relying on the Placement Agent, the Company or either of their respective employees or agents with respect to the legal, tax, economic and related considerations of an investment in the Securities, and the Purchaser has relied on the advice of, or has consulted with, only its own Advisers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 <u>No Prohibited Transaction</u>. If the Investor is (i) an "employee benefit plan" within the meaning of Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended ("ERISA") or (ii) an individual retirement account as described in Section 408(a) of the Internal Revenue Code ("IRC"), governmental benefit plan or other "benefit plan investor" within the meaning of U.S. Department of Labor Regulation 2510.3-101(f)(2), or if any part of the funds used by the Investor to acquire Securities constitutes assets of an "employee benefit plan" within the meaning of Section 3(3) of ERISA or of an IRC, or assets allocated to any account in which any such employee benefit plan or IRA (or its related trust) has any interest, the acquisition of Securities has been duly authorized in accordance with the governing documents of the relevant plan or account and such acquisition and the subsequent holding of the Securities do not and will not constitute a "prohibited transaction" within the meaning of Section 406 of ERISA or Section 4975 of the IRC that is not subject to an exemption therefrom contained in ERISA, or in the rules and regulations adopted by the U.S. Department of Labor thereunder, or in an individual or class exemption therefrom.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.13 <u>Federal Law Provisions</u>. Neither the Investor, nor any person having a direct or indirect beneficial interest in the Securities to be acquired under this Agreement, appears on the Specially Designated Nationals and Blocked Person List of the Office of Foreign Assets Control in the United States Department of the Treasury. The Investor does not know or have any reason to suspect that (i) monies used to fund the Investor's investment in Securities have been or will be derived from or related to any illegal activities; or (ii) the proceeds from the Investor's investment in Securities will be used to finance any illegal activities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.14 <u>No Unlawful Activity</u>. To the best knowledge of the Investor, the current structure of this transaction and all transactions and activities contemplated hereunder is not a scheme to unlawfully avoid the registration requirements of the U.S. Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Representations and Warranties of the Company</u>. To induce the Investor to enter into this Agreement, the Company hereby represents warrants and covenants to each Investor as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <u>Organization, Good Standing and Power</u>. The Company is a corporation duly incorporated, validly existing and in good standing under the laws of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <u>Authorization; Enforcement</u>. The Company has the requisite corporate power and authority to enter into and perform this Agreement and to issue and sell the Securities in accordance with the terms hereof. The execution, delivery and performance of this Agreement by the Company and the consummation by it of the transactions contemplated hereby have been duly and validly authorized by all necessary corporate action, and no further consent or authorization of the Company or its Board of Directors or stockholders is required. This Agreement constitutes a valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, liquidation, conservatorship, receivership or similar laws relating to, or affecting generally the enforcement of, creditor's rights and remedies or by other equitable principles of general application.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 Capitalization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company has 220,000,000 shares of authorized capital stock, consisting of (i) 200,000,000 shares of common stock, par value $0.001 per share (the "Common Stock"), and (ii) 20,000,000 shares of preferred stock, par value $0.001 per share (the "Preferred Stock"). The Company at the time of the beginning of this offering shall have 35,016,000 shares issued and outstanding. No shares of Preferred Stock have been issued and no shares of Preferred Stock have been designated as a series thereof. There are 5,850,000 Options outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No stockholders of the Company are entitled to preemptive rights with respect to any of the Securities to be subscribed for and purchased in the Offering. The Company has furnished or made available to the Investor true and correct copies of the Company's Certificate of Incorporation as filed with the Secretary of State of the State of Delaware (the "Certificate of Incorporation") as in effect on the date and the Company's By-laws as in effect on the date hereof (the "By-laws").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 <u>Issuance of Securities</u>. The Securities to be issued in the Offering have been duly authorized by all necessary corporate action and, when paid for or issued in accordance with the terms hereof, shall be validly issued, fully paid and nonassessable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 <u>No Conflicts</u>. The execution, delivery and performance of this Agreement by the Company and the consummation by the Company of the transactions contemplated herein and the issuance of the Securities as contemplated hereby do not and will not (i) violate or conflict with any provision of the Company's Certificate of Incorporation or By-laws, (ii) conflict with, or constitute a default (or an event which with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, mortgage, deed of trust, indenture, note, bond, license, lease agreement, instrument or obligation to which the Company is a party or by which it or its properties or assets are bound, (iii) create or impose a lien, mortgage, security interest, charge or encumbrance of any nature on any property of the Company under any agreement or any commitment to which the Company is a party or by which the Company is bound or by which any of its respective properties or assets are bound, or (iv) result in a violation of any federal, state, provincial, local or foreign statute, rule, regulation, order, judgment or decree (including federal, state and province securities laws and regulations) applicable to the Company or by which any property or asset of the Company is bound or affected. The Company is not required under federal, state, or local law, rule or regulation to obtain any consent, authorization or order of, or make any filing or registration with, any court or governmental agency in order for it to execute, deliver or perform any of its obligations under this Agreement, or issue and sell the Securities in accordance with the terms hereof; provided that, for purposes of the representation made in this sentence, the Company is assuming and relying upon the accuracy of the relevant representations, covenants and agreements of the Investor herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 <u>Non-Reporting Company</u>. The Company is not a reporting company subject to the U.S. securities laws, and the Company's securities are not registered with the Commission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7 <u>Compliance with Law</u>. The offer and sale of all capital stock, convertible securities, rights, warrants, or options of the Company issued and outstanding as of the date hereof complied in all material respects with applicable United States federal and state securities laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8 <u>Certain Payments</u>. Other than the fees payable to the Placement Agent as described herein, the Investor has taken no action that would give rise to any claim by any person for brokerage commissions, finders' fees or the like relating to this Subscription Agreement or the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9 <u>Mineral Property Outcomes</u>. The Investor has received a PowerPoint style Investor presentation setting forth the mining rights owned or controlled by the Company. The information in this Investor Presentation does not purport to be a comprehensive description of all the opportunities the Company may consider or pursue, nor is such information intended to include all of the information about the properties described therein which would be included in an engineer's report of a registration statement filed under the Securities Act. Such information comes from sources believed by the Company to be reliable, but the Company has not independently verified such information. Information of the type included in the Investor Presentation is inherently subject to significant uncertainties and contingencies, many of which are beyond the Company's control. No specific results can be assured on inferred with respect to any mineral or mining opportunities described thereon.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10 <u>Actions Pending</u>. There is no action, suit, claim, investigation, arbitration, alternate dispute resolution proceeding or any other proceeding pending or, to the knowledge of the Company, threatened against the Company which questions the validity of this Agreement, or the transactions contemplated hereby or any action taken or to be taken pursuant hereto. There is no action, suit, claim, investigation, arbitration, alternate dispute resolution proceeding or any other proceeding pending or, to the knowledge of the Company, threatened, against or involving the Company or any of its respective properties or assets. There are no outstanding orders, judgments, injunctions, awards or decrees of any court, arbitrator or governmental or regulatory body against the Company or any off icers or directors of the Company in their capacities as such.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11 <u>Securities Act</u>. Based in part upon the representations of the Investor contained herein, the Company has complied and will comply with all applicable U.S. federal and state securities laws in connection with the offer, issuance and sale of the Securities hereunder. Neither the Company nor anyone acting on its behalf, directly or indirectly, has or will sell, offer to sell or solicit offers to buy any of the Securities or similar securities to, or solicit offers with respect thereto from, or enter into any preliminary conversations or negotiations relating thereto with, any person, or has taken or will take any action so as to bring the issuance and sale of any of the Securities under the registration provisions of the Securities Act and applicable state securities laws, and neither the Company, nor any person acting on its behalf, has engaged in any form of general solicitation or general advertising (within the meaning of Regulation D under the Securities Act) in connection with the offer or sale of any of the Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12 <u>Governmental Approvals</u>. Except for the filing of any notice prior or subsequent to the Closing Date that may be required under applicable state and/or federal securities laws (which if required, shall be filed on a timely basis), including the filing of a Form D, no authorization, consent, approval, license, exemption of, filing or registration with any court or governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign, is or will be necessary for, or in connection with, the execution or delivery of the Securities, or for the performance by the Company of its obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Reliance on Representations and Warranties; Indemnification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <u>Company Reliance on Investor Representations and Warranties</u>. Each Investor understands the meaning of the representations and warranties contained in this Agreement and understands and acknowledges that the Company and the Placement Agent are relying upon the representations and warranties contained in this Agreement in determining whether the Company is eligible for exemption from the registration requirements contained in the Securities Act and in determining whether to enter into the transaction contemplated hereby. The representations and warranties set forth in this Agreement shall survive for a period of three years following the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 <u>Indemnification by Investor</u>. Each Investor hereby agrees to indemnify and hold harmless the Company, the Placement Agent, and each of their officers, directors, agents and employees from and against any and all losses, damages, expenses, liabilities or reasonable attorneys' fees (including attorneys' fees and expenses incurred in a securities action in which no judgment in favor of the Investor is rendered) due to or arising out of a breach of any representation or warranty of the Investor contained in this Agreement provided by the Investor in connection with the Investor's investment in the Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 <u>Indemnification by Company</u>. The Company shall indemnify, defend and hold the Investor harmless against any and all liabilities, loss, cost or damage, together with all reasonable costs and expenses related thereto (including reasonable legal and accounting fees and expenses), arising from, relating to, or connected with a statement, representation, warranty or covenant of the Company contained herein that is breached in a manner that results in a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Covenants</u>. The Company covenants with the Investor (which covenants are solely for the benefit of the Investor) as set forth in this Section 5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <u>Other Agreements</u>. The Company shall not enter into any agreement in which the terms of such agreement would restrict or impair the Company's right or ability to perform this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <u>Use of Proceeds</u>. The proceeds from the sale of the Securities, after payment to the Placement Agent of its fees, will be used by the Company for working capital and general corporate purposes of the Company including certain exploration costs and costs of securing exploration rights or rights to mining claims, leases or other interests and to make certain payments to the mineral property owner, to undertake required work on the mineral property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Conditions to the Obligations of each Investor</u>. The obligation of each Investor to proceed with the Closing is subject to the following conditions, any and all of which may be waived, in whole or in part, to the extent permitted by applicable law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 <u>Agreement and Covenants</u>. The Company shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by it on or prior to the closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 <u>No Order</u>. No Governmental Authority or other agency or commission or federal or state court of competent jurisdiction shall have enacted, issued, promulgated, enforced or entered any statute, rule, regulation, executive order, decree, injunction, or other order (whether temporary, preliminary or permanent) which is in effect and which materially restricts, prevents or prohibits consummation of the closing contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 <u>Deliveries</u>. The Company shall have delivered to the Investor (i) a certificate of recent date from an appropriate Governmental Authority of the State of Delaware attesting to the good standing of the Company in such state; and (ii) a copy of this Agreement duly executed by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 <u>Post-Closing Delivery of Confirmation of Shares</u>. The Company shall deliver to the Investor the certificates representing the Purchased Shares, and warrants that make up the Securities purchased by the Investor registered in the name of the Investor or its nominee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Conditions to the Obligations of the Company</u>. The obligation of the Company to proceed with the Closing is subject to the following conditions, any and all of which may be waived, in whole or in part, to the extent permitted by applicable law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <u>Representations and Warranties</u>. Each of the representations and warranties of each respective Investor contained in this Agreement shall be true and correct as of the Closing as though made on and as of the Closing, except those representations and warranties which address matters only as of a particular date shall remain true and correct as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <u>Agreement and Covenants</u>. Each respective Investor shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by the Investor on or prior to the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 <u>No Order</u>. No Governmental Authority or other agency or commission or federal or state court of competent jurisdiction shall have enacted, issued, promulgated, enforced or entered any statute, rule, regulation, executive order, decree, injunction, or other order (whether temporary, preliminary or permanent) which is applicable and which materially restricts, prevents or prohibits consummation of the Closing or any transaction contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 <u>Covenants, Agreements and Conditions</u>. All covenants, agreements and conditions contained in this Agreement to be performed by the Investor on or prior to the date of the applicable closing shall have been performed or complied with in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 <u>Payment of Purchase Price</u>. The Investor will immediately make a wire transfer payment to the escrow account for this Offering, pursuant to the instructions included herein in the full amount of the purchase price of the Securities being subscribed for hereby. Wire transfer instructions are set forth on the Subscription Instructions included on the last page hereof under the heading "To subscribe for Securities in the private offering of Key Metals Corp." Together with a wire transfer (or, subject to the Company's approval in its sole discretion in lieu of a wire transfer, a check) for the full purchase price, the Purchaser is delivering a completed and executed omnibus Signature Page to this Subscription Agreement, a completed and executed Purchaser Questionnaire and Certification, and such other documents as required by the Placement Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Miscellaneous.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 <u>Additional Information, Documents, Tax Forms, Certificates</u>. The Investor agrees that promptly (and in any event within ten calendar days) after receipt of a request from the Company, the Investor shall provide such additional information and deliver such additional documents as shall be reasonably necessary to comply with any federal, state, local or non-U.S. securities, tax or anti-money laundering laws, rules or regulations to which the Company is subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 <u>Binding Effect; Beneficiaries</u>. This Agreement shall be binding upon, inure to the benefit of and be enforceable by the parties hereto and their respective heirs, executors, administrators and other successors, and no other persons or entities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 <u>Notices</u>. All notices and other communications hereunder shall be in writing, and shall be delivered in person, or by first class certified mail return receipt requested (postage prepaid) or by facsimile transaction duly addressed to the parties at their respective addresses or facsimile numbers, as applicable, set forth as follows:

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| | |
|:---|:---|
| If to the Company: | Key Metals Corp. |
|  | 240 Crandon Blvd., Ste. 263 |
|  | Key Biscayne, Florida 33149 |
|  | Attention: Cesar Lopez |
|  | E-Mail: clopez@keymetalscorp.com |

---

If to the Investor: The address set forth below the Investor's signature on the signature page hereto

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 Any party may specify a different address (including E-Mail address) for such purpose by a notice of change of address (or E-Mail address) given to the other party in the manner specified by this Section 8.4. Any notice hereunder shall be effective: (i) on the day delivered in person; (ii) on the day received, if sent by mail (as aforesaid); (iii) on the day sent, if sent by E-Mail prior to 5:00 p.m. (Delaware time) on a business day, or if sent thereafter, on the next business day; or (iv) on the fourth (4th) business day following the date sent, if sent by certified mail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 <u>Remedies Cumulative; Invalidity</u>. All remedies, rights, undertakings, obligations and agreements contained in this Agreement shall be cumulative, and none of them shall be in limitation of any other remedy, right, undertaking, obligation or agreement available to any of the parties hereto, whether at law, in equity or otherwise. The invalidity, illegality or unenforceability of any term or provision contained in this Agreement (as determined by a court of competent jurisdiction) shall not affect the validity, legality or enforceability of any other term or provision hereof. It is the intent of the parties that this Agreement shall be enforced to the fullest extent permitted by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 <u>Amendment; Waiver</u>. This Agreement may be amended, and any provision of this agreement may be waived, by vote of the holders of at least two-thirds of the Securities sold in this offering, provided that no such amendment or waiver shall be valid without the written consent of the Company. No waiver by a party of any breach of any provision of this Agreement shall be deemed to be a waiver of any preceding or subsequent breach of the same or similar nature or of any other provision of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7 GOVERNING LAW; JURISDICTION. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED THEREIN, WITHOUT REGARD OR REFERENCE TO ITS CHOICE OF LAWS OR CONFLICTS OF LAWS PRINCIPLES. THIS AGREEMENT SHALL NOT BE CONSTRUED OR INTERPRETED AGAINST THE PARTY CAUSING THIS AGREEMENT TO BE DRAFTED. THE PARTIES HEREBY UNCONDITIONALLY AND IRREVOCABLY CONSENT TO THE EXCLUSIVE PERSONAL AND SUBJECT MATTER JURISDICTION OF THE SOUTHERN DISTRICT OF THE FEDERAL DISTRICT COURT OF DELAWARE AND OF THE COURTS OF THE STATE OF DELAWARE LOCATED IN DELAWARE COUNTY IN RESPECT OF ANY CLAIM, ACTION, SUIT OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT. IN CONNECTION WITH ANY SUCH CLAIM, ACTION, SUIT OR PROCEEDING, THE PARTIES UNCONDITIONALLY AND IRREVOCABLY WAIVE ANY RIGHT (A) TO CONTEST THE VENUE OF SUCH COURTS; (B) TO ASSERT THAT SUCH COURTS IN ANY WAY CONSTITUTE AN INCONVENIENT FORUM; (C) TO REQUEST OR HAVE A JURY TRIAL; AND (D) TO ASSERT THAT SUCH PARTY IS ENTITLED TO ANY IMMUNITY FROM LEGAL PROCESS, JUDGMENT OR EXECUTION OF JUDGMENT. THE PREVAILING PARTY IN ANY CLAIM, ACTION, SUIT OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT SHALL BE ENTITLED TO COLLECT ITS COSTS AND EXPENSES IN CONNECTION WITH SUCH CLAIM, ACTION, SUIT OR PROCEEDING (INCLUDING, WITHOUT LIMITATION, THE REASONABLE FEES AND EXPENSES OF ATTORNEYS AND OTHER EXPERTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8 <u>Assignment, etc</u>. This Agreement shall inure to the benefit of, and shall be binding upon, the parties and their successors and permitted assigns. Except as otherwise provided herein, this Agreement may not be assigned by any party hereto nor may any party's duties or obligations hereunder be delegated, without the prior written consent of the other party, except that the Company shall be entitled to assign this Agreement in connection with (i) a merger or consolidation or (ii) the sale of all or substantially all of its business or of all or substantially all of its assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9 <u>Complete Agreement</u>. This Agreement constitutes the entire understanding and agreement of the parties with respect to the subject matter hereof and supersedes any and all other prior agreements and understandings, if any, whether oral or written, with respect to such subject matter, all of which are merged herein. There are no representations, warranties, agreements or promises between the parties with respect to such subject matter, except those which are expressly set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10 <u>Counterparts</u>. This Agreement may be executed in two (2) or more counterparts, each of which when executed shall be deemed to be an original, and all of which, when taken together, shall constitute one and the same document and shall become effective when counterparts have been signed by each party and delivered to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission, such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) the same with the same force and effect as if such facsimile signature page were an original thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11 <u>Severability</u>. In the case where any one or more of the provisions of this Agreement shall be invalid or unenforceable in any respect, the validity and enforceability of the remaining terms and provisions of this Agreement shall not in any way be affected or impaired thereby and the parties will attempt to agree upon a valid and enforceable provision which shall be a reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute provision in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12 <u>Ancillary Documents</u>. The parties agree to execute any additional documents and perform any acts which are or may become necessary to effectuate the intent and purposes of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.13 <u>Headings</u>. The section headings contained in this Agreement are inserted herein for the purpose of convenience and reference only and are not to be given any substantive effect and shall not be used or have any effect on the construction or interpretation of any term or provision hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.14 <u>Definitions</u>. In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following terms shall have the meanings set for the below in this Section 8.14.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "Action" means any action, suit, inquiry, notice of violation, proceeding (including any partial proceeding such as a deposition) or investigation pending or threatened in writing against or affecting any Person or any of its properties before or by any court, arbitrator, governmental or administrative agency, regulatory authority (federal, state, county, local or foreign), stock market, stock exchange or trading facility.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "Affiliate" means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control with a Person, as such terms are used in and construed under Rule 144.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "Governmental Authority" means any nation or principality or other autonomous government entity, including without limitation the United States and the PRC, and any state, province, county, shire, city, town, municipality or other political subdivision thereof or therein, and any legislature, executive, agency, division, commission, bureau, subdivision, audit group, procuring office or any regulatory authority, court, panel, or adjudicatory body of any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "Law" means any law, rule, regulation (including without limitation any national, federal or state securities law, rule or regulation), order, judgment, injunction, ruling, judgment, finding, proclamation, decree, restriction or other statement of or by any Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "Lien" means any lien, charge, encumbrance, security interest, right of first refusal or other restrictions of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "Material Adverse Effect" means any of (i) a material and adverse effect on the legality, validity or enforceability of this Agreement, (ii) a material and adverse effect on the results of operations, assets, prospects, business or condition (financial or otherwise) of the Company and its Subsidiaries, taken as a whole, or (iii) an adverse impairment to the Company's ability to perform on a timely basis its obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "Delaware Courts" means the state and federal courts sitting in the City of Wilmington, Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "Options" means any options, warrants or other rights to subscribe for, purchase, convert into, exchange for or otherwise acquire shares of Common Stock or other Options.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "Person" means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

IN WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above

---

| |
|:---|
| KEY METALS CORP. |
| By: |
| Cesar Lopez, CEO & President |

---

*[Company Signature Page to Securities Purchase Agreement for Key Metals Corp.]*

IN WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above.

SIGNATURE OF INVESTOR(S)

________________________________________

________________________________________

Printed Name(s): __________________________

_________________________________________

Number of Securities: _________________________

Amount of Investment: $_________________________

Investor's U.S. Federal Tax I.D. #___________________

Email of Investor: ________________________________

Address of Investor: ______________________________

_________________________________________________

The above Investor's subscription for the Securities is hereby accepted and agreed to by the Company:

KEY METALS CORP.

By:_________________________________

Cesar Lopez, CEO & President

*[Investor and Company Signature Page to Securities Purchase Agreement for Key Metals Corp*.]

**PAULSON INVESTMENT COMPANY, LLC PURCHASER QUESTIONNAIRE AND CERTIFICATION**

**(for Accredited Investors)**

The purpose of this Questionnaire is to obtain information from each prospective investor in order to determine whether or not the suitability standards have been met by the prospective investor. Please answer all questions in detail. By signing this Questionnaire you agree that it may be shown to such authorized persons as Paulson Investment Company, LLC (the "Placement Agent") and Key Metals Corp. (including any successors thereto) (the "Company") may deem appropriate to establish that the offer and/or sale of this investment in the Company will not result in any violation of any laws or regulations of any jurisdiction and to establish that the purchasers can bear the economic risk of the investment. Attach additional sheets if necessary to fully answer any question. You make the following representations with the intent that they may be relied upon by the Company and the Placement Agent and other persons designated by the Company and the Placement Agent. Your responses to this Questionnaire will be kept strictly confidential except to the extent that disclosure is required by law or regulation or otherwise demanded by proper legal process.

**Name of Investment:**

**Amount of Investment:**

**PART I PURCHASER INFORMATION**

**Purchaser General Information: victor Timmons**

Name of Individual or Entity:<u> </u>_________________________________________________________________________

Federal Tax ID or Social Security Number: _______________________________________________________________<u> </u>

Marital Status (Natural Persons): Single ☐ Married ☐ Divorced ☐ Widowed ☐ N/A ☐

Date of Birth (Natural Person) or Date of Formation (Entity): _________________________________________________

Citizen of (Natural Person) or State of Organization (Entity): _________________________________________________

Principal Address: _________________________________________________________________________________

(STREET)

_______________________________________________________________________________________________

(CITY) (STATE) (ZIP CODE)

Mailing Address: ______________________________________________________________________

(If different from Principal Address) (STREET)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(CITY) (STATE) (ZIP CODE)

Email Address: ________________________________ Telephone Number: ______________

PQ-1 Please initial here_____

**Purchaser Employment Information:**

I am currently (**Please check one**): Employed ☐ Unemployed ☐ Retired ☐ Other ☐

Employer Name: _________________________________ Position _________________________________

Employer Address: ________________________________________________________________________________

Are you (or is any member of your household) a member of, employed by a member of or employed directly by a stock exchange or FINRA? (**Please check one**) Yes ☐ No ☐

Are y ou (or is any member of your household) licensed by FINRA or as a Registered Investment Adviort and using such license or registration in a professional sales, trading or customer service capacity? (**Please check one**) Yes ☐ No ☐

Comments: If you answered any of the questions above "yes" or "other," please provide details below: _______________________________________________________________________________________________

_______________________________________________________________________________________________

_______________________________________________________________________________________________

**PART II TYPE OF OWNERSHIP**

**(Types of ownership with an asterisk require Co-Purchaser signature/information. Please also complete Part V below.)**

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| | | | |
|:---|:---|:---|:---|
| Individual | ☐ | Keogh Plan | ☐ |
| Tenants by the Entireties (TBE)\* | ☐ | Trust | ☐ |
| Joint Tenants with Rights of Survivorship (JTWROS)\* | ☐ | Partnership | ☐ |
| Community Property | ☐ | Limited Liability Company | ☐ |
| Tenants in Common (TIC)\* | ☐ | Corporation | ☐ |
| Uniform Gift to Minors Act | ☐ | Pension Plan | ☐ |
| State:<u> </u>_________________________________ | ☐ | Individual Retirement Account | ☐ |
| Custodian's Name: _______________________ |  |  |  |
| Minor's Name: __________________________ |  |  |  |

---

PQ-2 Please initial here_____

**PART III INVESTOR STATUS**

This private placement is being offered solely to accredited investors, as that term is defined in Rule 501(a) of Regulation D promulgated under the Securities Act of 1933, as amended.

A. For Individuals

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 subscriber's  ***gross income*** as evidenced by federal income tax returns
 for the applicable years:

---

| | | |
|:---|:---|:---|
|  | Individual | With Spouse |
| (a) in 2020 was in excess of | $| $|
| (b) in 2021 was in excess of | $| $|
| (c) in 2022 was in excess of | $| $|

---

Note: If this Questionnaire is being answered in 2022, the above dates in (a), (b) and (c) reflect information for 2020, 2021 and 2022, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The subscriber's *net worth*, or joint net worth with the subscriber's spouse, is in excess of $<u> </u>_____________________ (<u>excluding</u> the value of the subscriber's primary residence); [**Please provide with reasonable specificity, *i.e.*, not $2MM+]**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The current value of my ***liquid assets*** (cash, marketable securities, cash surrender value of life insurance and other items easily convertible into cash) is: $____________________.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The current value of my ***liquid assets*** is sufficient to provide for my current needs and possible personal contingencies:

(**Please check one**) Yes ☐ No ☐

B. For Entities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each beneficial owner of the entity has a net worth in excess of **$1,000,000 (excluding the value of his or her primary residence)**.

(**Please check one**) Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The entity is a revocable trust, the settlor of which meets the definition of an accredited investor and a qualified client.

(**Please check one**) Yes ☐ No ☐

**In the event you checked "No" for B(ii), the Settlor must complete this questionnaire in his or her individual capacity.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The entity has in excess of $5,000,000 and was not formed for the sole purpose of making an investment in this offering.

(**Please check one**) Yes ☐ No ☐

PQ-3 Please initial here_____

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The entity owns or invests not less than $25,000,000 in investments, on a discretionary basis.

(**Please check one**) Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Please indicate which of the following accurately describes the nature of the business conducted by the entity subscriber.

(**Please check the applicable box**)

☐ a bank as defined in Section 3(a)(2) or a savings and loan association or other institution defined in Section 3(a)(5)(A) of the Securities Act of 1933 acting in either an individual or fiduciary capacity;

☐ a broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934; an insurance company as defined in Section 2(13) of the Securities Act of 1933;

☐ an investment company registered under the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of that Act;

☐ a Small Business Investment Company licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958;

☐ a plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, with total assets in excess of $5,000,000;

☐ an Employee Benefit Plan within the meaning of the Employee Retirement Income Security Act of 1974 whose investment decision is made by a plan fiduciary as defined in Section 3(21) of such Act, which is either a bank, savings and loan association, insurance company or registered investment advisor, or which has total assets in excess of $5,000,000, or, if a self-directed plan, a plan the investment decisions of which are made solely by persons who are accredited investors;

☐ a private business development company as defined in Section 202(a)(22) of the Investment Advisors Act of 1940;

☐ an organization described in Section 501(c)(3) of the Internal Revenue Code, a corporation, Massachusetts or similar business trust or partnership, not formed for the specific purpose of acquiring the securities offered, with total assets in excess of $5,000,000;

☐ a trust, with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring the securities offered, whose purchase is directed by a sophisticated person as described in Rule 506(b)(2)(ii) of the Securities Act of 1933;

☐ an entity in which all of the equity owners are accredited investors PQ-4

PQ-4 Please initial here_____

**PART IV**

**TO BE COMPLETED BY ALL PURCHASERS**

A. I/the entity have/has previously participated in any of the following types of investment:

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| | | |
|:---|:---|:---|
|  | **YES** | **NO** |
| Stocks | | |
| Bonds/Notes | | |
| Real Estate Limited Partnerships | | |
| Oil and Gas Limited Partnerships | | |
| Other Tax Shelters | | |
| Other Private Placements of Securities | | |

---

B. The undersigned subscriber (whether such subscriber is an **individual** or an **entity** (a partnership, corporation, limited liability corporation, trust or estate)), considers himself, herself or itself to be an experienced and sophisticated investor with good-to-excellent investment knowledge. (**Please check one**)

Yes ☐ No ☐

C. The undersigned subscriber (whether such subscriber is an **individual** or an **entity** (a partnership, corporation, limited liability corporation, trust or estate)) has such knowledge and experience in financial and business matters that he, she or it is capable of evaluating the risks and merits of this investment and believes that he, she or it can afford the loss of his, her or its entire investment in the Company. (**Please check one**):

Yes ☐ No ☐

D. My investment time horizon is (**Please check one**) (**if your time horizon for this investment is shorter than 6 years, this investment may not be suitable for you**.):

6 to 10 years ☐ 10+ years ☐

E. My investment objective with this particular investment is speculation. I have a balanced and diversified portfolio of liquid, less volatile, non-speculative investments. However, I am seeking to maximize the overall returns of my balanced portfolio by taking a heightened degree of risk with a speculative, illiquid investment. (**Please check one**):

Yes ☐ No ☐

F. Does your Risk Tolerance include High Risk/Speculative investments? (**Please check one**):

Yes ☐ No ☐

G. My primary source of income is from my (our):

Retirement Assets ☐

Non-retirement Investments ☐

Employment Compensation ☐

PQ-5 Please initial here_____

H. The percentage of my net worth held in illiquid investments (Illiquid investments are investments that you simply cannot sell or can only sell at predetermined times (and often for a discount) or in limited quantities)? ____%

I. My federal income tax bracket is: ____%

J. "Bad Actor" Disqualification Questions

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Have
 you been convicted, within 10 years before a sale in the current offering, of any felony
 or misdemeanor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In
 connection with the purchase or sale of any security?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Involving
 the making of any false filing with the Securities and Exchange Commission?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Arising
 out of the conduct of the business of an underwriter, broker, dealer, municipal securities
 dealer, investment adviser, or paid solicitor of purchasers of securities?

(**Please check one**)

Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Are
 you subject to any order, judgment or decree of any court of competent jurisdiction, entered
 within five years before such sale, that, at the time of such sale, retrains or enjoins such
 person from engaging or continuing to engage in any conduct or practice:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In
 connection with the purchase or sale of any security?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Involving
 the making of any false filing with the Securities and Exchange Commission?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Arising
 out of the conduct of the business of an underwriter, broker, dealer, municipal securities
 dealer, investment adviser, or paid solicitor of purchasers of securities

(**Please check one**) Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Are
 you subject to a final order of a state securities commission (or any agency or officer of
 a state performing like functions; a state authority that supervises or examines banks, savings
 associations, or credit unions; a state insurance commission (or an agency or officer of
 a state performing like functions); an appropriate federal banking agency; the U. S. Commodity
 Futures Trading Commission; or the National Credit Union Administration that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At
 the time of such sale, bars you from:

● Association with an entity regulated by such commission, authority, agency, or officer;

PQ-6 Please initial here_____

● Engaging in the business of securities, insurance or banking; or

● Engaging in savings association or credit union activities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Constitutes
 a final order based on a violation of any law or regulation that prohibits fraudulent, manipulative,
 or deceptive conduct entered within 10 years before the sale of the contemplated transaction.

(**Please check one**)

Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Are
 you currently subject to an order of the Securities and Exchange Commission entered into
 pursuant to section 15(b) or 15B(c) of the Securities Exchange Act of 1934 or Section 203(e)
 or (f) of the Investment Advisers Act of 1940 which:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Suspends
 or revokes your license as a broker, dealer, municipal securities dealer, or investment adviser?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Places
 limitations on your activities, functions or operations?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Bars
 you from being associated with any entity or from participating in the offering of any penny
 stock?

(**Please check one**)

Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Are
 you subject to any order of the Securities and Exchange Commission entered within 5 years
 before such sale that, at the time of such sale, orders you to cease and desist from committing
 or causing a violation or future violation of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 scienter-based (intent/knowledge based) anti-fraud provision of the federal securities laws,
 including, without limitation, section 17(a)(1) of the Securities Act of 1933, section 10(b)
 of the Securities Exchange Act of 1934, and 240.10b-5, section 15(c)(1) of the Securities
 Exchange Act of 1934 and section 206(1) of the Investment Advisers Act of 1940, or any other
 related rule or regulation?

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Section
 5 of the Securities Act of 1933?

(**Please check one**)

Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) Are
 you suspended from membership in, or suspended or barred from association with a member of,
 a registered national securities exchange or a registered national or affiliated securities
 association for any act or omission to act constituting conduct inconsistent with just and
 equitable principles of trade?

(**Please check one**)

Yes ☐ No ☐

PQ-7 Please initial here_____

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) Have
 you filed (as either a registrant or an issuer), or named as an underwriter in, any registration
 statement or Regulation A offering statement filed with the Securities and Exchange Commission
 that, within 5 years before such sale, were you the subject of a refusal order, or stop order,
 or order suspending the Regulation A exemption, or is, at the time of such sale, the subject
 of an investigation or proceeding to determine whether a stop order or suspension order should
 be issued?

(**Please check one**)

Yes ☐ No ☐

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8) Are
 you the subject to an United States Postal Service false representation order within the
 last five years, or are you, at the time of any sale of the securities offered, subject to
 a temporary restraining order or preliminary injunction with respect to conduct alleged by
 the United States Postal Service to constitute a scheme or device for obtaining money or
 property through the mail by means of false representations.

(**Please check one**)

Yes ☐ No ☐

If you replied "Yes" to any of the questions in this Section IV.I., please provide an explanation with specificity:

PQ-8 Please initial here_____

**PART V**

**CO-PURCHASER INFORMATION**

**Only required for the following Types of Ownership TBE, JTWROS, Community Property, TIC, and IRA (custodian):**

**Co-Purchaser General Information:**

Name of Individual or Entity: ________________________________________________________________________<u> </u>

Federal Tax ID or Social Security Number: ______________________________________________________________<u> </u>

Marital Status (Natural Persons): Single ☐ Married ☐ Divorced ☐ Widowed ☐ N/A ☐ _____________________________

Date of Birth (Natural Person) or Date of Formation (Entity): ________________________________________________<u> </u>

Citizen of (Natural Person) or State of Organization (Entity): ________________________________________________<u> </u>

Principal Address: _______________________________________________________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(STREET)

______________________________________________________________________________________________

(CITY) (STATE) (ZIP CODE)

Mailing Address: __________________________________________________________________________

(If different from Principal Address) (STREET)

______________________________________________________________________________________________

(CITY) (STATE) (ZIP CODE)

Email Address:<u> </u> Telephone Number:<u> </u>

**Co-Purchaser Employment Information:**

I am currently (**Please check one**): Employed ☐ Unemployed ☐ Retired ☐ Other ☐

Employer Name:<u> </u>___________________________________ Position<u> </u>____________________________

Employer Address: ______________________________________________________________________________<u> </u>

Are you (or is any member of your household) a member of, employed by a member of or employed directly by a stock exchange or FINRA? (**Please check one**) Yes ☐ No ☐

Are you (or is any member of your household) licensed by FINRA or as a Registered Investment Advisor and using such license or registration in a professional sales, trading or customer service capacity? (**Please check one**) Yes ☐ No ☐

Comments: If you answered any of the questions above "yes" or "other," please provide details below:

PQ-9 Please initial here_____

**TO BE COMPLETED BY ALL PURCHASERS**

**(NOTE: Signatures should conform to those used in all additional documents for this investment)**

Dated:

<u> </u>

---

| | |
|:---|:---|
| If AN INDIVIDUAL, JOINT TENANCY OR CO-TENANCY *complete the following:* |  |
| Print Name Of Individual Or Joint Or Co-Tenant | Print Name Of Second Joint Or Co-Tenant (If Any) |
| Signature Of Individual Or Joint Or Co-Tenant | Signature Of Second Joint Or Co-Tenant (If Any) |

---

---

| | |
|:---|:---|
| IF A PARTNERSHIP, CORPORATION, LIMITED LIABILITY COMPANY, TRUST OR OTHER ENTITY, *complete the following:* |  |
| Capacity OF Authorized Signatory |  |
| Title of Entity |  |
| Signature of Authorized Signatory |  |
| Signature of Registered Representative: | <u> </u> |
| Print Name and Registered Rep. No. | <u> </u> |

---

PQ-10 Please initial here_____

## Exhibit 10.31

**Exhibit 10.31**

---

| | |
|:---|:---|
| **CONTRATO DE PRESTACIÓN DE**<br> **SERVICIOS**<br> **GOLD EXPRESS MINES SpA**<br> **Y**<br> **MANQUEHUE ASESORÍAS MINERAS SPA** | **SERVICE AGREEMENT**<br> **BETWEEN**<br> **GOLD EXPRESS MINES SpA**<br> **AND**<br> **MANQUEHUE ASESORÍAS MINERAS SPA** |
| En Santiago de Chile, a primero de Enero de dos mil veintitrés, entre **GOLD EXPRESS MINES SPA,** sociedad constituida y válidamente vigente bajo las leyes chilenas Rol Único Tributario número setenta y siete millones cuatrocientos noventa y ocho mil trescientos veinticuatro guion cuatro, en adelante también "**GEM",** domiciliada en Avenida Paseo Pie Andino número siete mil novecientos uno, comuna de Vitacura, Santiago, Región Metropolitana, en adelante también la "Beneficiaria", representada por don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN,** chileno, casado, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete y | In Santiago, on January 1, 2023, **GOLD EXPRESS MINES SpA,** a company incorporated and in good standing according to Chilean laws, Taxpayer No. 77,498,324-4, with address at 7,901, Paseo Pie Andino Avenue, Vitacura borough, Santiago, Metropolitan Region, herein represented by **IGNACIO JOAQUÍN LÓPEZ ALARCÓN,** a Chilean lawyer, married, National Identification Card No. 16,017,525-7, hereinafter also called "**GEM",** or the "Recipient", and |
| **MANQUEHUE ASESORÍAS MINERAS SPA,** sociedad constituida y válidamente vigente bajo las leyes chilenas, Rol Único Tributario número setenta y seis millones setecientos sesenta y cinco mil novecientos ochenta y cinco guion siete, en adelante también "**MAM",** domiciliada en calle Alonso de Monroy 2677 oficina 602A, comuna de Vitacura, en adelante también el "Prestador", representada por don **CÉSAR ANDRÉS LÓPEZ ALARCÓN,** chileno, casado, abogado, cédula nacional de identidad número dieciséis millones diecisiete mil quinientos veinticinco guion siete ambas, se ha convenido el siguiente contrato de prestación de servicios, en adelante también el "Contrato": | **MANQUEHUE ASESORÍA MINERAS SpA,** a company validly incorporated and in good standing according to Chilean laws, Taxpayer No. **76,765,985-7,** with address at 2,677, Alonso de Monroy Street, Suite 602A, Vitacura borough, herein represented by **CÉSAR ANDRÉS LÓPEZ ALARCÓN,** a Chilean lawyer, National Identification Card No. 16,017,525-7 [*sic]* both [*sic],* hereinafter also called "**MAM"** or the "Provider", have agreed on a service agreement, hereinafter also called the "Agreement", as follows: |

---

[Translation from Spanish on the right – The source text has been transcribed on the left.]

---

| | |
|:---|:---|
| **<u>PRIMERO</u>: Objeto del Contrato y Descripción del Servicio Contratado.**<br>"**GEM"** contrata a "**MAM"** a fin de que ésta le preste los servicios de **SERVICIOS GEOLÓGICOS, DE METALURGIA, DE INGENIERÍA, ASESORÍA TECNICA EN PROPIEDAD MINERA Y CATASTRO MINERO, ADMINISTRACION Y GESTIÓN** en relación con el Proyecto "Cerro Blanco", Proyecto de Exploración Minera ubicado en las comunas de **Freirina y Vallenar, en la Tercera Región,** liderado por **GEM.** En la prestación de estos servicios, el Prestador empleará sus propios métodos, preferencias y procedimientos para la asesoría, según las necesidades y las instrucciones que le imparta la Beneficiaria. | **<u>FIRST</u>: Purpose of the Agreement and Description of the Retained Services**<br>"**GEM"** hereby retains the services of "**MAM"** in **GEOLOGY, METALLURGY, ENGINEERING, TECHNICAL CONSULTING IN MINING OWNERSHIP AND MINING PROPERTY REGISTRY, ADMINISTRATION AND MANAGEMENT** in respect of the "Cerro Blanco" Mining Exploration Project that the former leads in the **Freirina and Vallenar** boroughs, **Third Region.** In rendering these services, the Provider shall use its own methods, preferences and procedures to provide consulting, according to the Recipient's needs and directives. |
| **<u>SEGUNDO</u>: Precio y gastos propios del servicio.**<br>Por la prestación de los servicios que por este instrumento se contratan, **GEM** pagará a don **MAM** un honorario mensual por la suma total y única de cincuenta y seis mil dólares más IVA. Este monto se liquidará y pagará por mes vencido, el día veintiocho de cada mes en que hayan sido prestados los servicios y se pagará en su equivalente en moneda nacional, según el valor del dólar del día del pago efectivo, contra entrega del respectivo documento tributario que respalde la prestación de servicios, el cual debe ser emitido el día veinte de cada mes. El precio señalado en esta cláusula por la prestación de los servicios indicados en la cláusula Primera de este instrumento se pagará a todo evento durante la vigencia del presente Contrato. | **<u>SECOND</u>: Price and Costs Inherent to the Services**<br>In consideration of providing the services hereunder, **GEM** shall pay **MAM** a single and total monthly fee of USD 56,000 (fifty-six thousand USA dollars), plus VAT. This amount shall be e settled and paid for services rendered the 28thof each month, in the Chilean national currency equivalent according to the exchange rate on the actual payment date, against the delivery of the corresponding tax document supporting the service provision, which must be issued the 20thday of each month. The forenamed price for the services specified in the First Clause hereof shall be payable under any circumstances while this Agreement is in effect. |

---

[Translation from Spanish on the right – The source text has been transcribed on the left.] <br> 2

---

| | |
|:---|:---|
| **<u>TERCERO</u>: Inexistencia de vínculo ni relación laboral.**<br>Los comparecientes dejan expresa constancia que no existe, ni existirá vínculo ni relación laboral en los términos establecidos en la legislación laboral chilena. De este modo, la Prestadora no estará sujeta a horario, jornada de trabajo, subordinación ni dependencia jerárquica respecto de "**GEM"** y sus ejecutivos. Asimismo, no se generará a favor de ésta, en relación a "**GEM",** derecho a indemnización alguna, feriado legal o proporcional, cotizaciones previsionales ni a ningún otro concepto fuera del honorario pactado en la cláusula Segunda del presente Contrato en favor del Prestador. | **<u>THIRD</u>: No Labour Relationship**<br>The appearing parties hereby expressly record that there is and shall be no labor relationship as defined in Chilean labour laws. Thus, the Provider shall not be subject to any timetables, working hours, subordination or hierarchical dependency with regard to **GEM** or its executives. Likewise, the Provider shall not be entitled to any compensations, indemnities, legal or proportional holidays, social security contributions or any other benefits payable by **GEM,** other than the Provider's fees agreed in the Second Clause hereof. |
| **<u>CUARTO</u>: Lugar de prestación de los servicios.**<br>Los servicios prestados por el Prestador, como consecuencia del presente Contrato, serán prestados principalmente en la oficina de éste, y en los demás lugares que sean necesarios atendida la naturaleza de los servicios prestados. | **<u>FOURTH</u>: Place of Service Provision**<br>The services rendered by the Provider hereunder shall be basically provided at the latter's offices, and any other places as may be needed according the nature thereof. |

---

[Translation from Spanish on the right – The source text has been transcribed on the left.] <br> 3

---

| | |
|:---|:---|
| **<u>QUINTO</u>: Confidencialidad.**<br>Queda prohibido al Prestador revelar a terceros ajenos al Contrato, cualquier información relativa a este Contrato y a la ejecución del mismo, sin el consentimiento previo y por escrito de "**GEM".** Todos los antecedentes, documentos, e informaciones que "**GEM"** ponga a disposición de el Prestador, con motivo del desarrollo del trabajo encomendado, no podrán ser usados por éste para ningún otro fin que no sea el señalado precedentemente. Estos antecedentes tendrán el carácter de confidenciales y deberán ser devueltos al término del presente Contrato. | **<u>FIFTH</u>: Confidentiality**<br>The Provider may not disclose any information regarding this Agreement or the implementation hereof to any third parties unrelated hereto, without **GEM's** prior written consent, and it may not use any records, documents or information that **GEM** may make available thereto for the performance of the entrusted work for any other purposes other than as previously stated. All such information shall be confidential and must be returned at the end hereof. |
| La obligación de confidencialidad y reserva no se extiende a información o antecedentes que deban ser estricta y necesariamente divulgados para el cumplimiento de las obligaciones que este contrato impone al Prestador, ni a aquella que sea de acceso o conocimiento público. | The confidentiality and reserve obligation shall not extend to any information or records strictly needing to be disclosed in order to meet the Provider's obligations hereunder, or any other information or records that were publicly accessible or public knowledge. |
| **<u>SEXTO</u>: Duración.**<br>Se deja constancia que el presente Contrato tendrá una duración de siete meses contados desde el primero de enero del año dos mil veintitrés hasta el primero de agosto del año dos mil veintitrés. | **<u>SIXTH</u>: Duration**<br>It is herby recorded that this Agreement shall be in effect for seven months, from January 1, 2023, to August 1, 2023. |
| **<u>SÉPTIMO</u>: Domicilio.**<br>Para todos los efectos del presente Contrato, las partes fijan su domicilio en Santiago y se someten a la jurisdicción del Tribunal Arbitral a que se alude en la cláusula Octava siguiente. | **<u>SEVENTH</u>: Jurisdiction**<br>For all purposes hereof, the parties hereby set their legal address in Santiago, and submit to the Arbitration Court provided following clause, Eighth. |

---

[Translation from Spanish on the right – The source text has been transcribed on the left.] <br> 4

---

| | |
|:---|:---|
| **<u>OCTAVO</u>: Arbitraje.**<br>Cualquier dificultad o controversia que se produzca entre los contratantes respecto de la aplicación, interpretación, duración, validez o ejecución de este contrato o cualquier otro motivo será sometida a arbitraje, conforme al Reglamento Procesal de Arbitraje del Centro de Arbitraje y Mediación de Santiago, vigente al momento de solicitarlo. Las partes confieren poder especial irrevocable a la Cámara de Comercio de Santiago A.G., para que, a petición escrita de cualquiera de ellas, designe a un árbitro arbitrador de entre los integrantes del cuerpo arbitral del Centro de Arbitraje y Mediación de Santiago. En contra de las resoluciones del arbitrador no procederá recurso alguno, renunciando las partes expresamente a ellos. El árbitro queda especialmente facultado para resolver todo asunto relacionado con su competencia y/o jurisdicción. | **<u>EIGHTH</u>: Arbitration**<br>Any difficulties or conflicts that may arise between the contracting parties regarding the application, interpretation, duration, validity or implementation hereof, or for any other reasons, shall be submitted to arbitration, according to the then current Rules of Arbitration Procedure of the Santiago Arbitration and Mediation Centre. The parties hereby grant an irrevocable special power to the Santiago Chamber of Commerce, so that, on a written request from either of them, it may appoint an arbitrator *ex aequo et bono* among the members of the body of arbitrators of the Santiago Arbitration and Mediation Centre. The arbitrator's decisions may not be appealed, and the parties hereby expressly waive any such rights. The arbitrator is hereby specially authorized to rule on any matters within his or her competence and jurisdiction. |
| **<u>Personería</u>:**<br>La personería de don **IGNACIO JOAQUÍN LÓPEZ ALARCÓN** para actuar en representación de **Gold Express Mines SpA,** consta en escritura pública de fecha diecisiete de noviembre de dos mil veintiuno, suscrita en la Notaria de Santiago de doña María Pilar Gutierrez Rivera bajo el repertorio número treinta mil doscientos ochenta y cuatro, guion dos mil veintiuno. | **<u>Legal Representation</u>**<br>**IGNACIO JOAQUÍN LÓPEZ ALARCÓN** has been authorized to represent **Gold Express Mines SpA** in a document of public record signed on November 17, 2021, at the Santiago Notary Offices of María Pilar Gutiérrez Rivera, Journal No. 30,284-2021. |
| La personería de don **CÉSAR ANDRÉS LÓPEZ ALARCÓN** para comparecer en representación de **Manquehue Asesorías Mineras SpA** consta en escritura pública de fecha catorce de julio de dos mil diecisiete, suscrita en la Notaria de Santiago de don Patricio Zaldívar Mackenna bajo el repertorio número once mil ciento treinta y dos, guion dos mil diecisiete. | **CÉSAR ANDRÉS LÓPEZ ALARCÓN** has been authorized to represent **Manquehue Asesorías Mineras SpA** in a document of public record signed on July 14, 2017, at the Santiago Notary Offices of Patricio Zaldívar Mackenna, Journal No. 11,132-2017.<br><u>/s/ Ignacio Joaquín López Alarcón</u><br> **IGNACIO JOAQUÍN LÓPEZ ALARCÓN**<br> **ID Card No. 16,017,525-7**<br> **For GOLD EXPRESS MINES SpA**<br><u>/s/ César Andrés Lopez Alarcón</u><br> **CÉSAR ANDRÉS LÓPEZ ALARCÓN** |
|  | **ID Card No. 9,581,126-4**<br> **For MANQUEHUE ASESORÍAS MINERAS SpA** |

---

[Translation from Spanish on the right – The source text has been transcribed on the left.] <br> 5

## Exhibit 21.1

**Exhibit 21.1**

**Subsidiaries of Titan Holdings Corp. following the Closing of the Business Combination**

---

| | |
|:---|:---|
| **Name of Subsidiary** | **Jurisdiction of Formation** |
| Key Mining Corp. | Delaware |
| Key Metals Corporation Chile SpA | Chile |
| Gold Express Mines SpA | Chile |
| Compass Digital Acquisition Corp | Cayman Islands |

---

## Exhibit 23.1

**Exhibit 23.1**

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We hereby consent to the use in the Prospectus constituting a part of this Registration Statement on Form S-4 of our report dated March 24, 2025, which includes an explanatory paragraph relating to Compass Digital Acquisition Corp.'s ability to continue as a going concern, relating to the financial statements of Compass Digital Acquisition Corp. as of December 31, 2024 and 2023 and for the years then ended, which is contained in that Prospectus. We also consent to the reference to us under the caption "Experts" in the Prospectus.

/s/ WithumSmith+Brown, PC

New York, New York

February 4, 2026

## Exhibit 23.2

**Exhibit 23.2**

![](ex23-2_001.jpg)

**<u>CONSENT OF INDEPENDENT REGISTERED ACCOUNTING FIRM</u>**

We hereby consent to the inclusion in this Registration Statement to Form S-4 of our audit report dated April 30, 2025, with respect to the consolidated balance sheets of Key Mining Corp. (the "Company") as of December 31, 2024 and 2023, and the related consolidated statements of operations, stockholders' equity, and cash flows for each of the years in the two-year period ended December 31, 2024.

Our report relating to those financial statements includes an emphasis of matter paragraph regarding substantial doubt as to the Company's ability to continue as a going concern.

We also consent to the reference to us under the heading "Experts" in this Registration Statement.

![](ex23-2_002.jpg)

Fruci & Associates II, PLLC – PCAOB ID #05525

Spokane, Washington

February 3, 2026

## Exhibit 23.6

**Exhibit 23.6**

**CONSENT**

---

| | |
|:---|:---|
| **To**: | Titan Holdings Corp. ("THC)<br> Key Mining Corp. ("KMC") |

---

---

| | |
|:---|:---|
| **Re**: | Registration Statement on Form S-4 of THC and KMC |

---

**Resource Development Associates Inc.** is the authoring firm of the report titled "**S-K 1300 Technical Report Summary for the Cerro Blanco Rutile Titanium Bearing Mineral Deposit, Region III, Atacama, Chile, dated August 7, 2023, revised December 6, 2023 and as further revised February 2, 2026**" regarding the mining property known as the **Cerro Blanco** (the "Project") which was prepared in accordance the Securities and Exchange Commission ("SEC") S-K regulations (Title 17, Part 229, Items 601 and 1300 until 1305) for Key Mining Corp. (the "Expert Report").

**Resource Development Associates Inc.** understands that THC and KMC wish to make reference to **Resource Development Associates Inc.**'s name and the Expert Report in its Registration Statement on Form S-4 (the "Registration Statement") to be prepared and filed in connection with the business combination as described in the Registration Statement. **Resource Development Associates Inc.** further understands that THC and KMC wish to use extracts and/or information from, the Expert Report in the Registration Statement related to the Project. **Resource Development Associates Inc.** has been provided with a copy of the Registration Statement and has reviewed the proposed disclosure identified above.

Accordingly, in respect of the Registration Statement, **Resource Development Associates Inc.** does hereby consent to:

● the use of, and references to, its name in the Registration Statement;

● the use of, and references to, the Expert Report in the Registration Statement; and

● the use of, in the Registration Statement, extracts and information from the Expert Report, or portions thereof ("Undersigned's Information").

**Resource Development Associates Inc.** confirms that where its work involved a mineral resource or mineral reserve estimate, such estimates comply with the requirements for mineral resource and mineral reserve estimation under Subpart 1300 of Regulation S-K promulgated by the SEC.

**Resource Development Associates Inc.** also confirms that its representatives have read the disclosure in the Registration Statement that relate to the Undersigned's Information and the Project, and **Resource Development Associates Inc.** confirms that the disclosure included in the Registration Statement does not contain a misrepresentation.

Dated: February 4, 2026

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| | |
|:---|:---|
| By: | /s/ Scott Wilson |
| Name: | Scott Wilson |
| Title: | President Resource Development Associates Inc. |

---

## Exhibit 96.1

**Exhibit 96.1**

**S-K 1300 TECHNICAL REPORT SUMMARY**

**FOR THE**

**CERRO BLANCO**

**RUTILE TITANIUM BEARING MINERAL DEPOSIT** 

**REGION III**

**ATACAMA, CHILE**

**Dated August 7, 2023**

**Revised December 6, 2023**

 **AS FURTHER REVISED FEBRUARY 2, 2026**

**PREPARED FOR**

**KEY MINING CORP.**

**BY**

**RESOURCE DEVELOPMENT ASSOCIATES INC.**

**Highlands Ranch, CO 80126**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 2</u>

**Table of Contents**

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| | | |
|:---|:---|:---|
| **1** | **Executive Summary** | **1** |
| &nbsp;&nbsp;&nbsp;1.1 | Introduction | 1 |
| &nbsp;&nbsp;&nbsp;1.2 | Geology and Mineralization | 1 |
| &nbsp;&nbsp;&nbsp;1.3 | Drilling and Sampling | 2 |
| &nbsp;&nbsp;&nbsp;1.4 | Mineral Resources | 2 |
| &nbsp;&nbsp;&nbsp;1.5 | Interpretations and Conclusions | 3 |
| &nbsp;&nbsp;&nbsp;1.6 | Recommendations | 3 |
| **2** | **Introduction** | **5** |
| &nbsp;&nbsp;&nbsp;2.1 | Overview | 5 |
| &nbsp;&nbsp;&nbsp;2.2 | Qualifications | 5 |
| &nbsp;&nbsp;&nbsp;2.3 | Terms Of Reference | 5 |
| &nbsp;&nbsp;&nbsp;2.4 | Personal Inspection of the Cerro Blanco Property | 5 |
| &nbsp;&nbsp;&nbsp;2.5 | Declaration | 5 |
| &nbsp;&nbsp;&nbsp;2.6 | Sources of Information | 5 |
| &nbsp;&nbsp;&nbsp;2.7 | Important Notice | 5 |
| &nbsp;&nbsp;&nbsp;2.8 | Acknowledgements | 6 |
| **3** | **Property Description and Location** | **7** |
| &nbsp;&nbsp;&nbsp;3.1 | Mineral Property and Title in Chile | 7 |
| &nbsp;&nbsp;&nbsp;3.2 | Chilean Regulations | 7 |
| &nbsp;&nbsp;&nbsp;3.3 | Chilean Mineral Tenure | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.1 | &nbsp;&nbsp;&nbsp;Pedimento (EXPLORATION CONCESSION) | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.2 | &nbsp;&nbsp;&nbsp;Manifestacion (EXPLOITATION CONCESSION) | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.3 | &nbsp;&nbsp;&nbsp;Mensura (SURVEY) | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.4 | &nbsp;&nbsp;&nbsp;Chilean Claim Process | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.5 | &nbsp;&nbsp;&nbsp;Surface Rights | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.6 | &nbsp;&nbsp;&nbsp;Rights of Way | 8 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.7 | &nbsp;&nbsp;&nbsp;Water Rights | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.8 | &nbsp;&nbsp;&nbsp;Environmental Regulations | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.9 | &nbsp;&nbsp;&nbsp;Land Use | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.10 | &nbsp;&nbsp;&nbsp;Foreign Investment | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.11 | &nbsp;&nbsp;&nbsp;Current Mining Royalty | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.12 | &nbsp;&nbsp;&nbsp;The New Mining Royalty | 11 |
| &nbsp;&nbsp;&nbsp;&nbsp;3.3.13 | &nbsp;&nbsp;&nbsp;Fraser Institute Study | 13 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 3</u>

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;3.4 | Cerro Blanco Property Location | 13 |
| &nbsp;&nbsp;&nbsp;3.5 | Cerro Blanco Ownership | 14 |
| &nbsp;&nbsp;&nbsp;3.6 | Mineral Tenure | 14 |
| &nbsp;&nbsp;&nbsp;3.7 | Surface Rights | 17 |
| &nbsp;&nbsp;&nbsp;3.8 | Water Rights | 17 |
| &nbsp;&nbsp;&nbsp;3.9 | Royalties and Encumbrances | 17 |
| **4** | **Accessibility, Climate, Local Resources, Infrastructure and Physiography** | **18** |
| &nbsp;&nbsp;&nbsp;4.1 | Access and Infrastructure | 18 |
| &nbsp;&nbsp;&nbsp;4.2 | Physiography | 18 |
| &nbsp;&nbsp;&nbsp;4.3 | Climate | 18 |
| **5** | **History** | **19** |
| &nbsp;&nbsp;&nbsp;5.1 | Chronology 1990 - 2002 | 19 |
| &nbsp;&nbsp;&nbsp;5.2 | Chronology Period 2003 – February 2005 | 19 |
| &nbsp;&nbsp;&nbsp;5.3 | Chronology March 2005 to 2008 | 20 |
| &nbsp;&nbsp;&nbsp;5.4 | Chronology 2009 to 2012 | 21 |
| &nbsp;&nbsp;&nbsp;5.5 | Chronology 2012 to 2015 | 21 |
| **6** | **Geological Setting, Mineralization and Deposit** | **22** |
| &nbsp;&nbsp;&nbsp;6.1 | Geological Setting | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;6.1.1 | &nbsp;&nbsp;&nbsp;Regional Geology | 22 |
| &nbsp;&nbsp;&nbsp;&nbsp;6.1.2 | &nbsp;&nbsp;&nbsp;Local Geology | 23 |
| &nbsp;&nbsp;&nbsp;6.2 | Mineralization | 26 |
| **7** | **Exploration** | **27** |
| &nbsp;&nbsp;&nbsp;7.1 | Exploration History | 27 |
| &nbsp;&nbsp;&nbsp;7.2 | Drilling | 27 |
| &nbsp;&nbsp;&nbsp;7.3 | Surface Geochemical Sampling | 30 |
| &nbsp;&nbsp;&nbsp;7.4 | Magnetic Geophysical Survey | 33 |
| **8** | **Sample Preparation, Analyses and Security** | **36** |
| &nbsp;&nbsp;&nbsp;8.1 | Sampling | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.1 | &nbsp;&nbsp;&nbsp;Diamond and Percussion Drill Hole Sampling – Ojos del Salado | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.2 | &nbsp;&nbsp;&nbsp;Geochemical Sampling – Ojos del Salado | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.3 | &nbsp;&nbsp;&nbsp;Heterogeneity Test Sampling – White Mountain | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.4 | &nbsp;&nbsp;&nbsp;Reverse Circulation Drill Hole Sampling – White Mountain | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.5 | &nbsp;&nbsp;&nbsp;Diamond Drill Hole Sampling – White Mountain | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.6 | &nbsp;&nbsp;&nbsp;Surface Geochemical Sampling – White Mountain | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.7 | &nbsp;&nbsp;&nbsp;Mechanical Separation, Preparation and Analysis | 37 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 4</u>

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.8 | &nbsp;&nbsp;&nbsp;Heterogeneity Test Analysis and Results | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.9 | &nbsp;&nbsp;&nbsp;Reverse Circulation Sample Preparation – White Mountain 2006 | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.10 | &nbsp;&nbsp;&nbsp;Diamond Drill Hole Sample Preparation – (Campaigns 2004, 2006, 2008, 2010-2011) | 39 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.11 | &nbsp;&nbsp;&nbsp;Surface Geochemical Sample Preparation – White Mountain | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.12 | &nbsp;&nbsp;&nbsp;White Mountain Analytical Assay Method | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.1.13 | &nbsp;&nbsp;&nbsp;Re-Assaying for White Mountain 2004 Diamond Drill Holes | 41 |
| 8.2 | Security | 42 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.2.1 | &nbsp;&nbsp;&nbsp;Reverse Circulation Drill Holes – White Mountain 2006 | 42 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.2.2 | &nbsp;&nbsp;&nbsp;Generation of In-House Standard Reference Material for QAQC Purposes | 44 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.2.3 | &nbsp;&nbsp;&nbsp;ALS Chemex Laboratory In-House Standard Performance Diamond Drill Hole Campaigns 2006 and 2008 | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.2.4 | &nbsp;&nbsp;&nbsp;ALS Chemex Laboratory In-House Standard Performance Diamond Drill Hole Campaign from 2010 to 2011 | 47 |
| &nbsp;&nbsp;&nbsp;&nbsp;8.2.5 | &nbsp;&nbsp;&nbsp;ALS Chemex Laboratory Duplicate Performance | 50 |
| **9** | **Data Verification** | **57** |
| &nbsp;&nbsp;&nbsp;9.1 | Summary | 57 |
| **10** | **Mineral Processing and Metallurgy** | **57** |
| &nbsp;&nbsp;&nbsp;10.1 | Historical Testing | 58 |
| &nbsp;&nbsp;&nbsp;10.2 | Laboratory Tests – Prior Pilot Plant Tests | 58 |
| &nbsp;&nbsp;&nbsp;10.3 | Pilot Plant Testwork | 61 |
| &nbsp;&nbsp;&nbsp;&nbsp;10.3.1 | &nbsp;&nbsp;&nbsp;Stage 1 Testwork | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;10.3.2 | &nbsp;&nbsp;&nbsp;Stage 2 Testwork | 64 |
| &nbsp;&nbsp;&nbsp;10.4 | Post Pilot Plant Testwork | 65 |
| **11** | **Mineral Resource Estimate** | **67** |
| &nbsp;&nbsp;&nbsp;11.1 | Drill Hole Data | 70 |
| &nbsp;&nbsp;&nbsp;11.2 | Three-Dimensional Modeling | 70 |
| &nbsp;&nbsp;&nbsp;11.3 | Statistical Analysis | 73 |
| &nbsp;&nbsp;&nbsp;11.4 | Specific Gravity | 74 |
| &nbsp;&nbsp;&nbsp;11.5 | Variography | 75 |
| &nbsp;&nbsp;&nbsp;11.6 | Kriging Plan | 76 |
| &nbsp;&nbsp;&nbsp;11.7 | Block Model Validation | 76 |
| &nbsp;&nbsp;&nbsp;11.8 | Mineral Resource Estimates | 81 |
| **12** | **Adjacent Properties** | **84** |
| **13** | **Other Relevant Data and Information** | **85** |
| **14** | **Interpretation and Conclusions** | **86** |
| **15** | **Recommendations** | **87** |
| **16** | **References** | **88** |
| **17** | **Reliance on Information Provided by the Registrant** | **90** |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 5</u>

List of Tables

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| | |
|:---|:---|
| Table 1-1 Cerro Blanco Project Measured and Indicated Mineral Resources | 2.0 |
| Table 1-2 Cerro Blanco Inferred Mineral Resources | 2.0 |
| Table 1-3 Cost Estimate for Recommended work program at Cerro Blanco | 4.0 |
| Table 3-1 Summary of Mineral Tenure for the Cerro Blanco Concessions | 15.0 |
| Table 7-1 Cerro Blanco Drilling | 28.0 |
| Table 8-1 Sampled locations for the heterogeneity test composite | 36.0 |
| Table 8-2 Sample Preparation Fundamental Error Analysis of Las Carolinas RC Drill Hole Samples | 39.0 |
| Table 8-3 Fundamental Error Analysis | 40.0 |
| Table 8-4 Major Oxides Assayed by XRF | 41.0 |
| Table 8-5 Duplicate Assays for SiO2, Al2O3, Fe2O3 | 42.0 |
| Table 8-6 Duplicate Assays for CaO, MgO, and Na2O | 42.0 |
| Table 8-7 Duplicate Assays for K2O, Cr2O3, and TiO2 | 43.0 |
| Table 8-8 Duplicate Assays for MnO, P2O5, and SrO | 43.0 |
| Table 8-9 Duplicate Assays for BaO, LOI, and FeT | 44.0 |
| Table 8-10 In-house Standards Nominal TiO2 Grades and Limits | 45.0 |
| Table 8-11 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 51.0 |
| Table 8-12 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 52.0 |
| Table 8-13 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 53.0 |
| Table 8-14 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 54.0 |
| Table 8-15 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 55.0 |
| Table 8-16 ALS Chemex Laboratory Duplicates – 2010 to 2011 | 56.0 |
| Table 10-1 Optimization Tests Results on "Type 1" Mineral | 59.0 |
| Table 10-2 Confirmation Tests Results "Type 1" Mineral | 60.0 |
| Table 10-3 Stage 1 Pilot Plant Results Summary | 63.0 |
| Table 10-4 Stage 2 Pilot Plant Test Results | 65.0 |
| Table 11-1 Drill Data used for the Mineral Resource Estimate | 70.0 |
| Table 11-2 Classification for Drill Hole Samples at Las Carolinas | 71.0 |
| Table 11-3 General Statistics and Composite Distribution | 73.0 |
| Table 11-4 Specific gravity values used for the mineral deposit | 75.0 |
| Table 11-5 Kriging Plan for Cerro Blanco Mineral Resource Estimation | 76.0 |
| Table 11-6 Las Carolinas, La Cantera, and Eli Mineral Resource Estimate (As of February 2023) | 82.0 |
| Table 11-7 Mineral Resources Broken Down by Prospect (High and Low Grade Rutile) | 83.0 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 6</u>

List of Figures

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| | |
|:---|:---|
| Figure 3-1 Location of the Cerro Blanco Project | 14.0 |
| Figure 3-2 Layout and Location of the Concessions | 16.0 |
| Figure 6-1 Regional Geology | 22.0 |
| Figure 6-2 Location and dimensions of Cerro Blanco prospects | 23.0 |
| Figure 6-3 Local Geology at Cerro Blanco | 24.0 |
| Figure 6-4 Geological Cross Section through Cerro Blanco | 25.0 |
| Figure 6-5 Stratigraphic Column at Cerro Blanco | 25.0 |
| Figure 7-1 Cerro Blanco Exploration Drilling | 29.0 |
| Figure 7-2 Phelps Dodge geochemical sampling locations | 30.0 |
| Figure 7-3 Pegmatitic rutile stringer within the EW structure in the Eli prospect | 31.0 |
| Figure 7-4 Surface geochemical sampling performed by White Mountain | 32.0 |
| Figure 7-5 Surface TiO2 values | 33.0 |
| Figure 7-6 First derivative pole reduced magnetic field map | 34.0 |
| Figure 7-7 First derivative magnetic field pole reduced 100-meter analytic map | 35.0 |
| Figure 8-1 ALS Chemex Laboratory high standard performance | 45.0 |
| Figure 8-2 ALS Chemex Laboratory medium standard performance | 46.0 |
| Figure 8-3 ALS Chemex Laboratory low standard performance | 46.0 |
| Figure 8-4 ALS standard bias relative to nominal TiO2% values | 47.0 |
| Figure 8-5 ALS Chemex Laboratory high standard performance | 48.0 |
| Figure 8-6 ALS Chemex Laboratory medium standard performance | 48.0 |
| Figure 8-7 ALS Chemex Laboratory low standard performance | 49.0 |
| Figure 8-8 ALS Chemex Laboratory standard bias relative to nominal TiO2% values | 50.0 |
| Figure 10-1 Extraction point of samples for pilot plant | 61.0 |
| Figure 10-2 Sampling and Loading of Maxibags | 61.0 |
| Figure 10-3 Typical microscope image used for samples description | 62.0 |
| Figure 10-4 Gravity concentration flow sheet | 62.0 |
| Figure 10-5 Flotation Flow Sheet Stage 1 pilot plant | 63.0 |
| Figure 10-6 Stage 2 pilot plant recommended gravity concentration flowsheet | 64.0 |
| Figure 11-1 Resource area and prospects hosting Mineral Resource estimates | 67.0 |
| Figure 11-2 Las Carolinas surface geological map | 68.0 |
| Figure 11-3 La Cantera Surface Geology Map | 69.0 |
| Figure 11-4 Eli Surface Geology Map | 70.0 |
| Figure 11-5 Las Carolinas geology sections | 71.0 |
| Figure 11-6 Three dimensional view of the Las Carolinas models | 72.0 |

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Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 7</u>

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| | |
|:---|:---|
| Figure 11-7 La Cantera Geological Model | 72.0 |
| Figure 11-8 Eli Deposit Geological Model | 73.0 |
| Figure 11-9 Las Carolinas Box Plots | 74.0 |
| Figure 11-10 Core samples used for specific gravity determinations. | 74.0 |
| Figure 11-11 Adjusted Variography for anisotropy directions, CNE, CANTERA estimation domain | 75.0 |
| Figure 11-12 Adjusted Variography for anisotropy directions, SW, DNE estimate domain | 75.0 |
| Figure 11-13 Adjusted Variography for anisotropy directions, Eli estimation domain | 76.0 |
| Figure 11-14 Section showing correlation between drill holes versus estimated blocks grades | 77.0 |
| Figure 11-15 West East horizontal swath plot Las Carolinas C+NE | 77.0 |
| Figure 11-16 South North horizontal swath plot Las Carolinas C+NE | 78.0 |
| Figure 11-17 Vertical swath plot Las Carolinas C+NE | 78.0 |
| Figure 11-18 West East horizontal swath plot Eli | 79.0 |
| Figure 11-19 South North horizontal swath plot Eli | 79.0 |
| Figure 11-20 Vertical swath plot Eli | 80.0 |
| Figure 11-21 Scatter plot TiO<sub>2</sub>% blocks versus TiO<sub>2</sub>% composite Las Carolinas – Cantera | 80.0 |
| Figure 11-22 Scatter plot TiO<sub>2</sub>% blocks versus TiO<sub>2</sub>% composite Eli | 81.0 |

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Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 8</u>

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| | |
|:---|:---|
| &nbsp;&nbsp; <br> **TABLE OF ABBREVIATIONS** | &nbsp;&nbsp; <br> **TABLE OF ABBREVIATIONS** |
| **Abbreviation** | **Description** |
| **m** | Meters(s) |
| **km** | Kilometer(s) |
| **g/t** | Grams / tonne |
| **oz** | Ounces |
| **au** | Gold |
| **ag** | Silver |
| **cu** | Copper |
| **zn** | Zinc |
| **pb** | Lead |
| **Ti** | Titanium |
| **TIO2** | Titanium Dioxide |
| **AA** | Atomic absorption |
| **AuEq** | Gold equivalent |
| **AOI** | Area of Influence |
| **AMR** | Advanced Mineral Royalties |
| **CuEq** | Copper Equivalent |
| **FA** | Fire Assay with Atomic Absorption Finish |
| **GPS** | Global Positioning System |
| **ICP** | Inductively Coupled Plasma (Geochemical analytical method) |
| **LOM** | Life of Mine |
| **NSR** | Net Smelter return |
| **RQD** | Rock quality designation |
| **RC** | Reverse circulation |

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Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 9</u>

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| | |
|:---|:---|
| **COMMON UNITS OF MEASUREMENT** | **COMMON UNITS OF MEASUREMENT** |
| **Unit** | **Description** |
|  **g** | Gram |
|  **k** | Kilo (thousand) |
|  **<** | Less than |
|  **M** | Million |
|  **ppb** | Parts per billion |
|  **ppm** | Parts per million |
|  **%** | Percent |
|  **m<sup>2</sup>** | Square meter |
|  **t** | Tonne |
| **Tonne** | 2,204.62 pounds |
|  **tpd** | Tonnes per day |
|  **tph** | Tonnes per hour |
|  **tpy** | Tonnes per year |

---

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| | |
|:---|:---|
| **CHEMICAL SYMBOLS** | **CHEMICAL SYMBOLS** |
| **Abbreviation** | **Description** |
| **Cu** | Copper |
| **CN** | Cyanide |
| **Au** | Gold |
| **H** | Hydrogen |
| **Fe** | Iron |
| **Pb** | Lead |
| **Mo** | Molybdenum |
| **Ag** | Silver |
| **Na** | Sodium |
| **S** | Sulfur |
| **Ti** | Titanium |
| **TIO2** | Titanium Dioxide |
| **Zn** | Zinc |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 1</u>

1 Executive Summary

1.1 Introduction

The Cerro Blanco Project (herein also referred to as "the Project") is a rutile (TIO2) exploration project located in Region III, Chile, South America. The Project is in a mining district that has been actively explored and mined for decades.

This Technical Report Summary ("TRS") was prepared and compiled by Resource Development Associates Inc. ("RDA") at the request of Key Mining Corp ("KMC"). The purpose of this report is to summarize the results of exploration, project development and mineral resource estimates for the Project. This TRS has been prepared in accordance with *§§229.1300 through 229.1305 (subpart 229.1300 of Regulation S-K*).

The Cerro Blanco Project currently consists of nine known prospects covering an area of 10,537 hectares contained within 52 mineral concessions. It is accessed directly from the Vallenar-Huasco highway, approximately 24 km west of Vallenar and 25 km east of the port of Huasco.

KMC is the owner of 100% of the Cerro Blanco Project by means of its wholly owned subsidiary, Gold Express Mines SpA ("GEM Chile"), which is the direct owner of 100% of the Cerro Blanco Project.

1.2 Geology and Mineralization

The Cerro Blanco district is located between the central belt of intrusions in the northern belt of the Freirina zone. Granodiorite and leucotonalite dominate the lithologies on the property which host rutile mineralization.

The Cerro Blanco lies to the west of the Vallenar-La Serena iron belt. Intrusive plutonic rocks form about 80% of the outcrops in this zone. These intrusions vary from granites to gabbro and are distributed in three linear north-northeast trending belts, which decrease in age from west to east (Upper Jurassic, Cretaceous, and Paleocene). Cerro Blanco is located within the Eastern Belt, belonging to Infiernillo Intrusive Complex (mid Cretaceous), which, in the area of the mining property, consists of a series of granodiorite to diorite bodies of batholithic proportions, smaller gabbro intrusive, and subordinate medium to fine grained tonalities and aplites. East of the Property, this unit intrudes volcano-clastic rocks from Punta del Cobre Formation (late Jurassic).

Titanium-bearing minerals observed in the Cerro Blanco project are Titanomagnetite, Ilmenite, Rutile, Anatase and Titanite (Sphene).

**Rutile**, in the form of red, red-brown, and minor black crystalline or as aggregates, in excess of 1%, is usually disseminated throughout albitized gabbro. Concentrations of up to 5% or more occur as disseminations, clots and laminate. These rock varieties are generally rich in very fine-grained aggregates of albite, white or green mica, and quartz.

**Anatase**, a low temperature polymorph of rutile, has been observed under the microscope.

**Sphene** forms under conditions of higher Ca and Si activity than rutile. Sphene is observed forming together with epidote, and with pink or yellow zoisite. Iron is not a prerequisite for sphene formation; availability of calcium is necessary and sphene may form with any member of the epidote group. This calcium-titanium silicate is observed in the deposit, usually in minor amounts and restricted to very well-defined zones.

**Ilmenite** and titanomagnetite are common components of gabbro and gabbronorite, and are only present in unaltered rock. Furthermore, rutile mineralization will only be found in host rock containing abundant ilmenite in magnetite. In the Cerro Blanco project, potential mineralization is defined as rocks that contain at least 80% of rutile + leucoxene of the total titanium-bearing minerals described above.

Core Mapping in the Cerro Blanco project is extremely important since TiO2 assays do not necessarily reflect "potential ore" content, in other words, rutile + leucoxene mineralization. The identification of deleterious minerals, such as sphene, is also relevant since premium quality concentrates have to be low in calcium. Furthermore, deposits of this type are not widely described in geological literature. Therefore, detailed and comprehensive studies are important in order to fully understand the formation of a deposit of such characteristics.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 2</u>

1.3 Drilling and Sampling

Since its discovery in 1992, two different companies (Phelps Dodge and White Mountain Titanium Corporation) have drilled a total of approximately 27,000 meters of diamond (DDH) and reverse circulation (RC) drill holes on the Cerro Blanco concessions. The latest owner discovered seven of the nine known prospects and has completed 18,849 meters of diamond and RC drilling since acquiring the Property in the fall of 2003. Only three of the prospects (Las Carolinas, La Cantera, and Eli) have been drilled and the current Mineral Resource estimate is based solely in these areas.

The borehole database received from GEM Chile contains 157 boreholes, with a total of 25,773 m drilled in the areas of interest, which was used for the mineral resource estimate. Most of this available information includes an analysis of TiO2 %, CaO %, Fe % and Fe2O3 %.

The current sample collection, assaying and certification of assays are consistent with current operating practices. The sampling methods were standardized and tracked. Sample preparation, analysis and security are handled by reputable laboratories. All data had been verified before being entered into the drill hole database for grade estimation.

Industry accepted standard practices during all drilling programs on the Project. Drill holes were oriented to cross the mineralized zones based on surface and geologic mapping and other geological investigative techniques.

1.4 Mineral Resources

RDA generated the mineral resource calculation for the Cerro Blanco Project in accordance with the principles of the Committee for Mineral Reserves International Reporting Standards (CRIRSCO) to report mineral resources. Mineral and they have been categorized as either 1) Measured Mineral Resources, 2) Indicated Mineral Resources or 3) Inferred Mineral Resources.

There were a total of 3,826 analyzed samples used for the resource estimation. Three-meter-length composites were used in the estimation of mineralization. The results were calculated using GEMCOM software and stored in GEM Chile's block model. Ordinary Kriging technique was used to estimate mineralization throughout the deposit. Resources were classified as Measured, Indicated and Inferred based on the drilling density of the Cerro Blanco drilling data. Resources are reported at a cutoff grade of 1.0% TiO2. See Tables 1-1 and 1-2.

**Table 1-1 Cerro Blanco Project Measured and Indicated Mineral Resources**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Category** | **Cutoff**<br> **TiO2 (%)**  | **Tonnes** | **TiO2%** | **Contained TiO2 (t)** |
| Measured | 1.00 | 56315000 | 1.80 | 1012500 |
| Indicated | 1.00 | 50526000 | 1.75 | 885700 |
| **Total** |  | **106841000** | **1.78** | **1898200** |

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**Table 1-2 Cerro Blanco Inferred Mineral Resources**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Category** | **Cutoff**<br> **TiO2 (%)**  | **Tonnes** | **TiO2%** | **Contained TiO2 (t)** |
| Inferred | 1.00 | 67614000 | 1.38 | 932300 |
| **Total** |  | **67614000** | **1.38** | **932300** |

---

The date of the mineral resource estimate is August 7, 2023.

Mineral resources for the Project are enumerated as per §229.1302(d)(1)(iii)(A) (Item 1302(d)(1)(iii)(A) of Regulation S-K).

Mineral resources are not mineral reserves and do not meet the threshold for reserve modifying factors, such as economic viability, that would allow for conversion to mineral reserves. There is no certainty that any part of the mineral resources estimated will be converted to mineral reserves.

Numbers in the table have been rounded to reflect the accuracy of the estimate and may not sum due to rounding.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 3</u>

1.5 Interpretations and Conclusions

There have been successive exploration campaigns, which have contributed to define the mineral resources of the Cerro Blanco project within the three main mineralized targets such as Las Carolinas, La Cantera and Eli.

Cerro Blanco project is a quality grade titanium deposit in Region III of northern Chile. The topography of the deposit would lend itself to a low stripping ratio, open pit operation, and the well-developed regional infrastructure would greatly assist in the development and operation of the Property. The current resource estimate, which is based on a total of approximately 27,000 meters of drilling on 3 of 9 known prospects, could be sufficient to support eventual economic extraction. It is advisable to the company to expand current resources through additional in-fill and step-out drilling, principally on the Las Carolinas and La Cantera Prospects. Additionally, the Company should plan to undertake a trenching, sampling, mapping, and initial diamond drilling program on prospects lying adjacent or near Las Carolinas and La Cantera and in particular those prospects exhibiting large geophysical signatures and/or high TiO2 grades at the surface.

Based on considerable metallurgical test work, the consultants and the management believe that the mineral resources on the Property have the characteristics to produce a high-grade rutile concentrate and a commercial grade feldspar concentrate that would be attractive to paint pigment and tile and glass manufacturers, respectively, throughout the world. RDA advises the company to engage technical and marketing personnel with the requisite experience for seeking clients for the planned concentrate output.

The data utilized by the company is well-organized and provides a good base for future studies. In the author's opinion, the data density and reliability are more than adequate for the conclusions that have been presented for Cerro Blanco by the company. The Cerro Blanco Project, as completed to date, has met its objectives.

1.6 Recommendations

RDA recommends additional work at the Cerro Blanco Project should focus on three areas:

&nbsp;&nbsp;&nbsp;&nbsp;1. Integrate the new mineral resource estimate into the detailed engineering, process design, site planning
and Environmental Impact Study filing.

&nbsp;&nbsp;&nbsp;&nbsp;2. Complete an in-fill, step-out, and geotechnical diamond drilling program on the Las Carolinas and La Cantera
Prospects to increase measured and indicated geological resources on those prospects and better define slope angles for mine design purposes.

&nbsp;&nbsp;&nbsp;&nbsp;3. Undertake a trenching, sampling, mapping, and initial diamond drilling program on prospects lying adjacent
or near Las Carolinas and La Cantera, and in particular those prospects exhibiting large geophysical signatures and/or high TiO2 grades
at surface.

Additional work at Cerro Blanco should continue to focus on diamond drilling to determine the limits of the mineralization and to provide sufficient data to allow for the conversion of the Inferred resource to the Indicated and Measured category. Drilling should also test for extensions of the deposit and ultimately to define the limits of the mineralization.

The recommended project schedule entails an additional season of diamond drilling followed by an update to the Mineral Resource estimate and the initiation of a Preliminary Economic Assessment. Any supporting engineering data from the site (geotechnical data, additional metallurgical test work, etc.) should be collected during the field season. Table 1-3 shows the approximate cost for the exploration program.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 4</u>

**Table 1-3 Cost Estimate for Recommended work program at Cerro Blanco**

---

| | |
|:---|:---|
| **Activity** | **Amount (US$)** |
| Drilling Cost | 1957647 |
| Operating Cost | 190956 |
| Reflex Cost | 49542 |
| Trays, Bags, and Other Consumables | 26546 |
| Water Truck Cost (two water trucks) | 190076 |
| Mechanical Preparation Cost | 140529 |
| Assay Cost | 161291 |
| Topography Cost | 62549 |
| Water Cost | 7490 |
| Road Maintenance and Rig Movement Cost | 127323 |
| Other General Costs | 36053 |
| Contingency | 295000 |
| **Total Cost** | **3245000** |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 5</u>

2 Introduction

This revised Technical Report Summary updates a prior version of the Technical Report Summary "S-K 1300 Technical Report Summary for the Cerro Blanco Rutile Titanium Bearing Mineral Deposit, Region III, Atacama, Chile" dated August 7, 2023.

Revisions:

● Mineral Resource Estimates were adjusted to reflect a change in the cutoff grade (Tables 1-1, 1-2, 11-7)

● A stratigraphic column was added to page 26

● A plan view showing drilling was added to page 30

● The opinion of the qualified person regarding the adequacy of sample preparation, security, and analytical procedures was added to page 52

● The degree to which metallurgical test samples is representative was described on page 68

● The point of reference for mineral resources was added to page 85

● The estimated recoveries used in the mineral resource estimate were added to pages 83 and 85

● A description of the cut-off grade, commodity price, reasons for selecting the commodity price, and unit costs associated with the cut-off grade can be found on page 83

● A discussion of uncertainties in the estimates of mineralization, covering sources and explaining how these were considered, also identifying underlying factors contributing to the final conclusions, was added to page 85

● The opinion of the qualified person as to whether all issues relating to all relevant technical and economic factors that are likely to influence the prospect of economic extraction can be resolved with further work can be found at the end of page 85

2.1 Overview

This Technical Report Summary (this "TRS") was prepared and compiled by RDA at the request of Key Mining Corp. ("KMC") through its wholly owned subsidiary Gold Express Mines SpA ("GEM Chile"). RDA is an independent engineering consulting firm headquartered in Highlands Ranch, Colorado, USA.

GEM Chile acquired the Project in 2022 based on the geological setting and its strategic location near several major producing mines and development projects. The work completed by GEM Chile and predecessors forms the basis of this report.

This report describes the property, geology, mineralization, exploration activities and exploration potential based on compilations of published and unpublished data and maps, geological reports, and a field examination. RDA has been provided documents, maps, reports, and analytical results by GEM Chile. This report is based on the information provided, field observations and RDA's familiarity with mineral occurrences and deposits worldwide. All references are cited at the end of the report.

2.2 QP Qualifications

The Consultants preparing this technical report are specialists in the fields of geology, exploration, mineral resource and mineral reserve estimation and classification, surface and underground mining and operating cost estimation, and mineral economics.

This TRS was completed under the direction and supervision of RDA. RDA is a third-party QP as defined by Regulations S-K 1300. Additionally, RDA has approved the technical disclosure contained in this TRS.

2.3 Terms Of Reference

The report fulfills the requirements of KMC to list a publicly traded company in the United States. The reader of this report can rely on its contents to represent an accurate assessment of the technical information regarding the Cerro Blanco Project.

2.4 Personal Inspection of the Cerro Blanco Property

RDA conducted a personal inspection of the Project June 7 and June 8, 2023.

2.5 Declaration

As of the effective date of this TRS, RDA is not aware of any known litigation potentially affecting the Project. RDA did not verify the legality or terms of any underlying agreement(s) that may exist concerning the permits, royalties, or other agreement(s) between third parties.

The results of this TRS are not dependent upon any prior agreements concerning the conclusions to be reached, nor are there any undisclosed understandings concerning any future business dealings between KMC and RDA. RDA is being paid a fee for their work in accordance with normal professional consulting practices.

The opinions contained herein are based on information collected through the course of the investigations by RDA, which in turn reflect various technical and economic conditions at the time of writing. Given the nature of the mining business, these conditions can change significantly over short periods of time. Consequently, actual results can be significantly more or less favorable.

2.6 Sources of Information

The reports and documentation listed in this TRS were used to support the preparation of this TRS. Additional information was sought from KMC personnel where required.

2.7 Important Notice

This TRS is intended to be used by KMC subject to the terms and conditions of its agreements with Resource Development Associates Inc. and its associated consulting firms. Such agreements permit KMC to file this TRS as a Technical Report Summary and Initial Assessment with the SEC's mining rules under subpart 1300 and item 601 (96)(B)(iii) of the Regulation S-K (SK-1300). Any other use of this TRS by any third party is at that party's sole risk. The user of this document should ensure that this is the most recent TRS for the property as it is not valid if a new TRS has been issued.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 6</u>

2.8 Acknowledgements

The authors would like to acknowledge the general support provided by the KMC management and development team personnel for this assignment. The TRS benefited from the knowledge and specific input from the following individuals:

● Cesar Lopez – Chief Executive Officer

● Enrique Correa – Country Manager

● Reinaldo Reyes – Project Manager and Chief Mining Engineer

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 7</u>

3 Property Description and Location

3.1 Mineral Property and Title in Chile

Chile's current mining policy is based on legal provisions founded in Spanish law with modifications via a series of prior Mining Codes leading to the revised Mining Code of 1982. These were established to stimulate the development of mining and to guarantee the property rights of both local and foreign investors. According to the law, the state owns all mineral resources, but exploration and exploitation of these resources by private parties is permitted through mineral concessions, which are granted to any claimant to mineral rights who follows the required procedures.

Mineral concessions have both rights and obligations as defined by a Constitutional Organic Law of Mining as enacted in 1982. Concessions can be mortgaged or transferred, and the holder has full ownership rights and is entitled to obtain the rights of way for exploration and exploitation. The concession holder has the right to use, for mining purposes, any water flows which infiltrate any mining workings. In addition, the concession holder has the right to defend his ownership against state and third parties. An exploration concession is obtained by a claim filing and includes all minerals that may exist within the claim area.

Information in this subsection is based on data in the public domain and Chilean law (Chilean Civil Code, Chilean Mining Code, Chilean Tax Law, Fraser Institute, 2022), and has not been independently verified by RDA.

3.2 Chilean Regulations

Chile's mining industry is regulated by the following laws:

● Constitution of the Republic of Chile

● Constitutional Organic Law of Mining

● Code and Regulations governing Mining

● Code and Regulations governing Water Rights

● Laws and Regulations governing Environmental Protection as related to mining.

3.3 Chilean Mineral Tenure

Chilean mineral concessions have both rights and obligations as defined by a Constitutional Organic Law (enacted in 1982). Concessions can be mortgaged or transferred, and the holder has full ownership rights and is entitled to obtain the rights of way for exploration (*pedimentos*) and exploitation (*mensuras*). In addition, the concession holder has the right to defend ownership of the concession against state and third parties. A concession is obtained through a claim filing and includes all minerals that may exist within its area.

Mining rights in Chile are acquired in the following stages:

3.3.1 Pedimento (EXPLORATION CONCESSION)

A pedimento is an initial exploration claim whose position is well defined by Universal Transverse Mercator (UTM) coordinates which define north-south and east-west boundaries. The minimum size of a pedimento is 100 ha and the maximum is 5,000 ha with a maximum length-to-width ratio of 5:1.

The duration of validity is for a maximum period of two years; however, at the end of this period, and provided that no overlying claim has been staked, the claim may be reduced in size by at least 50% and renewed for an additional two years. If the yearly claim taxes are not paid on a pedimento, the claim can be restored to good standing by paying double the annual claim tax the following year.

New pedimentos are allowed to overlap with pre-existing ones; however, the underlying (previously staked) claim always takes precedent, providing the claim holder avoids letting the claim lapse due to a lack of required payments, corrects any minor filing errors, and converts the pedimento to a manifestación within the initial two-year period.

3.3.2 Manifestacion (EXPLOITATION CONCESSION)

Before a pedimento expires, or at any stage during its two-year life, it may be converted to a manifestación or exploitation concession.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 8</u>

Within 220 days of filing a manifestación, the applicant must file a "Request for Survey" (Solicitud de Mensura) with the court of jurisdiction, including official publication to advise the surrounding claim holders, who may raise objections if they believe their pre-established rights are being encroached upon.

A manifestation may also be filed on any open ground without going through the pedimento filing process.

The owner is entitled to explore and to remove materials for study only (i.e. sale of the extracted material is forbidden). If an owner sells material from a manifestation or exploration concession, the concession will be terminated.

3.3.3 Mensura (SURVEY)

Within nine months of the approval of the "Request for Survey" by the court, the claim must be surveyed by a government licensed surveyor. Surrounding claim owners may be present during the survey. Once surveyed, presented to the court, and reviewed by the National Mining Service (Sernageomin), the application is adjudicated by the court as a permanent property right (a mensura), which is equivalent to a "patented claim" or exploitation right. Exploitation concessions are valid indefinitely and are subject to the payment of annual fees. Once an exploitation concession has been granted, the owner can remove materials for sale. There is a mining tax that provides protection of rights; it is calculated as a percentage of the Unidad Tributaria Mensual (UTM or monthly tax unit) and applies to each hectare of land included in the mining exploration and/or mining exploitation concessions. This tax is paid annually in a single payment before 31 March of each year. For mining exploitation concessions, the tax rate is currently 10% of a UTM per hectare; for mining exploration concessions the tax rate is currently 2% of a UTM per hectare. The value of the UTM is adjusted monthly according to the consumer price index (IPC) in Chile.

3.3.4 Chilean Claim Process

At each of the stages of the claim acquisition process, several steps are required (application, publication, registration fees, notarization, tax payments, patent payment, legal fees, publication of the extract, etc.) before the application is finally converted to a declaratory sentence by the court constituting the new mineral property. A full description of the process is documented in Chile's mining code.

Many of the steps involved in establishing the claim are published in Chile's official mining bulletin for the appropriate region (published weekly). At the manifestación and mensura stages, a process for resolution of conflicting claims is allowed.

Most companies in Chile retain a mining claim specialist to review the weekly mining bulletins and ensure that their land position is kept secure.

Legislation is being considered that seeks to further streamline the process for better management of natural resources. Under the new proposed law, mining and exploration companies will have to declare their reserves and resources and report drilling results. The legislation also aims to facilitate funds for mining projects across the country. In addition to the mining law, the Organic Constitutional Law on Mining Concessions (1982) and the Mining Code of 1983 are the two key mechanisms governing mining activities in Chile.

3.3.5 Surface Rights

Ownership rights to the subsoil are governed separately from surface ownership. Articles 120 to 125 of the Chilean Mining Code regulate mining easements. The Mining Code grants to the owner of any mining exploitation or exploration concessions full rights to use the surface land, provided that reasonable compensation is paid to the owner of the surface land.

3.3.6 Rights of Way

The Mining Code also grants the holder of the mining concession general rights to establish a right of way (RoW), subject to payment of reasonable compensation to the owner of the surface land. Rights of way are granted through a private agreement or legal decision which indemnifies the owner of the surface land. A RoW must be established for a particular purpose and will expire after cessation of activities for which the right of way was obtained. The owners of mining easements are also obliged to allow owners of other mining properties the benefit of the RoW, as long as this does not affect their own exploitation activities.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 9</u>

3.3.7 Water Rights

Article 110 of the Chilean Mining Code establishes that the owner of record of a mining concession is entitled, by operation of law, to use waters found in the works within the limits of the concession, as required for exploratory work, exploitation and processing, according to the type of concession the owner might engage in. These rights are inseparable from the mining concession.

Water is considered part of the public domain and is considered to be independent of the land ownership. Individuals can obtain the rights to use public water in accordance with the Water Code. In accordance with the Code (updated in 1981), water rights are expressed in liters per second (L/s) and usage rights are granted on the basis of total water reserves.

3.3.8 Environmental Regulations

Environmental impact statements are required for projects such as dams, thermo- electric and hydroelectric plants, nuclear power plants, mining, oil and gas, roads and highways, ports, development of real estate in congested areas, water pipelines, manufacturing plants, forestry projects, sanitary projects, production, storage and recycling of toxic, and flammable and hazardous substances. Developments not covered by these categories must submit a sworn statement of environmental impact indicating that the project or activity does not affect the environment and does not violate environmental laws. All projects must be approved by the National Environmental Commission (Comisión Nacional del Medio Ambiente, CONAMA) or the Regional Environmental Commission (Comisión Regional del Medio Ambiente, COREMA).

Decree No. 40/2012, 30 October 2012 Regulations for the System of Environmental Impact Assessment (Reglamento del Sistema de Evaluación de Impacto Ambiental, RSEIA) was approved and published in the Official Gazette on 12 August 2013. In general terms, the new regulation updates the assessment procedure in accordance with the legal and regulatory changes enacted in Chile from 2001 to date. It redefines the information that must be submitted when entering an Environmental Impact Statement (EIA) or an Environmental Impact Declaration (DIA), seeking to give greater certainty to those regulated and to the citizens. The RSEIA seeks to make assessments early, to raise the standard of information and evaluation, and to reduce time to complete the process. The changes are consolidated in Law 19.300, especially with regard to public participation in EIAs. Indigenous consultation is included for projects entering the system, complying with ILO Agreement 169 in force in Chile since 2009.

3.3.9 Land Use

Chile's zoning and urban planning are governed by the General Law of Urban Planning and Construction (Ley General de Urbanismo y Construcción). This law contains several administrative provisions that are applicable to different geographical and hierarchical levels and sets specific standards for both urban and inter-urban areas.

In addition to complying with the Environmental Law (Ley Ambiental) and other legal environmental requirements, projects must also comply with urban legislation governing the different types of land use. Land use regulations are considered part of the Chilean environmental legal framework.

Land use regulatory requirements are diverse and operate at different levels, the main instruments are the inter-community regulatory plans (Planos Reguladores Intercomunales, PRI) and the community regulatory plans (Planos Reguladores Comunales, PRC). The PRIs regulate territories of more than one municipality, including urban and rural territory.

Law 20.551, Law of Mine Closure, enacted in October 2011, took effect in November 2012 and imposes on the mining industry the obligation to execute closure of its operations, incorporating closure as part of the life cycle of a mining project.

To comply with these regulations, the owner of the project must submit a Closure Plan to Sernageomin, prior to starting construction of a mining project, with an approval procedure that depends on the mine capacity. The main procedure is applicable to mining projects with a mine capacity greater than 10,000 tonnes per month. A simplified procedure is allowed for projects with a mine capacity equal to or less than 10,000 tonnes per month or which are exploration projects.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 10</u>

The differences between these procedures are the type of information required to be submitted for evaluation of the Closure Plan. Closure Plans for larger operations must provide more detailed information and must also provide a monetary guarantee to ensure the full and timely compliance with the Closure Plans. The guarantee must cover the costs of the measures associated with closure and post-closure. Each five years, to comply with the Closure Plan, the execution of any closure activities and an update of the Closure Plan must be audited as a complementary instrument of control by Sernageomin. For smaller mining projects or exploration projects that are subject to the simplified procedure, no financial guarantee is required and no audit of the Closure Plan is required.

The following are the requirements for the guarantee:

● The amount of the guarantee must cover the total value of the cost for the Closure Plan including post-closure, and is determined by an estimate of the current costs of the plan. The guarantee is periodically updated

● The guarantee must be paid in full within the first two-thirds of the estimated life of the project if less than 20 years, or within a period of 15 years if the estimated life of the project is more than 20 years

● The payment of the guarantee must begin within the first year of the start of operations, and the value must be equal to 20% of the total closure cost. From the second year on, the payment must be proportional to the period which remains for the complete amount. The guarantee increases until the total value of the closure costs is deposited. The instruments of guarantee must be liquid and easy to execute

● The financial guarantee can be gradually released as the Closure Plan is executed. Once the closure is complete and a certificate of final closure is issued by Sernageomin all guarantees will be released.

Mining companies that are obliged to provide a guarantee have a period of two years to estimate the cost of the Closure Plan. The Closure Plan must be approved under the regulation of Mining Safety Regulations and Environmental Qualification Resolution (RCA). After this period the company must submit the cost of executing the Closure Plan as well as the guarantee to Sernageomin. Sernageomin will then confirm that the company is in compliance.

3.3.10 Foreign Investment

In Chile, foreign investors may own 100% of a company based in Chile with no limit of duration for property rights. Within the limits of Chilean law, investors can undertake any type of economic activity.

Potential foreign investors must comply with the administrative system described in Chapter XIV of the Chilean Central Bank's Compendium of Foreign Exchange Regulations in order to register the entry of foreign capital into Chile. Under the administrative system of Chapter XIV of the Chilean Central Bank, the entry of foreign capital must be registered by commercial banks which, in turn, must coordinate with the Central Bank of Chile. A minimum of $10,000 can be brought in through this mechanism in the form of currency or loans. This mechanism does not require a contract of any type. Capital entering Chile under Chapter XIV is not subject to any tax benefit and foreign investors using this regime are subject to the general taxation established by the Chilean Income Tax Law and the VA (VAT) Law.

Foreign investors complying with the above may freely choose to apply for the Foreign Investment Legal Framework established in Law No. 20.848 of 2015, which entered into force on 1 January 2016. The Foreign Investment Legal Framework regulates investments made by an individual or legal entity incorporated overseas, not residing or domiciled in Chile, whose investment is equal to or greater than $5 million, or the equivalent in other currencies.

Foreign investments authorized under this legal framework are entitled to:

● Remit abroad the equity invested and the net profits generated by the investment in Chile, when all tax obligations have been fulfilled according to the local regulations

● Access the formal exchange market to liquidate the currency constituting the investment.

● Access the formal exchange market in order to obtain the foreign currency required to remit the equity invested or the net profits generated by the investment in Chile

● A VAT exemption on the import of capital goods in projects worth over $5 million, as long as certain requirements are met

● No arbitrary discrimination, the foreign investor is subject to the same legal regime as local investors.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 11</u>

To qualify as a foreign investor and access the rights available under the Foreign Investment Legal Framework of Law 20.848 described above, the investor must request a certificate from the Agency for the Promotion of Foreign Investments demonstrating the investor's foreign status. The request submitted to the Agency must provide evidence (in a form determined by the Agency) that the investment will be materialized in the country; a detailed description of the investment; and the amount, purpose and nature of the investment.

Law 20.848 states that, for a period of four years from 1 January 2016, a foreign investor may request authorization to sign a tax invariability contract according to the terms, time frames and conditions established in Articles 7 and 11 of Decree Law No. 600 (DL 600 was replaced by Law 20.780 from 1 January 2016).

● Article 7 of Decree Law 600 establishes a tax invariability system that grants, for a period of 10 years, a total effective tax rate of 44.45% for investments of no less than $5 million for any investment purposes in Chile

● Article 11 of Decree Law 600 establishes a tax invariability system that grants, for a period of 15 years, specific rights for investments of no less than $50 million for mining projects.

3.3.11 Current
 Mining Royalty

Government royalties are levied in the form of a mining tax. The general tax regime applicable to mining activity is dependent on the size of the operation.

Small mining operations with a maximum of five employees are subject to an overall income tax with a fixed rate calculated according to a formula that considers the average price of copper and the company's sales. Larger companies, for instance stock corporations or limited responsibility partnerships, whose annual sales do not exceed 36,000 tonnes of metallic non-ferrous minerals or 2,000 annual tax units, regardless of the type of mineral, are considered to be medium-scale. Medium-scale mining operations are subject to a presumptive tax regime, under which the taxable income of the period is presumed to be a certain percentage of their net sales, being subject to the general tax rates. This percentage ranges from 4 per cent to 20 per cent according to the average copper price during the tax period.

Companies exceeding the previous criteria are considered large mining operations. Large mining operations will be subject to the general income tax regime. As such, they are subject to income tax, which since 2016 is 24 per cent and a global complementary or additional tax, depending on whether the contributor is a Chilean or foreign national.

There is a royalty, or specific mining tax, on mining activities that cover any concessionaire who extracts and commercializes minerals in any type of production. The rate of this tax is progressive and follows the volume of the company's production. The current rules are as follows:

● companies whose annual sales exceed the equivalent of 50,000 tonnes of fine copper pay a progressive rate of between 5 per cent and 14 per cent;

● companies whose annual sales are between the equivalent of 12,000-50,000 tonnes of fine copper pay a progressive rate of between 0.5 per cent and 4.5 per cent; and

● companies whose annual sales are equal to or less than 12,000 tonnes of fine copper are exempt from the royalty.

The value upon the tonnes of fine copper is calculated as according to the average value of grade A copper registered at the London Metal Exchange.

Finally, other duties and fees applying to any business are also applicable to mining activities. As such, these companies are subject to municipal and stamp duties and VAT.

3.3.12 The New Mining Royalty

On May 17, 2023, the Chilean Congress approved a new mining royalty tax, which replaces the existing specific mining activity tax and introduces a new ad valorem component for large-sized mining operators, largely retaining what was regulated in the existing law regarding the mining operating margin. It also includes a maximum tax burden limitation.

The new royalty tax has two main components: (i) an ad valorem component, applicable only to big-sized mining operations; and (ii) a mining operating margin component. The applicability of the different components of the royalty, its taxable base, and its rates depend on the Metric Tonnes of Fine Copper ("MTFC") (or equivalent) sold annually by each operator.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 12</u>

**Large-Sized Mining Operators:** Large sized operators have annual sales greater than 50,000 MTFC (or equivalent) based on average annual sales for the last 6 fiscal years (current rules only considered the taxed year).

The two main changes of the new royalty tax applicable to large sized operators are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(i)** **Ad Valorem Component** 

The ad valorem component is equivalent to 1% on the annual copper sales (including qualifying sales made by related parties). If an operator has a negative operational taxable income from mining (ie. a loss), this component is reduced by the amount of the loss.

The previous version of the royalty did not include ad valorem tax in addition to the mining operating margin component. Most of the additional changes in this bill (e.g., imposing a maximum tax burden limitation) are a result of political compromise to pass this ad valorem component of the royalty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(ii)** **Mining Operator Component** 

The mining operating margin component is an additional progressive tax rate applied to the existing mining operational taxable income. The rate of this component depends on whether the operator's percentage of copper sales exceeds 50% of its total sales, including qualifying sales made by related parties. The net result of this amendment is that mining operators will be subject to higher tax rates than previously.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Mining operators whose copper sales are more than 50% of their total sales are subject to a rate based
on the mining operating margin (i.e., the taxable mining income on gross sales) of each company, ranging from a minimum rate of 8% reaching
to a maximum effective average rate (i.e., after applying the progressive rates of each bracket) of 26%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Mining operators whose copper sales are less than 50% of their total sales will be subject to a rate based
on the mining operating margin of each operator (ranging from 5% to 34,5%, with a maximum average rate of 14%). These rates are the same
as the rates in the current legislation, which is currently applicable to every mining operator selling more than 50.000 MTF (regardless
of the composition of those sales).

The changes of the new royalty tax applicable to medium and small sized operators are as follows:

**Medium sized Mining Operators:** Medium sized operators have annual sales greater than the equivalent value of 12,000 MTFC and do not exceed the equivalent value of 50,000 MTFC. Medium-sized operators would be subject to a progressive rate between 0.4% and 4.4%.

**Small sized Mining Operators:** Small sized operators are those annual sales less than the equivalent value of 12,000 MTFC. Small sized operators would be exempt from the tax. This exemption is not changed when compared with the current rules.

3.3.12.1 MAXIMUM TAX BURDEN LIMITATION

There is a maximum tax burden imposed on a mining business. The maximum potential tax burden is set at 46.5% of the net mining operational taxable income. This limit considers the (a) mining royalty tax (including both components) and (b) income taxes, that is corporate income tax (27%) and potential shareholder's taxation on dividends (35%). If the aggregate of these taxes exceeds the burden cap, the royalty tax shall be reduced accordingly. For mining operators with sales for up to 80,000 MTFC (or equivalent) (considering the average sales of the last 6 years), the maximum potential tax burden will be 45.5%.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 13</u>

3.3.12.2 AUDITED FINANCIAL STATEMENTS

Mining operators subject to the royalty tax shall submit audited financial statements to the Comisión para el Mercado Financiero (Chilean Securities and Banking authority) annually.

3.3.12.3 EFFECTIVE DATE

The new tax rate will become effective January 1, 2024. For mining operators who currently benefit from a tax invariability agreement (the new tax rate will apply on the date of expiry of the invariability tax regime agreement).

3.3.12.4 NEW FUNDS FOR THE BENEFIT OF LOCAL COMMUNITIES

Three new public funds are created for regional productivity and development, and for vulnerable and mining territories.

3.3.13 Fraser Institute Study

KMC Chile has used the 2022 Fraser Institute Annual Survey of Mining Companies report (the Fraser Institute survey) as a credible source for the assessment of the overall political risk facing an exploration or mining project in Chile. Each year, the Fraser Institute sends a questionnaire to selected mining and exploration companies globally. The survey is an attempt to assess how mineral endowments and public policy factors such as taxation and regulatory uncertainty affect exploration investment. In 2022, 1,966 companies were approached, and 180 companies responded providing sufficient data to evaluate 62 jurisdictions.

RDA has used the Fraser Institute survey because it is globally regarded as an independent report-card style assessment to governments on how attractive their policies are from the point of view of an exploration or mining company and forms a proxy for the assessment by industry of political risk in Chile from the mining perspective.

Chile has a Policy Perception Index rank of 38th out of the 62 jurisdictions in the Fraser Institute survey. Chile's Investment Attractiveness Index rating is 35th out of the 62 jurisdictions, and it is ranked 26th on the Best Practices Mineral Potential Index (out of 47).

3.4 Cerro Blanco Property Location

The Cerro Blanco Project is centered at a latitude of 28 degrees 38.5 minutes south with a longitude 71 degrees 4.5 minutes west. It has a maximum altitude of 1,200 meters above sea level (masl) and it is located approximately 525 km north of Santiago, close to the Freirina Village, approximately 39 km from the city of Vallenar and southwest of the Cerro Rodeo Mining District, in the Atacama geographical region (Region III) of northern Chile.

The Project site is shown on Figure 3-1. The main city in the vicinity is Freirina, which lies close to national Route 5. A public highway alongside the Huasco River connects Vallenar with the Port of Huasco. The project site can be reached via a non-improved road, which starts some 7 km east of Freirina, and runs some 15 km to the Cerro Blanco mine.

The Pacific Ocean coast of Chile lies some 10 km west of the project site, while the Huasco port is about 25 km from the mine by road. A rail line, serving mainly the iron mines in the vicinity, runs close to the Huasco River to the Huasco Port. The assets of GEM Chile include 52 registered mineral concessions in Region III of northern Chile. The current land package is contiguous and totals 10,537 hectares. This study considers three initially discovered rutile mineralization deposits (Las Carolinas, La Cantera and Eli) and leaves additional exploration targets still to be explored.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 14</u>

![](ex96-1_001.jpg)

**Figure 3-1** Location of the Cerro Blanco Project

3.5 CERRO BLANCO OWNERSHIP

Information provided to RDA supports that Gold Express Mines SpA ("GEM Chile") is a stock company (Sociedad Por Acciones) legally organized under the laws of the Republic of Chile. GEM Chile is a wholly owned Chilean subsidiary of Key Mining Corp., a US corporation incorporated and validly existing under the laws of the State of Delaware, USA.

3.6 MINERAL TENURE

GEM Chile's assets consist of 50 registered exploitation concessions and 2 registered exploration concessions in Region III of Northern Chile. The current land package is contiguous and totals 10,537 hectares and includes the proposed project site. All concessions are held in the name of GEM Chile.

All the concessions, except for the 2 exploration concessions, have been surveyed by a government-licensed surveyor. Concessions are protected under Chilean law by payment of the annual mining license fees.

Details of the claim held, the type of claim, and the registration details of each claim are presented in Table 3.1. Figure 3.2 shows the layout and the location of the concessions described in Table 3-1.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 15</u>

**Table 3-1 Summary of Mineral Tenure for the Cerro Blanco Concessions**

![](ex96-1_002.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 16</u>

![](ex96-1_003.jpg)

Figure 3-2 **Layout and Location of the Concessions**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 17</u>

3.7 SURFACE RIGHTS

Some of the surface rights over the Cerro Blanco Project are currently held privately by AGROSUPER, a large Chilean agricultural corporation with local operations concentrated along the Huasco River valley. The company will start discussions with AGROSUPER with the objective of acquiring the necessary surface rights located within the Cerro Blanco Project area. In addition to AGROSUPER, there are third-party owners of surface rights as well as lands owned by the Chilean Government through the Ministry of Public Lands.

The holder of a mineral concession must coordinate with the landowner access to the surface area of the concession for exploration and mining purposes. Where the landowner is a private party, the concession holder negotiates an easement directly with the owner, provided that if the landowner is uncooperative, the local court may grant the easement on terms determined to be reasonable. The concession holder must indemnify the landowner for damage caused by any exploration and mining activities and must remediate environmental harm caused by such activities. Where the landowner is the government, the concession holder applies to the government for an easement, which will generally be granted without complication.

3.8 WATER RIGHTS

The Project will not require an application for water rights. The water for operations will consist solely of desalinated sea water. GEM Chile, or its successors, shall buy and use processed water for the Cerro Blanco Project, from the desalination plant which will be controlled and operated by Atacama Sur SpA or its parent company Nexo Water Ventures LLC, headquartered in the United States, or any other company that the latter may designate, unless the parties agree otherwise. With respect to the agreement with Nexo Water Ventures LLC, GEM Chile agreed to obtain water for 23 of the Cerro Blanco claims from a desalination plant controlled by a third-party affiliate of a prior owner of the claims and, subject to availability, GEM Chile currently expects to use such water source for exploration and mining activities at all of Cerro Blanco claims. However, if this third party's proposed desalinization plant is not operational during some or all of the additional activities described herein, GEM Chile may obtain water temporarily from a different source. GEM Chile believes there are adequate alternative sources of water, including from the Huasco River which is approximately 15 kilometers north of the project, from other desalinization plants in the Atacama region, and potentially from subterranean wells within the local pediment gravels immediately north and west of the project. During exploration and work activities, GEM Chile expects that the Project's water supply will be delivered by tank trucks. If GEM Chile begins mining operations at the Cerro Blanco Project, water needs will increase substantially, and GEM Chile should expect to have water delivered to the project by pipeline.

3.9 ROYALTIES AND ENCUMBRANCES

The Cerro Blanco project is subject to an NSR royalty, which GEM Chile or its successors, must pay to White Mountain Minerals SpA. This royalty consists of 2% of the Net Smelter Return received for products from minerals exclusively extracted from the mineral concessions included in the Agreement to Purchase Mining Claims, and the Appendices thereto, between White Mountain Minerals SpA and Manquehue Asesorías Mineras SpA, which was signed on December 9, 2022, at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, recorded in the Journal under No. 19,095 2022. As a result of an Amendment to this Agreement, which was signed on July 4, 2023, at the Santiago Notary Offices of Luis Ignacio Manquehual Mery, GEM Chile has the right of buying back a 100% of this royalty, for an amount of USD 1,950,000 (one million nine hundred and fifty thousand dollars of the United States of America). This royalty is recorded under No. 44 on Page 147 of the Freirina Mine Registrar's 2022 Book of Mortgages and Encumbrances.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 18</u>

4 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY

4.1 ACCESS AND INFRASTRUCTURE

The Cerro Blanco project is located in Freirina, Community of Huasco, Vallenar in the Atacama region (Region III) of northern Chile, and it is located approximately 525 km north of Santiago, 24 km west of Vallenar city and 25 km east of the port of Huasco, and more specifically, centered at a latitude of 28°38.5' south latitude, and a longitude 71°4.5' west.

The main city in the vicinity is Freirina, which lies close to national Route 5. A public highway alongside the Huasco River connects Vallenar with the Port of Huasco. The mine site can be reached via a non-improved road, which starts some 7 km east of Freirina, and runs some 15 km to the Cerro Blanco mine.

The Project has close proximity to the main highway that runs the length of Chile provides further access and distribution for necessary supplies. A good water supply is available from the Huasco River, 15 km to the north, and further supplies are possible from subterranean wells within the local pediment gravels immediately north and west of the Property and sea water. High-tension power lines pass 15 km to the north of the Property along the Vallenar-Huasco highway.

In addition to good road transport links, power, and water, a port facility capable of handling 70,000-tonne ships is available at Huasco.

The Atacama Region has well established infrastructure (energy, water, transportation, and labor) to serve the mining industry. However, there is currently no infrastructure at the Project site.

4.2 PHYSIOGRAPHY

Hills of gentle to moderate relief have been cut by deep gullies and are flanked by gravel-filled valleys and alluvial fans. Vegetation is sparse. In the valleys, plant life consists of small widely spaced bushes a few centimeters high. Hillsides and peaks are generally devoid of vegetation. The coastline in the port area is aligned along a west–southwest–east–northeast direction.

The Property is of a gentle relief of hills and wide large valleys, some places incised by ancient drainages and/or fault scarps. The Property is at an elevation ranging from 500 to 1,200 meters. The area is characterized by arid moderate altitude desert conditions in which exploration may be carried out all year around.

The large land package of Cerro Blanco in terms of surface area, could host the potential mining operation, tailings storage areas, waste disposal areas, stockpiles, and the processing plant.

4.3 CLIMATE

The Project is in an area that is one of the driest places in the country and in the world, with high solar radiation, evaporation rates, and salt concentration in the soil. Rainfall is occasional and irregular, and in some years only received during the winter period. There is only sporadic surface run-off during rain events. Vegetation is minimal, supporting only desert scrub and sparse cactus.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 19</u>

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| | |
|:---|:---|
| 5 | HISTORY |

---

The first reference to the titanium mineralization, either on or adjacent to Cerro Blanco, appears in 1953 and in subsequent government reports on the non-metallic and metallic mineral resources of Chile. These reports describe the occurrences as small hydrothermal deposits located in aplitic bodies and lenses from several meters to 100 meters in size, in which rutile appears as disseminated grains, from one to several millimeters in size. The rutile is described as accompanied by minor titanite, apatite, actinolite, and biotite.

5.1 CHRONOLOGY 1990 - 2002

From 1990 to 1991, the western half of the Property, then referred to as Barranca Negra, was held under option by Adonos Resources of Toronto, Canada, who conducted extensive rock sampling, geological mapping, and 450 meters of trenching. Details of this work are not available. However, an independent consultant report, commissioned by Adonos, indicates three proximal zones with a 'cumulative resource potential' to 100 meters depth. Drilling was recommended but never carried out.

In 1992, Ojos del Salado (Phelps Dodge's exploration arm in Chile) optioned the Property and renamed it Freirina. In 1992, they conducted extensive surface rock sampling, which identified eight 1% + TiO2 anomalies. In late 1992 and early 1993, 1,200 meters of diamond drilling and 6,000 meters of percussion drilling were completed, principally in the most westerly Cerro Blanco anomaly.

In 1993, two 15 tonne "run of mine" bulk samples were taken for metallurgical testing by Phelps Dodge. A gravity concentrate was produced from these samples by Lakefield Research in Santiago. Fifty kilograms of this concentrate was shipped to Carpco Inc. (Carpco) of Florida, USA for further gravity circuit up-grading followed by dry-milling using magnetic and electrostatic separation techniques. The property purchase was completed by Phelps Dodge in 1996 and further metallurgical testing at Carpco in 1997 on the second sample suggested a process flow sheet could be developed that could produce a rutile product containing 95% + TiO2.

In 1999, Dorado purchased the property from Phelps Dodge and renamed the property Celtic. In February 2000, a preliminary processing test produced a rutile concentrate (99% TiO2). The work, which was carried out by RMG Services Pty. Ltd. of Adelaide, Australia on behalf of Dorado, used combined microwave leaching and flotation in the up-grading of Celtic (Freirina) gravity concentrate.

In June 2000, a review and summary of prior exploration programs and results was conducted by an independent geological consultant on behalf of Dorado. A cross-sectional estimate of the resource potential of the Cerro Blanco deposit based on Phelps Dodge's drilling and surface sampling was completed as part of this study.

Later in June 2000, a scoping study based on level plans produced for the area of highest density drilling was undertaken on behalf of Dorado by Tecniterrae Limitada, a Santiago based group of consulting mining engineers. In November and December 2000, a further study was commissioned by Dorado to supervise the collection of a second bulk sample of 25.0 tonnes for metallurgical testing. During this program, the Cerro Blanco deposit area was geologically re-mapped. In August 2001, ownership of the Property was transferred to Kinrade Resource Limited.

5.2 CHRONOLOGY PERIOD 2003 – FEBRUARY 2005

In fall of 2003, White Mountain acquired the property, Cerro Blanco, through its Chilean subsidiary Compañía Minera Rutile Resources Limitada. In 2004, the Company hired a consultant geologist, Mr. Terry Walker, M.Sc., P. Geo and Qualified Person, to supervise a field program consisting of 12 diamond drill holes. After completing the drilling, Mr. Walker prepared a resource estimate on the property, in conjunction with Mr. Jozsef Ambrus, Director of Geovectra, S.A. (Geovectra), a geological consultancy in Santiago.

In preparing his resource estimate, Mr. Walker included the 12 White Mountain diamond drill holes as well as the 25 diamond and percussion drill holes completed by Phelps Dodge between 1992 and 1993. The drill holes are defined by UTM coordinates 6,829,750-6,830,250N, 297,000-298,000E, and the area where the mineralization is well exposed. Phelps Dodge did mineral sampling fragments in this area.

Statistical analysis of the total data obtained at that time showed that there were 2 relatively different populations of TiO2. The two populations had a Gaussian type distribution with medium size of 0.45% and 1.63% TiO2. About 95% of the above anomaly of the population is separated by a limit value of 0.82% from the lower population "background."

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 20</u>

This value of 0.8% TiO2 was used as a cut-off to define units mineralized resource calculation and in most cases correlated well with the limits of geological units.

The distribution of grades through separate drillings within mineralized blocks in the main area showed good lateral and vertical internal homogeneity, i.e., without peaks or erratic changes in of grades, ranging from an average grade of approximately 15% between adjacent samples 30% or less between the extreme grades within a block.

This leads to a clear definition, particularly about the 0.8% and good continuity between the closer drillings in a section. This grade homogeneity is also reflected in surface sampling of Phelps Dodge. For these reasons and for the mineralization shape as a leaf immersing into a moderate angle expressed both in section and in surface, Mr. Walker used a cross sectional method to estimate the geological resource in the area of drilling meshes.

The resource estimate method of cross section used in the calculation of Mr. Walker includes the construction of a total of 7 vertical cross sections of northeast-southwest direction where the contacts were interpreted from the geological drilling and sections. These interpreted geological sections were used to confirm the limits of mineralization with a cut-off of 0.8% TiO2.

Blocks of resources were determined within this range using the average distance between drilling and geological boundaries, such as faults and lithological changes, with the grade assigned to each block corresponding to the drilling that was intercepting it in the center.

At the edges of the drilling pattern-based resource blocks were spread with geological criteria and medium size distances. The volumes of the blocks were defined by determining the surface area of each section, and multiplying by the thickness between adjacent sections. An average density of 2.75 grams per cubic centimeter (g/c3) was used to calculate the tonnage.

This value is the average between the average density of 2.65 g/c3, determined by surface tonalite in Ojos del Salado in 1992 and the average density of 2.9 g/c3, determined from samples of recent drillings by Laboratories MinGeo Santiago in 2002 per Kinrade's request.

5.3 CHRONOLOGY MARCH 2005 TO 2008

During this period, White Mountain conducted or commissioned the following studies on the property.

Geovectra completed surface mapping at a scale of 1:1,000 in Carolinas Prospect (4 square kilometers (km2)) and 1:10,000 for the surrounding area (10 km2). This study included lithology, alteration, magnetic susceptibility, and rutile content.

Tidy and Co. completed a petrographic study of 39 samples of outcrop and 34 of drilling holes. A total of 46 thin sections and 11 polished were studied by microscope.

A record and analysis of all White Mountains 2004 diamond drillings for main oxides.

A second drilling campaign in 2005 of 8 holes, using RC, a total of 1,621 meters, to corroborate drillings done by Phelps Dodge. Geovectra recommended drilling location and sections were recorded and analyzed. The grades of the holes with RC drillings done by White Mountain and the grades of the holes with percussion drilling done by Phelps Dodge were very similar.

In the second half of 2006, a third drilling campaign was completed; 16 diamond drilling holes (CB-13 to CB-28) a total of 2,906 meters.

A regional exploration program was completed throughout the property in 2007, with a result of the discovery of Eli Prospect, located about 3.5 km southwest of the Carolinas. A geochemical grid of 25 meters × 25 meters of rock fragments in an area of 1,200 meters × 600 meters was performed in Eli in January 2008. It is also a new resource estimate for the Las Carolinas and La Cantera Prospects, completed at the same time.

In mid-2008, a diamond drilling program was undertaken at the Eli Prospect. This program consisted of 32 drill holes (EL001 to EL032) totaling 4,684 meters.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 21</u>

SGS Lakefield in Canada carried out a metallurgical study for the developing of the general scheme of treatment, metallurgical mapping for the different types of Las Carolinas mineralization, metallurgical studies for feldspar recovery from tailings, and grindability studies of samples, including SAG mill, rod mills, and balls mills.

Cade-Idepe was commissioned to undertake engineering studies related to the development of the processing plant, its ancillary facilities, and costs.

5.4 CHRONOLOGY 2009 TO 2012

Metallurgical testing samples were sent to SGS Lakefield in Canada. Tests were conducted to optimize the scheme of treatment of mineral types, defined as likely to generate high quality concentrates; recovery test work, and also the use of seawater as the medium in flotation.

SGS Lakefield was asked to conduct pilot tests during 2009, in order to confirm the results obtained at laboratory scale, to generate more information for the development of engineering studies, and to generate sample concentrate marketing purposes. These tests were performed in 2 stages of study. For the development of these tests, nearly 300 tonnes of mineralization, defined as "Type 1" mineralization, was sent to the metallurgical consultant. The tests confirmed the results obtained at laboratory scale, achieving concentrates around 96% TiO2 content, considered a premium grade. Different types of gravitational concentration alternatives were evaluated as well as the use of sea water in flotation.

A geological mapping program of surface detail at Las Carolinas, La Cantera, and Eli was performed during 2009 and 2010.

A diamond drilling campaign of the infill and brownfield in Las Carolinas, consisting of 54 drilling holes (to CB82 CB029), a total of 7,047 meters was completed between November 2010 and March 2011

In late 2011, AMEC updated the pre-feasibility study of the plant done in 2008, to update the processing scheme and equipment sizing parameters of the plant determined during the pilot plant execution and the evaluation of other plant sites.

In early 2012, AMEC performed the pre-feasibility design of tailings deposit, to obtain the final design, growth, stability studies, and others in order to advance in the design and also to obtain the required information to complete the Environmental Impact Study.

A pilot blast campaign was conducted to determine blasting parameters, particle size run of mine mineralization, and generate samples for process optimization test work. Two separate test blasts were carried out at different locations at the Las Carolinas deposit; each blast generated about 5,000 tonnes of material.

During the first quarter of 2012, further process test work was carried out at SGS-CIMM T&S Chile, in order to generate samples with different levels of metallurgical processing:

Crushed sample for analysis of material handling characteristics in hoppers and silos at Jenike & Johanson, Chile.

Milled samples, subsequently de-slimed, a total of 500 kilograms (kg), for gravity concentration optimization test work at Mineral Technologies, Australia.

Gravity pre-concentration samples, a total of approximately 500 kg, for further lab scale flotation, optimization, and flotation reagent testing at CYTEC, Chile.

At the end of 2011, Ingeniería Moreno was commissioned to perform a water pre-feasibility study to determine the free water availability in the surrounding areas close to Cerro Blanco. The study confirmed the limited availability of river water and determined that the best option was to consider the use of seawater and associated desalination technology, either through the purchase of industrial water from a third party or the installation and management of a complete water solution, independently, by the Company.

In late 2011, a pre-feasibility study was commissioned from Ingeniería Moreno to consider access and develop alternatives for road access to the Mine-Plant sector.

In early 2012, Ingeniería Moreno, Chile undertook a study to determine the feasibility, layout, and best practice of water transportation and piping, between the coast and the process plant.

During the second semester of 2012, the Company's own engineering team in Santiago undertook the completion of all pre-feasibility aspects of the project, including the re-evaluation of plant capacity, and engineering design for a starting mine capacity of 4.0 million tonnes per year.

5.5 CHRONOLOGY 2012 TO 2015

During this period, White Mountain submitted the Cerro Blanco project to the environmental authority via an Environmental Impact Study (EIS).

The EIS was submitted on February 02, 2013 and, after the evaluation process the project was approved with a positive environmental qualification resolution on May 20, 2015.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 22</u>

6 GEOLOGICAL SETTING, MINERALIZATION AND DEPOSIT

6.1 GEOLOGICAL SETTING

6.1.1 REGIONAL GEOLOGY

Cerro Blanco lies to the west of the Vallenar-La Serena iron belt. Intrusive plutonic rocks form about 80% of the outcrops in this zone. These intrusions vary from granites to gabbro and are distributed in three linear north-northeast trending belts, which decrease in age from west to east (Upper Jurassic, Cretaceous, and Paleocene). Cerro Blanco is located within the Eastern Belt, belonging to Infiernillo Intrusive Complex (mid Cretaceous), which, in the area of the property, consists of a series of granodiorite to diorite bodies of batholithic proportions, smaller gabbro intrusive, and subordinate medium to fine grained tonalities and aplites. East of the Property, this unit intrudes volcano-clastic rocks from Punta del Cobre Formation (late Jurassic). See Figure 6-1.

![](ex96-1_004.jpg)

Figure 6-1 **Regional Geology**

Regional and local north-northwest and northeast-east-northeast trending normal faults cut all the previously mentioned units and produce a series of northerly and north-northeasterly trending horsts and grabens. Similarly, trending relevant iron and less abundant copper and precious metal bearing quartz-sulfide veins and late stage mafic to felsic dikes are also present throughout this rock package.

Rutile showings occur throughout the Central belt. Mineralization occurs as ruby-red to brown and black individual disseminated crystals and/or crystal aggregates in albitized gabbro, and locally in coarse pegmatitic albite-phlogopite-rutile veins. The dominant host rocks are pale gray to white albite-quartz metasomatized gabbro and differentiated aplitic dikes, sills, and plugs.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 23</u>

6.1.2 LOCAL GEOLOGY

Based on regional exploration undertaken by the Company and others, the most relevant, known rutile occurrences in the Huasco region are located within Cerro Blanco and lie along a northeast trending regional structure. The mineralized areas are locally controlled by northwest structures and vary in thickness and extent from several meters to several hundreds of meters, exhibiting TiO2 grades from 1% to 25%; however, the average grade from the most extensively sampled areas is in the 1.5% to 2.5% range. See figure 6-2.

![](ex96-1_005.jpg)

Figure 6-2 **Location and dimensions of Cerro Blanco prospects**

There are nine mineralized prospects which have been identified at Cerro Blanco: Las Carolinas, La Cantera, Honorios Creek Hippo Ear, Quartz Creek, Bono, Algodón, Chascones, and Eli. These areas are currently mapped at the Cerro Blanco Property. Lithological units within the prospects consist of diorite-gabbro-gabbronorite, albitized gabbro, and aplite dykes.

Figure 6-3 shows the areas currently mapped at the Cerro Blanco Property. As can be seen, lithological units within the prospects consist of diorite-gabbro-gabbronorite, albitized gabbro, and aplite dykes. Figure 6-4 shows a cross section through the Project.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 24</u>

![](ex96-1_006.jpg)

Figure 6-3 **Local Geology at Cerro Blanco**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 25</u>

![](ex96-1_007.jpg)

**Figure 6-4 Geological Cross Section through Cerro Blanco**

![](ex96-1_008.jpg)

**Figure 6-5 Stratigraphic Column at Cerro Blanco**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 26</u>

6.2 MINERALIZATION

Titanium-bearing minerals observed in the Cerro Blanco project are listed in Table 6-1.

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| | | |
|:---|:---|:---|
| **Mineral** | **Formula** | **Density (g/c3)** |
| Titanomagnetite | (Fe+2, Fe+3, Ti)2O4 | 4.52 |
| Ilmenite | (Fe2+, Mg, Mn, Zn,Fe3+)TiO3 | 4.78 |
| Rutile | TiO2 | 4.25 |
| Anatase | TiO2 → Low temperature poly morph or rutile | 3.82 to 3.97 |
| Titanite (Sphene) | (Ca,REE)(Ti,Al,Fe)SiO4(O,OH,F) | 3.52 |

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**Rutile**, in the form of red, red-brown, and minor black crystalline or as aggregates, in excess of 1%, is usually disseminated throughout albitized gabbro. Concentrations of up to 5% or more occur as disseminations, clots and laminate. These rock varieties are generally rich in very fine-grained aggregates of albite, white or green mica, and quartz.

The reason behind the variation in color of rutile is, as yet, unknown. Nevertheless, it was observed in the mapping that the black rutile occurs often in proximity to sulfides; pyrite in particular. In fact, the black rutile very often contains inclusions of or is inter-grown with pyrite or chalcopyrite. It was also observed that surface exposure (oxidation or photosensitivity) causes darkening of the rutile. There were however, other zones with a change in rutile color where these possibilities could be excluded.

Cloudy yellowish "rutile" is identified as leucoxene, which consists of very fine rutile crystal aggregates. Leucoxene is the last product of three successive stages of the alteration of ilmenite crystals; patchy ilmenite amorphous iron-titanium oxide leucoxene.

**Anatase**, a low temperature polymorph of rutile, has been observed under the microscope.

**Sphene** forms under conditions of higher Ca and Si activity than rutile. Sphene is observed forming together with epidote, and with pink or yellow zoisite. Iron is not a prerequisite for sphene formation; availability of calcium is necessary and sphene may form with any member of the epidote group. This calcium-titanium silicate is observed in the deposit, usually in minor amounts and restricted to very well-defined zones.

**Perovskite** was identified in a previous study of the mineralogy of this deposit, and although it has not been positively identified in the mapping it would be of considerable genetic importance, if it existed.

&nbsp;&nbsp;&nbsp;&nbsp;1. Perovskite cannot exist with free silica, at least under
moderate litho-static pressures.

&nbsp;&nbsp;&nbsp;&nbsp;2. Perovskite structure is generally considered a high-pressure
modification.

&nbsp;&nbsp;&nbsp;&nbsp;3. Under the chemical conditions of the rutile mineralization
formation, the fluid was generally saturated in silica, and therefore, perovskite should not be expected.

Perovskite, if positively recognized in the deposit, would be another strong indication that these rocks, and possibly the deposit, formed at greater depth than is commonly supposed for porphyry copper deposits.

**Ilmenite and titanomagnetite** are common components of gabbro and gabbronorite and are only present in unaltered rock. Furthermore, rutile mineralization will only be found in host rock containing abundant ilmenite in magnetite. In the Cerro Blanco project, potential mineralization is defined as rocks that contain at least 80% of rutile + leucoxene of the total titanium-bearing minerals described above.

**Core Mapping** in the Cerro Blanco project is extremely important since TiO2 assays do not necessarily reflect "potential ore" content, in other words, rutile + leucoxene mineralization. The identification of deleterious minerals, such as sphene, is also relevant since premium quality concentrates must be low in calcium. Furthermore, deposits of this type are not described in geological literature; therefore, detailed and comprehensive studies are of most importance in order to fully understand the formation of a deposit of such characteristics.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 27</u>

7 EXPLORATION

7.1 EXPLORATION HISTORY

The first reference to the titanium mineralization, either on or adjacent to Cerro Blanco, appears in 1953 and in subsequent government reports on the non-metallic and metallic mineral resources of Chile. These reports describe the occurrences as small hydrothermal deposits located in aplitic bodies and lenses from several meters to 100 meters in size, in which rutile appears as disseminated grains, from one to several millimeters in size. The rutile is described as accompanied by minor titanite, apatite, actinolite, and biotite.

7.2 DRILLING

In late 1992, Ojos del Salado completed seven exploration diamond drill holes totaling 1,627 meters. Core with visible rutile mineralization was halved using a diamond saw, one-half kept for reference and the other assayed in 3-meter intervals (162 total) for titanium by Bondar-Clegg of Vancouver, Canada. All but holes SF04 and SF06 cut widths more than 25 meters grading 1.5% or more calculated TiO2.

The diamond drill program was followed in early 1993 by a thirty-six-hole percussion drilling program totaling 6,780 meters. Of these, 33 holes, SFP08-36 and 40-43, totaling 6,183 meters, were drilled in Las Carolinas. The remaining holes (SFP037, SFP038, and SFP039) tested La Cantera Prospect.

Three-meter composite samples, approximately 1.8 split (4 kg to 5 kg), were taken from visually mineralized sections (1,194 samples) and analyzed by Bondar-Clegg. The same fusion atomic absorption (AA) analytical method was used for both phases of drilling obtaining total Ti%. The TiO2% is later calculated by the expression TiO2% = Ti% × 1.668.

In September 2004, White Mountain completed a twelve-hole diamond drilling program totaling 2,589 meters to confirm the TiO2 grade, grade distribution, mineralogy, and morphology of the deposit. Core with visible rutile mineralization was halved using a diamond saw, one-half kept for reference and the other assayed in 3-meter intervals for titanium by Bondar-Clegg of Vancouver, Canada. In late 2005, the sample pulps were re-assayed by major oxides using X-ray Fluorescence Spectrometry analytical method (XRF) by the ALS Chemex Laboratory in Canada.

In February 2006, eight Ojos del Salado percussion drill holes were twinned with the RC holes (SFP 08, SFP 09, SFP 10, SFP 14, SFP 18, SFP 20, SFP 23, and SFP 31). These holes were re-named by changing the SFP suffix to T (for twin), and former Phelps Dodge results were replaced definitively by the new RC holes. Every 3-meter sample weighing approximately 94 kg was split 3 times using a riffle splitter and <sup>1/8</sup> of the sample was sent to mechanical preparation and analysis by XRF to the ALS Chemex Laboratory in Canada.

In October 2006, White Mountain drilled an additional sixteen diamond drill holes totaling 2,451 meters; CB-13 to CB-28. All holes, except CB-28, were tested from the Las Carolinas Prospect. CB-28 was drilled in a creek that lies south-southeast of La Cantera. Core with visible rutile mineralization was halved using a diamond saw, one-half kept for reference and the other assayed in 3-meter intervals for major oxides XRF by ALS Chemex Laboratory in Canada.

During mid-2008, White Mountain drilled 32 diamond drill holes totaling 4,684 meters: ED01 to ED03, ED06, EL001 to EL015, EL017, EL019, EL021 and EL022 to EL032. All drill holes explored the newly discovered Eli Prospect. Core with visible rutile mineralization was halved using a diamond saw, one-half kept for reference and the other assayed in 3-meter intervals for major oxides XRF by ALS Chemex Laboratory in Canada.

The last drilling operation up to date was made from November 2010 to March 2011. Fifty-four diamond drill holes totaling 7,047 meters were drilled as infill on previously drilled areas on Las Carolinas Prospect and to explore the Distal North East area of the same prospect. Core, with visible rutile mineralization, was halved using a diamond saw, one-half kept for reference and the other assayed in 3-meter intervals for major oxides XRF by ALS Chemex laboratory in Lima, Perú.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 28</u>

Table 7-1 summarizes all drilling campaigns made on the Cerro Blanco project. Figure 7-1 shows the deposit drilling locations for the Project.

Table **7-1 Cerro Blanco Drilling**

![](ex96-1_009.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 29</u>

![](ex96-1_010.jpg)

**Figure 7-1 Cerro Blanco Exploration Drilling**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 30</u>

7.3 SURFACE GEOCHEMICAL SAMPLING

All exploration in the Cerro Blanco project, prior March 2005, was carried out by the exploration arm of Phelps Dodge and their predecessors. This work included geologic mapping and a surface geochemical map.

The 3.5 km stretch of outcropping intrusive blocks was surface sampled by Ojos del Salado in 1992. This survey consisted of mapping the distribution of what was then identified as leuco-tonalite outcrops/sub-crop blocks and within these areas collecting rock sample composites of 1 kg from an area of 5 meters radius at approximately 25 meter spacing. In total, 808 samples were collected from eleven areas where the majority are concentrated on Las Carolinas and La Cantera prospects, however, locations for only 616 of these could be found in the database provided by Phelps Dodge (Figure 7-1).

![](ex96-1_011.jpg)

Figure 7-2 **Phelps Dodge geochemical sampling locations**

After March 2005, White Mountain geological teams explored the vast majority of its mining concessions with the purpose of defining new targets as well as completing an integrated geological map of the district. A continuous surface geochemical chip sampling from rutile bearing outcrops (Figure 7-2) has been carrying out, obtaining a total of 1,089 samples distributed on different prospects, concentrating mainly on Eli and Quartz Creek prospects (Figure 7-3). 774 samples from the total were assayed by major oxides with X-ray Fluorescence Spectroscopy method (XRF). TiO2 results from all sampling campaigns, including Phelps Dodge data are summarized on Figure 7-4.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 31</u>

![](ex96-1_012.jpg)

Figure 7-3 **Pegmatitic rutile stringer within the EW structure in the Eli prospect**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 32</u>

![](ex96-1_013.jpg)

**Figure 7-4** Surface geochemical sampling performed by White Mountain

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 33</u>

![](ex96-1_014.jpg)

**Figure 7-5** Surface TiO2 values

7.4 MAGNETIC GEOPHYSICAL SURVEY

The difference in Fe content between the unaltered magnetite – ilmenite bearing gabbro and the altered rutile bearing rock, produces a high variation in magnetic susceptibility between both units that reaches up to a couple of magnitude order. This fact leads naturally to the use of magnetic geophysical surveys as exploration tools in the district.

In March 2012, a magnetic geophysical terrestrial survey was performed by GEODATOS on a northeast elongated area of 7.5 × 3 km2 centered on Las Carolinas prospect. The total magnetic field was measured with high precision cesium vapors magnetometers along 61 northeast oriented lines with 50 meters of separation between them. After several data post-process, a first derivative pole reduced magnetic field map (Figure 7-5) and its 100 meters analytic continuity map (Figure 7-6) were obtained, showing superficial magnetic anomalies and the same magnetic anomalies behavior at depth, respectively.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 34</u>

High contrast low magnetic anomalies delineated by these maps are being extensively confirmed as altered rutile bearing rocks by surface mapping and geochemical sampling in the district and are being successfully used to recognize new prospects as Algodon, Hippo Ear, Honorios Creek and others. On the other side, these magnetic geophysical survey maps are used, along with geological mapping and geochemical sampling, to direct the nearby future drilling campaign programed on La Cantera, Honorios Creek and Hippo Ear prospects.

![](ex96-1_015.jpg)

Figure 7-6 **First derivative pole reduced magnetic field map**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 35</u>

![](ex96-1_016.jpg)

**Figure 7-7 First derivative magnetic field pole reduced 100-meter analytic map**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 36</u>

8 SAMPLE PREPARATION, ANALYSES AND SECURITY

8.1 SAMPLING

8.1.1 DIAMOND AND PERCUSSION DRILL HOLE SAMPLING – OJOS DEL
SALADO

Detailed information regarding sampling methods for both diamond and percussion holes, performed by the exploration arm of Phelps Dodge, are not available. Remaining drill core from this period indicates that half of the core was sent for chemical analyses.

8.1.2 GEOCHEMICAL SAMPLING – OJOS DEL SALADO

The geochemical sampling routine at the Cerro Blanco Project consisted of chip samples allocated on a 25 meter × 25-meter grid. Individual 1 kg samples were collected within a 5-meter radius around each sample's central point.

8.1.3 HETEROGENEITY TEST SAMPLING – WHITE MOUNTAIN

White Mountain performed a heterogeneity test on a representative sample from Las Carolinas due to the fact that sampling constants for "in-situ" rutile deposits were unknown. The main objectives of heterogeneity tests are:

● Establish with confidence sampling and sample preparation procedures for the different types of samples to be collected in the exploration phase of the project and future operations, such as: exploration drill holes (RC and DDH), channel samples, development muck samples, blast holes, conveyor belt samples, etc.

● Study the grade distribution among the different size fractions and assess possible segregation related errors, such as loss of fines in RC drilling, sample preparation, etc.

Since mineralization within the altered gabbro-norite is quite homogenous throughout Las Carolinas, it was decided to generate a single composite with the most probable mineralization, which corresponds to rock types with a TiO2 grade of approximately 2.00%, weak/none epidote and sericite, moderate/intense albite or quartz, visible rutile, and low magnetic susceptibility.

Composites for heterogeneity tests have to weigh between 250 kg and 300 kg, and the material used has to come from a number of representative mineralized zones. When the composite was generated, there was not enough drill core rejects; therefore, the sample was taken from 6 outcrops along the roads at Las Carolinas. Since the grades of the outcrops were not known, care was taken in selecting rocks with visible rutile plus the additional required characteristics mentioned in the previous paragraph. The final grade of the composite turned out to be 1.96% TiO2, slightly lower than desired.

Outcrop location and weights of individual samples are given in Table 8-1.

**Table 8-1 Sampled locations for the heterogeneity test composite**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Sample ID** | **E-Coordinate** | **W-Coordinate** | **Elevation** | **Number of Bags** | **Weight (Kg)** |
| G-183201 | 297511 | 6829822 | 1043 | 3 | 18.5 |
| G-183202 | 297512 | 6829965 | 1088 | 4 | 31.5 |
| G-183203 | 297271 | 6830351 | 1049 | 4 | 33.6 |
| G-183204 | 297730 | 6830241 | 1068 | 8 | 71.3 |
| G-183205 | 297628 | 6830076 | 1050 | 8 | 85.9 |
| G-183206 | 298420 | 6830253 | 881 | 8 | 68.0 |
| **Total Weight** |  |  |  | **35** | **308.8** |

---

8.1.4 REVERSE CIRCULATION DRILL HOLE SAMPLING – WHITE MOUNTAIN

The effective diameter of an RC drill hole is usually around 5.25 inches (13.34 centimeters). Samples were taken every three meters length and the sample recovery assumed was 90%.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 37</u>

The 3-meter samples weigh approximately 94 kg. This sample was split with a well-designed and operated riffle splitter according to the following procedure to obtain <sup>1/8</sup> of the original sample (11.75 kg), which is sent for sample preparation.

The first split generates two, 47 kg samples. One of the splits is stored in two different bags, labeled with the sample number and the corresponding split (i.e., 34345-1 and 34345-2), weighing 23.5 kg each. The other half is submitted to a second split; one split is bagged and labeled as 34345-3 (23.5 kg), and the remaining half is split in two. One-half is bagged and labeled 34345-4 and the other 34345-5. Final splits weigh 11.75 kg each. The last bag, 34345-5 is sent to the laboratory. Every tenth bag, labeled with suffix 4, is also sent to the laboratory as a field duplicate.

8.1.5 DIAMOND DRILL HOLE SAMPLING – WHITE MOUNTAIN

Recovered core from the drill barrel is carefully placed in wooden boxes, and wooden chip marks are placed at the beginning and end of each drilled interval. These covered wooden boxes are transported to the White Mountain core shed and geotechnical parameters are logged upon arrival.

Once this task is concluded, core is regularized every 1 meter and transferred to metallic trays, each tray contains one, 3-meter sample and each interval is marked with three aluminum tags that contain following information engraved in each of them

The observed coverage percentages are generally close to the norm. A slight noted change in coverage percentages among the campaigns conducted before and after 2013, increasing during the 2014 campaign. Table 8-2.

● Sample Number

● From – To

● Hole ID and Box Number

The core is split in half with a diamond saw, half of the core is bagged and sealed with the proper sample number and transported, by pick-up truck, to GEOANALITICA, a well-reputed Chilean laboratory located in Coquimbo, which White Mountain commissioned for sample preparation. This practice has been implemented since 2006. Prior to this year, sample preparation was done at ALS Chemex Laboratory at Coquimbo.

8.1.6 SURFACE GEOCHEMICAL SAMPLING – WHITE MOUNTAIN

The geochemical sampling carried out in the Eli and Quartz Creek Prospects consists of a 25m × 25m grid. In the rest of the sampled prospects, the sampling was selective on outcrops. Each sample, weighing approximately 1 to 3 kg, consisted of outcrop chips collected with a 1-meter radius from the central point. Hand sample specimens were also collected from the most representative outcrop of the whole 1-meter radius surroundings and logged, in detail, at White Mountain's core facility. Hand samples are stored in wooden boxes for future reference.

Each sampling point was marked with a wood tablet, 15 centimeters (cm) long and about 5 cm wide. Wood tablets are painted white and an aluminum tag with the sample number engraved is attached to each sample. EGV Topografia Limitada surveyed each sampling point once the grid was concluded. Other selective samples were located by GPS positioning.

8.1.7 MECHANICAL SEPARATION, PREPARATION AND ANALYSIS

8.1.7.1 OJOS DEL SALADO AND WHITE MOUNTAIN – PRIOR TO 2005

All Phelps Dodge mechanical preparation and analyses were done as follows: crush, grind to 90% passing 100 mesh, homogenize, take sub-sample of 5 g, fuse with lithium meta-borate flux, extract with acid, and analyze with Inductively coupled plasma spectrometry (ICP) obtaining Ti%. TiO2% value is calculated by the expression TiO2% = Ti% × 1.668. When White Mountain assayed the first re-drill hole using the same technique, they had problems reproducing their numbers due to the fact that titanium is very difficult to get into solution. Hence, White Mountain went to the industry standard of XRF Spectrometry analysis method, which is the same up to the end of fusion. The fluxate is then pressed into a standard pellet and analyzed using XRF. The results from two repeat holes were much closer to the originals, in fact about 10% higher, as expected. All assays, both Phelps Dodge and White Mountain, were done at what is now ALS Chemex Laboratories in Chile (ICP assays) and Vancouver (XRF assays).

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 38</u>

Pre-analysis testing was carried out on a group of seven samples ranging in value from 0.86% through 4.7% TiO2 using the variety of titanium analysis techniques available, i.e., fusion/AA, X-ray fluorescence, fusion/ICP, and fusion/colorimetric. The fusion/AA technique was opted for as giving the best combination of reliability, speed, and economics. Laboratory procedure involved recalibration against standards after every fifth sample and frequent flushing of the system to avoid salt build up on the burner head of the AA unit (the major cause of sensitivity changes in this system). In addition, a series of 32 random duplicate splits ranging from 0.51% through 3.38% TiO2 were re-run to check repeatability. Except for two samples, which apparently suffer from the above problem, the average difference between repeat analyses is only 2%. The first 100 samples were also analyzed for a suite of 42 other elements by ICP.

8.1.8 HETEROGENEITY TEST ANALYSIS AND RESULTS

In general, results provided by the heterogeneity test allowed White Mountain to set-up proper sampling and sample preparation protocols for RC and diamond drill holes. Results from this test are summarized and analyzed herein:

● The sampling constant for TiO2 is very small (C = 0.636); in fact, much smaller than for most porphyry copper deposits where the copper sampling constant varies from say, 5 to 15. Therefore, no sampling and sample preparation problems can be expected.

● A high sampling constant C of approximately 113 was obtained for P2O5. However, this value is entirely due to 2 outlier samples (0.33% and 0.35% P2O5) while the remaining 98 samples varied between 0.02% and 0.05%, which are very close to the detection limit of 0.01% P2O5. If these 2 outlier samples had been equal to 0.02% P2O5, the resulting sampling constant C would have been equal to 2.72.

● A fairly high sampling constant C = 25.1 was obtained for Cr2O3. However, 21 out of the 100 samples were below detection limit (0.01%) and the highest sample was 0.07%.

● Most of the 100 samples for MnO, SrO, and BaO were close to the detection limits, which is 0.01% for the 3 components.

Comments on results for the size fraction analysis performed on the 308kg sample are the following:

● The mean grades of the 100 heterogeneity test samples are similar to the corresponding mean grades of fraction C (-1.25 cm + 0.63 cm) that was used to perform the test. In fact, for TiO2, these mean grades are 1.869% and 1.98%, respectively. These results are as expected and show that the random sampling done for the heterogeneity test was representative of this size fraction.

● The increase in TiO2 and CaO grades toward the finer fractions shows a marked trend, which implies that severe segregation errors can occur, if due precautions are not taken in sampling and sampling preparation procedures. For example, losses of fine material in sampling and sample preparation can cause severe under estimate of sample grades.

● Even though there are differences between the mean grades of the different size fractions, these differences never reach an order of magnitude; therefore, the heterogeneity test results can be considered valid. This is so since one of the main hypotheses behind P. Gy's Fundamental Error formula is not violated.

8.1.9 REVERSE CIRCULATION SAMPLE PREPARATION – WHITE MOUNTAIN 2006

Samples were prepared at GEOANALITICA laboratory in Coquimbo, Chile. The protocol was as follows.

&nbsp;&nbsp;&nbsp;&nbsp;1. Dry and crush the sub-sample using a Rhino (or similar) crusher to obtain a D95 = 0.2 cm (-10#) product.
In this case, in order to avoid unnecessary delays and choking of the jaw crusher with excess of fine material, the samples may be passed
through a 2-millimeter (mm) screen before crushing, and only the coarse fraction is crushed.

&nbsp;&nbsp;&nbsp;&nbsp;2. Split the sub-sample using a rotary divider equipped with a 60° bucket (or 6 buckets) in order to
obtain 1/6 of the sub-sample (1.963 g).

&nbsp;&nbsp;&nbsp;&nbsp;3. Pulverize the sub-samples to -150# using an LM-5 closed ring pulverize.

&nbsp;&nbsp;&nbsp;&nbsp;4. Using at least 15 increments, fill 3 sample envelopes, weighing approximately 250 grams each, directly
from the pulverize bowl. One is sent for assays and the other two are stored.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 39</u>

Fundamental error analysis is presented in Table 8-2. The total error amounts to only 1.24% and its main component is the field splitting operation. This error is very small; however, it should be noted that the analytical error is not included nor are other errors, such as those due to grouping and segregation, should be avoided. The error given above is the smallest possible achievable error, excluding the analytical error.

Table **8-2 Sample Preparation Fundamental Error Analysis** of **Las Carolinas RC Drill Hole Samples**

![](ex96-1_017.jpg)

8.1.10 DIAMOND DRILL HOLE SAMPLE PREPARATION – (CAMPAIGNS 2004, 2006, 2008, 2010-2011)

For the 2004 drill hole campaign, samples were prepared at ALS Chemex Laboratory in Coquimbo. Since 2006, all diamond drill hole samples are prepared by GEOANALITICA Laboratory in Coquimbo. The preferred core diameter is NQ (4.76 cm). Three-meter sample core is cut lengthwise in half using a diamond saw. One-half is used for sampling and assaying and the other half is stored.

The following sample preparation procedure was used.

&nbsp;&nbsp;&nbsp;&nbsp;1. Samples weighing approximately 6.67 kg were dried and crushed in a jaw crusher to D95 = 2 mm (10#).

&nbsp;&nbsp;&nbsp;&nbsp;2. Samples were split using a rotary divider equipped with a 60° bucket (or 6 buckets) to obtain 1/6
of the primary sample (1.11 kg).

&nbsp;&nbsp;&nbsp;&nbsp;3. Sub-samples were pulverized to 150# using an LM-5 closed ring pulverize.

&nbsp;&nbsp;&nbsp;&nbsp;4. Using at least 15 increments four sample envelopes were filled, weighing approximately 50 g each, directly
from the pulverize bowl. One was sent for assays and the other three were stored. Remaining pulp was stored as pulp reject.

Fundamental error analysis for these campaigns is presented in Table 8-3. The total error amounts to 0.44%, which is negligible. This error corresponds to the smallest possible achievable error, excluding the analytical errors.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 40</u>

Table **8-3 Fundamental Error Analysis**

![](ex96-1_018.jpg)

8.1.11 SURFACE GEOCHEMICAL SAMPLE PREPARATION – WHITE MOUNTAIN

Surface geochemical samples from Eli Prospect were prepared at the GEOANALITICA Laboratory in Coquimbo, Chile following similar procedures used for the White Mountain diamond drill holes.

The rest of the surface geochemical samples were prepared by the ALS Chemex Laboratory in Coquimbo according to the following procedures:

&nbsp;&nbsp;&nbsp;&nbsp;1. Samples weighing approximately 1 kg to 3 kg were dried and crushed in a jaw crusher to D70 = 2 mm (10#).

&nbsp;&nbsp;&nbsp;&nbsp;2. Split off 250 grams and pulverize split to better than 85% passing 75 microns.

8.1.12 WHITE MOUNTAIN ANALYTICAL ASSAY METHOD

All submitted samples are assayed by whole rock geochemistry with XRF Spectrometry analysis methods at ALS Chemex Laboratory (samples from Years 2005 to 2008 in Vancouver and samples from Year 2010 to 2011 drill hole campaign in Lima, Perú). Additionally, the samples are assayed by total iron (Fe) in the ALS Chemex Laboratory in Coquimbo. Assaying technique descriptions are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;1. Whole Rock Geochemistry – Code ME-XRF06

&nbsp;&nbsp;&nbsp;&nbsp;2. Sample Decomposition 50% Li2B4O7 – 50% LiBO2 (WEI-GRA06)

&nbsp;&nbsp;&nbsp;&nbsp;3. Analytical Method XRF Spectroscopy

A calcined or ignited 0.9g sample is added to 9.0 g of Lithium Borate Flux (50% to 50% Li2B4O7 to LiBO2), mixed well, and fused in an auto fluxer between 1,050°C to 1,100°C. A flat molten glass disc is prepared from the resulting melt. This disc is then analyzed by XRF Spectrometry. Table 8-4 shows the whole rock oxides geochemistry and range limit values.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 41</u>

**Table 8-4 Major Oxides Assayed by XRF**

---

| | | | |
|:---|:---|:---|:---|
| **Element** | **Symbol** | **Lower Limit** | **Upper Limit** |
| Aluminum Oxide | Al<sub>2</sub>O<sub>3</sub>% | 0.01 | 100 |
| Barium Oxide | BaO% | 0.01 | 100 |
| Calcium Oxide | CaO% | 0.01 | 100 |
| Chromium Oxide | Cr<sub>2</sub>O<sub>3</sub>% | 0.01 | 100 |
| Ferric Oxide | Fe<sub>2</sub>O<sub>3</sub>% | 0.01 | 100 |
| Potassium Oxide | K<sub>2</sub>O% | 0.01 | 100 |
| Magnesium Oxide | MgO% | 0.01 | 100 |
| Manganese Oxide | MnO% | 0.01 | 100 |
| Sodium Oxide | Na<sub>2</sub>O% | 0.01 | 100 |
| Phosphorus Oxide | P<sub>2</sub>O<sub>5</sub>% | 0.01 | 100 |
| Silicon Oxide | SiO<sub>2</sub>% | 0.01 | 100 |
| Strontium Oxide | SrO% | 0.01 | 100 |
| Titanium Oxide | TiO<sub>2</sub>% | 0.01 | 100 |
| Loss On Ignition | LOI% | 0.01 | 100 |
|  | **Total%** | **0.01** | **101** |

---

Total Iron (Fe) – ALS Code Fe-AA62:

&nbsp;&nbsp;&nbsp;&nbsp;1. Sample Digestion Multi-acid HF-HNO3-HClO4, lixiviation with HCl

&nbsp;&nbsp;&nbsp;&nbsp;2. Analytical Method Atomic Absorption Spectrometry (AAS)

&nbsp;&nbsp;&nbsp;&nbsp;3. Range Limits 0.01% to 100%

8.1.13 RE-ASSAYING FOR WHITE MOUNTAIN 2004 DIAMOND DRILL HOLES

In December 2005, the stored pulps screened at 150 mesh (150#) from the diamond drill holes drilled during 2004 (CB-01 to CB-012) were submitted to ALS Chemex Laboratory for XRF Spectrometry analyses. Assays performed in 2004 were compared to TiO2 values received in 2005. A total of 500 pairs above 0.30% TiO2 were considered which yielded the following results.

&nbsp;&nbsp;&nbsp;&nbsp;1. Mean Relative Error = 6.15%

&nbsp;&nbsp;&nbsp;&nbsp;2. % of Data with Absolute Relative Difference <10% = 90%

These results are considered satisfactory according to industry standards. Therefore, former TiO2 values for the CB-01 to CB-12-20004-drilling campaign were replaced by those obtained in December 2005.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 42</u>

8.2 SECURITY

8.2.1 REVERSE CIRCULATION DRILL HOLES – WHITE MOUNTAIN 2006

As part of quality control and quality assurance program for RC drill holes a screen analysis was performed on one 23.5 kg bag (suffix 1). Sample preparation was as follows:

&nbsp;&nbsp;&nbsp;&nbsp;1. Samples were dried and weighed.

&nbsp;&nbsp;&nbsp;&nbsp;2. Screening was carried out in the following fractions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. 10# (2 mm)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. 50# (300 microns)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. 100# (150 microns)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. 150# (106 microns)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. 200# (75 microns)

&nbsp;&nbsp;&nbsp;&nbsp;3. The weight of each size fraction was recorded.

&nbsp;&nbsp;&nbsp;&nbsp;4. The +10# (+2 mm) was ground in a Rhino Crusher.

&nbsp;&nbsp;&nbsp;&nbsp;5. A 1 kg sample was split from each fraction using a rotary splitter and identified with its sample number
plus the corresponding fraction (i.e., 100025-1 -10# +50#).

&nbsp;&nbsp;&nbsp;&nbsp;6. Each sample was then pulverized to -150#. A total of 42 samples were generated.

&nbsp;&nbsp;&nbsp;&nbsp;7. Two envelopes, weighing 200 grams each, were prepared. One was sent for chemical analyses and the other
one will be stored by WMTC for possible future reference.

Traditional paired data analyses were carried out for each of the 15 major rock components. Results are shown in Table 8-5 through Table 8-9.

**Table 8-5 Duplicate Assays for SiO2, Al2O3, Fe2O3**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Statistics** | **SiO<sub>2</sub>-1** | **SiO<sub>2</sub>-2** | **Al<sub>2</sub>O<sub>3</sub>-1** | **Al<sub>2</sub>O<sub>3</sub>-2** | **Fe<sub>2</sub>O<sub>3</sub>-1** | **Fe<sub>2</sub>O<sub>3</sub>-2** |
| Number | 42 | 42 | 42 | 42 | 42 | 42 |
| Minimum | 57.05 | 56.75 | 20.06 | 19.99 | 1.47 | 1.49 |
| Maximum | 60.5 | 60.29 | 21.42 | 21.34 | 1.79 | 1.80 |
| Mean | 59.3 | 59.39 | 20.93 | 20.93 | 1.58 | 1.59 |
| Standard Deviation | 0.90 | 0.94 | 0.36 | 0.36 | 0.08 | 0.08 |
| Mean Difference % | -0.15 | -0.15 | 0.03 | 0.03 | -0.68 | -0.68 |
| T Test | -1.66 | -1.66 | 0.19 | 0.19 | -1.57 | -1.57 |
| Mean Relative Error | 0.43 | 0.43 | 0.60 | 0.60 | 2.02 | 2.02 |
| Correlation R | 0.928 | 0.928 | 0.875 | 0.875 | 0.861 | 0.861 |
| Regression Intercept | 2.144 | 2.144 | 2.513 | 2.513 | 0.239 | 0.239 |
| Regression Slope | 0.965 | 0.965 | 0.880 | 0.880 | 0.855 | 0.855 |
| % Data \|Rel. Diff\| < 10% | 100 | 100 | 100 | 100 | 100 | 100 |

---

**Table 8-6 Duplicate Assays for CaO, MgO, and Na2O**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Statistics** | **CaO-1** | **CaO-2** | **MgO-1** | **MgO-2** | **Na<sub>2</sub>O-1** | **Na<sub>2</sub>O-2** |
| Number | 42 | 42 | 42 | 42 | 42 | 42 |
| Minimum | 3.12 | 3.10 | 0.34 | 0.34 | 3.98 | 3.95 |
| Maximum | 4.61 | 4.59 | 0.50 | 0.50 | 5.03 | 4.97 |
| Mean | 3.54 | 3.51 | 0.39 | 0.39 | 4.73 | 4.71 |
| Standard Deviation | 0.47 | 0.47 | 0.05 | 0.05 | 0.31 | 0.31 |
| Mean Difference % | 0.61 | 0.61 | 0.91 | 0.91 | 0.30 | 0.30 |
| T Test | 3.09 | 3.09 | 2.42 | 2.42 | 1.05 | 1.05 |
| Mean Relative Error | 1.01 | 1.01 | 1.89 | 1.89 | 1.30 | 1.30 |
| Correlation R | 0.995 | 0.995 | 0.98 | 0.98 | 0.959 | 0.959 |
| Regression Intercept | -0.007 | -0.007 | -0.02 | -0.02 | 0.194 | 0.194 |
| Regression Slope | 0.996 | 0.996 | 0.996 | 0.996 | 0.956 | 0.956 |
| % Data \|Rel. Diff\| < 10% | 100 | 100 | 100 | 100 | 100 | 100 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 43</u>

**Table 8-7 Duplicate Assays for K2O, Cr2O3, and TiO2**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Statistics** | **K<sub>2</sub>O-1** | **K<sub>2</sub>O-2** | **Cr<sub>2</sub>O<sub>3</sub>-1** | **Cr<sub>2</sub>O<sub>3</sub>-2** | **TiO<sub>2</sub>-1** | **TiO<sub>2</sub>-2** |
| Number | 42 | 42 | 42 | 42 | 42 | 42 |
| Minimum | 2.50 | 2.47 | 0.005 | 0.005 | 1.85 | 1.89 |
| Maximum | 3.14 | 3.13 | 0.020 | 0.020 | 2.43 | 2.41 |
| Mean | 2.87 | 2.87 | 0.010 | 0.008 | 2.03 | 2.03 |
| Standard Deviation | 0.18 | 0.18 | 0.004 | 0.004 | 0.17 | 0.16 |
| Mean Difference % | 0.06 | 0.06 | 18.6 | 18.6 | -0.14 | -0.14 |
| T Test | 0.23 | 0.23 | 2.33 | 2.33 | -0.47 | -0.47 |
| Mean Relative Error | 1.11 | 1.11 | 36.89 | 36.89 | 1.39 | 1.39 |
| Correlation R | 0.969 | 0.969 | 0.062 | 0.062 | 0.973 | 0.973 |
| Regression Intercept | 0.039 | 0.039 | 0.009 | 0.009 | 0.143 | 0.143 |
| Regression Slope | 0.986 | 0.986 | -0.061 | -0.061 | 0.931 | 0.931 |
| % Data \|Rel. Diff\| < 10% | 100 | 100 | 54 | 54 | 100 | 100 |

---

**Table 8-8 Duplicate Assays for MnO, P2O5, and SrO**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Statistics** | **MnO-1** | **MnO-2** | **P<sub>2</sub>O<sub>5</sub>-1** | **P<sub>2</sub>O<sub>5</sub>-2** | **SrO-1** | **SrO-2** |
| Number | 42 | 42 | 42 | 42 | 42 | 42 |
| Minimum | 0.020 | 0.020 | 0.020 | 0.020 | 0.03 | 0.03 |
| Maximum | 0.030 | 0.030 | 0.030 | 0.030 | 0.04 | 0.04 |
| Mean | 0.021 | 0.021 | 0.026 | 0.026 | 0.032 | 0.032 |
| Standard Deviation | 0.004 | 0.004 | 0.005 | 0.005 | 0.004 | 0.004 |
| Mean Difference % | 0.00 | 0.00 | 0.00 | 0.00 | 0.74 | 0.74 |
| T Test | Undefined | Undefined | 0.00 | 0.00 | 0.44 | 0.44 |
| Mean Relative Error | 0.00 | 0.00 | 8.73 | 8.73 | 6.97 | 6.97 |
| Correlation R | 1.000 | 1.000 | 0.793 | 0.793 | 0.662 | 0.662 |
| Regression Intercept | 0.000 | 0.000 | 0.005 | 0.005 | 0.012 | 0.012 |
| Regression Slope | 1.000 | 1.000 | 0.793 | 0.793 | 0.367 | 0.367 |
| % Data \|Rel. Dif\| < 10% | 100 | 100 | 93 | 93 | 90 | 90 |
| Figure No. (Appendix III) | 6.10 | 6.10 | 6.11 | 6.11 | 6.12 | 6.12 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 44</u>

**Table 8-9 Duplicate Assays for BaO, LOI, and FeT**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Statistics** | **BaO-1** | **BaO-2** | **LOI-1** | **LOI-2** | **FeT-1** | **FeT-2** |
| Number | 42 | 42 | 42 | 42 | 42 | 42 |
| Minimum | 0.10 | 0.10 | 3.55 | 3.51 | 0.96 | 0.91 |
| Maximum | 0.13 | 0.13 | 5.50 | 5.48 | 1.27 | 1.23 |
| Mean | 0.114 | 0.113 | 4.08 | 4.05 | 1.064 | 1.039 |
| Standard Deviation | 0.006 | 0.008 | 0.622 | 0.618 | 0.082 | 0.062 |
| Mean Difference % | 0.42 | 0.42 | 0.74 | 0.74 | 2.39 | 2.39 |
| T Test | 0.53 | 0.53 | 3.86 | 3.86 | 3.05 | 3.05 |
| Mean Relative Error | 3.57 | 3.57 | 1.08 | 1.08 | 3.94 | 3.94 |
| Correlation R | 0.658 | 0.658 | 0.997 | 0.997 | 0.748 | 0.748 |
| Regression Intercept | 0.023 | 0.023 | 0.010 | 0.010 | 0.431 | 0.431 |
| Regression Slope | 0.796 | 0.796 | 0.990 | 0.990 | 0.571 | 0.571 |
| % Data \|Rel. Dif\| < 10% | 100 | 100 | 100 | 100 | 91 | 91 |

---

The following comments are pertinent:

&nbsp;&nbsp;&nbsp;&nbsp;1. The following major components had excellent duplicate assay results: TiO2, SiO2, Al2O3, Fe2O3, FeT, CaO,
MgO, Na2O, K2O, BaO, and LOI. In fact, mean relative errors were below 4% and 100% of the data had absolute relative differences below
10%, except for FeT, which had 91%, which is considered good.

&nbsp;&nbsp;&nbsp;&nbsp;2. All assays for remaining major components, i.e., Cr2O3, MnO, P2O5, and SrO were very close to the detection
limit, and therefore, results are meaningless.

&nbsp;&nbsp;&nbsp;&nbsp;3. If major components, such as P2O5 and Cr2O3 become an important issue in the beneficiation process, then
an appropriately accurate analytical technique should be sought

8.2.2 GENERATION OF IN-HOUSE STANDARD REFERENCE MATERIAL FOR QAQC PURPOSES

In mid-2006, three, 100 kg rutile bearing samples (no ilmenite and no sphene) of homogenous alteration assemblages and TiO2 grades were selected from White Mountain RC drilling campaign samples and sent to GEOANALITICA Laboratory to generate 3 in-house standard reference material (high – 2.5%, medium – 2.0%, and low – 1.5%) TiO2 grades. The standards were prepared according to the following procedures:

&nbsp;&nbsp;&nbsp;&nbsp;1. Samples were dried for 8 hours to 12 hours at 105°C in a temperature-controlled oven.

&nbsp;&nbsp;&nbsp;&nbsp;2. Samples were then crushed in a jaw crusher in order to obtain a product of 100% under 10# Tyler (1.7 mm).

&nbsp;&nbsp;&nbsp;&nbsp;3. Crushed material was pulverized in an LM-2 pulverizing to a size of 150# Tyler (106 microns).

&nbsp;&nbsp;&nbsp;&nbsp;4. Samples were screened using a vibratory 150# screen. Coarse material was pulverized again until 100% of
the material was -150#.

&nbsp;&nbsp;&nbsp;&nbsp;5. Samples were homogenized for 24 hours using a tumbling homogenizer.

&nbsp;&nbsp;&nbsp;&nbsp;6. Samples were divided into 250-gram envelopes via a rotary divider using 70 to 100 increments.

Seven different and independent laboratories were used to calculate the standards nominal grades and confidence limits (Table 8- 10) on a Round Robin process, according to the used industry procedures for this purpose and along with the International Standard ISO5725 (1994) lineaments.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 45</u>

**Table 8-10 In-house Standards Nominal TiO2 Grades and Limits**

---

| | | | |
|:---|:---|:---|:---|
| **Nominal Grades and Limits** | **High** | **Medium** | **Low** |
| Standard Nominal Grades | 2.57 | 1.97 | 1.52 |
| Within Lab 95% Upper Limit | 2.61 | 2.01 | 1.56 |
| Within Lab 95% Lower Limit | 2.53 | 1.93 | 1.48 |
| Global 95% Upper Limit | 2.73 | 2.17 | 1.64 |
| Global 95% Lower Limit | 2.41 | 1.77 | 1.40 |

---

8.2.3 ALS CHEMEX LABORATORY IN-HOUSE STANDARD PERFORMANCE DIAMOND DRILL HOLE CAMPAIGNS 2006 AND 2008

During the 2006 (Las Carolinas) and 2008 (Eli Prospect) drill hole campaigns, 1 blind standard for every 20 samples (5%) were inserted in each analysis batch submitted to ALS Chemex Laboratory in Vancouver.

Figure 8-1 through 8-3 show assay results for standards high, medium, and low, respectively, plus the nominal standard grade and the two sets of confidence limits. The ALS Chemex Laboratory results fall consistently outside the "within laboratory" confidence limits, but well within the global limits, which is acceptable.

![](ex96-1_019.jpg)

Figure 8-1 **ALS Chemex Laboratory high standard performance**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 46</u>

![](ex96-1_020.jpg)

**Figure 8-2** ALS Chemex Laboratory medium standard performance

![](ex96-1_021.jpg)

**Figure 8-3** ALS Chemex Laboratory low standard performance

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 47</u>

The ALS Chemex standard general bias relative to the nominal TiO2% values on the drill hole campaigns 2006 and 2008 is shown on Figure 8-4 a regression line with 0 intercept was fit to the data. The slope of the line (1.0301) indicates an approximately 3% positive bias, which is not excessive

![](ex96-1_022.jpg)

**Figure 8-4 ALS standard bias relative to nominal TiO2% values**

8.2.4 ALS CHEMEX LABORATORY IN-HOUSE STANDARD PERFORMANCE DIAMOND DRILL HOLE CAMPAIGN FROM 2010 TO 2011

During the 2010 to 2011 drill hole campaign on Las Carolinas, 1 blind standard for every 20 samples (5%) were inserted in each analysis batch submitted to ALS Chemex Laboratory in Lima, Perú. Figure 8-5 through Figure 8-7 show assay results for standards high, medium, and low, respectively, plus the nominal standard grade and the two sets of confidence limits. The ALS Chemex Laboratory results show a very good performance, especially for standards medium and low. The majority of the assayed standards fall inside the "within laboratory" confidence limits; no standard falls outside the global confidence limits.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 48</u>

![](ex96-1_023.jpg)

Figure 8-5 **ALS Chemex Laboratory high standard performance**

![](ex96-1_024.jpg)

Figure 8-6 ALS Chemex Laboratory medium standard performance

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 49</u>

![](ex96-1_025.jpg)

**Figure 8-7** ALS Chemex Laboratory low standard performance

The ALS Chemex Laboratory standard general bias relative to the nominal TiO2% values on drill hole campaign 2010 to 2011 is shown on Figure 8-8. A regression line with 0 intercept was fit to the data. The slope of the line (0.9881) indicates an approximately -2% bias, which is not excessive.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 50</u>

![](ex96-1_026.jpg)

**Figure 8-8** ALS Chemex Laboratory standard bias relative to nominal TiO2% values

8.2.5 ALS CHEMEX LABORATORY DUPLICATE PERFORMANCE

Since diamond drill hole campaign 2006 up to date, one blind duplicate (pulp) for every 20 samples (5%) were inserted in each analysis batch submitted to ALS Chemex Laboratory. As shown on Table 8-11 to 8-16, ALS Chemex Laboratory had a good performance on duplicates with a maximum difference on %TiO2 of 0.09%.

8.3 OPINION OF THE QUALIFIED PERSON

In the opinion of the Qualified Person, the sample preparation, security protocols and analytical procedures developed and used for the Project are adequate for the technical evaluation of the Cerro Blanco mineral deposit. The data gathered can be relied upon for metallurgical testing and mineral resource calculations.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 51</u>

Table **8-11 ALS Chemex Laboratory Duplicates – 2010 to 2011**

![](ex96-1_027.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 52</u>

**Table 8-12** ALS Chemex Laboratory Duplicates – 2010 to 2011

![](ex96-1_028.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 53</u>

**Table 8-13** ALS Chemex Laboratory Duplicates – 2010 to 2011

![](ex96-1_029.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 54</u>

**Table 8-14** ALS Chemex Laboratory Duplicates – 2010 to 2011

![](ex96-1_030.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 55</u>

**Table 8-15** ALS Chemex Laboratory Duplicates – 2010 to 2011

![](ex96-1_031.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 56</u>

**Table 8-16** ALS Chemex Laboratory Duplicates – 2010 to 2011

![](ex96-1_032.jpg)

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 57</u>

**9 DATA VERIFICATION**

9.1 SUMMARY

Data verification included a site visit and a review of the new drill hole geological descriptions. The steps taken by RDA to verify the data in the technical report, included the following:

RDA has reviewed the raw data, mainly the drill assays and loggings, in an overview manner. The repeatability of the drilling information specifically that of Phelps Dodge with that of White Mountain confirms that the drill data reported is accurate.

The similarity in results is excellent and the author has no reason not to rely on such data in the preparation of this report.

RDA had unrestricted access to the ALS Chemex assay sheets and reports as well as information related to quality control to guard against any contamination issues and the storage of check samples.

**10 MINERAL PROCESSING AND METALLURGY**

Mineralization at Cerro Blanco is of one mineral type. The test samples used for metallurgical analyses were gathered across the mineral deposit and are representative of the of the style of mineralization at the Project and the mineral deposit as a whole.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 58</u>

10.1 HISTORICAL TESTING

In June 2002, Lakefield Research Canada (SGS Lakefield) performed metallurgical tests on 3 rutile mineral samples from the property. The main objectives of the tests were:

&nbsp;&nbsp;&nbsp;&nbsp;1. Determine if it was possible to obtain high grade rutile concentrate from this mineral.

&nbsp;&nbsp;&nbsp;&nbsp;2. Deliver a preliminary process scheme to be able to develop a commercial reactants flow sheet and scheme.

Lakefield examined several variables during this test program, including grinding size, desliming, pre-concentration and the use of different chemical reagents and flotation activators. SGS Lakefield proposed a process scheme that included crushing, grinding, conditioning and a three-stage flotation to obtain a high purity rutile concentrate, managing calcite and feldspars as impurities.

The SGS Lakefield final report concluded that it was possible to obtain a high purity TiO2 concentrate (96.5%) from property mineral with conventional metallurgical means. A series of recommendations were delivered to develop future test works and improvement opportunities were indicated.

10.2 LABORATORY TESTS – PRIOR PILOT PLANT TESTS

In June 2004, White Mountain requested SGS Lakefield conduct additional laboratory scale tests on samples obtained from the property. The work commenced in July 2004 and was completed in January 2005. Two composite samples were used, one of 200 kg sample obtained from the backwall of Phelps Dodge SF3 drill hole (representing a high-grade composite), and the other 600 kg sample obtained on the same sector representing run of mine mineral. The results are compiled in a report called An Investigation into The Recovery of Rutile from Cerro Blanco Project (Chile) Ore, LR10645-001 Reports 1/2, SGS Lakefield Research, Canada, 2005.

The tests mentioned above cover exploratory topics, such as an evaluation of just using the flotation circuit, gangue pre flotation, gravitational pre concentration, required grinding grades and mineral grinding characteristics. Furthermore, the work included a first approach on feldspar recovery as a co- product. The results indicated that the best alternative was to use gravity pre concentration, since better recovery and final grade results and lesser operative costs than only flotation operation were obtained. Besides it was determined that high contents of titanite (sphene), perovskite and leucoxene negatively affected the final grade of rutile concentrate and that it was possible to obtain a high-grade feldspar concentrate via flotation.

In September 2005, White Mountain requested SGS Lakefield Canada to investigate the possibility of recovering feldspar as co-product from the process. Approximately 150 kg of drill hole rejects were sent as feed material. It was determined that the flotation of tailings was the most suitable material from which to obtain good quality feldspar concentrate and, depending on the tailing composition, it was necessary to add a gangue pre flotation stage to obtain a good quality concentrate. The tests were run between October 2005 and January 2006. The results are summarized in the report called An Investigation into The Recovery of Feldspar from Cerro Blanco Rutile Flotation Tailings, Project 10840-002 Report 3, SGS Lakefield Research, Canada, 31/01/2006.

In January 2006, White Mountain requested SGS Lakefield to investigate the flotation and recovery behavior for 15 different composites and develop a reagent scheme that reduces the calcium and silica content in the final concentrate. Each composite consisted of 100 kg material derived from Reverse Circulation drill holes. The study defined four mineral types. The "type 1" mineral was the best material to obtain a high-grade rutile final concentrate. The "type 2" mineral requires a gangue pre-flotation stage to obtain good results. The "type 4" mineral (low or no rutile content, most ilmenite and titanium magnetite) was only useful for titanium magnetite only products and is now considered waste. The "type 3" mineral (high sphene and altered rutile) should be considered as non-treatable. With these results, it was possible to define the characteristics of the mineralization required to establish a Mineral Resource under the CIM definitions. These tests were performed between March 2006 to August 2006. The report is called An Investigation into Metallurgical Characterization of 15 Individual Composites from the Cerro Blanco Orebody, Project 11240-001 Report 4, SGS Lakefield Research, Canada, 6/09/2006.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 59</u>

In the second semester of 2007, White Mountain requested SGS Lakefield to develop grinding characteristic data for both SAG mills, ball and rod mills. A sample obtained from the diamond drill holes cores, was supplied in three 200 liters drums, and sent for the tests. For SAG grindability information, the McPherson test was performed using a 18" mill. The rod and ball mill grinding information was conducted using a standard Bond test. The resultant work indexes were 14.9, 14.4 and 14.0 kWh/ton respectively. The study indicates that for SAG grinding, pebble extraction and crushing with a relatively fine alimentation will be required. The document recommended further work on SAG mills, and looking at rock competency data, the use of HPGR mill could be considered as another alternative. The report is called An Investigation into The Grindability Characteristics of a Cerro Blanco Sample, Project 11754-001 Report 1, SGS Lakefield Research, Canada, 13/12/2007.

In May 2007, White Mountain requested SGS Lakefield Canada to run optimization tests on "type 1" mineral. The purpose was to investigate potential increases in the rutile recovery using a gravity concentrate and formulate a method to reduce the impurities of the final rutile concentrate. Three 150 kg samples of low grade, one 200 kg sample similar to "type 2" mineral, one 100 kg sample representative of "type 1" mineral and one 80 kg sample as feldspar mineral were sent. The laboratory tests were performed between July 2007 and March 2008. It was concluded that gravity concentration works well for all mineral types. A new flow sheet was achieved that reduced the impurities titanite (sphene) and leucoxene quantities in the final concentrate. For the "type 2" mineral a 94.5% TiO2, 2.5% SiO2 and 0.35% CaO was achieved. It was concluded that feldspar extraction needs more work. Table 10.1 summarizes the results obtained for "type 1" mineral on a closed-circuit test. The report is called An Investigation into The Recovery of Titanium and Feldspar from Cerro Blanco Ore Samples, Project 11754-001 Report 5, SGS Lakefield Research, Canada, 28/04/2008.

**Table 10-1 Optimization Tests Results on "Type 1" Mineral**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | **Content (%)** | **Content (%)** | **Content (%)** | **Content (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** |
| **Product** | **Weight %** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** |
| Flotation Final Concentrate | 1.98 | 96.69 | 1.04 | 0.85 | 0.19 | 80.1 | 0.03 | 1 | 0.1 |
| Combined Tailings | 98.02 | 0.49 | 61.64 | 1.74 | 2.83 | 19.9 | 99.07 | 99 | 99.9 |
| Head Grade (Calculated) | 100 | 2.39 | 60.44 | 1.72 | 2.78 | 100 | 100 | 100 | 100 |

---

In 2008, White Mountain requested AMEC-CADE consortium to supervise additional metallurgical test work performed in Chile for the development of an alternative reagent formulation and flotation process and an analysis of different gravitational pre concentration methods. AMEC-Cade also requested CIMM T&S Chile to run laboratory tests to generate gravitational pre-concentrates to be used for future flotation tests. A 450 kg of "type 1" mineral sample was used for this work. Pre-concentrate material was generated via shaking tables and 180 kg of pre-concentrates were obtained and separated into 1 kg bags to be used for flotation tests. The gravitational pre-concentration circuit achieved a TiO2 recovery of 92% with a content of 6.9% TiO2 and a weight recovery of 47.8%. The tests were performed between December 2008 and February 2009. Additional information can be found in: Proyecto Cerro Blanco - Supervisión Pruebas Metalúrgicas Etapa 1 – Informe Final, 2561-INF-000-DC-001, AMEC-Cade, Chile, 17/04/2009 and Estudio Metalúrgico de Reactivos de Flotación - Proyecto Cerro Blanco- Informe Final Generación Preconcentrado Gravitacional, Servicio CIMM T&S 31-1266, Febrero de 2009.

At the end of 2008, AMEC-CADE contracted CYTEC to run exploratory flotation tests using the pre-concentrate generated by CIMM T&S. CYTEC and conducted more than 80 flotation tests, both open cycle and locked cycle, using both fresh and saltwater. With fresh water, a final flotation concentrate grade of 93.6% TiO2 was achieved with a TiO2 recovery of 94.78%. Proyecto Cerro Blanco - Supervisión Pruebas Metalúrgicas Etapa 1 – Informe Final, 2561-INF-000-DC-001 Anexo 8, AMEC-Cade, Chile, 17/04/2009.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 60</u>

Finally, AMEC-Cade requested that Jacol Chile, the Knelson Concentrator representatives, run tests using a Knelson® centrifugal concentrator for the gravitational pre-concentration stage. The results were not conclusive, so new optimization tests were proposed.

In February 2009, White Mountain requested SGS Lakefield, Canada to run confirmation tests, to evaluate the use of sea water in the flotation circuit and generate rutile concentrates specifications which could be used for marketing purposes. A 200 kg composite of mineral "type 1" was taken from the pilot test stockpile. The laboratory tests were performed between March 2009 and April 2009. See report Confirmation Test work on Cerro Blanco Pilot Plant Sample, Project 12122-001 Report 6, SGS Lakefield Research, Canada, 04/05/2012.

This study showed an improvement of the results when compared to those obtained from earlier research tests. It also determined that it is possible to obtain a similar quality of the final TiO2 concentrates using sea water although with a lower recovery and a 5 kg of premium quality rutile concentrate was obtained.

Table 10-2 shows the results of the last two closed cycle "F4" tests using 35 kg of alimentation and fresh water.

**Table 10-2 Confirmation Tests Results "Type 1" Mineral**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Test** | **Product** | **% Weight** | **Content (%)** | **Content (%)** | **Content (%)** | **Content (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** |
| **Test** | **Product** | **% Weight** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** |
| F3 | Non-Magnetic Final Concentrate | 3.37 | 97.2 | 0.74 | 0.72 | 0.06 | 87.9 | 0.04 | 2.0 | 0.8 |
| F3 | Combined Tailings | 96.63 | 0.47 | 65.4 | 1.23 | 0.28 | 12.1 | 99.96 | 98.0 | 99.2 |
| F3 | Head Grade (Calculated) | 100.00 | 3.17 | 64.7 | 1.17 | 0.29 | 100.0 | 100.0 | 100.0 | 100.0 |
| F4 | Non-Magnetic Final Concentrate | 3.22 | 97.4 | 0.79 | 0.8 | 0.27 | 84.7 | 0.04 | 1.8 | 2.9 |
| F4 | Combined Tailings | 96.78 | 0.61 | 62.84 | 1.45 | 0.3 | 15.7 | 99.9 | 98.2 | 97.1 |
| F4 | Head Grade (Calculated) | 100.00 | 3.72 | 60.8 | 1.43 | 0.3 | 100.0 | 100.0 | 100.0 | 100.0 |

---

In April 2009, White Mountain requested SGS Lakefield, Canada continue the study of sodium feldspar recovery from the flotation tailings minimizing the possible iron content The tests were performed between June and October, 2009, using about 30 kg of tailings from tests described above. A QUEMSCAN, optic and X Ray Diffraction (XRD) mineralogical studies were performed to determine the iron bearing species. Approximately 20 tests were performed to test different collectors, pH levels and pH modifiers, number of cleaning stages and other parameters. The tests obtain a concentrate with 9% Na2O and iron contents between 0.37% and 0.4% Fe2O3, with a Na2O recovery near 70% using a process that involves desliming, gangue pre-flotation and feldspar flotation. The report produced is called An Investigation into The Recovery of Feldspar from Titanium Flotation Tailings, Project 12185-001 Final Report, SGS Lakefield Research, Canada, 04/01/2010.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 61</u>

10.3 PILOT PLANT TESTWORK

In 2009, pilot plant tests were run at SGS Lakefield, Canada, to confirm the results obtained at a laboratory scale, to generate more information for engineering studies and to generate a sample concentrate for marketing purposes. These tests were performed in two stages. A 250 tonne sample of "Type 1" mineralization was used for this work. Figure 10-1 shows the area in the Las Carolinas deposit where the sample was taken.

![](ex96-1_033.jpg)

**Figure 10-1** Extraction point of samples for pilot plant

The sample was extracted by blasting the area shown. The extracted material was collected into 24 piles. The amount of mineral and gangue material were recorded from visual estimates and then loaded into maxibags. The visual estimates indicated that rutile was contributing to about 95% of the total titanium content, with a minimum of 85%, while a large part of the sample had only rutile content as Ti species. In general, the other Ti contributor was leucoxene, and only traces of sphene appear in some of the samples. The gangue material was mainly feldspar/albite (between 80 and 90%) with lower contents of quartz and sericite, traces of phengite, limonite, and pyrite. Figure 10.2 shows the operation of maxibags loading and mineral piles, whereas Figure 10.3 shows a typical image used for the visual description.

![](ex96-1_034.jpg)

Figure 10-2 **Sampling and Loading of Maxibags**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 62</u>

![](ex96-1_035.jpg)

**Figure 10-3** Typical microscope image used for samples description

**10.3.1 Stage 1 Testwork**

The Stage 1 pilot test was performed in October 2009. The results are in a report called A Pilot Plant Investigation into The Recovery of Rutile Ore Sample from Cerro Blanco, Project 12219-001 – Report 1, SGS Canada Inc., 28/6/2010.

For the development of these tests, 140 tonnes of material were used. Eight tests were executed in one shift plus a 60-hour continuous test was also carried out. The circuit for these tests included, a rod mill, a ball mill in closed circuit, gravitational pre-concentration (shaking tables), regrind rod mill, flotation (using fresh water) and high intensity magnetic concentration, according to data developed in previous laboratory tests. This test was conducted at a flow rate of 1.2 tph. Figure 10-4 shows the gravitational concentration flow sheet while Figure 10-5 shows the flotation flow sheet. In the case of magnetic concentration, this was done in two batch stages, rougher and scavenger, while the magnetic concentrate was classified into two meshes, 200# and 270#, respectively.

![](ex96-1_036.jpg)

Figure 10-4 **Gravity concentration flow sheet**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 63</u>

![](ex96-1_037.jpg)

Figure 10-5 **Flotation Flow Sheet Stage 1 pilot plant**

For results, analyses were made using both sampling campaigns and individual samples. Sampling campaigns were one hour long, when the plant is stabilized or toward the end of each test. Chemical and grain size analyzes were made at various points in the plant. Chemical analysis was done by XRF. Mineralogical analyses for concentrates were also made, using QEMSCAN. Results in Table 10-3.

**Table 10-3 Stage 1 Pilot Plant Results Summary**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Product** | **% weight** | **Content (%)** | **Content (%)** | **Content (%)** | **Content (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** |
| **Product** | **% weight** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** |
| Non-Magnetic Concentrate | 2.58 | 96.7 | 1.19 | 0.74 | 0.1 | 84.5 | 0 | 1.2 | 0.3 |
| Standard Concentrate (+200#) | 1.67 | 96.4 | 1.43 | 0.66 | 0.06 | 54.6 | 0 | 0.7 | 0.1 |
| Fine Concentrate (-200/+270#) | 0.42 | 97.2 | 0.88 | 0.77 | 0.12 | 14 | 0 | 0.2 | 0.1 |
| Ultra Fine Concentrate (-270#) | 0.48 | 97.5 | 0.62 | 0.97 | 0.20 | 15.9 | 0 | 0.3 | 0.1 |
| Magnetic Concentrate | 0.11 | 60.3 | 1.39 | 36.4 | 0.36 | 2.3 | 0 | 2.7 | 0 |
| Flotation Tailings | 53.5 | 0.22 | 65.5 | 1.26 | 0.79 | 4 | 57.1 | 44.3 | 51.6 |
| Gravity Concentration Tailings | 37 | 0.55 | 60.5 | 1.71 | 0.89 | 6.9 | 36.5 | 41.6 | 40.2 |
| Slimes | 6.8 | 1.01 | 56.8 | 2.27 | 0.94 | 2.3 | 6.3 | 10.1 | 7.8 |
| Head (Calculated) | 100 | 2.95 | 61.3 | 1.52 | 0.82 | 100 | 100 | 100 | 100 |

---

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 64</u>

**10.3.2 Stage 2 Testwork**

The Stage 2 pilot test was evaluated in November 2009. The specific objective of this test was to evaluate the use of the Knelson Concentrator®, spiral gravitational and the use of seawater flotation. A Pilot Plant Investigation into The Recovery of Rutile Ore Sample from Cerro Blanco, Project 12219-002 – Report 2, SGS Canada Inc., 7/10/2010.

A part of the surplus of unused mineral in Stage 1 (about 55 tonnes) was used for this work. The development of this test considered grinding (identical to Stage 1) gravitational pre-concentration (Knelson, spirals) regrinding, floating (circuit identical to Stage 1, using salt water) and high intensity magnetic concentration. Figure 10-6 shows the gravitational concentration spirals flow sheet, including grinding and regrinding (the floating does not change with respect to Step 1). Other parameters were kept equal.

![](ex96-1_038.jpg)

**Figure 10-6** Stage 2 pilot plant recommended gravity concentration flowsheet

Stage 2 of the pilot plant test work concluded that the spiral gravitational pre-concentration circuit behavior was similar to Stage 1 with shaking tables, with a slight decrease in the recovery of TiO2 but higher TiO2 content in the pre-concentrate. For saltwater use, the results indicated a significant reduction in the recovery of TiO2. Table 10-4 shows a summary of the results. A significant amount of test parameters for the pilot plant design of the plant was obtained

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 65</u>

**Table 10-4 Stage 2 Pilot Plant Test Results**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Product** | **% weight** | **Content (%)** | **Content (%)** | **Content (%)** | **Content (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** | **Distribution (%)** |
| **Product** | **% weight** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** | **TiO<sub>2</sub>** | **SiO<sub>2</sub>** | **Fe<sub>2</sub>O<sub>3</sub>** | **CaO** |
| Flotation Final Concentrate | 2.4 | 95.5 | 0.7 | 1.81 | 0.18 | 78.2 | 0.03 | 3.1 | 0.55 |
| Flotation Tailings | 42.9 | 0.66 | 65.1 | 1.39 | 0.86 | 9.3 | 47.4 | 40.6 | 44.9 |
| Gravity Concentration Tailings | 49.3 | 0.6 | 61.2 | 1.61 | 0.91 | 9.1 | 47.1 | 47.7 | 48 |
| Slimes | 5.9 | 1.84 | 56.8 | 2.36 | 1.00 | 3.4 | 5.4 | 8.7 | 6.6 |
| Head (Calculated) | 100 | 3.02 | 61.1 | 1.57 | 0.88 | 100 | 100 | 100 | 100 |

---

10.4 POST PILOT PLANT TESTWORK

Complementing the pilot plant test work, liquid-solid separation and determination of rheology test work were carried out, using samples from the pilot plant, tailings, and concentrates. Rheological characteristics were separately determined for both the gravitational and flotation tailings, identifying flocculants type and dosage requirements and thickening rates. Additionally, filtration rates were determined for each of the final concentrate fractions. SGS recommended verifying these values with equipment suppliers. The report with the results is called An Investigation into Liquid-Solid Separation and Rheology of Samples Produced Response From The Pilot Of Recovery Plant From The Cerro Blanco Rutile Ore, 12219-001 Project Final Report, SGS Lakefield Research, Canada, 04/01/2011.

In November 2010, White Mountain requested SGS Lakefield to develop laboratory tests to optimize the feldspar recovery scheme from flotation tailings to achieve a marketable concentrate. For these tests, stored flotation tailings were used, generated during the development of the pilot plant test work. It included a regrind stage and final magnetic concentration stage. It was confirmed that muscovite was the major contributor of iron, thus pre-flotation of it was optimized. A concentrate of 10% Na2O was possible to obtain in the test work, but with lower recovery. It was determined that it would be possible to obtain a marketable concentrate. The study was conducted between February and July 2011. The report with the results is called An Investigation into The Recovery of Feldspar Flotation Tailings from Titanium, Project 12219-003 Final Report, SGS Lakefield Research, Canada, 22/09/2011.

In October 2011, White Mountain contacted Delkor Chile to perform confirmation tests for gravitational tailings, flotation and mixed tailings thickening, as well as evaluating the possibility of filtering them, according to the recommendation of SGS. Two samples were sent, one of gravity pre-concentration tailings and other of flotation tailings from the pilot plant test work. Thickening and filtration tests were performed both as separate tailings and as a mix. Thickening and filtration rates, flocculant consumption, and thickened tailings rheology were determined. These tests were conducted during December 2011. The report with the results is called Sedimentation tests and Vacuum Filtration for Tailings Rutile White Mountain Titanium Corporation TR-TH/HBF 512 Test Report Rev. 1, 11/01/2012.

In November 2011, White Mountain contacted Sandvik Chile for the determination and evaluation of crushing parameters for the subsequent design of the area. Two shipments of rutile material were made, one of surface mineral and another two samples coming from pilot blasting nº1 and nº2 respectively, to Sandvik Sweden laboratories. Each sample was composed of 40 rocks. Crusher Work Index of 16 kWh/t and rock abrasion index of 0.0812 were determined. Raw Material Test - Summary Report, Report 8367, Sandvik Svedala Test and Research Center, 03/01/2012, Raw Material Test – Summary Report, Report 8480, Sandvik Svedala Test and Research Center, 31/05/2012 and Raw Material Test – Summary Report, Report 8481, Sandvik Svedala Test and Research Center, 31/05/2012.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 66</u>

In February 2012, White Mountain asked CIMM T & S, Chile (Today SGS-CIMM T & S), to conduct a test program in order to generate samples for further development in specific laboratories, and also to determining additional process data, from 3 samples: two from sampling campaigns conducted in two areas of the Carolinas deposit from pilot blasting material, and a sample obtained from the remaining unused pilot plant samples from 2009. A total of 6 maxibags of run of mine mineralization, 2 of each type of mineralization, with a total of 6 tonnes of material. The tests were conducted between February and August 2012.

Tests were carried out at a laboratory scale with activities involving crushing, grinding, size classification and gravitational concentration by the use of a shaking table. A chemical characterization of the samples was conducted and a mineralogical characterization via QEMSCAN to each of the shipped mineralization types (Sample Mineralogical Characterization Head, Project 260093-Q458, SGS Chile, 23/07/2012). The following samples were generated:

&nbsp;&nbsp;&nbsp;&nbsp;1. Crushed sample for material handling analysis in hoppers
and silos for Jenike & Johanson, Chile.

&nbsp;&nbsp;&nbsp;&nbsp;2. 500 kg of grinded, classified and homogenized sample, for
gravitational pre-concentration optimization testing in Mineral Technologies, Australia.

&nbsp;&nbsp;&nbsp;&nbsp;3. Four (4) gravity pre-concentrate samples, with an approximate
total of 500 kg, bagged 1 kg in bags, for flotation stage optimization testing.

In April 2012, White Mountain asked Jenike & Johanson Chile, to conduct ore handling test work, to size the silos, hoppers and stockpiles. Four samples of 60 kg each were sent, corresponding to samples of primary and tertiary crushing mineral from pilot blasting nº1 and nº2. The tests were conducted between May and June 2012. (Determination of Flow Properties and General Recommendations for Handling and Storage of Mineral Crushing – Cerro Project white, JJC Report No. 68354-2, Jenike & Johanson Chile, 01/06/2012.)

In early 2012, White Mountain asked Mineral Technologies, Australia, to investigate the development of gravity concentration, using spirals to corroborate and optimize the results of the pilot plant, on a spiral of industrial scale. A total of 500 kg ground and classified sample was sent as a composite of mineral from pilot blasting nº1, nº2 and pilot plant sample. The tests were carried out between July and August 2012. The results confirmed the results obtained during the pilot plant test work, demonstrating that the composite of 3 different minerals had similar behavior as that obtained during the pilot plant test work, with spirals of industrial scale. Gravity Testwork on High Capacity Spiral Separators, MS.12/82501/1, Mineral Technologies, 12/09/2012.

In mid-2012, White Mountain requested CYTEC Chile to consider the development of laboratory flotation tests, aimed at optimizing the current chemical reagent formulation, and develop an alternative formulation, based on tests developed in 2009.

10.5 ADEQUACY OF DATA

The data derived from the various tests in this section are adequate for use in this TRS. The analyses used in this section are typical conventional practices in the mineral separation and processing industry. As described in the previous parts of this chapter the test samples are representative of the mineral deposit as a whole. IN the opinion of the QP the data is adequate for the intended uses in the technical report summary.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 67</u>

**11 MINERAL RESOURCE ESTIMATE**

The current Mineral Resource Estimate includes three prospects called Las Carolinas, La Cantera, and Eli respectively. The current resource estimate of the three prospects was carried out within the area defined by UTM coordinates N6,826,000; N6,832,000; E295,000 and E300,000 and altitudes between 400 meters to 1,200 msl.

For the resource estimation of all the prospects, two different block model projects were created in GEMCOM software; one for the Las Carolinas and La Cantera main area and a second for the Eli area, which is located approximately 3 km southwest of the main area (Figure 11-1). Block size of 10 meters × 10 meters × 10 meters were used for the estimate. Block grades were estimated by Ordinary Kriging, Inverse Distance Squared (ID2) and Nearest Neighbor (NN) methods using 3-meter down hole drill composites.

![](ex96-1_039.jpg)

Figure 11-1 **Resource area and prospects hosting Mineral Resource estimates**

Eighty-seven White Mountain diamond drill holes were used for the resource estimate. Whole rock analyses were available for all 87 holes. A total of 43 Ojos del Salado drill holes (7 diamond drill holes and 36 percussion holes) were included. Eight Ojos del Salado percussion drill holes were twinned by White Mountain in 2006 with RC drill holes. RC results were prioritized against the percussion drill hole in the database.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 68</u>

9 detailed surface geological mapping, performed since 2009, was used as additional information for the 3-D geological resource model building (Figures 11-2, 11-3 and 11-4).

![](ex96-1_040.jpg)

**Figure 11-2** Las Carolinas surface geological map

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 69</u>

![](ex96-1_041.jpg)

**Figure 11-3 La Cantera Surface Geology Map**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 70</u>

![](ex96-1_042.jpg)

**Figure 11-4 Eli Surface Geology Map**

11.1 DRILL HOLE DATA

Diamond and percussion drill hole data, used for the current geological resource estimate, is shown in Table 11-1.

**Table 11-1 Drill Data used for the Mineral Resource Estimate**

---

| | | | |
|:---|:---|:---|:---|
| **Company** | **Drill Hole Type** | **Number of Holes** | **Meters Drilled** |
| Ojos del Salado | Diamond | 7 | 1267 |
| Ojos del Salado | Percussion | 36 | 6780 |
| White Mountain | Reverse Circulation | 7 | 1429 |
| White Mountain | Diamond - 2004 | 12 | 2448 |
| White Mountain | Diamond - 2006 | 13 | 2560 |
| White Mountain | Diamond - 2008 | 28 | 4242 |
| White Mountain | Diamond – 2010 to 2011 | 54 | 7047 |
| **Total** |  | **157** | **25773** |

---

11.2 THREE-DIMENSIONAL MODELING

Material reported as Mineral Resources is composed mainly of altered rock with rutile mineralization and subordinated leucoxene and/or sphene. Table 11-2 summarizes the drill hole samples classification criteria used for the Las Carolinas block model.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 71</u>

Table **11-2 Classification for Drill Hole Samples at Las Carolinas** 

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **CODE** | **COMPOSIT CLASSIFICATION** | **CLASSIFICATION** | **TiO2-BEARING MINERAL PROPORTIONS** | **TiO2-BEARING MINERAL PROPORTIONS** | **TiO2-BEARING MINERAL PROPORTIONS** | **TiO2-BEARING MINERAL PROPORTIONS** | **TiO2-BEARING MINERAL PROPORTIONS** | **TiO2%** | **CaO%** | **Fe%** | **Fe2O3%** | **C O M M E N T S** |
| **CODE** | **COMPOSIT CLASSIFICATION** | **CLASSIFICATION** | **Rutile** | **Leucoxene** | **Rutile + Leucoxene** | **Sphene** | **Ilmenite** | **TiO2%** | **CaO%** | **Fe%** | **Fe2O3%** | **C O M M E N T S** |
| **CODE** | **COMPOSIT CLASSIFICATION** | **CLASSIFICATION** | (1 to 10 proportion) | (1 to 10 proportion) | (1 to 10 proportion) | (1 to 10 proportion) | (1 to 10 proportion) | **TiO2%** | **CaO%** | **Fe%** | **Fe2O3%** | **C O M M E N T S** |
| **OR** | **ORE** | **Rutile Ore** | ≥ 6 | < 4 | ≥ 8 | ≤ 2 | <u><</u> 2 | > 0.75 | ≤ 7.00 | ≤ 4.00 | ≤ 6.00 | Altered gabbro with abundant rutile crystals in relation to leucoxene |
| **OR** | **ORE** | **Leucoxene Ore** | <u><</u> 6 | ≥ 3 | ≥ 8 | ≤ 2 | <u><</u> 2 | > 0.75 | ≤ 7.00 | ≤ 4.00 | ≤ 6.00 | Altered gabbro with a mixture of rutile crystals and leucoxene |
| **OR** | **ORE** | **Ore With Sphene** |  |  | ≥ 5 | <u>></u> 3 | <u><</u> 2 | > 0.75 | ≤ 7.00 | ≤ 4.00 | ≤ 6.00 | Altered gabbro with rutile-leucoxene and sphene (less than 50%) |
| **SP** | **SPHENE** | **High Sphene** |  |  | ≤ 5 | ≥ 5 | ≤ 2 | - | ≤ 7.00 | ≤ 4.00 | ≤ 6.00 | Altered gabbro with more than 50% sphene |
| **LG** | **LOW GRADE** | **Low Grade Ore** |  |  | <u>></u> 6 | ≤ 4 | <u><</u> 2 | <u><</u> 0.75 | ≤ 7.00 | ≤ 4.00 | ≤ 6.00 | Altered gabbro with a mixture of rutile crystals and leucoxene (low grade) |
| **WST** | **WASTE** | **Gabbro** |  |  | <u> </u> |  | <u>></u> 3 |  | > 7.00 | > 4.00 | > 6.00 | Mainly fresh gabbro with ilmenite-titano magnetite |
| **WST** | **WASTE** | **Other** |  |  |  |  | - | < 0.2 | - | - | - | Other lithologies with no Ti mineralization or altered rock & aplite with TiO2% < 0.2% |
| NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 | NOTE: HM code is added to the ORE code on COMPOSIT CLASSIFICATION when hematite - specularite quantity is > 2 |  |  |  |  |  |  |

---

The geological model was built in 50 meter spaced northeast sections, with 25-meter influence on either side and 10-meter plans with 5-meter influence on either side with 3-D polygons using GEMCOM software. As an example, sections used on Las Carolinas Prospect are presented on Figure 11-5.

![](ex96-1_043.jpg)

Figure 11-5 **Las Carolinas geology sections**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 72</u>

![](ex96-1_044.jpg)

**Figure 11-6 Three dimensional view of the Las Carolinas models**

**Figure 11-7 La Cantera Geological Model**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 73</u>

**Figure 11-8 Eli Deposit Geological Model**

11.3 STATISTICAL ANALYSIS

A total of 3,826 analyzed samples were used for the current resource estimate. The statistical analysis shows that 98.4% of the population has 3-meter support. For this reason, the original 3-meter sample support was used for the resource estimate composite length. Table 11-3 shows the statistical analysis for all samples separated by modeled area

**Table 11-3 General Statistics and Composite Distribution**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Area** | &nbsp;&nbsp; **Samples**<br> **(Quantity)** | **TiO<sub>2</sub>% Minimum** | **TiO<sub>2</sub>% Maximum** | **TiO<sub>2</sub>% Average** | **SD** | **Variable** |
| SW | 654 | 0.15 | 6.75 | 1.94 | 0.92 | 0.855 |
| SW LG | 9 | 0.50 | 0.80 | 0.60 | 0.09 | 0.008 |
| CNE | 1892 | 0.09 | 5.61 | 1.95 | 0.73 | 0.530 |
| CNE LG | 184 | 0.26 | 2.28 | 0.51 | 0.23 | 0.052 |
| DNE | 541 | 0.05 | 3.27 | 1.35 | 0.68 | 0.459 |
| DNE1 | 23 | 0.93 | 2.40 | 1.82 | 0.38 | 0.143 |
| Cantera | 102 | 0.05 | 3.25 | 1.35 | 0.74 | 0.543 |
| Eli | 421 | 0.09 | 3.38 | 1.29 | 0.45 | 0.202 |

---

Statistics for raw TiO2% assay data, within the Las Carolinas Prospect broken down by major domains zones are illustrated as comparative box plots in (Figure 11.9).

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 74</u>

![](ex96-1_047.jpg)

**Figure 11-9** Las Carolinas Box Plots

11.4 SPECIFIC GRAVITY

The company developed a program to determine the material specific gravity (SG) by weighting in air and then measuring the volume displacement in water of core samples about 20 cm long. This procedure is widely used in the industry for this purpose. Figure 11-10 shows measured core samples for SG determination.

![](ex96-1_048.jpg)

**Figure 11-10** Core samples used for specific gravity determinations.

From the total of 390 core samples measured, 105 samples are from the White Mountain 2006 drill hole campaign and 285 are from White Mountain 2010 to 2011 campaign. The average of all samples is 2.67 g/c3.

For the current resource estimate, SG values were assigned to each estimation domain according to the average of SG samples belonging to that domain. For the La Cantera and Eli Prospects, a constant SG value of 2.60 g/cc was used (Table 11-4).

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 75</u>

**Table 11-4 Specific gravity values used for the mineral deposit**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Area** | **SW** | **C+NE** | **DNE** | **Waste** | **Cantera/Eli** |
| SG g/c<sup>3</sup> | 2.584 | 2.635 | 2.617 | 2.752 | 2.60 |

---

11.5 VARIOGRAPHY

Variography analysis was performed on each of the three major estimation domains. While the variograms obtained in general match the geological observations, particularly on the general northwest trend of the albitized bodies, there is no defined preferential continuity orientation. For all domains, an omni-directional variogram was determined to be the best representation of spatial continuity.

The down hole variograms display strong continuity in the vertical direction, supporting a likely vertical control of the albitized (mineralized) bodies. Variography plots of all domains are presented in Figure 11-11 to 11-13.

---

| | |
|:---|:---|
| ![](ex96-1_049.jpg) | ![](ex96-1_050.jpg) |

---

Figure 11-11 **Adjusted Variography for anisotropy directions, CNE, CANTERA estimation domain**

---

| | |
|:---|:---|
| ![](ex96-1_051.jpg) | ![](ex96-1_052.jpg) |

---

**Figure 11-12** Adjusted Variography for anisotropy directions, SW, DNE **estimate** domain

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 76</u>

![](ex96-1_053.jpg)

**Figure 11-13** Adjusted Variography for anisotropy directions, Eli **estimation** domain

11.6 KRIGING PLAN

Table 11.5 presents the parameters used for kriging detailing the ranges and anisotropies obtained on the variography study of each estimation domain.

Table **11-5 Kriging Plan for Cerro Blanco Mineral Resource Estimation**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** | &nbsp;&nbsp; <br> **Minimum Samples – 2 Maximum Samples – 50 Max Samples per Drill Hole – 25** |
| **Domain** | **Item** | **Direction** | **Type<sup>1</sup>** | **Nugget Effect** | **Sill 1** | **Range 1** | **Sill 2** | **Range 2** |
| Cantera | TiO<sub>2</sub> | Omni | sph | 0.12 | 0.88 | 36 |  |  |
| CNE | TiO<sub>2</sub> | Omni | sph | 0.26 | 0.31 | 28 | 0.43 | 212 |
| DNE | TiO<sub>2</sub> | Omni | sph | 0.31 | 0.57 | 30 | 0.12 | 164 |
| SW | TiO<sub>2</sub> | Omni | sph | 0.20 | 0.80 | 31 |  |  |
| Eli | TiO<sub>2</sub> | Omni | sph | 0.1 | 0.57 | 11 | 0.33 | 220 |
| <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical | <sup>1</sup>sph = spherical |

---

The kriging plan used two estimation passes, at 100% and 150% of the variograms range, with the purpose to estimate the non-estimated blocks on the first pass. With this kriging plan, 100% of the contained blocks on all estimation domains are estimated.

11.7 BLOCK MODEL VALIDATION

Uncertainties exist in the spatial distribution on mineralization. The samples themselves have uncertainty related to sampling collection errors and the homogeneity of the deposit. The wider spaced drilling has more uncertainty that closely spaced drilling. One way to reduce uncertainty is through the use of acceptable estimation techniques such as kriging. Kriging helps reduce uncertainty by accounting for the variance between drillhole samples. The final conclusion that uncertainty has been accounted for comes down to visually inspecting the resource estimate compared to the drilling sampling and mineralization grades. Estimated resources were validated graphically and analytically. The graphical validation was performed on screen by grade comparison between estimated blocks versus drill holes samples grades. Clearly shows the good correlation between drill holes data and estimated blocks (Figure 11-14).

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 77</u>

![](ex96-1_054.jpg)

**Figure 11-14** Section showing correlation between drill holes versus estimated blocks grades

An analytical validation was performed via drift analysis, comparing estimated blocks via ordinary kriging plan versus estimated blocks via NN method and ID2.

Figure 1-15 to Figure 11-17 shows the drift analysis (for C+NE estimation domain through east-west direction, north-south direction and along depth, respectively). The blue line shows the KP estimated blocks while the green line shows the NN estimated blocks.

![](ex96-1_055.jpg)

Figure 11-15 **West East horizontal swath plot Las Carolinas C+NE**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 78</u>

**Figure 11-16** South North horizontal swath plot Las Carolinas C+NE

**Figure 11-17** Vertical swath plot Las Carolinas C+NE

As observed on Figure 11-18 to Figure 11-20 both lines present a similar behavior. The drift analysis along depth shows major variability on composites of about 750 msl (more than 400 meters from the surface). This effect could be explained due to the diminishing of samples at that depth.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 79</u>

![](ex96-1_058.jpg)

Figure 11-18 **West East horizontal swath plot Eli**

![](ex96-1_059.jpg)

**Figure 11-19** South North horizontal swath plot Eli

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 80</u>

![](ex96-1_060.jpg)

**Figure 11-20** Vertical swath plot Eli

Another validation process performed was a comparison between estimated blocks versus composites. The scatter plot for all estimation domains shows the good correlation between TiO2% blocks versus TiO2% composites (Figure 11-21 and Figure 11-22).

![](ex96-1_061.jpg)

Figure 11-21 **Scatter plot TiO<sub>2</sub>% blocks versus TiO<sub>2</sub>% composite Las Carolinas – Cantera**

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 81</u>

![](ex96-1_062.jpg)

**Figure 11-22** Scatter plot TiO<sub>2</sub>% blocks versus TiO<sub>2</sub>% composite Eli

11.8 MINERAL RESOURCE ESTIMATES

Mineralization has been classified as follows:

&nbsp;&nbsp;&nbsp;&nbsp;1. **Measured Resources (Category = 1):** Blocks estimated using samples from at least 2 different drill
holes and the nearest sample is within 35 meters of the search radius.

&nbsp;&nbsp;&nbsp;&nbsp;2. **Indicated Resources (Category = 2):** Blocks estimated using samples from at least 2 different drill
holes and the nearest sample is within 35 to 65 meters of the search radius.

&nbsp;&nbsp;&nbsp;&nbsp;3. **Indicated Resources (Category = 2):** Blocks estimated using samples from a single drill hole and the
nearest sample is within 35 meters of the search radius.

&nbsp;&nbsp;&nbsp;&nbsp;4. **Inferred Resources (Category = 3):** Blocks estimated using samples from a single drill hole and the
search radius is greater than 35 meters.

&nbsp;&nbsp;&nbsp;&nbsp;5. **Inferred Resources (Category = 3):** Blocks estimated with a search radius greater than 65 meters

The Cerro Blanco Project mineral resource presented in this report shows titanium cut-off grades ranging from 1.0 to 3.0% TiO2.

Metallurgical tests, carried out for the Project described in Section 10, demonstrate recoveries ranging from 75% to as high as 95% recovery of TiO2. Based upon the QP's knowledge and experience with processing costs, for floatation and gravity separation of non-metallic concentrates, processing would be estimated in the range of US$8/tonne to as high at US$15/tonne. Current market prices for TiO2 pigment are approximately US$3,800/tonne.

Parameters used to determine the reasonable prospects for economic extraction of saleable TiO2, through open-pit mining methods, for the Project are: mining cost of US$2/tonne, recovery of 85%, processing costs of US$15/tonne and a selling price of US$3,500/tonne. These parameters yield a cut-off grade of 1.0% TiO2.

The Mineral Resource Estimate assumes a 1.0% TiO2 cut-off as the most reasonable prospects for economic extraction. At a 1.0% TiO2 cut-off, the author has estimated that the Las Carolinas, La Cantera, and Eli Prospects on the Cerro Blanco Project have a current Measured Mineral Resources of 56.3 million tonnes averaging 1.80% TiO2, Indicated Mineral Resources of 50.5 million tonnes averaging 1.75% TiO2, and Inferred Mineral Resources of 67.6 million tonnes averaging 1.38% TiO2. Details at various cutoffs are shown in Table 11-6 and Table 11-7 shows the breakdown of the Mineral Resources by Prospect

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 82</u>

**Table 11-6 Las Carolinas, La Cantera, and Eli Mineral Resource Estimate (As of February 2023)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Resource**<br> **Category** | **Cutoff**<br> **TiO<sub>2</sub> (%)** | **Tonnes** | **Grade**<br> **TiO<sub>2</sub> (%)** | **Contained**<br> **TiO<sub>2</sub> (t)** |
| Measured | 3 | 230000 | 3.28 | 7600 |
| Measured | 2.5 | 3411000 | 2.67 | 91200 |
| Measured | 2 | 21255000 | 2.29 | 487700 |
| Measured | 1.5 | 37783000 | 2.06 | 777100 |
| Measured | 1 | 56315000 | 1.80 | 1012500 |
| Indicated | 3 | 650000 | 3.33 | 21600 |
| Indicated | 2.5 | 3843000 | 2.78 | 106900 |
| Indicated | 2 | 15639000 | 2.36 | 368700 |
| Indicated | 1.5 | 31355000 | 2.05 | 642300 |
| Indicated | 1 | 50526000 | 1.75 | 885700 |
| Measure + Indicated | 3 | 880000 | 3.32 | 29200 |
| Measure + Indicated | 2.5 | 7254000 | 2.73 | 198100 |
| Measure + Indicated | 2 | 36894000 | 2.32 | 856400 |
| Measure + Indicated | 1.5 | 69138000 | 2.05 | 1419400 |
| Measure + Indicated | 1 | 106841000 | 1.78 | 1898200 |
| Inferred | 3 | - | 0.00 | 0 |
| Inferred | 2.5 | 593000 | 2.63 | 15600 |
| Inferred | 2 | 3589000 | 2.31 | 82800 |
| Inferred | 1.5 | 17122000 | 1.82 | 310900 |
| Inferred | 1 | 67614000 | 1.38 | 932300 |

---

The Mineral Resources broken down by prospect is presented in Table 11.7 (Cutoff grade 1.0%).

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 83</u>

Table **11-7 Mineral Resources Broken Down by Prospect**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Las Carolinas** | **Las Carolinas** | **La Cantera** | **La Cantera** | **Eli** | **Eli** |
| **Category** | **Tonnes (Mt)** | **TiO<sub>2</sub> %** | **Tonnes (Mt)** | **TiO<sub>2</sub> %** | **Tonnes (Mt)** | **TiO<sub>2</sub> %** |
| Measured | 47.0 | 1.90 | 0.0 | 0.00 | 9.3 | 1.26 |
| Indicated | 40.5 | 1.88 | 0.0 | 0.00 | 10.1 | 1.24 |
| **Measured + Indicated** | **87.5** | **1.89** | **0.0** | **0.00** | **19.4** | **1.25** |
| Inferred | 7.7 | 1.97 | 52.5 | 1.31 | 7.4 | 1.26 |

---

&nbsp;&nbsp;&nbsp;&nbsp;1. The effective date of the estimate is August 7, 2023.

&nbsp;&nbsp;&nbsp;&nbsp;2. The point of reference for the Mineral Resource estimate is in situ mineralization within the deposit.

&nbsp;&nbsp;&nbsp;&nbsp;3. Mineral Resources assume 85% recovery of mineralized material above the cutoff grade.

&nbsp;&nbsp;&nbsp;&nbsp;4. Mineral resources are not mineral reserves and do not meet the threshold for reserve modifying factors,
such as economic viability, that would allow for conversion to mineral reserves. There is no certainty that any part of the mineral resources
estimated will be converted to mineral reserves.

&nbsp;&nbsp;&nbsp;&nbsp;5. Numbers in the table have been rounded to reflect the accuracy of the estimate and may not sum due to
rounding.

Uncertainties exist in the spatial distribution on mineralization. The samples themselves have uncertainty related to sampling collection errors and the homogeneity of the deposit. The wider spaced drilling has more uncertainty than closely spaced drilling. Capping of high-grade outliers was used to ensure that the mineral content of the deposit was not over stated. High grade outlier samples will tend to overestimate the metal content of the mineral deposit. The block model for the deposit was constructed using sufficient sized blocks to account for mining dilution and uncertainties related to the actual physical distribution of mineralization. Domains were utilized to minimize the estimation of mineralization into rock units that do not host mineralization. These underlying factors were considered in the final conclusion of the mineral resource estimate.

In the opinion of the qualified person all known issues relating to all relevant technical and economic factors have been considered for the Project at the point of reference. Further work such as infill drilling could convert inferred mineral resources to indicated mineral resources which would in turn influence the prospect of economic extraction.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 84</u>

**12 ADJACENT PROPERTIES**

RDA is not aware of properties adjacent to Cerro Blanco with current Mineral Resource Estimates.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 85</u>

**13 OTHER RELEVANT DATA AND INFORMATION**

There is no other relevant information regarding the Cerro Blanco property which would provide a complete and balanced presentation of the value of the Property.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 86</u>

**14 INTERPRETATION AND CONCLUSIONS**

There have been successive exploration campaigns, which have continued to contribute additional resources to the project. Mineralization has not yet been closed off by drilling. Geologic models need to be improved in three dimensions to better define high grade zones of mineralization.

RDA recommends that Cerro Blanco warrants further exploration including drilling to upgrade and delimit mineral resources, project wide geological mapping with additional soil sampling.

The Cerro Blanco project is a quality grade titanium deposit in Region III of northern Chile. The topography of the deposit would lend itself to a low waste to ore ratio, open pit operation, and the well-developed regional infrastructure would greatly assist in the development and operation of the Property. The current resource estimate, which is based on a total of approximately 27,000 meters of drilling on 3 of 9 known prospects, could be sufficient to sustain an operation on the scale envisaged by the company for 20 years to 30 years. It is advisable to the company to expand current resources through additional in-fill and step-out drilling, principally on the Las Carolinas and La Cantera Prospects. Additionally, the Company should plan to undertake a trenching, sampling, mapping, and initial diamond drilling program on prospects lying adjacent or near Las Carolinas and La Cantera and in particular those prospects exhibiting large geophysical signatures and/or high TiO2 grades at the surface.

All the initial recovery results from the metallurgical tests have yielded positive results.

Based on considerable metallurgical test work, the consultants and the management believe that the mineral resources on the Property have the characteristics to produce a high-grade rutile concentrate and a commercial grade feldspar concentrate that would be attractive to paint pigment and tile and glass manufacturers, respectively, throughout the world. Management also anticipates that the development of the Property could generate substantial cash flow for the Company and its shareholders for many years. However, any future development of the Property will ultimately depend, in large part, on the marketability of the concentrate. The author does have enough experience in the marketing of rutile and feldspar to comment on this aspect of the Project; however, the consultant advises the company to engage technical and marketing personnel with the requisite experience for seeking clients for the planned concentrate output.

The data utilized by the company is well-organized and provides a good base for future studies. In the author's opinion, the data density and reliability are more than adequate for the conclusions that have been presented for Cerro Blanco by the company. The Cerro Blanco Project, as completed to date, has met its objectives.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 87</u>

**15 RECOMMENDATIONS**

RDA recommends that Cerro Blanco warrants further exploration including drilling to upgrade and delimit mineral resources, project wide geological mapping with additional soil sampling. Geological models need to be improved in three dimensions to better define high grade zones of mineralization.

RDA recommends additional work at the Cerro Blanco Project should focus on three areas:

&nbsp;&nbsp;&nbsp;&nbsp;1. Integrate the new mineral resource estimate into the detailed engineering, process design, site planning
and Environmental Impact Study filing.

&nbsp;&nbsp;&nbsp;&nbsp;2. Complete an in-fill, step-out, and geotechnical diamond drilling program on the Las Carolinas and La Cantera
Prospects to increase measured and indicated geological resources on those prospects and better define slope angles for mine design purposes.

&nbsp;&nbsp;&nbsp;&nbsp;3. Undertake a trenching, sampling, mapping, and initial diamond drilling program on prospects lying adjacent
or near Las Carolinas and La Cantera and, in particular, those prospects exhibiting large geophysical signatures and/or high TiO2 grades
at surface.

Additional work at Cerro Blanco should continue to focus on diamond drilling to determine the limits of the mineralization and to provide sufficient data to allow for the conversion of the Inferred resource to the Indicated and Measured category. Drilling should also test for extensions of the deposit and ultimately to define the limits of the mineralization.

The envisioned project schedule entails an additional season of diamond drilling followed by an update to the Mineral Resource estimate and the initiation of a Preliminary Economic Assessment. Any supporting engineering data from site (geotechnical data, additional metallurgical test work, etc.) should be collected during the field season. Table 1.3 shows the approximate cost for the exploration program.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 88</u>

**16 REFERENCES**

AMEC-Cade, 17/04/2009, Proyecto Cerro Blanco - Supervisión Pruebas Metalúrgicas Etapa 1 – Informe Final, 2561-INF-000-DC-001, AMEC-Cade, Chile, 17/04/2009.

Ambrus, Jozsef, 2005, personal communication, including sections and maps.

Bulatović, S., 2005, The Recovery of Rutile from the Cerro Blanco Project (Chile) Ore; SGS Lakefield Research Limited, 191 pages.

Bulatović, S., 2006, The Recovery of Feldspar from Cerro Blanco Rutile Flotation Tailings; SGS Lakefield Research, 33 pages.

Bulatović, S., Metallurgical Characterization of 15 Individual Composites from the Cerro Blanco Orebody; SGS Lakefield Research, 233 pages.

Feddersen, Christian, 2013, personal communications, including sections and maps.

Jenike & Johanson Chile, 01/06/2012, Determination of Flow Properties and General Recommendations for Handling and Storage of Mineral Crushing – Cerro Project white, JJC Report No. 68354-2, Jenike & Johanson Chile, 01/06/2012.

Kurtanjek, Michael P., 2008, personal communications.

Mejia, Julio and Aliakbari, Elmira, Fraser Institute, 2022 Annual Survey of Mining Companies 2022, released by the Fraser Institute 2023.

Minera Ojos del Salado, 1993, Micromine Geological and Mineable Reserve Calculation, Freirina Project; internal report.

Mineral Technologies, 12/09/2012, Gravity Testwork on High-Capacity Spiral Separators, MS.12/82501/1, Mineral Technologies, 12/09/2012.

Rojas, Francisco, 2013, personal communications, including tables-sections and maps.

Sandvik Svedala Test and Research Center, 03/01/2012, Raw Material Test – Summary Report, Report 8367, Sandvik Svedala Test and Research Center, 03/01/2012.

Sandvik Svedala Test and Research Center, 31/05/2012, Raw Material Test – Summary Report, Report 8480, Sandvik Svedala Test and Research Center, 31/05/2012.

Sandvik Svedala Test and Research Center, 31/05/2012, Raw Material Test – Summary Report, Report 8481, Sandvik Svedala Test and Research Center, 31/05/2012.

Servicio CIMM T&S, Febrero de 2009, Estudio Metalúrgico de Reactivos de Flotación – Proyecto Cerro Blanco- Informe Final Generación Preconcentrado Gravitacional, Servicio CIMM T&S 31-1266, Febrero de 2009.

SGS Lakefield Research, 2005, An Investigation into The Recovery of Rutile from Cerro Blanco Project (Chile) Ore, LR10645-001 Reports 1/2, SGS Lakefield Research, Canada, 2005.

SGS Lakefield Research, 31/01/2006, An Investigation into The Recovery of Feldspar from Cerro Blanco Rutile Flotation Tailings, Project 10840-002 Report 3, SGS Lakefield Research, Canada, 31/01/2006.

SGS Lakefield Research, 13/12/2007, An Investigation into The Grindability Characteristics of a Cerro Blanco Sample, Project 11754-001 Report 1, SGS Lakefield Research, Canada, 13/12/2007.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 89</u>

SGS Lakefield Research, 28/04/2008, An Investigation into The Recovery of Titanium and Feldspar from Cerro Blanco Ore Samples, Project 11754-001 Report 5, SGS Lakefield Research, Canada, 28/04/2008.

SGS Lakefield Research, 04/01/2010, An Investigation into The Recovery of Feldspar from Titanium Flotation Tailings, Project 12185-001 Final Report, SGS Lakefield Research, Canada, 04/01/2010.

SGS Canada Inc., 28/6/2010, A Pilot Plant Investigation into The Recovery of Rutile Ore Sample from Cerro Blanco, Project 12219-001 - Report 1, SGS Canada Inc., 28/6/2010.

SGS Canada Inc., 7/10/2010, A Pilot Plant Investigation into The Recovery of Rutile Ore Sample from Cerro Blanco, Project 12219-002 - Report 2, SGS Canada Inc., 7/10/2010.

SGS Lakefield Research 04/01/2011, An Investigation into Liquid-Solid Separation and Rheology Of Samples Produced Response From The Pilot Of Recovery Plant From The Cerro Blanco Rutile Ore, 12219-001 Project Final Report, SGS Lakefield Research, Canada, 04/01/2011.

SGS Lakefield Research, 04/01/2011, An Investigation into Liquid-Solid Separation and Rheology of Samples Produced Response from the Pilot of Recovery Plant from the Cerro Blanco Rutile Ore, 12219-001 Project Final Report, SGS Lakefield Research, Canada, 04/01/2011.

SGS Lakefield Research, 22/09/2011, An Investigation into the Recovery of Feldspar Flotation Tailings from Titanium, Project 12219-003 Final Report, SGS Lakefield Research, Canada, 22/09/2011.

SGS Lakefield Research, 11/01/2012, Sedimentation Tests and Vacuum Filtration for Tailings Rutile White Mountain Titanium Corporation TR-TH/HBF 512 Test Report Rev. 1, 11/01/2012.

SGS Lakefield Research, 04/05/2012, Confirmation Testwork on Cerro Blanco Pilot Plant Sample, Project 12122-001 Report 6, SGS Lakefield Research, Canada, 04/05/2012.

SGS Chile, 23/07/2012, Sample Mineralogical Characterization Head, Project 260093-Q458, SGS Chile, 23/07/2012)

SGS Lakefield Research, 6/09/2012, An Investigation into Metallurgical Characterization of 15 Individual Composites from the Cerro Blanco Orebody, Project 11240-001 Report 4, SGS Lakefield Research, Canada, 6/09/2012.

Tschischow, Natasha, 2008, personal communications.

Walker, Terence, 2000, Technical Summary and Resource Calculation for Celtic Titanium Property, Cerro Blanco District III Region Chile, 63 pages.

Walker, Terence, 2005, personal communications.

White Mountain Titanium Corporation, 2004, Cerro Blanco Rutile Project, Chile; Company Information Memorandum, 39 pages.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 90</u>

**17 RELIANCE ON INFORMATION PROVIDED BY THE REGISTRANT**

RDA has not reviewed the mineral tenure, nor independently verified the legal status, ownership of the Project area, underlying property agreements or permits. RDA has fully relied upon information derived from Golden Express Mines SpA experts, retained by the company this information through the following documents:

● Juan Bedmar: Propiedad Minera – Golden Express Mines SpA SpA: Report prepared for Golden Express Mines SpA, February 01, 2023.

● Chile Inc. (Abogados): Informe de Títulos de Concesiones Mineras de Proyecto Cerro Blanco: Title opinion prepared for Gold Express Mines SpA.

Key Mining Corp. <br> <u>S-K 1300 - Technical Report Summary – Cerro Blanco</u> <u>Page 91</u>

**18 DATE AND SIGNATURE PAGE**

**Certificate of Author**

Resource Development Associates Inc, (RDA) of Highlands Ranch, Colorado, USA does hereby certify that:

● RDA is an independent, third-party consulting firm comprising mining experts such as professional geologists, mining engineers and, metallurgists.

● RDA has read the definition of "qualified person" set out in S-K 1300 and certifies that by reason of education, professional registration and relevant work experience, RDA professionals fulfill the requirements to be a "qualified person" for the purposes of S-K 1300.

---

| |
|:---|
| */s/ Scott Wilson* |
| Resource Development Associates, Inc. |

---

## Exhibit 99.2

**Exhibit 99.2**

**Consent to be Named as a Director**

In connection with the filing by Titan Holdings Corp. (the "Company") of the Registration Statement on Form S-4 with the Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"), I hereby consent, pursuant to Rule 438 of the Securities Act, to being named in the Registration Statement and any and all amendments and supplements thereto as a member of the board of directors of the Company following the consummation of the business combination. I also consent to the filing of this consent as an exhibit to such Registration Statement and any amendments thereto.

---

| | |
|:---|:---|
| Date: | February 6, 2026 |
| By: | /s /John P. Ryan |
| Name: | John P. Ryan |

---

## Exhibit 99.3

**Exhibit 99.3**

**Consent to be Named as a Director**

In connection with the filing by Titan Holdings Corp. (the "Company") of the Registration Statement on Form S-4 with the Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"), I hereby consent, pursuant to Rule 438 of the Securities Act, to being named in the Registration Statement and any and all amendments and supplements thereto as a member of the board of directors of the Company following the consummation of the business combination. I also consent to the filing of this consent as an exhibit to such Registration Statement and any amendments thereto.

---

| | |
|:---|:---|
| Date: | February 6, 2026 |
| By: | /s/ Kelly Earle |
| Name: | Kelly Earle |

---

## Exhibit 99.4

**Exhibit 99.4**

**Consent to be Named as a Director**

In connection with the filing by Titan Holdings Corp. (the "Company") of the Registration Statement on Form S-4 with the Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"), I hereby consent, pursuant to Rule 438 of the Securities Act, to being named in the Registration Statement and any and all amendments and supplements thereto as a member of the board of directors of the Company following the consummation of the business combination. I also consent to the filing of this consent as an exhibit to such Registration Statement and any amendments thereto.

---

| | |
|:---|:---|
| Date: | February 6, 2026 |
| By: | /s/ Timothy R. McCutcheon |
| Name: | Timothy R. McCutcheon |

---

## Ex-Filing

?xml version='1.0' encoding='ASCII'?

**Exhibit 107**

**Calculation of Filing Fee Table**

**Form S-4**

(Form Type)

**Titan Holdings Corp.** 

(Exact Name of Registrant as Specified in its Charter)

Table 1: Newly Registered and Carry Forward Securities

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Security Type** | **Security Class Title<sup>(1)</sup>** | **Fee Calculation or Carry Forward Rule** | **Amount**<br> **Registered** | **Proposed Maximum Offering Price Per**<br> **Unit** | **Maximum Aggregate Offering Price** | **Fee Rate <sup>(17)</sup>** | **Amount of Registration Fee** |
| **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** |
| **Fees to Be Paid** | Equity | Pubco Common Stock | Rules 457(c) and 457(f)(1)<br><sup>(2) (12)</sup> | 110866 | $11.00 | $1219526.00 | 0.00013810 | $168.42 |
|  | Equity | Pubco Common Stock | 457(f)(1) <br> and<br> 457(f)(1) <br><sup>(2) (3) (12)</sup> | 6834272 | $11.00 | $75176992.00 | 0.00013810 | $10381.94 |
|  | Equity | Pubco Common Stock | 457(f)(2)<sup>(4) (13)</sup> | 18623329 | $0.00033 | $6145.70 | 0.00013810 | $0.85 |
|  | Equity | Public Warrants to purchase Pubco Common Stock | Rules 457(g)<sup>(5) (14)</sup> | 7080163 |  |  | 0.00013810 |  |
|  | Equity | Shares of Pubco Common Stock underlying Public Warrants | Rules 457(g)<sup>(6) (14)</sup> | 7080163 | $11.50 | $81421874.50 | 0.00013810 | $11244.36 |
|  | Equity | Private Placement Warrants to purchase Pubco Common Stock | Rules 457(g)<sup>(7) (14)</sup> | 4832065 |  |  | 0.00013810 |  |
|  | Equity | Shares of Pubco Common Stock underlying Private Placement Warrants | Rules 457(g)<sup>(8) (14)</sup> | 4832065 | $11.50 | $55568747.50 | 0.00013810 | $7674.04 |
|  | Equity | KMC Warrants to purchase Pubco Common Stock | Rules 457(g)<sup>(9) (15)</sup> | 4358088 |  |  | 0.00013810 |  |
|  | Equity | Shares of Pubco Common Stock underlying KMC Warrants | Rules 457(g)<sup>(10) (15)</sup> | 4358088 | $1.91 | $8323948.08 | 0.00013810 | $1149.54 |
|  | Equity | Shares of Pubco Common Stock underlying Stock Options | Rules 457(h)<sup>(11) (16)</sup> | 1164525 | $2.90 | $3377122.50 | 0.00013810 | $466.38 |
| **Fees Previously Paid** |  |  |  |  |  |  |  |  |
| **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** | **Carry Forward Securities** |
| **Carry Forward Securities** |  |  |  |  |  |  |  |  |
|  | **Total Offering Amounts** | **Total Offering Amounts** | **Total Offering Amounts** | **Total Offering Amounts** |  | $225094356.28 |  | $31085.53 |
|  | **Total Fees Previously Paid** | **Total Fees Previously Paid** | **Total Fees Previously Paid** | **Total Fees Previously Paid** |  |  |  |  |
|  | **Total Fee Offsets** | **Total Fee Offsets** | **Total Fee Offsets** | **Total Fee Offsets** |  |  |  |  |
|  | **Net Fee Due** | **Net Fee Due** | **Net Fee Due** | **Net Fee Due** |  |  |  | $31085.53 |

---

(1) Pursuant
 to Rule 416(a) promulgated under the Securities Act of 1933, as amended (the "Securities Act"), there are also being
 registered an indeterminable number of additional securities as may be issued to prevent dilution resulting from share splits, share
 dividends or similar transactions.

(2) Represents
 the maximum number of shares of common stock, $0.0001 par value per share ("Pubco Common Stock"), of the registrant,
 Titan Holdings Corp., a Delaware corporation ("Pubco"), issuable to former public shareholders of Compass Digital Acquisition
 Corp., a Cayman Islands exempted company ("CDAQ"), pursuant to the agreement and plan of merger, dated as of January
 6, 2026, by and among CDAQ, Pubco, Titan SPAC Merger Sub Corp., a Cayman Islands exempted company and a direct wholly owned subsidiary
 of Pubco, Titan Merger Sub Inc., a Delaware corporation and a direct wholly owned subsidiary of Pubco, and Key Mining Corp., a Delaware
 corporation ("KMC") (as amended, restated or otherwise modified from time to time, the "Merger Agreement,"
 and all of the transactions contemplated thereunder, the "Business Combination). The 110,866 shares of Pubco Common Stock to
 be issued to public shareholders of CDAQ assumes no redemptions of CDAQ public shares at the closing of the Business Combination
 (the "Closing").

(3) Represents
 the sum of (i) 2,217,086 shares of Pubco Common Stock issuable to Compass Digital SPAC LLC, a Delaware limited liability company;
 (ii) 3,267,186 shares of Pubco Common Stock issuable to HCG Opportunity, LLC, a Delaware limited liability company and the sponsor
 of CDAQ (the "Sponsor"), which includes (a) 1,560,736 shares in exchange of 1,560,736 founder shares of CDAQ currently
 held by the Sponsor, (b) 174,150 shares underly the $1,741,500 outstanding balance of the promissory note, dated as of November 21,
 2024, in the aggregate principal amount of up to $2,500,000 issued by CDAQ to the Sponsor and (c) 1,532,300 shares to be transferred
 by the Sponsor to certain investors pursuant to various non-redeeming non-redemption agreements at the Closing; and (iii) 1,350,000
 shares of Pubco Common Stock issuable to Polar Multi-Strategy Master Fund ("Polar"), pursuant to that certain subscription
 agreement, dated September 6, 2023, by and between Polar and the Sponsor and that certain sponsor letter agreement, dated January
 6, 2026, by and among CDAQ, KMC and the Sponsor.

(4) Represents
 the maximum number of shares of Pubco Common Stock issuable to stockholders of common stock
 of KMC, par value $0.001 per share (the "KMC Stock"), in connection with the
 Business Combination.

(5) Represents
 7,080,163 public warrants of CDAQ issued and outstanding, each of which will be assumed by Pubco in connection with the Business
 Combination and converted into a warrant to acquire one share of Pubco Common Stock ("Public Warrants").

(6) Represents
 the maximum number of shares of Pubco Common Stock issuable upon exercise of Public Warrants pursuant to their terms. Each whole
 warrant will entitle the warrant holder to purchase one share of Pubco Common Stock at a price of $11.50 per share.

(7) Represents
 4,832,065 private placement warrants of CDAQ issued and outstanding, each of which will be assumed by Pubco in connection with the
 Business Combination and converted into a warrant to acquire one share of Pubco Common Stock (the "Private Warrants").

(8) Represents
 the maximum number of shares of Pubco Common Stock issuable upon exercise of the Private Warrants pursuant to their terms. Each whole
 warrant will entitle the warrant holder to purchase one share of Pubco Common Stock at a price of $11.50 per share.

(9) Represents
 3,513,751 warrants of KMC issued and outstanding, each of which will be assumed by Pubco in connection with the Business Combination
 and converted into a warrant to acquire one share of Pubco Common Stock ("Investor Warrants") .

(10) Represents
 the maximum number of shares of Pubco Common Stock issuable upon exercise of the KMC
 Warrants. Each whole warrant will entitle the warrant holder to purchase
 one share of Pubco Common Stock at a weighted average price of $1.91 per share.

(11) Represents
 the maximum number of shares of Pubco Common Stock issuable upon exercise of outstanding
 stock options pursuant to their terms.

(12) Pursuant
 to Rules 457(c) and 457(f)(1) under the Securities Act, and solely for the purpose of calculating the registration fee, the proposed
 maximum offering price per share is $11.00, which the last reported sale prices of Class A ordinary shares of CDAQ on the OCTID Basic
 Market on February 3, 2026 (such date being within five business days of the date that this registration statement was first filed
 with the Securities and Exchange Commission).

(13) Estimated
 solely for purposes of calculating the registration fee in accordance with Rule 457(f)(2)
 of the Securities Act. KMC is a private company, no market exists for its securities, and
 KMC has an accumulated deficit. Therefore, the proposed maximum aggregate offering price
 of KMC shares is one-third of the aggregate par value of the shares of KMC Stock expected
 to be exchanged in the Business Combination.

(14) Pursuant
 to Rule 457(g) of the Securities Act and solely for the purpose of calculating the registration
 fee, the proposed maximum aggregate offering price of the Pubco Common Stock underlying the
 Public Warrants and Private Warrants is calculated on the basis of the exercise price of
 $11.50 per share. Consistent with the response to Question 240.06 of the Securities Act Rules
 Compliance and Disclosure Interpretations, the registration fee with respect to the warrants
 has been allocated to the underlying shares of Pubco Common Stock and those shares of Pubco
 Common Stock are included in the registration fee.

(15) Pursuant
 to Rule 457(g) of the Securities Act and solely for the purpose of calculating the registration
 fee, the proposed maximum aggregate offering price of the Pubco Common Stock underlying the
 KMC Warrants is calculated on the basis of the weighted average exercise price of $1.91 per share. Consistent
 with the response to Question 240.06 of the Securities Act Rules Compliance and Disclosure
 Interpretations, the registration fee with respect to the warrants has been allocated to
 the underlying shares of Pubco Common Stock and those shares of Pubco Common Stock are included
 in the registration fee.

(16) Pursuant
 to Rule 457(h) of the Securities Act and solely for the purpose of calculating the registration fee, the proposed maximum aggregate
 offering price of the Pubco Common Stock underlying the stock options is calculated on the basis of the weighted average exercise
 price of exercise price of $2.90 per share.

(17) Calculated
pursuant to Rule 457 under the Securities Act by multiplying the proposed maximum aggregate offering price of securities to be registered
by 0.00013810.

N/A