# EDGAR Filing Document

**Accession Number:** 0002080073
**File Stem:** 0001062993-26-001150
**Filing Date:** 2026-2
**Character Count:** 1251427
**Document Hash:** 5f0b4008527c48f1ca6363e8b52f23ca
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001062993-26-001150.hdr.sgml**: 20260227

**ACCESSION NUMBER**: 0001062993-26-001150

**CONFORMED SUBMISSION TYPE**: DRS/A

**PUBLIC DOCUMENT COUNT**: 20

**FILED AS OF DATE**: 20260225

**DATE AS OF CHANGE**: 20260225

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Versamet Royalties Corp
- **CENTRAL INDEX KEY:** 0002080073
- **STANDARD INDUSTRIAL CLASSIFICATION:** MINERAL ROYALTY TRADERS [6795]
- **ORGANIZATION NAME:** 01 Energy & Transportation
- **EIN:** 000000000
- **STATE OF INCORPORATION:** A1
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** DRS/A
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 377-08295
- **FILM NUMBER:** 26678070

**BUSINESS ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** SUITE 3200, 733 SEYMOUR STREET
- **CITY:** VANCOUVER
- **NON US STATE TERRITORY:** BRITISH COLUMBIA
- **PROVINCE COUNTRY:** A1
- **ZIP:** V6B 0S6
- **BUSINESS PHONE:** 778-945-3948

**MAIL ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** SUITE 3200, 733 SEYMOUR STREET
- **CITY:** VANCOUVER
- **NON US STATE TERRITORY:** BRITISH COLUMBIA
- **PROVINCE COUNTRY:** A1
- **ZIP:** V6B 0S6

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**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

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**AMENDMENT NO. 6**

**TO**

**FORM 20-F**

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**☒ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) or 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934**

**OR** 

**☐ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the fiscal year ended** __________________

**OR**

**☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**OR**

**☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934**

Date of event requiring this shell company report __________________

**For the transition period from _________ to _________________**

**Commission file number: N/A**

<u>**VERSAMET ROYALTIES CORPORATION**</u>

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

<u>**N/A**</u>

*(Translation of Registrant's name into English)*

<u>**British Columbia, Canada**</u><br>*(Jurisdiction of incorporation or organization)*

**Suite 3200, 733 Seymour Street**<br><u>**Vancouver, British Columbia V6B 0S6 Canada**</u>

*(Address of principal executive offices)* 

------

**Craig Rollins**

**Suite 3200, 733 Seymour Street**<br>**Vancouver, British Columbia V6B 0S6 Canada**

<u>**778-945-3948**</u>

*(Name, Telephone, E-mail and/or Facsimile number and Address of Company Contact Person)*

Securities registered or to be registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| <u>Title of Each Class:</u> | <u>Trading Symbol(s)</u> | <u>Name of Each Exchange On Which Registered:</u> |
| **Common Shares, no par value** | **To be registered** | **The Nasdaq Stock Market LLC** |

---

Securities registered or to be registered pursuant to Section 12(g) of the Act:

<u>**None**</u>

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act:

<u>**None**</u>

Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report: <u>**N/A**</u>

Indicate by check mark whether the Registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. ☐ Yes ☒ No

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. ☐ Yes ☐ No

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☐ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☐ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or an emerging growth company.

Large Accelerated Filer ☐ Accelerated Filer ☐ Non-Accelerated Filer ☒ <br> Emerging Growth Company ☒

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, 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 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report: ☐

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If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing:

U.S. GAAP ¨☐<br>International Financial Reporting Standards as issued by the International Accounting Standards Board ☒<br>Other ¨☐

If "Other" has been checked in response to the previous question, indicate by check mark which financial statement item the registrant has elected to follow. ☐ Item 17 ☐ Item 18

If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☐

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**TABLE OF CONTENTS**

**Page**

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| | |
|:---|:---|
| [PRESENTATION OF FINANCIAL INFORMATION](#page_7) | [7](#page_7) |
| [TECHNICAL AND THIRD-PARTY INFORMATION](#page_7) | [7](#page_7) |
| [SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS](#page_9) | [9](#page_9) |
| [PART I](#page_13) | [13](#page_13) |
| [ITEM 1: IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS.](#page_13) | [13](#page_13) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Directors and Senior Management](#page_13) | [13](#page_13) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Advisers](#page_14) | [14](#page_14) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Auditors](#page_14) | [14](#page_14) |
| [ITEM 2: OFFER STATISTICS AND EXPECTED TIMETABLE](#page_14) | [14](#page_14) |
| [ITEM 3: KEY INFORMATION](#page_14) | [14](#page_14) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Selected Financial Data](#page_14) | [14](#page_14) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Capitalization and Indebtedness](#page_14) | [14](#page_14) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Reasons for the Offer and Use of Proceeds](#page_15) | [15](#page_15) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Risk Factors](#page_15) | [15](#page_15) |
| [ITEM 4: INFORMATION ON THE COMPANY](#page_39) | [39](#page_39) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. History and Development of the Company](#page_39) | [39](#page_39) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Business Overview](#page_47) | [47](#page_47) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Organizational Structure](#page_57) | [57](#page_57) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Property, Plants and Equipment](#page_57) | [57](#page_57) |
| [ITEM 5: OPERATING AND FINANCIAL REVIEW AND PROSPECTS](#page_106) | [106](#page_106) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Operating Results](#page_106) | [106](#page_106) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Liquidity and Capital Resources](#page_119) | [119](#page_119) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Research and Development, Patents and Licenses](#page_121) | [121](#page_121) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Trend Information](#page_121) | [121](#page_121) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[E. Critical Accounting Estimates](#page_121) | [121](#page_121) |
| [ITEM 6: DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES](#page_124) | [124](#page_124) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Directors and Senior Management](#page_124) | [124](#page_124) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Compensation](#page_127) | [127](#page_127) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Board Practices](#page_141) | [141](#page_141) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Employees](#page_145) | [145](#page_145) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[E. Share Ownership](#page_145) | [145](#page_145) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[F. Disclosure of a Registrant's Action to Recover Erroneously Awarded Compensation](#page_146) | [146](#page_146) |
| [ITEM 7: MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS](#page_146) | [146](#page_146) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Major Shareholders](#page_146) | [146](#page_146) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Related Party Transactions](#page_147) | [147](#page_147) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Interest of experts and counsel](#page_148) | [148](#page_148) |
| [ITEM 8: FINANCIAL INFORMATION](#page_148) | [148](#page_148) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Consolidated Statements and Other Financial Information](#page_148) | [148](#page_148) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Significant Changes](#page_148) | [148](#page_148) |

---

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- 5 - <br>

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| | |
|:---|:---|
| [ITEM 9: THE OFFER AND LISTING](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Offer and Listing Details](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Plan of Distribution](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Markets](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Selling Shareholders](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[E. Dilution](#page_149) | [149](#page_149) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[F. Expenses of the issue](#page_150) | [150](#page_150) |
| [ITEM 10: ADDITIONAL INFORMATION](#page_150) | [150](#page_150) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Share Capital](#page_150) | [150](#page_150) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Memorandum and Articles of Association](#page_153) | [153](#page_153) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Material Contracts](#page_156) | [156](#page_156) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Exchange Controls](#page_157) | [157](#page_157) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[E. Taxation](#page_158) | [158](#page_158) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[F. Dividends and Paying Agents](#page_165) | [165](#page_165) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[G. Statements by Experts](#page_165) | [165](#page_165) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[H. Documents on Display](#page_165) | [165](#page_165) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[I. Subsidiary Information](#page_166) | [166](#page_166) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[J. Annual Report to Security Holders](#page_166) | [166](#page_166) |
| [ITEM 11: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](#page_166) | [166](#page_166) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. Commodity Price Risks](#page_166) | [166](#page_166) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. Currency Risk](#page_166) | [166](#page_166) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. Interest Rate Risk](#page_166) | [166](#page_166) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. Equity Price Risk](#page_166) | [166](#page_166) |
| [ITEM 12: DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES](#page_167) | [167](#page_167) |
| [PART II](#page_167) | [167](#page_167) |
| [ITEM 13: DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES](#page_167) | [167](#page_167) |
| [ITEM 14: MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS](#page_167) | [167](#page_167) |
| [ITEM 15: CONTROLS AND PROCEDURES](#page_167) | [167](#page_167) |
| [ITEM 16: \[RESERVED\]](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[A. AUDIT COMMITTEE FINANCIAL EXPERT](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[B. CODE OF ETHICS](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[C. PRINCIPAL ACCOUNTANT FEES AND SERVICES](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[D. EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[E. PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[F. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[G. CORPORATE GOVERNANCE](#page_167) | [167](#page_167) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[H. MINE SAFETY DISCLOSURE](#page_168) | [168](#page_168) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[I. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS](#page_168) | [168](#page_168) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[J. INSIDER TRADING POLICIES](#page_168) | [168](#page_168) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[K. CYBERSECURITY](#page_168) | [168](#page_168) |
| [PART III](#page_168) | [168](#page_168) |
| [ITEM 17: FINANCIAL STATEMENTS](#page_168) | [168](#page_168) |

---

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- 6 - <br>

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| | |
|:---|:---|
| [ITEM 18: FINANCIAL STATEMENTS](#page_168) | [168](#page_168) |
| [ITEM 19: EXHIBITS](#page_168) | [168](#page_168) |
| [GLOSSARY OF CERTAIN TECHNICAL TERMS](#page_170) | [170](#page_170) |

---

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Unless otherwise stated or the context requires otherwise, references in this registration statement on Form 20-F (the "**Registration Statement**") to the "Company", "Versamet", "we", "us" or "our" refer to Versamet Royalties Corporation and its subsidiaries on a consolidated basis.

**PRESENTATION OF FINANCIAL INFORMATION**

We prepare our financial statements in accordance with International Financial Reporting Standards ("**IFRS**") as issued by the International Accounting Standards Board ("**IASB**"). Readers should be aware that financial statements prepared in accordance with IFRS may differ in certain respects from financial statements prepared in accordance with U.S. generally accepted accounting principles, which we refer to as U.S. GAAP.

We present our financial statements in United States dollars but certain amounts in this Registration Statement, including but not limited to the prices of securities, are presented in Canadian dollars. Except where otherwise indicated, all dollar amounts are expressed in United States dollars, references to "$" or "dollars" are to United States dollars and references to "C$" are to Canadian dollars.

Refer to the audited consolidated financial statements and the accompanying notes included elsewhere in this Registration Statement for disclosure of matters in response to changes in significant accounting policies inclusive of future pronouncements and measurement assumptions, subsequent events, related party transactions, financial instruments and material changes in estimates and accounting methods.

On September 12, 2025 we completed a consolidation, or a reverse stock split, of our issued and outstanding common shares on the basis of one (1) new common share for five (5) old common shares. Unless otherwise stated, the share and per share information in our financial statements and the notes thereto do not reflect such consolidation or reverse stock split. Unless otherwise stated as "Pre-Split", the share and per share information in the rest of this Registration Statement reflect such consolidation or reverse stock split.

**TECHNICAL AND THIRD-PARTY INFORMATION**

The disclosure contained herein respecting the projects underlying our royalty and other interests has been prepared in accordance with the exemption set forth in Items 1303(a)(3) and 1304(a)(2) of subpart 1300 of Regulation S-K ("**SK1300**"), in the U.S., and where applicable, Section 9.2 of National Instrument 43-101 - *Standards of Disclosure for Mineral Projects* ("**NI 43-101**"), in Canada, and is based on information publicly disclosed by the owners and operators of such properties.

As a holder of royalties, streams or similar interests, we have limited, if any, access to properties underlying the royalties or streams included in our asset portfolio. Additionally, we may from time to time receive operating information from the owners and operators of the properties, which we are not permitted to disclose to the public. We are dependent on the operators of the properties to provide information to us or on publicly available information to prepare disclosure pertaining to properties and operations on the properties on which we hold interests and generally will have limited or no ability to independently verify such information. Although we do not have any knowledge that such information may not be accurate, there can be no assurance that such third-party information is complete or accurate.

We are relying on the exemption for royalty companies set forth Section 1302(b)(3)(ii) of SK1300, which provides that a stream, royalty or similar company is not required to file a technical report summary with the Securities and Exchange Commission ("**SEC**") with respect to an underlying property where either (a) obtaining the information would result in an unreasonable burden or expense, or (b) the technical report summary has been requested from the applicable owner, operator or other person possessing the technical report summary, who is not affiliated with the registrant, and who denied the request. The summary and individual mineral property disclosures contained herein are also provided in accordance with Sections 1303(a)(3) and 1304(a)(2) of SK1300, respectively, which provide that a registrant with a stream, royalty or other similar right may omit certain information required by the summary and individual property disclosure requirements if the registrant specifies the information to which it lacks access, explains the reason it lacks the required information and provides all required information that it does possess or which it can acquire without incurring an unreasonable burden or expense.

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Based on relevant factors, we consider our interest in the Greenstone Mine ,our royalty interest on the Kiaka Mine, stream interest in Rosh Pinah, stream interest in the Kolpa mine and royalty interest in Santa Rita Mine (each as defined herein) to be our only mineral projects on properties material to us for the purposes of SK1300. Information included in this Registration Statement with respect to the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine, and Santa Rita Mine has been prepared in accordance with the exemption set forth in Sections 1303(a)(3) and 1304(a)(2) of SK1300. We will continue to assess the materiality of our assets as new assets are acquired or move into production. As of September 30, 2025, we had capitalized mineral property interests of approximately $391 million, of which approximately $285 million (or 73%) related to the material properties for the purposes of SK1300 with the remaining approximately $106 million attributable to other mineral property interests. Our determination of material mineral properties for the purposes of SK1300 emphasizes expected current and near-term royalty and streaming cash flows and asset value contribution, together with qualitative considerations such as development stage, expected timing and duration of cash flows and strategic significance, rather than historical capitalized cost alone.

For purposes of compliance with SK1300 under U.S. securities laws, we consider our interests in the Greenstone Mine, the Kiaka Mine, the Rosh Pinah Mine, the Kolpa Mine and the Santa Rita Mine (each as defined herein) to constitute our mineral projects on properties material to us under SK1300. This determination has been made solely for purposes of compliance with SK1300 and should not be interpreted as a determination of materiality for purposes of Canadian securities laws, including NI 43-101. Under Canadian securities law, including NI 43-101, we currently consider only the Greenstone Mine and the Kiaka Mine to be material mineral projects to us. The inclusion of additional properties as material in this Registration Statement reflects the application of SK1300 requirements and does not represent a change in how we assess the relative economic contribution, strategic significance or materiality of such assets for Canadian disclosure purposes.

Our agreements governing our royalty, streaming, or similar interests generally do not require the operators to prepare technical report summaries or permit us the access and information sufficient to prepare our own technical report summaries under SK1300. See "Item 4. Information on the Company - D. Property, Plants and Equipment".

Unless otherwise noted, the disclosure contained herein of a scientific or technical nature relating to the Greenstone Mine has been derived from the technical report titled "*Technical Report on the Greenstone Gold Mine, Geraldton, Ontario*" with an effective date of June 30, 2024 and report date of October 1, 2024 (the "**Greenstone Technical Report**"), which was prepared in accordance with NI 43-101 for Equinox Gold Corp. ("**Equinox**"), and filed under Equinox's profile on the System for Electronic Data Analysis and Retrieval + ("**SEDAR+**") on October 1, 2024, and on additional publicly disclosed information related to the Greenstone Mine. The disclosure contained herein of a scientific or technical nature relating to the Kiaka Mine has been derived from the report titled on "*The Kiaka Feasibility Study Update*" prepared by West African Resources Limited ("**WAF**") with contributions by various third-party consultancies and published July 2, 2024 (the "**Kiaka FS Update**") on WAF's website at www.westafricanresources.com, and on additional publicly disclosed information relating to the Kiaka Mine after the date of the Kiaka FS Update. The disclosure contained herein of a scientific or technical nature relating to the Rosh Pinah Mine has been derived from the technical report titled "Rosh Pinah Expansion "RP2.0" NI 43-101 Feasibility Study" with an effective date of March 31, 2021 (the "**Rosh Pinah Feasibility Study**"), which was prepared in accordance with NI 43-101 for Trevali Mining Corporation and filed under Trevali Mining Corporation's profile on the SEDAR+ on August 17, 2021, together with additional publicly disclosed information relating to the Rosh Pinah Mine, including disclosures made by Appian Capital Advisory LLP and through information provided to Versamet Royalties by Appian Capital Advisory LLP. The disclosure contained herein of a scientific or technical nature relating to the Kolpa Mine has been derived from the technical report titled "Huachocolpa Uno Mine property, Huancavelica Province, Peru" with an effective date of March 27, 2025 (the "**Kolpa Technical Report**"), which was prepared in accordance with NI 43-101 for Endeavour Silver Corp. filed under Endeavour Silver Corp's profile on the SEDAR+ on April 1, 2025, together with additional publicly disclosed information relating to the Kolpa Mine, including disclosures made by Endeavour Silver Corp. and through information provided to Versamet Royalties by Endeavour Silver Corp. The disclosure contained herein of a scientific or technical nature relating to the Santa Rita Mine has been derived from the technical report titled "Competent Person's Report on the Santa Rita Mine (as defined herein), Bahia State, Brazil" with an effective date of December 31, 2022 (the "**Santa Rita Report**"), which was prepared to conform to Financial Conduct Authority (FCA) Primary Market Technical Note 619.1, together with additional publicly disclosed information relating to Santa Rita, including disclosures made by Appian Capital Advisory LLP and through information provided to Versamet Royalties by Appian Capital Advisory LLP.

The scientific and technical information contained herein relating to our royalty, streaming, and similar interests has been reviewed and approved by Diego Airo, P.Eng., and Vice President, Project Evaluation of Versamet and a qualified person as such term is defined under NI 43-101 and SK1300.

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We obtained certain statistical data, market data and other industry data and forecasts used or incorporated by reference into this Registration Statement from publicly available information. While we believe that the statistical data, industry data, forecasts and market research are reliable, we have not independently verified the data, and do not make any representation as to the accuracy of the information.

All websites referred to herein are inactive textual references only, meaning that the information contained on such websites is not incorporated by reference herein and you should not consider information contained on such websites as part of this document unless expressly specified herein.

**Cross-Jurisdictional Disclosure Considerations**

As a Canadian issuer, we are subject to Canadian securities laws, including NI 43-101, which contain different definitions, thresholds and interpretive guidance regarding materiality of mineral properties. As a result, the identification of material mineral projects in this Registration Statement may differ from the identification of material mineral projects in our Canadian disclosure documents. Investors should read this Registration Statement in the context of the regulatory framework under which it has been prepared.

**SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS**

Certain statements and information contained in this Registration Statement may constitute "forward-looking statements" or "forward-looking information" (collectively, "**forward-looking statements"**).

Forward-looking information may relate to our future financial outlook and anticipated events or results and may include information regarding our business, financial position, business strategy, growth plans, the reorganization of our corporate structure and strategies, budgets, operations, financial results, taxes, dividend policy, plans and objectives. Particularly, information regarding our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects", "is expected", "budget", "scheduled", "estimates", "outlook", "forecasts", "projection", "prospects", "strategy", "intends", "anticipates", "believes", or variations of such words and phrases or terminology which states that certain actions, events or results "may", "could", "would", "might", "will", "will be taken", "occur" or "be achieved". In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding possible future events or circumstances. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management, in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, as of the date of this Registration Statement. In addition to the forward-looking information set out in the sections above, forward-looking information in this Registration Statement includes statements relating to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• related business objectives;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• agreements to be entered into with third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• expectations regarding industry trends, commodity prices, overall market growth rates and our growth rates and growth plans, strategies and opportunities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our business plans and strategies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our portfolio of assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• global and local changes in economic and market conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• mine life of our royalties, streams or other interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the timing and amount of estimated future production from our assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• statements with respect to mineral resources and mineral reserves in respect of our assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cash flow projections in respect of the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine (each as defined herein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• funding and the commercial terms of the Upsized Credit Facility (as defined herein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our estimated future cash flows;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• expectations regarding compensation levels and plans for directors and executive officers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• expectations with respect to future revenues and financial performance.

Forward-looking statements are not a guarantee of future performance and are based upon a number of estimates and assumptions of management in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, as of the date of this Registration Statement including, without limitation, assumptions about:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our estimates of near, medium and long-term commodity prices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• for the properties in respect of which we hold an interest, the operation continues as a going concern;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the accuracy of public statements and disclosures made by the owners or operators of such underlying properties, including with respect to mineral resources, mineral reserves, construction timelines, production estimates and other related matters, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• that each counterparty will satisfy its obligations in accordance with the contract to which it is a party with Versamet, and that each such contract will be enforceable in accordance with its terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no adverse development relating to any property in respect of which we hold an interest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• that the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine (as defined herein) included in our asset portfolio will continue operations as described in this Registration Statement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• that projects not yet in production or in development included in our asset portfolio will be developed, transitioned into production or development and successfully achieve production and commercial ramp-up, in each case, in accordance with our expectations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the absence of an outbreak or escalation of infectious diseases or other similar health threats that could result in the suspension, shutdown or delay of the operations in the properties in which we hold an interest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no material changes will occur with respect to our existing and anticipated tax treatment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the absence of any other factors that could cause actions, events or results to differ from those anticipated, estimated, intended or implied.

Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause our actual plans, intentions, activities, results, performance or achievements to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking statements. Such risks include, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limited operating history and uncertainty of future revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in commodity prices will affect the revenues generated from our portfolio and our profitability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we have no or limited control over the operation of the properties in respect of which we hold an interest and the operators' failure to perform or decision to cease or suspend operations will affect our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• for purposes of SK1300, the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine are considered material properties to us under U.S. disclosure requirements. Under Canadian securities laws, we currently consider only the Greenstone Mine and the Kiaka Mine to be material mineral projects. If any of the properties considered material under SK1300 were to experience adverse developments, it could affect the revenue derived from such assets;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increased competition for royalties, streams and other interests could adversely affect our ability to acquire additional interests in mineral properties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our major shareholders can exert significant influence over our company and may have interests that differ from other shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• some of the properties in respect of which we hold an interest may never achieve commercial production, and we may lose our entire investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to health epidemics, pandemics and other outbreaks of communicable diseases, which could significantly disrupt our operations and may materially and adversely affect our business, financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• sales of assets in respect of which we hold an interest may result in a new operator and any failure of such operator to perform could affect our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may acquire royalties, streams or other interests in respect of properties that are speculative and there can be no guarantee that mineable deposits will be discovered, developed or mined;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we have limited access to data and disclosure regarding the operation of properties in respect of which we hold an interest, which affects our ability to assess and predict the performance of such interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we depend on the operators for the calculation of certain payments, and it may not be possible to detect errors in payment calculations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we are dependent on the payment or delivery by the owners and operators of the properties in respect of which we have an interest, and any delay in or failure of such payments affects the revenues generated by the asset portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• global financial conditions may destabilize;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• royalties, streams and other interests may not be honored by operators of a project;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• not all of our interests are secured, our security interests, if any, may be subordinated, and security interests may be difficult to enforce;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our profitability, results of operations and financial condition are subject to variations in foreign exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• operators of mines may not be able to replace depleted Mineral Reserves and Mineral Resources, which would reduce our revenue from royalties or other interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we can provide no assurance that we will be able to obtain adequate financing in the future or that the terms of such financing will be on terms acceptable to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may experience difficulty attracting and retaining qualified management and technical personnel to efficiently operate our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain of our directors serve in similar positions with other public companies, which could put them in a conflict position from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in or in the interpretation of tax legislation or accounting rules could affect our profitability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we have a history of losses and we may be unable to achieve profitability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks associated with identifying and remediating material weaknesses in internal control over financial reporting, including potential impacts on financial reporting, compliance and fraud prevention;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our operations depend on information systems that may be vulnerable to cyber security threats;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may be exposed to counterparty and liquidity risk, and any delay or failure of counterparties to make payments could affect our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• some of the agreements governing our interests contain terms that reduce the revenue generated from those interests upon the achievement of certain milestones;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may enter into acquisitions or other transactions at any time, which may be material, may involve the issuance of Versamet securities or the incurrence of indebtedness and will be subject to transaction-specific risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• if we expand our business beyond the acquisition of streams, royalties or other similar interests, we may face new challenges and risks which could affect our profitability, results of operations and financial condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may be subject to reputational damage;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may be unable to repay indebtedness and comply with our obligations under the Upsized Credit Facility (as defined herein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we are indirectly exposed to many of the same risk factors as the owners and operators of properties in respect of which we hold an interest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• production at mines and projects in respect of which we hold royalty, stream or other interests is dependent on operators' employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• mineral reserves and mineral resources are estimates based on interpretation and assumptions and actual production may differ from amounts identified in such estimates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• production forecasts may not prove to be accurate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the exploration and development of mineral resource properties is inherently dangerous and subject to risks beyond our control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• defects in title to properties underlying our interests may result in a loss of entitlement by the operator and a loss of our interest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future litigation affecting the properties in respect of which we hold an interest could have an adverse effect on us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• defects or disputes relating to our interests could have an adverse effect on us

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the operations in respect of which we hold an interest require various property rights, permits and licenses to be held by the operator in order to conduct current and future operations, and delays or a failure to obtain or maintain such property rights, permits and licenses, or a failure to comply with the terms of any of such property rights, permits and licenses could result in interruption or closure of operations or exploration on the properties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we are exposed to risks related to the construction, development, expansion, and/or exploration in relation to the mines, projects and properties in respect of which it holds an interest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the operations in respect of which we hold an interest are subject to environmental laws and regulations that may increase the costs of doing business and may restrict operations, which could reduce our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• additional costs may be incurred by mineral property operators as a result of international climate change initiatives and may affect the availability of resources and cause business disruptions, which could reduce our revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain operators are subject to risks relating to foreign jurisdictions and developing economies which could negatively impact us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Burkina Faso, which is where the Kiaka Mine is located, is subject to foreign and developing economic risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related potential increased government ownership of the Kiaka Mine;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in government free carry positions could materially affect our interests in certain projects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in government regulation could inhibit exploration, construction and development on, or production from, the mineral properties underlying our interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we are subject to risks related to certain operations in developing economies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anti-corruption and bribery laws could subject us to liability and require it to incur additional costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may become a party to litigation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adequate infrastructure may not be available to develop the properties in respect of which we hold an interest, which could inhibit operations at such properties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• claims and protests of indigenous people may disrupt or delay activities of the owners/operators of our interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain operators depend on international trade and other conditions in key export markets for their products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in U.S. laws and policies regulating international trade;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• investors may lose their entire investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an active, liquid and orderly trading market for our common shares (each, a "**Common Share**") may not develop, and you may not be able to resell your Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the market price of our Common Shares may be volatile, which could result in substantial losses for investors purchasing our Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future sales or issuance of debt or equity securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we will incur increased expenses as a result of listing on Nasdaq or such other stock exchange in the United States (the "**Listing**");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to pay dividends will be dependent on our financial condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• if securities or industry analysts do not publish research or publish unfavourable research about our business, our Common Share price and trading volume could decline;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to TSX and Nasdaq listings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• U.S. shareholders may not be able to enforce their civil liabilities against us or our directors, controlling persons and officers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to our status as a "foreign private issuer";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may seek exemptions from certain requirements of the Nasdaq Capital Market ("**Nasdaq**") that would allow us to hold shareholder meetings with a reduced quorum and issue additional shares without shareholder approval;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to our status as an "emerging growth company"; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• if we are a passive foreign investment company for U.S. federal income tax purposes in any year, certain adverse tax rules could apply to U.S. Holders of the Common Shares.

Although we have attempted to identify important factors that could cause actual actions, events, conditions, results, performance or achievements to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events, conditions, results, performance or achievements to differ from those anticipated, estimated or intended. See Item 3.D, "*Risk Factors*" for a discussion of certain factors investors should carefully consider.

*We caution that the foregoing lists of important assumptions and factors are not exhaustive. Other events or circumstances could cause actual results to differ materially from those estimated or projected and expressed in, or implied by, the forward-looking statements contained herein. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking statements.*

Forward-looking statements contained herein are made as of the date of this Registration Statement and we disclaim any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as and to the extent required by applicable securities laws.

**PART I**

**ITEM 1: IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS.**

**A. Directors and Senior Management**

The following table lists the names of our directors and senior management. The business address for each director and member of senior management is Suite 3200 - 733 Seymour Street, Vancouver, British Columbia, Canada V6B 0S6.

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp; **Name** | &nbsp;&nbsp; **Age** | &nbsp;&nbsp; **Position** |
| &nbsp;&nbsp; Gregory Smith | &nbsp;&nbsp; 50 | &nbsp;&nbsp; Non-Executive Chair and Director |
| &nbsp;&nbsp; Daniel O'Flaherty | &nbsp;&nbsp; 44 | &nbsp;&nbsp; Chief Executive Officer and Director |
| &nbsp;&nbsp; Victoria McMillan | &nbsp;&nbsp; 44 | &nbsp;&nbsp; Chief Financial Officer |
| &nbsp;&nbsp; Marcel de Groot | &nbsp;&nbsp; 52 | &nbsp;&nbsp; Director |
| &nbsp;&nbsp; Michael McDonald | &nbsp;&nbsp; 41 | &nbsp;&nbsp; Director |
| &nbsp;&nbsp; Elizabeth McGregor | &nbsp;&nbsp; 49 | &nbsp;&nbsp; Director |
| &nbsp;&nbsp; Mark Backens | &nbsp;&nbsp; 64 | &nbsp;&nbsp; Director |
| &nbsp;&nbsp; Craig Rollins | &nbsp;&nbsp; 44 | &nbsp;&nbsp; General Counsel and Corporate Secretary |

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**B. Advisers**

Our principal Canadian legal advisers are Blake, Cassels & Graydon LLP, located at 1133 Melville Street, Suite 3500, Vancouver, British Columbia V6E 4E5, Canada. Our principal United States legal advisors are Cozen O'Connor LLP, located at Bentall 5, 550 Burrard Street, Suite 2501, Vancouver, British Columbia V6C 2B5, Canada.

**C. Auditors**

KPMG LLP, Chartered Professional Accountants, is our current auditor and audited our financial statements for the years ended December 31, 2024, December 31, 2023, and December 31, 2022. The address of KPMG LLP is 777 Dunsmuir Street, 11<sup>th</sup> Floor, Vancouver, British Columbia V7Y 1K3, Canada. KPMG LLP is registered with the Public Company Accounting Oversight Board.

**ITEM 2: OFFER STATISTICS AND EXPECTED TIMETABLE**

Not applicable.

**ITEM 3: KEY INFORMATION**

**A. Selected Financial Data**

Reserved.

**B. Capitalization and Indebtedness**

Our authorized capital consists of an unlimited number of common shares without par value. As of February ♦, 2026, we had 105,645,324 Common Shares issued and outstanding.

The table below sets forth our total indebtedness and shows the capitalization of our company as of September 30, 2025, based on our unaudited financial statements for the three and nine months ended September 30, 2025. You should read this table in conjunction with our unaudited financial statements as at September 30, 2025 and for the three and nine months then ended and our audited financial statements for the year ended December 31, 2024, together with the accompanying notes and the other information appearing under the heading "Operating and Financial Review and Prospects".

<u>**As at September 30, 2025**</u>

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| | |
|:---|:---|
| all amounts in thousands of U.S dollars |  |
| **Liabilities** |  |
| **Current** |  |
| **Accounts payable and accrued liabilities** | **1041** |
| Credit Facilities | 22500 |
| **Non-current** |  |
| Credit Facilities | 154500 |
| Deferred income tax liabilities | 3985 |
| **Shareholder's equity** |  |
| Share capital | 217335 |
| Share-based compensation reserve | 4738 |
| Deficit | (2694) |
| Accumulated other comprehensive loss | (957) |
| **Total Shareholders' Equity** | **218422** |
| **Total Liabilities and Shareholder's Equity** | **400448** |

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As of February ♦, 2026, we had $45,000,000 outstanding under the Upsized Credit Facility (as defined herein). Following the closing of the February 9, 2026 equity financing, we used the majority of the net proceeds to repay indebtedness under the Upsized Credit Facility. Other than as described above, our accounts payable and accrued liabilities, deferred income tax liabilities and capitalization have not changed materially since September 30, 2025.

**C. Reasons for the Offer and Use of Proceeds**

Not applicable.

**D. Risk Factors**

*The following risks, as well as risks currently unknown to us, could adversely affect our current or future business, properties, operations, results, cash flows, financial condition and prospects and could cause future results, cash flows, financial condition, prospects, events or circumstances to differ materially from those currently expected, including the estimates and projections contained in this Registration Statement. Investors should carefully consider the risks described below and elsewhere in this Registration Statement. The risks described below and elsewhere in this Registration Statement do not purport to be an exhaustive summary of the risks affecting us and additional risks and uncertainties not currently known to us or not currently perceived as being material may have an adverse effect on us.*

**Risks Related to Our Business and Industry**

**Limited Operating History and Uncertainty of Future Revenues**

We have a limited operating history and, accordingly, potential investors will have a limited basis on which to evaluate our ability to achieve our business objectives. Our future success is dependent on management's ability to implement its strategy. Although management is optimistic about our prospects, there is no certainty that anticipated outcomes and sustainable revenue streams will be achieved and there is no certainty that we will successfully make profitable acquisition of royalties, streams or other interests. In particular, our future growth and prospects will depend on our ability to expand our operations and gain additional revenue streams whilst at the same time maintaining effective cost controls. Any failure to expand is likely to have a material adverse effect on our business, financial condition and results of operations.

**Changes in commodity prices will affect our revenues generated from our portfolio and our profitability**

The revenue derived by us from our asset portfolio will be significantly affected by changes in the price of the commodities underlying the royalties, streams and other interests. Commodity prices, including those to which we are exposed, fluctuate on a daily basis and are affected by numerous factors beyond our control, including levels of supply and demand, industrial investment levels, inflation and the level of interest rates, the strength of the US dollar and geopolitical events. Such external economic factors are in turn influenced by changes in international investment patterns, monetary systems and political developments.

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Future material price declines may result in a decrease in revenue or, in the case of severe declines that cause a suspension or termination of production by relevant operators, a complete cessation of revenue from royalties, streams or other interests applicable to one or more relevant commodities. Moreover, despite our commodity diversification, the broader commodity market tends to be cyclical, and a general downturn in overall commodity prices could result in a significant decrease in overall revenue. Any such price decline may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**We have no or limited control over the operation of the properties in respect of which we hold a royalty, stream or other interest and the operators' failure to perform or decision to cease or suspend operations will affect our revenues** 

We are not directly involved in the operation of mines. The revenue derived from our asset portfolio is primarily based on production by third-party property owners and operators. The owners and operators generally will have the power to determine the manner in which the properties are exploited, including decisions to expand, continue or reduce, suspend or discontinue production from a property, decisions about the marketing of products extracted from the property and decisions to advance exploration efforts and conduct development of non-producing properties. The interests of third-party owners and operators and those of Versamet on the relevant properties may not always be aligned. As an example, it will usually be in our interest to advance development and production on properties as rapidly as possible in order to maximize near-term cash flow, while third-party owners and operators may take a more cautious approach to development as they are at risk on the cost of development and operations. Likewise, it may be in the interest of property owners to invest in the development of and emphasize production from projects or areas of a project that are not subject to royalty, stream or other interests. Our inability to control the operations for the properties in respect of which we have a royalty, stream or other interest may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities. In addition, the owners or operators may take action contrary to our policies or objectives, be unable or unwilling to fulfill their obligations under their contracts with us, have difficulty obtaining or be unable to obtain the financing necessary to advance projects or experience financial, operational or other difficulties, including insolvency, which could limit the owner or operator's ability to perform its obligations under arrangements with us.

At any time, any of the operators of the properties in respect of which we hold a royalty, stream or other interest or their successors may decide to suspend or discontinue operations. We may not be entitled to any material compensation if any of the properties in respect of which it holds a royalty, stream or other interest shuts down or discontinues their operations on a temporary or permanent basis.

In addition, an operators' failure to perform or decision to cease or suspend operations may have a negative impact on the value of our royalty and other interests and result in us having to record an impairment in future sets of financial statements with respect to these royalty and other interests. Such impairments may reduce the net income and comprehensive net income for the period in question.

**The Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine are material to Versamet for the purposes of SK1300. Other assets and properties may become material to us from time to time and any adverse development related to any such assets will affect the revenue derived from such assets.**

For purposes of compliance with SK1300, the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine are considered material properties to Versamet under U.S. disclosure requirements. Under Canadian securities laws, including NI 43-101, we currently consider only the Greenstone Mine and the Kiaka Mine to be material mineral projects. The identification of additional properties as material in this Registration Statement reflects the application of SK1300 disclosure requirements and does not necessarily reflect the relative economic contribution or strategic significance of such properties under other regulatory frameworks, specifically NI 43-101.

The Greenstone Gold Interest (as defined below), the NSR on the Kiaka Mine, Rosh Pinah silver stream, Kolpa stream and Santa Rita NSR are currently the only mineral properties that we consider material to Versamet for purposes of applicable SK1300 disclosure requirements. As new assets are acquired or move into production, the materiality of each of our assets will be reassessed based on the facts and circumstances at that time.

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Any adverse development affecting the financial capability of the operators, the development or operation of, production from, or recoverability of Mineral Reserves from the Greenstone Mine, Kiaka Mine Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine (as defined herein), or from any other mineral property that is material to us from time to time under applicable disclosure standards, including, without limitation, unusual or unexpected geologic formations, seismic activity, rock bursts, cave-ins, pit wall failures, equipment failures, fires, tailings dam failures, flooding or other conditions involved in the removal and processing of material, any of which could result in damage to or destruction of mines and other producing facilities, damage to life or property, environmental damage, or the inability to hire suitable personnel or secure supply agreements on commercially reasonable terms, may have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

Any adverse decision made by the owners and operators of the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine (as defined herein) or any other mineral property that is material to us from time to time under applicable disclosure standards, including, for example, alterations to development or mine plans or production schedules, may impact the timing and amount of revenue that we receive and may have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Increased competition for royalties, streams and other interests could adversely affect our ability to acquire additional or new royalties, streams and other interests in mineral properties**

Many companies are engaged in the search for and the acquisition of investments including royalties, streams and other interests, and there is a limited supply of desirable mineral interests. The mineral exploration and mining businesses are competitive in all phases. Many companies are engaged in the acquisition of mineral interests, including large, established companies with substantial financial resources, operational capabilities and long earnings records. We may be at a competitive disadvantage in acquiring those interests, whether by way of royalty, stream or other form of investment, as competitors may have greater financial resources and technical staffs. There can be no assurance that we will be able to compete successfully against other companies in acquiring new royalties, streams or other interests. In addition, we may be unable to acquire royalties, streams or other interests at acceptable valuations which may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Our major shareholders can exert significant influence over our company and may have interests that differ from other shareholders**

As of February ♦, 2026, B2Gold, Lundin, Tether, Equinox, and Regal (as they are defined herein) own approximately 67.92% of our outstanding Common Shares. As a result, these shareholders, acting individually or together, are able to significantly influence, and in some cases determine, the outcome of matters requiring shareholder approval, including the appointment and removal of directors, amendments to our charter documents, the approval of mergers, acquisitions or dispositions, issuances of equity, and other corporate transactions. This concentration of ownership may delay, defer or prevent a change of control that other shareholders may view as beneficial and may also discourage potential acquirers from making an offer. In addition, these shareholders' interests may conflict with the interests of our other shareholders, and they may vote their shares in a manner that advances their own interests and not necessarily those of other shareholders.

**Some of the properties in respect of which we hold an interest may never achieve commercial production, and we may lose our entire investment**

Some of the projects or properties in respect of which we hold an interest are in the construction, development, expansion or exploration stage. There can be no assurance that construction, development, expansion or exploration will be completed on a timely basis or at all. If such properties do not reach commercial production, we will not be able to secure repayment of any upfront deposit paid to the counterparty under the terms of the applicable contract, which may have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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In addition, due to the early-stage or development nature of certain of the properties in respect of which we hold an interest, the owners or operators of some of such properties have experienced financial difficulties and, in some cases, required covenant waivers pursuant to their credit and other financing documents. To the extent that any of the owners or operators of properties in respect of which we hold a royalty, stream or other interest default under their credit and other financing documents, this could delay or inhibit operations at the relevant properties, which may have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities. Although we undertake a due diligence process for every investment, mining exploration and development are subject to many risks and it is possible that the value realized by us be less than the original investment.

**We face risks related to health epidemics and pandemics and other outbreaks of communicable diseases, which could significantly disrupt our operations and may materially and adversely affect our business, financial condition and results of operations** 

We face risks related to health epidemics and other outbreaks of communicable diseases, which could significantly disrupt our operations and may materially and adversely affect our business, financial condition and results of operations. There can be no assurance that our personnel will not be impacted by these pandemic diseases and ultimately see our workforce productivity reduced or incur increased medical costs / insurance premiums as a result of these health risks. Such future developments include the duration, severity and scope of the outbreak and the actions taken to contain or treat the outbreak. As such, there are potentially significant economic and social impacts of infectious disease risks, including the inability of our operations to operate as intended due to a shortage of skilled employees, shortages or disruptions in supply chains, inability of employees to access sufficient healthcare, significant social upheavals and government or regulatory actions.

**Sale of assets in respect of which we hold an interest may result in a new operator and any failure of such operator to perform could affect our revenues**

The owners or operators of the projects or mines in respect of which we hold an interest may from time to time announce transactions, including the sale or transfer of the projects or mines or of the operator itself, over which we have little or no control. If such transactions are completed it may result in a new operator controlling the project or mine, who may or may not operate the project or mine in a similar manner to the current operator which may positively or negatively impact us. If any such transaction is announced, there is no certainty that such transaction will be completed, or completed as announced, and any consequences of such non-completion on us may be difficult or impossible to predict.

**We may acquire royalties, streams or other interests in respect of properties that are speculative and there can be no guarantee that mineable deposits will be discovered, developed or mined**

Exploration for metals and minerals is a speculative venture necessarily involving substantial risk. There is no certainty that the expenditures made by the operator of any given project will result in discoveries of commercial quantities of minerals on lands where we hold royalties, streams or other interests.

If mineable deposits are discovered, substantial expenditures are required to establish Mineral Reserves through drilling, to develop processes to extract the resources and, in the case of new properties, to develop the extraction and processing facilities and infrastructure at any site chosen for extraction. Although substantial benefits may be derived from the discovery of a major deposit, no assurance can be given that resources will be discovered in sufficient quantities to justify commercial operations or that the funding required for development can be obtained on terms acceptable to the operator or at all. Although, in respect of these properties, we intend to hold only royalty, stream or other interests and not be responsible for these expenditures, the operator may not be in a financial position to obtain the necessary funding to advance the project.

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**We have limited access to data and disclosure regarding the operation of properties in respect of which we hold interests, which will affect our ability to assess and predict the performance of our royalties, streams or other interests**

As a holder of royalty, stream or other interests, we generally have limited access to data on the operations or to the actual properties themselves. Accordingly, we must rely on the accuracy and timeliness of the public disclosure and other information we receive from the owners and operators of the properties in respect of which we hold royalty, stream or other interests. We use such information, including production estimates, in our analyses, forecasts and assessments relating to our own business. If such information contains material inaccuracies or omissions, our ability to assess and accurately forecast performance or achieve our stated objectives may be materially impaired. In addition, some royalty, stream or other interests may be subject to confidentiality arrangements which govern the disclosure of information with regard to the royalties, streams or other interests and, as such, we may not be in a position to publicly disclose such information with respect to certain royalty, stream or other interests. The limited access to data and disclosure regarding the operations of the properties in respect of which we hold an interest may restrict our ability to enhance our performance which may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**We depend on our operators for the calculation of certain payments, and it may not be possible to detect errors in payment calculations**

Payments and deliveries to Versamet for royalties, streams or other interests are calculated by the operators of the relevant properties based on the reported production. Each operator's calculations are subject to and dependent upon the adequacy and accuracy of its production and accounting functions, and errors may occur from time to time in the calculations made by an operator. Certain contracts for royalties, streams or other interests require the operators to provide us with production and operating information that may, depending on the completeness and accuracy of such information, enable us to detect errors in such calculations. We do not, however, have the contractual right to receive production information for all of our royalties, streams and other interests. As a result, our ability to detect payment errors in respect of royalties, streams or other interests through our monitoring program of our interests and our associated internal controls and procedures is limited, and the possibility exists that we will need to make retroactive revenue adjustments in respect of royalties or streams. Some of our contracts for royalties, streams or other interests provide the right to audit the operational calculations and production data for the associated payments and deliveries in respect of such royalties, streams and other interests; however, such audits may occur many months following our recognition of the revenue in respect of the royalties, streams or other interests and may require us to adjust our revenue in later periods.

**We are dependent on the payment or delivery by the owners and operators of the properties in respect of which we have a royalty, stream or other interest, and any delay in or failure of such payments will affect the revenues generated by the asset portfolio**

We are dependent to a large extent upon the financial viability of owners and operators of the relevant properties in respect of which we hold royalties, streams or other interests. Payments and deliveries from production generally flow through the operator and there is a risk of delay and additional expense in receiving such payments or deliveries. Payments and deliveries may be delayed by restrictions imposed by lenders, delays in the sale or delivery of products, the ability or willingness of smelters and refiners to process mine products, delays in the connection of wells to a gathering system, blowouts or other accidents, recovery by the operators of expenses incurred in the operation of the properties, the establishment by the operators of reserves for such expenses or the insolvency of the operator. Our rights to payment or delivery for royalties, streams or other interests must, in some cases, be enforced by contract without the protection of the ability to liquidate a property. This inhibits our ability to collect outstanding payments or deliveries in respect of such royalties, streams or other interests upon a default. Additionally, some contracts may provide limited recourse in particular circumstances which may further inhibit our ability to recover or obtain equitable relief in the event of a default under such contracts. In the event of a bankruptcy of an operator or owner, it is possible that an operator may claim that we should be treated as an unsecured creditor and, therefore, have a limited prospect for full recovery of revenue; there is also a possibility that a creditor or the owner or operator may claim that the royalty, stream or other interest contract should be terminated in the insolvency proceeding. Alternatively, in order to preserve our interest in a royalty, stream or other interests in the context of an insolvency or similar proceeding, we may be required to make additional investments in, or provide funding to, owners or operators, which would increase our exposure to the relevant interest and counterparty risk. Failure to receive payments or deliveries from the owners and operators of the relevant properties or termination of our rights may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**Global financial conditions may destabilize**

Global financial conditions could suddenly and rapidly destabilize in response to future events, as government authorities may have limited resources to respond to future crises. Future crises may be precipitated by any number of causes, including natural disasters, geopolitical instability, changes to energy prices or sovereign defaults. Any sudden or rapid destabilization of global economic conditions could negatively impact our ability, or the ability of the owners or operators of the properties in respect of which we hold royalties, streams or other interests obtain equity or debt financing or make other suitable arrangements to finance their projects. In the event of increased levels of volatility or a rapid destabilization of global economic conditions, our profitability, results of operations and financial condition and the trading price of our securities could be adversely affected.

**Royalties, streams and other interests may not be honored by operators of a project**

Royalties, streams and other interests in respect of natural resource properties are largely contractual in nature. Parties to contracts do not always honor contractual terms and contracts themselves may be subject to interpretation or technical defects. To the extent grantors of royalties, streams and other interests do not abide by their contractual obligations, we would be forced to take legal action to enforce our contractual rights. Such legal action may be time consuming and costly and there is no guarantee of success. Any pending proceedings or actions or any decisions determined adversely to us, may have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Not all of our royalties, streams and other interests are secured, our security interests, if any, may be subordinated, and security interests may be difficult to enforce** 

Although certain of our royalties, streams and other interests are secured, certain are unsecured. In a default, liquidation or realization situation, any of our unsecured interests will be satisfied pro rata with all other unsecured claims after all secured claims, property claims and prior ranking claims are satisfied in full. Absent a security interest, our likely potential recourse against a defaulting property owner or mining operator is for breach of the applicable contract which will result in an unsecured damages claim for which, recovery is remote and time-consuming. In the event that a mining operator or property owner has insufficient funds to pay its liabilities and obligations as they become due, it is possible that other liabilities and obligations will be satisfied prior to the liabilities and obligations owed to us.

Even valid security interests which are held by us may be (i) subordinated, (ii) unenforceable, (iii) difficult to enforce or (iv) subject to attack by other creditors or stakeholders. If our security is subordinated, we may be prohibited from enforcing our security, even if a default has occurred, until steps are undertaken by senior creditors or until otherwise permitted under the applicable subordination agreement. Also, any recovery or distribution in respect of our subordinated obligations may be postponed until senior creditors are indefeasibly paid in full. Even if we are permitted to enforce our security interests, if any, the security may be difficult to enforce because of the nature of the security and issues out of our control, including court orders, restricted access and jurisdiction. We may be unwilling to exercise any rights that we may have if we could become exposed to environmental or other liabilities, such as, successor employer or as a mortgagee-in-possession, by virtue of exercising such rights. Other creditors and stakeholders of the mining operator or property owner of the mining operator or property owner may attack our security interests, royalty and streaming rights and other rights under applicable insolvency, preference or reviewable transaction legislation. If such creditors are successful, the remedies may include unwinding or voiding our interests. If we are unable to enforce our security interests, there may be a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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In addition to the issues relating to enforcing our security, there is no assurance that we will be able to effectively enforce any guarantees, indemnities or other interests, even if they exist. Should an insolvency proceeding or other similar event related to a mining operator or property owner be commenced (whether by it or its creditors), there will likely be a court ordered stay of proceedings that may prevent us from enforcing our security, royalty and streaming rights and other rights. In an insolvency proceeding, a property owner or mining operator may not perform its obligations under a royalty, stream or other agreements with us, it or its creditors may seek to unilaterally terminate, disclaim or resiliate agreements with us, they may seek to sell or vest the property to another party free and clear of our royalty, stream or other obligations or seek other relief with respect to our interests. Any sale or transfer of property in such insolvency proceeding may also be affected by court order notwithstanding any transfer restrictions, options, rights of first refusal or other rights contained in the agreements with us or others. Further, in insolvency proceedings, any security or other interest held by us will likely be primed and further subordinated by court ordered charges or other court ordered relief, including for interim financing.

Also, insolvency proceedings in the mining industry are generally complex and lengthy, the outcome of which may be uncertain and may result in a material adverse effect on our profitability, results of operations and financial condition. In such proceeding, property owners may sell or convey the property free and clear of any obligations owed to us.

In addition, because some of the properties in respect of which we hold royalties, streams and other interests are owned and operated by foreign entities in foreign jurisdictions, our security interests, royalty and streaming rights and other rights may be subject to political interference, as well as, real and personal property, enforcement and insolvency laws of foreign jurisdictions that differ significantly from those in Canada, and may prevent us from enforcing our security, royalty and streaming rights and other rights as anticipated. Further, there can be no assurance that any judgments or orders obtained in Canadian courts will be enforceable in those jurisdictions. If we are unable to enforce our security interests, royalty and streaming rights and other rights, there may be a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Our profitability, results of operations and financial condition are subject to variations in foreign exchange rates**

Certain of our activities and offices are located in Canada and the costs associated with these activities are largely denominated in Canadian dollars. However, certain of our royalties, streams and other interests are denominated in US dollars and, as a result, are subject to foreign currency fluctuations and inflationary pressures, which may have a material adverse effect on our profitability, results of operations and financial condition. There can be no assurance that the steps taken by management to address variations in foreign exchange rates will eliminate all adverse effects and we may suffer losses due to adverse foreign currency rate fluctuations.

**Operators of mines may not be able to replace depleted mineral reserves and mineral resources, which would reduce our revenue from royalties, streams or other interests** 

The revenue generated by Versamet is principally based on the exploitation of Mineral Reserves on assets underlying our royalties, streams and other interests. With respect to these assets, their corresponding mineral resources and mineral reserves are continually being depleted through extraction and the long-term viability of our asset portfolio depends on the replacement of mineral reserves through new producing assets and increases in mineral reserves on existing producing assets. As mines in respect of which we have royalties, streams and other interests mature, it can expect overall declines in production over the years unless operators are able to replace mineral reserves that are mined through mine expansion or successful new exploration. Exploration for minerals is a speculative venture necessarily involving substantial risk. There is no certainty that the expenditures made by the operator of any given project will result in discoveries of commercial quantities of minerals on properties underlying the asset portfolio or that discoveries will be located on properties covered by the relevant royalty, stream or other interest. Even in those cases where a significant mineral deposit is identified and covered by the royalty, stream or other interest, there is no guarantee that the deposit can be economically extracted. Substantial expenditures are required to establish Mineral Reserves through drilling, to develop processes to extract the resources and, in the case of new properties, to develop the extraction and processing facilities and infrastructure at any site chosen for extraction. Although substantial benefits may be derived from the discovery of a major deposit covered by the royalty, stream or other interest, no assurance can be given that new Mineral Reserves will be identified to replace or increase the amount of mineral reserves currently in the asset portfolio. This includes mineral resources, as the resources that have been discovered have not been subjected to sufficient analysis to justify commercial operations or the allocation of funds required for development. The inability by operators to add additional mineral reserves or to replace existing mineral reserves through either the development of existing mineral resources or the acquisition of new mineral producing assets, in each case covered by a royalty, stream or other interests, may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**We can provide no assurance that we will be able to obtain adequate financing in the future or that the terms of such financing will be on terms acceptable to us**

There can be no assurance that we will be able to obtain adequate financing in the future or that the terms of such financing will be on terms acceptable to us. Failure to obtain such additional financing could impede our funding obligations, or result in delay or postponement of further business activities which may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

If additional funds are raised through further issuances of equity or debt securities, existing shareholders (including prospective investors) could suffer significant dilution, and any new equity securities issued could have rights, preferences and privileges superior to those of holders of the Common Shares. In addition, from time to time, we may enter into transactions to acquire assets or the shares of other corporations. These transactions may be financed wholly or partially with debt and/or equity issuances, which may temporarily increase our debt levels above industry standards and/or further dilute shareholders significantly. Any debt financing secured in the future could involve restrictive covenants relating to our capital raising activities and other financial and operational matters, which may make it more difficult for us to obtain additional capital and to pursue business opportunities, including potential acquisitions.

**We may experience difficulty attracting and retaining qualified management and technical personnel to efficiently operate our business**

We are dependent upon the continued availability and commitment of our key management personnel, whose contributions to immediate and future operations of Versamet are of significant importance. The loss of any such key management personnel could negatively affect business operations. From time to time, we may also need to identify and retain additional skilled management and specialized technical personnel to efficiently operate our business. In addition, we frequently retain third party specialized technical personnel to assess and execute on opportunities. These individuals may have conflicts of interest or scheduling conflicts, which may delay or inhibit our ability to employ such individuals' expertise. The number of persons skilled in the acquisition, exploration and development of royalties, streams and other interests in natural resource properties is limited and competition for such persons is intense. Recruiting and retaining qualified personnel is critical to our success and there can be no assurance that we will be able to recruit and retain such personnel. If we are not successful in recruiting and retaining qualified personnel, our ability to execute our business model and growth strategy could be affected, which could have a material adverse impact on our profitability, results of operations and financial condition and the trading price of our securities. We do not intend to maintain "key man" insurance for any members of our management.

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**Certain of our directors serve in similar positions with other public companies, which could put them in a conflict position from time to time**

Certain of our directors also serve as directors or officers of, or have shareholdings in, other companies involved in natural resource exploration, development and production and, to the extent that such other companies may engage in transactions or participate in the same ventures in which we participate, or in transactions or ventures in which we may seek to participate, our directors and officers may have a conflict of interest in negotiating and concluding terms respecting the extent of such participation. Such conflicts of the directors and officers may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Changes in or in the interpretation of tax legislation or accounting rules could affect our profitability**

Changes to, or differing interpretation of, taxation laws or regulations in any of Canada, the United States, Burkina Faso, Mexico, Brazil, Peru, Namibia, Sweden and Australia or any of the countries in which our assets or relevant contracting parties or underlying properties are located could result in some or all of our profits being subject to additional taxation. No assurance can be given that new taxation rules or accounting policies will not be enacted or that existing rules will not be applied in a manner which could result in our profits being subject to additional taxation or which could otherwise have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities. In addition, the introduction of new tax rules or accounting policies, or changes to, or differing interpretations of, or application of, existing tax rules or accounting policies could make royalties, streams and other interests held by us less attractive to counterparties. Such changes could adversely affect our ability to acquire new assets or make future investments.

**We have a history of losses and we may be unable to achieve profitability** 

We incurred a total comprehensive loss of $5,545,000 for the nine months ended September 30, 2025, a total comprehensive loss of $2,253,619 for the year ended December 31, 2024, a total comprehensive loss of $3,053,841 for the year ended December 31, 2023. At December 31, 2024, we had a deficit of $7,966,644 and at September 30, 2025, we had a deficit of $2,694,000.

**In preparing our financial statements, we may identify material weaknesses in our internal control over financial reporting and, if we fail to remediate such material weaknesses (and any other ones) or implement and maintain effective internal controls over financial reporting, we may be unable to accurately report our results of operations, meet our reporting obligations or prevent fraud**

In connection with the preparation of our financial statements, material weaknesses may be identified in our internal control over financial reporting (including certain previous unremedied material weaknesses). A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of the annual or interim financial statements will not be prevented or detected on a timely basis. The material weaknesses identified may relate to, among other things: (i) the consolidation process of acquisitions; and (ii) the design and operation of our accounting and financial reporting closing functions, in which required policies and procedures may not be adequately designed or were not operating effectively at period end, resulting in adjustments to our audited consolidated financial statements during the course of the audit. Each material weakness may result in a misstatement of one or more account balances or disclosures that would result in a material misstatement of our audited financial statements that would not be prevented or detected, and accordingly, we determined that these control deficiencies constitute material weaknesses.

**Our operations depend on information systems that may be vulnerable to cyber security threats**

Our operations depend, in part, on our information technology ("**IT**") systems, networks, equipment and software and the security of these systems. We depend on various IT systems to process and record financial and technical data, administer our contracts with our counterparties and communicate with employees and third-parties. These IT systems, and those of our third-party service providers and vendors and the counterparties under our contracts for royalties, streams and other interests may be vulnerable to an increasing number of continually evolving cyber security risks. Unauthorized third parties may be able to penetrate network security and misappropriate or compromise confidential information, create system disruptions or cause shutdowns. Any such breach or compromise may go undetected for an extended period of time.

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A significant breach of our IT systems or data security or misuse of data, particularly if such breach or misuse goes undetected for an extended period of time, could result in significant costs, loss of revenue, fines or lawsuits and damage to reputation. The costs to eliminate or alleviate cyber or other security problems, including bugs, viruses, worms, malware and other security vulnerabilities, could be significant, and our efforts to address these problems may not be successful. The significance of any cyber-security breach is difficult to quantify, but may in certain circumstances be material and could have a material adverse effect on our results of operations and financial condition and the trading price of our securities.

**We may be exposed to counterparty and liquidity risk, and any delay or failure of counterparties to make payments could affect our revenues** 

We may be exposed to various counterparty risks including, but not limited to (i) through financial institutions that hold our cash and metals credit inventory, (ii) through our stream, royalty and other similar interest counterparties, (iii) through other companies that have payables due to us, (iv) through our insurance providers and (v) through our lenders. We may also be exposed to liquidity risks in meeting our operating expenditure requirements in instances where cash positions are unable to be maintained or appropriate financing is unavailable. These factors may impact our ability to obtain loans, other credit facilities or equity financing in the future or to obtain them on terms favorable to us.

**Some of the agreements governing our interests contain terms that reduce the revenue generated from those interests upon the achievement of certain milestones** 

Revenue from some of our interests decreases after certain milestones are achieved. As a result, past production and revenue related to these interests may not be indicative of future results.

**We may enter into acquisitions or other royalty or streaming transactions at any time, which may be material, may involve the issuance of Versamet securities or the incurrence of indebtedness and will be subject to transaction-specific risks** 

We continuously review opportunities to acquire existing streams, royalties and other similar interests, in order to create new streaming, royalty or other arrangements through the financing of mining projects, financing of new acquisitions or to acquire companies that hold streams, royalties or other similar interests in respect of mineral properties. At any given time, we may have various types of transactions and acquisition opportunities in various stages of active review, including submission of indications of interest and participation in discussions or negotiations in respect of such transactions. This process also involves the engagement of consultants and advisors to assist in analyzing particular opportunities. Any such acquisition or transaction could be material to us and may involve the issuance of securities by us or the incurrence of indebtedness to fund any such acquisition. In addition, any such transaction may have other transaction specific risks associated with it, including risks related to the completion of the transaction, the integration of any acquired business with Versamet's existing business, the project operators or the jurisdictions in which assets may be acquired or underlying properties located. In addition, we may consider opportunities to restructure royalties or stream arrangements where we believe such a restructuring may provide a long-term benefit to us, even if such restructuring may reduce near-term revenues or result in us incurring transaction related costs. We may also be unable to achieve any such anticipated long-term benefits of such restructurings. We may be unsuccessful in completing acquisitions and other additional transactions on terms favorable to us, or at all, or in realizing the anticipated growth opportunities and synergies from integrating any acquired business, and our failure to do so may have a material adverse effect on our future results of operations and growth prospects.

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**If we expand our business beyond the acquisition of streams, royalties or other similar interests, we may face new challenges and risks which could affect our profitability, results of operations and financial condition** 

Our operations and expertise have been focused on the acquisition and management of streams, royalties and other similar interests. While it is not our current intention, we may in the future pursue acquisitions outside this area. The expansion of our activities into new areas would present challenges and risks that we have not faced in the past. The failure to manage these challenges and risks successfully may result in a material adverse effect on our profitability, results of operations and financial condition.

**We may be subject to reputational damage** 

Reputational damage can be the result of the actual or perceived occurrence of any number of events, and could include negative publicity, whether true or not. While we do not ultimately have direct control over how we are perceived by others, reputational loss could have a material adverse impact on the trading price of our securities.

**We may be unable to repay indebtedness and comply with our obligations under the Upsized Credit Facility and Term Loan**

We may from time to time have amounts outstanding under our Credit Facility, which may be significant. The total availability under our Credit Facility is $100 million, of which $nil is currently drawn as at the date of this Registration Statement; the undrawn balance may be used to fund the acquisition of royalties and the funding of precious metals streams. These acquisitions may result in significant drawings, and we would be required to use a portion of our cash flow to service principal and interest on the debt, which would limit the cash flow available for other business opportunities. In addition, the Company has $45 million outstanding on a term loan (the "**Term Loan**") which is repaid in quarterly installments of $7.5 million; the next payment to be made on June 30, 2026, with the final instalment payment expected to be made on September 30, 2027. Our ability to make scheduled payments of the principal of, to pay interest on, or to refinance indebtedness depends on our future performance, which is subject to economic, financial, competitive and other factors beyond our control. We may not continue to generate cash flow in the future sufficient to service debt and make necessary capital expenditures. If we are unable to generate such cash flow, we may be required to adopt one or more alternatives, such as reducing or eliminating dividends, restructuring debt or obtaining additional equity capital on terms that may be onerous or highly dilutive. Our ability to refinance indebtedness will depend on the capital markets and our financial condition at such time. We may not be able to engage in any of these activities or engage in these activities on desirable terms, which could result in a default on our debt obligations.

The terms of our Credit Facility and the Term Loan require us to satisfy various affirmative and negative covenants and to meet certain financial ratios and tests. These covenants limit, among other things, our ability to incur further indebtedness if doing so would cause us to fail to meet certain financial covenants, create certain liens on assets or engage in certain types of transactions. These covenants also limit our ability to amend our stream, royalty and other similar interest contracts without the consent of the lenders. We can provide no assurances that in the future, we will not be limited in our ability to respond to changes in our business or competitive activities or be restricted in our ability to engage in mergers, acquisitions or dispositions of assets. Furthermore, a failure to comply with these covenants, including a failure to meet the financial tests or ratios, would likely result in an event of default under the Credit Facility and would allow the lenders to accelerate the debt, which could materially and adversely affect our business, results of operations and financial condition.

**Risks Related to Mining Operations**

**We are indirectly exposed to many of the same risk factors as the owners and operators of properties in respect of which it holds a royalty, stream or other interests**

To the extent that they relate to the production of minerals from, or the continued operation of, the properties in respect of which we hold a royalty, stream or other interests, we will be subject to the risk factors applicable to the owners and operators of such mines or projects.

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**Production at mines and projects in respect of which we hold royalty, stream or other interests is dependent on operators' employees**

Production from the properties in respect of which we hold an interest depends on the efforts of operators' employees. There is competition for geologists and persons with mining expertise. The ability of the owners and operators of such properties to hire and retain geologists and persons with mining expertise is key to those operations. Further, relations with employees may be affected by changes in the scheme of labor relations that may be introduced by the relevant governmental authorities in the jurisdictions in which those operations are conducted. Changes in such legislation or otherwise in the relationships of the owners and operators of such properties with their employees may result in strikes, lockouts or other work stoppages, any of which could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities. If these factors cause the owners and operators of such properties to decide to cease production at one or more of the properties, such decision could have a material adverse effect on our business and financial condition.

**Mineral reserves and mineral resources are estimates based on interpretation and assumptions and actual production may differ from amounts identified in such estimates**

The mineral reserves and mineral resources on properties underlying our royalties, stream or other interests are estimates only, and no assurance can be given that the estimated mineral reserves and mineral resources are accurate or that the indicated level of minerals will be produced. Mineral reserve and MREs for our royalty, stream or other interests are prepared by the operators of the underlying properties. We do not participate in the preparation or verification of such estimates (or the reports in which they are presented) and we have not independently assessed or verified the accuracy of such estimates. Such estimates are, in large part, based on interpretations of geological data obtained from drill holes and other sampling techniques. Actual mineralization or formations may be different from those predicted. Further, it may take many years from the initial phase of drilling before production is possible and during that time the economic feasibility of exploiting a discovery may change.

Market price fluctuations of the applicable commodity, as well as increased production and capital costs or reduced recovery rates, may render the proven and probable mineral reserves on properties underlying our royalties, streams or other interests unprofitable to develop at a particular site or sites for periods of time or may render mineral reserves containing relatively lower grade mineralization uneconomic. Moreover, short-term operating factors relating to the mineral reserves, such as the need for the orderly development of ore bodies or the processing of new or different ore grades, may cause mineral reserves to be reduced or not extracted. Estimated mineral reserves may have to be recalculated based on actual production experience. The economic viability of a mineral deposit may also be impacted by other attributes of a particular deposit, such as size, grade and proximity to infrastructure, governmental regulations and policy relating to price, taxes, royalties, land tenure, land use permitting, the import and export of minerals and environmental protection and by political and economic stability. While these risks exist for all of our assets, they are heightened in the case of interests in properties which have not yet commenced production.

MREs in particular must be considered with caution. MREs for properties that have not commenced production are based, in many instances, on limited and widely spaced drill hole or other limited information, which is not necessarily indicative of the conditions between and around drill holes. Such MREs may require revision as more drilling or other exploration information becomes available or as actual production experience is gained. Further, mineral resources may not have demonstrated economic viability and may never be extracted by the operator of a property. It should not be assumed that any part or all of the mineral resources on properties underlying our royalties, streams or other interests constitute or will be converted into mineral reserves.

Any of the foregoing factors may require operators to reduce their mineral reserves and mineral resources, which may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**Production forecasts may not prove to be accurate**

We prepare estimates and forecasts of future attributable production from the properties in respect of which we hold royalties, streams or other interests and rely on public disclosure and other information we receive from the owners, operators and independent experts of such properties to prepare such estimates. Such information is necessarily imprecise because it depends upon the judgment of the individuals who operate such properties as well as those who review and assess the geological and engineering information. These production estimates and forecasts are based on existing mine plans and other assumptions with respect to such properties which change from time to time, and over which we have no control, including the availability, accessibility, sufficiency and quality of ore, the costs of production, the operators' ability to determine production levels, the sufficiency of infrastructure, the performance of personnel and equipment, the availability of materials and equipment including reagents and fuel, the ability to maintain and obtain mining interests and permits and compliance with existing and future laws and regulations. Any such information is forward-looking and no assurance can be given that such production estimates and forecasts will be achieved. Actual attributable production may vary from our estimates for a variety of reasons, including: actual ore mined varying from estimates of grade, tonnage, dilution and metallurgical and other characteristics; actual ore mined being less amenable than expected to mining or treatment; lower than expected mill feed grades; operating factors; delays in the commencement of production and ramp up at new mines; revisions to mine plans; unusual or unexpected orebody formations; risks and hazards associated with the properties in respect of which Versamet holds royalties, streams or other interests, including but not limited to cave-ins, rock falls, rock bursts, pit wall failures, seismic activity, weather related complications, fires or flooding or as a result of other operational problems such as production drilling or material removal challenges, power failures or a failure of a key production component such as a hoist, a filter press or a grinding mill; and unexpected labor shortages, strikes, local community opposition or blockades. Occurrences of this nature and other accidents, adverse conditions or operational problems in future years may result in our failure to realize the benefits of our production forecasts anticipated from time to time. If our production forecasts prove to be incorrect, it may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**The exploration and development of mineral resource properties is inherently dangerous and subject to risks beyond our control** 

Companies engaged in mining activities are subject to all of the hazards and risks inherent in exploring for and developing natural resource projects. These risks and uncertainties include, but are not limited to, environmental hazards, industrial accidents, labor disputes, increases in the cost of labor, social unrest, changes in the regulatory environment, permitting and title risks, impact of non-compliance with laws and regulations, fires, explosions, blowouts, cratering, encountering unusual or unexpected geological formations or other geological or grade problems, unanticipated metallurgical characteristics or less than expected mineral recovery, encountering unanticipated ground or water conditions, cave-ins, pit wall failures, flooding, rock bursts, tailings dam failures, periodic interruptions due to inclement or hazardous weather conditions, earthquakes, seismic activity, other natural disasters or unfavorable operating conditions and losses. Should any of these risks or hazards affect a company's exploration or development activities, it may (i) result in an environmental release or environmental pollution and liability; (ii) cause the cost of development or production to increase to a point where it would no longer be economic to produce the metal from the company's mineral resources or expected mineral reserves, (iii) result in a write down or write-off of the carrying value of one or more mineral projects, (iv) cause delays or stoppage of mining or processing, (v) result in the destruction of properties, processing facilities or third-party facilities necessary to the company's operations, (vi) cause personal injury or death and related legal liability, (vii) result in regulatory fines and penalties or the revocation or suspension of licenses; (viii) result in the loss of insurance coverage or (ix) result in the loss of social license to operate. The occurrence of any of above-mentioned risks or hazards could result in an interruption or suspension of operation of the properties in respect of which we hold a royalty, stream or other interest and have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities, especially as such risks relate to our material properties.

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**Defects in title to properties underlying our royalty, stream or other interests may result in a loss of entitlement by the operator and a loss of our interest**

A defect in the chain of title to any of the properties underlying one of our royalties or, streams or necessary for the anticipated development or operation of a particular project to which a royalty, stream or other interest relates may arise to defeat or impair the claim of the operator to a property which could in turn result in a loss of our interest in respect of that property. In addition, claims by third parties or aboriginal groups in Canada, the United States, Brazil, Mexico, Ethiopia, Côte d'Ivoire, South Africa, Burkina Faso, Columbia, Namibia, Peru, Nicaragua, Sweden, Australia and Mongolia and elsewhere may impact on the operator's ability to conduct activities on a property to the detriment of our royalties, streams or other interests. To the extent an owner or operator does not have title to the property, it may be required to cease operations or transfer operational control to another party. Many royalties, streams or other interests are contractual, rather than an interest in land, with the risk that an assignment or bankruptcy or insolvency proceedings by an owner will result in the loss of any effective royalty, stream or other interests in a particular property. Further, even in those jurisdictions where there is a right to record or register royalties, streams or other interests held by us in land registries or mining recorders offices, such registrations may not necessarily provide any protection to us. As a result, known title defects, as well as unforeseen and unknown title defects may impact operations at a project in respect of which we have a royalty, stream or other interest and may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Future litigation affecting the properties in respect of which we hold royalty, stream or other interests could have an adverse effect on Versamet**

Potential litigation may arise on a property on which we hold a royalty, stream or other interest (for example, litigation between joint venture partners or between operators and original property owners or neighboring property owners). As a holder of such interests, we will not generally have any influence on the litigation and will not generally have access to data. Any such litigation that results in the cessation or reduction of production from a property (whether temporary or permanent) or the expropriation or loss of rights to a property could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

Moreover, the courts in some of the jurisdictions in which we have a royalty, stream or other interests may offer less certainty as to the judicial outcome of legal proceedings or a more protracted judicial process than is the case in more established economies. Accordingly, there can be no assurance that contracts, joint ventures, licenses, license applications or other legal arrangements will not be adversely affected by the actions of government authorities and the effectiveness of and enforcement of such arrangements in these jurisdictions. Moreover, the commitment of local businesses, government officials and agencies and the judicial system in these jurisdictions to abide by legal requirements and negotiated agreements may be more uncertain and may be susceptible to revision or cancellation, and legal redress may be uncertain or delayed. These uncertainties and delays could have a material adverse effect on our financial condition and results of operations.

**Defects or disputes relating to our royalties, streams or other interests could have an adverse effect on Versamet**

Defects in or disputes relating to the royalty, stream or other interests we hold or acquire may prevent us from realizing the anticipated benefits from these interests. Material changes could also occur that may adversely affect management's estimate of the carrying value of our royalty, stream or other interests and could result in impairment charges. While we seek to confirm the existence, validity, enforceability, terms and geographic extent of the royalty, stream or other interests we acquire, there can be no assurance that disputes or other problems concerning these and other matters or other problems will not arise. Confirming these matters is complex and is subject to the application of the laws of each jurisdiction to the particular circumstances of each parcel of mineral property and to the documents reflecting the royalty, stream or other interest. The discovery of any defects in, or any disputes in respect of, our royalty, stream or other interests, could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**The operations in respect of which we hold a royalty, stream or other interests require various property rights, permits and licenses to be held by the operator in order to conduct current and future operations, and delays or a failure to obtain or maintain such property rights, permits and licenses, or a failure to comply with the terms of any of such property rights, permits and licenses could result in interruption or closure of operations or exploration on the properties**

Exploration, development and operation of mining properties are subject to laws and regulations governing health and worker safety, employment standards, environmental matters, mine development, project development, mineral production, permitting and maintenance of title, exports, taxes, labor standards, reclamation obligations, heritage, historic and archaeological matters and other matters. The owners and operators of the properties in respect of which we hold a royalty, stream or other interest require licenses and permits from various governmental authorities in order to conduct their operations. Future changes in such laws and regulations or in such licenses and permits could have a material adverse impact on the revenue that we derive from our royalties, streams and other interests. Such licenses and permits are subject to change in various circumstances and are required to be kept in good standing through a variety of means, including cash payments and satisfaction of conditions of issue. Such licenses and permits are subject to expiration, relinquishment and/or termination without notice to, control of or recourse by us. There can be no guarantee that the owners or operators of those properties in respect of which we hold a royalty, stream or other interest, will be able to obtain or maintain all necessary licenses and permits in good standing that may be required to explore, develop and operate the properties, commence construction or operation of mining facilities, or maintain operations that economically justify the cost. Any failure to comply with applicable laws and regulations, permits and licenses, or to maintain permits and licenses in good standing, even if inadvertent, could result in interruption or closure of exploration, development or mining operations or in fines, penalties or other liabilities accruing to the owner or operator of the project. Any such occurrence could substantially decrease production or cause the termination of operations on the property and have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**We are exposed to risks related to the construction, development, expansion, and/or exploration in relation to the mines, projects and properties in respect of which it holds a royalty, stream or other interest**

Many of the projects or properties in respect of which we hold an interest in are in the construction, development, expansion, and/or exploration stage and such projects are subject to numerous risks, including, but not limited to delays in obtaining equipment, materials and services essential to the construction and development of such projects in a timely manner, currency exchange rates, labor shortages, cost escalations and fluctuations in metal prices. There can be no assurance that the owners or operators of such projects will have the financial, technical and operational resources to complete construction, development and/or expansion of such projects in accordance with current expectations or at all.

**The operations in respect of which we hold an interest are subject to environmental laws and regulations that may increase the costs of doing business and may restrict operations, which could reduce our revenues**

All phases of the mining business present environmental risks and hazards and are subject to environmental regulation pursuant to a variety of government laws and regulations. Compliance with such laws and regulations can require significant expenditures and a breach may result in the imposition of fines and penalties, which may be material. In addition, such laws and regulations can constrain or prohibit the exploration and development of new projects or the development or expansion of existing projects. Any breach of environmental legislation by owners or operators of properties underlying our asset portfolio could have a material impact on the viability of the relevant property and impair the revenue derived from the owned property or applicable royalty, stream or other interest, which could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**Additional costs may be incurred by mineral property operators as a result of international climate change initiatives and may affect the availability of resources and cause business disruptions, which could reduce our revenues**

We acknowledge climate change as an international and community concern. In addition to voluntary actions, governments are moving to introduce climate change legislation and treaties at the international, national, state/provincial and local levels. Where legislation already exists, regulation relating to emission levels and energy efficiency is becoming more stringent. Some of the costs associated with reducing emissions can be offset by increased energy efficiency and technological innovation. However, if the current regulatory trend continues, we expect this may result in increased costs at some of the properties underlying our royalties, streams or other interests, which could have a material impact on the viability of the properties and impair the revenue derived from the applicable royalty, stream or other interest, which could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Certain operators are subject to risks relating to foreign jurisdictions and developing economies, which could negatively impact Versamet**

Some of our royalty, stream or other interests relate to properties outside of the United States and Canada, including Brazil, Mexico, Ethiopia, Côte d'Ivoire, South Africa, Burkina Faso, Columbia, Peru, Namibia, Nicaragua, Sweden, Australia and Mongolia. In addition, future investments may expose us to new jurisdictions. The ownership, development and operation of properties, mines and projects in foreign jurisdictions by their owners are subject to the risks normally associated with conducting business in foreign jurisdictions. These risks include, depending on the country, nationalization and expropriation, social unrest and political instability, less developed legal and regulatory systems, uncertainties in perfecting mineral titles, trade barriers, exchange controls and material changes in taxation. These risks may, among other things, limit or disrupt the ownership, development or operation of properties, mines or projects in respect of which we hold royalty, stream or other interests, restrict the movement of funds, or result in the deprivation of contractual rights or the taking of property by nationalization or expropriation without fair compensation. If any of these events were to occur, this may result in a write down or write-off of the carrying value of one or more of our assets, which could have a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities. In addition, in the event of a dispute arising from foreign operations, we may be subject to the exclusive jurisdiction of foreign courts or may not be successful in subjecting foreign persons to the jurisdiction of courts in Canada.

We apply various methods, where practicable, to identify, assess and, where possible, mitigate these risks prior to entering into contracts for royalty, stream or other interests. Such methods generally include: conducting due diligence on the political, social, legal and regulatory systems and on the ownership, title and regulatory compliance of the properties subject to the royalty, stream or other interest, engaging experienced local counsel and other advisors in the applicable jurisdiction; negotiating where possible so that the applicable contract contains appropriate protections, representations, warranties and, in each case as we deem necessary or appropriate in the circumstances, all applied on a risk-adjusted basis. There can be no assurance, however, that we will be able to identify or mitigate all risks relating to holding royalties, streams or other interests in respect of properties, mines and projects located in foreign jurisdictions, and the occurrence of any of the factors and uncertainties described above could have a material adverse effect on our profitability, results of operation and financial condition and the trading price of our securities.

**Burkina Faso, which is where the Kiaka Mine is located, is subject to such foreign and developing economic risk** 

The Kiaka Mine in Burkina Faso is subject to the risks associated in operating in a foreign country. These risks may include economic, social or political instability or change, hyperinflation, currency non-convertibility or instability and changes of law affecting foreign ownership, government participation, taxation, working conditions, rates of exchange, exchange control, exploration licensing, export duties, repatriation of income or return of capital, environmental protection, mine safety, labor relations as well as government control over mineral properties or government regulations that require the employment of local staff or contractors or require other benefits to be provided to local residents.

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Burkina Faso has had a short democratic history with a series of elections, constitutions and coups. A new constitution was adopted by Burkina Faso in 1991. However, the possibility that the government may adopt substantially different policies cannot be ruled out.

WAF may also be hindered or prevented from enforcing its rights with respect to a governmental instrumentality because of the doctrine of sovereign immunity. Any future material adverse changes in government policies or legislation in Burkina Faso that affect foreign ownership, mineral exploration, development or mining activities, may affect the viability and profitability of the Kiaka Mine.

In addition, the legal system operating in Burkina Faso may be less developed than more established countries, which may result in risks such as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• political difficulties in obtaining effective legal redress in the courts whether in respect of a breach of law or regulation, or in an ownership dispute;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a higher degree of discretion on the part of governmental agencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the lack of political or administrative guidance on implementing applicable rules and regulations including, in particular, as regards local taxation and property rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inconsistencies or conflicts between and within various laws, regulations, decrees, orders and resolutions; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• relative inexperience of the judiciary and court in such matters.

The commitment to local business people, government officials and agencies and the judicial system to abide by legal requirements and negotiated agreements may be more uncertain, creating particular concerns with respect to licenses and agreements for business. These may be susceptible to revision or cancellation and legal redress may be uncertain or delayed. There can be no assurance that joint ventures, licenses, license application or other legal arrangements will not be adversely affected by the actions of the government authorities or others, and the effectiveness of and enforcement of such arrangements cannot be assured.

**Risks Relating to Potential Increased Government Ownership of the Kiaka Mine**

On August 28, 2025, the government of Burkina Faso requested to acquire, for valuable paid consideration, an additional 35% ownership interest in Kiaka SA, the subsidiary that owns the Kiaka Mine. If completed, this acquisition would increase the government's ownership interest in Kiaka SA to up to 50%. Increased ownership by the government of Burkina Faso could materially affect the governance, operations, economics and strategic direction of the Kiaka Mine. A government shareholder with a significant or controlling ownership interest may have objectives that differ from those of other shareholders, including objectives driven by public policy, social, political or fiscal considerations rather than commercial considerations. As a result, decisions relating to capital expenditures, mine planning, production levels, expansion, financing, dividend policies, procurement, employment practices or other operational matters may be influenced in ways that adversely affect the profitability, cash flows or long-term value of the Kiaka Mine. Government ownership may also increase the risk of changes to applicable laws, regulations, fiscal terms or administrative practices affecting the Kiaka Mine, including changes relating to taxation, royalties, export restrictions, local content requirements, employment obligations or environmental and social requirements. The government's position as both a regulator and a shareholder may create conflicts of interest, and there can be no assurance that regulatory decisions affecting the Kiaka Mine will be made solely on an arm's-length or commercially neutral basis. In addition, increased government ownership could limit the ability of Kiaka SA or its shareholders to exercise effective control over the Kiaka Mine, including the ability to approve or block major transactions, financings, changes in strategy or dispositions of assets. Any requirement to obtain government consent for significant corporate or operational actions could delay or prevent the implementation of business plans or transactions that might otherwise be beneficial. There can be no assurance that the terms on which the government of Burkina Faso may acquire additional ownership interests will be favorable, or that any such acquisition will not result in dilution of other shareholders' interests or adversely affect the economic returns attributable to the Kiaka Mine. Any future increase in government participation, whether through equity ownership, changes in fiscal terms or other forms of state involvement, could have a material adverse effect on the business, financial condition, results of operations and prospects of the Kiaka Mine and, as a result, on our business.

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**Changes in government free carry positions could materially affect our interests in certain projects**

In certain jurisdictions where our royalty or streaming assets are located, including countries such as Burkina Faso, local governments are entitled to receive a "free carry" interest in mining projects. This typically means the government acquires an ownership stake in the mining property without being required to contribute capital or assume a proportionate share of the operating costs. The percentage of such free carry interests can vary depending on the jurisdiction and may be subject to change based on evolving legal frameworks or government policies.

Government free carry policies are often embedded in national mining codes and can be amended unilaterally by the host government. Any increase in the government's mandatory ownership interest-whether through legislative change, renegotiation of mining conventions, or other policy actions-would result in a corresponding dilution of the project operator's equity interest in the property. Although we do not own the underlying mining properties, the economic terms of our royalty and streaming interests are generally based on the operator's attributable share of production or revenues. A reduction in the operator's equity interest due to an increased government free carry position could lead to (i) lower attributable production to which our royalty or stream applies; (ii) decreased economic returns from the asset over its life; and (iii) reduced willingness of operators to invest in or advance the project, which could impact development timelines or operational performance.

There can be no assurance that current free carry policies will remain unchanged, or that future changes will not materially and adversely affect our business, financial condition or results of operations.

**Changes in government regulation could inhibit exploration, construction and development on, or production from, the mineral properties underlying our royalties, streams or other interests**

The properties on which we hold or will hold a royalty, stream or other interest are located in multiple legal jurisdictions and political systems. There is no assurance that future political and economic conditions in such countries will not result in the adoption of different policies or attitudes respecting the development and ownership of resources. Changes in applicable laws, regulations, or in their enforcement or regulatory interpretation could result in adverse changes to mineral development or operations. Any such changes in policy or attitudes may result in changes in laws affecting ownership of assets, land tenure and resource concessions, licensing fees, taxation, royalties, price controls, exchange rates, export controls, environmental protection, labor relations, foreign investment, nationalization, expropriation, repatriation of income and return of capital, which may affect both the ability to undertake exploration, construction and development on, or production from, the properties in respect of which we hold a royalty, stream or other interest or the payments under such royalties, streams or other interests. In certain areas where we hold a royalty, stream or other interest, the regulatory environment is in a state of continuing change, and new laws, regulations and requirements may be retroactive in their effect and implementation. Any changes in governmental laws, regulations, economic conditions or shifts in political attitudes or stability are beyond our control and the owners and operators of the properties in respect of which we hold an interest and such changes may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

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**We are subject to risks related to certain operations in developing economies** 

Certain operators are subject to risks normally associated with the conduct of business in developing economies. Risks may include, among others, problems relating to power supply, labor disputes, delays or invalidation of governmental orders and permits, corruption, uncertain political and economic environments, civil disturbances and crime, arbitrary changes in laws or policies, foreign taxation and exchange controls, nationalization of assets, opposition to mining from environmental or other non-governmental organizations or changes in the political attitude towards mining, empowerment of previously disadvantaged people, local ownership requirements, limitations on foreign ownership, power supply issues, limitations on repatriation of earnings, infrastructure limitations and increased financing costs. The above risks may limit, disrupt or negatively impact the operator's business activities.

**Anti-corruption and bribery laws could subject us to liability and require it to incur additional costs** 

Our business is subject to Canadian laws and other laws which generally prohibit companies and employees from engaging in bribery or other prohibited payments to foreign officials for the purpose of obtaining or retaining business. In some cases, our assets are located in certain jurisdictions where corruption may be more common, which can increase the risk of unauthorized payments or offers of payments in violation of anti-corruption and anti-bribery laws and regulations and in violation of our policies. In addition, the operators of the mining projects may fail to comply with anti-corruption and anti-bribery laws and regulations. Although we do not operate the mining projects, enforcement authorities could deem us to have some culpability for the operators' actions. Any violations of the applicable anti-corruption and anti-bribery laws could result in significant civil or criminal penalties to us and could have a material adverse effect on our business, financial conditions, results of operation and reputation. an adverse effect on our reputation.

**We may become a party to litigation** 

We may become party to litigation from time to time in the ordinary course of business which could adversely affect our business. Should any litigation in which we become involved be determined against us such a decision could adversely affect our ability to continue operating and the market price for the Common Shares and could use significant resources and demand significant time and attention by management. Even if we are involved in litigation and win, litigation can redirect significant resources.

**Adequate infrastructure may not be available to develop the properties in respect of which we hold an interest, which could inhibit operations at such properties**

Mining, processing, development and exploration activities depend, to one degree or another, on adequate infrastructure. Reliable roads, bridges, power sources and water supply are important determinants, which affect capital and operating costs. Unusual or infrequent weather phenomena, sabotage, government or other interference in the maintenance or provision of such infrastructure could adversely affect or inhibit the operations at the properties in respect of which we hold a royalty, stream or other interest, which may result in a material adverse effect on our profitability, results of operations and financial condition and the trading price of our securities.

**Claims and protests of indigenous people may disrupt or delay activities of the owners/operators of our interests**

Various international and national laws, codes, resolutions, conventions, guidelines, and other materials relate to the rights of indigenous peoples. We hold interests in entities that own and operate mines or mineral properties located in areas presently or previously inhabited or used by indigenous peoples. There may be certain obligations on the government to consult with indigenous people regarding actions which may affect indigenous people, including actions to approve or grant mining rights or permits. The obligations of government and private parties under the various international and national materials pertaining to indigenous people continue to evolve and be defined. From time to time, we may hold interests in entities with properties that are subject to the opposition of one or more groups of indigenous people who oppose the operation, further development, or new development on such project. Such opposition may be directed through legal or administrative proceedings or protests, roadblocks or other forms of public expression against us or the owner/operators' activities. Opposition by indigenous people to such activities may require modification of or preclude operation or development of projects or may require the entering into of agreements with indigenous people. Claims and protests of indigenous people may disrupt or delay activities of the owners/operators of the Company's interests.

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**Certain operators depend on international trade and other conditions in key export markets for their products** 

The operators of certain of the properties on which we hold stream, royalty or other similar interests export their commodities and thus depend on economic conditions and regulatory policies in export markets. The ability of these operators to sell their products effectively in these major export markets could be adversely affected by a number of factors that are beyond their control, including the deterioration of macroeconomic conditions, volatility of exchange rates or the imposition of greater tariffs or other trade barriers in those markets.

**Changes in U.S. laws and policies regulating international trade**

Legislative and regulatory changes relating to international trade in the United States could have a material adverse effect on us and our financial condition. In particular, there is uncertainty regarding U.S. tariffs and support for existing treaty and trade relationships, including with Canada. Although discussions continue between the United States and other countries, there remains significant uncertainty over whether tariffs or other restrictive trade measures or countermeasures will be implemented and, if so, the scope, impact and duration of any such measures. A trade war or new tariffs barriers may potentially lead to increases or decreases in royalties or stream revenues due to higher or lower metal prices, but the overall effect would depend on changes in demand, production strategies, and operational costs. Additionally, due to worldwide economic uncertainty, the availability and cost of funds for development and other costs have become increasingly difficult, if not impossible, to project.

**Risks Related to the Ownership of our Securities**

**Investors may lose their entire investment**

An investment in our securities is speculative and may result in the loss of an investor's entire investment in the Company. Only investors who are experienced in high-risk investments and who can afford to lose their entire investment should consider an investment in the Company.

**An active, liquid and orderly trading market for our Common Shares may not develop, and you may not be able to resell your Common Shares** 

If a market for our Common Shares is not sustained, you may not be able to resell our securities. This may affect the pricing of the securities in the secondary market, the transparency and availability of trading prices, the liquidity of the Common Shares and the extent of issuer regulation. We cannot predict the prices at which our Common Shares will trade.

**The market price of our Common Shares may be volatile, which could result in substantial losses for investors purchasing Common Shares** 

The market price of our Common Shares could be subject to significant fluctuations. The market price of the Common Shares may be subject to wide price fluctuations in response to many factors, including variations in our operating results, divergence in financial results from analysts' expectations, changes in earnings estimates by stock market analysts, changes in our business prospects, general economic conditions, legislative changes and other events and factors outside of our control, including: (i) actual or anticipated fluctuations in our quarterly results of operations; (ii) recommendations by securities research analysts; (iii) changes in the economic performance or market valuations of companies in the industry in which we operates; (iv) addition or departure of our executive officers and other key personnel; (v) sales or perceived sales of additional securities; (vi) operating and financial performance that vary from the expectations of management, securities analysts and investors; (vii) regulatory changes affecting our industry generally and our business and operations; (viii) announcements of developments and other material events by us or our competitors; (ix) changes in global financial markets and global economies and general market conditions, such as commodity prices, currency rates, etc.; (x) significant acquisitions or business combinations, strategic partnerships, joint ventures or capital commitments by or involving us or our competitors; (xi) operating and share price performance of other companies that investors deem comparable to us or from a lack of market comparable companies; (xii) news reports relating to trends, concerns, technological or competitive developments, regulatory changes and other related issues in our industry or target markets; and (xiii) investors' general perception of the Company and the public's reaction to our press releases, our other public announcements and our filings with the Canadian securities regulators.

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Financial markets have recently experienced significant price and volume fluctuations that have particularly affected the market prices of equity securities of companies and that have often been unrelated to the operating performance, underlying asset values or prospects of such companies. Accordingly, the market price of the Common Shares may decline even if our operating results, underlying asset values or prospects have not changed. Additionally, these factors, as well as other related factors, may cause decreases in asset values that are deemed to be other than temporary, which may result in impairment losses. There can be no assurance that continuing fluctuations in price and volume will not occur. If such increased levels of volatility and market turmoil continue, our operations could be adversely impacted, and the trading price of the Common Shares may be materially adversely affected.

**Future sales or issuance of debt or equity securities**

Sales or issuances of a substantial number of our Common Shares in the public market could occur at any time. These sales, or the market perception that the holders of a large number of our securities could significantly reduce the market price of our Common Shares and the market price could decline. We cannot predict the effect, if any, that future public sales of these Common Shares or the availability of our Common Shares for sale will have on the market price of such Common Shares. If the market price of our Common Shares was to drop as a result, this might impede our ability to raise additional capital and might cause remaining shareholders to lose all or part of their investment.

Future offerings of debt securities, which would rank senior to our Common Shares upon our bankruptcy or liquidation, and future offerings of equity securities that may be senior to our Common Shares for the purposes of dividend and liquidating distributions, may adversely affect the market price of our Common Shares.

In the future, we may attempt to increase our capital resources by making offerings of debt instruments or other securities convertible into Common Shares. Upon bankruptcy or liquidation, holders of our debt securities and lenders with respect to other borrowings will receive a distribution of our available assets prior to the holders of our Common Shares. Additional equity offerings may dilute the holdings of our existing shareholders or reduce the market price of our Common Shares. Our decision to issue securities in any future offering will depend on market conditions and other factors beyond our control. As a result, we cannot predict or estimate the amount, timing or nature of our future offerings, and purchasers of our Common Shares bear the risk of our future offerings reducing the market price of our Common Shares and diluting their ownership interest in the Company.

**We will incur increased expenses as a result of being listed on Nasdaq or other such stock exchange in the United States** 

We expect to incur additional legal, accounting, insurance and other expenses as a result of being listed on Nasdaq or other such stock exchange in the United States, which may negatively impact our performance and could cause our results of operations and financial condition to suffer. Compliance with applicable securities legislation, the rules of the Toronto Stock Exchange (the "**TSX**") and the rules of Nasdaq increases our expenses, including our legal and accounting costs, and makes some activities more time-consuming and costly.

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We also expect a Nasdaq listing to make it more expensive for us to obtain director and officer liability insurance, and we may be required to accept reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage. As a result, it may be more difficult for us to attract and retain qualified persons to serve on our board of directors (the "**Board**") or as officers. As a result of the foregoing, we expect an increase in legal, accounting, insurance and certain other expenses in the future, which will negatively impact our financial performance and could cause our results of operations and financial condition to suffer.

We do not expect that our disclosure controls and procedures and internal controls over financial reporting will prevent all error or fraud. A control system, no matter how well-designed and implemented, can provide only reasonable, not absolute, assurance that the control system's objectives will be met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Due to the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues within an organization are detected. The inherent limitations include the realities that judgments in decision making can be faulty, and that breakdowns can occur because of simple errors or mistakes. Controls can also be circumvented by individual acts of certain persons, by collusion of two or more people or by management override of the controls. Due to the inherent limitations in a cost-effective control system, misstatements due to error or fraud may occur and may not be detected in a timely manner or at all. If we cannot provide reliable financial reports or prevent fraud, our reputation and operating results could be materially adversely affected, which could also cause investors to lose confidence in our reported financial information, which in turn could have a material adverse effect on our profitability, results of operations, and financial condition and the trading price of our securities.

**Our ability to pay dividends will be dependent on our financial condition** 

The declaration, timing, amount and payment of dividends are at the discretion of the Board and will depend upon our future earnings, cash flows, acquisition capital requirements and financial condition, and other relevant factors. There can be no assurance that we will declare a dividend on a quarterly, annual or other basis.

**If securities or industry analysts do not publish research or publish unfavourable research about our business, our Common Share price and trading volume could decline** 

The trading market for the Common Shares will depend on the research and reports that securities or industry analysts publish about the us and our business. We do not have any control over these analysts. We cannot assure that analysts will cover us or provide favourable coverage. If one or more of the analysts who cover us downgrades our stock or changes their opinion of the Common Shares, the price of our Common Shares could decline. If one or more of these analysts cease coverage of Versamet or fail to regularly publish reports, we could lose visibility in the financial markets, which could cause the price and trading volume of the Common Shares to decline.

**TSX and Nasdaq Listing**

In the future, we may fail to meet the continued listing requirements for our Common Shares to be listed on the TSX or Nasdaq, or such other stock exchange in the United States. If the TSX or Nasdaq, or such other stock exchange in the United States, delists our Common Shares from trading on their exchange, we could face significant material adverse consequences, including: a limited availability of market quotations for our Common Shares; a limited amount of news and analysts coverage for us; and a decreased ability to issue additional securities or obtain additional financing in the future.

**U.S. shareholders may not be able to enforce their civil liabilities against us or our directors, controlling persons and officers**

It may be difficult for security holders in the United States to enforce actions against us on the basis of U.S. securities law liabilities. We are a corporation incorporated in British Columbia, Canada under the *Business Corporations Act (British Columbia)* (the "**BCBCA**"). A majority of our directors and officers are residents of Canada or other countries and the majority of our assets and our subsidiaries are located outside of the U.S. Consequently, it may be difficult for U.S. shareholders to effect service of process in the U.S. upon those directors or officers who are not residents of the U.S., or to realize in the U.S. upon judgments of U.S. courts predicated upon civil liabilities under U.S. securities laws. In addition, you should not assume that the courts of Canada (i) would enforce judgments of U.S. courts obtained in actions against us or such persons predicated upon the civil liability provisions of the U.S. federal securities laws or other laws of the United States, or (ii) would enforce, in original actions, liabilities against us or such persons predicated upon the U.S. federal securities laws or other laws of the United States.

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**Our status as a "foreign private issuer"**

We are a "foreign private issuer", under applicable U.S. federal securities laws, and, therefore, are not subject to the same requirements that are imposed upon U.S. domestic issuers by the U.S. Securities and Exchange Commission (the "**SEC**"). Under the U.S. Exchange Act of 1934, as amended (the "**Exchange Act**"), we are subject to reporting obligations that, in certain respects, are less detailed and less frequent than those of U.S. domestic reporting companies. As a result, we do not file the same reports that a U.S. domestic issuer would file with the SEC, although we are required to file with or furnish to the SEC the continuous disclosure documents that we are required to file in Canada under Canadian securities laws. In addition, our officers, directors, and principal shareholders are exempt from the reporting and short-swing profit recovery provisions of Section 16 of the Exchange Act. Therefore, our shareholders may not know on as timely a basis when our officers, directors and principal shareholders purchase or sell our Common Shares, as the reporting periods under the corresponding Canadian insider reporting requirements are longer.

As a foreign private issuer, we are exempt from the rules and regulations under the Exchange Act related to the furnishing and content of proxy statements. We are also exempt from Regulation FD, which prohibits issuers from making selective disclosures of material non-public information. While we comply with the corresponding requirements relating to proxy statements and disclosure of material non-public information under Canadian securities laws, these requirements differ from those under the Exchange Act and Regulation FD and shareholders should not expect to receive the same information at the same time as such information is provided by U.S. domestic companies. In addition, we may not be required under the Exchange Act to file annual and quarterly reports with the SEC as promptly as U.S. domestic companies whose securities are registered under the Exchange Act.

In addition, as a foreign private issuer, we have the option to follow certain Canadian corporate governance practices, except to the extent that such laws would be contrary to U.S. securities laws, and provided that we disclose the requirements we are not following and describe the Canadian practices we follow instead. We may in the future elect to follow home country practices in Canada with regard to certain corporate governance matters. As a result, our shareholders may not have the same protections afforded to shareholders of U.S. domestic companies that are subject to all corporate governance requirements. See "- *We may seek exemptions from certain requirements of Nasdaq that would allow us to hold shareholder meetings with a reduced quorum and issue additional shares without shareholder approval*" below.

**We may seek exemptions from certain requirements of Nasdaq that would allow us to hold shareholder meetings with a reduced quorum and issue additional shares without shareholder approval**

As a foreign private issuer whose shares will be listed on Nasdaq, we are permitted to follow certain home country corporate governance practices instead of certain requirements of Nasdaq. Among other things, as a foreign private issuer we may follow home country practice with regard to the director nomination procedure, and quorum at shareholders' meetings. In addition, we may follow our home country law, instead of Nasdaq Listing Rules, which require that we obtain shareholder approval for certain dilutive events such as for the establishment or amendment of certain equity based compensation plans, an issuance that will result in a change of control of the company, certain transactions other than a public offering involving issuances of a 20% or more interest in the company, and certain acquisitions of the stock or assets of another company. Accordingly, our shareholders may not be afforded the same protection as provided under Nasdaq's corporate governance requirements. For example, Nasdaq Listing Rule 5615(a)(3) permits a foreign private issuer like us to follow home country practices in lieu of certain requirements of Listing Rule 5600, provided that certain requirements are met. Accordingly, we have elected to follow home country practice in lieu of the requirements under Nasdaq Listing Rule 5635(d), which requires companies to seek shareholder approval for the issuance of securities in connection with certain transactions other than a public offering involving the sale, issuance or potential issuance of our Common Shares at a price less than certain referenced prices, if such shares equal 20% or more of our Common Shares or voting power outstanding before the issuance. Instead, and in accordance with Nasdaq home country accommodations, we comply with applicable Canadian corporate and securities laws, which do not require shareholder approval for such dilutive events.

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**Our status as an "emerging growth company"**

We are an "emerging growth company" as defined in section 3(a) of the Exchange Act (as amended by the JOBS Act, enacted on April 5, 2012), and we will continue to qualify as an emerging growth company until the earliest to occur of: (a) the last day of the fiscal year during which we have total annual gross revenues of $1,235,000,000 (as such amount is indexed for inflation every five years by the SEC) or more; (b) the last day of our fiscal year following the fifth anniversary of the date of the first sale of our common equity securities pursuant to an effective registration statement under the U.S. Securities Act; (c) the date on which we have, during the previous three-year period, issued more than $1,000,000,000 in non-convertible debt; and (d) the date on which we are deemed to be a "large accelerated filer", as defined in Rule 12b–2 under the Exchange Act. We will qualify as a large accelerated filer (and would cease to be an emerging growth company) at such time when on the last business day of our second fiscal quarter of such year the aggregate worldwide market value of our common equity held by non-affiliates is $700 million or more.

For so long as we remain an emerging growth company, we are permitted to and intend to rely upon exemptions from certain disclosure requirements that are applicable to other public companies that are not emerging growth companies. These exemptions include not being required to comply with the auditor attestation requirements of Section 404 of the JOBS Act. We cannot predict whether investors will find our Common Shares less attractive because we rely upon certain of these exemptions. If some investors find our Common Shares less attractive as a result, there may be a less active trading market for our Common Shares and the price of our Common Shares may be more volatile. On the other hand, if we no longer qualify as an emerging growth company, we would be required to divert additional management time and attention from our development and other business activities and incur increased legal and financial costs to comply with the additional associated reporting requirements, which could negatively impact our business, financial condition and results of operations.

**If the Company is a passive foreign investment company for U.S. federal income tax purposes in any year, certain adverse tax rules could apply to U.S. Holders of the Common Shares.**

Because we did not have active business income, for the taxable year ending December 31, 2024, we expect that we may be a passive foreign investment company ("**PFIC"**) for that year and based on the nature of our expected income, may be a PFIC for the foreseeable future.

We will be classified as a PFIC for any taxable year for U.S. federal income tax purposes if for a taxable year, (a) 75% or more of our gross income is passive income or (b) 50% or more of the value of our assets either produce passive income or are held for the production of passive income, based on the quarterly average of the fair market value of such assets.

PFIC status is determined annually and depends upon the composition of a company's income and assets and the market value of its stock from time to time. Therefore, there can be no assurance as to our PFIC status for future taxable years. The value of our assets will be based, in part, on the then market value of common shares, which is subject to change.

If we are a PFIC for any taxable year during which a U.S. Holder (as defined under "*Certain United States Federal Income Tax Consequences for U.S. Holders*" in this Registration Statement) holds Common Shares, such U.S. Holder could be subject to adverse U.S. federal income tax consequences (whether or not we continue to be a PFIC). For example, U.S. Holders may become subject to increased tax liabilities under U.S. federal income tax laws and regulations, and will become subject to burdensome reporting requirements. If we are a PFIC during a taxable year in which a U.S. Holder holds Common Shares, such U.S. Holder may be able to make a "qualified electing fund" election (a "**QEF Election**") or, alternatively, a "mark-to-market" election that could mitigate the adverse U.S. federal income tax consequences that would otherwise apply to such U.S. Holder. Upon request of a U.S. Holder, we intend to provide the information necessary for a U.S. Holder to make applicable QEF Elections. See Item 10.E, "*Taxation - Certain United States Federal Income Tax Consequences for U.S. Holders-Ownership and Disposition of the Common Shares if the Company is a PFIC*" for additional information.

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U.S. Holders are urged to consult their own tax advisers as to whether we may be treated as a PFIC and the tax consequences thereof.

**ITEM 4: INFORMATION ON THE COMPANY**

**A. History and Development of the Company** 

**General**

The Company was formed under the BCBCA on January 31, 2022 by way of an amalgamation of Rosedale Resources Ltd. (incorporated October 21, 2011) and Lunde International Corp. (incorporated October 12, 2018), both private royalty companies incorporated under the BCBCA. On June 13, 2022, the Company changed its name from "Rosedale Resources Ltd." to "Sandbox Royalties Corp." in anticipation of acquiring royalty portfolios from each of Sandstorm Gold Ltd. ("**Sandstorm**") and Equinox, which closed on June 28, 2022. On June 5, 2024, the Company changed its name from "Sandbox Royalties Corp." to "Versamet Royalties Corporation" in connection with acquiring a royalty portfolio from B2Gold Corp. ("**B2Gold**").

Our head office is located at Suite 3200, 733 Seymour Street, Vancouver, British Columbia V6B 0S6, Canada and our internet address is https://versamet.com. Our telephone number is 778-945-3948. Our principal Canadian legal advisers are Blake, Cassels & Graydon LLP, located at 1133 Melville Street, Suite 3500, Vancouver, British Columbia V6E 4E5, Canada. Our principal United States legal advisors are Cozen O'Connor LLP, located at Bentall 5, 550 Burrard Street, Suite 2501, Vancouver, British Columbia V6C 2B5, Canada.

Unless and to the extent specifically referred to herein, the information on our website shall not be deemed to be incorporated by reference in this Registration Statement. The SEC maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC at http://www.sec.gov.

**Key Developments** 

The following describes the important events in the development of our business, as well as information concerning our principal capital expenditures and divestitures since the beginning of our last three financial years to the date of this Registration Statement.

**2023**

**Acquisitions**

On October 31, 2023 (El Pilar) and November 30, 2023 (Blackwater), Versamet acquired additional royalties from Sandstorm on the following two projects:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Project** | **NSR Royalty** | **Metal** | **Location** | **Project Owner** |
| El Pilar | 1.0% | Cu | Mexico | Southern Copper Corp. |
| Blackwater | 0.21% | Au, Ag | Canada | Artemis Gold Inc. |

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(the "**2023 SSL Acquisitions**").

The aggregate purchase price paid to Sandstorm was $25 million, which was comprised of: (i) a cash payment of $10 million; and (ii) the issuance of 29,557,436 Pre-Split Common Shares at a price of $0.70 per share. In connection with the El Pilar project acquisition, 1,979,571 of the foregoing Pre-Split Common Shares are held in escrow and will be released to Versamet for cancellation if SCC (as hereinafter defined) has not commenced the sale of mineral products from the project by June 30, 2027. In connection with the 2023 SSL Acquisitions and the transactions noted below, the Company converted $13,767,677.49 (October 31, 2023) and $279,681.98 (November 30, 2023) under a secured convertible non-interest bearing promissory note (the "**Sandstorm Note**") that was issued as part of the consideration for the initial royalties acquired from Sandstorm in June 2022 (initial principal amount equal to $31,436,000 has all subsequently fully converted as described below), by issuing 27,254,101 Pre-Split Common Shares and 542,623 Pre-Split Common Shares, respectively, to Sandstorm at a price of C$0.70 per Common Share.

On October 31, 2023, Versamet also entered into, together with Regal Resources Royalties Fund ("**Regal**"), an amended and restated gold purchase agreement with Equinox (the "**Greenstone GPA**"), pursuant to which, and after taking into consideration the syndication of 30% of the Greenstone GPA to Regal, Versamet paid $52.5 million (70% of a total $75 million) to Equinox in exchange for monthly deliveries of gold equal to the greater of: (a) 350 gold ounces, and (b) gold ounces equal to 1.26% of the monthly gold production from the Greenstone Mine at a purchase price per ounce of gold equal to 20% of the then prevailing market price (the "**Greenstone Gold Interest**" and together with the 2023 SSL Acquisitions, the "**2023 Acquisitions**"). Monthly gold delivery obligations commenced upon closing of the Greenstone GPA and will continue until a total of 63,000 ounces of gold have been delivered to Versamet. While gold deliveries are calculated based on Greenstone Mine production, gold deliveries can be sourced from production from any of Equinox's operating mines. Under the Greenstone GPA, Equinox retains the option to buy-down deliveries related to up to 75% of the original delivery obligation at the then current spot gold price, subject to a minimum gold price per ounce of $2,000 (the "**Greenstone Buydown Option**").

**2023 Financings**

In connection with funding the 2023 Acquisitions, the Company completed the following financings:

**Regal Investment**

In addition to Regal's syndication of 30% of the Greenstone GPA for $22.5 million, on October 31, 2023, Regal also subscribed for 34,642,500 Pre-Split Common Shares at a price of C$0.70 per Common Share for aggregate gross proceeds of $17,500,000 (based on the Bank of Canada closing exchange rate on October 27, 2023 of C$1.3857 to $1.00).

**Beedie Capital Investment (Convertible Loan and Private Placement)**

On October 31, 2023, Versamet entered into C$22,161,600 ($16 million) secured convertible loan agreement (the "**CLA**") with Beedie Capital. The CLA was denominated in Canadian dollars, had a term of 5 years and a maturity date of October 31, 2028. Interest on the convertible loan consisted of an 8% base interest rate and a 1.5% "paid-in-kind" ("**PIK**") rate, with the PIK rate reducing to 1.0% upon a public listing of the Company. On April 30, 2025, the Company repaid the full amount of the outstanding principal of the CLA, together with all accrued and unpaid interest (including accrued and unpaid PIK Interest) and the Make Whole Fee for an aggregate prepayment amount of $26,084,680.

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In addition to the CLA, Beedie Capital also subscribed for 7,918,285 Pre-Split Common Shares at a price of C$0.70 per Common Share for aggregate gross proceeds of $4,000,000 (based on the Bank of Canada closing exchange rate on October 27, 2023 of C$1.3857 to $1.00).

**Revolving Credit Facility Financing** 

On October 31, 2023, we entered into a revolving credit facility (the "**Revolving Loan**" or "**Credit Facility**") with the Bank of Montreal ("**BMO**"), as lead arranger, and National Bank of Canada ("**NBF**"), which allowed us to borrow up to $30 million (plus a $15 million accordion feature) and initially expired December 31, 2026, which was extendable by one (1) year at the sole discretion of BMO. On April 30, 2025, we entered into an amending agreement with BMO and NBF to amend and increase the size of the Credit Facility to $60 million (with a $15 million accordion feature) with a maturity date of April 30, 2028. See "*First Amending Agreement to Credit Facility*" for more details. The amounts drawn on the Revolving Loan are subject to interest at the Secured Overnight Financing Rate plus 2.25% to 3.50% per annum, and the undrawn portion of the Revolving Loan is subject to a standby fee of 0.5063%-0.7875% per annum, both of which are dependent on our leverage ratio. Our leverage ratio covenant is less than or equal to 5.00x from and including fiscal quarter ended March 31, 2025 and, less than or equal to 3.50x from and including fiscal quarter ended March 31, 2026. Under the terms of the Revolving Loan, we are also subject to an interest coverage ratio of greater than or equal to 2.00x from and including March 31, 2025 and greater than or equal to 3.00x from March 31, 2026 and minimum liquidity covenant (comprising of the sum of cash, cash equivalents and additional advances available under the Revolving Loan) of greater than or equal to $5.0 million as at the last day of each fiscal quarter. In the event that the Greenstone Buydown Option is exercised, the compensation amount received from Equinox shall be applied as a prepayment of outstanding balances under the Credit Facility, with the continuing Credit Facility commitment being reduced to a maximum limit to be agreed. Note that the Credit Facility was subsequently updated to the Upsized Credit Facility (as defined below). As of the date of this Registration Statement, the balance drawn on or outstanding under the Upsized Credit Facility (as defined below) is $45 million. The payment and performance of the Company's obligations under the Credit Facility is secured by a first priority security interest in all present and after acquired property of the Company and any material subsidiaries.

**Existing Investor Rights Agreements**

In connection with acquiring royalty portfolios from each of Sandstorm and Equinox in June 2022, the Company entered into investor rights agreements with each of Equinox ("**Equinox IRA**") and Sandstorm ("**Sandstorm IRA**", and together with Equinox IRA, the "**2022 IRAs**"). The Sandstorm IRA was replaced by the A&R Sandstorm IRA (as defined below), which was terminated on November 17, 2025 concurrently with the completion of the Tether and Lundin Investment (as defined below). The following is a summary of the principal terms of the Equinox IRA. This summary does not purport to be complete and is qualified in its entirety by reference to the Equinox IRA. The term "investor", as such term is used in the summary of the Equinox IRA below, refers to Equinox.

**Board Nomination** 

Unless the Equinox IRA is terminated pursuant to its terms, which shall automatically occur on the date the investor's share ownership percentage ceases to be at least 10% for a continuous period of 30 days, the investor shall have the right to designate one investor nominee for election to our Board. If the investor is entitled to nominate a nominee but has not done so, the investor shall be entitled to designate an observer to attend all meetings of our Board.

**Standstill (subsequently expired) and Escrow**

The investor agreed that, during the period commencing on the effective date (June 28, 2022) and ending on the earlier of: (a) the date which is 12 months from the effective date (b) the date on which the investor's ownership percentage ceases to be at least 10%, the investor shall not (subject to certain exceptions), and it shall cause its affiliates not to, in any manner, directly or indirectly, or in concert with any other person: propose or seek to effect any change of control transaction; solicit proxies from shareholders or form, join, support or participate in a group to solicit proxies from shareholders with a view to replacing the members of our Board; or purchase, offer or agree to purchase or negotiate to purchase any securities, or assets of the Company, without the advance written authorization of our Board.

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The investor also agreed to comply with and be bound by any escrow requirements imposed by any stock exchange in connection with the closing of a going public transaction.

**Participation and Top-Up Rights**

Subject to certain exceptions, if Versamet proposes to offer or issue any Common Shares or securities convertible or exchangeable into Common Shares, the investor will be entitled to participate in such issuance on a *pro rata* basis. In addition, at any time and from time to time, the investor has a top-up right to maintain its ownership in connection with any security-based compensation arrangement and any other dilutive issuance where the participation right does not apply.

**December 2023 Private Placement**

On December 13, 2023, the Company completed the first tranche of a non-brokered private placement and issued 10,457,141 Pre-Split Common Shares at a price of C$0.70 per Common Share for aggregate gross proceeds of C$7,320,000. On December 22, 2023, the Company completed the second tranche of the non-brokered private placement and issued 1,050,000 Pre-Split Common Shares at a price of C$0.70 per Common Share for aggregate gross proceeds of C$735,000. No finders fees were paid in connection with either tranche of the foregoing.

On December 29, 2023, the Company converted $3,202,094.74 under the Sandstorm Note by issuing 6,040,523 Pre-Split Common Shares to Sandstorm at a price of C$0.70 per Common Share.

**2024**

**Acquisitions**

On June 5, 2024, we entered into a royalty sale and purchase agreement (the "**B2Gold PA**") with B2Gold, pursuant to which Versamet agreed to acquire the following portfolio of royalties from B2Gold for $89,859,810.78, subject to certain adjustments (the "**B2Gold Transaction**"):

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| | | | | |
|:---|:---|:---|:---|:---|
| **Project** | **NSR Royalty** | **Metal** | **Location** | **Project Owner** |
| Kiaka | 2.7% net smelter returns ("**NSR**") royalty until 2.5Moz of gold produced; 0.45% NSR royalty on next 1.5Moz. | Au | Burkina Faso | West African Resources Ltd. (85%), Government of Burkina Faso (15%)<br>See "Risk Factors - Risks related potential increased government ownership of the Kiaka Mine" |
| Toega | NSR royalty on first 1.5Moz of gold produced. 2.7% until royalty payments total $22.5 million, and 0.45% thereafter. | Au | Burkina Faso | West African Resources Ltd. (90%), Government of Burkina Faso (10%)<br>See "Risk Factors - Risks related potential increased government ownership of the Kiaka Mine" |
| Primavera | 1.5% | Au | Nicaragua | Equinox Gold Corp. |
| Midas | 1.0% | Ag, Au | British Columbia | Teuton Resources Corp. |
| Del Norte | 1.0% | Ag, Au | British Columbia | Teuton Resources Corp. |
| (Kiaka together with Toega, Primavera, Midas and Del Norte are the "**First Tranche Royalties**") | (Kiaka together with Toega, Primavera, Midas and Del Norte are the "**First Tranche Royalties**") | (Kiaka together with Toega, Primavera, Midas and Del Norte are the "**First Tranche Royalties**") | (Kiaka together with Toega, Primavera, Midas and Del Norte are the "**First Tranche Royalties**") | (Kiaka together with Toega, Primavera, Midas and Del Norte are the "**First Tranche Royalties**") |
| Golden Sidewalk | 2.0% | Au | Ontario | Prosper Gold Corp. |
| Mocoa | 2.0% | Cu, Mo | Colombia | Copper Giant Resources Corp. |
| (Golden Sidewalk together with Mocoa, are the "**Second Tranche Royalties**") | (Golden Sidewalk together with Mocoa, are the "**Second Tranche Royalties**") | (Golden Sidewalk together with Mocoa, are the "**Second Tranche Royalties**") | (Golden Sidewalk together with Mocoa, are the "**Second Tranche Royalties**") | (Golden Sidewalk together with Mocoa, are the "**Second Tranche Royalties**") |

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Pursuant to the B2Gold PA, B2Gold was, in its sole discretion, able to elect to have all or a portion of the purchase price paid in Common Shares at a price of C$0.80 per Pre-Split Common Share. Concurrent with signing the B2Gold PA, B2Gold elected to receive Common Shares for the First Tranche Royalties and the parties closed the acquisition of the First Tranche Royalties for $71,609,810.78 by the issuance of 122,049,971 Pre-Split Common Shares. On August 13, 2024, B2Gold elected to receive Common Shares for the Second Tranche Royalties and the parties closed the acquisition of the Second Tranche Royalties for $10,250,000 by the issuance of 17,469,844 Pre-Split Common Shares at C$0.80 per Pre-Split Common Share.

In connection with closing the First Tranche Royalties on June 5, 2024, the Company satisfied the entire remaining principal amount of $14,186,545.79 under the Sandstorm Note by issuing 24,179,193 Pre-Split Common Shares to Sandstorm at a price of C$0.80 per Pre-Split Common Share.

On August 13, 2024, B2Gold also subscribed for 12,782,812 Pre-Split Common Shares at a price of C$0.80 per Pre-Split Common Share for total private placement cash proceeds of $7.5 million.

**B2Gold Investor Rights Agreement & Amended and Restated Sandstorm Investor Rights Agreement**

Concurrently with the closing of the first tranche of the B2Gold Transaction, the Company entered into an investor rights agreement with B2Gold ("**B2Gold IRA**") and an amended and restated the Sandstorm IRA ("**A&R Sandstorm IRA**"). The A&R Sandstorm IRA was terminated on November 17, 2025 concurrently with the Tether and Lundin Investment. The following is a summary of the principal terms of the B2Gold IRA. This summary does not purport to be complete and is qualified in its entirety by reference to B2Gold IRA.

**Board Nomination and Observer Rights**

For so long as B2Gold holds at least a 10% ownership interest in the Company (calculated on a non-diluted basis), B2Gold has the right to designate one nominee for election to the Company's Board of Directors. If B2Gold is entitled to nominate a director but does not do so, B2Gold is entitled to designate one observer to attend meetings of the Board and its committees, subject to customary exclusions relating to conflicts of interest, privilege and compliance with applicable law.

**Standstill**

The B2Gold IRA includes standstill provisions that apply during the period commencing on June 5, 2024 and ending on the earlier of (i) 12 months thereafter and (ii) the date on which B2Gold's ownership interest falls below 10%. During the standstill period, B2Gold is subject to customary restrictions on, among other things, effecting change-of-control transactions, soliciting proxies and increasing its ownership above specified thresholds, subject to customary exceptions.

**Transfer Restrictions**

For so long as B2Gold holds at least a 10% ownership interest in the Company, B2Gold is subject to restrictions on transfers of Common Shares, including prohibitions on transfers to competitors of the Company or to any person that would result in such person becoming a 10% or greater shareholder, subject to customary exceptions. The B2Gold IRA also includes notice and cooperation provisions in connection with proposed transfers and permits certain transfers through bought-deal offerings in specified circumstances.

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**Participation Rights**

For so long as B2Gold holds at least a 10% ownership interest on a partially diluted basis, B2Gold is entitled to participate on a pro rata basis in issuances of Common Shares or securities convertible into Common Shares made for the purpose of raising capital, subject to customary exclusions, including issuances under security-based compensation arrangements and other exempt issuances. The participation provisions are structured to permit B2Gold to maintain its ownership interest, including the ability to subscribe for securities to restore its ownership to 10% in certain circumstances.

**Registration Rights**

Provided that B2Gold holds at least a 15% ownership interest in the Company, B2Gold is entitled to piggyback registration rights in connection with registration statement offerings of the Company's securities, other than an initial public offering, subject to customary procedural requirements and cutback provisions.

**Escrow and Termination**

B2Gold agreed to comply with applicable escrow or hold period requirements imposed by any stock exchange or securities regulator. The B2Gold IRA terminates automatically if B2Gold's ownership interest falls below 10% for a continuous period of 30 days, subject to limited exceptions.

**2025**

**Kolpa Copper Stream**

On April 1, 2025, we entered into a copper purchase agreement (the "**Kolpa CPA**") with a Kolpa Canada Ltd. (the "**Stream Seller**"), a wholly owned subsidiary of Endeavour Silver Corp. ("**Endeavour**"). The Kolpa CPA was entered into in connection with Endeavour's pending acquisition of the Huachocolpa Uno Mine in Peru (the "**Kolpa Mine**"). The Kolpa CPA applies to minerals from the Stream Properties (as defined in the Kolpa CPA), which include the Kolpa Mine and to minerals processed through the existing and future mineral processing facilities of the Kolpa Mine, other than future mineral processing facilities with nameplate capacity not less than 15,000 tonnes per day. Subject to the terms and conditions of the Kolpa CPA, at the closing date of the Kolpa CPA, which shall be concurrent with the closing of Endeavour's acquisition of the Kolpa Mine, Versamet will provide Endeavour with $35 million as a prepayment (the "**Deposit**"). Following the closing date of the Kolpa CPA, Versamet agrees to purchase from the Stream Seller the greater of: (i) refined copper equal to 95.8% of produced copper (irrespective of the copper payable under the relevant offtake agreement), and (ii) refined copper equal to 0.03 pounds per pound of produced lead. Once 6,000 tonnes of refined copper have been delivered, Versamet agrees to purchase from the Stream Seller 71.85% of produced copper. Once 10,500 tonnes of refined copper have been delivered, Versamet agrees to purchase from the Stream Seller 47.9% of produced copper. Versamet will purchase LME Warrants (as defined in the Kolpa CPA) from the Stream Seller at a purchase price (the "**Copper Purchase Price**") equal to the spot price of refined copper for each metric tonne delivered. Until the Deposit has been reduced to zero, the Copper Purchase Price will be paid in two parts: (i) 10% of the spot price of refined copper payable in cash (the "**Ongoing Copper Payment**"); and (ii) 90% of the spot price of refined copper which would be paid by a reduction of the Deposit. After the Deposit has been reduced to zero, Versamet will purchase refined copper for a purchase price equal to the Ongoing Copper Payment for each metric tonne of copper delivered.

The Kolpa CPA provides for a right of first refusal in favour of Versamet with respect to the sale or transfer of any royalty, stream or similar interests in respect of minerals from the Stream Properties. The Kolpa CPA would be secured by an equity pledge of the Stream Seller in the Kolpa Mine owner, which Versamet would agree to subordinate in favor of future financiers of the Stream Properties. The Kolpa CPA includes customary stream survival terms in favour of Versamet. The Kolpa CPA also provides Versamet with a right to purchase an additional stream interest equivalent to up to 2.2% of the total revenue in future discoveries of mineral deposits at the Kolpa Mine that are processed through a new mineral processing facility with nameplate capacity of not less than 15,000 tonnes per day. If Versamet does not exercise this right, minerals processed through the new facility are not subject to the Kolpa CPA.

------

On May 1, 2025, Endeavour's acquisition of the Kolpa Mine and the Kolpa CPA closed. We paid the Deposit with funds from our Credit Facility, as amended.

*First Amending Agreement to Credit Facility*

In connection with the closing of Kolpa CPA, Versamet entered into an amending agreement with BMO and NBF to amend and increase the size of the Credit Facility to $60 million with a $15 million accordion feature. The new Credit Facility included an updated maturity date of April 30, 2028 and an approximate 25 basis point reduction to the drawn interest spread. Note that the Credit Facility was subsequently updated to the Upsized Credit Facility (as defined below).

*Prepayment of CLA*

On April 30, 2025, the Company repaid the full amount of the outstanding principal of the CLA, together with all accrued and unpaid interest (including accrued and unpaid PIK Interest) and the Make Whole Fee for an aggregate prepayment amount of C$26,084,680. Subsequently the CLA was fully repaid and terminated in accordance with its terms.

*Other*

On September 12, 2025 we completed a consolidation, or a reverse stock split, of our issued and outstanding Common Shares on the basis of one (1) new Common Share for five (5) old Common Shares.

**Rosh Pinah Stream and Santa Rita Royalty**

On September 24, 2025 we closed a transaction with funds advised by Appian Capital Advisory LLP (collectively "**Appian**") to acquire a 90% silver stream on the Rosh Pinah Mine in Namibia (the "**Rosh Pinah Stream**") and a 2.75% net smelter return royalty ("**Santa Rita Royalty**") on the Santa Rita nickel-copper mine in Brazil (the "**Santa Rita Mine**") for up-front cash consideration of $125 million and contingent consideration of up to $45 million upon certain milestones being achieved at the Santa Rita Mine. We funded the Rosh Pinah Stream and Santa Rita Royalty transactions through an amended and expanded $180 million credit facility from the Bank of Montreal and National Bank of Canada (the "**Upsized Credit Facility**"). The Upsized Credit Facility is comprised of an upsized $100 million revolving credit facility maturing in April 2028 (of which $nil is drawn at the date of this Registration Statement), and the Term Loan, which is a new $80 million term loan which is repaid in quarterly installments of $7.5 million commencing on March 31, 2026, with a final bullet payment at maturity on March 31, 2028. As of the date of this Registration Statement, the outstanding amount on the Term Loan has been reduced to $45 million and the final instalment payment expected to be made on September 30, 2027.

Under the Rosh Pinah Stream agreement (the "**RP Stream Agreement**"), we are entitled to receive refined silver equal to 90% of payable silver from the Rosh Pinah Zinc mine. After a total of 3,100,000 ounces of silver have been delivered under the RP Stream Agreement, we will be entitled to receive 45% of payable silver for the remaining life of the mine. We will pay 10% of the spot silver price for each ounce delivered to the Rosh Pinah Stream. For an initial period, payable silver will be based on the production of recovered zinc from the mine (the "**Production Index**") as follows: 4,000 ounces of payable silver per million pounds of recovered zinc until the delivery of 250,000 silver ounces to the Rosh Pinah Stream; and 2,850 ounces of payable silver per million pounds of recovered zinc thereafter. The Production Index will terminate on the earlier of i) 1,350,000 ounces of silver delivered to the Rosh Pinah Stream, or ii) December 31, 2028. After the termination of the Production Index, payable silver will be based on actual payable sliver production from the Rosh Pinah Zinc mine

The Santa Rita Royalty is an uncapped, life of mine royalty that covers 100% of the open pit and underground deposits, as well as the entirety of the operator's current land holdings in the area, representing an area of over 40,000 hectares.

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**Tether and Lundin Investment** 

On November 17, 2025, Tether Investments S.A. de C.V. ("**Tether**") and the Lundin Family Trusts ("**Lundin**"), through its affiliate NEMESIA S.à R.L., became new shareholders of Versamet. Tether acquired 11,827,273 Common Shares and Lundin acquired 11,827,272 Common Shares, each representing approximately 12.7% of our issued and outstanding Common Shares (the "**Tether and Lundin Investment**"). Of these Common Shares, 21,289,091 were transferred within the Escrow Agreement. Tether and Lundin acted independently in their respective acquisitions.

The Common Shares acquired by Tether and Lundin were purchased from Royal Gold, Inc. ("**Royal Gold**"), which sold its entire holding of 23,654,545 Common Shares. Royal Gold acquired these Common Shares through its acquisition of Sandstorm in October 2025, following which Royal Gold became the indirect holder of Sandstorm's historical equity position in Versamet.

In connection with the sale of the Common Shares by Royal Gold, the A&R Sandstorm IRA was terminated and not assigned. Instead, we entered into separate, standalone investor rights agreements with each of Tether and NEMESIA S.à R.L. (the "**2025 IRAs**"), each on substantially the same terms as the A&R Sandstorm IRA.

The following is a summary of the principal terms of the 2025 IRAs. This summary does not purport to be complete and is qualified in its entirety by reference to the 2025 IRAs. The term "investor", as such term is used in the summary of the 2025 IRAs below, refers to Tether and Lundin, as applicable.

**Board Nomination** 

Unless the 2025 IRAs are terminated pursuant to their terms, which shall automatically occur on the date the investor's share ownership percentage ceases to be at least 10% for a continuous period of 30 days, the investor shall have the right to designate one investor nominee for election to our Board. If the investor is entitled to nominate a nominee but has not done so, the investor shall be entitled to designate an observer to attend all meetings of our Board.

**Escrow Agreement**

The investor also agreed to comply with and be bound by any escrow requirements imposed by any stock exchange in connection with the closing of a going public transaction. In connection therewith, each of Tether and NEMESIA S.à.R.L. agreed to be bound by the Escrow Agreement.

**Participation and Top-Up Rights**

Subject to certain exceptions, if Versamet proposes to offer or issue any Common Shares or securities convertible or exchangeable into Common Shares, the investor will be entitled to participate in such issuance on a *pro rata* basis. In addition, at any time and from time to time, the investor has a top-up right to maintain its ownership in connection with any security-based compensation arrangement and any other dilutive issuance where the participation right does not apply.

**Piggyback Registration Rights**

Provided the investor holds at least a 15% ownership of Versamet and subject to standard procedural matters, the investor has piggyback registration rights on prospectus offerings of our securities, except for fully underwritten offerings on a bought deal basis pursuant to which an underwriter has committed to purchase our securities pursuant to a "bought deal" letter prior to the filing of a prospectus or a prospectus supplement or a distribution pursuant to an overnight marketed offering.

As disclosed above, the 2025 IRAs terminates automatically if investor ownership percentage is below 10% for a period of 30 consecutive days. Following the Company's February 2026 financing and Nemesia's subsequent sale of shares, Nemesia beneficially owns approximately 9,343,701 common shares, representing approximately 8.85% of the Company's outstanding common shares. If Nemesia's ownership remains below 10% for 30 consecutive days, the Investor Rights Agreement will terminate in accordance with its terms.

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*Other*

On December 10, 2025, the Company graduated to the TSX.

**2026**

**Equity Financings**

On February 9, 2026, Versamet closed a bought deal public offering of 10,300,000 Common Shares, including a partial exercise of the over-allotment option, at a price of C$13.75 per Common Share for gross proceeds of approximately C$141.6 million pursuant to an underwriting agreement among several underwriters and Versamet. In connection with the offering, the Company also completed a concurrent private placement with Tether Investments S.A. de C.V. pursuant to its participation rights, issuing 1,575,712 Common Shares at C$13.75 per Common Share for gross proceeds of approximately C$21.7 million. Aggregate gross proceeds from the transactions were approximately C$163.3 million. The Company used the majority of the net proceeds to pay down the Upsized Credit Facility and the remainder shall be used for general corporate purposes.

**B. Business Overview**

Versamet's purpose is to provide capital to responsibly produce the resources our world needs to create prosperity, drive economic growth and build a better future. Our vision is to build the world's premier metals and mining investment. Our current portfolio of over 25 metals royalties, streams, and other interests is distinguished by its cash flow generation and growth. We expect to continue to prioritize precious metals, copper, and other diversified metals as our portfolio grows.

Versamet's competitive strategy is focused on five key elements: i) robust access to capital, ii) versatile investment mandate, iii) asset quality over quantity, iv) growth at pace, and v) strong relationships. Our vision and strategy reflect our belief that size/scale, asset/deal quality, access to capital through business cycles (including internally generated cash flow) and demonstrated ability to grow and repeatedly generate returns above the cost of capital are the key value drivers in the royalty and streaming business model.

**Metals Royalty and Streaming Model**

The royalty and streaming business model is a high-margin, scalable business model that is intended to provide our investors with commodity price exposure as well as upside from mine life extensions, expansion, optimization, and exploration success, but also mitigates the downside risk associated with operating, exploration and development cost inflation and risk as well as the operational risks associated with managing operating mines, projects, and mineral deposits compared to traditional mining companies.

A royalty is a non-dilutable, free carried interest in a mining property which provides payments to a royalty holder by an owner or an operator of a property. The payments are typically calculated based on a percentage of the gross revenue or net proceeds received by the owner of the underlying mineral properties upon the sale of commodities produced on the property. These proceeds are usually subject to deductions or charges for transportation, insurance, smelting and refining costs as set out in the royalty agreement, but may also be subject to other deductions or charges.

A stream is a transaction pursuant to which, in exchange for an initial upfront payment, the stream holder is given the right to purchase a predetermined percentage of future commodity production generated from a mining operation, at a predetermined below-market price. Typically, the up-front payment is applied against future deliveries, together with the predetermined below-market price (which may be fixed or floating) as the commodities are delivered on an ongoing basis.

As a metals royalty and streaming company, Versamet effectively holds a diversified portfolio of exposures to multiple mines and mineral deposits, operators, jurisdictions and commodities.

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According to McKinsey & Company, royalty and streaming as an alternative financing source has several advantages when viewed from a mining company's perspective. When compared to debt-based deals, royalty and streaming deals often have a longer payment period; have no fixed obligations in cash, so they present less risk during periods of lower prices; have limited restrictions on the use of cash; have no debt covenants to maintain; and share production and operational risks across the value chain. When compared to equity-based deals, royalty and streaming deals are less dilutive because streaming and royalties are applied to a single asset only; are advantageous when share prices are trading below net asset value; do not have changes in ownership and none are implied on the management team; and usually have no additional costs such as brokerage or market discount fees.[<sup>1</sup>](#_ftn1)

We expect that the royalty and streaming segment will continue to grow given the significant capital required to maintain and grow the supply of mined raw materials the world demands. Wood Mackenzie Limited, a global provider of data and analytics for the energy transition, estimates that mining companies need to invest nearly $1.7 trillion between 2020 and 2035 to help supply enough copper, nickel, zinc, steel, battery metals, and other materials needed to meet demand.[<sup>2</sup>](#_ftn2) For copper alone, Wood Mackenzie estimates that investment of more than $23 billion per year will be required over the next 30 years to deliver the copper required to meet demand - a level of investment only previously seen for a limited period following the China-induced commodity super cycle of the previous decade.[<sup>3</sup>](#_ftn3) In a recent analysis of risks facing the mining and metals sector in 2025 published by EY,[<sup>4</sup>](#_ftn4) capital was identified as the number one risk, ranking ahead of environmental stewardship, geopolitics, and license to operate. The authors state that "tough financing and macroeconomic conditions are making it more difficult for miners to raise capital despite the growing need for critical minerals," and "exploration and greenfield projects are not receiving the investment required to head off supply deficits in many commodity markets." As a result, mining companies are "accessing a wider range of capital" from multiple sources. Alternative sources of financing, including royalty and stream financing, are becoming increasingly critical.

![](formdrsax001.jpg)

**EY. (Oct. 2024).** ***Top 10 business risks and opportunities for mining and metals in 2025.***

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[<sup>1</sup>](#_ftnref1) McKinsey & Company. (Apr 2021). *Streaming and royalties in mining: Let the music play on*.

[<sup>2</sup>](#_ftnref2) Wood Mackenzie. (Dec 2020). *Faster decarbonisation and mining: a crisis of confidence or capital?*

[<sup>3</sup>](#_ftnref3) Wood Mackenzie. (Oct 2022). *Net zero scenario to require 9.7 Mt of new copper supply over next decade.*

[<sup>4</sup>](#_ftnref4) EY. (Oct 2024). *Top 10 risks and opportunities for mining and metals companies in 2025.*

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We believe that Versamet is well-positioned given its business model and strategy to benefit from increasing demand for mine financing via royalty, streaming and other arrangements as property owners, developers and operators are increasingly attracted to the lack of shareholder dilution associated with royalty, streaming and other arrangements compared to traditional equity financing and to the non-financial benefits that royalty and stream holders like Versamet are able to provide, including structural flexibility, partner-like alignment and sector experience and expertise.

We believe that Versamet's investors will be uniquely positioned to benefit from this secular growth of the royalty and streaming segment combined with expected growth in the demand for metals more broadly by virtue of Versamet's royalty and streaming business model combined with Versamet's differentiated strategy, portfolio, sponsorship, and leadership team.

**Our Portfolio**

Our current portfolio of over 25 assets is underpinned by a stable base of revenue generating assets including our Greenstone, Kiaka, Mercedes, Blackwater, Kolpa, Santa Rita, and Rosh Pinah assets, complemented by assets that are expected to contribute to our revenue stream in the near term such as our Toega asset. Our portfolio is distinguished by its cash flow generation and growth. Versamet's annual revenue for 2024 was approximately $12 million from two cash flowing assets (Greenstone and Mercedes), equivalent to production of approximately 5,100 GEOs.[<sup>5</sup>](#_ftn5)

**Asset Classification by Business Stage**

We classify our assets by business stage in addition to SK-1300 project stage, as many of the Company's underlying assets are classified as exploration stage under Regulation S-K Subpart 1300 solely because they are owned and operated by non-U.S. issuers that have not published mineral resources or reserves in accordance with SK-1300. The business stage classifications are used as non-technical, portfolio-level descriptors of asset revenue status and anticipated timing of potential cash flow.

For our business stage classification, we have three stages: cash flowing, near-term development, and long-term development. Properties in the cash flowing stage include properties that are producing minerals or metals and are currently contributing to Versamet's revenue stream. We consider a property to be in the near-term development stage if it has completed SK-1300 compliant and non SK-1300 compliant feasibility or pre-feasibility development studies, completed or well-advanced permitting, completed or well-advanced construction financing and where the operator has disclosed a a specific timeline to begin construction, has begun construction, has been approved for construction, or is expected to be approved for construction imminently, or is otherwise expected to contribute to Versamet's revenue stream within approximately 2-3 years. Our classification of properties in the long-term development stage includes projects which range from the late stages of pre-construction development to the early stages of grassroots exploration, and which are not expected to contribute to Versamet's revenue stream within the near-term.

Our portfolio has been designed to grow organically over time through exposure to potential mine life extensions, exploration success, new mine builds, and throughput expansions. Our portfolio is well balanced with approximately 77% of asset book value associated with mines in the cash flowing business stage, 12% in the near-term development stage and 11% in the long-term development stage.[<sup>6</sup>](#_ftn6) With the exception of Cuiú Cuiú, all of our projects in the cash flowing stage are producing minerals or metals and are generating revenue for Versamet. For Cuiú Cuiú, the project is classified as cash flowing because advanced royalties have come due and been paid to Versamet, though the project is not yet in production.

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[<sup>5</sup>](#_ftnref5) Gold Equivalent Ounces for 2024 calculated by dividing total revenue of approximately $12.0 million by the average realized gold price of $2,376 per ounce.

[<sup>6</sup>](#_ftnref6) Asset book value breakdown by stage based on book value of individual assets as a percentage of total book value of assets as of September 30, 2025. See following table for list of assets by stage.

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- 50 - <br>

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| | |
|:---|:---|
| **BUSINESS STAGE** | **BREAKDOWN BY BOOK VALUE** |
| **Cash Flowing** | 77% |
| **Near-Term Development** | &nbsp;&nbsp;12% |
| **Long-Term Development** | &nbsp;&nbsp;11% |

---

Our portfolio contains optionality via large-scale projects with several mines or projects being advanced by large-scale mining operators including Equinox, WAF, Artemis Gold Inc. ("**Artemis**"), Glencore Canada Corporation ("**Glencore**"), HudBay Minerals Inc. ("**HudBay**") and Southern Copper Corp. ("**SCC**").

Our commodity mix is currently tilted toward precious metals and copper, as three of eight assets in the cash flowing business stage offer solely gold exposure (Greenstone, Blackwater, Kiaka), one offers solely silver exposure (Rosh Pinah), one offers mixed gold and silver exposure (Mercedes), one offers solely copper exposure (Kolpa), and one offers primarily nickel exposure with complementary exposure to copper and other metals (Santa Rita). We expect to continue to prioritize precious metals, copper, and other diversified metals as the portfolio grows. Our portfolio is also well diversified from a geographical perspective with assets in over 10 different countries on six different continents.

The following table summarizes key information with respect to select assets in our portfolio, some assets of which are described in further detail below:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **PROJECT** | **TERMS** | **METAL** | **LOCATION** | **PROJECT <br>OWNER** | **BUSINESS <br>STAGE** | **SK1300 PROJECT <br>STAGE** |
| **Greenstone** | 1.26% Stream [<sup>7</sup>](#_ftn7) | Au | Canada | Equinox Gold Corp. | Cash Flowing | Exploration |
| **Kiaka** | 2.7% NSR [<sup>8</sup>](#_ftn8) | Au | Burkina Faso | West African Resources Limited | Cash Flowing | Exploration |
| **Mercedes** | 2.0% NSR | Au, Ag | Mexico | Bear Creek Mining Corp | Cash Flowing | Exploration |
| **Kolpa** | 95.8% Stream [<sup>9</sup>](#_ftn9) | Cu | Peru | Endeavour Silver Corp. | Cash Flowing | Exploration |
| **Blackwater** | 0.21% NSR [<sup>10</sup>](#_ftn10) | Au | Canada | Artemis Gold Inc. | Cash Flowing | Exploration |
| **Santa Rita** | 2.75 NSR | Ni, Cu | Brazil | Appian Capital Advisory LLP | Cash Flowing | Exploration |
| **Cuiú Cuiú** | 1.5% NSR | Au | Brazil | Cabral Gold Inc | Cash Flowing | Exploration |

---

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[<sup>7</sup>](#_ftnref7) Greater of i) 1.26% of monthly production at Greenstone Mine (100%), or ii) 350 koz Au, until 63,000 ounces Au have been delivered; gold deliveries subject to per-ounce payments equal to 20% of the prevailing spot gold price at time of delivery

[<sup>8</sup>](#_ftnref8) 2.7% NSR royalty (100% basis) until 2.5 Moz Au produced; 0.45% NSR royalty on the next 1.5 Moz Au

[<sup>9</sup>](#_ftnref9) Greater of i) 95.8% of produced copper and ii) 0.03 tonnes of copper per tonne of produced lead until 6,000 tonnes of copper delivered; 71.85% of produced copper until 10,500 tonnes of copper delivered; 47.9% of produced copper thereafter; copper deliveries subject to payments equal to 10% of spot price

[<sup>10</sup>](#_ftnref10) 0.21% net smelter returns royalty applicable to approximately 35-50% <br>of production (Versamet management estimate)

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- 51 - <br>

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Rosh Pinah** | 90% Stream [<sup>11</sup>](#_ftn11) | Ag | Namibia | Appian Capital Advisory LLP | Cash Flowing | Exploration |
| **El Pilar** | 1.0% GRR [<sup>12</sup>](#_ftn12) | Cu | Mexico | Southern Copper Corp. | Near-Term Development | Exploration |
| **Pilar** | 1.0% NSR | Au | Brazil | Pilar Gold Inc | Near-Term Development | Exploration |
| **Toega** | 2.7% NSR [<sup>13</sup>](#_ftn13) | Au | Burkina Faso | West African Resources Limited | Near-Term Development | Exploration |
| **Vittangi** | 1.0% NSR | Graphite | Sweden | Talga Group Ltd. | Near-Term Development | Exploration |
| **Converse** | 1.0% NSR | Au | USA | Axcap Ventures Inc. | Long-Term Development | Exploration |
| **Hackett River** | 2.0% NSR | Zn, Ag, Cu, Pb, Au | Canada | Glencore Canada Corp | Long-Term Development | Exploration |
| **Mason** | 0.4% NSR | Cu, Au, Mo, Ag | USA | Hudbay Minerals Inc. | Long-Term Development | Exploration |
| **Prairie Creek** | 1.2% NSR | Zn, Pb, Ag | Canada | NorZinc Ltd | Long-Term Development | Exploration |
| **Adi Dairo** | 1.0% NSR | Cu, Zn, Au | Ethiopia | Sun Peak Metals Corp | Long-Term Development | Exploration |
| **Ajax** | 1.5% NSR | Cu, Au, Ag | Canada | KGHM / Abacus Mining & Exploration Co | Long-Term Development | Exploration |
| **Bobosso** | 1.0% NSR | Au | Cote d'Ivoire | Montage Gold Corp | Long-Term Development | Exploration |
| **Del Norte** | 1.0% NSR | Au, Ag | Canada | Teuton Resources Corp. | Long-Term Development | Exploration |
| **Golden Sidewalk** | 2.0% NSR | Au | Canada | Prosper Gold Corp. | Long-Term Development | Exploration |
| **Midas** | 1.0% NSR | Au, Ag | Canada | Teuton Resources | Long-Term Development | Exploration |
| **Mocoa** | 2.0% NSR | Cu, Mo | Colombia | Copper Giant Resources Corp. | Long-Term Development | Exploration |
| **Nefasit** | 1.0% NSR | Cu, Zn, Au | Ethiopia | Sun Peak Metals Corp. | Long-Term Development | Exploration |

---

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[<sup>11</sup>](#_ftnref11) Stream decreases to 45% after 3.1 million ounces of silver have been delivered to the stream

[<sup>12</sup>](#_ftnref12) 1.0% gross revenue royalty excludes first 85 Mlbs of payable copper production

[<sup>13</sup>](#_ftnref13) 2.7% NSR royalty (100% basis) until royalty payments total $22.5 million; 0.45% NSR royalty thereafter until 1.5 Moz produced

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- 52 - <br>

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Pacaska** | 0.5% NSR | Au, Cu | Peru | Copper Standard Resources Inc. | Long-Term Development | Exploration |
| **Primavera** | 1.5% NSR | Au, Cu | Nicaragua | Equinox Gold Corp. | Long-Term Development | Exploration |
| **Wiluna** | 2.0% NSR | Uranium | Australia | Toro Energy Ltd | Long-Term Development | Exploration |
| **Zuun Mod** | 1.5% NSR | Mo, Cu | Mongolia | Erdene Resource Development Corp | Long-Term Development | Exploration |

---

The business stage classifications presented by the Company in the registration statement and in the Company's financial statements differ from the classifications under Regulation S-K Subpart 1300 because the financial statements are prepared in Canada and the projects are owned and operated by non-U.S issuers which apply a different framework for categorizing mineral project stages. The project categorizations used in the registration statement disclosure (such as "cash flowing", "near term development" and "long term development") are not mineral property classifications defined under Regulation S-K Subpart 1300 and are used solely as non-technical, portfolio-level descriptors of royalty revenue status and anticipated timing of potential cash flow. Many of the Company's underlying royalty assets are classified as exploration stage under SK-1300 because they are owned and operated by non-U.S. issuers that have not published SK-1300-compliant mineral resources or reserves, which results in those properties being categorized as exploration stage for U.S. reporting purposes irrespective of their operating or development status.

**Greenstone Mine, Ontario, Canada**

One of Versamet's flagship assets is the Greenstone Gold Interest on the Greenstone Mine which is owned 100% by Equinox (the "**Greenstone Mine**" or "**Greenstone**"). The Greenstone GPA entitles Versamet to monthly deliveries of gold equal to the greater of: (a) 350 gold ounces, and (b) gold ounces equal to 1.26% of the monthly gold production from the Greenstone Mine at a purchase price per ounce of gold equal to 20% of the then prevailing market price, until a maximum of 63,000 ounces have been delivered under the agreement. The delivery obligation commenced in November 2023. The gold deliverable under the Greenstone Gold Interest may be sourced from any of Equinox's operating mines. Under the Greenstone GPA, Equinox retains the Greenstone Buydown Option that gives Equinox the option to buy-down deliveries related to up to 75% of the original delivery obligation at the then current spot gold price, subject to a minimum gold price per ounce of $2,000. See "*Material Properties*" for more information.

**Kiaka Project, Burkina Faso**

Versamet holds a NSR royalty on the Kiaka project ("**Kiaka**" or "**Kiaka Mine**"), owned by WAF (85%) and the government of Burkina Faso (15%). Under the terms of the royalty agreement, WAF pays to Versamet 2.7% of all gold produced from Kiaka (100% basis) until 2,500,000 ounces of gold have been produced and 0.45% on the next 1,500,000 ounces of gold production. See "*Material Properties*" for more information about the Kiaka Mine.

**Foreign Operations/Interests**

Versamet holds royalty interests in respect of mines and properties located outside of the jurisdiction of its incorporation, as well as outside of the United States. Foreign operations can be subject to regulation (and changes thereto) in those jurisdictions with respect to land tenure, productions, export controls, taxation, environmental legislation, land and water use, local indigenous people's interests, mine safety, and expropriation of property. Any changes in legislation or regulation are beyond Versamet's control. See "*Risk Factors - Risks Related to Mining Operations - Certain operators are subject to risks relating to foreign jurisdictions and developing economies, which could negatively impact Versamet*".

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**Principal Markets** 

Versamet is a royalty and streaming company focused on the mining industry, with a diversified portfolio of royalty, stream, and other mineral interest agreements spanning multiple jurisdictions globally. Our portfolio includes royalty and streaming interests in North America, South America, Africa, Asia and Australia, with key assets located in countries such as Canada, Mexico, Burkina Faso, Brazil, Namibia, Sweden, and others. These jurisdictions represent the principal markets in which we conduct our business activities. Our portfolio is diversified by commodity exposure, including gold, silver, copper, and other base and precious metals.

As of the date hereof, our revenue has primarily been generated from royalty and streaming interests in producing properties located in Canada, Mexico, and Peru, being Greenstone, Mercedes, and Kolpa. In addition to these current revenue streams, several other properties in our portfolio, including assets in Canada, Burkina Faso, Brazil, Namibia, and Sweden, have recently started or are nearing the cash flow stage as their operators advance development and production activities.

See "*Investment Highlights - Cash flowing, gold-copper centric portfolio with large-scale optionality*" for a more detailed breakdown of total revenues.

**Regulation** 

Operators of the mines that are subject to our royalty and streaming interests must comply with numerous environmental, mine safety, land use, waste disposal, remediation and public health laws and regulations promulgated by federal, state, provincial and local governments in the United States, Mexico, Brazil, Canada, Colombia, Burkina Faso, Sweden, Ethiopia, Cote d'Ivoire, Namibia, Nicaragua, Mongolia, and Peru where we hold royalty and streaming interests. Although we, as a royalty and streaming owner, are not responsible for ensuring compliance with these laws and regulations, failure by the operators to comply with applicable laws, regulations and permits can result in injunctive action, orders to suspend or cease operations, damages, and civil and criminal penalties on the operators, which could have a material adverse effect on our results of operations and financial condition.

**Our Strategy and Competitive Strengths** 

Versamet is engaged in the acquisition and management of royalties, streams, and similar interests in metals and mining operations globally. Since our inception in 2022, Versamet has assembled a high-quality, cash-generating portfolio anchored by assets operated by strong counterparties, with a focus on precious metals, copper, and other metals. Versamet's purpose is to provide scalable, partner-oriented capital that enables the responsible production of the metals that drive prosperity and economic growth.

Versamet's vision is to build the next premier mid-tier royalty and streaming company - technically driven, growth-focused, and built for long-term value creation. Versamet's strategy is centered on five key pillars: (i) robust access to capital across market cycles, including internally generated cash flow; (ii) disciplined focus on high-quality assets and counterparties; (iii) accretive growth through the addition of near-term cash flow; (iv) a versatile investment mandate across project stages and structures; and (v) deep sector relationships.

Versamet is purpose-built for scale, and its business model is designed to generate sustainable growth and consistent returns above the cost of capital. Versamet believes it is well-positioned to benefit from growing demand for alternative mine financing, as operators increasingly turn to royalties, streams, and similar structures for their non-dilutive nature, structural flexibility, and the strategic value-add of experienced partners like Versamet.

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**Robust access to capital:** We believe that access to capital through business and commodity cycles (including internally generated cash flow) and demonstrated ability to grow and repeatedly generate returns above the cost of capital are interrelated and are key value drivers in the royalty and streaming business model. Our strategic focus on internal free cash flow generation combined with developing and maintaining access to multiple other sources and forms of capital provides Versamet with a differentiated ability to continue to pursue accretive, countercyclical investments through the full business cycle and to grow faster than would otherwise be possible. We believe our financial flexibility is a key differentiating factor and competitive advantage for Versamet relative to other emerging royalty and streaming companies.

**Versatile investment mandate:** Versamet is versatile. We prioritize generating strong risk-adjusted returns and benefitting from the return-enhancing benefits of diversification over adherence to a strict commodity mix and/or a dogmatic approach to structuring royalty, streaming and other agreements. We take pride in our ability to be flexible, thoughtful, and creative while seeking strong risk-adjusted returns in our investments. We intend to grow our portfolio through acquisitions and are actively pursuing acquisitions of precious metals and copper assets. Outside of our core focus on precious metals and copper assets, we will selectively consider opportunities across different commodities where we see appropriate risk-adjusted returns, particularly on metals (e.g., nickel and zinc) which have large, liquid markets, robust supply/demand fundamentals, price transparency, and exposure to compelling long-term global trends. We have a preference for mining-friendly jurisdictions and contracts with full, life-of-mine coverage, but will consider acquisitions of assets globally and/or in non-traditional royalty and stream structures where we see appropriate risk-adjusted returns, where the asset and counterparty quality justifies it, and where we can maintain a balanced, well-diversified portfolio overall. Our versatile investment mandate differentiates us from the majority of other royalty and streaming companies, increases the diversification of our portfolio, and enhances our ability to create shareholder value across a wide range of macroeconomic and commodity price environments.

**Asset quality over quantity:** We put a strong focus on investment in high quality mines and projects with capable operators and credible paths to production. We seek to invest in mines or projects that we believe will be producing mines within a reasonable time frame and we balance this focus with prudent investments in earlier stage opportunities to maintain a robust exploration and development pipeline. Regardless of stage of development, we place a premium on assets with reputable and well-funded mine operators, robust technical characteristics, long mine lives, and good potential for exploration and/or throughput expansion upside. We have a fundamental belief that prioritizing quality drives superior shareholder returns. We have strong in-house financial, technical, and legal diligence practices which help to identify quality and unlock value.

**Growth at pace:** We measure our actions and our overall performance on a per share basis. We aim to protect and create shareholder value by focusing on meaningfully sized acquisitions, maintaining a lean cost structure, and limiting shareholder dilution to the greatest extent possible. We are focused on acquisitions with a target size of $50-$150 million, though we may occasionally make exceptions where we see outsized returns and/or strategic value in larger or smaller deals. We believe that we will create more shareholder value (as measured by free cash flow per Common Share and net present value per Common Share) by focusing our resources on large deals. We further believe that we will achieve our vision faster by focusing on large deals. Lastly, we believe that there is generally a positive correlation between deal size and asset/operator quality, so by focusing on large deals we are also focusing on higher quality deals which we expect will lead to superior value creation over time.

**Strong Relationships:** Versamet's rapid growth since its inception is a function of the depth and breadth of our team and our relationships. Our team is well-positioned to attract institutional investors and source accretive deals given its deep technical, financial, legal, capital markets, deal origination/execution and corporate experience. Versamet's strong and enduring relationships with key corporate shareholders including B2Gold, Equinox, Lundin, and Tether, represent a valuable and sustainable competitive advantage for Versamet. Versamet benefits from its relationship with these corporate shareholders by virtue of their deep industry experience, relationships, and technical expertise. These corporate shareholders also represent a potential source of deal flow in the future and the potential to work together on future acquisitions and accretive growth opportunities. Versamet believes that these relationships are a key competitive advantage as it relates to accessing capital, deal flow, and expertise.

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Versamet seeks to become a financial partner of choice for the mining industry through adherence to its core values:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Integrity, honesty and trust are the foundation of every relationship we build and maintain;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Flexibility and agility for our people, partners and stakeholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Respect for our people, stakeholders, community and environment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Shared success among our people, partners and capital providers.

These values are fundamental to every aspect of our business including every transaction we enter into or relationship we have. We firmly believe that adherence to these core values will lead to stronger relationships, stronger reputation, and brand value, repeat business, and sustainable growth for our stakeholders over the long run.

**Investment Highlights**

**Cash flowing, gold-copper centric portfolio with large-scale optionality**

Our current portfolio of over 25 assets is underpinned by a stable base of revenue generating assets including our Greenstone, Kiaka, Mercedes, Blackwater, Kolpa, Santa Rita, and Rosh Pinah assets, complemented by assets that are expected to contribute to our revenue stream in the near term such as our Toega asset. Our portfolio is distinguished by its cash flow generation and growth. Versamet's annual revenue for 2024 was approximately $12 million from two cash flowing assets (Greenstone and Mercedes), equivalent to production of approximately 5,100 GEOs.[<sup>14</sup>](#_ftn14) This cash flow generation provides Versamet with a differentiated ability to continue to pursue accretive investments through the full business cycle and at a much faster pace than would otherwise be possible.

Additionally, our portfolio has been designed to grow organically over time through exposure to potential mine life extensions, exploration success, new mine builds, and throughput expansions. Our portfolio is well balanced with approximately 77% of asset book value[<sup>15</sup>](#_ftn15) in our portfolio associated with mines in the cash flowing business stage. Our portfolio contains optionality via large-scale projects with several mines or projects being advanced by large-scale mining operators including Equinox, WAF, Artemis, Glencore, HudBay and SCC.

Our commodity mix is currently tilted toward precious metals and copper, as three of eight assets in the cash flowing business stage offer solely gold exposure (Greenstone, Blackwater, Kiaka), one offers solely silver exposure (Rosh Pinah), one offers mixed gold and silver exposure (Mercedes), one offers solely copper exposure (Kolpa), and one offers primarily nickel exposure with complementary exposure to copper and other metals (Santa Rita). We expect to continue to prioritize precious metals, copper, and other diversified metals as the portfolio grows. Our portfolio is also well diversified from a geographical perspective with assets in over 10 different countries on six different continents.

**Differentiated leadership team with proven track record of executing large scale acquisitions** 

Since inception in 2022, Versamet has closed over $400 million worth of large-scale acquisitions[<sup>\[16\]</sup>](#_ftn16) to grow the business. Our team possesses a unique mix of technical, operational, financial, legal, capital markets, deal origination/execution, senior leadership, governance, and risk management experience stemming from years of prior senior roles in operations, engineering, mergers & acquisitions, corporate finance, investment banking, legal, accounting, and investor relations/capital raising. Our management team and Board collectively represent a rare collection of deep executive level leadership and company building experience, including prior experience building and growing royalty and streaming companies. Several of our team members were instrumental in founding, growing and ultimately selling Maverix Metals Inc. (a precious metals-focused royalty and streaming company) to Triple Flag Precious Metals for over $700 million. We believe our experience and time spent focused on the mining industry have allowed us to cultivate strong industry relationships, a global asset knowledge base and extensive experience in structuring mining sector financing transactions. We believe the combination of these factors will provide our team with the ability to continue to originate unique investment opportunities to drive accretive portfolio growth and shareholder returns. The Versamet team already has a proven track record of large-scale, accretive acquisitions and has demonstrated an ability to source deals and grow the portfolio.

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[<sup>14</sup>](#_ftnref14) Gold Equivalent Ounces for 2024 calculated by dividing total revenue of approximately $12.0 million by the average realized gold price of $2,376 per ounce.

[<sup>15</sup>](#_ftnref15) Asset value breakdown by stage based on book value of individual assets as a percentage of total book value of assets as of September 30, 2025. See page 50 for a list of assets by stage.

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Our people are the engine of value creation for Versamet and, we believe, a differentiating competitive advantage. Our team is focused on creating value by: i) sourcing and structuring new royalty, streaming and other growth opportunities including corporate M&A opportunities through our broad network of relationships across the mining, natural resource, and finance sectors; ii) managing risk and maximizing the value of new growth opportunities including corporate M&A opportunities through technical, financial, legal, and commercial diligence, all of which is done in-house with external assistance engaged as needed; iii) building and fostering strategic partnerships which can be a source of capital, deal flow, technical expertise, or partnership on large transactions, iv) guiding the Company through the currently volatile economic environment to ensure Versamet is positioned for success and growth in a variety of economic environments, and v) unlocking value and building scale through acquisitions, supporting organic growth from our current portfolio, growing our capital markets profile, and exploring potential consolidation opportunities with the right partners.

**Differentiated stable of corporate sponsors**

Versamet has deliberately sought to create and foster strong and enduring partnerships to unlock access to capital, increase the flow of investment opportunities, and accelerate growth. We are proud of our strong relationships with several major shareholders including B2Gold, Lundin, Tether and Equinox. Through these and other future relationships and partnerships, we seek to continue to build strong partnerships and become a financial partner of choice for the mining industry through adherence to our core values of integrity, honesty and trust; flexibility and agility; respect; and shared success.

**Building a better future at the core of our business**

At Versamet, our purpose is to provide capital to responsibly produce the resources our world needs to create prosperity, drive economic growth and build a better future.

Our values are integral to the way we operate. We believe integrity, honesty and trust are the foundation of every relationship we build and maintain. We believe that providing flexibility and agility for our people, partners and stakeholders allows us to be more creative and competitive. We believe in respect for our people, stakeholders, community, and environment. We recognize that our long-term success relies upon the shared success of the mining companies with whom we have royalty, streaming or other agreements with (our "**Mining Partners**") and the communities in which our Mining Partners' projects (and our investments) are located. We consider responsible mining practices in all our investments and asset management decisions. And most importantly, we are dedicated to shared success for our people, partners, and capital providers.

Our people are the engine of value creation for Versamet and, we believe, a differentiating competitive advantage. At Versamet, we are committed to promoting health and safety, well-being, diversity and inclusion, and continuous improvement and development of our employee culture and skillset. We aim to be an equal opportunities employer, offering an attractive environment through promoting excellent learning opportunities and celebrating diversity.

Execution of our strategy in line with our purpose and values is enabled by clear, robust, and effective governance. Our Board has adopted formal Board, Chair and Chief Executive Officer mandates, a Global Code of Ethical Conduct (the "**Code**"), and various committee charters and other policies, which are described in more detail in this Registration Statement and that set out the manner in which we intend to conduct ourselves as an organization.

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Our team is strongly aligned with its shareholders through meaningful share ownership at the management level. Both management and the majority of the Board have consistently invested in previous financing rounds to ensure alignment with shareholders and equity ownership.

**Metals royalty and streaming company with high-margin cash flows**

Versamet's royalties, streams, and other interests represent a portfolio of high-margin cash flows diversified by operation, counterparty, jurisdiction, and commodity with no direct exposure to operating costs, sustaining capital expenditure, expansionary capital expenditure, or the operational risk associated with operating mines, projects, and mineral deposits. At the same time, our royalties, streams, and other interests typically maintain exposure to potential mine life extensions, exploration success, new mine builds, and throughput expansions.

Compared to exchange traded funds ("**ETF**") or exchange traded notes, commodity-based derivatives (e.g. futures, swaps), or equities of commodity-based companies, our royalty and other interests model offers a low cost and convenient method to gain commodity exposure. A royalty and streaming company also facilitates greater diversification than is typical for mining companies. Royalty and streaming companies generally hold a portfolio of assets (diversified by metal, mine, jurisdiction, and operator), whereas mining companies generally are dependent on only one or a few key mines.

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| | | | |
|:---|:---|:---|:---|
|  | **Versamet** | **Mining Companies** | **Commodities/ETFs** |
| **Commodity price exposure** | X | X | X |
| **No direct operating cost exposure** | X |  | X |
| **No direct capital cost exposure** | X |  | X |
| **No exploration expenses** | X |  | X |
| **No environmental and closure liabilities** | X |  | X |
| **No mining operations management** | X |  | X |
| **Low single operation concentration** | X |  | X |
| **Throughput expansion upside** | X | X |  |
| **Mine life extension upside** | X | X |  |
| **Exploration success upside** | X | X |  |
| **New mine build upside** | X | X |  |

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We believe the royalty and streaming model is the best way to gain exposure to metal commodities. An investment in Versamet offers the benefits of the royalty and streaming model combined with a portfolio, executive team, corporate sponsors, and growth strategy that we believe will deliver strong shareholder returns.

**C. Organizational Structure**

We have no subsidiaries.

**D. Property, Plants and Equipment**

As we are not the operator and generally not the owner of the properties underlying our royalty and streaming interests, we have limited or no access to related exploration, development or operational data or to the properties underlying our royalty and streaming interests. As such, the disclosure herein is based on information publicly disclosed by the owners and operators of such properties. Although we do not have any knowledge that such information may be inaccurate, there can be no assurance that such third-party information is complete or accurate.

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For the purposes of SK1300, we currently consider our royalty interest on the Greenstone Mine, our royalty interest on the Kiaka Mine, stream interest in Rosh Pinah Mine, stream interest in Kolpa Mine and NSR interest on the Santa Rita Mine to be our only material properties. This assessment of materiality is not the same as the materiality standards set out in NI 43-101, or those applied by the Canadian Securities Administrators. As a result, the information contained in this Registration Statement may not be directly comparable to disclosures that we make under Canadian reporting requirements, specifically as it pertains to the determination of our material properties.

As of September 30, 2025, we had capitalized mineral property interests of approximately $391 million, of which approximately $285 million (or 73%) related to the material properties for purposes of SK1300 with the remaining approximately $106 million attributable to other mineral property interests. Our determination of material mineral properties for purposes of SK1300 emphasizes expected current and near-term royalty and streaming cash flows and asset value contribution, together with qualitative considerations such as development stage, expected duration of cash flows and strategic significance, rather than historical capitalized cost alone.

SK1300 requires a registrant that has mining operations to, among other things: (i) obtain a dated and signed "technical report summary" from a qualified person with respect to each material mining property; and (ii) file such technical report summary as an exhibit to the relevant registration statement or other prescribed filing with the SEC. Because our assets are comprised of royalty and similar interests, for the purposes of this Registration Statement, we have relied on Item 1302(b)(3)(ii) of SK1300 and have not obtained or filed a technical report summary as: (i) obtaining such report would result in an unreasonable burden or expense; and (ii) we requested such technical report summary from the operators of the projects underlying our material royalty interests and were denied the request.

**Geographic Location of Interests**

The following map sets forth the geographic locations of our royalty and streaming interests as of the date hereof:

![](formdrsax002.jpg)

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**SUMMARY DISCLOSURE**

The table below classifies projects based upon the definitions set forth in SK1300, utilizing the following classifications:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Production Stage Property** - is a property with material extraction of mineral reserves disclosed pursuant to SK1300.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Development Stage Propert**y - is a property that has mineral reserves disclosed pursuant to SK1300, but no material extraction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Exploration Stage Property** - is a property that has no mineral reserves disclosed compliant with SK1300.

**Readers are advised that the SK1300 classifications used herein may not be comparable to those utilized by issuers under applicable Canadian and other international requirements or those used in our disclosures prepared under applicable Canadian securities laws or under other international jurisdictions, such as JORC.**

Many of the Company's underlying assets are classified as exploration stage under Regulation S-K Subpart 1300 because they are owned and operated by non-U.S. issuers that have not published mineral resources or reserves in accordance with SK-1300.

**Access to Information**

As a royalty and streaming company, Versamet does not operate the underlying properties in which it holds interests and does not maintain operator-level permitting, mineral tenure, or claim-by-claim compliance schedules. The Company's investment decisions and impairment assessments are based on publicly disclosed operator information, contractual reporting once a project is operating, project-level technical and economic disclosures, and other indicators of economic viability. While the Company conducts extensive technical, legal, and jurisdictional diligence at the time of acquiring significant interests, it does not independently track detailed permitting or mineral tenure compliance on an ongoing basis, as these matters are managed by the project operators.

Accordingly, Versamet does not have access to information beyond what is publicly disclosed by operators or provided to the Company for purposes of calculating royalty or stream payments. Information that is generally not available to the Company includes detailed operational data, internal technical reports and estimates, drill hole and assay databases, permitting correspondence, operator-prepared mineral resource or mineral reserve estimates prepared in accordance with Subpart 1300 of Regulation S-K, detailed cost reporting, and project-specific production forecasts.

The summary property disclosures included herein are provided in accordance with Item 1303(a)(3) of Regulation S-K, which permits a registrant holding a royalty, stream, or similar interest to omit certain information otherwise required where such information is not reasonably accessible without incurring an unreasonable burden or expense, provided the registrant identifies the omitted information and includes all information that it does possess or can reasonably obtain.

With respect to the summary table below, Versamet generally does not have access to detailed information regarding mineral tenure arrangements, acreage, or specific permitting conditions applicable to the underlying projects, as such information is maintained by the project operators. Except in limited cases where such information is publicly available or contractually provided to the Company, obtaining this information would require operator cooperation and would impose an unreasonable burden. See "Material Properties" below for additional information regarding the Greenstone Mine and the Kiaka Mine.

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Accordingly, the following table presents summary information regarding Versamet's portfolio of royalty and streaming interests that is available to the Company:

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|:---|:---|:---|:---|:---|:---|:---|
| **Project <br>Name and <br><u>Metals</u>** | **Operator and <br>Jurisdiction of<u><br>Property</u>** | <u>**Interest**</u> | **SK1300 <br>Project <br><u>Stage</u>** | **Mine Types and Mineralization<u><br>Styles</u>** | **Process Plant and <br>other available <br><u>facilities</u>** | <u>**Property Status**</u> |
| Greenstone (Au) | Equinox Gold Corp.<br>(Canada)<sup>1</sup> | 1.26% Stream | Exploration Stage | Open pit mine, mesothermal deposit, mineralization in quartz-iron carbonate veins, irregular masses of gold-bearing pyrite and arsenopyrite in iron formations, feldspar rich porphyry and thin, irregular veinlets of iron sulphide. | Dedicated gold processing plant | Operating since May 2024. Key mining and environmental permits are in force. Permit amendments may be required as mine plans and operations evolve; no specific permit expiry dates have been publicly disclosed. |
| Kiaka (Au) | West African Resources Limited<br>(Burkina Faso) | 2.7% NSR<sup>2</sup> | Exploration Stage | Open pit mine, mineralization in disseminated and vein styles. | Dedicated gold processing plant | Operating since June 2025. The primary mining license is valid until 2036, with five-year renewal options thereafter. |
| Mercedes (Au, Ag) | Bear Creek Mining Corp.<br>(Mexico) | 2.0% NSR | Exploration Stage | Underground mine, epithermal deposit, mineralization in zones of veins, stockwork and breccias. | Dedicated gold and silver processing plant | Operating since 2011. Multiple mining and operating licenses are in place, with reported expiry dates ranging from 2033 to 2052. Ongoing operations are subject to routine renewals and amendments. |
| Kolpa (Cu) | Endeavour Silver Corp.<br>(Peru)<sup>3</sup> | 95.8% Stream | Exploration Stage | Underground and open pit mine, epithermal deposit, mineralization in multiple veins comprised of pyrite, sphalerite, galena, argentiferous galena, chalcopyrite and gray coppers. | Dedicated polymetallic processing plant | Operating for over 25 years. Mining and operating permits are in force. |
| Blackwater (Au) | Artemis Gold Inc. (Canada) | 0.21% NSR<sup>4</sup> | Exploration Stage | Open pit mine, epithermal deposit, mineralization in stockwork-veined and disseminated sulphides. | Dedicated gold processing plant | Operating since January 2025. Key mining and environmental permits are in force. Permit amendments may be required as operations and mine plans are modified over time. |
| Toega (Au) | West African Resources Limited<br>(Burkina Faso)<sup>5</sup> | 2.7% NSR | Exploration Stage | Mineralization in sulphide, quartz veins, planned as an open pit mine. | Satellite deposit to Sanbrado, which has dedicated gold processing plant | Construction activities underway since early 2025, with first ore expected in Q1 2026. Mining license expiry in 2032 with 5-year renewals afterwards. |
| Rosh Pinah (Ag, Zn, Pb) | Appian Capital Advisory (Namibia) | 90%<br>Stream | Exploration Stage | Underground mine, sedimentary exhalative, volcanogenic massive sulphide deposit | Dedicated processing plant | Operating for over 55 years. Key mining licenses are in force with a reported expiry in 2035, subject to renewal. A major expansion project is underway, expected to be completed in H2 2026. |

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Project <br>Name and <br><u>Metals</u>** | **Operator and <br>Jurisdiction of<u><br>Property</u>** | <u>**Interest**</u> | **SK1300 <br>Project <br><u>Stage</u>** | **Mine Types and Mineralization<u><br>Styles</u>** | **Process Plant and <br>other available <br><u>facilities</u>** | <u>**Property Status**</u> |
| Santa Rita (Ni, Cu, Co, PGMs) | Appian (Brazil) | 2.75%<br>NSR | Exploration Stage | Open pit mine with potential UG mine life extension. Magmatic nickel sulphide deposit. | Dedicated processing plant | Operating since 2019 as an open pit mine. Existing permits support current operations. A potential transition to large-scale underground mining is under technical evaluation and would require additional permits, regulatory approvals, an investment decision and construction. |
| Vittangi (Graphite) | Talga Group Ltd. (Sweden) | 1.0% NSR | Exploration Stage | Mineralization in sub-vertical, lithologically continuous units of fine-grained graphite, planned as an open pit mine. | None, requires construction | Pre-construction stage. Major environmental and mining permits have been granted and key regulatory milestones cleared. The project is advancing engineering and offtake arrangements ahead of a final investment decision and construction. |
| Converse (Au, Ag) | Roxmore Resources Inc. (USA) | 1.0% NSR | Exploration Stage | Mineralization occurs as skarn deposits and disseminated. Planned as an open pit mine. | None, requires construction | Asset has historical technical studies that are not SK-1300 compliant. The operator is conducting confirmatory drilling and preliminary technical studies. The project requires additional exploration, permitting, technical work and an investment decision prior to construction. |
| Cuiú Cuiú (Au) | Cabral Gold Inc. (Brazil) | 1.5% NSR | Exploration Stage | Mineralization in stockwork/sheeted veinlet systems within altered shear zones. Planned as an open pi mine. | None, requires construction | Construction activities of the Heap Leach Starter Project underway since Q4 2025, with expected commercial production in Q4 2026. |
| El Pilar (Cu) | Southern Copper Corp.<br>(Mexico)<sup>6</sup> | 1.0% GRR | Development Stage | Copper oxide mineralization, proposed open pit mine. | None, requires construction | The project has been disclosed by the operator as board-approved. Construction is expected to commence in 2026, subject to final permitting, regulatory approvals and execution planning. |
| Hackett River (Zn, Ag, Cu, Pb, Au) | Glencore Canada Corp.<br>(Canada) | 2.0% NSR | Exploration Stage | Sulphide mineralization occurs in tabular semi-massive to massive lenses. Planned as an open pit mine. | None, requires construction | Exploration stage asset with historical technical studies that are not SK-1300 compliant. Project development is not currently active, and no recent exploration or permitting activities have been disclosed. Further technical work, permitting and infrastructure development would be required prior to advancement. |

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Project <br>Name and <br><u>Metals</u>** | **Operator and <br>Jurisdiction of<u><br>Property</u>** | <u>**Interest**</u> | **SK1300 <br>Project <br><u>Stage</u>** | **Mine Types and Mineralization<u><br>Styles</u>** | **Process Plant and <br>other available <br><u>facilities</u>** | <u>**Property Status**</u> |
| &nbsp;&nbsp;Mason (Cu, Au, Mo, Ag) | &nbsp;&nbsp;Hudbay Minerals Inc. <br>(USA) | &nbsp;&nbsp;0.4% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Large tonnage copper-molybdenum porphyry. Planned as an open pit mine. | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;The operator is advancing technical studies and stakeholder engagement. The project requires further technical work, environmental approvals, mining permits and an investment decision prior to construction. |
| &nbsp;&nbsp;Pilar (Au) | &nbsp;&nbsp;Pilar Gold Inc. (Brazil) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Mineralization in narrow fault and fill veins, underground mine. | &nbsp;&nbsp;Dedicated gold processing plant in care and maintenance | &nbsp;&nbsp;Placed on care and maintenance in 2024 and entered judicial recovery proceedings. Existing permits remain in place. A potential restart is contingent on financial restructuring, regulatory approvals and operational readiness, with guidance indicating a possible restart in H2 2026. |
| &nbsp;&nbsp;Prairie Creek (Zn, Pb, Ag) | &nbsp;&nbsp;NorZinc Ltd. (Canada) | &nbsp;&nbsp;1.2% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Mineralization primarily in quartz veins, along with stratabound and stockwork. Planned as an open pit mine. | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;A non-SK-1300 compliant preliminary economic study was published in 2021. Limited development updates have been disclosed since, and further technical work, permitting and infrastructure approvals would be required prior to construction. |
| &nbsp;&nbsp;Adi Dairo (Cu, Zn, Au) | &nbsp;&nbsp;Sun Peak Metals Corp.<br>(Ethiopia) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential VMS deposits | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. The project would require further exploration, technical studies and permitting prior to development. |
| &nbsp;&nbsp;Ajax (Cu, Au, Ag) | &nbsp;&nbsp;KGHM/Abacus Mining & Exploration Co (Canada) | &nbsp;&nbsp;1.5% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential copper-gold porphyry | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined on the royalty claims. |
| &nbsp;&nbsp;Bobosso (Au) | &nbsp;&nbsp;Montage Gold Corp.<br>(Cote d'Ivoire) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential orogenic gold | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. |
| &nbsp;&nbsp;Del Norte (Au, Ag) | &nbsp;&nbsp;Teuton Resources Corp.<br>(Canada) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential gold veins and gold-bearing massive sulphides | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;Active exploration has been disclosed, with further surface sampling planned in 2026. No economic mineral deposit has been defined. |
| &nbsp;&nbsp;Golden Sidewalk (Au) | &nbsp;&nbsp;Prosper Gold Corp. (Canada) | &nbsp;&nbsp;2.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential gold veins and gold-bearing massive sulphides | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. |

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- 64 - <br>

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Project <br>Name and <br><u>Metals</u>** | **Operator and <br>Jurisdiction of<u><br>Property</u>** | <u>**Interest**</u> | **SK1300 <br>Project <br><u>Stage</u>** | **Mine Types and Mineralization<u><br>Styles</u>** | **Process Plant and <br>other available <br><u>facilities</u>** | <u>**Property Status**</u> |
| &nbsp;&nbsp;Midas (Au, Ag) | &nbsp;&nbsp;Teuton Resources Corp. <br>(Canada) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential gold veins and gold-bearing massive sulphides | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. |
| &nbsp;&nbsp;Mocoa (Cu, Mo) | &nbsp;&nbsp;Libero Copper (Colombia) | &nbsp;&nbsp;2.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Large scale copper porphyry | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;Active exploration along with a non SK-1300 compliant resource update published in November 2025. The project requires additional drilling, technical studies, permitting, financing and an investment decision prior to construction. |
| &nbsp;&nbsp;Nefasit (Cu, Zn, Au) | &nbsp;&nbsp;Sun Peak Metals Corp.<br>(Ethiopia) | &nbsp;&nbsp;1.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential VMS gossans | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. |
| &nbsp;&nbsp;Pacaska (Au, Cu) | &nbsp;&nbsp;Copper Standard Resources Inc. (Peru) | &nbsp;&nbsp;0.5% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential gold-copper porphyry | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;No active exploration programs have been disclosed, and no economic mineral deposit has been defined. |
| &nbsp;&nbsp;Primavera (Au, Cu) | &nbsp;&nbsp;Equinox Gold Corp.<br>(Nicaragua) | &nbsp;&nbsp;1.5% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Gold-copper porphyry | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;Asset has a historical mineral resource that is not SK-1300 compliant. The project requires further exploration, updated technical studies, permitting and an investment decision prior to construction. |
| &nbsp;&nbsp;Wiluna (Uranium) | &nbsp;&nbsp;Toro Energy Ltd. (Australia) | &nbsp;&nbsp;2.0% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Potential uranium oxide mineralization | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;Requires further exploration drilling, technical studies, resource definition and legal clarity on uranium projects in Western Australia to continue project development. |
| &nbsp;&nbsp;Zuun Mod (Mo, Cu) | &nbsp;&nbsp;Erdene Resource Development Corp.<br>(Mongolia) | &nbsp;&nbsp;1.5% NSR | &nbsp;&nbsp;Exploration Stage | &nbsp;&nbsp;Large scale moly porphyry | &nbsp;&nbsp;None, requires construction | &nbsp;&nbsp;Project under active exploration, with a non SK-1300 compliant mineral resource update published in October 2025. The key mining license is valid until 2081. |

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Notes:

<sup>(1)</sup> Greater of (i) 1.26% of monthly production at Greenstone Mine (100%); or (ii) 350 koz Au, until 63,000 Au have been delivered; gold deliveries subject to per-ounce payments equal to 20% of the prevailing spot gold price at time of delivery.

<sup>(2)</sup> 2.7% NSR royalty (100% basis) until royalty payments total $22.5 million; 0.45% NSR royalty thereafter until 1.5 Moz produced.

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<sup>(3)</sup> Greater of (i) 95.8% of produced copper and (ii) 0.03 tonnes of copper per tonne of produced lead until 6,000 tonnes of cooper delivered; 71.85% of produced cooper until 10,500 tonnes of copper delivered; 47.9% of produced copper thereafter; copper deliveries subject to payments equal to 10% of spot price.

<sup>(4)</sup> 0.21% net smelter returns royalty applicable to approximately 35-50% of production (Versamet management estimate).

<sup>(5)</sup> 2.7% NSR royalty (100% basis) until 2.5 Moz Au produced; 0.45% NSR royalty on the next 1.5 Moz Au.

<sup>(6)</sup> 1.0% gross revenue royalty excluded first 85 Mlbs of payable copper production.

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**Title, Mineral Rights, Leases or Options and Acreage Involved**

The titles, mineral rights, leases, and options involved with our royalty and streaming interests vary depending on the country and include exploitation concessions, unpatented and patented claims, fee lands, mining leases and prospecting and mining licenses. We have an indeterminable number of acres relating to our royalty and streaming interests because our interests do not always cover 100% of each property. See " - Material Property", below, for information about the specific titles, mineral rights, leases, options and acreages involved at our material properties.

**Key Permit Conditions** 

Operators of the mines that are subject to our royalty and streaming interests must comply with environmental, mine safety, land use, waste disposal, remediation and public health laws and regulations promulgated by federal, state, provincial and local governments in the countries where we hold interests. Although we, as a royalty or streaming interest owner, are not responsible for ensuring compliance with these laws and regulations, failure by the operators to comply with applicable laws, regulations and permits can result in injunctive action, orders to suspend or cease operations, damages, and civil and criminal penalties against the operators, which could have a material adverse effect on our results of operations and financial condition.

In general, we have no decision-making authority regarding the development or operation of the mineral properties underlying our royalty and streaming interests. Operators make all development and operating decisions, including decisions about permitting, feasibility analysis, mine design and operation, processing, plant and equipment matters, and temporary or permanent suspension of operations.

**Mineral Resources and Mineral Reserves**

Certain of the owners and operators of the projects underlying our interests have prepared and disclosed mineral resources and mineral reserve estimates which have been estimated with the CIM Definition Standards and NI 43-101 and JORC. In certain cases, SK1300 allows disclosure of such mineral resources and mineral reserves only where we or the owner or operator have prepared and filed a SK1300 technical report summary with the SEC.

Section 1303(a)(3) of SK1300 provides that a registrant with a stream, royalty or other similar right may omit certain information required by the summary disclosure requirements if the registrant specifies the information to which it lacks access, explains the reason it lacks the required information and provides all required information that it does possess or which it can acquire without incurring an unreasonable burden or expense. As a result of the relief provided to royalty holders under SK1300, the disclosure contained herein does not include estimates of mineral resources or mineral reserves that have been prepared by the owners and operators of the projects underlying our interests, where such estimates are not contained in an SK1300 technical report summary.

There is only one project that has a publicly available SK1300 technical report summary, which is presented below:

SK1300 Mineral Resource and Reserve Estimate for the El Pilar project in Sonora, Mexico, owned by Southern Copper Corp.

![](formdrsax003.jpg)

- Resources disclosed in the report "El Pilar Project, S-K 1300 Technical Report Summary" dated February 28, 2022 and referenced in Southern Copper Corp's 10-K filed on March 3, 2025.

- Resources effective December 31, 2021.

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- Resources reported on a break-even profit basis and constrained within a pit shell outlined using a copper price assumption of $3.795/lb.

![](formdrsax004.jpg)

- Reserves disclosed in the report "El Pilar Project, S-K 1300 Technical Report Summary" dated February 28, 2022 and referenced in Southern Copper Corp's 10-K filed on March 3, 2025

- Reserves effective December 31, 2021

- Reserves were estimated inside an ultimate pit at a constant copper price of $3.30/lb.

**MATERIAL PROPERTIES**

The following is a description of our royalty interests on portions of the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine, which we consider to be our material properties in accordance with SK1300.

Certain information regarding the Greenstone Mine, Kiaka Mine, Rosh Pinah Mine, Kolpa Mine and Santa Rita Mine as contemplated under the SK1300 has not been included herein on the basis that it is unavailable to us in our capacity as a royalty holder on the applicable properties and that obtaining such information would result in an unreasonable burden and expense. Such excluded information includes: (a) mineral resources and mineral reserves estimates disclosed in accordance with SK1300, including material assumptions relating to modifying factors; (b) the total cost for or book value of the underlying property and its associated plant and equipment; and (c) descriptions of significant encumbrances on the property.

**GREENSTONE MINE TECHNICAL INFORMATION**

One of Versamet's flagship assets is the Greenstone Gold Interest "**Greenstone GPA**" on the Greenstone Mine which is owned 100% by Equinox (the "**Greenstone Mine**" or "**Greenstone**"). The Greenstone GPA entitles Versamet to monthly deliveries of gold equal to the greater of: (a) 350 gold ounces, and (b) gold ounces equal to 1.26% of the monthly gold production from the Greenstone Mine at a purchase price per ounce of gold equal to 20% of the then prevailing market price, until a maximum of 63,000 ounces have been delivered under the agreement. The delivery obligation commenced in November 2023. The gold deliverable under the Greenstone Gold Interest may be sourced from any of Equinox's operating mines. Under the Greenstone GPA, Equinox retains the Greenstone Buydown Option that gives Equinox the option to buy-down deliveries related to up to 75% of the original delivery obligation at the then current spot gold price, subject to a minimum gold price per ounce of $2,000. As of the end of September 30, 2025, Versamet has received 8,050 ounces, with 54,950 ounces outstanding for delivery.

**Sources of Information**

The following information is sourced from Equinox's disclosure filed under Equinox's SEDAR+ profile, including, but not limited to the 2024 Annual Information Form and the Greenstone 2024 NI 43-101 Technical Report.

Versamet does not own or operate the asset and does not have access to information outside of what is publicly disclosed by Equinox and provided to Versamet to calculate monthly gold deliveries. Some items that Versamet lacks access include daily, weekly, monthly operational data, internal reports and estimates, drill hole and assay data bases, topographic surveys, detailed cost reporting, permitting discussions, regulatory activities, production forecasts and others.

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**Location**

The Greenstone Mine is approximately 275 km northeast of Thunder Bay, Ontario, and approximately 4km south of the town of Geraldton, Ontario. Thunder Bay has a population of around 110,000 and provides support services, equipment and skilled labor for mineral exploration and the mining industry. Rail, national highway, port and international airport services are also available in Thunder Bay, with the national highway and rail passing near the Greenstone Mine. Geraldton has a population of approximately 1,900 and provides support services such as food and lodging. The approximate coordinates of the geographic centre of the Greenstone Mine's deposit areas are 49°40'47"N and 86°56'32"W (UTM Zone 16N coordinates: 504175.9E and 5503024N; NAD 83).

![](formdrsax005.jpg)

**Property Description**

The Greenstone property (the "**Greenstone Property**") is located in Ontario's Thunder Bay Mining Division. The Greenstone Mine, formerly known as the Hardrock project, includes three blocks of claims known as the Hardrock, Brookbank and Viper areas, which are spread over a distance of more than 100 km and are in close proximity to the Trans-Canada Highway between the towns of Beardmore and Longlac, Ontario. The Hardrock claim group includes the Hardrock, Key Lake and Kailey Deposits. The Brookbank claim group hosts the Brookbank, Cherbourg and Foxear targets. The Greenstone Mine is in the southeast portion of the Hardrock claim group.

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The Greenstone Mine consists of a contiguous block of cell claims, patented claims, mining leases and licences of occupation, covering 39,072.1 ha, of which 15,862.7 ha relates to Greenstone Mine claims. All claims, leases and licences of occupation are beneficially held by Greenstone Gold Mines GP Inc. ("**GGM**"), subject to terms under several agreements. A leasehold patent of mining rights, surface rights, or both mining rights and surface rights, is a conveyance or grant of possession of land for a set length of time, and usually subject to rent payments. The Greenstone Mine is accessible year-round via paved roads from Geraldton or Highway 11.

**Royalties and Streams**

The following royalties are in effect on some of the properties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Essar Steel Algoma Inc. (2% NSR royalty);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Griffin Mining Limited (1% NSR);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franco-Nevada (3% NSR);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franco-Nevada (3% NSR) / Essar Steel Algoma Inc. (5% Net Profit Interest);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Placer Dome Inc. (2.25% NSR / Key Lake Exploration 2% NSR);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Unique Broadband Systems (3% NSR); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Argonaut Gold Inc. (3% NSR).

In October 2018, a mining lease was granted over CLM 535, which covers the southern part of the Greenstone Mine area. The lease, LEA-109765, is subject to renewal in 2039. In December 2016, GGM acquired the surface rights for the patented claims in Errington and Ashmore townships - TB 10604 to TB 10608, TB 11879, TB 11885, TB 11886, and TB 11888.

On May 13, 2024, Equinox announced that Equinox had completed its acquisition of the remaining 40% of GGM from certain funds managed by Orion Mine Finance LP, giving Equinox 100% ownership of GGM and the Greenstone Mine (the "**Greenstone Acquisition**").

As part of the Greenstone Acquisition, Equinox assumed obligations under a stream agreement with Nomad Royalty Company Ltd., dated October 28, 2021, as amended ("**Stream Agreement"**). Under the Stream Agreement, Equinox is required to deliver an amount of refined gold equal to 2.375% of the gold produced from Greenstone, until Equinox has delivered a cumulative total of 120,333 ounces, and 1.583% of the gold production from Greenstone thereafter. In exchange for the gold deliveries, Equinox will receive consideration equal to 20% of the spot gold price at the time of delivery.

**History and Exploration**

There are several past producing gold mines on the Greenstone Property, including the Hardrock, MacLeod-Cockshutt, Mosher (all later combined as the consolidated Mosher), Little Long Lac, Bankfield, Jellicoe and Magnet mines which operated between 1934 to 1970.

In 2007, Premier Gold Mines Limited ("**Premier**") began assembling the current property. The results of 1,629 drill holes were included in the 2016 feasibility study. A detailed chronological summary of the historical post-production work carried out on these mines since Premier's acquisition is provided in Table 1.

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***Table 1: Summary of Post-Production Exploration Activity since Acquisition by Premier***

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| | | | |
|:---|:---|:---|:---|
| <u>**Year**</u> | <u>**Company**</u> | <u>**Activity**</u> | <u>**Comments<sup>(1)</sup>**</u> |
| 2009 | Premier Gold Mines Limited | Diamond drilling (346 DDH = 91,802 m); overburden stripping with power washing, mapping and sampling | Diamond drilling program focused on the North Iron Formation area, Porphyry Hill area and East Pit Area; two areas were stripped (GP Zone and TAZ Zone) |
| 2010 | Premier Gold Mines Limited | Diamond drilling (279 DDH = 114,611 m); overburden stripping with power washing, mapping, and sampling; regional prospecting program | Three areas were stripped (East MacLeod, Headframe, and Portal Zones); diamond drilling focused on the same area as in 2009; main zones drilled were North, F, SP, NN, and K Discovery of the F2 and Z zones; new MRE and a supporting NI 43-101 technical report |
| 2011 | Premier Gold Mines Limited | Diamond drilling (204 DDH = 107,413 m) | Diamond drilling program resulting in the expansion of the SP, F, P and K zones; discovery of the Tenacity South Zone; updated MRE and a supporting NI 43-101 technical report |
| 2012 | Premier Gold Mines Limited | Diamond drilling (125 DDH = 68,549 m) | Diamond drilling program focused on the Fortune, HGN and P Zones; updated MRE and supporting NI 43-101 technical report |
| 2012/13 | Premier Gold Mines Limited | Diamond drilling (153 DDH = 72,776.4 m) (from Oct. 31, 2012 to Aug. 9, 2013) (144 DDH = 66,606.7 m) (from Aug. 10, 2013, to Dec. 31, 2013) | Updated MRE and supporting NI 43-101 technical report |
| 2014 | Premier Gold Mines Limited | Preliminary economic assessment | Using the consistent gold price of $1,250/oz and an exchange rate of CAD/USD 1.00:0.95, the Hardrock project generates an NPV of C$518.70 million (discounted at 5%) and an IRR of 23.02% before taxes; and C$358.97 million (discounted at 5%) and an IRR of 19.02% after taxes. |
| 2014 | Premier Gold Mines Limited | 38 DDH = 12,653,6 m) (from Jan. 01, 2014 to May 26, 2014) | Updated MRE and supporting NI 43-101 Technical Report |
| 2015 | Premier Gold Mines Limited | New NI 43-101 technical report | Formation of a 50/50 Partnership |
| 2016 | Premier Gold Mines Limited | Updated MRE and supporting NI 43-101 technical report | Feasibility Study |
| 2018 | Premier Gold Mines Limited | Updated MRE (not published) | RC Drilling 405 holes = 19,995 m, blasthole drilling 62 holes = 535 m |
| 2019 | Premier Gold Mines Limited | Resource update and project design work | Drilling 76 RC holes = 5,946 m, 54 DDH = 12,108 m |
| 2022 | Greenstone Gold Mines GP Inc. | RCGC Drilling 67 holes = 4,189 m, 56 DDH = 15,421 m | Internal Resource update (not published) |
| 2023 | Greenstone Gold Mines GP Inc. | As and S reviewed and creation of updated block models for these 2 attributes | Internal Block Models Updates (not published) |
| &nbsp;&nbsp;Sep 2022 to Jun 2024 | Greenstone Gold Mines GP Inc. | RCGC: drilling 496 holes = 28,002 m | Data not used for the 2024 Mineral Resource update. |
| &nbsp;&nbsp;2024 | Greenstone Gold Mines GP Inc. | Update gold prices, optimisation parameters and resource shells | Updated MRE and NI 43-101 Technical Report |

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- 71 - <br>

<sup>(1)</sup> Unless specifically indicated as reported in a NI 43-101 technical report, all "resources" listed in the table are historical in nature and should not be relied upon. It is unlikely they conform to current SK1300, NI 43-101 criteria or to CIM Definition Standards for Mineral Resources and Mineral Reserves dated May 19, 2014 (the "**CIM Definitions**"), and they have not been verified to determine their relevance or reliability. They are included in this section for illustrative purposes only and should not be disclosed out of context.

**Geological Setting, Mineralization and Deposit Types**

**Geology**

The Greenstone Mine lies within the granite-greenstone Wabigoon Subprovince of the Archean Superior Craton in eastern Canada. The Wabigoon Subprovince, averaging 100 km wide, is exposed for some 900 km eastward from Manitoba and Minnesota, beneath the Mesoproterozoic cover of the Nipigon Embayment, to the Phanerozoic cover of the James Bay Lowlands. The Wabigoon Subprovince can be subdivided into western greenstone-rich domains in the Lake of the Woods-Savant Lake and Rainy Lake Areas, a central dominantly plutonic domain, and an eastern greenstone-rich domain in the Beardmore-Geraldton Area.

The Hardrock property is located within the Beardmore-Geraldton Greenstone Belt that contains several narrow, east-west striking sequences of volcanic and sedimentary rocks of Archean age. The southern edges of these sequences are spatially related to the through-going, major structural discontinuities thought to be thrust faults that have imbricated the sedimentary sequences. In the Geraldton area, most of the gold mines and a number of gold showings occur within or proximal to the Bankfield-Tombill Deformation Zone (also known as the Barton Bay Deformation Zone), a zone of folding and shearing up to 1 km wide. The southern limit of the Bankfield-Tombill Deformation Zone is marked by the Bankfield-Tombill Fault, a zone of intense shearing up to 12 m wide.

In the immediate Geraldton area, the dominant rock types are clastic sediments (greywacke and arenite), oxide BIF and minor mafic metavolcanics. There are a number of younger intrusives, including an albite-rich porphyry unit that is spatially associated with much of the gold mineralization on the Hardrock, MacLeod-Cockshutt and Mosher mines. Significant gold mineralization is also often spatially associated with BIF. In the case of the Little Long Lac mine, gold mineralization is primarily hosted by an arkosic unit.

Gold mineralization occurs in a variety of host rocks and the style of mineralization is partly a function of the host rock. While the location and overall orientation of the orebodies appear to have been largely structurally controlled, the deformation of the orebodies has not been as intense as that of the host rocks. Nevertheless, there are areas where local folding and boudinage of mineralized veins is apparent. Additionally, there are strong secondary controls that influence the extent and intensity of gold mineralization, such as the competency contrast between host rocks (e.g., the Hardrock Porphyry and its contacts with either wacke or BIF) and the chemical character of the host rocks (e.g., oxide facies BIF being replaced by sulphides).

Intrusive rocks include the Hardrock Porphyry, diorite, gabbro, and diabase dykes. It is of interest that the Hardrock Porphyry seems to be sill-like in nature, even though it is tightly folded and the contacts between it and the sedimentary units are often highly deformed. The general scale and folding pattern of the porphyry very closely match the geometry of the conglomerate unit that occurs in the vicinity of the Hardrock and MacLeod-Cockshutt Mines.

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**Mineralization**

Most mineralized occurrences in the Hardrock deposit area lie in a zone of deformation to the immediate north of, and genetically linked to, the Tombill-Bankfield Deformation Zone. This zone of deformation varies from 600 m to 100 m in total width, while the crush zone of the Tombill-Bankfield Fault proper ranges from metres to hundreds of metres in width. Gold mineralization is associated with D3 brittle shear zones and folds overprinting regional F2 folds. The plunge of the mineralized zones is parallel to F3 fold axes and to the intersection of D3 shear zones with F2 and F3 folds. On a sub province scale, regional folds cut by D3 dextral shear zones are promising targets for discovering the next generation of large gold deposits.

The interpretation of the mineralized zones by GMS is based on a litho-structural model developed by InnovExplo, but greatly simplifies the domains. As compared to the 2016 feasibility block model, some wide domains that encompassed significant amounts of internal dilution have been re- interpreted, such that higher-grade portions have been made more distinct. In the updated model, lithological domains and mineralized zones are located inside three areas.

The North Domain consists of a refolded (F3 overprinting F2) sequence of BIF and greywacke, with minor porphyry and gabbros. A Central Domain consisting mainly of an undifferentiated greywacke sequence and a mineralized portion of this greywacke, defined as the Mineralized Central Wacke, which are both likely sheared and folded. Three mineralized zones have been defined within the Central Domain to constrain zones of higher-grade gold mineralization inside the Mineralized Central Wacke. A South Domain is characterized by a tightly folded (F2) stratigraphic sequence. Five mineralized zones have been defined within the South Domain, in which gold mineralization appears primarily associated with the "main" anticline (Hardrock Anticline) and preferentially within both BIFs.

Zones which are categorized as quartz-carbonate stringer mineralization include F Zone, F2 Zone, A Zone, SP Zone, Central Zone and Tenacity Zone. Mineralization within these zones generally consists of a series of narrow, tightly asymmetrically folded gold-bearing quartz-carbonate stringers, which are usually attenuated, transposed and dislocated in hook-like segments. The stringers are accompanied by a gold-bearing quartz-sericite-pyrite (±arsenopyrite) alteration halo about the stringers. It is the accumulation of a number of stringers and associated alteration halos that constitutes the zones. Individual stringers and their associated alteration haloes within the mineralized zones are often high-grade with minute flecks and clusters of visible gold. Assay results of up to, and often greater than, 30 g/t Au are attainable from some stringers. Overall, zones having average grades of 4 g/t Au as individual stringers are too narrow and discontinuous to consider mining as separate higher-grade zones.

Zones that are categorized as sulphide replacement mineralization include the North 1, North 2 and North 3 zones, and the SP Zone. The nature of the mineralization within these zones is best understood from the historical work completed on the North 1 Zone. Mineralization within these zones occurs as variable pyrite, arsenopyrite and pyrrhotite replacement of iron oxide at the margins of quartz veins, within the hinge zones of folded BIFs. The auriferous sulphide replacement appears to have migrated outwards along the iron oxide bands from gold-bearing quartz-carbonate stringers occupying brittle axial planar tension fractures. This replacement mineralization yields grades of 7 g/t Au or greater.

**Deposit Types**

The gold ore bodies at the Greenstone Mine are one of the type examples for BIF-hosted gold deposits. The Greenstone Mine recognizes and presents the following subtypes: non-stratiform deposits and Greenstone-hosted quartz-carbonate vein deposits.

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**Drilling**

**Over 2,778 drill holes of various core sizes have been drilled since 1987, with 2,516 holes existing in the drill hole data base, with a total length of 770,893m and 492,110 assays.**

**Sampling, Analysis and Data Verification**

**Laboratories**

The Geraldton facility belonging to Activation Laboratories Ltd ("**Actlabs Geraldton**") was used for the entire drilling and channelling programs. Actlabs Geraldton has received ISO 9001:2008 certification through Kiwa International Cert GmbH. Actlabs Geraldton was an independent commercial laboratory. GGM purchased the Geraldton facility from Actlabs Geraldton in March 2024 and has been operating it since.

All re-assaying of batches (pulps) was undertaken at Australian Laboratory Services ("**ALS**") - Chemex in Thunder Bay. ALS-Chemex laboratory is part of the ALS Global Group and has ISO 9001 certification and ISO/IEC 17025 accreditation through the Standards Council of Canada. ALS-Chemex is an independent commercial laboratory.

**Quality Control Sample Preparation by GGM**

All QA/QC samples are prepared and bagged in advance by GGM personnel. The GGM employee in the core-cutting facilities places one half of the ticket into a bag with the sample and staples the other half to the box. One half of each QC sample ticket is placed in the appropriate type of control sample bag, which was prepared beforehand. A list of QC samples and their numbers/locations is posted on the wall in the core logging facility (core shack) and regularly updated by GGM personnel. Five to seven samples are placed in a rice bag and the contents identified on the outside of the bag. Each bag and its contents are recorded on a notepad and placed in a plastic holder once complete. These slips are picked up each morning by a GGM employee and recorded in an Excel spreadsheet. Once the batches are complete, GGM personnel deliver the bags to Actlabs Geraldton; no third party is involved in transportation.

Samples selected for analysis are sent in batches of 34. Each purchase order covers one batch of 34 samples, consisting of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 30 regular samples

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 1 field duplicate sample

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 1 field blank

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 1 CRM with a low gold value

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 1 CRM with a high gold value

As a QC check, Actlabs Geraldton adds a 35th sample to every field batch received - a coarse duplicate of the last regular sample (i.e. the 30th sample), constituting a second pulp prepared from the reject. The quality of the reject is monitored to ensure that proper preparation procedures are used during crushing. For the fusion process, Actlabs Geraldton adds seven more QC samples (two analytical blanks, two CRMs and three pulp duplicates), bringing the fusible batch to 42. The pulp duplicates are necessary to ensure that proper preparation procedures are used during pulverization.

At Actlabs Geraldton, the maximum furnace charge of 42 samples ensures that GGM samples are not mixed with others.

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**Data Verification**

A new drilling database export was supplied to GMS on March 23, 2022. The previous database used by GMS was a patchwork of the original 2016 drilling database along with two subsequent drilling campaigns (separated into RC and DDH databases) which became cumbersome and difficult to work with. QC results were reviewed pertaining to the winter 2021-2022 drilling campaign with GGM geologists on site; no material issues were found. Any QC failures resulted in the reanalysis of the batch according to the GGM internal QC protocols.

**Mineral Processing and Metallurgical Testing**

The process design criteria have been established based on test work results, GGM and vendor recommendations or requirements and industry practices.

Between 2011 and 2013, mineralogy, grindability, and gold recovery test work was performed by SGS Lakefield Research Limited ("**SGS Lakefield*****"***) and McClelland Laboratories Inc. ("**McClelland***"*). The SGS Lakefield test work showed that the ore is composed mainly of quartz and plagioclase with minor amounts of pyrite and arsenopyrite; gold occurs mainly as native gold; the ore is in the category of medium hardness to moderately hard; a portion of the gold can be recovered by gravity concentration; and gold can be recovered to a bulk flotation concentrate. The subsequent McClelland test work showed that gold recovery increased with finer grind size and was unaffected by cyanide concentration.

During the March 2014 preliminary economic assessment and 2016 feasibility study, additional test work was carried out by SGS Lakefield, JKTech Pty Ltd. and FLSmidth. Primarily, HPGR tests confirmed the ore amenability for high-pressure grinding, and facilitated equipment selection and operating cost estimation. Grindability, head grade determination, mineralogy, magnetic separation, gravity recovery, flotation, cyanidation, cyanide destruction, solid-liquid separation, and other tests were completed. Additional thickening and rheology test work was carried out to determine the sizing and operating parameters of a pre-leach thickener.

The HPGR testing program included laboratory-scale tests to determine the amenability of the ore to HPGR milling and yield preliminary sizing data; abrasion tests to predict the service life of the rolls; and a large-scale pilot-plant test to size the equipment. Bond grindability testing was performed to evaluate the Ball Work Index reduction of the HPGR product compared to the feed. A detailed comminution trade off study recommended two-stage crushing followed by HPGR and ball milling over crushing followed by semi-autogenous milling and ball milling, to reduce throughput risk and increase energy efficiency.

In the detailed engineering phase, additional leach test work was carried out on near-surface samples from the 2018 drilling campaign to characterize gold recovery, oxygen consumption, solid-liquid separation, and rheology.

A multivariate linear regression analysis was used to estimate gold recovery based on ore grade and mineralogical composition. The results of the cyanidation tests conducted on composites were used as the basis for the analysis. The residual gold grade from the cyanidation test work was found to be highly correlated to the gold, arsenic, and sulphur head sample grades, and somewhat less on grind size. The gold recovery process consists of a crushing circuit (gyratory and cone), a grinding circuit (HPGR and ball mill), pre-leach thickening and cyanide leaching, a CIP circuit, carbon elution and regeneration, electrowinning and gold refining, cyanide destruction and tailings disposal. The plant is designed to operate at a throughput of 27,000 t/d. The process operation schedule is 24 hours per day, 365 days per year, with an overall availability of 92%.

**Mineral Resource and Mineral Reserve Estimates**

**Mineral Resource Estimates**

Mineral Resources have been prepared under NI 43-101 reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral resources is omitted as per Section 1304(a)(2) of SK1300.

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**Mineral Reserve Estimate**

Mineral Reserves have been prepared under NI 43-101 reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral reserves is omitted as per Section 1304(a)(2) of SK1300.

**Mining Operations**

Mining is being carried out using conventional open pit techniques with 10 m benches. An Owner-mined operation is in place, with hydraulic shovels and mining trucks, including outsourcing of certain support activities such as explosives manufacturing and blasting.

Production drilling of the 10 m benches is performed by blasthole drill rigs with both rotary and down-the-hole drilling capability. Blastholes are loaded with bulk emulsion. The majority of the loading in the pit is carried out by two 29 m3 hydraulic face shovels, one 15m<sup>3</sup> hydraulic excavator, and one 30 m<sup>3</sup> front-end wheel loader. Haulage is performed with a combination of 224-tonne (Caterpillar 793-08) and 216-tonne (Caterpillar 793F) mine haul trucks. The presence of historical underground stopes was considered when designing the pit, mainly for the voids in the F Zone. Most of the other underground openings are backfilled with sand fill or rock fill.

Mining of the Hardrock pit will occur in five main phases. Waste rock will be disposed of in four distinct waste dumps with three located around the pit and one further to the south. The open pit generates 788.6 Mt of overburden and waste rock (inclusive of historical tailings and underground backfill) over the LOM for an average LOM strip ratio of 5.5:1.

The LOM plan provides 15 years of mine production (from the third quarter of 2024 to the second quarter of 2039). Annual mine material movement peaks at 72 Mt in 2025 and is maintained for 10 years until 2034. Material movement gradually declines from 2035 until the end of the mine life in 2039. The maximum processing plant production targets 27,000 t/d (9.86 Mt/a), which is achieved in 2025 and is sustained until 2038.

**Processing and Recovery Operations**

The plant is expected to ramp up to the nameplate capacity of 27,000 t/d. The grinding circuit includes an HPGR, two identical ball mills and two identical gravity concentrators. The mill operation schedule is 24 h/d, 365 d/a with an overall availability of 92%. Crushing plant and processing plant equipment design factors allow for a margin of error in the sizing of the equipment. The key general process design criteria are presented in Table 4.

***Table 4: Key General Process Design Criteria***

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| | | |
|:---|:---|:---|
| **Parameter** | **Units** | **Value** |
| Throughput - Design | t/a | 9855000 |
| Throughput - Design | t/d | 27000 |
| Throughput - Design | t/h | 1223 |
| Design Grind Size (P80) | µm | 90 |
| Crusher Utilization | % | 67 |
| Process Plant Availability | % | 92 |
| Operating Time | d/a | 365 |
| Operating Time - Concentrator | h/d | 24 |
| Au Feed Grade - Average | g/t | 1.34 |
| Au Feed Grade - Design | g/t | 2.10 |
| Ore Moisture | % | 3.0 |
| Ore Specific Gravity |  | 2.81 |
| Gold Recovery | % | 91.0 |
| Elution Vessel Capacity | t | 10 |
| Crushing Plant Equipment Design Factor | % | 20 |
| Process Plant Equipment Design Factor | % | 10 |

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The gold recovery process for the Greenstone Mine consists of a crushing circuit (primary gyratory and secondary cone); an HPGR and ball mill grinding circuit with gravity recovery; pre-leach thickening; cyanide leaching, CIP adsorption; elution and regeneration; electrowinning and refining; cyanide destruction; and tailings deposition.

The service areas include reagent preparation, compressed air, oxygen plant and sulphur dioxide storage and distribution. The water management system covers all the fresh, reclaim, process, potable, fire and gland-water storage and pumping. An on-site sewage treatment plant processes domestic wastewater, discharging to the environment. Tailings reclaim and collected contact water will be used for process water, with excess contact water treated and discharged to the environment.

**Infrastructure, Permitting and Compliance Activities**

**Infrastructure**

**General**

The Greenstone Mine is within a district that is host to numerous mines and processing facilities and has access to good transportation and regional mining-related infrastructure. The Greenstone Mine is near the Trans-Canada Highway 11, TransCanada PipeLines Limited Canadian Mainline ("**TCPL Mainline**") natural gas pipeline, a Hydro One electrical substation, and the town of Geraldton hosts a municipal airport, which has a 1,500 m runway capable of accommodating small charter aircraft. Geraldton has its own potable water treatment system and water distribution network.

The general infrastructure to support mining and processing activities includes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Site access and haul roads

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Workshop and maintenance facility

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Warehousing for spare parts and reagents

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Administration building, including a dry facility, gatehouse and parking area

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Explosive reagent storage

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Fuel storage and distribution

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Recycling and sorting facility

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Potable water and sewage systems

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Fire water systems

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Site security and fencing.

A length of Trans-Canada Highway 11, a Hydro One 115 kV station, and a Ministry of Transportation Ontario patrol station were relocated to allow development of the Mine. Existing infrastructure within the footprint of the property limits that will need to be relocated in the future includes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Ontario Provincial Police Station

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Historical MacLeod and Hardrock tailings (portions covering the open pit mine).

The existing Hydro One grid is insufficient for powering the processing facilities and associated infrastructure. A 65 MW natural gas-fired power plant was constructed, with a designed capacity of 46.5 MW, which includes a pipeline originating from the existing TCPL Mainline pipeline directly to the site power plant.

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**Water Management**

Two types of effluents will be generated during Greenstone Mine activities: mine effluent and sanitary effluent. The water quality standards applicable to mine effluent are defined in the applicable ECA and MDMER Effluent Criteria. The ECAs identify discharge locations and quality criteria for both mine and sanitary effluents discharging to the Southwest Arm of Kenogamisis Lake which are protective of the receiving environment. The effluent criteria meet and exceed MDMER criteria at the end of the pipe and the Provincial Water Quality Objectives for parameters are met within a small mixing zone in the receiving waterbody.

Collected mine water, surface runoff water and underground workings water will be directed through various runoff and seepage collection ponds to the centralized mine water Collection Pond M1, which is designed to provide buffer flows for mill make-up water, with excess water sent to the effluent water treatment plant for treatment prior to discharge to the Southwest Arm of Kenogamisis Lake. A seepage collection system was installed to manage seepage from the historical Macleod tailings. Surface water runoff from the exterior of the tailings management facility (the "**TMF**") dams and any seepage through the dams or foundations is collected in a series of ponds and pumped back into the TMF reservoir for reuse in processing.

**Tailings Management Facility**

The TMF is a series of constructed dams with a final maximum height of 35 m and crest length of approximately 7,400 m. The TMF is currently designed to receive approximately 145 million tonnes (Mt) of mill and historical tailings at an average dry density of 1.34 t/m<sup>3</sup>. A cyanide destruction system is used to process all tailings water before it is sent to the TMF. An allowance has been made within the TMF to store the historical tailings and contaminated soils being relocated from the open pit area.

The TMF dams are and will continue to be constructed primarily using waste rock from mining operations. The dams will be constructed in stages and in the downstream direction. Construction of the TMF starter dams was completed in 2023. The first (Stage 1) dam raise will be completed in 2024 to a crest elevation of 344 m, and the planned ultimate crest elevation will be 365 m.

Tailings geochemistry indicates that less than 10% of the ore is considered potentially acid generating. This amount will be reduced through oxidization during ore processing, thereby reducing the overall acid rock drainage potential for the tailings.

Tailings are deposited in the TMF from the dam crests as a conventional slurry to produce a wide exposed beach. This beach will displace the tailings pond away from the dams towards natural ground along the western edge of the facility to enhance long-term dam stability. A barge-mounted pump system, located near the north side of the TMF, reclaims water from the TMF pond and pumps it back to the processing plant.

Closure of the TMF involves lowering of the spillway and vegetating the exposed tailings beaches. Runoff from the pond, when deemed suitable for discharge to the environment, will be directed through the spillway.

**Permitting and Compliance**

Environmental baseline studies were conducted for the Greenstone Mine between 2013 and 2021 and were used to identify environmental constraints during the development of layouts and designs for the Greenstone Mine. This environmental baseline was the basis for determining incremental changes and predicting environmental effects associated with the Mine.

A final EIS/EA was completed and a Notice of Approval was issued by the provincial regulatory agency and a Decision Statement was issued by the federal regulatory agency. GGM submitted a Closure Plan and Financial Assurance to the Ministry of Mines, which received approval on March 30, 2021. Since approval of the initial closure plan, GGM has filed two amendments, one in December 2023 and another in August 2024 to account for detailed design and to address measures implemented to mitigate erosion of the Goldfield Creek diversion channel. Some of the permits do not have specific expiry dates and must be complied with and updated/amended as the project changes, rather than renewed on a set schedule.

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The results of the final EIS/EA, including implementing the identified mitigation measures, supports the conclusion that the Greenstone Mine will not cause significant adverse environmental effects. Since completing the final EIS/EA, GGM has completed slight modifications of Greenstone Mine components, which form the basis for the final mine plan used for the Greenstone Technical Report. Active consultation with stakeholders (community members, agencies and interested parties) and Indigenous communities has been undertaken throughout Greenstone Mine planning, permitting, and detailed engineering and will continue through operation and closure of the Greenstone Mine.

GGM has established Long Term Relationship Agreements with five local Indigenous communities. The agreements establish increased clarity regarding GGM's ability to develop the Greenstone Mine and the Indigenous communities' opportunity to benefit from future mining opportunities in the region, including the potential to extend the life of the Greenstone Mine.

The GGM Indigenous Relations team meets regularly with local Indigenous communities discussing employment, training, and procurement opportunities through the Implementation Committee ("**IC**"). The IC comprises members of each of the partnering communities and provides an ongoing forum for communication and co-operative measures for supporting Indigenous participation levels in the Mine. This provides an avenue for community members to voice concerns or questions they may have and to receive feedback from GGM.

The Environmental Sub-Committee ("**EAS**") reports to the IC and provides a forum for timely review and consultation and comment on Project Approvals and Environmental Mitigation & Monitoring Plans. The EAS considers and recommends appropriate testing, studies, or programs. Five Environmental Technicians from Aroland First Nation, Animbiigoo Zaagi'igan Anishinaabek, Ginoogaming First Nation, Long Lake #58 First Nation, and Métis Nation of Ontario actively participate in the daily operation of the GGM Environmental Department.

**Exploration, Development, and Production**

**Exploration**

GGM did not undertake any significant exploration work in 2024 and there are no plans to undertake any exploration work in 2025.

**Development** 

In October 2021, Equinox announced groundbreaking for full-scale construction of Greenstone with a construction budget of $1.255 million (100% basis) (at a rate of USD:CAD 1.25). Construction was funded on a pro rata basis with Equinox funding 60% and Orion Resource Partners funding 40%.

At December 31, 2023, $1.210 million (99%) of the $1.225 million construction budget had been spent (100% basis). Construction of the process plant was effectively complete and initial commissioning had commenced. All other site facilities, including the TMF, had been completed and handed over to the operations team by year end.

Commissioning activities continued during the second quarter of 2024. Ore was introduced into the system on April 6, 2024 and first gold pour was achieved on May 22, 2024. Process plant facilities were turned over to the operations team and the construction team demobilization activities were substantially complete by June 30, 2024, with commercial production announced on November 6, 2024.

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**Production**

For its first partial year of production, Greenstone produced a total of 111,717 ounces of gold during 2024 at cash costs of $970 per ounce and AISC of $1,025 per ounce.

On January 14, 2026, Equinox Gold announced fourth quarter production at Greenstone of 72,091 ounces of gold. Combining with prior quarterly disclosed results brings the total 2025 Greenstone production to 223,843 ounces of gold.

**KIAKA MINE TECHNICAL INFORMATION**

Versamet's second flagship asset is the Kiaka royalty. Under the terms of the royalty agreement, WAF pays to Versamet 2.7% of all gold produced from Kiaka (100% basis) until 2,500,000 ounces of gold have been produced and 0.45% on the next 1,500,000 ounces of gold production. The first royalty payment due to Versamet is expected after the third quarter of 2025.

Kiaka is a newly built, operating gold mine that achieved first gold on June 26, 2025 and is in the process of ramping up. It is expected to operate for 20 years producing 234,000 ounces of gold annually.

**Sources of Information**

The following information is sourced from WAF's ASX disclosure, including recent company news releases and the 2024 Kiaka FS Update.

Versamet does not own or operate the operation and has no access to information outside of what is publicly disclosed by WAF. Some items that Versamet lacks access include daily, weekly, monthly operational data, internal reports and estimates, drill hole and assay data bases, topographic surveys, detailed cost reporting, permitting discussions, regulatory activities, production forecasts and others.

**Property Description, Location and Access**

Kiaka is located approximately 140 km southeast of Ouagadougou, the capital of Burkina Faso and is easily accessed via established roads. The project is located within a mining permit covering an area of 54 km<sup>2</sup>, which was granted in 2016 and valid for a period of 20 years with consecutive renewable periods of 5 years.

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![](formdrsax006.jpg)

**History**

The Kiaka deposit was discovered by Randgold in the early 2000s. In 2009 Volta Resources acquired Kiaka from Randgold and continued to drill and develop the project, publishing various MREs and technical studies. In 2013 B2Gold acquired Volta Resources and continued developing the project, conducting additional drilling, technical studies and permitting. In late 2021, WAF acquired the project. Early construction work commenced in late 2022 and the first gold was poured on June 26, 2025, following the completion of construction.

**Geological Setting, Mineralization and Deposit Types**

**Geology**

The project is located at the intersection of the Tenkodogo belt and the Markoye Fault Zone within Lower Proterozoic rocks of the Birimian Orogeny. Amphibole-rich mafic volcanic rocks are predominant in the lower (southern) portion of the deposit area, overlain by a sequence of clastic sediments. Several quartz-feldspar porphyritic sills intrude through the sequence at the northern end, the most significant of which is 90 m thick, interpreted to be an important rheological barrier to gold mineralisation. At least two generations of post-mineralisation mafic intrusions occur: steeply dipping, medium to coarse grained diorite dykes up to 80 m wide, and fine-grained dolerite dykes 2-3 m wide, with well defined, sharp contacts. Structural patterns are the product of protracted northwest-southeast directed shortening, producing a major F2 antiform several hundred meters wide, that is thought to be a primary control on localisation of gold mineralisation, evidenced by steep north-easterly plunging mineralisation zones. The deposit is covered by up to 20m of saprolite, with the majority of the gold mineralization occurring in fresh rock.

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**Mineralization**

Gold mineralization at Kiaka occurs within a sub-vertical to steeply southwest dipping shear zone, comprising an anastomosing network of brittle-ductile shears, localized along the axial surface of the Kiaka antiform. Gold mineralization ranges from 100 meters to over 400 meters in width over a known strike length of 2.3 km.

Gold mineralization exhibits both disseminated and vein-related characteristics and is associated with fine grained, disseminated pyrrhotite, lesser pyrite and trace chalcopyrite and arsenopyrite. Higher gold grades are frequently associated with the presence of quartz, both a quartz veins and as proximal silicification of the wall rocks to quartz veins.

**Deposit Types**

The Kiaka deposit characterized as a mesothermal (orogenic) gold deposit.

**Exploration**

**Drilling**

WAF and prior operators, Volta and Randgold, had performed over 1,331 drill holes totaling 206,051 meters which were disclosed in the Kiaka FS Update and were used for the resource estimate. The database was reviewed and validated prior to commencing the resource estimation study. The database consists of RC and diamond drilling. Database statistics are provided below.

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| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp; **Company** | &nbsp;&nbsp; **Drillhole type** | &nbsp;&nbsp; **Number DH** | &nbsp;&nbsp; **Metres** | &nbsp;&nbsp; **% Total** |
| &nbsp;&nbsp; Randgold | &nbsp;&nbsp; Diamond drilling | &nbsp;&nbsp; 24 | &nbsp;&nbsp; 6,958m | &nbsp;&nbsp; 3% |
| &nbsp;&nbsp; Randgold | &nbsp;&nbsp; RC Drilling | &nbsp;&nbsp; 11 | &nbsp;&nbsp; 1,125m | &nbsp;&nbsp; 1% |
| &nbsp;&nbsp; Volta | &nbsp;&nbsp; Diamond drilling | &nbsp;&nbsp; 370 | &nbsp;&nbsp; 104,483m | &nbsp;&nbsp; 51% |
| &nbsp;&nbsp; Volta | &nbsp;&nbsp; RC Drilling | &nbsp;&nbsp; 725 | &nbsp;&nbsp; 53,162m | &nbsp;&nbsp; 26% |
| &nbsp;&nbsp; Volta | &nbsp;&nbsp; Diamond tails | &nbsp;&nbsp; 145 | &nbsp;&nbsp; 23,649m | &nbsp;&nbsp; 11% |
| &nbsp;&nbsp; B2 Gold | &nbsp;&nbsp; Diamond drilling | &nbsp;&nbsp; 50 | &nbsp;&nbsp; 16,185m | &nbsp;&nbsp; 8% |
| &nbsp;&nbsp; B2 Gold | &nbsp;&nbsp; RC Drilling | &nbsp;&nbsp; 6 | &nbsp;&nbsp; 490m | &nbsp;&nbsp; 0.2% |
| &nbsp;&nbsp; **Total** | &nbsp;&nbsp; **Total** | &nbsp;&nbsp; **1331** | &nbsp;&nbsp; **206,051m** | &nbsp;&nbsp; **100%** |

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**Sampling, Analysis and Data Verification**

All RC samples were weighed to determine recoveries. RC samples were split and sampled at 1m intervals using a cyclone splitter. Diamond core is a combination of HQ and NQ sizes and all diamond ore was logged for lithological, alteration, geotechnical, density and other attributes. Half-core sampling was completed at predominantly 1m intervals. Quality assurance and quality control procedures were completed as per industry standard practices.

Diamond core and RC samples were assayed at the ALS Chemex laboratory in Ouagadougou. SGS (Ouagadougou) and BIGS (Ouagadougou) were also used. A portion of the submissions were prepared in Burkina Faso before being shipped to the ALS laboratory in Johannesburg, South Africa. Diamond core samples were crushed, dried and pulverized to produce a sub sample for analysis of gold by 50g standard fire assay method followed by an atomic absorption spectrometry finish with a detection limit of 0.01 gpt Au.

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Sample preparation for all samples follows industry standard practice. Field QC procedures involve the use of certified reference material as assay standards, blanks and duplicates. The insertion rate of these averaged 3:20. Field RC duplicates were taken on 1 m composites at the rig, using a riffle splitter. The sample sizes are considered to be appropriate to correctly represent the style of mineralization, the thickness and consistency of the intersections. The laboratory used a standard 50g fire assay method (FA) followed by an atomic absorption spectrometry (AAS) finish. Sample preparation checks for fineness were carried out by the laboratory as part of their internal procedures to ensure the grind size of 85 % passing 75 micron was being attained. Laboratory QA/QC involves the use of internal lab standards using certified reference material, blanks, splits and duplicates as part of the in-house procedures. Certified reference materials, having a good range of values, were inserted blindly and randomly. Results highlight that sample assay values are accurate and that contamination has been contained. Repeat or duplicate analysis for samples reveals that precision of samples is within acceptable limits. For on-site QA/QC checking, certified standards and blank samples represented 6 % of the total samples submitted for Kiaka Main, and 9 % for Kiaka South.

**Mineral Processing and Metallurgical Testing**

Extensive metallurgical test work programs were undertaken by Volta Resources Ltd. and B2Gold between 2009 and 2015. The majority of the test work was conducted at SGS Canada Inc. in Lakefield, Ontario, Canada between 2014 and 2015.

The focus of the metallurgical test work programme was on the Kiaka Main open pit area. Within this area there are three spatial domains:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Main Central;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Main North; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Main South.

The Kiaka Main Central and Main North domains are dominated by metasedimentary rocks and the Main South domain comprises mainly of metavolcanic material.

Three comminution and three metallurgical composites were sourced from six diamond drillholes located in the three spatial domains of the Kiaka Main open pit. Comminution composites were whole core contiguous sections from drillholes. Each of the three metallurgical composites were selected from two drillholes from each domain.

Variability samples were selected within the three domains at various elevations within the pit outline, and at different gold grades. Comminution variability test work was carried out for the determination of changes in grinding properties resulting from variations in lithology, mineralisation and alteration intensity. Forty-two comminution variability samples were collected from drillholes in the four domains, including one from the south deposit area. Fifty-eight metallurgical variability samples were compiled, from coarse rejects and ½ NQ core of previous exploration drillholes distributed across the sample domains. The metallurgical test work programme was completed between 2014 and 2015 mostly by SGS Lakefield. The remainder of the programme was completed by either SGS Lakefield under supervision of a consultant or specialist, or at another laboratory facility.

The following conclusions can be drawn from the comminution and metallurgical test programmes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The leach conditions identified as achieving high gold extraction are: 4 hours of pre-aeration followed by 36 hours of cyanide leach; pH 10.5 maintained with lime; 50g/t of initial lead nitrate addition; 0.40g/L NaCN concentration; and at elevated dissolved oxygen levels.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overall combined gold recovery for Kiaka Main deposit for the selected flowsheet are expected to range between 89% and 91%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A design gold recovery of 90% has been selected for the study.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Based on the indicated adsorption properties and WAF preference an 8 stage CIL adsorption circuit has been selected.

**Mineral Resource Estimate** 

Mineral Resources have been prepared under JORC reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral reserves is omitted as per Section 1304(a)(2) of SK1300.

**Mineral Reserve Estimate**

Mineral Reserves have been prepared under JORC reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral reserves is omitted as per Section 1304(a)(2) of SK1300.

**Mining Operations**

The mine is operated as a conventional open pit mine, having one main large pit (Kiaka Main) that is mined in three stages and two smaller satellite pits (C2 and Kiaka South). Mining is occurring using conventional large open pit equipment including blast hole drills, 230 t excavators and 140t off-road haul trucks. The mine schedule is based on a processing rate of 10 Mt/yr which drops to 8.75 Mtpa as the ore transitions from oxide into fresh. Total mining rates included material movement averaging 32 Mt/yr over the first twelve years of production, tapering off towards the end.

**Processing and Recovery Operations**

The Kiaka process plant will have a nameplate throughput of 7.0Mtpa, with an availability of 8,000 hours per annum and a nominal capacity of 875 tonnes per hour (tph). A 20% engineering contingency was allowed by Lycopodium Minerals in the design, in particular from a hydraulic capacity through thickening, CIL and tailings pumping. Throughput modelling conducted by OMC show the selected comminution circuit is capable of a throughput of 10Mtpa (1,250 tph) on the design blend of 23% oxide 77% fresh feed.

WAF has adopted an approach of oversizing the comminution circuit to align with the hydraulic design margin of the downstream processing plant, an identical approach to that employed at WAF's Sanbrado mine which was also designed by Lycopodium Minerals. On this basis the Kiaka processing plant will be ramped up post commissioning and handed over from Lycopodium Minerals from the 7 Mtpa nameplate design to 8.75 Mtpa for the long-term operations. Sanbrado has operated continuously above the hydraulic limit since commissioning and handover to date, providing confidence to the approach.

The process flow diagrams were developed from the process design criteria prepared by Lycopodium Minerals. The plant design proposed is simple but robust and broadly comprises the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Primary Gyratory Crushing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Crushed Ore Stockpile and Reclaim System;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• SAG - Ball Milling with Pebble Crushing and Classification;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gravity Circuit to Intensive Leach Reactor to separate gravity recoverable fine gold prior to leaching;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Leach Feed Thickening;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Pre-oxidation, Leaching and Adsorption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Elution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Electrowinning; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Gold smelting.

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It is planned that a majority of the ore will be direct tipped into the primary crusher by the mining fleet. The mine production schedule has assumed that 60% of the ore will be direct tipped with the remaining 40% being rehandled into the crusher by a front-end loader.

**Infrastructure, Permitting and Compliance Activities**

**Site Development** 

The Kiaka Mine is located 140km southeast of the capital city of Ouagadougou, a city with modern services that has direct air service to Europe. Neighboring countries can be accessed via a network of roads as well as by regularly scheduled air services.

The Kiaka Mine can be accessed by road in approximately two hours from Ouagadougou. Most road links between Ouagadougou and the Kiaka Mine are good. The initial 100km from Ouagadougou to Manga is the N5 road, which forms the main access between Ouagadougou and Ghana border at the town of Paga. Southeast of Manga, the road changes to a further 20km of laterite gravel road, and finally 20km of laterite gravel road of variable quality. The final 20km of laterite gravel access road requires upgrading to install multiple flood crossings and road re-profiling. Beyond the existing access road, new gravel access roads will be constructed to access the accommodation camp, process plant and mining contractor's area.

**Accommodation Camp** 

WAF has constructed a fully supported 304-person accommodation camp, located 0.5km southwest of the process plant. The accommodation camp is for expat and Burkinabe staff and is in addition to accommodation in nearby existing towns. The camp will be operated by a catering and accommodation service provider on a long-term operating contract. The camp contractor will be responsible for all operations at the accommodation camp including catering and cleaning.

**Power Supply** 

Power is to be supplied by connecting to the national electricity grid (operated by SONABEL) which is expected to be completed in Q4 2025. The mine also has emergency power from diesel generators.

**Tailings Storage Facility** 

Tailings are being stored in a lined tailings storage facility adjacent to the process plant with decanted water returned to process plant for re-use.

**Water Supply** 

Raw water will be sourced from the Bagre dam on the Nakambé River approximately 3 km east of Kiaka. Water will be abstracted using submersible pumps which will transfer water to the WSF via buried HDPE pipeline. The WSF will be located immediately south-west of the TSF. The WSF is the main storage pond for raw water on site, and can store up to 2,000,000m³ of water at the maximum operating level. Water will be pumped from the dam as required following the annual wet season.

**Mine Services** 

Mine services including workshop, warehousing, offices, messing and change rooms will be situated to the southeast of the process plant area. Bulk fuel storage and refuelling facilities for the mine fleet and light vehicles will be in the mine services area. The layout has been designed to separate heavy and light vehicle traffic.

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**Permitting, Environment and Social**

An ESIA and RAP were conducted for the Kiaka Mine in 2013 for which an Environmental Certificate was awarded in 2015. WAF completed an update to the ESIA and RAP in 2023 and a renewed Environmental Certificate was awarded in April 2024. Findings from the updated ESIA and RAP were consistent with those from 2013. No significant changes in environmental or social baseline conditions or impacts were identified. Kiaka SA's Environmental and Social Management System is managed by Kiaka's Environment and Community Relations Departments.

The Kiaka Mining License was granted on July 8, 2016, and has an expiry date of July 7, 2036, with ongoing 5-year renewal periods thereafter.

**Exploration**

WAF commenced a grade control drilling program for Kiaka, completing the first phase in Q1 2025, after drilling a total of 2,636 holes for 79.913 meters. The drilling was conducted on a nominal grid spacing of 12.5 m x 12.5 m targeting the top 20 meters of the mineralization within the Kiaka Main and was designed to improve the confidence level in the geological model and grade estimation in the top 20 meters of the deposit which covers the first 12 months of open pit ore production. The grade control drilling results aligned closely with the MRE, confirming mineralization widths of up to 400 meters at surface.

**Project Development**

In mid-2022, WAF commenced early works at Kiaka. In Q4 2022 WAF awarded the EPCM (engineering, procurement, and construction-management) contract to Lycopodium and the supply of the 18MW SAG mill and 9MW ball mill to Metso Outotec. Lycopodium is a leading international engineering and project management consultancy for West African mineral gold process plants, having completed the construction of more than a dozen gold projects in West Africa since 2009, including West African's Sanbrado gold mine. Metso Outotec were selected due to their overall experience and reliability with supplying grinding mills of this size, and the positive outcome at Sanbrado where WAF's Metso Outotec SAG and ball mills have been performing very reliably above nameplate capacity.

During 2023, construction of the main camp was completed, the security buildings and main entrance gates were erected, earthworks for key areas of the primary crusher, reclaim, mills, and CIL were handed over to the EPCM contractor (Lycopodium), and the first concrete pour was completed.

During 2024, construction of Kiaka continued to progress on schedule and on budget. By end of 2024 all major process equipment was delivered to site, major concrete pours were complete, mills were installed, settlement testing of the carbon-in-leach tanks was successful, structural steel erection was well progressed, most conveyor modules were installed, mechanical equipment installation was advancing well and electrical and instrumentation installation had commenced. Process plant commissioning planning was underway with the EPCM Commissioning Manager appointed.

On June 4, 2025, WAF announced Kiaka ownership is changing to 85% WAF and 15% Government of Burkina Faso, an increase to the Government's stake from 10%, aligning it with the Burkina Faso Mining Code adopted in August 2024.

Construction of Kiaka was completed in the second quarter of 2025 and the first gold was poured on June 26, 2025, ahead of schedule and under budget.

On August 6, 2025, WAF announced a scoping study had been completed in early 2025, aimed at maintaining a throughput of 10 million tonnes per year from 2028 onwards, which could be achieved with a capital expenditure of approximately $50 million and construction of 12 to 18 months.

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On August 28, 2025, WAF requested the ASX to halt trading of their shares due to a request from the government of Burkina Faso to acquire, for valuable paid consideration, an additional 35% of the subsidiary Kiaka SA which owns the Kiaka Mine.

On November 25, 2025, WAF announced discussions with the government of Burkina Faso regarding its request for an increased equity interest in Kiaka SA continued, with both sides committed to reaching an outcome that respects the legitimate interests of all parties. WAF submitted a proposal to the government of Burkina Faso to increase both national participation and government revenue from the development of new and previously closed mining projects in Burkina Faso, as an alternative to purchasing a further equity interest in the Kiaka project. Following the announcement, the suspension of trading in securities of WAF was lifted and trading recommenced on the ASX.

**Production**

On January 7, 2026, WAF announced fourth quarter and full year results for Kiaka, having processed 2,174,000 tonnes of ore at 1.0 grams per tonne and producing 62,287 ounces of gold in the fourth quarter, bringing total 2025 production to 95,155 ounces of gold.

**ROSH PINAH MINE TECHNICAL INFORMATION**

One of Versamet's material assets is the Rosh Pinah Stream on the Rosh Pinah Mine which is owned 98% by Appian Natural Resources Fund III with the remaining balance between two local entities. Under the RP Stream Agreement, Versamet is entitled to receive refined silver equal to 90% of payable silver from the Rosh Pinah Mine. After a total of 3,100,000 ounces of silver have been delivered under the RP Stream Agreement, Versamet will be entitled to receive 45% of payable silver for the remaining life of the mine. Versamet will pay 10% of the spot silver price for each ounce delivered to the Rosh Pinah Stream.

For an initial period commencing on the Effective Date, payable silver will be based on the Production Index as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 4,000 ounces of payable silver per million pounds of recovered zinc until the delivery of 250,000 silver ounces to the Rosh Pinah Stream; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 2,850 ounces of payable silver per million pounds of recovered zinc thereafter.

The Production Index will terminate on the earlier of i) 1,350,000 ounces of silver delivered to the Rosh Pinah Stream, or ii) December 31, 2028. After the termination of the Production Index, payable silver will be based on actual payable sliver production from the Rosh Pinah Zinc mine.

The inaugural stream payment from the Rosh Pinah Mine is expected to be recognized in the Q4 2025 financial statements.

**Sources of Information**

The following information is primarily sourced from the Rosh Pinah Mine's prior owner, Trevali Mining Corporation's disclosure filed under its SEDAR+ profile, including, but not limited to the 2022 Annual Information Form and the March 31, 2021 Rosh Pinah Expansion "RP2.0" NI 43-101 Feasibility Study report. Additional information has also been sourced from various recent Appian news releases published on <u>https://appiancapitaladvisory.com</u>, and information provided to Versamet as part of the Rosh Pinah Stream payments.

Versamet does not own or operate the asset and does not have access to information outside of what is publicly disclosed by Appian and provided to Versamet to calculate quarterly silver deliveries. Some items that Versamet lacks access include detailed operational data, internal reports and estimates, current drill hole and assay data bases, topographic surveys, detailed cost reporting, permitting discussions, regulatory activities, production forecasts and others.

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**Location**

The Rosh Pinah Mine is located in the Karas region in southwestern Namibia, 800 km south of Windhoek and 20 km north of the Orange River, at the edge of the Namib Desert. The mine is adjacent to the town of Rosh Pinah, which is accessed via paved roads from Windhoek or from South Africa. Concentrate produced is shipped via road to the port town of Luderitz.

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**Property Description**

In Namibia, all mineral rights to the property are vested in the State. The minerals industry in Namibia is administered by the Minister of Mines and Energy assisted by the Mining Commissioner and the Minerals Board of Namibia. Information is publicly available at https://portal.mme.gov.na. There are various license types, depending on the stage and size of the project. The Rosh Pinah Mine holds several of these, but of most importance are an Exclusive Prospecting License ("**EPL**"), which allows systematic prospecting in areas of up to 1,000 km2 and a Mining License ("**ML**") covering the Rosh Pinah Mine, which gives the holder exclusive mining rights in the license area for a period of 25 years or the life-of-mine, with renewals for a further 20 years.

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The key claims that make up the Rosh Pinah Mine are:

* EPL 2616: Covers an area of 19,826 ha, originally granted to PE Minerals in December 1998, with an expiry on November 2026, with 5 year renewals permitted.

* ML 39: Within EPL 2616, covers an area of 782 ha and covers the entirety of the current Rosh Pinah deposit, with an expiry of November 2035.

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Exclusive Prospecting License 2616 boundary coordinates:

![](formdrsax011.jpg)

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**Royalties and Streams**

The Rosh Pinah Mine is subject to a 3% of net market value royalty payable to the Namibian state and a 3% of net market value royalty payable to PE Minerals.

**History** 

The Rosh Pinah Mine is a long-established underground zinc-lead operation located in southwestern Namibia and has been in continuous production since 1969. The deposit was discovered during regional exploration of the Gariep Terrane and subsequently developed as a conventional underground base-metal mine producing zinc and lead sulphide concentrates, with silver as a by-product. Concentrates are transported by road to the port of Lüderitz and shipped to international markets.

Over its operating life, the Rosh Pinah Mine has undergone multiple phases of mine development, infrastructure expansion, and resource delineation, with mining progressing through several discrete mineralized lenses within the Rosh Pinah Formation. In recent years, the operation has focused on extending mine life and increasing production through near-mine exploration and technical studies, culminating in the RP2.0 Expansion Feasibility Study completed by Trevali Mining Corporation in 2021, which evaluated an increase in throughput from approximately 0.7 Mtpa to 1.3 Mtpa and a transition to paste backfill mining to improve recovery, stability, and overall project economics.

The Rosh Pinah Mine is currently majority-owned by Appian Capital Fund III, which acquired the operating mine from Trevali Mining Corporation as part of a bankruptcy process in 2023 and moved ahead with the RP2.0 Expansion Project.

**Geological Setting, Mineralization and Deposit Types**

**Geology**

The Rosh Pinah deposit is hosted within the Neoproterozoic Rosh Pinah Formation of the Hilda Subgroup, part of the Port Nolloth Group in the Gariep Terrane of southwestern Namibia. Mineralization occurs within a laterally extensive, approximately 30-metre-thick ore equivalent horizon that has been structurally deformed into a series of discrete lenses by multiple phases of folding, faulting, and shearing associated with basin inversion and continental collision. Zinc- and lead-bearing sulphides, with silver as a by-product, are primarily hosted in carbonate, arkose/breccia, microquartzite, and argillite units. The deposit is interpreted as a sediment-hosted base-metal system subsequently modified by hydrothermal alteration and polyphase deformation, resulting in steeply dipping, lens-shaped mineralized zones that are amenable to underground mining.

**Mineralization**

Mineralization at Rosh Pinah consists of stratabound zinc- and lead-bearing sulphides with associated silver, concentrated within an approximately 30-metre-thick ore equivalent horizon (OEH). The mineralization occurs as a series of discrete, steeply dipping lenses that have been structurally modified by multiple phases of folding and faulting. Sulphide mineralization is interpreted to have originated from sedimentary and exhalative processes and was subsequently upgraded and redistributed by hydrothermal carbonate alteration and polyphase deformation, resulting in lens-shaped bodies amenable to underground mining.

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The principal mineralization styles identified at Rosh Pinah include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Carbonate-hosted mineralization: Zinc- and lead-rich sulphides concentrated within hydrothermally altered carbonate units, forming the most economically significant lenses and commonly developed along fold hinges and structurally favorable positions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Microquartzite- and argillite-hosted mineralization: Stratabound sulphide mineralization occurring within fine-grained sedimentary units, interpreted as part of the original exhalative mineralizing system and locally attenuated by deformation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Arkose and breccia-hosted mineralization: Sulphide mineralization hosted in coarse clastic and brecciated units, reflecting permeability-controlled remobilization and concentration of metals during later hydrothermal alteration events

**Deposit Types**

The Rosh Pinah deposit is classified as a sediment-hosted zinc-lead-silver deposit formed within a Neoproterozoic rift-basin sequence of the Gariep Terrane. Mineralization is interpreted to have originated from sedimentary exhalative processes and was subsequently modified by hydrothermal carbonate alteration and polyphase deformation during basin inversion and continental collision, resulting in structurally controlled, lens-shaped sulphide bodies within a laterally extensive ore equivalent horizon.

**Drilling**

Total drilling at the Rosh Pinah Mine up to December 2020 consists of a comprehensive database of 10,761 holes totaling 830,228 meters.

**Sampling, Analysis and Data Verification**

Sampling at the Rosh Pinah property is primarily based on diamond drill core obtained from both surface and underground drilling programs. Core drilling has historically been conducted using BQ core sizes, with NQ core sizes adopted for exploration drilling targeting Inferred and Indicated Mineral Resources in more recent programs. Drill core is systematically logged, marked, and sawn, with samples typically ranging from approximately 0.4 m to 1.5 m in length. Core density measurements are routinely collected prior to sample submission. Sample preparation and assaying are carried out using industry-standard procedures at accredited laboratories, and results are supported by a comprehensive quality assurance and quality control (QA/QC) program that includes the insertion of certified reference materials, blanks, and field duplicates.

Geological logging, sampling protocols, and data management follow standardized internal procedures to ensure consistency and reliability, with regular validation by site geologists. Drillhole collar locations are surveyed by the mine survey department, and downhole deviation surveys are completed using Reflex tools for drillholes exceeding 100 m in length. Independent Qualified Persons reviewed the sampling methods, analytical procedures, QA/QC results, and data verification processes and concluded that the data quality is adequate and suitable for the estimation and reporting of Mineral Resources and Mineral Reserves.

**Mineral Processing and Metallurgical Testing**

The Rosh Pinah Mine has been in continuous operation for several decades, and the ores evaluated in recent metallurgical test work are considered representative of, and not materially different from, the mineralization historically processed by the operation. Metallurgical testing completed in support of the RP2.0 Expansion Project included comminution variability testing, bench-scale and locked-cycle flotation testing, and pilot-scale evaluations, with a primary focus on ore from the Western Orefield, which is expected to comprise the majority of future mill feed. The test work confirmed that the ore exhibits medium to medium-hard hardness characteristics with moderate to high abrasion potential depending on lithology, and that a conventional crushing, grinding, and flotation flowsheet remains appropriate.

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Based on discounted laboratory results calibrated against long-term operating performance, metallurgical projections indicate average recoveries of approximately 89% for zinc, 68% for lead and 45Z% for silver, with zinc and lead concentrate grades of approximately 51% and 50%, respectively.

**Mineral Resource and Mineral Reserve Estimates**

**Mineral Resource Estimates**

Mineral Resources were estimated by the prior operator (Trevali Mining Corporation) under NI 43-101 reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral resources is omitted as per Section 1304(a)(2) of SK1300.

**Mineral Reserve Estimate**

Mineral Reserves were prepared by the prior operator (Trevali Mining Corporation) under NI 43-101 reporting regime and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral reserves is omitted as per Section 1304(a)(2) of SK1300.

**Mining Operations**

Current mining operations at Rosh Pinah consist of underground long hole open stoping without backfill, extracting ore from multiple steeply dipping mineralized lenses using a primary, secondary, and tertiary stope sequence. Ore production has historically averaged approximately 0.7 million tonnes per annum, with material hauled through an established underground decline network to surface for processing. Mining has progressed through several ore fields, with increasing reliance on the Western Orefield as the Eastern and Southern ore fields mature.

Under the RP2.0 Expansion Project, underground mining is planned to transition to long hole open stoping with cemented paste backfill, enabling improved ground stability, higher mining recovery, reduced dilution, and access to additional mineralized areas. Ore production is planned to increase to approximately 1.3 million tonnes per annum, supported by expanded underground infrastructure, a dedicated trucking decline, and upgraded materials handling systems.

**Processing and Recovery Operations**

The existing Rosh Pinah concentrator employs a conventional processing flowsheet consisting of multi-stage crushing, ball milling, and differential flotation to produce separate zinc and lead sulphide concentrates, with silver recovered primarily in the lead concentrate. The plant has historically operated at a throughput of approximately 0.7 million tonnes per annum and has processed similar ore types for several decades, providing a well-established operating and metallurgical performance history.

As part of the RP2.0 Expansion Project, the processing plant is being upgraded to support a planned throughput of approximately 1.3 million tonnes per annum. The expansion includes the installation of a new single-stage SAG mill circuit, primary crushing upgrades, increased flotation capacity, and enhancements to thickening, filtration, pumping, and tailings handling systems. Flowsheet modifications are also designed to improve metallurgical recoveries and concentrate grades, while integrating with the planned paste backfill system.

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**Infrastructure, Permitting and Compliance Activities**

**Infrastructure**

The Rosh Pinah Mine benefits from well-established infrastructure developed over several decades of operation, including underground access via multiple declines, a conventional processing plant, tailings storage facilities, grid power supply, raw water supply from the Orange River, paved road access, and proximity to the port of Lüderitz for concentrate export. The RP2.0 Expansion Project builds on this existing infrastructure through targeted upgrades, including construction of a paste backfill plant, expansion of the tailings storage facility, ventilation and dewatering enhancements, power supply upgrades, and development of a new trucking decline and materials handling systems.

**Permitting and Compliance**

The Rosh Pinah Mine operates under valid mining licenses, environmental clearance certificates, and operating permits issued by the Government of Namibia, which authorize underground mining, mineral processing, tailings disposal, and associated infrastructure. These permits cover all areas supporting current operations as well as the future RP2.0 expansion project.

**Development** 

On June 27, 2023, Appian announced the acquisition of a majority interest in the Rosh Pinah Mine and disclosed plans to restart the RP2.0 Expansion Project that will nearly double the mine's annual ore throughput form 0.7 million tonnes per year to 1.3 million tonnes per year.

On February 19, 2025, Appian announced the acquisition of the majority shareholding in the Rosh Pinah Solar Park to reduce the Rosh Pinah Mine's cost of energy by 8% for the next 15 years.

On September 23, 2025, Appian announced that the Rosh Pinah Mine had secured a US$150 million debt facility underwritten by Standard Bank to finance the development of the RP2.0 Expansion Project. Construction of the project was stated to be over 80% complete, and will almost double the mine's production output to 170 million lb/year of contained zinc metal. Construction completion is expected in Q3 2026.

**Production**

In 2024, the Rosh Pinah Mine processed 0.65 million tonnes of ore, producing 87 million pounds of zinc, 14 million pounds of lead and 244,000 ounces of silver in concentrates.

In 2025, the operation processed 0.62 million tonnes of ore, producing 74 million pounds of zinc, 10 million pounds of lead and 144,000 ounces of silver in concentrates. Production in 2025 post the Versamet stream (July 1, 2025) totalled 34 million pounds of zinc and 88,000 ounces of silver in concentrates.

**KOLPA MINE TECHNICAL INFORMATION**

One of Versamet's material assets is the Kolpa Copper Stream "Kolpa Stream", based on production from the Kolpa Mine, which is also referred to as the Huachocolpa Mining Unit. Under the Kolpa CPA, Versamet agrees to purchase from the Stream Seller the greater of: (i) refined copper equal to 95.8% of produced copper (irrespective of the copper payable under the relevant offtake agreement), and (ii) refined copper equal to 0.03 pounds per pound of produced lead. Once 6,000 tonnes of refined copper have been delivered, Versamet agrees to purchase from the Stream Seller 71.85% of produced copper. Once 10,500 tonnes of refined copper have been delivered, Versamet agrees to purchase from the Stream Seller 47.9% of produced copper. Versamet will purchase LME Warrants (as defined in the Kolpa CPA) from the Stream Seller at the Copper Purchase Price equal to the spot price of refined copper for each metric tonne delivered. Until the Deposit has been reduced to zero, the Copper Purchase Price will be paid in two parts: (i) the Ongoing Copper Payment; and (ii) 90% of the spot price of refined copper which would be paid by a reduction of the Deposit. After the Deposit has been reduced to zero, Versamet will purchase refined copper for a purchase price equal to the Ongoing Copper Payment for each metric tonne of copper delivered.

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As of the end of the third quarter of 2025, Versamet has received 200 tonnes of refined copper under the Kolpa CPA.

**Sources of Information**

The following information is primarily sourced from Endeavour's disclosure filed under its SEDAR+ profile, including but not limited to the March 27, 2025 technical report titled "Huachocolpa Uno Mine Property, Huancavelica Province, Peru", with an effective date of December 31, 2024, as well as certain information provided to us in connection with the payments.

Versamet does not own or operate the asset and does not have access to information outside of what is publicly disclosed by Endeavour and provided to Versamet to calculate monthly deliveries. Some items that Versamet lacks access include detailed operational data, internal reports and estimates, current drill hole and assay data bases, topographic surveys, detailed cost reporting, permitting discussions, regulatory activities, production forecasts and others.

**Location**

The Kolpa Mine (also known as Huachocolpa Uno) is located in Comihuasa, Huachocolpa District, Huancavelica Province, Huancavelica Department of Peru, approximately 490 km southeast of Lima and 74 km south of Huancavelica City. The approximate coordinates of the mine are 501,780m E and 8,556,217m N using the UTM WGS84 datum, or Latitude 13°04' S and Longitude 74°59' W.

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**Property Description**

The current property comprising the Kolpa Mine includes 144 mining rights consisting of: 1 beneficiation concession, 4 mining claims and 139 mining concessions. Kolpa wholly owns 100% in the mining rights. The total effective area of the mining concessions is 25,176.85 ha, and the total effective area of the beneficiation concession is 366.23 ha. The mining rights are in the districts of Huachocolpa and Santa Ana, provinces of Huancavelica and Castrovirreyna, respectively, and department of Huancavelica, Peru.

The image below depicts the Land Tenure of Kolpa effective date of December 31, 2024.

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**Royalties and Streams**

The Kolpa Mine is only subject to the Versamet Copper Stream.

**History** 

The current Kolpa Mine has been a continuous producer for more than 25 years. The operation originated from early small-scale workings in the mid-20th century and, over decades, has evolved through multiple expansions of both underground and open-pit mining and processing capacity to support sustained production of silver, lead, zinc and copper concentrates.

Around the year 2000, the Raffo Group, a Peruvian family-owned business group with longstanding involvement in the country's mining sector, consolidated ownership of the mining unit and assumed responsibility for its administration and operation. Following this acquisition, the Raffo Group initiated a period of modernization and operational continuity, transitioning the property from historical and small-scale activities into a more structured, centrally managed polymetallic mining operation. Under Raffo Group ownership, mining activities were maintained and progressively expanded through development of underground workings, open-pit operations, and supporting infrastructure, establishing the foundation for sustained production and subsequent capital investments made by later shareholders.

In 2025, Endeavour completed the acquisition of all outstanding shares of Minera Kolpa, and thereby acquired the Huachocolpa Uno Mine and related assets, pursuant to a share purchase agreement with the shareholders of Kolpa. The consideration for the acquisition was approximately US $145 million, comprised of cash and Endeavour common shares, with contingent additional payments subject to certain conditions. The transaction closed effective May 1, 2025, and Minera Kolpa became a wholly-owned subsidiary of Endeavour, marking the Company's first producing mine in Peru.

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**Geological Setting, Mineralization and Deposit Types**

**Geology**

The Kolpa Mine is situated within the Miocene Polymetallic Mineral Belt of central Peru and is hosted predominantly in Cenozoic volcanic rocks of the Huachocolpa Group, consisting mainly of andesitic to dacitic volcanic sequences. Mineralization is structurally controlled and occurs within steeply dipping, epithermal vein systems associated with regional and local fault structures, including the Huachocolpa and Chonta faults. These structures formed during the Andean Orogeny and provided conduits for hydrothermal fluids that deposited polymetallic mineralization. The geological setting includes multiple generations of veining, brecciation, and hydrothermal alteration, with alteration assemblages dominated by argillic, silicic, phyllic, and locally propylitic styles

**Mineralization**

Mineralization at Kolpa occurs primarily as veins formed by mineral-rich fluids moving through fractures in volcanic rocks. These veins contain economically important amounts of silver, lead, zinc, and copper. The mineralized structures are steeply dipping and laterally extensive, allowing for both underground mining and open-pit extraction depending on depth and geometry. The principal economic minerals include sphalerite (zinc), galena (lead), and silver-bearing minerals, with minor copper minerals also present. Mineralization is continuous along strike and at depth in several zones, supporting both underground mining and open-pit extraction.

**Deposit Types**

The deposit is classified primarily as a low-sulfidation epithermal system, consistent with its vein morphology, mineral assemblages, and alteration patterns, and is comparable to other polymetallic vein deposits in the central Andes of Peru

**Drilling**

The Huachocolpa Uno Project drilling database utilized for the estimation of historical resources has been limited to drilling completed between 2001 and 2024 by Compañía Minera Caudalosa S.A. and Compañía Minera Kolpa S.A. Effective December 31, 2024, the Huachocolpa database contains results from over 716 drill holes totaling 187,131.71 m

**Sampling, Analysis and Data Verification**

Most diamond drilling and channel samples collected from the Kolpa Mine during the period 2001 to 2023, have been submitted for sample preparation and analytical analysis at Kolpa's mine-site laboratory. Prior to 2021, no quality assurance and quality control programs had been implemented at Kolpa. In mid-2021 the Kolpa Huachocolpa Uno mine implemented a comprehensive QA/QC program beginning with the insertion of QC samples into diamond drilling sampling programs. This QA/QC program was expanded to include channel sampling programs beginning in 2022. Kolpa's QA/QC programs include the insertion of CRM's, duplicates, and blanks to evaluate sample preparation and analytical precision, accuracy, and the potential for contamination during the sample preparation and analytical analysis processes.

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Beginning in 2021, Kolpa began sending selected historical diamond drilling pulp samples for verification analyses in an independent, commercial analytical laboratory, Certimin Peru. The Certimin Lima laboratory is independent from Kolpa and has accreditation under ISO 9001 and NTP-ISO/IEC 17025.

**Mineral Processing and Metallurgical Testing**

The property benefits from a long operating history with an established processing facility that has been in continuous operation for several decades. The existing process plant treats polymetallic vein mineralization and produces lead-silver, zinc, and copper concentrates using conventional crushing, grinding, and flotation methods. Historical plant performance data demonstrate stable recoveries for silver, lead, zinc, and copper across a range of head grades, supporting the metallurgical suitability of the mineralization for conventional flotation processing.

Historical plant performance over the last 9 years includes silver recoveries of 81% to 89%, lead recoveries of 86% to 94%, zinc recoveries of 81% to 86% and copper recoveries of 33% to 68%.

**Mineral Resource and Mineral Reserve Estimates**

**Mineral Resource Estimates**

There are no current Mineral Resource Estimates on the property.

**Mineral Reserve Estimate**

There are no current Mineral Reserves on the property.

**Mining Operations**

Kolpa is an operating polymetallic mine that combines underground and open-pit mining methods based on the geometry, depth, and continuity of the mineralized vein systems, as well as purchasing minor amounts of third party mined ore. Underground mining is conducted primarily at the Bienaventurada deposit using conventional methods, including sublevel stoping and cut-and-fill, with mechanized drilling, blasting, and haulage. The underground operation is supported by established access ramps, ventilation systems, ground control measures, mine dewatering, and backfill infrastructure. Open-pit mining is carried out at the Yen deposit, where mineralization occurs near surface and is mined using conventional open-pit methods. Ore from both mining areas is delivered to a centralized processing plant.

**Processing and Recovery Operations**

Kolpa's process plant has been in continuous operation for several decades, having had several expansions through its operating history. In 2024, the plant has operated at approximately 1,900 tonnes per day. The plant utilizes conventional crushing, grinding, and flotation circuits to produce separate zinc, lead-silver, and copper concentrates.

Endeavour is in the process of expanding the processing plant to increase throughput to 2,500 tonnes per day, and is currently achieving over 2,100 tpd. The expansion includes modifications and additions to the existing crushing, grinding, flotation, thickening, filtration, and tailings handling circuits, as well as associated upgrades to water management and power supply systems. The expanded flowsheet is intended to accommodate higher production rates while maintaining metallurgical performance consistent with historical operating results, supporting the planned increase in mine throughput from existing and near-mine production areas.

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**Infrastructure, Permitting and Compliance Activities**

**Infrastructure**

The Kolpa Mine is supported by a well-developed infrastructure network that enables continuous mining and processing operations. Site infrastructure includes underground and surface access roads, administrative offices, maintenance workshops, warehouses, accommodations, and stockpile areas. Power is supplied via a dedicated high-voltage transmission line connected to an on-site electrical substation, providing reliable electricity for mining and processing activities. Water requirements are met through a combination of mine water management systems and dedicated water treatment facilities for both industrial and potable use. The operation also includes established waste rock disposal facilities, tailings storage facilities, and associated water management and treatment infrastructure, all integrated to support current production levels and planned throughput expansion. The majority of the current infrastructure has been constructed in the past 20 years and is in adequate condition. The operation replaces and rehabilitates infrastructure on an ongoing basis. The expansion that is underway will add new equipment as well as replace some aging infrastructure.

**Permitting and Compliance**

Kolpa operates under a comprehensive framework of mining, environmental, water use, and processing permits issued by Peruvian regulatory. Existing permits cover current underground and open-pit mining, mineral processing, tailings storage, waste disposal, water use, and environmental management. Permits and authorizations required to support the ongoing expansion of the processing plant and associated infrastructure, including modifications to environmental and operating approvals, are either in place or in the process of being obtained in accordance with Peruvian regulatory requirements

**Development** 

On January 8, 2026, Endeavour announced that significant progress had been achieved toward the increased plant capacity to 2,500 tpd in Q4 2025, having commissioned a new crushing circuit and commenced installation of a new ball mill to be completed in Q1 2026.

**Production**

On January 8, 2026, Endeavour announced quarterly and annual production results for the Kolpa Mine, including Q4 2025 production of 198,830 tonnes of ore processed at 108 grams per tonnes of silver, 3.06% lead, 1.83% zinc and 0.20% copper, producing 631,867 ounces of silver, 5,750 tonnes of lead, 3,034 tonnes of zinc and 106 tonnes of copper. Total production for the last 8 months of 2025 (Endeavour ownership and Versamet stream) was 513,478 tonnes of ore processed at 108 grams per tonne of silver, 3.08% lead, 2.07% zinc and 0.21% copper, producing 1,611,194 ounces of silver, 14,917 tonnes of lead, 9.016 tonnes of zinc and 284 tonnes of copper.

**SANTA RITA MINE TECHNICAL INFORMATION**

One of Versamet's material assets is a 2.75% Net Smelter Return over the Santa Rita nickel-copper-cobalt-PGM mine in Bahia, Brazil. The NSR Royalty on Santa Rita is an uncapped, life of mine royalty that covers 100% of the open pit and underground deposits, as well as the entirety of Atlantic Nickel's current land holdings in the area, representing an area of over 40,000 hectares.

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**Sources of Information**

The following information is primarily sourced from a Competent Person's Report, prepared for ACG Acquisition Company Limited by SLR Consulting (Canada) Ltd., titled "Competent Person's Report on the Santa Rita Mine, Bahia State, Brazil" with an effective date of December 31, 2022 and a signature date of June 12, 2023. Additional information has also been sourced from various recent Appian news releases published on <u>https://appiancapitaladvisory.com</u>, and information provided to Versamet as part of the Santa Rita NSR payments.

Versamet does not own or operate the asset and does not have access to information outside of what is publicly disclosed by Appian and provided to Versamet to calculate quarterly silver deliveries. Some items that Versamet lacks access include detailed operational data, internal reports and estimates, current drill hole and assay data bases, topographic surveys, detailed cost reporting, permitting discussions, regulatory activities, production forecasts and others.

**Location**

The Santa Rita Mine is located in the Itagibá municipality of Bahia state in northeast Brazil, seven kilometers south-southeast of the city of Ipiaú, 140 km northwest of the Port of Ilhéus, and 360 km southwest of Salvador. The open pit mine is centered at latitude 14°11'38.68" S and longitude 39°43'23.61" W within Zone 24S of UTM coordinate system.

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**Property Description**

Atlantic Nickel Mineração Ltda ("**Atlantic Nickel**"), Santa Rita's Brazil parent company, holds a number of mining concessions throughout the Santa Rita property area, collectively covering 28,997.21 ha:

• Two mining concessions for nickel in the municipality of Itagibá, Bahia state;

• Three applications for mining concessions for nickel in the municipality of Itagibá, Bahia state; and

• 32 exploration licenses for nickel in different municipalities in the State of Bahia.

Mining concessions and exploration licenses granted in ANM Processes Nos. 871.486/2017, 870.736/2021, 870.737/2021, 870.738/2021, 870.739/2021, 870.740/2021, and 870.741/2021 are registered with the ANM (as defined herein) in the name of CBPM (as defined herein). Mining concessions are leased to Atlantic Nickel as per the terms of a lease agreement which is valid until June 16, 2028. In the capacity of lessee, Atlantic Nickel can mine and become the owner of the production from the mining concessions.

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Applications for mining concessions and three exploration permits held by CBPM will be leased to Atlantic Nickel if and when the respective mining concessions are granted as per a definitive agreement.

The remaining exploration permits and the application for exploration permit are registered with the ANM in Atlantic Nickel's name.

**Royalties and Streams**

The Santa Rita Mine is subject to several royalties

* CFEM royalty paid to Agência Nacional de Mineração ("**ANM**"), one of the two agencies that regulate mining activities in Brazil), which varies on mineral product: 1.5% for gold, 2% for diamond and other unspecified mining substances (includes nickel, copper and cobalt).

* CBPM royalty, as provided in the lease agreement: For sulphide nickel a 2.51% levy on 60% of the value attributed to contained nickel in the concentrated, based on the London Metals Exchange average monthly sales price for nickel, 100% of the value attributed to contained copper in concentrate, based on LME average monthly sales price and 100% of the value attributed to contained cobalt, gold, platinum and palladium, based on the Metal Bulletin average monthly price for such minerals.

* Surface right holders royalty of 1% on the proceeds from the sales of any ores exploited.

* A 2.75% NSR royalty payable to Versamet Royalties.

**Ownership**

The Santa Rita Mine is owned by Atlantic Nickel, a wholly-owned subsidiary of Appian. Mining concessions and exploration licenses covering the Santa Rita and Palestina deposits are owned by the state company Companhia Bahiana de Pesquisa Mineral ("**CBPM**") and are under a lease contract signed in 2008 and valid for 20 years. Exploration licenses outside the Santa Rita and Palestina areas are held by Atlantic Nickel.

**History** 

The Santa Rita Mine, located in Bahia State, Brazil, is a large-scale nickel sulphide operation that has undergone multiple phases of development, ownership, and operation. The deposit was discovered and advanced through exploration and feasibility work prior to being developed as an open pit mine by Mirabela Mineração do Brasil Ltda., with production commencing in 2010. Operations were suspended in 2016 due to market conditions, with the asset going into judicial recovery. The asset was subsequently acquired out of this process by Appian through its subsidiary Atlantic Nickel. The mine and processing facilities were refurbished and operations were successfully restarted in October 2019. Since the restart, the Santa Rita Mine has operated continuously.

**Geological Setting, Mineralization and Deposit Types**

**Geology**

The Santa Rita deposit is a magmatic nickel-copper sulphide system hosted within the Fazenda Mirabela layered mafic-ultramafic intrusion, which comprises cyclic units of pyroxenite, olivine orthopyroxenite, and harzburgite. Mineralization is controlled by primary magmatic processes, including sulphide segregation and accumulation during magma differentiation, and is laterally continuous over more than 800 m of strike length.

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**Mineralization**

The mineralized body forms a thick, tabular zone dipping approximately 50-55° to the east, with demonstrated vertical continuity to depths exceeding 1,100 m, supporting both open pit extraction and bulk underground mining methods. Mineralization at Santa Rita consists of nickel-copper sulphides occurring primarily as disseminated to net-textured sulphide assemblages, with local semi-massive zones. Nickel is hosted predominantly in pentlandite, with lesser violarite, while copper occurs mainly in chalcopyrite, accompanied by pyrrhotite and minor pyrite. The sulphides are spatially associated with ultramafic host rocks and show strong continuity both laterally and at depth. Mineralization extends beneath the current open pit and remains open at depth, with thicknesses commonly ranging from tens to more than one hundred meters, supporting bulk mining approaches.

**Deposit Types**

The Santa Rita deposit is characterized as a magmatic nickel-copper sulphide deposit.

**Drilling**

Total drilling at the Santa Rita Mine as of December 31, 2022 in the drill hole database consisted of 1,240 drill holes totaling over 350 km.

**Sampling, Analysis and Data Verification**

Sampling at Santa Rita has been carried out using industry-standard diamond drilling and blast-hole sampling methods, with samples prepared and analyzed at accredited commercial laboratories using appropriate analytical techniques for nickel, copper, cobalt, and associated elements. A comprehensive quality assurance and quality control (QA/QC) program has been implemented, including the routine insertion of certified reference materials, blanks, and field duplicates.

**Mineral Processing and Metallurgical Testing**

The operation has approximately six years of historical operating history (2010-2016) and 6 years of recent operating history (2019+) that informs current metallurgical projections. Additionality, there have been metallurgical test programs to produce a geometallurgical model for the open pit and to test future underground mine material.

2025 metallurgical recoveries have been in the range of 84% for nickel sulphide, 86% for copper and 33% for cobalt.

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**Mineral Resource and Mineral Reserve Estimates**

**Mineral Resource Estimates**

Mineral Resources were estimated in 2023 by SLR following the CIM Definitions dated May 10, 2014 and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral resources is omitted as per Section 1304(a)(2) of SK1300.

**Mineral Reserve Estimate**

Mineral Reserves were estimated in 2023 by SLR following the CIM Definitions dated May 10, 2014 and are not compliant in accordance with Item 1300 of Regulation S-K. Reporting of mineral resources is omitted as per Section 1304(a)(2) of SK1300.

**Mining Operations**

The Santa Rita Mine is currently operated as a conventional open pit mining operation using truck-and-shovel methods to supply ore to an on-site beneficiation plant. Open pit mining occurs at a production rate of approximately 6.5 million tonnes per annum, with remaining open pit mine life extending to 2028. Mining activities are supported by established infrastructure, including waste rock facilities, haul roads, and dewatering systems, and operations are conducted under valid permits and environmental approvals.

Following depletion of the open pit, the Santa Rita deposit is being evaluated to transition to a large-scale underground operation using sub-level caving ("**SLC**"). The SLC method was selected based on the deposit's thickness, continuity, and steep eastward dip, allowing for efficient bulk extraction at depth. The conceptual underground mine plan contemplates production rates of approximately 6.2 million tonnes per annum over an estimated 28-year mine life, supported by extensive underground development, materials handling systems, and a new tailings storage facility, subject to further engineering studies, permitting, and financing.

**Processing and Recovery Operations**

The Santa Rita Mine is supported by an existing, fully permitted on-site mineral processing plant designed to treat sulphide ore at a rate of approximately 6.5 million tonnes per year, using conventional crushing, grinding, and flotation circuits to produce a nickel-copper concentrate.

To support the planned transition to underground mining, modifications to the existing process plant are contemplated to maintain throughput and optimize performance for deeper, higher-grade mineralization. Metallurgical testwork indicates that underground material is amenable to processing through the existing flowsheet, with potential adjustments focused on comminution capacity, flotation performance, and tailings management rather than wholesale plant replacement. The development plan assumes continued use of the existing plant infrastructure, supplemented by targeted upgrades and the construction of a new tailings storage facility to accommodate increased life-of-mine tailings volumes, subject to further engineering, permitting, and economic studies.

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**Infrastructure, Permitting and Compliance Activities**

**Infrastructure**

The Santa Rita Mine is supported by established infrastructure sufficient for current operations, including all-weather access roads, on-site power distribution, water supply systems, and communications facilities. The majority of the infrastructure was put into operation in 2010 and is in working order. Electrical power is supplied via connection to the regional grid, with on-site substations and distribution infrastructure supporting mining and processing activities. Water for processing and site use is sourced from permitted surface water abstractions and managed through an integrated water management system. The site includes an operating open pit, process plant, tailings storage facility, waste rock storage areas, maintenance workshops, administrative buildings, and accommodations. The mine is located approximately 7 km from the town of Ipiaú and has road access to the Port of Ilhéus for concentrate export. Existing infrastructure is considered adequate to support ongoing open pit operations and provides a foundation for planned underground development, subject to future expansions and permitting.

**Permitting and Compliance**

The Santa Rita Mine operates under a comprehensive set of Brazilian environmental and operating permits covering open pit mining, mineral processing, water abstraction, waste disposal, and tailings management. The project is regulated by state and federal authorities, including the issuance of environmental licenses supported by Environmental Impact Assessments and ongoing monitoring and reporting requirements. The existing permits are sufficient to support current open pit operations and processing activities, and the operation is in compliance with applicable environmental, health, safety, and mining regulations. Additional permits and approvals will be required to support future underground mining and associated infrastructure, including tailings storage expansions, subject to further engineering studies and regulatory review.

**Production**

In 2025, the Santa Rita Mine processed 6.7 million tonnes of ore grading 0.29% nickel sulphide, 0.09% copper and 0.014% cobalt, producing 16,236 tonnes of nickel in concentrate, 5,253 tonnes of copper in concentrate and 307 tonnes of cobalt in concentrate. Versamet acquired the royalty effective July 1, 2025, with production since acquisition totaling 8,230 kt of nickel in concentrate, 2635 tonnes of copper in concentrate and 158 tonnes of cobalt in concentrate. Due to concentrate shipment and settling schedules there is a delay between production and royalty payment.

**ITEM 4A: UNRESOLVED STAFF COMMENTS**

Not Applicable.

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**ITEM 5: OPERATING AND FINANCIAL REVIEW AND PROSPECTS**

**A. Operating Results**

**Three month period ended September 30, 2025 compared to September 30, 2024**

**Cash flows and financial condition**

During the quarter ended September 30, 2025, our cash balance increased by $1.4 million. This increase is primarily as a result of the factors listed below. We received inflows of $8.1 million in revenue, made cash payments to Equinox and Endeavour Silver included within cost of sales of $0.9 million and incurred $1.0 million in cash operating expenses. In addition, we saw an outflow of $1.9 million relating to working capital.

We drew net $124.0 million on the Upsized Credit Facility to fund the $125.0 million acquisition of the Rosh Pinah silver stream and Santa Rita royalty. We also incurred $1.7 million of financing costs primarily related to $1.0 million of cash interest charges on debt outstanding and $0.7 million of commitment fees related to the Credit Facility and Term Loan. Further, we paid $0.1 million in cash taxes.

During the quarter ended September 30, 2024, our cash balance increased by $0.5 million. This increase was primarily as a result of: inflows of $3.2 million in revenue, cash payments to Equinox included within cost of sales of $0.5 million and incurring $0.5 million in cash operating expenses. We received net proceeds of $7.5 million from a private placement with B2Gold, repaid $8.7 million on the Credit Facility and paid $0.2 million in cash interest charges on outstanding debt. Further, we paid $0.1 million in cash taxes.

**Discussion of Statement of Income (loss)**

We earned net income of $3.3 million in the quarter ended September 30, 2025 as compared to earning a net income of $3.9 million in the prior year. These results are as a result of the following factors:

**Revenue**

We earned total revenue of $8.1 million during the three months ended September 30, 2025 as compared to $3.2 million in the same period in 2024. A discussion of revenue by operating segment is presented below:

We earned revenue of $3.6 million from the sale of gold from Greenstone GPA during the three months ended September 30, 2025 as compared to $2.6 million in the same period of 2024. We received the same number of gold ounces each period (1,050 ounces); the increase in revenue was due to the increase in the average spot price of gold received by us in Q3 2024 of $2,636 as compared to Q3 2025 of $3,439.

We earned $0.5 million in royalty revenue from the Blackwater royalty during the three months ended September 30, 2025. No revenue was earned from this royalty in 2024 as the Blackwater mine commenced production during 2025.

We earned $1.5 million in revenue from the sale of copper received under the Kolpa stream during the three months ended September 30, 2025. No revenue was earned under the Kolpa stream in 2024 as the Kolpa stream was acquired during the second quarter of 2025.

We earned revenue of $1.8 million from the Kiaka royalty during the three months ended September 30, 2025. No revenue was earned from Kiaka in 2024 as the Kiaka Mine only commenced production in Q2 2025.

We earned $0.5 million in revenue from the Mercedes royalty during the three months ended September 30, 2025 as compared to $0.6 million in prior period. The reason for the decrease period-upon-period is due to an 81% reduction in the number of ounces sold period-on-period, based on lower production from the Mercedes mine; this was offset by a significant increase in the realized gold price from the sales from the Mercedes mine period-upon-period.

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**Cost of Sales**

We incurred total cost of sales of $3.8 million during the three months ended September 30, 2025 as compared to $2.6 million in the same period in 2024. A discussion of cost of sales by operating segment is presented below:

Cost of sales of $3.7 million was incurred during the three months ended September 30, 2025 on the Greenstone GPA as compared to $2.6 million in the prior period. Cost of sales includes: (i) a cash payment to Equinox Gold upon monthly deliveries of gold based on 20% of the value of the gold delivered to us and (ii) a non-cash drawdown against the initial deposit paid for the Greenstone GPA. Both the cash and non-cash portion of cost of sales are impacted by the gold price; the increase in the price of gold period-upon-period led to the increase in cost of sales.

Cost of sales of $0.1 million was incurred in the three months ended September 30, 2025 in relation to the Kolpa copper stream. Cost of sales represents a payment of 10% of the value of the copper delivered to Versamet on a monthly basis to the mine operator. The Kolpa stream was acquired in Q2 2025 and as such no cost of sales related to the stream were incurred in prior year.

**Depletion**

We deplete our assets which are classified as Royalty and other interests on the Statement of Financial Position. Total depletion of $1.6 million was recorded in the 3 months ended September 30, 2025 as compared to $0.2 million in the prior period. A discussion of depletion by operating segment is presented below:

Total depletion of $0.1 million was recorded on the Blackwater royalty during the three months ended September 30, 2025. Depletion is a factor of the level of sales (as a result of production) at the Blackwater mine and the carrying value of the asset on our Statement of Financial Position. No depletion was recorded in the prior period as the Blackwater mine only commenced production during 2025.

Total depletion of $0.9 million was recorded on the Kolpa stream the three months ended September 30, 2025. Depletion is a factor of the level of copper production at the Kolpa mine and the carrying value of the asset on our Statement of Financial Position. No depletion was recorded in the prior period as the Kolpa stream was acquired in the second quarter of 2025.

Total depletion of $0.4 million was recorded on the Kiaka royalty during the three months ended September 30, 2025. Depletion is a factor of the level of gold production at the Kiaka Mine and the carrying value of the asset on our Statement of Financial Position. No depletion was recorded in the prior period as the Kiaka Mine only commenced production in Q2 2025.

Total depletion of $0.2 million was recorded on the Mercedes royalty during the three months ended September 30, 2025 as compared to $0.2 million in the prior period. Depletion is a factor of the level of sales (as a result of production) at the Mercedes mine and the carrying value of the asset on our Statement of Financial Position. Although sales decreased period-upon-period, we also impaired the carrying value of the Mercedes asset over this time period, resulting in a consistent depletion charge when comparing the two periods.

**Gross Profit**

We earned total gross profit of $2.7 million in the three months ended September 30, 2025 as compared to $0.4 million in the same period in prior year. Gross profit is the sum of revenue less cost of sales and depletion; a discussion of each factor is above. A comparison of gross profit by operating segment is presented below:

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We earned gross profit of $0.4 million from the Blackwater royalty in the three months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this royalty in 2024 as the Blackwater mine commenced production during 2025.

We earned gross profit of $0.5 million from the Kolpa copper stream in the three months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this stream in 2024 as the Kolpa stream was acquired during 2025.

We earned gross profit of $1.4 million from the Kiaka royalty in the three months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this royalty as the Kiaka Mine only commenced production in Q2 2025.

We earned gross profit of $0.3 million from the Mercedes royalty in the three months ended September 30, 2025 as compared to $0.4 million in the comparative period. The consistent gross profit period-upon-period is as a result of an increase in the gold price offset by a decrease in sales by the mine operator (as discussed above).

**Other income and expenditures:**

The table below details the changes in the expenditures for the quarter ended September 30, 2025 <br>as compared to the quarter ended September 30, 2024. With the exception of the change in the fair value of the Greenstone gold interest, the line items below are considered corporate income / expenses and are not allocated to the segments which the Chief Operating Decision Maker (being the CEO) reviews.

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| | | |
|:---|:---|:---|
| **Expense/Other income** | **Increase/Decrease from prior year <br>(US$000s)** | **Explanation for the change** |
| Business development | Decrease of $9 | The expenses were largely consistent period-on-period. |
| Change in fair value of Greenstone gold interest | Decrease of $1,828 | This decrease relates to the comparative fair value movement in the Greenstone interest with Equinox during Q3 2025 as compared to Q3 2024. There was an increase during both periods, but relatively more of an increase during Q3 2024. The change in value is largely driven by the consensus gold price and the discount rate applied to the valuation of the Greenstone interest. |
| General and administrative | Increase of $168 | The expenses were largely consistent period-on-period. |
| Professional fees | Increase of $219 | The increase is primarily due to costs related to the process to list Versamet's common shares in the United States. |
| Salaries and benefits | Increase of $88 | The expenses were largely consistent period-on-period. |
| Share-based compensation | Increase of $147 | The increase relates to a higher number of stock options and RSUs outstanding and vesting during the period compared to the prior period. |
| Foreign exchange loss | Decrease of $103 | The expenses were largely consistent period-on-period. |
| Finance and interest expense | <br>Increase of $511 | The increase is primarily due to higher amounts drawn on the Company's Credit Facilities. |
| Change in fair value of convertible debt derivative liability | Decrease of $494 | The Beedie Convertible Loan was fully repaid in Q2 2025 and the convertible debt derivative liability related to the conversion option was derecognized. |
| Interest income | Increase of $56 | The income was largely consistent period-on-period. |

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In addition, we recognized a current tax expense of $0.1 million during the quarter ended September 30, 2025 (2024 - $0.1 million); the current tax expense relates to withholding taxes payable on royalty revenue earned from the Mercedes Mine. Deferred tax expense of $1.3 million was recognized in the current period (2024 - $1.7 million); the deferred tax expense is primarily driven by an increase in the value of the Greenstone gold interest during the period, resulting in a future income tax expense.

**Nine months ended September 30, 2025 compared to September 30, 2024**

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**Cash flows and financial condition** 

During the nine months ended September 30, 2025, our cash balance increased by $1.4 million. This increase is primarily as a result of the factors listed below. We received inflows of $16.4 million in revenue, made cash payments to Equinox and Endeavour Silver included within cost of sales of $2.2 million and incurred $3.0 million in cash operating expenses. We also saw an outflow of $3.5 million relating to working capital. We drew net $176.0 million on the Credit Facilities to fund the $160.0 million acquisitions of the Silver Stream, Santa Rita royalty and the Kolpa copper stream and $16.4 million repayment of the Beedie Convertible Debt in full. We also incurred $5.5 million of financing costs related to $2.4 million in non-recurring prepayment fees related to early repayment of the Beedie Convertible Debt, $2.1 million of cash interest charges on debt outstanding and $1.0 million of commitment fees. Further, we paid $0.4 million in cash taxes.

During the nine months ended September 30, 2024, the Company's cash balance decreased by $5.2 million. This decrease is primarily as a result of the factors listed below: inflows of $8.8 million in revenue, cash payments to Equinox included within cost of sales of $1.4 million and incurring $1.5 million in cash operating expenses. We had a cash inflow of $1.0 million on the sale of its common shares in Montage Gold Corp. We incurred $0.1 million in transaction costs relating to the transaction with B2Gold. We received net proceeds of $7.5 million from a private placement with B2Gold, repaid $17.2 million on the RCF and paid $1.6 million in cash interest charges on debt outstanding net of interest income. Further, we paid $0.4 million in cash taxes.

**Discussion of Statement of Income (loss)**

We earned net income of $5.3 million in the nine months ended September 30, 2025 as compared to earning a net income of $4.8 million in the same period in 2024. These results are as a result of the following factors:

**Revenue**

We earned total revenue of $16.4 million during the nine months ended September 30, 2025 as compared to $8.8 million in the same period in 2024. A discussion of revenue by operating segment is presented below:

We earned revenue of $10.0 million from the sale of gold from Greenstone GPA during the nine months ended September 30, 2025 as compared to $7.2 million in the same period of 2024. We received the same number of gold ounces each period (3,150 ounces); the increase in revenue was due to the increase in the average spot price of gold received by our Company in the first nine months of 2024 of $2,292 as compared to the first nine months of 2025 of $3,186.

We earned $0.9 million in royalty revenue from the Blackwater royalty during the nine months ended September 30, 2025. No revenue was earned from this royalty in 2024 as the Blackwater mine commenced production during 2025.

We earned $1.9 million in revenue from the sale of copper received under the Kolpa stream during the nine months ended September 30, 2025. No revenue was earned under the Kolpa stream in 2024 as the Kolpa stream was acquired during the second quarter of 2025.

We earned revenue of $1.8 million from the Kiaka royalty during the nine months ended September 30, 2025. No revenue was earned from Kiaka in 2024 as the Kiaka Mine only commenced production in Q2 2025.

We earned $1.5 million in revenue from the Mercedes royalty during the nine months ended September 30, 2025 as compared to $1.6 million in prior period. The reason for the decrease period-upon-period is due to a 33% reduction in the number of ounces sold period-on-period, based on lower production from the Mercedes mine offset by a significant increase in the realized gold price from the sales from the Mercedes mine period-upon-period.

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**Cost of Sales**

We incurred total cost of sales of $10.3 million during the nine months ended September 30, 2025 as compared to $7.2 million in the same period in 2024. A discussion of cost of sales by operating segment is presented below:

Cost of sales of $10.1 million was incurred during the nine months ended September 30, 2025 on the Greenstone GPA as compared to $7.2 million in the prior period. Cost of sales includes: (i) a cash payment to Equinox Gold upon monthly deliveries of gold based on 20% of the value of the gold delivered to our Company and (ii) a non-cash drawdown against the initial deposit paid for the Greenstone GPA. Both the cash and non-cash portion of cost of sales are impacted by the gold price; the increase in the price of gold period-upon-period led to the increase in cost of sales.

Cost of sales of $0.2 million was incurred in the nine months ended September 30, 2025 in relation to the Kolpa copper stream. Cost of sales represents a payment of 10% of the value of the copper delivered to Versamet on a monthly basis to the mine operator. The Kolpa stream was acquired in Q2 2025 and as such no cost of sales related to the stream were incurred in prior year.

**Depletion**

We deplete our assets which are classified as Royalty and other interests on the Statement of Financial Position. Total depletion of $2.5 million was recorded in the nine months ended September 30, 2025 as compared to $0.7 million in the prior period. A discussion of depletion by operating segment is presented below:

Total depletion of $0.2 million was recorded on the Blackwater royalty during the nine months ended September 30, 2025. Depletion is a factor of the level of sales (as a result of production) at the Blackwater mine and the carrying value of the asset on the Company's Statement of Financial Position. No depletion was recorded in the prior period as the Blackwater mine only commenced production during 2025.

Total depletion of $1.2 million was recorded on the Kolpa stream the nine months ended September 30, 2025. Depletion is a factor of the level of copper production at the Kolpa mine and the carrying value of the asset on our Company's Statement of Financial Position. No depletion was recorded in the prior period as the Kolpa stream was acquired in the second quarter of 2025.

Total depletion of $0.4 million was recorded on the Kiaka royalty during the nine months ended September 30, 2025. Depletion is a factor of the level of gold production at the Kiaka Mine and the carrying value of the asset on our Statement of Financial Position. No depletion was recorded in the prior period as the Kiaka Mine only commenced production in Q2 2025.

Total depletion of $0.7 million was recorded on the Mercedes royalty during the nine months ended September 30, 2025 as compared to $0.7 million in the prior period. Depletion is a factor of the level of sales (as a result of production) at the Mercedes mine and the carrying value of the asset on our Statement of Financial Position. Although sales decreased period-upon-period, we also impaired the carrying value of the Mercedes asset over this time period, resulting in a consistent depletion charge when comparing the two periods.

**Gross Profit**

We earned total gross profit of $2.7 million in the nine months ended September 30, 2025 as compared to $0.4 million in the same period in prior year. Gross profit is the sum of revenue less cost of sales and depletion; a discussion of each factor is above. A comparison of gross profit by operating segment is presented below:

We earned gross profit of $0.7 million from the Blackwater royalty in the nine months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this royalty in 2024 as the Blackwater mine commenced production during 2025.

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We earned gross profit of $0.5 million from the Kolpa copper stream in the nine months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this stream in 2024 as the Kolpa stream was acquired during 2025.

We earned gross profit of $1.4 million from the Kiaka royalty in the nine months ended September 30, 2025 as compared to nil in the comparative period. No gross profit was earned from this royalty as the Kiaka Mine only commenced production in Q2 2025.

We earned gross profit of $0.8 million from the Mercedes royalty in the nine months ended September 30, 2025 as compared to $0.9 million in the comparative period. The decrease in the gross profit period-upon-period is as a result of a decrease in sales by the mine operator (as discussed above) offset by an increase in the gold price.

**Other income and expenditures:**

The table below details the changes in the expenditures for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. With the exception of the change in the fair value of the Greenstone gold interest, the line items below are considered corporate income / expenses and are not allocated to the segments which the Chief Operating Decision Maker (being the CEO) reviews.

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| | | |
|:---|:---|:---|
| **Expense/Other income** | **Increase/Decrease from prior year <br>(US000s)** | **Explanation for the change** |
| Business development | Increase of $55 | The expenses were largely consistent period-on-period. |
| Change in fair value of Greenstone gold interest | Increase of $1,480 | This increase relates to the comparative fair value movement in the Greenstone interest with Equinox. There was a gain during both periods but relatively more of an increase during the current period. The change in value is largely driven by the consensus gold price and the discount rate applied to the valuation of the Greenstone interest. |
| General and administrative | Increase of $220 | The increase is primarily related to listing costs for the TSX Venture Exchange ("TSXV") in the current period. The Company's common shares started trading on the TSXV in Q2 2025. |
| Professional fees | Increase of $317 | The increase is primarily due to professional fees related to the listing Versamet's common shares on the on the TSXV and in the United States in the current period. |
| Salaries and benefits | Increase of $906 | The increase was driven by a payment as a result of management changes during Q1 2025 in addition to higher headcount as the Company grows. |
| Share-based compensation | Decrease of $853 | The decrease relates to a reversal of share-based compensation expense previously incurred for unvested options, RSUs and PRSUs which were forfeited by the former CEO upon his departure during Q1 2025, partially offset by higher number of stock options and RSUs outstanding and vesting during the current period. |
| Foreign exchange loss | Increase of $656 | In the current period a foreign exchange loss of $570 was recorded as compared to a foreign exchange gain of $86 in the prior period. The foreign exchange is primarily recorded as a result of revaluing the Canadian denominated Beedie Convertible Loan (see "8. Liquidity and capital resources") into US dollars, the Company's functional currency. The weakening of the US dollar as compared to the Canadian dollar prior to repayment on April 30, 2025 lead to a foreign exchange loss, compared to a strengthening of the US dollar in the prior period. |
| Finance and interest expense | Increase of $5,623 | The increase primarily relates to prepayment of the Beedie Convertible Loan and higher outstanding amounts on the Credit Facilities to fund stream and royalty acquisitions in the current period. As a result of the revised repayment date on the Beedie Convertible Loan, the Company recognized $3.3 million of finance expense due to the accelerated recording of the accretion expense and $2.4 million of non-recurring prepayment fees. |
| Change in fair value of convertible debt derivative liability | Increase of $3,083 | In Q2 2025, the Beedie Convertible Loan was fully repaid and the convertible debt derivative liability related to the conversion option was derecognized resulting in a gain of $3.2 million. |
| Interest income | Decrease of $15 | The income was largely consistent period-on-period. |

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In addition, we recognized a current tax expense of $0.4 million during the nine months ended September 30, 2025 (2024 - $0.4 million); the current tax expense relates to withholding taxes payable on royalty revenue earned from the Mercedes Mine. Deferred tax expense of $2.7 million was recognized in the current period (2024 - $2.6 million); the deferred tax expense is primarily driven by an increase in the value of the Greenstone gold interest during the period, resulting in a future income tax expense.

**Year ended December 31, 2024 and December 31, 2023**

**Cash flows and financial position**

During the year ended December 31, 2024, our cash balance decreased by $5.3 million. This decrease is as a result of the factors listed below. We received inflows of $12.0 million in revenue, made cash payments to Equinox included within cost of sales of $2.0 million and incurred $3.0 million in cash operating expenses. Further, we saw an inflow of $0.8 million relating to working capital. We had a cash inflow of $1.0 million on the sale of common shares in Montage. We incurred $0.1 million in transaction costs relating to the B2Gold Transaction. In addition, we received net proceeds of $7.5 million from a private placement with B2Gold, repaid $19.0 million on the Credit Facility and paid $2.0 million in cash interest charges on debt outstanding net of interest income.

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Further, we paid $0.5 million in cash taxes and incurred a foreign exchange loss on cash balances of $0.1 million.

During the year ended December 31, 2023, our cash balance increased by $2.6 million. This increase is primarily as a result of the factors listed below. We received inflows of $3.1 million in revenue, made cash payments to Equinox included within cost of sales of $0.3 million, and incurred $1.8 million in cash operating expenses and an inflow of $2.2 million relating to the repayment of the Sandstorm Convertible Note. We also paid $0.4 million in withholding taxes on the income from the Mercedes royalty. Our cash inflows related to the Credit Facility and Beedie Convertible Loan were reasonably consistent with the outflows to close the acquisitions of the Greenstone GPA and the two royalties from Sandstorm.

**Discussion of Statement of Income (loss)**

We incurred a net loss of $2.4 million in the year ended December 31, 2024 as compared to incurring a net loss of $3.1 million in the year ended December 31, 2023. These results are as a result of the following factors:

**Revenue**

We earned total revenue of $12.0 million during the year ended December 31, 2024 as compared to $3.1 million during the year ended December 31, 2023. A discussion of revenue by operating segment is presented below:

We earned revenue of $10.0 million from the sale of gold from Greenstone GPA during the year ended December 31, 2024 as compared to $1.4 million in the same period of 2023. We acquired the Greenstone GPA on October 31, 2023 and as such only received two months of deliveries (or 700 ounces of gold) during 2023 as compared to a full twelve months of deliveries in 2024 (or 4,200 ounces of gold). In addition, our average realized price from the sale of gold increased from $2,000 per ounce in 2023 to $2,378 per ounce in 2024.

We earned $2.0 million in revenue from the Mercedes royalty during the year ended December 31, 2024 as compared to $1.7 million in the same period of 2024. The reason for the increase period-upon-period is due to a significant increase in the realized gold price from the sales of the Mercedes mine period-upon-period; this was offset with a 6% reduction in the number of ounces sold period-on-period, based on lower production from the Mercedes mine.

**Cost of Sales**

We incurred total cost of sales of $10.0 million during the year ended December 31, 2024 as compared to $1.4 million in the same period of 2023. A discussion of cost of sales by operating segment is presented below:

Cost of sales of $10.0 million was incurred during the year ended December 31, 2024 on the Greenstone GPA as compared to $1.4 million in 2023. Cost of sales includes: (i) a cash payment to Equinox Gold upon monthly deliveries of gold based on 20% of the value of the gold delivered to the Company and (ii) a non-cash drawdown against the initial deposit paid for the Greenstone GPA. We acquired the Greenstone GPA on October 31, 2023 and as such only received two months of deliveries (or 700 ounces of gold) during 2023 as compared to a full twelve months of deliveries in 2024 (or 4,200 ounces of gold). In addition, our average realized price from the sale of gold increased from $2,000 per ounce in 2023 to $2,378 per ounce in 2024. Both the cash and non-cash portion of cost of sales are impacted by the gold price.

**Depletion**

We deplete our assets which are classified as Royalty and other interests on the Statement of Financial Position. Total depletion of $0.8 million was recorded during the year ended December 31, 2024 as compared to $0.9 million in the year ended December 31, 2023. A discussion of depletion by operating segment is presented below:

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Total depletion of $0.8 million was recorded on the Mercedes royalty during the year ended December 31, 2024 as compared to $0.9 million in 2023. Depletion is a factor of the level of sales (as a result of production) at the Mercedes mine and the carrying value of the royalty asset on our Statement of Financial Position. A 6% reduction in the number of ounces sold by the operator of the Mercedes mine led to the reduction in depletion during when comparing 2023 to 2024.

**Gross Profit**

We earned total gross profit of $1.2 million in the year ended December 31, 2024 as compared to $0.8 million in the same period in 2023. Gross profit is the sum of revenue less cost of sales and depletion; a discussion of each factor is above. A comparison of gross profit by operating segment is presented below:

We earned gross profit of $1.2 million from the Mercedes royalty in the year ended December 31, 2024 as compared to $0.8 million in the prior year. The increase in the gross profit year-upon-year is primarily as a result of a higher realized gold price by the Mercedes operator for the gold they produced and sold during 2024 as compared to 2023, as described above.

**Other income and expenditures:**

The table below details the changes in the expenditures for the year ended December 31, 2024 as compared to the year ended December 31, 2023. With the exception of the Change in the fair value of the Greenstone gold interest, the line items below are considered corporate income / expenses and are not allocated to the segments which the Chief Operating Decision Maker (being the CEO) reviews.

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| | | |
|:---|:---|:---|
| **Expense/Other income** | **Increase/Decrease<br>from prior year**  | **Explanation for the change** |
| Business development | Increase of $15,493 | The expenses were largely consistent period-on-period. |
| Change in fair value of Greenstone gold interest | Increase of $9,224,739 | This gain relates to the fair value movement in the Greenstone GPA with Equinox between December 31, 2023 and December 31, 2024; this largely relates to the increase in consensus gold pricing during this period. |
| General and administrative | Increase of $274,492 | The increase was due to larger insurance premiums in the current period due to increased coverage as the Company grew, as well as higher rent costs in the current period as compared to the prior period as the Company grew in size. Further, certain filing fees were incurred in the current period related to the B2Gold Transaction which were not incurred in the prior period. |
| Professional fees | Decrease of $266,229 | In prior period, our general counsel was engaged as a consultant, for which expense was included in professional fees. In the current period, general counsel became an employee and his fees are included in salaries and benefits. This is offset by higher audit expense in the current period due to more complex operations as compared to the prior period. |
| Salaries and benefits | Increase of $1,114,754 | The increase in primarily driven by an accrual for bonuses paid to employees of the Company in January 2025. In addition, in prior period, our general counsel was engaged as a consultant, for which expense was included in professional fees. In the current period, general counsel became an employee and their fees are included in salaries and benefits. |
| Share-based compensation | Increase of $939,735 | The increase relates to an accrual for bonuses paid to employees in January 2025 in the form of restricted share units. The timing of share-based compensation grants and the vesting schedule of said grants also impacts the expense recorded. |
| Foreign exchange gain | Increase of $1,166,432 | In the current period a foreign exchange gain was recorded as compared to a foreign exchange loss in the prior period. The foreign exchange is primarily recorded as a result of revaluing the Canadian denominated Beedie Convertible Loan (see "Item 5.B. Liquidity and capital resources") into US dollars, the Company's functional currency. The strengthening of the US dollar as compared to the Canadian dollar, period upon period, has meant this liability has a lower value in the current period when recorded in US dollars. |

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- 115 - <br>

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| | | |
|:---|:---|:---|
| Finance and interest expense | Increase of $1,568,554 | The finance and interest expense in the current period includes accretion on the Sandstorm Convertible Note, the Beedie Convertible Loan and the Credit Facility. In addition, the interest incurred on both the Beedie Convertible Loan and the Credit Facility is included in finance expense; these two debt facilities were entered into on October 31, 2023 and so not in place for most of the prior period. |
| Change in fair value of convertible debt derivative liability | Increase of $403,584 | The gain relates to the fair value of the Beedie Derivative Liability. The Derivative Liability is fair valued each period using a number of market and other inputs. |
| Interest income | Increase of $35,740 | We had a significantly higher cash balance in the first quarter of the current period as compared to the prior year, which led to higher interest income in the current period. Most of the additional cash was used to pay down a portion of the Credit Facility at various intervals during the remainder of the 12 months ended December 31, 2024. |

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In addition, we recognized a current tax expense of $0.5 million during the year ended December 31, 2024 (2023 - $0.4 million); the current tax expense relates to withholding taxes payable on royalty revenue earned from the Mercedes asset. A deferred tax expense of $1.1 million was incurred in the current period; this compares to a $0.2 million deferred tax expense in 2023. The deferred tax expense in the current period relates the positive change in fair value of the Greenstone Gold Interest which led to greater income in the quarter, offset by the impairment of the Mercedes asset for accounting purposes, which resulted in the reversal of some of the deferred tax liability recognized on royalty and other assets.

**Summary of Quarterly Results**

The following table is a summary of the Company's financial results and position for the 8 most recently completed quarters.

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** | **Three months ended** |
| all amounts in $000s U.S dollars (except per share amounts)<sup>**1**</sup> | **Sep.30, 2025** | **Jun. 30, 2025** | **Mar. 31, 2025** | **Dec. 31, 2024** | **Sep.30, 2024** | **Jun. 30, 2024** | **Mar. 31, 2024** | **Dec. 31, 2023** |
| Total revenue | 8118 | 4826 | 3454 | 3249 | 3178 | 2901 | 2697 | 1919 |
| Attributable GEOs<sup>2</sup> | 2699 | 1475 | 1211 | 1232 | 1288 | 1237 | 1308 | 959 |
| Average realized gold price per ounce | 3451 | 3272 | 2853 | 2636 | 2468 | 2346 | 2063 | 2001 |
| Average cash cost per attributable GEO<sup>2</sup> | 323 | 500 | 495 | 449 | 403 | 398 | 332 | 291 |
| Average cash cost margin<sup>2</sup> | 91% | 84% | 83% | 83% | 84% | 83% | 84% | 85% |
| Net income (loss) | 3319 | 170 | 1784 | (7261) | 3864 | 1123 | (173) | 2073 |
| Other comprehensive income (loss) | 545 | (325) | 52 | (120) | (55) | (343) | 711 | 250 |
| Basic income (loss) per share | 0.04 | 0.00 | 0.02 | (0.08) | 0.04 | 0.02 | 0.00 | 0.04 |
| Diluted income (loss) per share | 0.03 | 0.00 | 0.02 | (0.08) | 0.04 | 0.02 | 0.00 | 0.04 |
| Weighted average shares (basic) | 92971426 | 92744605 | 92414345 | 92311790 | 89427398 | 65314338 | 56897860 | 46960434 |
| Weighted average shares (diluted) | 95738461 | 94457830 | 94004406 | 92311790 | 90776823 | 68204420 | 56897860 | 47360434 |
| Total assets | 400448 | 269830 | 231693 | 230249 | 240234 | 225152 | 152097 | 157739 |
| Long-term liabilities<sup>3</sup> | 158485 | 55647 | 2123 | 2070 | 5356 | 12364 | 20428 | 27490 |
| Operating cash inflows (outflows) before working capital changes<sup>2</sup> | 6136 | 3209 | 1411 | 1137 | 2004 | 1780 | 1620 | 800 |
| Cash flows per share before working capital changes<sup>2</sup> | 0.07 | 0.03 | 0.02 | 0.01 | 0.02 | 0.03 | 0.03 | 0.02 |
| EBITDA<sup>2</sup> | 7614 | 8073 | 3414 | (7848) | 6682 | 2912 | 1653 | 3937 |
| Adjusted EBITDA<sup>2</sup> | 5715 | 2220 | 1486 | 1417 | 1639 | 1606 | 619 | 223 |

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1. Sum of all the quarters may not add up to the annual total due to rounding.

2. See "Non-IFRS measures" directly below.

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3. In January 2020, the IASB published narrow scope amendments to IAS 1 Presentation of financial statements. The narrow scope amendment clarifies that liabilities are classified as either current or noncurrent, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the expectations of the entity or events after the reporting date. The amendments were effective for annual periods beginning on or after January 1, 2024 and applied retrospectively. The Company adopted the narrow scope amendments on January 1, 2024. These amendments resulted in the Company recognizing the Beedie Convertible Loan as a current liability and a portion of the Sandstorm Convertible Note as a current liability as at December 31, 2023. This is explained in the notes to the financial statements of the Company for the year ended December 31, 2024.

**Non-IFRS Measures**

This Registration Statement contains certain non-IFRS measures, including (i) Attributable Gold Equivalent Ounces, (ii) average cash cost per Attributable Gold Equivalent Ounce (iii) average cash cost margin (iv) cash flows from operating activities before working capital changes (v) cash flows from operating activities before working capital changes per share (vi) EBITDA and (vii) Adjusted EBITDA (the "Non-IFRS Measures"). The Non-IFRS measures are not standard measures under IFRS and our method of calculating the Non-IFRS Measures may differ from the methods used by other issuers. Therefore, our Non-IFRS measures may not be comparable to similar measures presented by other issuers. See below for a description of each non-IFRS measure and a reconciliation to the nearest IFRS measure for the period.

**Attributable Gold Equivalent Ounces** is calculated by converting our royalty revenue and stream sales to a GEO basis by dividing the royalty revenue plus stream sales for a period by the average gold price based on the LBMA Gold Price PM Fix per ounce for the same respective period. Total Attributable GEOs sold includes the GEOs from our royalty revenue and stream sales, plus the gold ounces sold from the Greenstone gold interest and Santa Rita royalty amounts received related to the period between the Effective Date and closing of the agreement, which have been treated as an adjustment to the purchase consideration for accounting. Management believes that adjusting for these amounts more accurately depicts GEOs attributable to the Company. We present Total Attributable GEOs as we believe that this is useful information to allow investors to evaluate the Company's performance in comparison to other streaming and royalty companies in the precious metals mining industry that present results on a similar basis.

For the three months ended:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **(in $000s USD, except Total Attributable GEOs)** | **Sep. 30, 2025** | **Jun. 30, 2025** | **Mar. 31, 2025** | **Dec. 31, 2024** | **Sep. 30, 2024** | **Jun. 30, 2024** | **Mar. 31, 2024** | **Dec. 31, 2023** |
| **Revenue** | **8118** | **4826** | **3454** | **3249** | **3178** | **2901** | **2697** | **1919** |
| DIVIDED BY: |  |  |  |  |  |  |  |  |
| Average realized gold price per ounce | 3451 | 3272 | 2853 | 2636 | 2468 | 2346 | 2063 | 2001 |
|  | 2354 | 1475 | 1211 | 1232 | 1288 | 1237 | 1308 | 959 |
| Santa Rita adjustment | 345 |  |  |  |  |  |  |  |
| **Total Attributable GEOs** | **2699** | **1475** | **1211** | **1232** | **1288** | **1237** | **1308** | **959** |

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**Average cash cost per Attributable GEO** is calculated by dividing the Company's cost of sales, excluding depletion and other non-cash cost of sales by the number of Attributable GEOs (described above). We present average cash cost per Attributable GEO as we believe that this is useful information to allow investors to evaluate the Company's performance and ability to generate cash flow in comparison to other streaming and royalty companies in the precious metals mining industry who present results on a similar basis.

**Average cash cost margin** is calculated by dividing the difference between the Average realized gold price per ounce and the Average cash cost per Attributable GEO by the Average realized gold price per ounce. We present average cash cost margin as we believe that this is useful information to allow investors to evaluate the Company's performance and ability to generate cash flow in comparison to other streaming and royalty companies in the precious metals mining industry who present results on a similar basis.

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For the three months ended:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **(in $000s USD, except Total Attributable GEOs)** | **Sep. 30, 2025** | **Jun. 30, 2025** | **Mar. 31, 2025** | **Dec. 31, 2024** | **Sep. 30, 2024** | **Jun. 30, 2024** | **Mar. 31, 2024** | **Dec. 31, 2023** |
| **Cost of sales (excluding depletion)** | **3769** | **3490** | **2995** | **2765** | **2593** | **2460** | **2171** | **1397** |
| Less: non-cash cost of sales related to GPA | (2897) | (2753) | (2396) | (2212) | (2075) | (1968) | (1736) | (1117) |
| **Cash cost of sales** | **872** | **737** | **599** | **553** | **518** | **492** | **435** | **280** |
| DIVIDED BY: |  |  |  |  |  |  |  |  |
| Total Attributable GEO | 2699 | 1475 | 1211 | 1232 | 1288 | 1237 | 1308 | 959 |
| **Average cash cost per Attributable GEO** | **323** | **500** | **495** | **449** | **403** | **398** | **332** | **291** |
| **Average cash cost margin** | **91%** | **84%** | **83%** | **83%** | **84%** | **83%** | **84%** | **85%** |

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**Operating Cash inflows (outflows) before working capital changes** is calculated by adding back the decrease or subtracting the increase in changes in non-cash working capital (being trade and other receivables and prepaid assets and trade and other payables) to or from cash provided by (used in) operating activities. We present cash flows from operating activities before changes in non-cash working capital as it believes this presents a useful measure of our ability to generate cash to cover operating expenses from its cash-flowing royalties.

**Cash flows per share before working capital changes** is calculated by dividing the cash flow from operating activities before working capital changes by the weighted average number of our Common Shares outstanding during the period. We present cash flows from operating activities before changes in non-cash working capital on a per share basis as it believes this presents a useful measure for the shareholders to evaluate our performance.

For the three months ended:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **(in $000s USD, except share and <br>per share amounts)** | **Sep. 30, 2025**<br>**$** | **Jun. 30, 2025**<br>**$** | **Mar. 31, 2025**<br>**$** | **Dec. 31, 2024**<br>**$** | **Sep. 30, 2024**<br>**$** | **Jun. 30, 2024**<br>**$** | **Mar. 31, 2024**<br>**$** | **Dec. 31, 2023**<br>**$** |
| **Cash flows provided by (used in) operating activities** | **4255** | **2310** | **652** | **2104** | **1878** | **1849** | **1566** | **679** |
| Working capital changes | 1881 | 899 | 759 | (967) | 126 | (69) | 54 | 121 |
| **Cash flows from operations before working capital changes** | **6136** | **3209** | **1411** | **1137** | **2004** | **1780** | **1620** | **800** |
| Weighted average ordinary shares outstanding | 92971426 | 92744605 | 92414345 | 92311790 | 89427398 | 65314338 | 56897860 | 46960434 |
| **Cash flows from operations before working capital changes per share** | **0.07** | **0.03** | **0.02** | **0.01** | **0.02** | **0.03** | **0.03** | **0.02** |

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**EBITDA** refers to earnings (or loss) determined in accordance with IFRS, before finance and interest expense, interest income, income tax expense (recovery) and depreciation (including depletion) and amortization. This measure is used by management and investors to determine the ability of an issuer to generate cash from operations. Management believes this measure is a useful supplemental measure from which to determine our ability to generate cash available for working capital requirements, investment expenditures and income taxes.

**Adjusted EBITDA** adjusts EBITDA to exclude any non-cash cost of sales (a recurring cost), one-off impairment charges and gains/loss on assets and liabilities which are market-to-market each reporting period. Management believes this measure is a useful supplemental measure from which to determine our ability to generate cash available for working capital requirements, investment expenditures and income taxes.

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For the three months ended:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **(in $000s USD)** | **Sep. 30, 2025**<br>**$** | **Jun. 30, 2025**<br>**$** | **Mar. 31, 2025**<br>**$** | **Dec. 31, 2024**<br>**$** | **Sep. 30, 2024**<br>**$** | **Jun. 30, 2024**<br>**$** | **Mar. 31, 2024**<br>**$** | **Dec. 31, 2023**<br>**$** |
| **Net income (loss)** | **3319** | **170** | **1784** | **(7261)** | **3864** | **1123** | **(173)** | **2073** |
| Finance and interest expense | 1313 | 6592 | 628 | 669 | 802 | 995 | 1113 | 1114 |
| Income taxes | 1449 | 662 | 775 | (1408) | 1825 | 621 | 535 | 527 |
| Interest income | (91) | (13) | (11) | (18) | (35) | (15) | (80) | (41) |
| Depletion | 1624 | 662 | 238 | 170 | 226 | 188 | 258 | 264 |
| **EBITDA** | **7614** | **8073** | **3414** | **(7848)** | **6682** | **2912** | **1653** | **3937** |
| Non-cash cost of sales - Greenstone gold interest | 2897 | 2753 | 2396 | 2212 | 2075 | 1968 | 1736 | 1117 |
| Change in fair value of Greenstone gold interest | (4796) | (5433) | (4212) | (1099) | (6624) | (3951) | (2385) | (4835) |
| Change in fair value of derivative liability |  | (3173) | (112) | (198) | (494) | 677 | (385) | 4 |
| Adjustment for Impairment of royalty interest |  |  |  | 8350 |  |  |  |  |
| **Adjusted EBITDA** | **5715** | **2220** | **1486** | **1417** | **1639** | **1606** | **619** | **223** |

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**Select Annual Information**

Selected annual information from the audited financial statements for the years ended December 31, 2024, December 31, 2023 and December 31, 2022 is presented in the table below. The financial data below has been prepared in accordance with IFRS and is reported in US dollars.

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| | | | |
|:---|:---|:---|:---|
| all amounts in U.S dollars | **As at and for the year ended Dec. <br>31, 2024** | **As at and for the year ended Dec. <br>31, 2023** | **As at and for the year ended Dec. <br>31, 2022** |
| Royalty Revenue | 12024648 | 3139677 | 1156019 |
| Operating Income (Loss) | 1377637 | (216652) | (868004) |
| Net loss | (2447150) | (3124148) | (2245013) |
| Total assets | 230248545 | 157738602 | 79210658 |
| Total non-current liabilities | (2070407)<sup>**1**</sup> | (27489861)<sup>**1**</sup> | (15355812) |

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<sup>1.</sup> In January 2020, the IASB published narrow scope amendments to IAS 1 Presentation of financial statements. The narrow scope amendment clarifies that liabilities are classified as either current or noncurrent, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the expectations of the entity or events after the reporting date. The amendments were effective for annual periods beginning on or after January 1, 2024 and applied retrospectively. The Company adopted the narrow scope amendments on January 1, 2024. These amendments resulted in the Company recognizing the Beedie Convertible Loan as a current liability and a portion of the Sandstorm Convertible Note as a current liability as at December 31, 2023. This is explained in the notes to the financial statements of the Company for the year ended December 31, 2024.

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**B. Liquidity and Capital Resources**

As at September 30, 2025, we had a cash balance of $2.5 million. We use excess cash in order to pay down outstanding amounts on the BMO Credit Facility in order to reduce the amount of interest expense which we incur. We aim to maintain a cash balance of approximately $1.0 million in order to meet working capital requirements. Our cash and cash equivalents balance is held in a combination of US dollars and Canadian dollars.

**Sources of liquidity:** As of the date of this Registration Statement, we have four revenue-generating royalties, two revenue-generating streams, and monthly cash flows from the Greenstone GPA, which, together with our working capital, are expected to provide sufficient cash for Versamet to cover all operating expenses and working capital requirements for at least 12 months from September 30, 2025 as well as for the long-term.

As at September 30, 2025, we had $3.0 million undrawn our Upsized Credit Facility which was available for us as a source of liquid asset; undrawn funds on the Upsized Credit Facility are currently our only unused source of liquid assets. We intend to grow through the acquisition of additional royalties, streams and other interests, and may raise money in future through equity offerings, however, capital markets may not be receptive to offerings of new equity from treasury or debt, whether by way of private placements or public offerings.

**Debt**

**Revolving Credit Facility**

We entered into the $30 million Credit Facility on October 31, 2023. Transaction costs of $0.7 million were netted against the initial drawdown for accounting purposes and the carrying balance is accreted to face value over the expected life of the Credit Facility. Interest expense including accretion of discount of $1.8 million was recognized in the nine months ended September 30, 2025 (2024 - $1.1 million) in relation to the Credit Facility.

On April 30, 2025, we entered into the Credit Facility amending agreement, whereby the facility was increased from $30 million with a $15 million accordion to $60 million with a $15 million accordion. With the amendment, the maturity was updated to April 30, 2028. Between April 30, 2025 and May 1, 2025, we drew down a total of $55 million under the Credit Facility (as amended) in order to repay the full amount of the Beedie Convertible Loan (see below) and also to complete the acquisition of the Kolpa stream under the terms of the Kolpa CPA.

On September 24, 2025 we amended and expanded the Credit Facility to the Upsized Credit Facility. The Upsized Credit Facility is comprised of an upsized $100 million revolving credit facility maturing in April 2028, and the Term Loan.

The amounts drawn on the Upsized Credit Facility are subject to interest at the Secured Overnight Financing Rate plus 2.25% to 3.50% per annum, and the undrawn portion of the Revolving Loan is subject to a standby fee of 0.5063%-0.7875% per annum, both of which are dependent on our leverage ratio. Our leverage ratio covenant is less than or equal to 5.00x from and including fiscal quarter ended March 31, 2025 and, less than or equal to 3.50x from and including fiscal quarter ended March 31, 2026. Under the terms of the Revolving Loan, we are also subject to an interest coverage ratio of greater than or equal to 2.00x from and including March 31, 2025 and greater than or equal to 3.00x from March 31, 2026 and minimum liquidity covenant (comprising of the sum of cash, cash equivalents and additional advances available under the Revolving Loan) of greater than or equal to $5.0 million as at the last day of each fiscal quarter. In the event that the Greenstone Buydown Option is exercised, the compensation amount received from Equinox shall be applied as a prepayment of outstanding balances under the Credit Facility, with the continuing Credit Facility commitment being reduced to a maximum limit to be agreed. As of the date of this Registration Statement, the balance drawn on or outstanding under the revolving credit facility is $nil and $45 million is outstanding on the Term Loan.

The payment and performance of the Company's obligations under the Upsized Credit Facility is secured by a first priority security interest in all present and after acquired property of the Company and any material subsidiaries.

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The Credit Facility (as amended) is secured by a first priority security interest in all of our (and any affiliated entities as defined by the *Securities Act* (British Columbia)) present and after acquired property.

**Beedie Convertible Loan**

We entered into a $16.0 million Beedie Convertible Loan on October 31, 2023. The Beedie Convertible Loan has a term of 5 years and matures on October 31, 2028. Interest on the Beedie Convertible Loan consists of an 8% base interest rate and a 1.5% PIK rate, with the PIK rate reducing to 1.0% upon the public listing of our Company. We have the option to pay 25-50% of the base interest rate in Common Shares, subject to certain conditions. Amounts outstanding under the Beedie Convertible Loan can be converted into Common Shares, at the option of Beedie Capital, at a price of C$0.84 per Common Share. We may prepay the Beedie Convertible Loan, subject to certain fees. Additionally, we have the right to force the conversion of up to 50% of the convertible loan should the 30-day volume-weighted average price of Versamet (once public) equal or exceed C$1.47 per Common Share.

On April 23, 2025, we exercised our right under the Beedie Convertible Loan to fully repay the principal outstanding. In accordance with the terms of the Beedie Convertible Loan, we were required to pay a Make Whole Fee as a result of prepaying prior to the maturity date. On April 30, 2025, we paid a total of $26.1 million to fully extinguish the convertible note. Commensurate with the repayment of the Beedie Convertible Loan, all of the security held by Beedie over the present and after acquired property was released.

During the nine months ended September 30, 2025, PIK interest of $79,140 (2024 - $179,784) was added to the principal of the Beedie Convertible Loan. Accretion of $3,459,533 (2024 - $415,115) was recorded and added to the carrying value of the Beedie Convertible Loan during the nine months ended September 30, 2025.

**Sandstorm Convertible Note**

In conjunction with the purchase of assets from Sandstorm on June 28, 2022, we issued the Sandstorm Convertible Note with a face value of $31.4 million. The Sandstorm Convertible Note was interest-free and had a maturity date of June 28, 2032.

The Sandstorm Convertible Note could be prepaid at any time by Versamet in cash or could be prepaid in a variable number of Common Shares as outlined in our Financial Statements. Further, Sandstorm could convert the Sandstorm Convertible Note into Common Shares as outlined in the Company's Financial Statements.

The fair value of the Sandstorm Convertible Note at initial recognition was considered to be $14.6 million; all of which was recorded as a financial liability. On three occasions during quarter ended December 31, 2023, we exercised our right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares to Sandstorm. During 2023, we satisfied a total of $17.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 33.8 million Common Shares to Sandstorm at a price of C$0.70 per Common Share. On June 5, 2024, we exercised our right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note by delivering fully paid and non-assessable Common Shares to Sandstorm. We satisfied the remaining principal balance of $14.2 million by issuing 24.2 million Pre-Split Common Shares to Sandstorm at a price of C$0.80 per Pre-Split Common Share. The remaining principal amount (face value) outstanding under the Sandstorm Convertible Note as at September 30, 2025 is $nil.

**Commitments and contractual obligations**

The following table shows our Company's contractual obligations as they fall due as at September 30, 2025 and December 31, 2024:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Within 1 year**<br>**$000s** | **1-5 years**<br>**$000s** | **Over 5 years**<br>**$000s** | **Total**<br>**Sept. 30, 2025**<br>**$000s** | **Total**<br>**Dec. 31, 2024**<br>**$000s** |
| Accounts payable and accrued liabilities | 1041 |  |  | 1041 | 1232 |
| Beedie Convertible Loan <sup>**1**</sup> |  |  |  |  | 21784 |
| Credit Facility <sup>**1**</sup> | 35793 | 170924 |  | 206717 | 1153 |
| **Total** | **36834** | **170924** | **-** | **207758** | **24169** |

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1. The Beedie Convertible Loan and the RCF estimated interest amounts are included in the table above. In accordance with the Beedie Convertible Loan, a proportion of the interest expense included in the table above can be paid in Common Shares. The Company presents the Beedie Convertible Loan as a current liability due to the ability of Beedie Capital to convert all of the outstanding principal into Common Shares at any time, however, the table above shows contractual cash flow obligations. The Beedie Convertible Loan was fully repaid on April 30, 2025 (see above).

We have no other liabilities other than those presented in the table above or discussed elsewhere in this Registration Statement, and has no commitments for capital expenditures or contractual obligations. We had no commitments for capital expenditures as at December 31, 2024 or as at September 30, 2025. We intend to grow through the acquisition of additional royalties, streams and other interests, however, capital markets may not be receptive to offerings of new equity from treasury or debt, whether by way of private placements or public offerings. The Company's growth and success may be dependent on external sources of financing which may not be available on acceptable terms.

**C. Research and Development, Patents and Licenses**

We did not conduct research and development activities in the last three years.

**D. Trend Information**

We are not aware of any material recent trends in production, sales and inventory, costs, selling prices, or the state of the order book to report, or any known trends, uncertainties, demands, commitments or events that are reasonably likely to have a material effect on our net sales or revenues, income from continuing operations, profitability, liquidity or capital resources, or that would cause reported financial information not necessarily be indicative of future operating results or financial condition.

**E. Critical Accounting Estimates**

**Accounting for Acquisition of Assets and Stream, Royalty and Other Interests** 

The Company's business is the acquisition of royalties and other interests. Each royalty and other interest has its own unique terms and judgement is required to assess the appropriate accounting treatment. The determination of whether an acquisition should be accounted for as royalty and other interest or a financial instrument requires the consideration of factors such as (i) the terms of the agreement; (ii) the applicability of the own use exemption under IFRS 9 Financial Instruments ("**IFRS 9**"); and (iii) whether there is a contractual commitment to repay amounts under the royalty and other interests. The assessment of whether an acquisition meets the definition of a business or whether assets are acquired is another area of key judgement. If deemed to be a business combination, applying the acquisition method to business combinations requires each identifiable asset and liability to be measured at its acquisition date fair value. The excess, if any, of the fair value of the consideration over the fair value of the net identifiable assets acquired is recognized as goodwill. The determination of the acquisition date fair values often requires management to make assumptions and estimates about future events. The assumptions and estimates with respect to determining the fair value of royalty and other interests generally require a high degree of judgement, and include estimates of Mineral Reserves and Resources acquired, future production, metal prices, discount rates, conversion of Resources and exploration potential, foreign exchange rates, taxes, future capital expansion plans and the associated production implications. Changes in any of the assumptions or estimates used in determining the fair value of acquired assets and liabilities could impact the amounts assigned to assets and liabilities.

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**Fair Value of Greenstone Gold Interest**

The fair value of the Greenstone Gold Interest was determined by calculating the present value of the future gold deliveries under the Greenstone GPA. The determination of the fair value of the Greenstone Gold Interest at period end requires the use of estimates and assumptions for commodity prices, discount rates and the timing of gold receipts received by the Company under the agreement with Equinox. Changes in any of the estimates and/or assumptions used in determining the fair value could impact the fair value of the Greenstone Gold Interest at period end and the associated change in fair value of the Greenstone Gold Interest recorded in the Statement of Loss and Comprehensive Loss during the period. Changes in each of the following key assumptions and estimates would have the following impact on the value of the Greenstone GPA as at December 31, 2024 (with an associated movement in the Statement of Loss and Comprehensive Loss):

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| | | |
|:---|:---|:---|
| **Key assumption** | **Sensitivity applied to key assumption** | **Impact on Greenstone GPA asset value at December 31, 2024** |
| Gold price | +/- 10% | +/- $6.2 million |
| Discount rate | +/- 1% | + $2.9 million / - $3.2 million |

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**Fair Value of Beedie Convertible Loan Derivative Liability**

On October 31, 2023, Versamet entered into Beedie Convertible Loan. The Beedie Convertible Loan contains multiple embedded derivatives which require bifurcation; as all of the embedded derivatives relate to the same risk exposures (foreign exchange on the conversion price and the value of the underlying common shares of the Borrower), they may be combined and accounted for as a single compound embedded derivative. The embedded derivative was fair valued utilizing a combination of the discounted cash flow and partial differential equation modeling approaches. In valuing this embedded derivative, certain estimates and assumptions were used including the Company's share price, volatility, a credit rating, risk-free rate and a credit spread. To the extent that any of these estimates and assumptions changed upon initial recognition, this would have impacted the initial value of the derivative liability and the portion of the Beedie Convertible Loan recorded as a convertible debt liability on the face of the Statement of Financial Position. Such a change in the allocation of value between the derivative liability and the convertible debt liability would also impact the accretion charges and fair value movements in the Statement of Loss and Comprehensive Loss during future periods. Subsequent valuation of the derivative liability each reporting period uses similar estimates and assumptions which could materially impact the value of the derivative liability as at December 31, 2024. Changes in the key assumptions and estimates of the valuation of the derivative liability would have the following impact on the valuation of the derivative liability as at December 31, 2024 (with an associated movement in the Statement of Loss and Comprehensive Loss):

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| | | |
|:---|:---|:---|
| **Key assumption** | **Sensitivity applied to key <br>assumption** | **Impact on derivative liability value <br>at December 31, 2024** |
| Risk free rate | + 1% | $305606 |
| Credit spread | + 1% | $297746 |
| Volatility | 10% increase | ($133138) |
| Stock price | 10% increase | $700680 |

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**Attributable Reserve and Resource Estimates**

Royalty and other interests are a significant class of assets of the Company, with a carrying value of $165.4 million at December 31, 2024 (December 31, 2023 - $92.7 million). This amount represents the capitalized expenditures related to the acquisition of the royalty and other interests net of accumulated depletion and any impairments. Where possible, the Company estimates the Mineral Reserves and Resources relating to each interest. Mineral Reserves and Resources are estimates of the amount of minerals that can be economically and legally extracted from the mining properties at which the Company has royalty interests, adjusted where applicable to reflect the Company's percentage entitlement to minerals produced from such mines. The public disclosures of Mineral Reserves and Resources that are released by the operators of the interests involve assessments of geological and geophysical studies and economic data and the reliance on a number of assumptions, including commodity prices and production costs. The estimates of Mineral Reserves and Resources may change based on additional knowledge gained subsequent to the initial assessment. Changes in the estimates of Mineral Reserves or Resources, or the date of initial production from the mine may impact the carrying value of the Company's royalty and other interests and depletion charges. Stream, royalty and other interests related to producing mines are bifurcated into a depletable and non-depletable balance. The split between the depletable and non-depletable balances is based on a discounted cash flow analysis of the mine plan in question for that royalty or stream. Included in the depletable balance is 100% of Mineral Reserves and a portion of Mineral Resources. Included in the non-depletable balance are the remaining Mineral Resources (not included in the depletable balance) and any exploration potential, if applicable. If estimates of the value of the depletable and non-depletable balances of a mining property prove to be inaccurate, this could increase the amount of future depletion expense which would reduce the Company's net income and net assets. Changes to depletion rates are accounted for prospectively.

**Impairment of Royalty and Other Interests**

Assessment of impairment of royalty and other interests requires the use of judgments, assumptions and estimates when assessing whether there are any indicators that could give rise to the requirement to conduct a formal impairment test as well as in the assessment of their fair values. The assessment of the fair values of royalty and other interests requires the use of estimates and assumptions for Mineral Reserves and Resources, future production, commodity prices, discount rates, conversion of Resources and exploration potential, foreign exchange rates, taxes, future capital expansion plans and the associated production implications. In addition, the Company may use other approaches in determining fair value which may include estimates related to (i) dollar value per unit of mineral reserve/resource; (ii) net asset value multiples (iii) cash-flow multiples; (iv) comparable transactions and (v) market capitalization of comparable assets. Changes in any of the estimates used in determining the fair value of the royalty and other interests could impact the impairment analysis.

**Functional Currency** 

The functional currency of the Company is the currency of the primary economic environment in which the entity operates. Determination of functional currency may involve certain judgments to determine the primary economic environment and the Company reconsiders functional currency if there is a change in events and conditions which determine the primary economic environment.

**Income Taxes** 

The interpretation of new and existing tax laws or regulations in any of the countries in which our royalty and other interests are located or to which shipments of commodities are made or received requires the use of judgment. Differing interpretation or changes to these laws or regulations could result in an increase in the Company's taxes, or other governmental charges, duties or impositions. In addition, the recoverability of deferred income tax assets, including expected periods of reversal of temporary differences and expectations of future taxable income, are assessed by management at the end of each reporting period and adjusted, as necessary, on a prospective basis.

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**Share-based Compensation**

**Stock options** 

The Company utilizes the Black-Scholes option pricing model to estimate the fair value of stock options granted to directors, officers, employees and consultants of the Company. The use of the Black-Scholes option pricing model requires management to make various estimates and assumptions that impact the value assigned to the Options including the expected volatility of the stock price, the risk-free interest rate, dividend yield, the expected life of the Options and the number of options expected to vest. The expected term of the Options granted is determined based on historical data of the average hold period before exercise, cancellation or expiry. Volatility is estimated using the historic stock price of similar listed entities, the expected term and the number of equity instruments expected to vest is estimated using management judgement. Expected volatility is estimated with reference to the historical volatility of the share price of a peer group of companies as applicable given that the Company's shares have not been publicly listed. Any changes in these assumptions and estimates could change the amount of share-based compensation recognized in profit or loss and the share-based compensation reserve. Significant assumptions related to share-based payments are disclosed in Note 11 of the Annual Financial Statements.

**Restricted Share Units**

The fair value of RSUs is determined by the market value of the underlying shares at the date of the grant. Under our RSU Plan, the Board of Directors has the discretion to determine upon grant whether the RSUs are to be settled in cash or equity.

Where we do not have a present obligation to settle the issued RSUs in cash, the RSUs issued are treated as equity-settled instruments. The fair value of RSUs is determined using the fair value of the RSU at the date of grant and is adjusted based on the number of equity instruments expected to ultimately vest. The fair value of the RSUs at the date of grant are expensed over the vesting periods with a corresponding increase to equity. At the end of each reporting period, we re-assess our estimates of the number of awards that are expected to vest and recognize the impact of any revisions to this estimate in equity.

**Performance Restricted Share Units** 

We use a Monte Carlo pricing model to estimate the fair value of PRSUs granted to our directors, officers, employees and consultants. The use of the Monte Carlo pricing model requires management to make various estimates and assumptions that impact the value assigned to the PRSUs including assumptions with respect to share price, expected life, share price volatility, correlation assumptions and discount rates. Changes in these assumptions and estimates could change the fair value of the amount of share-based compensation recognized in profit or loss and the share-based compensation reserve. Significant assumptions related to PRSUs are disclosed in Note 11 of the Annual Financial Statements**.**

**ITEM 6: DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES**

**A. Directors and Senior Management**

The following table sets forth information regarding our directors, senior management, and certain employees upon whose work we are dependent.

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; **Name** | &nbsp;&nbsp; **Age** | &nbsp;&nbsp; **Position** | &nbsp;&nbsp; **First Appointed as <br>Director/Senior Management** |
| &nbsp;&nbsp; Gregory Smith | &nbsp;&nbsp; 50 | &nbsp;&nbsp; Non-Executive Chair and Director | &nbsp;&nbsp; June 28, 2022/ November 7, 2022 |
| &nbsp;&nbsp; Daniel O'Flaherty | &nbsp;&nbsp; 44 | &nbsp;&nbsp; Chief Executive Officer and Director | &nbsp;&nbsp; April 1, 2025 |

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp; Victoria McMillan | &nbsp;&nbsp; 44 | &nbsp;&nbsp; Chief Financial Officer | &nbsp;&nbsp; June 28, 2022 |
| &nbsp;&nbsp; Marcel de Groot | &nbsp;&nbsp; 52 | &nbsp;&nbsp; Director | &nbsp;&nbsp; January 31, 2022 |
| &nbsp;&nbsp; Michael McDonald | &nbsp;&nbsp; 41 | &nbsp;&nbsp; Director | &nbsp;&nbsp; July 31, 2024 |
| &nbsp;&nbsp; Elizabeth McGregor | &nbsp;&nbsp; 49 | &nbsp;&nbsp; Director | &nbsp;&nbsp; May 12, 2025 |
| &nbsp;&nbsp; Mark Backens | &nbsp;&nbsp; 64 | &nbsp;&nbsp; Director | &nbsp;&nbsp; May 12, 2025 |
| &nbsp;&nbsp; Craig Rollins | &nbsp;&nbsp; 44 | &nbsp;&nbsp; General Counsel and Corporate Secretary | &nbsp;&nbsp; January 31, 2022/ January 1, 2024 |

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**Gregory Smith.** Mr. Smith was fundamental in the creation and launch of Versamet since its launch in 2022. Mr. Smith was the President, Chief Executive Officer and a director of Equinox until July 21, 2025. Prior to his time at Equinox, Mr. Smith was the Chief Executive Officer of JDL Gold Corp. at the time of its merger with Luna Gold Corp., where he helped to lead the team through four mergers and an asset acquisition to grow the company from a single-asset developer to a multi-asset producer. Prior to his role as Chief Executive Officer of JDL Gold Corp., he held the roles of Chief Executive Officer and founder of Anthem United, President and Chief Executive Officer of Esperanza Resources prior to its sale to Alamos Gold Inc., and Chief Financial Officer of Minefinders Corporation Ltd. prior to its sale to Pan American Silver Corp. Previously Mr. Smith has held management positions at both Goldcorp Inc. and the mining division of KPMG LLP, and he also acted as a director of Premier Royalty prior to its sale to Sandstorm. Mr. Smith is a Canadian Chartered Professional Accountant.

**Daniel O'Flaherty.** Most recently, Mr. O'Flaherty held the position of Chief Executive Officer of Maverix Metals Inc. which he co-founded in 2016. Maverix Metals was sold to Triple Flag Precious Metals Corp. in 2022 for over $700 million. He has 20 years of investment banking and executive officer experience in the mining industry. Mr. O'Flaherty was previously the Executive Vice President of Corporate Development at Esperanza Resources, which was acquired by Alamos Gold in 2013. In addition to serving as Executive Vice President of two gold development companies, both of which were acquired, Mr. O'Flaherty was formerly a director in the investment banking team of Scotia Capital in Vancouver focused exclusively on the metals and mining sector where he specialized in providing advice to clients on acquisitions, divestitures, mergers, and hostile takeover defenses as well as on equity and debt financings. Mr. O'Flaherty holds a Bachelor of Commerce degree, with honors, from the University of British Columbia.

**Marcel de Groot.** Mr. de Groot is a co-founder and the President of Pathway Capital Ltd. Mr. de Groot has over 20 years of experience in providing strategic support to both private and public companies within the metals and mining space. He has been involved in a number of mergers and acquisitions, financings, and re-organizations including Equinox and Versamet as well as the acquisitions of CIC Resources Inc. (Northern Dynasty Minerals Ltd.), Asanko Gold Inc. acquisition of PMI Gold Corporation, Esperanza Resources Corp. (Alamos Gold Inc.), and Underworld Resources Inc. (Kinross Gold Corp.). Mr. de Groot holds a Bachelor of Commerce degree from the University of British Columbia and is a Chartered Professional Accountant. Mr. de Groot is also currently Director of Copper Standard Resources Inc. (formerly Level 14 Ventures Ltd.) ("Copper Standard").

**Michael McDonald.** Mr. McDonald, currently Vice President, Investor Relations, Corporate Development & Treasury at B2Gold., has more than 15 years of experience in capital markets and joined B2Gold from Gold Standard Ventures Corp. where he served as Vice President, Corporate Development & Investor Relations from 2021. Prior to joining Gold Standard Ventures Corp., he held corporate development and investor relations roles with SSR Mining Inc. from 2010 to 2017, and from 2019 to 2020. From 2017 to 2019, he was Vice President, Metal Sales for Goldcorp Inc. Mr. McDonald started his career in investment banking with CIBC and holds a B.Com. in Finance from the University of British Columbia. Mr. McDonald currently serves on our board pursuant to B2Gold's nomination right. No other shareholder has exercised any such nomination right.

**Elizabeth McGregor.** Ms. McGregor has over 20 years of financial experience and over 15 years of experience in the mining sector. She was most recently the Executive Vice-President and Chief Financial Officer of Tahoe Resources Inc. and was previously at Goldcorp and KPMG earlier in her career. Ms. McGregor has a wide variety of executive financial experience, including debt financing, stakeholder management, board reporting, and corporate, mine site and project management experience. Ms. McGregor currently serves as a director on the board of Kinross Gold Corporation and Orla Mining Ltd. Ms. McGregor has a B.A. (Hons) from Queen's University and is a Canadian Chartered Professional Accountant.

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**Mark Backens.** Mr. Backens has over 35 years of global mining experience, most recently serving as Chief Executive Officer of Alio Gold Inc. Previous experience includes directorships with Alio Gold, Timmins Gold, Anthem United, New Strike Capital, Candelaria Mining and Soho Resources. Mr. Backens other experience includes Director of Investment Banking - Mining for Scotia Capital and senior management roles with Meridian Gold, Placer Dome and Goldcorp in areas of engineering, mine construction, mine management and corporate development. Mr. Backens holds a Bachelor of Science Degree in Geological Engineering from South Dakota School of Mines and also holds Partners Directors and Senior Officers Certification. Mr. Backens was formerly a member of AIME, CIM and a Professional Geologist.

**Victoria McMillan.** Ms. McMillan has been the Chief Financial Officer of Versamet since its launch in 2022. Ms. McMillan has over 20 years of financial experience working across a variety of sectors with a focus on mining and the royalty industry. She has led financial reporting, regulatory, tax and risk management functions. Ms. McMillan has also held various other finance roles within the mining sector including at two mid-tier gold mining companies where she was involved in the execution of mergers and acquisitions, a U.S. listing, as well as the establishment and management of a gold sales function. Ms. McMillan's experience includes 8 years with PricewaterhouseCoopers in both London, United Kingdom, and Vancouver, where she was a senior manager within the assurance practice. Ms. McMillan currently serves as a director on the board of Lundin Mining Corporation and recently completed a four year term from 2021- 2024 as a director on the board of BC Hydro, where she chaired the Audit and Finance Committee. Ms. McMillan holds a Bachelor of Management Studies from the University of Nottingham and she is a Chartered Professional Accountant.

**Craig Rollins.** Mr. Rollins was fundamental in the creation and launch of Versamet since its launch in 2022. Mr. Rollins is a corporate and securities lawyer advising companies operating in the mining and natural resource sectors. Mr. Rollins' expertise includes complex corporate and commercial transactions, mergers and acquisitions, options and joint ventures, corporate governance, regulatory and stock exchange compliance, stock exchange listings and public offerings. Mr. Rollins has in-house legal counsel experience with several companies in the mining and natural resource sectors, including Pathway Capital Ltd. and Copper Standard, and also brings experience from a preeminent Vancouver based law firm. Mr. Rollins holds his undergraduate and law degrees from the University of British Columbia and the University of Windsor, respectively, and is a practicing member of the Law Society of British Columbia.

There are no family relationships between any of our directors and officers.

**Public Company Board Memberships**

The following table identifies other public companies for which members of the Board currently serve as directors.

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| | |
|:---|:---|
| **Director** | **Other Current Board Appointments** |
| Marcel de Groot<br>| Director of Copper Standard Resources Inc. (CSE)<br>Director of Drummond Ventures Ltd. (TSX-V)<br>Carbon Streaming Corporation (Cboe Global Markets) |
| Daniel O'Flaherty | Director of Copper Standard Resources Inc. (CSE) |
| Elizabeth McGregor | Director of Kinross Gold Corporation (TSX) (NYSE American)<br>Orla Mining Ltd. (TSX) (NYSE American) |

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**B. Compensation**

The following table sets out the compensation paid to our directors and senior management for the fiscal year ended December 31, 2025.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** | &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** | &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** | &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** | &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** | &nbsp;&nbsp;**Table of Compensation (excluding compensation securities)** |
| **Name and <br>position(s)** | **Year<sup>(1)</sup>** | **Base salary <br>(US$)** | **Bonus**<br>**(US$)** | **Value of all <br>other <br>compensation <br>(US$)** | **Total**<br>**Compensation**<br>**(US$)** |
| **Daniel O'Flaherty**, Chief Executive Officer and Director<sup>(</sup><sup>2</sup><sup>)</sup> | <br>2025 | 208870 | 357000 Nil <br>Nil | <br>Nil | 565870 |
| **Victoria McMillan**, Chief Financial Officer<sup>(</sup><sup>3</sup><sup>)</sup> | <br>2025 | 150685 | 223442 <br>Nil | <br>145921 | 520048 |
| **Craig Rollins**, General Counsel and Corporate Secretary<sup>(</sup><sup>4</sup><sup>)</sup> | <br>2025 | 150685 | <br>223442<br>Nil | <br>Nil | <br>374127 |
| **Greg Smith**,<br>Non-Executive Chair and Director | <br>2025 | <br>Nil | Nil | Nil | Nil |
| **Marcel de Groot**, Director | <br>2025 | Nil | Nil | Nil | Nil |
| **Michael McDonald**, Director<sup>(</sup><sup>5</sup><sup>)</sup> | <br>2025 | Nil | Nil | Nil | Nil |
| **John Armstrong**<br>Former Chief Executive Officer and Director<sup>(</sup><sup>6</sup><sup>)</sup> | 2025 | 40653 | Nil | 802396 | 843049 |

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<sup>(1)</sup> All compensation in respect of the directors and senior management is paid out in C$ and converted to US$ for reporting purposes using the Bank of Canada daily, monthly or annual average exchange rate.

<sup>(2)</sup> Appointed as Interim Chief Executive Officer on February 28, 2025 and Chief Executive Officer and Director on April 1, 2025. Prior to Mr. O'Flaherty's appointment as Chief Executive Officer, Mr. O'Flaherty was an advisor/consultant to the Company and received only Options in such capacity.

<sup>(3)</sup> Appointed Chief Financial Officer on June 28, 2022.

<sup>(4)</sup> Appointed as Corporate Secretary on January 1, 2024. All compensation received by Mr. Rollins was in his capacity as General Counsel.

<sup>(5)</sup> Appointed on July 31, 2024.

<sup>(6)</sup> Acted as Chief Executive Officer and a Director from November 7, 2022 to February 28, 2025. All compensation received by Mr. Armstrong was in his capacity as Chief Executive Officer.

**Compensation Securities**

The following table sets out all compensation securities granted or issued to the directors and senior management by us in the financial year ended December 31, 2025:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** |
| &nbsp;&nbsp;**Name and position(s)** | &nbsp;&nbsp;**Type of <br>compensation <br>security** | &nbsp;&nbsp;**Number of compensation <br>securities, number of <br>underlying securities** | &nbsp;&nbsp;**Date of <br>issue or <br>grant** | &nbsp;&nbsp;**Issue, <br>conversion or <br>exercise price**<br>**($)** | &nbsp;&nbsp;**Expiry date** |
| **Daniel O'Flaherty**, Chief Executive Officer & Director | Options<br>RSUs<br>PRSUs | 149,906/149,906<br>200,000/200,000<br>400,000/400,000 | January 15, 2025<br>April 1, 2025<br>April 1, 2025 | 4.00<br>4.00<br>4.00 | January 15, 2028<br>N/A<br>N/A |
| **Victoria McMillan**, Chief Financial Officer | Options<br>RSUs | 79,638/79,638<br>31,875/31,875 | January 15, 2025<br>January 15, 2025 | 4.00<br>4.00 | January 15, 2028<br>N/A |
| **Craig Rollins**, General Counsel and Corporate Secretary | Options<br>RSUs | 79,638/79,638<br>31,875/31,875 | January 15, 2025<br>January 15, 2025 | 4.00<br>4.00 | January 15, 2028<br>N/A |
| **Gregory Smith,** Chairman and Director | RSUs<br>Options | 18,750/18,750<br>40,000/40,000 | January 15, 2025<br>May 9, 2025 | 4.00<br>4.00 | N/A<br>May 9, 2028 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** | &nbsp;&nbsp;**Compensation Securities** |
| &nbsp;&nbsp;**Name and position(s)** | &nbsp;&nbsp;**Type of <br>compensation <br>security** | &nbsp;&nbsp;**Number of compensation <br>securities, number of <br>underlying securities** | &nbsp;&nbsp;**Date of <br>issue or <br>grant** | &nbsp;&nbsp;**Issue, <br>conversion or <br>exercise price**<br>**($)** | &nbsp;&nbsp;**Expiry date** |
| **Marcel de Groot**, Director | &nbsp;&nbsp;RSUs<br>Options | &nbsp;&nbsp;18,750/18,750<br>40,000/40,000 | &nbsp;&nbsp;January 15, 2025<br>May 9, 2025 | &nbsp;&nbsp;4.00<br>4.00 | &nbsp;&nbsp;N/A<br>May 9, 2028 |
| **Mark Backens**, Director | &nbsp;&nbsp;RSUs<br>Options | &nbsp;&nbsp;18,750/18,750<br>40,000/40,000 | &nbsp;&nbsp;May 9, 2025<br>May 9, 2025 | &nbsp;&nbsp;4.00<br>4.00 | &nbsp;&nbsp;N/A<br>May 9, 2028 |
| **Elizabeth McGregor,** Director | &nbsp;&nbsp;RSUs<br>Options | &nbsp;&nbsp;18,750/18,750<br>40,000/40,000 | &nbsp;&nbsp;May 9, 2025<br>May 9, 2025 | &nbsp;&nbsp;4.00<br>4.00 | &nbsp;&nbsp;N/A<br>May 9, 2028 |
| **Michael McDonald,** Director | &nbsp;&nbsp;RSUs<br>Options | &nbsp;&nbsp;18,750/18,750<br>40,000/40,000 | &nbsp;&nbsp;January 15, 2025<br>May 9, 2025 | &nbsp;&nbsp;4.00<br>4.00 | &nbsp;&nbsp;N/A<br>May 9, 2028 |

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**Compensation Governance**

**Introduction**

The following discussion describes the significant elements of the compensation program for the "named executive officers" ("**NEOs**") of the Company, as such term is defined in Canada's Form 51-102F6V - *Statement of Executive Compensation - Venture Issuers*. During the Company's most recently completed financial year, the NEOs were:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• John Armstrong, Former Chief Executive Officer and Director

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Victoria McMillan, Chief Financial Officer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Craig Rollins, General Counsel and Corporate Secretary

To achieve our strategic business and financial objectives, we need to attract, retain and motivate a highly talented executive team.

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We intend to design our executive compensation program to achieve the following objectives:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Provide competitive compensation opportunities in order to attract and retain talented, high-performing and experienced executive officers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Motivate our executive team to achieve our strategic and financial objectives, including accretively growing our asset base through the creation and acquisition of royalties, streams and other interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Align the interests of our executive officers with the long-term interests of our shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Create a strong pay for performance relationship; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Provide incentives that encourage appropriate levels of risk-taking by our executive team.

We offer our executive officers cash compensation in the form of a base salary and bonus. Additionally, from time to time we grant equity-based compensation under our omnibus equity incentive plan (the "**Omnibus Plan**"). We believe that equity-based compensation awards motivate our executive officers to achieve our strategic and financial objectives, and also align their interests with the long-term interests of our shareholders. While we anticipate that our proposed executive officer compensation program will be effective at attracting and maintaining executive officer talent, we intend to continue evaluating our compensation practices on an ongoing basis to ensure that we are providing competitive compensation opportunities for our executive team. We intend to review the compensation of our executive team on an annual basis. As part of this review process, we expect to be guided by the philosophy and objectives outlined above, as well as other factors that may become relevant as we compete in the market.

**Compensation-Setting Process**

Our Compensation Committee is responsible for assisting the Board in its oversight responsibilities relating to the compensation, nomination, objectives, evaluation and succession of the executive officers of the Company including the Chief Executive Officer and the Chief Financial Officer. The Compensation Committee shall perform the functions customarily performed by compensation committees and any other functions assigned by the Board. See *"- Other Board Committees*".

Our Board will adopt a written charter for our Compensation Committee setting out its responsibilities for designing and administering our compensation programs and reviewing the level and nature of the compensation payable to our directors and executive officers. Our Compensation Committee's oversight will include reviewing objectives and performance and ensuring that total compensation paid is fair, reasonable and consistent with the objectives and philosophy of our compensation program.

**Trading Restrictions** 

All of our directors, officers and employees will be subject to our securities trading policy. This policy will prohibit trading in our securities while in possession of material undisclosed information about the Company. Further, our securities trading policy will prohibit the communication of material non-public information, from insiders to any person, including family or friends. The insiders will also be prohibited from making any recommendations or express opinions on the basis of material non-public information for the purpose of or in the context of trading in the Company's securities of any other public company when having knowledge that has not been generally disclosed.

The Company will observe blackout periods prior to quarterly and annual financial statements announcements. Regular Blackout Periods will commence (a) one calendar week before the scheduled release of the Company's quarterly financial statements; or (b) two calendar weeks before the scheduled release of the Company's annual financial statements, and end at the opening of the market on the second full trading day following the date of the public disclosure of the applicable financial statements. In addition, the Company may deem it appropriate to apply an extraordinary Blackout Period by issuing notice instructing specified individuals not to trade in the securities of the Company or any other public company under special circumstances and until otherwise notified.

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**Components of Compensation**

Compensation of the majority of our executive officers is expected to include three main components: (i) base salary; (ii) bonus; and (iii) long-term equity incentives granted from time to time under the Omnibus Plan. Executive officers will be entitled to the reimbursement of reasonable expense and benefits but perquisites and benefits are not expected to be a significant element of compensation for our executive officers.

**Base Salaries**

Base salary is provided as a fixed source of compensation for our executive officers. Base salaries will be determined on an individual basis taking into account the scope of the executive officer's responsibilities, their prior experience and their position relative to relevant peers in the market. Base salaries will be reviewed annually and may be increased if warranted, or necessary to maintain market competitiveness. In addition, base salaries can be adjusted upwards throughout the year to reflect promotions or other increases in the scope or breadth of an executive officer's role or responsibilities.

**Bonus**

Executive officers will be considered for participation in an annual bonus which will be payable in cash and/or equity at the ultimate election of the Compensation Committee.

**Omnibus Plan**

The material features of our Omnibus Plan are summarized below.

**Purpose**

The purpose of the Omnibus Plan is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to increase the interest in the Company's Directors, Employees and Consultants ("**Eligible Participants**") who share responsibility for the business management and growth of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to provide an incentive to such Eligible Participants to continue their services to the Company or a subsidiary and to motivate such Eligible Participants whose skills, experience, performance and loyalty to the objectives and interests of the Company or a subsidiary are necessary or essential to its success;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to reward Eligible Participants for their performance of services while working for the Company or a subsidiary; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to provide a means through which the Company or a subsidiary may attract and retain able persons to enter its employment or service.

"**Participant**" means any Eligible Participant that is granted one or more Awards (as defined herein) under the Omnibus Plan.

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**Types of Awards**

The Omnibus Plan provides for the grant of Options, RSUs and performance share units ("**PRSUs**" or together with RSUs, "**Share Units**"), share appreciation rights ("**SARs**"), and deferred share units ("**DSUs**") (each an "**Award**" and, collectively, the "**Awards**"). All Awards are granted by an agreement, certificate or other instrument or document evidencing the Award granted under the Omnibus Plan (an "**Award Agreement**").

**Plan Administration**

The Omnibus Plan is administered and interpreted by the Board or, if the Board by resolution so decides, by a committee appointed by the Board. If such committee is appointed for this purpose, all references to the "Board" in the Omnibus Plan will be deemed references to such committee.

Subject to the provisions of the Omnibus Plan, the Board is authorized, in its sole discretion, to make such determinations under, and such interpretations of, and take such steps and actions in connection with, the proper administration and operation of the Omnibus Plan as it may deem necessary or advisable. The interpretation, administration, construction and application of the Omnibus Plan and any provisions thereof made by the Board will be final and binding on the Company, its subsidiaries and all Eligible Participants.

Nothing contained in the Omnibus Plan prevents the Board from adopting other or additional Share Compensation Arrangements (as defined herein) or other compensation arrangements, subject to any required approvals.

**Shares Available for Awards**

The number of Common Shares reserved for issuance, in the aggregate, pursuant to the settlement or exercise of Awards granted under the Omnibus Plan will be equal to a maximum of 10% of the issued and outstanding Common Shares ("**Issued Shares**") from time to time, less the number of Common Shares reserved for issuance pursuant to any other stock option plan, employee stock purchase plan, long-term incentive plan or other compensation or incentive mechanism involving the issuance or potential issuance of Common Shares from treasury (each, a "**Share Compensation Arrangement**").

**Limits on Grants**

1. In no event will the Omnibus Plan, together with all other previously established and outstanding Share Compensation Arrangements, permit at any time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the maximum aggregate number of Common Shares that are issuable pursuant to all Awards granted or issued to Insiders (as a group) must not exceed 10% of the Issued Shares at any point in time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the maximum aggregate number of Common Shares that are issuable pursuant to all Awards granted or issued in any 12 month period to Insiders (as a group) must not exceed 10% of the Issued Shares, calculated as at the date any Award is granted or issued to any Insider; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the maximum aggregate number of Issued Shares that are issuable pursuant to all Awards granted or issued in any 12 month period to any one Person (as defined and where permitted under the Omnibus Plan, any companies that are wholly owned by that Person) must not exceed 5% of the Issued Shares, calculated as at the date any Award is granted or issued to the Person,

unless the Company has obtained the requisite disinterested shareholder approval.

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2. The maximum aggregate number of Common Shares that are issuable pursuant to all Awards granted or issued in any 12-month period to any one Consultant must not exceed 2% of the Issued Shares, calculated as at the date any Award is granted or issued to the Consultant.

3. The maximum aggregate number of Issued Shares that are issuable pursuant to all Options granted in any 12 month period to all Investor Relations Service Providers in aggregate must not exceed 2% of the Issued Shares, calculated as at the date any Option is granted to any such Investor Relations Service Provider.

4. Investor Relations Service Providers may not receive any Awards other than Options.

5. Upon authorization by the Board of the exercise of an Option on a "cashless exercise" basis pursuant to Section 3.7(3) of the Omnibus Plan or "net exercise" basis pursuant to Section 3.7(4), the number of Options exercised, surrendered or converted, and not the number of Issued Shares actually issued by the Company, will be included in calculating the Option limits set forth in Section 2.4(1)(b) and Section 2.5 of the Omnibus Plan. Notwithstanding the forgoing, any Award that has been settled in cash, cancelled, terminated, surrendered, forfeited or expired without being exercised, and pursuant to which no securities have been issued, will continue to be issuable under the Omnibus Plan.

**Description of Awards**

**Options**

An Option is an option granted by the Company to a participant entitling such participant to acquire a designated number of Common Shares from treasury at the Option Price. For greater certainty, the Company is obligated to issue and deliver the designated number of Common Shares on the exercise of an Option and shall have no independent discretion to settle an Option in cash or other property other than Common Shares issued from treasury. For the avoidance of doubt, no dividend equivalents shall be granted in connection with an Option.

The price per Common Share to be payable upon the exercise of each Option will be determined and approved by the Board when the applicable Option is granted, and will not be less than the Market Price as of the Grant Date, less any discount permitted by the TSXV or if the Common Shares are not listed and posted for trading on the TSXV at a particular date, such other stock exchange or trading platform upon which the Common Shares are listed and posted for trading and which has been designated by the Board (the "**Exchange**"). Under the Omnibus Plan, "Market Price" means (a) if the Common Shares are then listed on the TSXV, the closing price per Common Share on the TSXV on the last trading day prior to the particular date as of which the Market Price is required to be determined, (b) if the Common Shares are not listed on the TSXV, the closing price per Common Share on any other Exchange on which the Common Shares are then listed (and, if more than one, will be the Exchange on which the majority of trading in the Common Shares occurs) on the last trading day prior to such date, or (c) if the Common Shares are not listed on any Exchange as of such date, such price as is determined solely by the Board, acting reasonably and in good faith, and such determination will be conclusive and binding on all Persons.

The Board will determine, at the time of granting a particular Option, the period during which such Option is exercisable, which will not be more than 10 years after the Grant Date and which may be shortened in accordance with the Omnibus Plan and the applicable Award Agreement.

Prior to its expiration or earlier termination in accordance with the Omnibus Plan, each Option shall be exercisable at such time or times and/or pursuant to the achievement of such performance criteria and/or other vesting conditions as the Board, at the time of granting the particular Option, may determine in its sole discretion.

The Board may, on terms established by it in its sole discretion and in accordance with Exchange policies, permit an Option to be exercised by way of a "cashless exercise" basis.

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**Restricted and Performance Share Units**

Under the Omnibus Plan, a Share Unit means a right, including a RSU or a PRSU, awarded to a Participant to receive a payment subject to the terms and conditions of the Omnibus Plan, and includes Cash-or-Share Settled Share Units and Share-Settled Share Units.

A "Cash-or-Share Settled Share Unit" is a Share Unit granted by the Company to a Participant, with each such Share Unit entitling the Participant, upon vesting and settlement, to, unless such Share Unit expires prior to being settled, receive a cash payment equal to the Market Price or, in the sole discretion of the Company, one Common Share, subject to customary adjustments as provided in the Omnibus Plan and such restrictions and conditions on vesting as the Board may determine at the time of grant.

A "Share-Settled Share Unit" is a Share Unit granted by the Company to a Participant, with each such Share Unit entitling the Participant, upon vesting and settlement, to acquire, unless such Share Unit expires prior to being settled, one Common Share from treasury, subject to customary adjustments as provided in the Omnibus Plan and such restrictions and conditions on vesting as the Board may determine at the time of grant. For greater certainty, the Company is obligated to issue and deliver a Common Share on the due settlement of a Share-Settled Share Unit and will have no independent discretion to settle any Share-Settled Share Unit in cash or other property.

Subject to the provisions of the Omnibus Plan, restrictions and conditions on vesting of any Share Unit may, without limitation, be based on the passage of time during continued employment or other service relationship (RSU), the achievement of specified Performance Criteria (PRSU), or both.

Subject to the provisions of the Omnibus Plan and any shareholders or regulatory approval which may be required, the Board may, from time to time, in its sole discretion: (a) designate the Eligible Participants who may receive Share Units; (b) fix the number of Share Units, if any, to be granted to each Eligible Participant and the date(s) on which such Share Units will be granted; (c) determine the relevant conditions, vesting provisions (including the applicable Performance Period (as defined in the Omnibus Plan) and Performance Criteria, if any) and the Restriction Period (as defined in the Omnibus Plan) of each Share Unit; and (d) determine any other terms and conditions applicable to each Share Unit, which need not be identical and which may include non-competition provisions, in each case subject to the terms and conditions of the Omnibus Plan, any applicable Share Unit agreement, and the Exchange rules.

Notwithstanding the Board's discretion over vesting provisions, in respect of any Share-Settled Share Unit, a Participant may elect, in advance of the Vesting Date (as defined in the Omnibus Plan) for such Share-Settled Share Unit (as defined in the Omnibus Plan), to defer the Redemption Date by filing with the Company an election.

Each grant of a Share Unit will be evidenced by a Share Unit agreement, which will be subject to all applicable terms and conditions of the Omnibus Plan and any other terms and conditions (including any recoupment, reimbursement or claw-back compensation policy as may be adopted by the Board from time to time) as the Board may deem appropriate, provided that they are consistent with applicable law.

**Share Appreciation Rights**

A SAR is an Award granted to a Participant for future services to be rendered that, upon settlement, entitles such Participant to receive cash and/or Common Shares, as determined by the Company in its sole discretion, equal to the Appreciation Value of such SAR. Under the Omnibus Plan, "Appreciation Value" means, in respect of any SAR, an amount equal to the Market Price on the date the SAR is settled less the base value for the SAR determined by the Board and specified in the applicable Award Agreement (the "**Base Value**"), which Base Value will not be less than the Market Price on the Grant Date.

Subject to the provisions of the Omnibus Plan, the terms of any applicable SAR Agreement, and any shareholder or regulatory approval which may be required, the Board may, from time to time, in its sole discretion: (a) designate the Eligible Participants who may receive SARs; (b) fix the number of SARs, if any, to be granted to each Eligible Participant and the date(s) on which such SARs will be granted; (c) determine whether, on settlement of an SAR, a Participant will be entitled to a payment of cash or Common Shares (or a combination); (d) determine the Base Value of the SARs; and (e) determine the relevant conditions and vesting provisions of each SAR; provided that no such condition or restriction will cause the SAR to constitute a "salary deferral arrangement" within the meaning of Section 248(1) of the *Income Tax Act* (Canada) (the "**ITA**").

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Each SAR shall expire on the earlier of: (a) December 15th of the calendar year in which such Performance Criteria (as defined in the Omnibus Plan) and/or other vesting conditions applicable to such SAR as determined by the Board at the time of grant of the SAR are achieved; and (b) the fifth anniversary of the date such SAR was granted.

**Deferred Share Units**

A DSU is an Award for services rendered, or for future services to be rendered, and that, upon settlement, entitles the recipient Participant to receive cash or acquire Common Shares, as determined by the Board in its sole discretion, unless such DSU expires prior to being settled.

The aggregate of all amounts which may be received in respect of a DSU will depend, at all times, on the fair market value of shares of the capital stock of the Company or of a corporation related (within the meaning of the ITA) thereto at a time that is within the period that commences one year prior to the Participant's Termination Date (as defined in the Omnibus Plan) and ends at the time the amount is received. For greater certainty, no Participant, nor any Person who does not deal at arm's length, within the meaning of the ITA, with such Participant, shall be entitled, either immediately or in the future, either absolutely or contingently, to receive or obtain any amount or benefit granted or to be granted, under the Omnibus Plan or pursuant to any other arrangement, and no additional Awards will be granted to such Participant, for the purpose of reducing the impact, in whole or in part, of any reduction in the fair market value of the Common Shares or the shares of any corporation related, within the meaning of the ITA, to the Company.

Subject to the provisions of the Omnibus Plan, any shareholder or regulatory approval which may be required, the Board may, from time to time, in its sole discretion: (a) designate the Eligible Participants who may receive DSUs; (b) fix the number of DSUs, if any, to be granted to each Eligible Participant and the date(s) on which such DSUs will be granted; and (c) determine the relevant conditions and vesting provisions for such DSUs, in each case subject to the terms and conditions of the Omnibus Plan, any applicable Award Agreement, and the Exchange rules.

Subject to the vesting and other conditions and provisions in the Omnibus Plan and any applicable Award Agreement, each DSU will entitle the Participant to receive, on settlement, a cash payment equal to the Market Price or, in the sole discretion of the Board, one Common Share, or any combination of cash and Common Shares as the Company in its sole discretion may determine. For greater certainty, no Participant will have any right to demand to be paid in, or receive, Common Shares in respect of any DSU, and, notwithstanding any discretion exercised by the Company to settle any DSU, or portion thereof, in the form of Common Shares, the Company reserves the right to change such form of payment at any time until payment is actually made.

Each grant of a DSU will be evidenced by an Award Agreement, which will be subject to all applicable terms and conditions of the Omnibus Plan and any other terms and conditions (including any recoupment, reimbursement or claw-back compensation policy as may be adopted by the Board from time to time) as the Board may deem appropriate, provided that they are consistent with applicable law.

**General Conditions Applicable to Options**

Except as otherwise provided in any Employment Agreement or Consulting Agreement or in any Award Agreement, each Option will be subject to the following conditions:

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**Termination for Cause**. Upon a Participant ceasing to be an Eligible Participant for Cause, any vested or unvested Option granted to such Participant will terminate automatically and become void immediately. For the purposes of the Omnibus Plan, the determination by the Company that a Participant was discharged for Cause will be binding on such Participant. "Cause" will include, among other things, gross misconduct, theft, fraud, breach of confidentiality, breach of the Company's code of conduct and any other reason determined by the Company to be cause for termination.

**Termination not for Cause**. Upon a Participant ceasing to be an Eligible Participant as a result of their employment or service relationship with the Company or a subsidiary being terminated without Cause: (a) each unvested Option granted to such Participant will terminate and become void immediately upon such termination, and (b) each vested Option held by such Participant will cease to be exercisable on the earlier of (i) 90 days after the Participant's Termination Date (or such later date as the Board may, in its sole discretion, determine) and (ii) the Expiry Date of such Option as set forth in the applicable Award Agreement, after which such vested Option will expire.

**Resignation**. Upon a Participant ceasing to be an Eligible Participant as a result of their resignation from the Company or a subsidiary: (a) each unvested Option granted to such Participant will terminate and become void immediately upon such resignation, and (b) each vested Option held by such Participant will cease to be exercisable on the earlier of (i) 90 days after the Participant's Termination Date (or such later date as the Board may, in its sole discretion, determine) and (ii) the Expiry Date of such Option as set forth in the applicable Award Agreement, after which such vested Option will expire.

**Retirement/Permanent Disability**. Upon a Participant ceasing to be an Eligible Participant by reason of retirement or permanent disability: (a) each unvested Option granted to such Participant will terminate and become void immediately, and (b) each vested Option held by such Participant will cease to be exercisable on the earlier of (i) 90 days from the date of retirement or the date on which the Participant ceases their employment or service relationship with the Company or any subsidiary by reason of permanent disability (or such later date as the Board may, in its sole discretion, determine) and (ii) the Expiry Date of such Option as set forth in the applicable Award Agreement, after which such vested Option will expire.

**Death**. Upon a Participant ceasing to be an Eligible Participant by reason of death: (a) each unvested Option granted to such Participant will terminate and become void immediately, and (b) each vested Option held by such Participant at the time of death may be exercised by the legal representative of the Participant, provided that any such vested Option will cease to be exercisable on the earlier of (i) the date that is 12 months after the Participant's death or (ii) the Expiry Date of such Option as set forth in the applicable Award Agreement, after which such vested Option will expire.

**Leave of Absence**. Upon a Participant electing a voluntary leave of absence of more than 12 months, including maternity and paternity leaves, the Board may determine, in its sole discretion but subject to applicable laws, that such Participant's participation in the Omnibus Plan will be terminated, provided that all vested Options will remain outstanding and in effect until the applicable exercise date, or such earlier date determined by the Board in its sole discretion. Notwithstanding the foregoing, the Awards granted to such Participant will expire no later than the date that is 12 months from the date that the Participant ceases to be an Eligible Participant.

For greater certainty, in the event of any conflict between the terms of the Omnibus Plan and the terms of any applicable Employment Agreement, Consulting Agreement or Award Agreement with respect to the time of termination of any Option, the terms of such Employment Agreement, Consulting Agreement or Award Agreement will govern unless prohibited by applicable law.

**General Conditions Applicable to Awards other than Options**

Except as otherwise provided in any Employment Agreement or Consulting Agreement or in any Award Agreement, each Award, other than Options, will be subject to the following conditions:

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**Termination for Cause and Resignation**. Upon a Participant ceasing to be an Eligible Participant for Cause or as a result of their resignation from the Company or a subsidiary, the Participant's participation in the Omnibus Plan will be terminated immediately, all Awards, other than Options, credited to such Participant's account that have not vested will be forfeited and cancelled, and the Participant's rights that relate to such participant's unvested Awards will be forfeited and cancelled on the Termination Date.

**Death, Leave of Absence or Termination of Service**. Except as otherwise determined by the Board from time to time, at its sole discretion, upon a Participant electing a voluntary leave of absence of more than 12 months, including maternity and paternity leaves, or upon a Participant ceasing to be an Eligible Participant as a result of such Participant's: (a) death, (b) retirement, (c) Termination of Service for reasons other than for Cause, (d) employment or service relationship with the Company being terminated by reason of injury or disability, or (e) being eligible to receive long-term disability benefits, all unvested Awards, other than Options, in the Participant's account as of such date relating to a Restriction Period in progress will be forfeited and cancelled. Notwithstanding the foregoing, if the Board, in its sole discretion, instead accelerates the vesting or waives vesting conditions with respect to all or some portion of outstanding unvested Awards, other than Options, the date of such action is the Vesting Date, provided that the Awards granted to such Participant will expire no later than the date that is 12 months from the date that the Participant ceases to be an Eligible Participant.

For greater certainty, in the event of any conflict between the terms of the Omnibus Plan and the terms of any applicable Employment Agreement, Consulting Agreement or Award Agreement with respect to the time of termination of any Award, the terms of such Employment Agreement, Consulting Agreement or Award Agreement will govern unless prohibited by applicable law.

**Change of Control**

In the event of a potential Change of Control, the Board will have the power, in its sole discretion, subject to Exchange and shareholder approval, if required, to accelerate the vesting of Options to assist the Participants to tender into a takeover bid or participate in any other transaction leading to a Change of Control. For greater certainty, in the event of a take-over bid or any other transaction leading to a Change of Control, the Board will have the power, in its sole discretion, to (a) provide that any or all Options will thereupon terminate, provided that any such outstanding Options that have vested will remain exercisable until the consummation of such Change of Control, and (b) permit Participants to conditionally exercise their vested Options immediately prior to the consummation of the take-over bid and the Common Shares issuable under such Options to be tendered to such bid, such conditional exercise to be conditional upon the take-up by such offeror of the Common Shares or other securities tendered to such take-over bid in accordance with the terms of such take-over bid (or the effectiveness of such other transaction leading to a Change of Control). If, however, the potential Change of Control referred to in Section 8.2 of the Omnibus Plan is not completed within the time specified therein (as the same may be extended), then notwithstanding Section 8.2 or the definition of "Change of Control": (i) any conditional exercise of vested Options will be deemed to be null, void and of no effect, and such conditionally exercised Options will for all purposes be deemed not to have been exercised, (ii) Common Shares which were issued pursuant to the exercise of Options which vested pursuant to Section 8.2 will be returned by the Participant to the Company and reinstated as authorized but unissued Common Shares, and (iii) the original terms applicable to Options which vested pursuant to Section 8.2 will be reinstated. In the event of a Change of Control, the Board may exercise its discretion to accelerate the vesting of, or waive the Performance Criteria or other vesting conditions applicable to, outstanding Share Units, and the date of such action will be the Vesting Date of such Share Units.

**Assignment**

Each Award granted under the Omnibus Plan is personal to the participant and will not be assignable or transferable by the participant, whether voluntarily or by operation of law, except by will or by the laws of descent and distribution.

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**Amendment**

The Board may amend the Omnibus Plan or any Award at any time without the consent of the Participants (except as permitted by the provisions of the Omnibus Plan), provided that any such amendment will not adversely alter or impair the rights of any Participant and is in compliance with applicable law, including the prior approval of the Exchange or, if required, any other regulatory body having authority over the Company.

Unless such approval is required by law or the requirements of the Exchange or any other regulatory body having authority over the Company, the Board may make the following types of amendments to the Omnibus Plan without seeking approval of shareholders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any amendment necessary to comply with applicable law (including taxation laws) or the requirements of the Exchange or any other regulatory body to which the Company is subject;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any amendment of a "housekeeping" nature, including, without limitation, amending the wording of any provision of the Omnibus Plan for the purpose of clarifying the meaning of existing provisions or to correct or supplement any provision of the Omnibus Plan that is inconsistent with any other provision of the Omnibus Plan, correcting any grammatical or typographical errors, or amending the definitions contained within the Omnibus Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any amendment regarding the administration or implementation of the Omnibus Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any other amendment that does not require the approval of shareholders under applicable laws and regulatory requirements.

**Director Compensation**

The Company also has a compensation program for the Company's members of the Board and its committees. The compensation of the directors is designed to attract and retain committed and qualified directors and to align their compensation with the long-term interests of the Company's shareholders.

The Board, on the recommendation of its Compensation Committee, will be responsible for reviewing and approving any changes to the directors' compensation arrangements. In consideration for serving on our Board, each director will be paid an annual retainer consisting of RSUs and/or stock options. All directors will be reimbursed for their reasonable out-of-pocket expenses incurred while serving as directors.

**External Management Companies**

The Company has not entered into any agreement with any external management company that employs or retains one or more of the NEOs or directors and the Company has not entered into any understanding, arrangement or agreement with any external management company to provide executive management services to the Company, directly or indirectly, in respect of which any compensation was paid by the Company.

**Employment, Consulting and Management Agreements**

**John Armstrong, Former Chief Executive Officer and Director**

Mr. Armstrong served as our Chief Executive Officer from November 2022 until February 2025. Under his employment agreement, Mr. Armstrong received a base salary of C$350,000, was eligible for an annual performance-based cash bonus targeted at 80% of base salary, and participated in our long-term equity incentive plans, including initial grants of stock options, RSUs and PRSUs. The agreement also included customary provisions regarding termination and change of control. Mr. Armstrong's employment agreement terminated upon his departure in February 2025.

------

Mr. Armstrong's employment agreement provided for base salary, potential annual cash bonuses and/or potential annual equity-based compensation bonuses, benefits and participation in the Omnibus Plan.

**Daniel O'Flaherty, Chief Executive Officer and Director**

Mr. O'Flaherty receives an annual base salary of $320,000 (effective January 1, 2026), is eligible to receive an annual performance-based cash bonus targeted at 80% of base salary, and participates in our equity-based incentive plans with an annual target grant value equal to 120% of base salary. Upon execution of her agreement, Mr. Flaherty received a grant of 1,000,000 Pre-Split RSUs over a two year period and 2,000,000 PRSUs which will vest on the achievement of certain milestones. If terminated without cause, Mr. Flaherty is entitled to three months' notice, 18 months of base salary, a bonus payment equal to 1.5 times the greater of his average bonus for the prior two years or his target bonus, and continuation of benefits for 18 months. If terminated within 12 months following a change of control, Mr. Flaherty is entitled to three months' salary plus two times annual base salary, a bonus equal to two times the greater of his average bonus for the prior two years or his target bonus (plus a prorated bonus), two years of benefits, and full vesting of all equity awards.

The employment agreement with Mr. O'Flaherty specifies the amounts or benefits payable, including severance, to Mr. O'Flaherty in the event that his employment is terminated. See "*Termination and Change of Control Benefits*" below for further details. Mr. O'Flaherty's employment agreement also contains customary confidentiality covenants.

**Victoria McMillan, Chief Financial Officer**

Mrs. McMillan receives an annual base salary of C$315,000 (effective January 1, 2026), is eligible to receive an annual performance-based cash bonus targeted at 70% of base salary, and participates in our equity-based incentive plans with an annual target grant value equal to 90% of base salary. Upon execution of her agreement, she received a grant of 750,000 Pre-Split stock options vesting over three years. If terminated without cause, Mrs. McMillan is entitled to three months' notice, 12 months of base salary, a bonus payment equal to 1.5 times the greater of her average bonus for the prior two years or her target bonus, continuation of benefits for 15 months, and extended exercisability of vested options for 12 months. If terminated within 12 months following a change of control, she is entitled to three months' salary plus two times annual base salary, a bonus equal to two times the greater of her average bonus for the prior two years or her target bonus (plus a prorated bonus), two years of benefits, full vesting of all equity awards, and extended exercisability of options for 12 months.

The employment agreement with Mrs. McMillan specifies the amounts or benefits payable, including severance, to Mrs. McMillan in the event that her employment is terminated. See *"Termination and Change of Control Benefits*" below for further details. Mrs. McMillan's employment agreement also contains customary confidentiality covenants.

**Craig Rollins, General Counsel and Corporate Secretary**

Mr. Rollins receives an annual base salary of C$315,000 (effective January 1, 2026), is eligible to receive an annual performance-based cash bonus targeted at 70% of base salary, and participates in our equity-based incentive plans with an annual target grant value equal to 90% of base salary. If terminated without cause, Mr. Rollins is entitled to three months' notice, 12 months of base salary, a bonus payment equal to 1.5 times the greater of his average bonus for the prior two years or his target bonus, continuation of benefits for 15 months, and extended exercisability of vested options for 12 months. If terminated within 12 months following a change of control, he is entitled to three months' salary plus two times annual base salary, a bonus equal to two times the greater of his average bonus for the prior two years or his target bonus (plus a prorated bonus), two years of benefits, full vesting of all equity awards, and extended exercisability of options for 12 months.

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The employment agreement with Mr. Rollins specifies the amounts or benefits payable, including severance, to Mr. Rollins in the event that his employment is terminated. See *"Termination and Change of Control Benefits*" below for further details. Mr. Rollins' employment agreement also contains customary confidentiality covenants.

**Termination and Change of Control Benefits**

For a summary of the termination and Change of Control benefits provided under the Omnibus Plan, please refer to the "*Components of Compensation - Omnibus Equity Incentive Plan*" section above. The tables below provide a summary of the termination and Change of Control benefits provided under the NEOs' employment agreements and the anticipated incremental payments associated with various termination events (assuming the termination events occurred on the final receipt of this Registration Statement):

**Chief Executive Officer**

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp; **Severance** | &nbsp;&nbsp; **Bonus** | &nbsp;&nbsp; **Benefits** |
| &nbsp;&nbsp; ***Involuntary Termination:***<br> Not for Cause | &nbsp;&nbsp; 3 months' notice + 18 months base salary | &nbsp;&nbsp; 1.5 times the greater of (i) 2-year average bonus and (ii) short term incentive plan target multiplied by base salary. | &nbsp;&nbsp; 3 months' notice plus 18 months' severance period, subject to stock exchange rules, vested options remain exercisable until the earlier of (i) the expiry date(s) and (ii) 18 months. |
| &nbsp;&nbsp; Change of Control<sup>(1)</sup> | &nbsp;&nbsp; 3 months' notice + 2 times base salary | &nbsp;&nbsp; 2 times the greater of (i) 2-year average bonus and (ii) short term incentive plan target multiplied by base salary. | &nbsp;&nbsp; 2 years<br> All equity compensation fully vests and subject to stock exchange rules, options remain exercisable until the earlier of (i) the expiry date(s) and (ii) 24 months. |

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<sup>(1)</sup> Eligible if termination without cause occurs within 12 months following the Change of Control event.

**Other Executive Officers**

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp; **Severance** | &nbsp;&nbsp; **Bonus** | &nbsp;&nbsp; **Benefits** |
| &nbsp;&nbsp; ***Involuntary Termination:***<br> Not for Cause | &nbsp;&nbsp; 3 months' notice + 12 months base salary | &nbsp;&nbsp; 1.5 times the greater of (i) 2-year average bonus and (ii) short term incentive plan target multiplied by base salary. | &nbsp;&nbsp; 3 months' notice plus 12 months' severance period, subject to stock exchange rules, vested options remain exercisable until the earlier of (i) the expiry date(s) and (ii) 12 months. |

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| | | | |
|:---|:---|:---|:---|
|  | &nbsp;&nbsp; **Severance** | &nbsp;&nbsp; **Bonus** | &nbsp;&nbsp; **Benefits** |
| &nbsp;&nbsp; Change of Control<sup>(1)</sup> | &nbsp;&nbsp; 3 months' notice + 2 times base salary | &nbsp;&nbsp; 2 times the greater of (i) 2-year average bonus and (ii) short term incentive plan target multiplied by base salary. | &nbsp;&nbsp; 2 years<br> All equity compensation fully vests and subject to stock exchange rules, options remain exercisable until the earlier of (i) the expiry date(s) and (ii) 12 months. |

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<sup>(1)</sup> Eligible if termination without cause occurs within 12 months following the Change of Control event.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp; **Involuntary Termination** | &nbsp;&nbsp; **Involuntary Termination** | &nbsp;&nbsp; **Involuntary Termination** |
| &nbsp;&nbsp; **Name** | &nbsp;&nbsp; **Not for Cause** | &nbsp;&nbsp; **Change of Control** |
| &nbsp;&nbsp; Daniel O'Flaherty<sup>(1)</sup> | &nbsp;&nbsp; $1706079 | &nbsp;&nbsp; $2234890 |
| &nbsp;&nbsp; Victoria McMillan | &nbsp;&nbsp; $1093816 | &nbsp;&nbsp; $1428838 |
| &nbsp;&nbsp; Craig Rollins | &nbsp;&nbsp; $1093816 | &nbsp;&nbsp; $1428838 |

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<sup>(1)</sup> Appointed as Chief Executive Officer on April 1, 2025.

**C. Board Practices**

**Corporate Governance**

We recognize that exemplary corporate governance plays an important role in our overall success and in enhancing shareholder value and, accordingly, we have adopted certain corporate governance policies and practices. The disclosure set out below describes our approach to corporate governance in accordance with Canada's National Instrument 58-101 - *Disclosure of Corporate Governance Practices* ("**NI 58-101**").

**Board of Directors and Director Independence**

Our Board consists of six directors, four are considered to be independent under Canadian securities laws. Under the BCBCA, a director may be removed with or without cause by a resolution passed by an ordinary majority of the votes cast by shareholders present in person or by proxy at a meeting of shareholders and who are entitled to vote. The directors will be elected by shareholders at each annual meeting of shareholders, and all directors will hold office for a term expiring at the close of the next annual meeting or until their respective successors are elected or appointed. Our Articles provide that, between annual general meetings of shareholders, the directors may appoint one or more additional directors, but the number of additional directors may not at any time exceed one-third of the number of directors elected at the previous annual meeting of shareholders.

Under NI 58-101, a director is considered to be independent if he or she is independent within the meaning of Section 1.4 of National Instrument 52-110 - *Audit Committees* ("**NI 52-110**"). Pursuant to Section 1.4 of NI 52-110, an independent director is a director who is free from any direct or indirect material relationship which could, in the view of our Board, be reasonably expected to interfere with a director's exercise of independent judgment. Despite the foregoing, an individual who is, or has been within the last three years, an employee or executive officer of an issuer is considered to have a material relationship with an issuer. Based on information provided by each director concerning his or her background, employment and affiliations, our Board has determined that, of the six directors on our Board, three are "independent" and two are not considered "independent" within the meaning of applicable Canadian securities laws as a result of their respective relationships with us. Gregory Smith and Daniel O'Flaherty are not considered to be independent by the Board. Mr. O'Flaherty is not independent because he is currently the Company's Chief Executive Officer and despite Mr. Smith receiving no consideration for his past executive role with the Company, Mr. Smith was Chief Executive Officer of the Company from late June to early November 2022.

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Our Board believes that given its size and structure it is able to facilitate independent judgment in carrying out its responsibilities. To enhance such independent judgment, the independent members of our Board hold *in camera* meetings with members of management and certain non-independent directors not in attendance, as part of regularly scheduled Board meetings. Open and candid discussion among the independent directors is facilitated by the relatively small size of the Board.

**Orientation and Continuing Education**

We do not have a formal orientation and continuing education program; however, new directors meet with the Chair, members of senior management and our secretary. New directors are also informally provided with an orientation and education as to the nature and operation of the Company and our business, the role of our Board and its committees, and the contribution that an individual director is expected to make. Our Board is responsible for overseeing director continuing education designed to maintain or enhance the skills and abilities of the directors and to ensure that their knowledge and understanding of our business remains current. The chair of each committee is responsible for coordinating orientation and continuing director development programs relating to each committee's mandate.

**Ethical Business Conduct / Global Code of Ethical Conduct**

Versamet has adopted a number of policies and guidelines that impart the way directors, officers and employees are expected to conduct themselves and the manner in which they should operate. Our Code provides the foundation of these policies and guidelines and is applicable to all employees, officers, and directors. The Code sets out the ethical rules and standards to which each individual must comply and be accountable. The Code provides the fundamental tenets through which the Company can achieve its commitments to: operate in a responsible manner that complies with applicable laws, rules and regulations; promote the avoidance of conflicts of interest promote the prompt reporting of violations of the Code; provide a safe and inclusive workplace; provide accountability for adherence to the Code; and provide full, fair, true, timely and plain disclosure.

**Nomination of Directors**

The nominees for election by shareholders as directors is determined by our Governance and Nominating Committee ("**GN Committee**") in accordance with the provisions of applicable corporate law and the charter of our GN Committee. See *"- Other Board Committees*".

**Compensation of Directors**

Director compensation is determined by our Compensation Committee ("**Compensation Committee**") in accordance with the provisions of applicable corporate law and the charter of our Compensation Committee. See *"- Other Board Committees*".

**Director Assessment**

The Board is responsible for ensuring that an appropriate system is in place to evaluate the effectiveness of the Board as a whole, the individual committees of the Board, and the individual members of the Board and such committees with a view to ensuring that they are fulfilling their respective responsibilities and duties. In connection with such evaluations, each director may be required to provide an assessment of the effectiveness of the Board and each committee as well as the performance of the individual directors, periodically. Such evaluations take into account the competencies and skills each director is expected to bring to his particular role on the Board or on a committee, as well as any other relevant factors.

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**Board, Chair and Chief Executive Officer Mandates**

Our Board has a responsibility for the stewardship of the Company, including the responsibility to supervise the management of and oversee the conduct of the business of the Company; provide leadership and direction to management and consider management's performance in conjunction with the Company's compensation plans; set policies appropriate for the business of the Company; and approve corporate strategies and goals. The Board's fundamental objective is to protect and preserve shareholder value by fostering strong corporate governance practices through its leadership and direction of management and guidance of the Company's strategic direction.

Our Board has adopted a formal mandate of the Chair, which sets out the Chair's key responsibilities, including, among others, duties relating to Board meetings, information flow to Board members, shareholder meetings and other functions as may be delegated to the Chair by the Board from time to time.

Our Board has adopted a formal mandate of the Chief Executive Officer, which sets out the key responsibilities of our Chief Executive Officer, including, among others, duties relating to: providing corporate strategy and leadership; responsibility for corporate communication; fostering appropriate corporate culture, ethics and integrity; business and risk management; and discussing goals and objectives of senior management and the Chief Executive Officer.

**Other Board Committees**

Our Board has also established three committees: the Compensation Committee, the GN Committee and the audit committee (the "**Audit Committee**").

**Compensation Committee**

Our Compensation Committee is comprised of Gregory Smith (chair), Elizabeth McGregor and Michael McDonald and is to be comprised no less than three directors, at least a majority of whom, together with the committee chair, are persons determined by our Board to be independent directors within the meaning of NI 58-101. The Compensation Committee is responsible for assisting the Board in its oversight responsibilities relating to the compensation, nomination, objectives, evaluation and succession of the executive officers of the Company including the Chief Executive Officer and the Chief Financial Officer. The Compensation Committee performs the functions customarily performed by compensation committees and any other functions assigned by the Board, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overseeing and recommending for approval by the Board the executive compensation principles, policies, programs, processes and grants of equity-based incentives and processes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Considering and recommending annually or as required for approval by the Board all forms of compensation for the Chief Executive Officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Annually reviewing all forms of compensation for executive officers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Annually reviewing directors' compensation and recommending any changes to the Board for consideration.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing the compensation discussion & analysis and related executive compensation disclosure for inclusion in the Company's public disclosure documents, in accordance with applicable rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing with the Chief Executive Officer any proposed major changes in organization or personnel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing the annual overall performance of the Chief Executive Officer and reporting annually to the Board on this assessment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Overseeing the implementation and administration of benefit plans and reviewing any proposed major changes in benefit plans and recommending for approval any change requiring Board action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Reviewing, monitoring, reporting, and where appropriate, providing recommendations to the Board on the Company's exposure to risks related to executive compensation policies and practices, if any, and identifying compensation policies and practices that mitigate any such risk.

Further particulars of the process by which compensation for our executive officers will be determined is provided under "*Executive Compensation*".

**Governance and Nominating Committee**

Our GN Committee is comprised of Marcel de Groot (chair), Gregory Smith and Mark Backens and is to be comprised of no less than three directors, at least a majority of whom, together with the committee chair, are persons determined by our Board to be independent directors within the meaning of NI 58-101.

The GN Committee is responsible for: (a) developing the Company's approach to governance issues and the Company's response to the corporate governance guidelines; (b) subject to any investor rights agreement or similar agreements which may exist from time to time between the Company and certain shareholders, reviewing the composition and contribution of the Board and its members and recommending Board nominees; (c) overseeing the orientation program for new directors; and (d) helping to maintain an effective working relationship between the Board and management. The GN Committee also assists the Compensation Committee in its oversight responsibilities relating to the nomination, objectives, evaluation and succession of the executive officers of the Company including the Chief Executive Officer and Chief Financial Officer. In addition, the GN Committee is responsible for periodically reviewing the Company's policies with regards to matters relating to disclosure, trading of securities, governance, ethics, the environment, and health and safety and taking steps to resolve issues of compliance with respect to Board members and executive officers.

In addition, pursuant to investor rights agreements entered into with B2Gold, Equinox, Tether and Lundin, each such shareholder is entitled, for so long as it holds at least 10% of our outstanding common shares, to designate one individual for nomination to our board of directors. If a shareholder elects not to nominate a director, in certain cases it may instead appoint an observer to attend board meetings. Our management is required to support and vote in favor of such nominees, provided they meet applicable eligibility criteria.

**Audit Committee**

Our Audit Committee is comprised of Elizabeth McGregor (chair), Marcel de Groot and Michael McDonald and is to be comprised of no less than three directors and, subject to the permitted venture issuer exemptions contemplated by Part 6 of NI 52-110, each member shall be independent and financially literate within the meaning of NI 52-110. Our Audit Committee will initially comprise Elizabeth McGregor, who will act as chair of this committee, Marcel de Groot and Michael McDonald, all of whom have been determined by our Board to be "financially literate" within the meaning of NI 52-110. All three current members of the Audit Committee are considered "independent" within the meaning of NI 52-110.

Our Board has adopted a written charter setting forth the purpose, composition, authority and responsibility of our Audit Committee, consistent with NI 52-110. The purpose of the Audit Committee is to assist the Board in fulfilling its oversight responsibilities with respect to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• financial reporting and related financial disclosure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risk management;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• internal control over financial reporting and disclosure controls and procedures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the annual independent audit of the Company's financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• legal and regulatory compliance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• related party transactions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• compliance with public disclosure requirements.

**Relevant Education and Experience**

Each member of the Audit Committee has adequate education and experience that is relevant to their performance as an Audit Committee member and, in particular, the requisite education and experience that have provided the member with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) an understanding of the accounting principles used by the Company to prepare its financial statements and the ability to assess the general application of those principles in connection with estimates, accruals and reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) experience preparing, auditing, analyzing or evaluating financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of issues that can reasonably be expected to be raised by the Company's financial statements or experience actively supervising individuals engaged in such activities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) an understanding of internal controls and procedures for financial reporting.

For additional details regarding the relevant education and experience of each member of our Audit Committee, see "*Directors and Executive Officers - Biographical Information Regarding our Directors and Executive Officers*".

**Pre-Approval Policies and Procedures**

The Audit Committee is responsible for the pre-approval of all non-audit services to be provided to the Company or its subsidiaries by the Company's external auditor or the external auditor of any subsidiaries, unless such pre-approval is otherwise appropriately delegated by the Audit Committee, or if the Audit Committee adopts appropriate policies and procedures for the engagement of non-audit services.

**D. Employees**

As at February ♦, 2026, we have eight employees, seven of whom are located in Vancouver, Canada and one employee located in the Cayman Islands. **[NTD: Rachel to confirm with ongoing D&O purchases]**

**E. Share Ownership**

The following table sets forth the share ownership of the individuals in Item 6.B at February ♦, 2026:

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Name** | &nbsp;&nbsp;**Number of Shares** | &nbsp;&nbsp;**Percentage<sup>(1)</sup>** |
| &nbsp;&nbsp;Gregory Smith<sup>(2)</sup> | &nbsp;&nbsp;1218017 | &nbsp;&nbsp;1.15% |
| &nbsp;&nbsp;Daniel O'Flaherty<sup>(3)</sup> | &nbsp;&nbsp;2220170 | &nbsp;&nbsp;2.10% |
| &nbsp;&nbsp;Marcel de Groot<sup>(4)</sup> | &nbsp;&nbsp;1559681 | &nbsp;&nbsp;1.48% |
| &nbsp;&nbsp;Michael McDonald<sup>(5)</sup> | &nbsp;&nbsp;Nil | &nbsp;&nbsp;N/A |
| &nbsp;&nbsp;Elizabeth McGregor<sup>(6)</sup> | &nbsp;&nbsp;1400 | &nbsp;&nbsp;<sup>(7)</sup> |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp; Mark Backens<sup>(8)</sup> | &nbsp;&nbsp; 28750 | &nbsp;&nbsp; 0.03% |
| &nbsp;&nbsp; Victoria McMillan<sup>(9)</sup> | &nbsp;&nbsp; 48684 | &nbsp;&nbsp; 0.05% |
| &nbsp;&nbsp; Craig Rollins<sup>(10)</sup> | &nbsp;&nbsp; 1907010 | &nbsp;&nbsp; 1.80% |

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<sup>(1)</sup> Based on 105,645,324 Common Shares issued and outstanding at date of this registration statement.

<sup>(2)</sup> Mr. Smith holds 280,000 Options (240,000 with an exercise price of C$3.50 per share and expiry date of September 1, 2027; 40,000 with an exercise price of C$4.00 per share and expiry date of May 12, 2030) and 28,750 RSUs.

<sup>(3)</sup> Mr. O'Flaherty holds 292,763 Options (142,857 with an exercise price of C$3.50 per share and expiry date of January 15, 2029; 149,906 with an exercise price of C$4.00 per share and expiry date of January 15, 2030), 240,400 RSUs and 400,000 PRSUs.

<sup>(4)</sup> Mr. de Groot holds 190,000 Options (150,000 with an exercise price of C$3.50 per share and expiry date of September 1, 2027; 40,000 with an exercise price of C$4.00 per share and expiry date of May 12, 2030) and 28,750 RSUs.

<sup>(5)</sup> Mr. McDonald holds 40,000 Options (with an exercise price of C$4.00 per share and expiry date of May 12, 2030) and 28,750 RSUs.

<sup>(6)</sup> Ms. McGregor holds 40,000 Options (with an exercise price of C$4.00 per share and expiry date of May 12, 2030) and 28,750 RSUs.

<sup>(7)</sup> Represents less than 0.01%.

<sup>(8)</sup> Mr. Backens holds 40,000 Options (with an exercise price of C$4.00 per share and expiry date of May 12, 2030).

<sup>(9)</sup> Ms. McMillan holds 267,406 Options (150,000 with an exercise price of C$3.50 per share and expiry date of September 1, 2027; 37,768 with an exercise price of C$3.50 per share and expiry date of January 15, 2029; and 79,638 with an exercise price of C$4.00 per share and expiry date of January 15, 2030) and 146,196 RSUs.

<sup>(10)</sup> Mr. Rollins holds 267,406 Options (150,000 with an exercise price of C$3.50 per share and expiry date of September 1, 2027; 37,768 with an exercise price of C$3.50 per share and expiry date of January 15, 2029; and 79,638 with an exercise price of C$4.00 per share and expiry date of January 15, 2030) and 146,196 RSUs.

See Item 6.B, "*Compensation"* for a description of our Omnibus Plan.

**F. Disclosure of a Registrant's Action to Recover Erroneously Awarded Compensation**

Not applicable.

**ITEM 7: MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS**

**A. Major Shareholders**

To the best of our knowledge, other than as noted below, no person, corporation or other entity beneficially owns, directly or indirectly, or controls more than 5% of our Common Shares.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name** | **Number and type<br>of securities** | **Type of Ownership** | **Percentage of Class<sup>(1)</sup>** | **Percentage of Class**<br>**(fully diluted)<sup>(2)</sup>** |
| B2Gold | 30460525 | Beneficial and of record | 28.83% | 27.62% |
| Tether<sup>(3)</sup> | 13402985 | Beneficial and of record | 12.69% | 12.16% |
| Lundin<sup>(4)</sup> | 9343701 | Beneficial and of record | 8.85% | 8.48% |
| Equinox | 11617915 | Beneficial and of record | 10.99% | 10.53% |
| Regal | 6928500 | Beneficial and of record | 6.56% | 6.28% |

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<sup>(1)</sup> Based on 105,645,324 issued and outstanding Common Shares at the date of this Registration Statement.

<sup>(2)</sup> Based on 110,213,945 outstanding Common Shares on a fully diluted basis, assuming the exercise of all outstanding RSUs, PRSUs and options.

<sup>(3)</sup> To the best of our knowledge, as of the date of this Registration Statement, investment and/or voting control of Tether is held by Juan Sartori.

<sup>(4)</sup> To the best of our knowledge, as of the date of this Registration Statement, investment and/or voting control of Lundin is held by Jerome Chabannet.

In addition to their shareholdings, our significant shareholders have rights under investor rights agreements that may increase their influence over our affairs. These rights include director nomination and board observer rights, pre-emptive or "top-up" rights to maintain ownership levels in future financings, piggyback registration rights in connection with registered offerings, and certain information rights. The agreements also contain customary transfer restrictions, standstill covenants and termination provisions. Pursuant to the investor rights agreement described under "Item 10.C - Material Contracts," B2Gold has the right to nominate one member of our board of directors. Michael McDonald currently serves on our board pursuant to B2Gold's nomination right. No other shareholder has exercised any such nomination right.

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To the best of our knowledge, we are not directly or indirectly owned or controlled by another corporation(s), by any foreign government or by any other natural or legal person(s) severally or jointly. To the best of our knowledge, there are no arrangements, the operation of which may at a subsequent date result in a change of control of the Company.

As of February ♦, 2026, approximately 1.02% of our Common Shares were beneficially owned by holders in the United States. As of February ♦, 2026, there were 406 record holders of our Common Shares in the United States.

**B. Related Party Transactions**

Other than as disclosed below and elsewhere in this Registration Statement, since the beginning of our preceding three financial years ended December 31, 2025 there have been no transactions or loans between our company and:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) enterprises that directly or indirectly through one or more intermediaries, control or are controlled by, or are under common control with, our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) associates, meaning unconsolidated enterprises in which we have a significant influence or which have significant influence over our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) individuals owning, directly or indirectly, an interest in the voting power of our company that gives them significant influence over our company, and close members of any such individual's family (close members of an individual's family are those that may be expected to influence, or be influenced by, that person in their dealings with our company);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) key management personnel, that is, those persons having authority and responsibility for planning, directing and controlling the activities of our company, including directors and senior management of our company and close members of such individuals' families; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) enterprises in which a substantial interest in the voting power is owned, directly or indirectly, by any person described in (c) or (d) or over which such a person is able to exercise significant influence, including enterprises owned by directors or major shareholders of our company and enterprises that have a member of key management in common with our company.

**Equinox**

Effective June 28, 2022, Equinox was considered to be a related party of the Company as a result of its share ownership in Versamet and the ability of Equinox to nominate a representative to the Board. On October 31, 2023, we also entered into the Greenstone GPA with Regal and Equinox, pursuant to which, after taking into consideration the syndication of 30% of the Greenstone GPA to Regal, Versamet paid $52.5 million (70% of a total $75 million) to Equinox in exchange for the Greenstone Gold Interest. Effective June 5, 2024, Equinox's share ownership percentage was reduced, and it was determined that it no longer had significant influence over the Company and accordingly effective June 5, 2024 is no longer considered to be a related party of Versamet.

See Item 4.A, "*History and Development of the Company - Key Developments"* for more information about our transactions with Equinox.

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**B2Gold**

As a result of the Transaction, effective June 5, 2024, B2Gold is considered to be related party of the Company as a result of Versamet being an associate of this entity (as a result of their share ownership in the Company) and the ability of B2Gold to nominate a representative to the Board.

See Item 4.A, "*History and Development of the Company - Key Developments"* for more information about our transactions with B2Gold.

**Sandstorm**

Sandstorm was a related party of the Company as a result of it having significant influence through its share ownership in the Company and the ability to nominate for election a representative to the board of directors of the Company.

The Company had a convertible note outstanding with Sandstorm which was fully converted during the year ended December 31, 2024, leaving a remaining balance of nil at September 30, 2025. The Company entered a License agreement with Sandstorm for C$18,000 per month for rent and other shared office costs for total costs C$54,000 and C$159,000 for the three and nine months ended September 30, 2025.

On October 20, 2025, Sandstorm was acquired by Royal Gold and Royal Gold became a related party through its acquired share ownership in the Company.

**Compensation to Key Management Personnel**

Our compensation cost for key management personnel was $2,813,766, $1,984,352, and $1,498,299 for the years ended December 31, 2025, 2024, and 2023, respectively.

For information regarding compensation for our directors and senior and management, see the information under Item 6.B. "*Compensation*".

**C. Interest of experts and counsel**

Not applicable.

**ITEM 8: FINANCIAL INFORMATION**

**A. Consolidated Statements and Other Financial Information**

See "Item 18. Financial Statements."

**Litigation**

There is no pending, threatened or recently concluded legal or arbitration proceedings, including those relating to bankruptcy, receivership or similar proceedings, or that involve any third party (including any governmental proceedings) which may have, or have had in the recent past, significant adverse effects on our financial position, as described in this document.

**B. Significant Changes**

Other than as disclosed below and elsewhere in this Registration Statement, there have been no significant changes in our financial condition since the most recent financial statements for the year ended December 31, 2024.

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On April 30, 2025, we repaid the full amount of the outstanding principal of the CLA, together with all accrued and unpaid interest (including accrued and unpaid PIK Interest) and the Make Whole Fee for an aggregate prepayment amount of C$26,084,680.

In connection with the closing of the Kolpa CPA, we entered into an amending agreement with BMO and NBF to amend and increase the size of the Credit Facility to $60 million with a $15 million accordion feature. The new Credit Facility included an updated maturity date of April 30, 2028 and an approximate 25 basis point reduction to the drawn interest spread.

In connection with the Appian transaction, on September 24, 2025 we amended and expanded the Credit Facility to the Upsized Credit Facility. The Upsized Credit Facility is comprised of an upsized $100 million revolving credit facility maturing in April 2028, and the Term Loan. As of the date of this Registration Statement, the balance drawn on or outstanding under the revolving credit facility is $93 million and in addition, the full $80 million of the Term Loan is outstanding.

See Item 4.A, "*History and Development of the Company - Key Developments"* for more information about the repayment of the CLA and amendment to the Credit Facility.

**ITEM 9: THE OFFER AND LISTING**

**A. Offer and Listing Details**

The principal trading market for our Common Shares is the TSX. Our Common Shares are listed on the TSX under the trading symbol "**VMET**". We are filing this Registration Statement in anticipation of the listing of our Common Shares on Nasdaq.

As of the date of this Registration Statement, our authorized capital consisted of an unlimited number of Common Shares without par value. Our issued and outstanding Common Shares are fully paid.

Our Common Shares are in registered form and the transfer of our Common Shares is managed by our transfer agent, TSX Trust Company. In connection with the Listing, we have appointed Endeavour Trust Corporation as our transfer agent in the United States.

For additional details regarding our Common Shares, see Item 10.A, "*Share Capital*".

**B. Plan of Distribution**

Not applicable.

**C. Markets**

Our Common Shares are publicly traded on the TSX under the symbol "**VMET**". We are filing this Registration Statement in anticipation of the listing of our Common Shares on Nasdaq.

**D. Selling Shareholders**

Not applicable.

**E. Dilution**

Not applicable.

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**F. Expenses of the issue**

Not applicable.

**ITEM 10: ADDITIONAL INFORMATION**

**A. Share Capital**

Our authorized share capital consists of an unlimited number of Common Shares without par value. As at September 30, 2025, there were 93,367,340 Common Shares outstanding. As at February , 2026, there were 105,645,324 Common Shares issued and outstanding.

**Common Shares**

All of our Common Shares rank equally as to voting rights, participation in a distribution of our assets on a liquidation, dissolution or winding-up of the Company and entitlement to any dividends declared by us. The holders of our Common Shares are entitled to receive notice of, and to attend and vote at, all meetings of shareholders (other than meetings at which only holders of another class or series of shares are entitled to vote). Each Common Share carries the right to one vote. In the event of the liquidation, dissolution or winding-up of the Company, or any other distribution of our assets among its shareholders for the purpose of winding-up our affairs, the holders of the Common Shares will be entitled to receive, on a pro rata basis, all of the assets remaining after the payment by us of all of our liabilities. The holders of Common Shares are entitled to receive dividends as and when declared by the Board in respect of our Common Shares on a pro rata basis. Our Common Shares do not have pre-emptive rights, conversion rights or exchange rights and are not subject to redemption, retraction purchase for cancellation or surrender provisions. There are no sinking or purchase fund provisions, no provisions permitting or restricting the issuance of additional securities or any other material restrictions, and there are no provisions which are capable of requiring a security holder to contribute additional capital.

Any alteration of the rights, privileges, restrictions and conditions attaching to our Common Shares under our Articles of Incorporation must be approved by at least two-thirds of the Common Shares voted at a meeting of our shareholders.

**Outstanding Options**

As of the date hereof, there are 2,944,657 Options (as defined herein) outstanding entitling the holders, upon vesting of such Options, to acquire one Common Share at exercise prices of C$3.50 or C$4.00 per Common Share. The following table sets forth the aggregate number of Options which are outstanding as of the date of this Registration Statement:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Holder of Options** | **Number of Options Held** | **Exercise Price ($ per Common Share)** | **Grant Date & Vesting** | **Expiry Date** |
| All executive officers and past executive officers of Versamet, as a group<sup>(1)</sup> | 827576 | $3.50/$4.00 | Varied | 5 years from Grant Date |
| All directors and past directors (who are not also executive officers) of Versamet, as a group<sup>(2)</sup> | 690000 | $3.50/$4.00 | Varied | 5 years from Grant Date |
| All other employees and past employees of Versamet, as a group | 1097081 | $3.50/$4.00 | Varied | 5 years from Grant Date |
| All consultants of Versamet, as a group | 330000 | $3.50/$4.00 | Varied | 5 years from Grant Date |
| **Total** | 2944657 | **-** | **-** | **-** |

---

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<sup>(1)</sup> Total of four persons.

<sup>(2)</sup> Total of five persons.

**Outstanding RSUs**

As of the date hereof, there are 1,233,964 RSUs (as defined herein) outstanding entitling the holders, upon vesting of such RSUs, to acquire one Common Share without payment of any additional consideration. The following table sets forth the aggregate number of RSUs which are outstanding as of the date of this Registration Statement:

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| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Holder of RSUs** | &nbsp;&nbsp;**Number of <br>RSUs Held** | &nbsp;&nbsp;**Value as of <br>the date of <br>Grant ($ per <br>Common <br>Share)** | &nbsp;&nbsp;**Grant Date** | &nbsp;&nbsp;**Final Vesting <br>Date** |
| All executive officers and past executive officers of Versamet, as a group<sup>(1)</sup> | &nbsp;&nbsp;542792 | &nbsp;&nbsp;$3.50/$4.00/<br>$12.50 | &nbsp;&nbsp;Varied | &nbsp;&nbsp;Varied |
| All directors and past directors (who are not also executive officers) of Versamet, as a group<sup>(2)</sup> | &nbsp;&nbsp;105000 | &nbsp;&nbsp;$4.00/$12.50 | &nbsp;&nbsp;Varied | &nbsp;&nbsp;Deferred |
| All other employees, consultants and past employees of Versamet, as a group<sup>(3)</sup> | &nbsp;&nbsp;576172 | &nbsp;&nbsp;$3.50/$4.00/<br>$12.50 | &nbsp;&nbsp;Varied | &nbsp;&nbsp;Varied |
| **Total** | &nbsp;&nbsp;**1223964** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** |

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<sup>(1)</sup> Total of four persons.

<sup>(2)</sup> Total of four persons.

<sup>(3)</sup> Total of six persons.

**Outstanding PRSUs**

As of the date hereof, there are 400,000 PRSUs (as defined herein) outstanding entitling the holder, upon vesting of such PRSUs, to acquire one Common Share without payment of any additional consideration. The following table sets forth the aggregate number of PRSUs which are outstanding as of the date of this Registration Statement:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;**Holder of PRSUs** | &nbsp;&nbsp;**Number of <br>PRSUs Held** | &nbsp;&nbsp;**Value as of <br>the date of <br>Grant ($ per <br>Common <br>Share)** | &nbsp;&nbsp;**Grant Date** | &nbsp;&nbsp;**Time Vesting <br>Conditions<sup>(2)</sup>** | &nbsp;&nbsp;**Performance Vesting Conditions<sup>(2)</sup>** |
| All executive officers and past executive officers of Versamet, as a group<sup>(1)</sup> | &nbsp;&nbsp;400000 | &nbsp;&nbsp;C$4.00 | &nbsp;&nbsp;April 1, 2025 | &nbsp;&nbsp;April 1, 2026 | &nbsp;&nbsp;40-day VWAP greater than or equal to C$1.40<sup>(3)</sup> at any time prior to April 1, 2028 |
| **Total** | &nbsp;&nbsp;**400000** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** | &nbsp;&nbsp;**-** |

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<sup>(1)</sup> Total of one person.

<sup>(2)</sup> Both the Time Vesting Conditions and Performance Vesting Conditions must be satisfied for the PRSUs (as defined herein) to vest.

<sup>(3)</sup> Calculated by dividing the total value by the total volume of the Common Shares traded for 40 consecutive trading days.

For a description of the Company's Omnibus Plan, see "*Executive Compensation - Omnibus Plan*".

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**Three-Year Prior Share Issuances**

<u>2023</u>

Concurrent with the transactions which closed on October 31, 2023, Regal Funds Management Pty Limited as trustee for the Regal subscribed for 34,642,500 Pre-Split Common Shares at a price of C$0.70 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance) for total proceeds of $17.5 million. Further, on the same date, Beedie Capital subscribed for 7,918,285 Pre-Split Common Shares at a price of C$0.70 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance) for total proceeds of $4 million.

During the fourth quarter of 2023, we acquired two royalty assets from Sandstorm for total consideration of $25 million comprising $10 million in cash and $15 million in Common Shares (29,557,436 Pre-Split Common Shares issued at a price of C$0.70 per Pre-Split Common Share, considered to be the fair value of the Common Shares upon issuance). Of the total Pre-Split Common Shares issued, 1,979,571 are held in escrow subject to certain milestones being met; in the event such milestones are not met these Common Shares will be returned to us and cancelled.

On three occasions during the year ended December 31, 2023, we exercised our right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares to Sandstorm. We satisfied a total of $17.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 33,837,247 Pre-Split Common Shares to Sandstorm at a price of C$0.70 per Pre-Split Common Share.

In December 2023, we closed a financing issuing 11,507,141 Pre-Split Common Shares at C$0.70 per Pre-Split Common Share for proceeds of $6.0 million. No costs were incurred in connection with this share issuance.

Interest expense of $267,513 was recognized for the period from October 31, 2023 to December 31, 2023 in relation to the Beedie Convertible Loan, of which $115,537 was paid in Common Shares (218,580 Pre-Split Common Shares at a price of C$0.70 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance)).

<u>2024</u>

On March 28, 2024, we settled $163,650 of interest owing to Beedie Capital for the quarter ended March 31, 2024 in Common Shares by issuing 316,544 Pre-Split Common Shares at a price of C$0.70 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance).

On June 5, 2024, we issued 122,049,971 Pre-Split Common Shares at C$0.80 per Pre-Split Common Share to B2Gold as consideration in connection with the B2Gold Transaction. In addition, on June 5, 2024, we exercised our right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares to Sandstorm. We satisfied a total of $14.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 24,179,193 Pre-Split Common Shares to Sandstorm at a price of C$0.80 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance).

On August 13, 2024, we issued 17,469,844 Pre-Split Common Shares at C$0.80 per Pre-Split Common Share to B2Gold as consideration in connection with the B2Gold Transaction. Further, on August 13, 2024, B2Gold subscribed for 12,872,812 Pre-Split Common Shares at C$0.80 per Pre-Split Common Share for total gross cash proceeds of $7.5 million.

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On September 30, 2024, we settled $166,872 of interest owing to Beedie Capital for the quarter ended September 30, 2024 in Common Shares by issuing 282,118 Pre-Split Common Shares at a price of C$0.80 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance).

On December 31, 2024, we settled $157,500 of interest owing to Beedie Capital for the quarter ended December 31, 2024 in Common Shares by issuing 283,185 Pre-Split Common Shares at a price of C$0.80 per Pre-Split Common Share (considered to be the fair value of the Common Shares upon issuance).

<u>2025</u>

On March 3, 2025, we issued 93,750 Pre-Split Common Shares in connection with the redemption of 93,750 outstanding Pre-Split RSUs.

On March 31, 2025, we issued 278,076 Pre-Split Common Shares at C$0.80 per Pre-Split Common Share to Beedie Capital for the quarterly PIK interest payment under the CLA.

On May 9, 2025, we issued 2,646,250 Pre-Split Common Shares in connection with the redemption of 2,646,250 outstanding Pre-Split RSUs.

On November 24, 2025, we issued an aggregate of 25,656 common shares upon exercise of stock options held by two consultants.

On December 15, 2025, we issued 18,750 common shares upon the vesting/conversion of 18,750 RSUs held by a director.

<u>2026</u>

On January 14, 2026, we issued 229,375 Common Shares to a former executive and 18,491 Common Shares to a consultant upon exercise of stock options.

On February 9, 2026, we issued an aggregate of 11,875,712 Common Shares at C$13.75 per Common Share, including 10,300,000 Common Shares pursuant to a bought deal public offering and 1,575,712 Common Shares pursuant to a concurrent private placement with Tether Investments S.A. de C.V., for total gross proceeds of approximately C$163.3 million.

On February ♦[17], 2026, we issued an aggregate of 100,000 Common Shares upon exercise of stock options held by a former director and 10,000 Common Shares upon the vesting/conversion of 10,000 RSUs held by a director.

**B. Memorandum and Articles of Association**

**Incorporation**

The Company was formed under the BCBCA on January 31, 2022 by way of an amalgamation of Rosedale (incorporated October 21, 2011) and Lunde (incorporated October 12, 2018), both private royalty companies incorporated under the BCBCA. On June 13, 2022, the Company changed its name from "Rosedale Resources Ltd." to "Sandbox Royalties Corp." in anticipation of acquiring royalty portfolios from each of Sandstorm and Equinox, which closed on June 28, 2022. On June 5, 2024, the Company changed its name from "Sandbox Royalties Corp." to "Versamet Royalties Corporation" in connection with acquiring a royalty portfolio from B2Gold.

The Company's head office and registered and records office is located at Suite 3200, 733 Seymour Street, Vancouver, British Columbia, Canada V6B 0S6. A copy of our Notice of Articles may be obtained from the Registrar of Companies of British Columbia.

**Objects and Purposes of the Company**

Our Notice of Articles and Articles of Incorporation place no restrictions upon our objects and purposes.

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**Directors' Powers**

Our Articles of Incorporation do not contain any special provision with respect to a director's power to vote on a proposal, arrangement or contract in which the director is materially interested. Such power of directors will be exercised by our directors in accordance with Sections 147 to 153 of the BCBCA, which provides in part that a director who is a party to, or who is also a director or officer of or has a material interest in any person who is a party to, a material contract or proposed material contract with us shall disclose the nature and extent of his interest at the time and in the manner provided by the BCBCA. The BCBCA also provides that any such contract or proposed contract shall be referred to the board or shareholders for approval and a director whose interest in a contract is so referred to the board shall not vote on any resolution to approve the same.

Section 13.5 of our Articles of Incorporation provides that the directors shall be paid such remuneration for their services as the board may from time to time determine. The directors shall also be entitled to be reimbursed for reasonable expenses that he or she may incur in and about the business of the Company.

No independent quorum is required when the board is making decisions on directors' remuneration.

Section 8.1 of our Articles of Incorporation provides that our directors may from time to time on behalf of the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) borrow money in the manner and amount, on the security, from the sources and on the terms and conditions that they consider appropriate,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) issue bonds, debentures and other debt obligations either outright or as security for any liability or obligation of the Company or any other person,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) guarantee the repayment of money by any other person or the performance of any obligation of any other person, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) mortgage or charge, whether by way of specific or floating charge, or give other security on the whole or any part of the present and future undertaking of the Company.

**Qualifications of Directors**

Section 13.4 of our Articles of Incorporation provides that a director is not required to hold a share in the capital of our Company as qualification for his or her office but must be qualified as required by the BCBCA to become, act or continue to act as a director.

There is no provision in our Notice of Articles or Articles of Incorporation imposing a requirement for retirement or non-retirement of directors under an age limit requirement.

**Share Rights**

Our authorized capital consists of an unlimited number of Common Shares without par value. All of the Common Shares rank equally as to voting rights, participation in a distribution of the assets of the Company on a liquidation, dissolution or winding-up of the Company and entitlement to any dividends declared by the Company. The holders of the Common Shares are entitled to receive notice of, and to attend and vote at, all meetings of shareholders (other than meetings at which only holders of another class or series of shares are entitled to vote). Each Common Share carries the right to one vote. In the event of the liquidation, dissolution or winding-up of the Company, or any other distribution of the assets of the Company among its shareholders for the purpose of winding-up its affairs, the holders of the Common Shares will be entitled to receive, on a pro rata basis, all of the assets remaining after the payment by the Company of all of its liabilities. The holders of Common Shares are entitled to receive dividends as and when declared by the Board in respect of the Common Shares on a pro rata basis. The Common Shares do not have pre-emptive rights, conversion rights or exchange rights and are not subject to redemption, retraction purchase for cancellation or surrender provisions. There are no sinking or purchase fund provisions, no provisions permitting or restricting the issuance of additional securities or any other material restrictions, and there are no provisions which are capable of requiring a security holder to contribute additional capital.

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**Procedures to Change the Rights of Shareholders**

Our Articles of Incorporation do not contain any special provision with respect to actions necessary to change the rights of our shareholders. The rights of our shareholders may be changed by altering our Notice of Articles and Articles of Incorporation in accordance with procedures set out in Sections 256 to 265 of the BCBCA.

Any alteration of the rights, privileges, restrictions and conditions attaching to the Common Shares under the Company's Articles must be approved by at least two-thirds of the Common Shares voted at a meeting of the Company's shareholders

**Meetings**

Section 10.1 of our Articles of Incorporation provides that, unless an annual general meeting is deferred or waived in accordance with section 182(2)(a) or (c) of the BCBCA, we must hold an annual general meeting at least once in each calendar year and not more than 15 months after the last annual general meeting. The percentage vote required to pass an ordinary resolution at a shareholder meeting is a simple majority, which is any amount greater than 50%.

According to Section 10.4 of our Articles of Incorporation, notice of the time and place of each meeting of shareholders shall be given not less than 21 days before the date of the meeting to each director, to the auditor and to each shareholder who at the close of business on the record date for notice is entered in the securities register as the holder of one or more shares carrying the right to vote at the meeting. Notice of a meeting of the shareholders called for any purpose other than consideration of the financial statements and auditor's report, election of directors and re-appointment of incumbent auditor shall state the nature of such business in sufficient detail to permit the shareholder to form a reasoned judgment thereon and shall attach to it a copy of the document to be considered, approved, ratified, adopted or authorized at the meeting or state that a copy of the document will be available for inspection by the shareholders at the company's records office or such other reasonably accessible location in British Columbia. A shareholder may in any manner waive notice of or otherwise consent to a meeting of shareholders.

According to Section 11.3 of our Articles of Incorporation the number of shareholders that must be present at a meeting to constitute a quorum is one person present or represented by proxy.

**Limitations on Ownership of Securities**

There are no limitations on the right to own securities of our company by non-resident or foreign shareholders imposed either by the BCBCA, our Notice of Articles or Articles of Incorporation.

There are no limitations on the rights of non-resident or foreign shareholders to hold or exercise voting rights.

Except as provided in the *Investment Canada Act* (Canada) (the "**Investment Canada Act**"), there are no limitations under the applicable laws of Canada or by our charter or our other constituent documents on the right of foreigners to hold or vote Common Shares or other securities of our company.

The Investment Canada Act will prohibit implementation, or if necessary, require divestiture of an investment deemed "reviewable" under the Investment Canada Act by an investor that is not a "Canadian" as defined in the Investment Canada Act (a "**non-Canadian**"), unless after review the Minister responsible for the Investment Canada Act (the "**Minister**") is satisfied that the "reviewable" investment is likely to be of net benefit to Canada. An investment in our Common Shares by a non-Canadian, who is not a resident of a World Trade Organization member, would be reviewable under the Investment Canada Act if it was an investment to acquire control of our company and the value of the assets of our company was C$5 million or more. An investment in our Common Shares by WTO Investors would be reviewable only if it was an investment to acquire control of our company and the value of the assets of our company was equal to or greater than a specified amount, which is published by the Minister after its determination for any particular year.

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A non-Canadian would be deemed to acquire control of our company for the purposes of the Investment Canada Act if the non-Canadian acquired a majority of our outstanding Common Shares (or less than a majority but controlled our company in fact through the ownership of one-third or more of our outstanding Common Shares) unless it could be established that, on the acquisition, we were not controlled in fact by the acquirer through the ownership of such Common Shares. Certain transactions in relation to our Common Shares would be exempt from review under the Investment Canada Act, including, among others, the following:

1. acquisition of Common Shares by a person in the ordinary course of that person's business as a trader or dealer in securities;

2. acquisition of control of our company in connection with the realization of security granted for a loan or other financial assistance and not for any purpose related to the provisions of the Investment Canada Act; and

3. acquisition of control of our company by reason of an amalgamation, merger, consolidation or corporate reorganization following which the ultimate direct or indirect control of our company, through the ownership of voting interests, remains unchanged.

**Change in Control**

There are no provisions in our articles or our bylaws that would have the effect of delaying, deferring or preventing a change in control of our company, and that would operate only with respect to a merger, acquisition or corporate restructuring involving our company.

The BCBCA does not contain any provisions that would have the effect of delaying, deferring or preventing a change of control of our company.

**Ownership Threshold**

There are no provisions in our articles or our bylaws or in the BCBCA governing the threshold above which shareholder ownership must be disclosed. The *Securities Act* (British Columbia) requires us to disclose, in our annual general meeting proxy statement, holders who beneficially own more than 10% of our issued and outstanding shares.

United States federal securities laws require us to disclose, in our Annual Report on Form 20-F, holders who own more than 5% of our issued and outstanding shares.

**Changes in the Capital of the Company**

There are no conditions imposed by our articles or our bylaws which are more stringent than those required by the BCBCA.

**C. Material Contracts**

Except for material contracts entered into in the ordinary course of business, set out below are material contracts to which we are a party entered into in the two years preceding the date of this Registration Statement:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Investor Rights Agreements. We are party to investor rights agreements with each of B2Gold Corp. (June 5, 2024), Equinox Gold Corp. (June 28, 2022), Tether Investments S.A. de C.V. (November 17, 2025), and NEMESIA S.à.R.L. (November 17, 2025). These agreements were entered into in connection with share issuances or asset acquisition transactions. Each agreement provides the counterparty with certain rights, including board nomination and observer rights (subject to ownership thresholds), participation and top-up rights in future financings, piggyback registration rights, and access to information, as well as customary transfer restrictions and standstill covenants. Copies of these agreements are filed as exhibits to this Annual Report and are incorporated herein by reference;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Greenstone GPA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Kiaka Royalty Agreement dated November 30, 2021 amongst Volta II Ltd., B2Gold Corp, and West African Resources Limited;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Amended and Restated Executive Employment Agreement dated February 22, 2023 between Versamet Royalties Corporation (formerly Sandbox Royalites Corp.) and Victoria McMillan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Executive Employment Agreement dated January 1, 2024 between Versamet Royalties Corporation (formerly Sandbox Royalites Corp.) and Craig Rollins;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Executive Employment Agreement dated April 1, 2025 between Versamet Royalties Corporation and Daniel O'Flaherty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Credit Facilities Agreement dated September 24, 2025 among Versamet Royalties Corporation, the Bank of Montreal, BMO Capital Markets, and National Bank Financial, among others;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Kolpa CPA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) RP Stream Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Santa Rita Royalty Agreement dated September 24, 2025 among AMH (Jersey) Limited, Appian Natural Resources Fund II LP, Appian Natural Resources (UST) Fund II LP, and Atlantic Nickel Mineracao LTDA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Escrow Agreement dated May 12, 2025, amongst B2Gold, Tether Investments S.A. de C.V., NEMESIA S.à.R.L., Equinox, Gregory Smith, the spouse of Gregory Smith, Daniel O'Flaherty (through Vandelay Industries SEZC, a company wholly-owned by Mr. O'Flaherty), the spouse of Daniel O'Flaherty, Marcel de Groot, the spouse of Marcel de Groot, Craig Rollins and any investment banks that hold shares of the foregoing persons, and TSX Trust Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Underwriting Agreement dated February 2, 2026 among BMO Nesbitt Burns Inc., National Bank Financial Inc., ATB Cormark Capital Markets Corp., Canaccord Genuity Corp., Raymond James Ltd., and Versamet Royalties Corporation

**D. Exchange Controls**

There are no governmental laws, decrees or regulations in Canada relating to restrictions on the export or import of capital, or affecting the remittance of interest, dividends or other payments to non-resident holders of our Common Shares. Any remittances of dividends to United States residents are, however, subject to a 15% withholding tax (5% if the shareholder is a corporation owning at least 10% of our outstanding Common Shares) pursuant to Article X of the reciprocal tax treaty between Canada and the United States.

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Except as provided in the Investment Canada Act, there are no limitations under the laws of Canada, the Province of British Columbia or in the charter or any other constituent documents of the Company on the right of foreigners to hold or vote our Common Shares.

The following discussion summarizes the principal features of the Investment Canada Act for a non-resident who proposes to acquire the Common Shares.

The Investment Canada Act generally prohibits implementation of a reviewable investment by an individual, government or agency thereof, corporation, partnership, trust or joint venture (each an "**entity**") that is not a "Canadian" as defined in the Investment Canada Act (a "**non-Canadian**"), unless after review, the Director of Investments appointed by the minister responsible for the Investment Canada Act is satisfied that the investment is likely to be of net benefit to Canada. An investment in the Common Shares by a non-Canadian other than a "**WTO Investor**" (as that term is defined by the Investment Canada Act, and which term includes entities which are nationals of or are controlled by nationals of member states of the World Trade Organization) when the Company was not controlled by a WTO Investor, would be reviewable under the Investment Canada Act if it was an investment to acquire control of the Company and the value of the assets of the Company, as determined in accordance with the regulations promulgated under the Investment Canada Act, equals or exceeds C$5 million for direct acquisition and over C$50 million for indirect acquisition, or if an order for review was made by the federal cabinet on the grounds that the investment related to Canada's cultural heritage or national identity, regardless of the value of the assets of the Company. An investment in the Common Shares by a WTO Investor, or by a non-Canadian when the Company was controlled by a WTO Investor, would be reviewable under the Investment Canada Act if it was an investment to acquire control of the Company and the value of the assets of the Company, as determined in accordance with the regulations promulgated under the Investment Canada Act was not less than a specified amount. A non-Canadian would acquire control of the Company for the purposes of the Investment Canada Act if the non-Canadian acquired a majority of the Common Shares. The acquisition of one third or more, but less than a majority of the Common Shares would be presumed to be an acquisition of control of the Company unless it could be established that, on the acquisition, the Company was not controlled in fact by the acquirer through the ownership of the Common Shares. Certain transactions relating to the Common Shares would be exempt from the Investment Canada Act, including: (a) an acquisition of the Common Shares by a person in the ordinary course of that person's business as a trader or dealer in securities; (b) an acquisition of control of the Company in connection with the realization of security granted for a loan or other financial assistance and not for a purpose related to the provisions of the Investment Canada Act; and (c) an acquisition of control of the Company by reason of an amalgamation, merger, consolidation or corporate reorganization following which the ultimate direct or indirect control in fact of the Company, through the ownership of the Common Shares, remained unchanged.

**E. Taxation Certain United States Federal Income Tax Consequences for U.S. Holders**

The following discussion is a summary of certain U.S. federal income tax consequences relating to the acquisition, ownership and disposition of the Common Shares that are applicable to U.S. Holders (as defined below). This discussion is based on the U.S. Internal Revenue Code of 1986, as amended (the "**Code**"), U.S. Treasury Regulations promulgated thereunder ("**Treasury Regulations**"), judicial authorities, published positions of the IRS, and other applicable authorities, all as in effect on the date hereof. Future legislative, judicial, or administrative modifications, revocations, or interpretations, which may or may not be retroactive, may result in U.S. federal income tax consequences significantly different from those discussed herein. This discussion is not binding on the U.S. Internal Revenue Service (the "**IRS**"). No ruling has been or will be sought or obtained from the IRS with respect to any of the U.S. federal tax consequences discussed herein. There can be no assurance that the IRS will not challenge any of the conclusions described herein or that a U.S. court will not sustain such a challenge.

This discussion is of a general nature only, does not address all of the U.S. federal income tax considerations that may be relevant to a U.S. Holder in light of their circumstances and does not constitute tax advice to any particular holder of Common Shares. Moreover, this summary does not address the Medicare tax on net investment income, alternative minimum tax, non-income tax (such as the gift and estate tax) or any state, local, and non-U.S. tax considerations, relating to the ownership and disposition of Common Shares. This discussion only deals with a beneficial owner that holds Common Shares as "capital assets" within the meaning of Section 1221 of the Code (generally, property held for investment purposes), and does not address the special tax rules that may apply to special classes of taxpayers, such as:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) securities broker-dealers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) persons that hold Common Shares as part of a hedging or integrated financial transaction or a straddle;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) persons whose functional currency is not the U.S. dollar;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) U.S. expatriates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) persons that are owners of an interest in a partnership or other pass-through entity that is a holder of Common Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) partnerships or other pass-through entities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) regulated investment companies or real estate investment trusts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) banks, thrifts, mutual funds and other financial institutions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) insurance companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) traders that have elected a mark-to-market method of accounting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) tax-exempt organizations and pension funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) controlled foreign corporations, passive foreign investment companies and corporations that accumulate earnings to avoid U.S. federal income tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) persons that own, or have owned, directly, indirectly or by attribution, 5% or more of the total combined voting power of all issued and outstanding shares of the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) persons who received their Common Shares upon the exercise of employee stock options or otherwise as compensation or through a tax-qualified retirement plan.

**THE SUMMARY OF U.S. FEDERAL INCOME TAX CONSEQUENCES SET OUT BELOW IS FOR GENERAL INFORMATION ONLY. PROSPECTIVE INVESTORS ARE URGED TO CONSULT THEIR TAX ADVISORS REGARDING THE APPLICATION OF THE U.S. FEDERAL TAX RULES TO THEIR PARTICULAR CIRCUMSTANCES AS WELL AS THE STATE, LOCAL, NON-U.S. AND OTHER TAX CONSEQUENCES TO THEM OF THE ACQUISITION, OWNERSHIP AND DISPOSITION OF THE COMMON SHARES.**

As used herein, "U.S. Holder" means a beneficial owner of the Common Shares that is (i) an individual who is a citizen or resident alien of the United States for U.S. federal income tax purposes, (ii) a corporation (or other entity taxable as a corporation for U.S. federal tax purposes) created or organized under the laws of the United States or any political subdivision thereof, (iii) an estate the income of which is subject to U.S. federal income tax regardless of its source, or (iv) a trust (a) that validly elects to be treated as a U.S. person for U.S. federal income tax purposes or (b) the administration over which a U.S. court can exercise primary supervision and all of the substantial decisions of which one or more U.S. persons have the authority to control.

The U.S. federal income tax treatment of a partner in an entity or arrangement treated as a partnership for U.S. federal income tax purposes that holds the Common Shares generally will depend on the status of the partner and the activities of the partnership. Partnerships considering an investment in the Common Shares and partners in such partnerships are urged to consult their tax advisors regarding the specific U.S. federal income tax consequences to them of the acquisition, ownership and disposition of the Common Shares.

**Ownership and Disposition of the Common Shares if the Company is a PFIC**

*PFIC Status of the Company*

The rules governing PFICs can have adverse tax effects on U.S. Holders. In general, a non-U.S. corporation is a PFIC for any taxable year in which either (i) 75% or more of the non-U.S. corporation's gross income is passive income, or (ii) 50% or more of the average quarterly value of the non-U.S. corporation's assets produce or are held for the production of passive income. Passive income includes, for example, dividends, interest, certain rents and royalties, certain gains from the sale of stock and securities and certain gains from commodities transactions, but passive income does not include gains from the sale of commodities that arise in the active conduct of a commodities business by a non-U.S. corporation, provided that certain other requirements are satisfied. In determining whether or not it is classified as a PFIC, a non-U.S. corporation must take into account its pro rata portion of the income and assets of each corporation in which it owns, directly or indirectly, at least a 25% interest by value.

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Because we did not have active business income, for the taxable year ending December 31, 2024, the Company expects that it may be a PFIC for its prior tax years and may be a PFIC for its current tax year. PFIC classification is factual in nature, and generally cannot be determined until the close of the tax year in question. Additionally, the analysis depends, in part, on the application of complex U.S. federal income tax rules, which are subject to differing interpretations. Consequently, there can be no assurances regarding the PFIC status of the Company during the current tax year or any prior tax year. If the Company was a PFIC as to a U.S. Holder at any time during such U.S. Holder's holding period of Common Shares, then (absent certain elections, discussed below under "-*PFIC Consequences*") it would continue to be a PFIC as to such U.S. Holder and as to such Common Shares.

U.S. Holders should consult their own tax advisors regarding the Company's potential PFIC status.

*PFIC Consequences*

A U.S. Holder that holds stock in a non-U.S. corporation during any taxable year in which the corporation qualifies as a PFIC is subject to special tax rules with respect to (a) any gain realized on the sale, exchange or other disposition of the stock and (b) any "excess distribution" by the corporation to the holder, unless the holder elects to treat the PFIC as a "qualified electing fund" ("**QEF**") or makes a "mark-to-market" election, each as discussed below. An "excess distribution" is that portion of a distribution with respect to PFIC stock that exceeds 125% of the average of such distributions over the preceding three-year period or, if shorter, the U.S. Holder's holding period for its shares. Excess distributions and gains on the sale, exchange or other disposition of stock of a corporation which was a PFIC at any time during the U.S. Holder's holding period are allocated rateably to each day of the U.S. Holder's holding period. Amounts allocated to the taxable year in which the disposition occurs and amounts allocated to any period in the shareholder's holding period before the first day of the first taxable year that the corporation was a PFIC will be taxed as ordinary income (rather than capital gain) earned in the taxable year of the disposition. Amounts allocated to each of the other taxable years in the U.S. Holder's holding period are not included in gross income for the year of the disposition, but are subject to a special tax (equal to the highest ordinary income tax rates in effect for those years, and increased by an interest charge at the rate applicable to income tax deficiencies) that is added to the regular tax for the taxable year in which the disposition occurs. The tax liability for amounts allocated to years before the year of disposition or "excess distribution" cannot be offset by any net operating losses for such years, and gains (but not losses) realized on the sale of shares cannot be treated as capital, even if a U.S. Holder held such shares as capital assets. The preferential U.S. federal income tax rates for dividends and long-term capital gain of individual U.S. Holders (as well as certain trusts and estates) would not apply, and special rates would apply for calculating the amount of the foreign tax credit with respect to excess distributions.

If a corporation is a PFIC for any taxable year during which a U.S. Holder holds shares in the corporation, then the corporation generally will continue to be treated as a PFIC with respect to the holder's shares, even if the corporation no longer satisfies either the passive income or passive asset tests described above, unless the U.S. Holder terminates this deemed PFIC status by electing to recognize gain, which will be taxed under the excess distribution rules as if such shares had been sold on the last day of the last taxable year for which the corporation was a PFIC.

The excess distribution rules may be avoided if a U.S. Holder makes a QEF Election effective beginning with the first taxable year in the holder's holding period in which the corporation is a PFIC. A U.S. Holder that makes a QEF Election is required to include in income its pro rata share of the PFIC's ordinary earnings and net capital gain as ordinary income and long-term capital gain, respectively, subject to a separate election to defer payment of taxes, which deferral is subject to an interest charge. A U.S. Holder whose QEF Election is effective after the first taxable year during the holder's holding period in which the corporation is a PFIC will continue to be subject to the excess distribution rules for years beginning with such first taxable year for which the QEF election is effective.

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In general, a U.S. Holder makes a QEF Election by attaching a completed IRS Form 8621 to a timely filed (taking into account any extensions) U.S. federal income tax return for the year beginning with which the QEF election is to be effective. A QEF Election can be revoked only with the consent of the IRS. In order for a U.S. Holder to make a valid QEF Election, the corporation must annually provide or make available to the holder certain information.

As an alternative to making a QEF Election, a U.S. Holder may make a "mark-to-market" election with respect to its PFIC shares if the shares meet certain minimum trading requirements. If a U.S. Holder makes a valid mark-to-market election for the first tax year in which such holder holds (or is deemed to hold) stock in a corporation and for which such corporation is determined to be a PFIC, such holder generally will not be subject to the PFIC rules described above in respect of its stock. Instead, a U.S. Holder that makes a mark-to-market election will be required to include in income each year an amount equal to the excess, if any, of the fair market value of the shares that the holder owns as of the close of the taxable year over the holder's adjusted tax basis in the shares. The U.S. Holder will be entitled to a deduction for the excess, if any, of the holder's adjusted tax basis in the shares over the fair market value of the shares as of the close of the taxable year; provided, however, that the deduction will be limited to the extent of any net mark-to-market gains with respect to the shares included by the U.S. Holder under the election for prior taxable years. The U.S. Holder's basis in the shares will be adjusted to reflect the amounts included or deducted pursuant to the election. Amounts included in income pursuant to a mark-to-market election, as well as gain on the sale, exchange or other taxable disposition of the shares, will be treated as ordinary income. The deductible portion of any mark-to-market loss, as well as loss on a sale, exchange or other disposition of shares to the extent that the amount of such loss does not exceed net mark-to-market gains previously included in income, will be treated as ordinary loss.

The mark-to-market election applies to the taxable year for which the election is made and all subsequent taxable years, unless the shares cease to meet applicable trading requirements (described below) or the IRS consents to its revocation. The excess distribution rules generally do not apply to a U.S. Holder for tax years for which a mark-to-market election is in effect. However, if a U.S. Holder makes a mark-to-market election for PFIC stock after the beginning of the holder's holding period for the stock, a coordination rule applies to ensure that the holder does not avoid the tax and interest charge with respect to amounts attributable to periods before the election.

A mark-to-market election is available only if the shares are considered "marketable" for these purposes. Shares will be marketable if they are regularly traded on a national securities exchange that is registered with the Securities and Exchange Commission or on a non-U.S. exchange or market that the IRS determines has rules sufficient to ensure that the market price represents a legitimate and sound fair market value. For these purposes, shares will be considered regularly traded during any calendar year during which they are traded, other than in de minimis quantities, on at least 15 days during each calendar quarter. Any trades that have as their principal purpose meeting this requirement will be disregarded. Each U.S. Holder should ask its own tax advisor whether a mark-to-market election is available or desirable.

It is also possible that one or more of the subsidiaries of a PFIC is or will become a PFIC. Such determination is made annually at the end of each taxable year and is dependent upon a number of factors, including the amount and nature of a subsidiary's income, as well as the market valuation and nature of a subsidiary's assets. In such case, assuming a U.S. Holder does not receive from such subsidiary the information that the U.S. Holder needs to make a QEF Election with respect such a subsidiary, a U.S. Holder generally will be deemed to own a portion of the shares of such lower-tier PFIC and may incur liability for a deferred tax and interest charge if the first-tier PFIC receives a distribution from, or dispose of all or part of its interest in, or the U.S. Holder otherwise is deemed to have disposed of an interest in, the lower-tier PFIC.

A U.S. Holder who owns Common Shares during any taxable year in which the Company is treated as a PFIC with respect to such U.S. Holder generally would be required to file statements with respect to such shares on IRS Form 8621 with their U.S. federal income tax returns. Failure to file such statements may result in the extension of the period of limitations on assessment and collection of U.S. federal income taxes.

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**Ownership and Disposition of the Common Shares if the Company is Not a PFIC**

The discussion below would apply to a U.S. Holder if the Company is not a PFIC, or if the Company ceases to be a PFIC (and the U.S. Holder is not a Non-Electing U.S. Holder that would continue to be treated as holding stock of a PFIC as described under "-*Default PFIC Rules*").

*Distributions on the Common Shares*

Subject to the discussion under the heading "*Ownership and Disposition of the Common Shares if the Company is a PFIC*," A U.S. Holder that receives a distribution with respect to a Common Share will be required to include the amount of such distribution in gross income as a dividend to the extent of the current or accumulated "earnings and profits" of the Company, as determined for U.S. federal income tax principles. Such amount will be includable in gross income by a U.S. Holder as ordinary income on the date that the U.S. Holder actually or constructively receives the distribution in accordance with its regular method of accounting for U.S. federal income tax purposes. The amount of any distribution made by the Company in property other than cash will be the fair market value of such property on the date of the distribution.

To the extent that a distribution exceeds the amount of our current and accumulated earnings and profits, as determined under U.S. federal income tax principles, such distribution will be treated first as a tax-free return of capital to the extent of a U.S. Holder's adjusted tax basis in the Common Shares, causing a reduction in the U.S. Holder's adjusted tax basis in the Common Shares held by such U.S. Holder (thereby increasing the amount of gain, or decreasing amount of loss, to be recognized by such U.S. Holder upon a subsequent disposition of such Common Shares), with any amount that exceeds the adjusted tax basis being treated as a capital gain recognized on a sale, exchange or other taxable disposition of such Common Shares. See "*Sale, Exchange or Other Taxable Disposition of the Common Shares*" below. The Company, however, does not intend to maintain calculations of its earnings and profits in accordance with U.S. federal income tax principles, and each U.S. Holder should therefore assume that any distribution by the Company with respect to Common Shares will be treated as a dividend for U.S. federal income tax purposes. In the case of a U.S. Holder that is a corporation, dividends paid on the Common Shares generally will not be eligible for the "dividends received deduction." The dividend rules are complex, and each U.S. Holder is urged to consult its own tax advisor regarding the application of such rules.

So long as the Company is eligible for benefits under the Treaty (as defined under "*Certain Canadian Federal Income Tax Consequences for United States Holders*" in this Registration Statement), dividends a U.S. Holder receives from the Company will be "qualified dividend income" if certain holding period and other requirements (including a requirement that the Company is not a PFIC in the year of the dividend or the immediately preceding year) are met. Qualified dividend income of an individual or other non-corporate U.S. Holder will be subject to a reduced maximum U.S. federal income tax rate.

Any dividends the Company pays to U.S. Holders generally will constitute non-U.S. source "passive category" income for U.S. foreign tax credit limitation purposes. Subject to certain limitations, Canadian tax withheld with respect to distributions made on the Common Shares may be treated as foreign taxes eligible for credit against a U.S. Holder's U.S. federal income tax liability. Alternatively, a U.S. Holder may, subject to applicable limitations, elect to deduct the otherwise creditable Canadian withholding taxes for U.S. federal income tax purposes. The rules governing the foreign tax credit are complex and involve the application of rules that depend upon a U.S. Holder's particular circumstances. Accordingly, a U.S. Holder is urged to consult its tax advisor regarding the availability of the foreign tax credit under its particular circumstances.

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 *Sale, Exchange or Other Taxable Disposition of the Common Shares*

Subject to the discussion under the heading "*Ownership and Disposition of the Common Shares if the Company is a PFIC*," a U.S. Holder generally will recognize gain or loss upon the taxable sale, exchange or other disposition of the Common Shares in an amount equal to the difference between (i) the U.S. dollar value of the amount realized upon the sale, exchange or other taxable disposition and (ii) such U.S. Holder's adjusted tax basis in the Common Shares. Generally, such gain or loss will be capital gain or loss and will be long-term capital gain or loss if, on the date of the sale, exchange or other taxable disposition, such U.S. Holder has held the Common Shares for more than one year. If such U.S. Holder is an individual or other non-corporate U.S. Holder, long-term capital gains will be subject to a reduced maximum U.S. federal income tax rate. The deductibility of capital losses is subject to limitations under the Code. Gain or loss, if any, that a U.S. Holder realizes upon a sale, exchange or other taxable disposition of the Common Shares generally will be treated as having a U.S. source for U.S. foreign tax credit limitation purposes.

**Receipt of Foreign Currency**

The amount of any distribution paid to a U.S. Holder in foreign currency or on the sale, exchange or other taxable disposition of Common Shares generally will be equal to the U.S. dollar value of such foreign currency based on the exchange rate applicable on the date of actual or constructive receipt (regardless of whether such foreign currency is converted into U.S. dollars at that time). If the foreign currency received is not converted into U.S. dollars on the date of receipt, a U.S. Holder will have a tax basis in the foreign currency equal to its U.S. dollar value on the date of receipt. Any U.S. Holder that receives payment in foreign currency and engages in a subsequent conversion or other disposition of the foreign currency may have a foreign currency exchange gain or loss that would be treated as ordinary income or loss, and generally will be U.S. source income or loss for foreign tax credit purposes. Different rules apply to U.S. Holders that use the accrual method of tax accounting. Each U.S. Holder is urged to consult its own U.S. tax advisor regarding the U.S. federal income tax consequences of receiving, owning, and disposing of foreign currency.

**Information Reporting; Backup Withholding Tax**

Dividend payments and proceeds paid from the sale or other taxable disposition of ordinary shares may be subject to information reporting to the IRS. In addition, a U.S. Holder (other than exempt holders who establish their exempt status if required) may be subject to backup withholding on cash payments received in connection with dividend payments and proceeds from the sale or other taxable disposition of our ordinary shares made within the United States or through certain U.S.-related financial intermediaries.

Backup withholding will not apply, however, to a U.S. Holder who furnishes a correct taxpayer identification number, makes other required certification and otherwise complies with the applicable requirements of the backup withholding rules.

Backup withholding is not an additional tax. Rather, any amount withheld under the backup withholding rules will be creditable or refundable against the U.S. Holder's U.S. federal income tax liability, provided the required information is timely furnished to the IRS.

***The foregoing discussion of certain U.S. federal income tax considerations is a general summary only and should not be considered as income tax advice or relied upon for tax planning purposes. Accordingly, each U.S. Holder should consult with its own tax advisor regarding U.S. federal, state, local and non-U.S. income and other tax consequences of the ownership and disposition of our Common Shares.***

**Certain Canadian Federal Income Tax Consequences for United States Holders**

The following summarizes, as of the date hereof, certain Canadian federal income tax considerations generally applicable under the *Income Tax Act* (Canada) and the regulations thereunder (collectively, the "**Canadian Tax Act**") and the Canada-United States Tax Convention (1980), as amended, (the "**Treaty**") to the holding and disposition of the Common Shares.

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Comment is restricted to beneficial owners of the Common Shares, who, at all relevant times and for purposes of the Canadian Tax Act and the Treaty: (i) are not (and are not deemed to be) resident in Canada; (ii) are resident solely in the United States and are entitled to benefits of the Treaty; (iii) do not use or hold, and are not deemed to use or hold, the Common Shares in, or in the course of, carrying on a business in Canada; (iv) deal at arm's length with and are not affiliated with the Company; (v) hold the Common Shares as capital property; and (vi) are not an "authorized foreign bank" (as defined in the Canadian Tax Act) or an insurer that carries on business in Canada and elsewhere (each such holder, a "**US Resident Holder**"). Generally, a US Resident Holder's Common Shares will be considered to be capital property of the holder provided that the US Resident Holder is not a trader or dealer in securities, does not acquire, hold or dispose of (or is not deemed to have acquired, held or disposed of) the Common Shares in one or more transactions considered to be an adventure or concern in the nature of trade, and does not hold or use (or is not deemed to hold or use) the Common Shares in the course of carrying on a business of trading or dealing in securities.

Certain U.S. resident entities that are fiscally transparent for U.S. federal income tax purposes (including limited liability companies) may not in all circumstances be entitled to benefits under the Treaty. US Resident Holders are urged to consult with their own tax advisors to determine their entitlement to benefits under the Treaty and related compliance requirements based on their particular circumstances.

This summary is based upon the current provisions of the Canadian Tax Act and the Treaty in effect as of the date hereof, the Company's understanding of the current published administrative policies and assessing practices of the Canada Revenue Agency (the "**CRA**") published in writing and publicly available prior to the date hereof and all specific proposals to amend the Canadian Tax Act publicly and officially announced by or on behalf of the Minister of Finance (Canada) prior to the date hereof (the "**Tax Proposals**"). This summary assumes that the Tax Proposals will be enacted in the form proposed. No assurances can be given that the Tax Proposals will be enacted as proposed or at all, or that legislative, judicial or administrative changes will not modify or change the statements expressed herein. This summary does not otherwise anticipate or take into account any changes in law or in the administrative policies or assessing practices of the CRA, whether by legislative, governmental or judicial decision or action, nor does it take into account any other federal or any provincial, territorial or foreign tax legislation or considerations, which may differ significantly from those set out herein.

***This summary is of a general nature only, is not exhaustive of all possible Canadian federal income tax considerations of acquiring, holding or disposing of Common Shares and is not intended and should not be construed as legal or tax advice to any particular US Resident Holder. No representations with respect to the income tax consequences to any holder of the Common Shares are made herein. The tax consequences of acquiring, holding and disposing of the Common Shares will vary according to the holder's particular circumstances. Accordingly, holders of the Common Shares are urged to consult their own tax advisors with respect to their own particular circumstances. This summary is qualified accordingly.***

**Currency**

For purposes of the Canadian Tax Act, all amounts relating to the acquisition, holding or disposition of Common Shares must be expressed in Canadian dollars. Amounts denominated in any other currency must be converted into Canadian dollars based on the exchange rates determined in accordance with the Canadian Tax Act.

**Dividends**

Under the Canadian Tax Act, dividends paid or credited or deemed to be paid or credited to a US Resident Holder by the Company are subject to Canadian withholding tax at the rate of 25% on the gross amount of the dividend, unless such rate is reduced by the terms of an applicable tax treaty. Under the Treaty, the rate of withholding tax on dividends paid or credited to a US Resident Holder is generally reduced to 15% of the gross amount of the dividend (or 5% in the case of a US Resident Holder that is a company that owns, directly or indirectly, at least 10% of the Company's voting shares). US Resident Holders should consult their own tax advisors to determine their entitlement to benefits under the Treaty based on their particular circumstances.

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**Disposition of Common Shares**

A US Resident Holder generally will not be subject to tax under the Canadian Tax Act in respect of any capital gain realized by such US Resident Holder on the disposition or deemed disposition of a Common Share, nor will capital losses arising therefrom be recognized under the Canadian Tax Act, unless the Common Share constitutes "taxable Canadian property" to the US Resident Holder thereof for purposes of the Canadian Tax Act at the time of the disposition, and the gain is not exempt from tax pursuant to the terms of an applicable tax treaty.

Common Shares generally will not be "taxable Canadian property" to a US Resident Holder provided that, at the time of the disposition or deemed disposition, the Common Shares are listed on a "designated stock exchange" for purposes of the Canadian Tax Act (which currently includes the TSX and Nasdaq), unless at any time during the 60-month period immediately preceding the disposition, the following two conditions are met concurrently: (a) (i) the US Resident Holder, (ii) persons with whom the US Resident Holder did not deal at arm's length, (iii) a partnership in which the US Resident Holder or a person described in (ii) holds a membership interest directly or indirectly through one or more partnerships, or (iv) any combination of the persons and partnerships described in (i) through (iii), owned 25% or more of the issued shares of any class or series of the capital stock of the Company; and (b) more than 50% of the fair market value of the Common Shares was derived directly or indirectly, from one or any combination of real or immovable property situated in Canada, "Canadian resource properties", "timber resource properties" (each as defined in the Canadian Tax Act), or options in respect of or interests in, or, for civil law, rights in, any such properties (whether or not such property exists). Notwithstanding the foregoing, in certain circumstances set out in the Canadian Tax Act, the Common Shares may be deemed to be "taxable Canadian property".

Even if a Common Share is taxable Canadian property to a US Resident Holder, any capital gain realized upon the disposition or deemed disposition of such Common Share may not be subject to tax under the Canadian Tax Act if the Common Shares are "treaty-protected property" (as defined in the Canadian Tax Act).

**A US Resident Holder whose Common Shares may constitute taxable Canadian property should consult their own tax advisors regarding the tax and compliance considerations that may be relevant to them.**

**F. Dividends and Paying Agents**

We have not, since the date of our incorporation, declared or paid any dividends or other distributions on our Common Shares, and do not currently have a policy with respect to the payment of dividends or other distributions. We do not currently pay dividends and do not intend to pay dividends in the foreseeable future. The declaration and payment of any dividends in the future is at the discretion of the Board and will depend on numerous factors, including compliance with applicable laws, financial performance, our working capital requirements and such other factors as its directors consider appropriate. There can be no assurance that we will pay dividends under any circumstances. See Item 3.D, "*Risk Factors - Risks Related to the Company - Dividends*".

**G. Statements by Experts**

Certain technical and scientific information contained in this Registration Statement was reviewed or approved by Diego Airo, P. Eng., and Vice President, Project Evaluation of Versamet Royalties and a "qualified person" under NI 43-101 and SK1300.

The financial statements of the Company for the years ended December 31, 2024 and 2023 have been audited by KPMG LLP, independent registered public accounting firm, as stated in their report appearing herein.

**H. Documents on Display**

Upon the effectiveness of this filing, we will be subject to the informational requirements of the Securities Exchange Act of 1934, as amended, and we will thereafter file reports and other information with the SEC. Reports filed with, and other information furnished to, the SEC are available from the SEC's Electronic Data Gathering and Retrieval System (EDGAR) at <u>www.sec.gov</u>. We also file our annual reports and other information with the securities regulatory authorities of Canada via SEDAR+ at <u>www.sedarplus.ca</u>.

------

**I. Subsidiary Information**

Not applicable.

**J. Annual Report to Security Holders**

Not applicable.

**ITEM 11: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

Market risk is the risk that changes in market prices, such as commodity prices, interest rates and foreign exchange rates will affect our net earnings or the value of financial instruments. Our objective is to manage and mitigate market risk exposures within acceptable limits, while maximizing returns.

**A. Commodity Price Risks**

Commodity price risk is defined as the potential adverse impact on earnings and economic value due to commodity price movements and volatilities. Our asset portfolio has exposure to commodity prices, predominantly gold. Commodity prices, especially gold, greatly affect our value and the potential value of our property and investments.

**B. Currency Risk**

Financial instruments that impact our net earnings or other comprehensive income due to currency fluctuation include cash accounts and investments denominated in Canadian dollars. Fluctuations in the exchange rate between the US dollar and the Canadian dollar, at December 31, 2024 would not have a material impact on the Company's net earnings and other comprehensive income.

**C. Interest Rate Risk**

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate due to changes in market interest rates. Our short-term investments into fixed rate guaranteed investment certificates with one year maturities or less, and so are not exposed to interest rate risk. Our Credit Facility (as amended) is subject to floating interest rates and depending on the amount drawn down on the Credit Facility (as amended), a movement in the interest rate could have a material impact on our net earnings and comprehensive income.

**D. Equity Price Risk**

Equity price risk is the risk that the fair value of or future cash flows from the Company's financial instruments will significantly fluctuate because of changes in market prices. The Company is exposed to market risk in trading its investments in unfavorable market conditions which could result in dispositions of investments at less than favorable prices. Additionally, the Company adjusts its investments to fair value at the end of each reporting period. This process could result in write-downs of the Company's investments over one or more reporting periods, particularly during periods of overall market instability. The sensitivity of the Company's net income (loss) to changes in market prices at December 31, 2024 would change the Company's net income (loss) by $66,000 as a result of a 10% change in the market price of its investments.

There have been no changes in management's methods for managing market risks since during the years ended December 31, 2025 and 2024.

------

Please also see the information set forth under Note ♦ on pages F-♦ to F-♦ of our financial statements and related notes included in Item 18.

**ITEM 12: DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES**

Not applicable.

**PART II**

**ITEM 13: DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES**

Not applicable.

**ITEM 14: MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS**

Not applicable.

**ITEM 15: CONTROLS AND PROCEDURES**

Not applicable.

**ITEM 16: [RESERVED]**

**A. AUDIT COMMITTEE FINANCIAL EXPERT**

Not applicable.

**B. CODE OF ETHICS**

Not applicable.

**C. PRINCIPAL ACCOUNTANT FEES AND SERVICES**

Not applicable.

**D. EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES**

Not Applicable.

**E. PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS**

Not Applicable.

**F. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT**

Not Applicable.

**G. CORPORATE GOVERNANCE**

Not applicable.

------

**H. MINE SAFETY DISCLOSURE**

Not applicable.

**I. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS**

Not applicable.

**J. INSIDER TRADING POLICIES**

Not applicable.

**K. CYBERSECURITY**

Not applicable.

**PART III**

**ITEM 17: FINANCIAL STATEMENTS**

Not applicable. See Item 18.

**ITEM 18: FINANCIAL STATEMENTS**

See pages F-1 through F-♦ of this Registration Statement.

**ITEM 19: EXHIBITS**

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Exhibit**<br>**Number** | &nbsp;&nbsp;**Description of Exhibit** |
| &nbsp;&nbsp;1 | &nbsp;&nbsp;Notice of Articles |
| &nbsp;&nbsp;2 | &nbsp;&nbsp;Articles |
| &nbsp;&nbsp;4.1\* | &nbsp;&nbsp;Amended and Restated Gold Purchase Agreement dated October 31, 2023 amongst Equinox Gold Corp., Sandbox Royalties Corp. and Regal Partners Royalties A Pty Limited (CAN 633 203 433) |
| &nbsp;&nbsp;4.2\* | &nbsp;&nbsp;Investor Rights Agreement, dated June 5, 2024, between Versamet Royalties Corporation and B2Gold Corp. |
| &nbsp;&nbsp;4.3\* | &nbsp;&nbsp;Investor Rights Agreement, dated June 28, 2022, between Versamet Royalties Corporation and Equinox Gold Corp |
| &nbsp;&nbsp;4.4\* | &nbsp;&nbsp;Investor Rights Agreement, dated November 17, 2025, between Versamet Royalties Corporation and Tether Investments S.A. de C.V. |
| &nbsp;&nbsp;4.5\* | &nbsp;&nbsp;Investor Rights Agreement, dated November 17, 2025, between Versamet Royalties Corporation and NEMESIA S.à.R.L. |
| &nbsp;&nbsp;4.6\* | &nbsp;&nbsp;Copper Purchase Agreement dated as of April 1, 2025 among Versamet Royalties Corporation, Kolpa Canada Ltd. and Endeavour Silver Corp. |
| &nbsp;&nbsp;4.7\* | &nbsp;&nbsp;Escrow Agreement dated May 12, 2025 among Versamet Royalties Corporation, TSX Trust Company, and certain securityholders. |
| &nbsp;&nbsp;4.8 | &nbsp;&nbsp;Kiaka Royalty Agreement dated November 30, 2021 among Volta II Ltd., B2Gold Corp, and West African Resources Limited |
| &nbsp;&nbsp;4.9 | &nbsp;&nbsp;Amended and Restated Executive Employment Agreement dated February 22, 2023 between Versamet Royalties Corporation (formerly Sandbox Royalites Corp.) and Victoria McMillan |

---

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- 169 - <br>

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| | |
|:---|:---|
| &nbsp;&nbsp;**Exhibit**<br>**Number** | &nbsp;&nbsp;**Description of Exhibit** |
| &nbsp;&nbsp;4.10 | &nbsp;&nbsp;Executive Employment Agreement dated January 1, 2024 between Versamet Royalties Corporation (formerly Sandbox Royalites Corp.) and Craig Rollins |
| &nbsp;&nbsp;4.11 | &nbsp;&nbsp;Executive Employment Agreement dated April 1, 2025 between Versamet Royalties Corporation and Daniel O'Flaherty |
| &nbsp;&nbsp;4.12\* | &nbsp;&nbsp;Credit Facilities Agreement dated September 24, 2025 among Versamet Royalties Corporation, the Bank of Montreal, BMO Capital Markets, and National Bank Financial, among others |
| &nbsp;&nbsp;4.13\* | &nbsp;&nbsp;Silver Stream Agreement dated November 22, 2024 between RP SP (Jersey) Ltd. and RP FC (Jersey Ltd.) |
| &nbsp;&nbsp;4.14\* | &nbsp;&nbsp;Royalty Agreement dated September 24, 2025 amongst AMH (Jersey) Limited, Appian Natural Resources Fund II LP, Appian Natural Resources (UST) Fund II LP, and Atlantic Nickel Mineracao LTDA |
| &nbsp;&nbsp;4.15\* | &nbsp;&nbsp;Underwriting Agreement dated February 2, 2026 among BMO Nesbitt Burns Inc., National Bank Financial Inc., ATB Cormark Capital Markets Corp., Canaccord Genuity Corp., Raymond James Ltd., and Versamet Royalties Corporation. |
| &nbsp;&nbsp;4.16 | &nbsp;&nbsp;Equity Incentive Plan |

---

\*Certain confidential information contained in this exhibit has been excluded from this exhibit because it is both not material and is the type that the registrant treats as private or confidential.

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**GLOSSARY OF CERTAIN TECHNICAL TERMS**

The following is a glossary of certain technical terms that appear in this Registration Statement.

"**AISC**" means all-in sustaining costs.

"**BIF**" means facies iron formations.

"**CIP**" means a carbon in pulp.

"**concentration**" means the process by which crushed, and ground ore is separated into metal concentrates and reject material.

"**CRM**" means certified reference material.

"**DDH**" means diamond drill holes.

"**development**" means the process of constructing a mining operation and the infrastructure to support the operation.

"**dilution**" means the effect of waste or low-grade ore which is unavoidably included in mined ore.

"**ECA**" means Environmental Compliance Approvals.

"**EIS/EA**" means environmental impact statement / environmental assessment.

"**exploration**" means the process of ascertaining the existence, location, extent or quality of a mineral deposit.

"**FS**" means feasibility study.

"**GEO**" means Gold Equivalent Ounce.

"**g/t**" means grams per tonne.

"**grade**" means the concentration of an element of interest expressed as relative mass units (percentage, parts per million, grams per tonne, ounces per ton, etc.).

"**ha**" means hectares.

"**HPGR**" means high pressure grinding roll.

"**Indicated Mineral Resource**" means that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of modifying factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing and is sufficient to assume geological and grade or quality continuity between points of observation. An Indicated Mineral Resource has a lower level of confidence than that applying to a Measured Mineral Resource and may only be converted to a Probable Mineral Reserve.

"**Inferred Mineral Resource**" means that part of a Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity. An Inferred Mineral Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.

------

"**JORC**" means the Joint Ore Reserves Committee Code, 2012 Edition, the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.

"**km**" means kilometer.

"**koz**" means a thousand ounces.

"**LOM**" means life of mine.

"**m**" means meter.

"**MDMER**" means Federal Metal and Diamond Mining Effluent Regulations.

"**Measured Mineral Resource**" means that part of a Mineral Resource for which quantity, grade or quality, densities, shape, and physical characteristics are estimated with confidence sufficient to allow the application of modifying factors to support detailed mine planning and final evaluation of the economic viability of the deposit. Geological evidence is derived from detailed and reliable exploration, sampling and testing and is sufficient to confirm geological and grade or quality continuity between points of observation. A Measured Mineral Resource has a higher level of confidence than that applying to either an Indicated Mineral Resource or an Inferred Mineral Resource. It may be converted to a Proven Mineral Reserve or to a Probable Mineral Reserve.

"**MIK**" means multiple indicator kriging.

"**mill**" means a facility where ore is finely ground and where ore undergoes physical or chemical treatment to extract the valuable commodities.

"**Mineral Reserve**" means the economically mineable part of a Measured and/or Indicated Mineral Resource. It includes diluting materials and allowances for losses, which may occur when the material is mined or extracted and is defined by studies at pre-feasibility or feasibility level as appropriate that include application of modifying factors. Such studies demonstrate that, at the time of reporting, extraction could reasonably be justified. The reference point at which Mineral Reserves are defined, usually the point where the ore is delivered to the processing plant, must be stated. It is important that, in all situations where the reference point is different, such as for a saleable product, a clarifying statement is included to ensure that the reader is fully informed as to what is being reported. The public disclosure of a Mineral Reserve must be demonstrated by a PFS or FS.

"**Mineral Resource**" means a concentration or occurrence of solid 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 eventual economic extraction. The location, quantity, grade or quality, continuity and other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling.

"**mineralization**" means the process or processes by which a mineral or minerals are introduced into a rock, resulting in a potentially valuable deposit.

"**Moz**" means million ounces.

"**MRE**" means mineral resource estimate.

"**Mt**" means million tonnes.

"**Mtpa**" means millions of tonnes per annum.

------

"**open pit**" means the use of surface mining to extract ore from an open pit. The geometry of the open pit may vary with the characteristics of the ore.

"**ore**" means a mineral or aggregate of minerals from which metal can be economically mined or extracted.

"**orebody**" means a sufficiently large amount of ore that is contiguous and can be mined economically.

"**ounce**" or "**oz**" means a troy ounce, being 31.1035 grams.

"**PFS**" means preliminary feasibility study.

"**Probable Mineral Reserve**" means the economically mineable part of an indicated, and in some circumstances, a Measured Mineral Resource. The confidence in the modifying factors applying to a Probable Mineral Reserve is lower than that applying to a Proven Mineral Reserve.

"**Proven Mineral Reserve**" means the economically mineable part of a Measured Mineral Resource. A Proven Mineral Reserve implies a high degree of confidence in the modifying factors.

"**QA/QC**" means quality assurance and quality control.

"**RC**" means reverse circulation.

"**RCGC**" means reverse circulation grade control.

"**reclamation**" means the process of stabilizing, contouring, maintaining, conditioning and/or reconstructing the surface of land used or affected by mining activities to a state of equivalent land capability. Reclamation standards vary widely, but usually address issues of ground and surface water, topsoil, final slope gradients, overburden and revegetation.

"**refining**" means the process of purifying an impure metal.

"**SAG**" means semi-autogenous grinding

"**t**" means a tonne.

"**tailings**" means the finely ground rock from which valuable minerals have been extracted from concentration.

"**tonne**" means a metric tonne, being 1 ton equal to 0.9072 tonnes.

"**waste**" means barren rock in a mine, or mineralized material that is too low in grade to be mined and milled at a profit.

"**WSF**" means water storage facility.

------

**SIGNATURES**

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and that it has duly caused and authorized the undersigned to sign this registration statement on its behalf.

---

| | |
|:---|:---|
| **VERSAMET ROYALTIES CORPORATION** | **VERSAMET ROYALTIES CORPORATION** |
| By: |  |
| Name: | Daniel O'Flaherty |
| Title: | Chief Executive Officer<br>(Principal Executive Officer) |

---

Date: February ♦, 2026

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![](formdrsax007.jpg)

**Unaudited Condensed** <br>**Interim Financial Statements**

For the three and nine months ended September 30, 2025 and 2024

------

- 172 - <br>

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| | |
|:---|:---|
| **Condensed Interim Statements of Financial Position** | Expressed in U.S dollars ($000s) |
| Unaudited |  |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **Note** | **September 30, 2025**<br>**$** | **December 31, 2024**<br>**$** |
| ASSETS |  |  |  |
| **Current** |  |  |  |
| Cash and cash equivalents |  | 2457 | 1431 |
| Trade and other receivables |  | 4499 | 369 |
| Prepaid and other assets |  | 135 | 27 |
| Greenstone gold interest | 4 | 8616 | 7628 |
|  |  | **15707** | **9455** |
| **Non-current** |  |  |  |
| Investments |  | 1024 | 730 |
| Deferred financing costs | 7 | 1381 |  |
| Greenstone gold interest | 4 | 60064 | 54658 |
| Royalty, stream and other interests | 5, 6 | 322272 | 165406 |
| **Total assets** |  | **400448** | **230249** |
| LIABILITIES |  |  |  |
| **Current** |  |  |  |
| Trade and other payables | 14 | 1041 | 1233 |
| Credit facilities | 7 | 22500 |  |
| Convertible debt | 8 |  | 12334 |
| Convertible debt derivative liability | 8 |  | 3285 |
|  |  | **23541** | **16852** |
| **Non-current** |  |  |  |
| Credit facilities | 7 | 154500 | 608 |
| Deferred income tax liabilities | 10 | 3985 | 1462 |
| **Total liabilities** |  | **182026** | **18922** |
| SHAREHOLDERS' EQUITY |  |  |  |
| Share capital | 9 | 217335 | 215758 |
| Share-based compensation reserve | 9 | 4738 | 4765 |
| Deficit |  | (2694) | (7967) |
| Accumulated other comprehensive loss |  | (957) | (1229) |
| **Total shareholders' equity** |  | **218422** | **211327** |
| **Total liabilities and shareholders' equity** |  | **400448** | **230249** |

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Nature of operations (note 1)

---

| | |
|:---|:---|
| **Approved by the Board of Directors on November 12, 2025** | **Approved by the Board of Directors on November 12, 2025** |
| "Marcel de Groot" | "Elizabeth McGregor" |

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THE ACCOMPANYING NOTES FORM AN INTEGRAL PART OF THESE CONDENSED INTERIM FINANCIAL STATEMENTS.

Versamet Royalties Unaudited Condensed Interim Financial Statements 2

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| | |
|:---|:---|
| **Condensed Interim Statements of Income and Comprehensive Income** | Expressed in U.S dollars ($000s)<br>Except for per share amounts |
|  | Expressed in U.S dollars ($000s)<br>Except for per share amounts |
| Unaudited | Expressed in U.S dollars ($000s)<br>Except for per share amounts |

---

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Note** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Sales | 4, 12 | 5074 | 2591 | 11984 | 7220 |
| Royalty revenue | 12 | 3044 | 587 | 4413 | 1556 |
| **Total revenue** |  | **8118** | **3178** | **16397** | **8776** |
| Cost of Sales | 4, 12 | (3769) | (2593) | (10254) | (7224) |
| Depletion | 6, 12 | (1624) | (226) | (2523) | (672) |
| **Gross profit** |  | **2725** | **359** | **3620** | **880** |
| OPERATING (EXPENSES)/INCOME |  |  |  |  |  |
| Business development expenses |  | (11) | (20) | (98) | (43) |
| Change in fair value of Greenstone gold interest | 4, 12 | 4796 | 6624 | 14440 | 12960 |
| General and administrative expenses |  | (255) | (87) | (490) | (270) |
| Professional fees |  | (329) | (110) | (646) | (329) |
| Salaries and benefits |  | (375) | (287) | (1794) | (888) |
| Share-based compensation | 9 | (527) | (380) | (1170) | (2023) |
| **Operating income** |  | **6024** | **6099** | **13862** | **10287** |
| OTHER INCOME AND EXPENSE |  |  |  |  |  |
| Change in fair value of convertible debt derivative liability | 8, 12 |  | 494 | 3285 | 202 |
| Finance and interest expense | 7, 8, 12 | (1313) | (802) | (8533) | (2910) |
| Foreign exchange (loss) gain |  | (34) | (137) | (570) | 86 |
| Interest income |  | 91 | 35 | 115 | 130 |
| **Net income before income taxes** |  | **4768** | **5689** | **8159** | **7795** |
| Income tax expense | 10, 12 | (1449) | (1825) | (2886) | (2981) |
| **Net income** |  | **3319** | **3864** | **5273** | **4814** |
| NET INCOME PER SHARE |  |  |  |  |  |
| Basic income per share | 9 | 0.04 | 0.04 | 0.06 | 0.07 |
| Diluted income per share | 9 | 0.03 | 0.04 | 0.06 | 0.07 |
| Weighted average number of common shares outstanding |  |  |  |  |  |
| Basic | 9 | 92971426 | 89427398 | 92698748 | 70722408 |
| Diluted | 9 | 95738461 | 90776823 | 94757247 | 71878576 |
| OTHER COMPREHENSIVE INCOME FOR THE PERIOD |  |  |  |  |  |
| Items that will not subsequently be reclassified to net income |  |  |  |  |  |
| Income (loss) on investments |  | 545 | (55) | 272 | 313 |
| **Total comprehensive income for the period** |  | **3864** | **3809** | **5545** | **5127** |

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THE ACCOMPANYING NOTES FORM AN INTEGRAL PART OF THESE CONDENSED INTERIM FINANCIAL STATEMENTS.

Versamet Royalties Unaudited Condensed Interim Financial Statements 3

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| | |
|:---|:---|
| **Condensed Interim Statements of Changes in Equity** | &nbsp;&nbsp;Expressed in U.S dollars ($000s)<br>Except for per share amounts |
|  | &nbsp;&nbsp;Expressed in U.S dollars ($000s)<br>Except for per share amounts |
| Unaudited | &nbsp;&nbsp;Expressed in U.S dollars ($000s)<br>Except for per share amounts |

---

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Share capital<br>(Number of<br>shares)** | **Share capital**<br>**$** | **Share-based<br>compensation<br>reserve**<br>**$** | **Deficit**<br>**$** | **Accumulated<br>other<br>comprehensive<br>income (loss)**<br>**$** | **Total**<br>**$** |
| **Balance - December 31, 2023** |  | **57290991** | **118287** | **2426** | **(5519)** | **(1422)** | **113772** |
| Shares issued upon conversion of Sandstorm Convertible Note |  | 4835839 | 7629 |  |  |  | 7629 |
| Shares issued pursuant to asset acquisitions | 6 | 27903963 | 81860 |  |  |  | 81860 |
| Shares issued as interest payment | 8 | 119733 | 329 |  |  |  | 329 |
| Shares issued for private placement |  | 2556562 | 7495 |  |  |  | 7495 |
| Share-based compensation | 9 |  |  | 2023 |  |  | 2023 |
| Total comprehensive income |  |  |  |  | 4814 | 313 | 5127 |
| **Balance - September 30, 2024** |  | **92707088** | **215600** | **4449** | **(705)** | **(1109)** | **218235** |
| Shares issued as interest payment | 8 | 56637 | 158 |  |  |  | 158 |
| Share-based compensation | 9 |  |  | 316 |  |  | 316 |
| Total comprehensive loss |  |  |  |  | (7262) | (120) | (7382) |
| **Balance - December 31, 2024** |  | **92763725** | **215758** | **4765** | **(7967)** | **(1229)** | **211327** |
| Shares issued as interest payment | 8 | 55615 | 155 |  |  |  | 155 |
| Exercise of RSUs | 9 | 548000 | 1422 | (1422) |  |  |  |
| Share-based compensation | 9 |  |  | 1395 |  |  | 1395 |
| Total comprehensive income |  |  |  |  | 5273 | 272 | 5545 |
| **Balance - September 30, 2025** |  | **93367340** | **217335** | **4738** | **(2694)** | **(957)** | **218422** |

---

THE ACCOMPANYING NOTES FORM AN INTEGRAL PART OF THESE CONDENSED INTERIM FINANCIAL STATEMENTS.

Versamet Royalties Unaudited Condensed Interim Financial Statements 4

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| | |
|:---|:---|
| **Condensed Interim Statements of Cash Flows** | Expressed in U.S dollars ($000s) |
| Unaudited |  |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Cash flows provided by (used in)** | **Note** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| OPERATING ACTIVITIES |  |  |  |  |  |
| Net income for the period |  | 3319 | 3864 | 5273 | 4814 |
| Items not affecting cash: |  |  |  |  |  |
| Non-cash cost of sales related to prepaid gold interest | 4 | 2897 | 2075 | 8046 | 5779 |
| Depletion | 6, 12 | 1624 | 226 | 2523 | 672 |
| Share-based compensation | 9 | 527 | 380 | 1170 | 2023 |
| Change in fair value of prepaid gold interest | 4, 12 | (4796) | (6624) | (14440) | (12960) |
| Change in fair value of convertible debt derivative liability | 8, 12 |  | (494) | (3285) | (202) |
| Unrealized foreign exchange gain (loss) |  | 5 | 132 | 9 | (95) |
| Foreign exchange on convertible debt repaid | 8 |  |  | 518 |  |
| Finance and interest expense (net of interest income) | 7, 8, 12 | 1222 | 767 | 8418 | 2780 |
| Income tax expense | 10 | 1449 | 1825 | 2886 | 2981 |
| Income taxes paid | 10 | (111) | (147) | (362) | (389) |
| Changes in non-cash working capital | 13 | (1881) | (126) | (3539) | (110) |
|  |  | **4255** | **1878** | **7217** | **5293** |
| INVESTING ACTIVITIES |  |  |  |  |  |
| Acquisition of stream and royalty interests | 5 | (125157) |  | (160247) | (76) |
| Sale of investment |  |  |  |  | 1032 |
|  |  | **(125157)** | **-** | **(160247)** | **956** |
| FINANCING ACTIVITIES |  |  |  |  |  |
| Proceeds from credit facilities | 7 | 126000 |  | 181000 |  |
| Repayment of credit facilities | 7 | (2000) | (8700) | (5000) | (17200) |
| Repayment of convertible debt | 8 |  |  | (16390) |  |
| Proceeds from private placement, net of issue costs |  |  | 7495 |  | 7495 |
| Financing costs and interest paid | 7, 8 | (1728) | (213) | (5526) | (1584) |
|  |  | **122272** | **(1418)** | **154084** | **(11289)** |
| Impact of foreign exchange on cash |  | 15 | 4 | (28) | (124) |
| **Increase (decrease) in cash for the period** |  | **1385** | **464** | **1026** | **(5164)** |
| Cash - beginning of period |  | 1072 | 1092 | 1431 | 6720 |
| **Cash - end of period** |  | **2457** | **1556** | **2457** | **1556** |

---

Supplemental cash flow information (note 13)

THE ACCOMPANYING NOTES FORM AN INTEGRAL PART OF THESE CONDENSED INTERIM FINANCIAL STATEMENTS.

Versamet Royalties Unaudited Condensed Interim Financial Statements 5

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**Notes to the Condensed Interim** <br>**Financial Statements**<br> For the three and nine months ended September 30, 2025 and 2024<br> Expressed in U.S dollars unless otherwise stated<br>

1. Nature of Operations

Versamet Royalties Corporation ("Versamet" or "the Company") was incorporated under the British Columbia Business Corporations Act on January 24, 2011. Versamet is a single entity. The Company's common shares began trading on the TSX Venture Exchange ("TSXV") on May 20, 2025, under the symbol "VMET".

Versamet is a diversified metals royalty and streaming company with exposure to a range of resource royalties and streams including gold, silver, copper, zinc, graphite and uranium, across a variety of jurisdictions. Typically, in return for making an upfront payment to acquire a royalty or stream on a mining operation or project, Versamet receives a portion of the revenue generated from the mine on an ongoing basis, usually over the life of the mine or receives metal deliveries over a pre-determined period or up to a pre-determined quantity. For all periods presented, all earnings per share and share information in these financial statements and notes are on a post-consolidation basis, reflecting the effect of the five-to-one share consolidation of the Company's outstanding common shares that took effect on September 12, 2025. See note 9.

The head office, principal address and registered office of Versamet is located at Suite 3200, 733 Seymour St, Vancouver, British Columbia, V6B 0S6.

These financial statements were approved and authorized for issue by the Board of Directors of the Company on November 12, 2025.

2. Basis of Presentation and Material Accounting Policy Information

**Statement of Compliance**

These condensed interim financial statements have been prepared in accordance with International Accounting Standard ("IAS") 34, "Interim Financial Reporting", using accounting policies consistent with IFRS Accounting Standards ("IFRS Accounting Standards" or "IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee, and should be read in conjunction with the Company's audited annual financial statements for the year ended December 31, 2024.

The accounting policies followed in these condensed interim financial statements are the same as those applied in the Company's most recent audited annual financial statements for the year ended December 31, 2024.

**Basis of Presentation**

These condensed interim financial statements have been prepared on a historical cost basis except for certain financial instruments, which are measured at fair value. These condensed interim financial statements are presented in United States dollars and all values are rounded to the nearest thousand, unless otherwise noted.

Versamet Royalties Unaudited Condensed Interim Financial Statements 6

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**Changes in Accounting Standards**

NEW STANDARDS ISSUED AND NOT YET EFFECTIVE

The International Accounting Standards Board has issued classification and measurement and disclosure amendments to IFRS 9 and IFRS 7 with an effective date for years beginning on or after January 1, 2026 with earlier application permitted. The amendments clarify the date of recognition and derecognition of some financial assets and liabilities and introduce a new exception for some financial liabilities settled through an electronic payment system. Other changes include a clarification of the requirements when assessing whether a financial asset meets the solely payments of principal and interest criteria and new disclosures for certain instruments with contractual terms that can change cash flows (including instruments where cash flows changes are linked to environment, social or governance targets). The Company intends to adopt these amendments for the year beginning January 1, 2026.

IFRS 18, Presentation and Disclosure in Financial Statements (IFRS 18) is a new standard that will provide new presentation and disclosure requirements and replace International Accounting Standard 1, Presentation of Financial Statements (IAS 1). IFRS 18 introduces changes to the structure of the income statement; provides required disclosures in financial statements for certain profit or loss performance measures that are reported outside an entity's financial statements; and provides enhanced principles on aggregation and disaggregation in financial statements. Many other existing principles in IAS 1 have been maintained. IFRS 18 is effective for years beginning on or after January 1, 2027, with earlier application permitted. The Company intends to adopt these amendments for the year beginning January 1, 2027.

The Company has not yet commenced the evaluation of the impact of these new standards/amendments.

3. Significant Accounting Estimates and Judgments

The preparation of these condensed interim financial statements in conformity with IFRS required management to make estimates and assumptions that affect amounts reported in the condensed interim financial statements and accompanying notes. Management believes the estimates and assumptions used in these condensed interim financial statements are reasonable; however, actual results could differ from those estimates and could impact future results of operations and cash flows.

Significant judgments made by management in applying the Company's accounting policies and the key sources of estimation uncertainty are the same as those that applied to the annual financial statements as at and for the year ended December 31, 2024 (which are available as part of the Company's final long form prospectus dated May 12, 2025, available on SEDAR+ at <u>www.sedarplus.ca</u>).

Versamet Royalties Unaudited Condensed Interim Financial Statements 7

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4. Greenstone Gold Interest

**Greenstone Gold Purchase Agreement** 

On October 31, 2023, Versamet paid $52.5 million to enter into a gold purchase agreement with Equinox Gold Corp. ("Equinox") in exchange for monthly deliveries of gold equal to the greater of (a) 350 gold ounces, and (b) gold ounces equal to 1.26% of the monthly gold production from the Greenstone project in Ontario, Canada, ("Greenstone") at a purchase price per ounce of gold equal to 20% of the then prevailing market price. Monthly gold delivery obligations commenced upon closing of the Greenstone gold interest and will continue until a total of 63,000 ounces of gold have been delivered to Versamet. While gold deliveries will be calculated based on Greenstone production, gold deliveries can be sourced from production from any of Equinox's operating mines. Under the Greenstone gold interest, Equinox retains the option to buy-down deliveries related to 75% of the original delivery obligation at the then current spot gold price, subject to a minimum gold price per ounce of $2,000.

**Details of the changes in the carrying value of the Greenstone gold interest are as follows:**

---

| |
|:---|
| **In $000s** |
| **Balance - December 31, 2023** |
| Gold deliveries (recognized in cost of sales) |
| Change in fair value |
| **Balance - December 31, 2024** |
| Gold deliveries (recognized in cost of sales) |
| Change in fair value |
| **Balance - September 30, 2025** |
| Less: Current portion, September 30, 2025) |
| **Non-current portion, September 30, 2025** |

---

During the three and nine months ended September 30, 2025, the Company received 1,050 oz and 3,150 oz of gold, respectively, under the Greenstone gold interest, which was initially recognized in inventory. The Company sold the gold for gross proceeds of $3.6 million and $10.0 million in the three and nine months ended September 30, 2025, respectively; upon the sale, the inventory was recognized in cost of sales. The difference between the fair value of the gold delivered and the payment to Equinox for the gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) was recorded as a partial settlement of the Greenstone gold interest and included in cost of sales; accordingly, the amount recorded in cost of sales was $2.9 million and $8.0 million for the three and nine months ended September 30, 2025, respectively. During the nine months ended September 30, 2025, the Company recognized a change in the fair value of the Greenstone gold interest of $14.4 million primarily driven by an increase in consensus gold prices.

Changes in each of the following key assumptions and estimates would have the following impact on the value of the Greenstone gold interest as at September 30, 2025 (with an associated movement in the Statement of Income and Comprehensive Income):

---

| | | |
|:---|:---|:---|
| **Key assumption** | **Sensitivity applied to key assumption** | **Impact on asset value at September 30, 2025** |
| Gold price | -/+ 10% | +/- $6.9 million |
| Discount rate | -/+ 1% | + $3.5 million / - $3.2 million |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 8

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5. Stream and Royalty Acquisitions

**Rosh Pinah Zinc Silver Stream and Santa Rita Royalty Acquisitions**

On September 24, 2025, the Company entered into an agreement with funds advised by Appian Capital Advisory Limited to acquire a 90% silver stream on Rosh Pinah Zinc's operating mine in Namibia (the "Silver Stream") and an uncapped, life of mine 2.75% net smelter return ("NSR") royalty on Atlantic Nickel's operating Santa Rita mine in Brazil for upfront cash consideration of $125.0 million and contingent consideration of up to $45.0 million upon the following milestones being achieved at the Santa Rita mine:

* $22.5 million upon the processing of the first 1.0 million tonnes of underground ore provided that occurs prior to July 1, 2035; and

* $22.5 million upon Santa Rita achieving a throughput rate of 12,500 tonnes per day from underground ore over a 90-day period, provided that occurs prior to July 1, 2035.

The contingent payments and related assets have not been recognized as they are dependent on uncertain future events which are outside of the Company's control.

After a total of 3.1 million ounces of silver have been delivered under the Silver Stream, Versamet will be entitled to receive 45% of the payable silver for the remaining life of the mine. Versamet will make ongoing cash payments equal to 10% of the spot silver price for each ounce delivered to the Silver Stream.

For an initial period commencing on July 1, 2025, payable silver will based on the production of recovered zinc from the mine (the "Production Index") as follows:

* 4,000 ounces of payable silver per million pounds of recovered zinc until the delivery of 250,000 silver ounces to the Silver Stream; and

* 2,850 ounces of payable silver per million pounds of recovered zinc thereafter.

The Production Index will terminate on the earlier of i) 1,350,000 ounces of silver delivered to the Silver Stream, or ii) December 31, 2028. After the termination of the Production Index, payable silver will be based on actual payable sliver production from the Rosh Pinah Zinc mine.

Both the Silver Stream and Santa Rita royalty have an Effective Date of July 1, 2025. The Company received $1.2 million of Santa Rita royalty related to the period between the Effective Date and closing of the agreement, which was treated as a purchase price adjustment and credited against the acquisition cost of the royalty. In addition, $0.3 million and $0.2 million of costs associated with the acquisition of the Silver Stream and Santa Rita royalty, respectively, were added to the carrying values of the assets held within Royalty, Stream and Other interests (note 6).

**Kolpa Copper Stream**

In April 2025, the Company entered into an agreement to acquire the right to purchase refined copper equal to the greater of 95.8% of the copper produced and 0.03 pounds of copper per pound of produced lead from Endeavour Silver Corp.'s operating Huachocolpa Uno mine in Peru ("Kolpa") until 6,000 tonnes of refined copper have been delivered, after which Versamet will be entitled to purchase 71.85% of the produced copper. Once 10,500 tonnes of refined copper have been delivered, Versamet will have the right to purchase 47.9% of the life of mine copper produced (the "Copper Stream"). Versamet will make ongoing cash payments equal to 10% of the spot price of copper for each tonne of refined copper delivered. As consideration for the Copper Stream, Versamet made an upfront cash payment of $35.0 million. In addition, $0.1 million of costs associated with the acquisition of the Copper Stream were added to the carrying value of the asset held within Royalty, Stream and Other interests (note 6).

Versamet Royalties Unaudited Condensed Interim Financial Statements 9

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6. Royalty, Stream and Other Interests

**The carrying amount of the Company's royalty, stream and other interests are as follows:**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Cost** | **Cost** | **Cost** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** |  |
| **Asset, Location** | **Opening** <br>**$** | **Net <br>Additions/ <br>(Disposals)** <br>**$** | **Closing** <br>**$** | **Opening**<br>**$** | **Depletion**<br>**$** | **Impairment**<br>**$** | **Closing** <br>**$** | **Carrying <br>Amount<sup>1</sup>**<br>**$** |
| **September 30, 2025** |  |  |  |  |  |  |  |  |
| **Depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Rosh Pinah, Namibia |  | 85336 | 85336 |  |  |  |  | 85336 |
| Kiaka, Burkina Faso | 58730 |  | 58730 |  | (389) |  | (389) | 58341 |
| Santa Rita, Brazil |  | 38963 | 38963 |  | (26) |  | (26) | 38937 |
| Kolpa, Peru |  | 35090 | 35090 |  | (1190) |  | (1190) | 33900 |
| Mercedes, Mexico | 10985 |  | 10985 | (4754) | (678) |  | (5432) | 5553 |
| Blackwater, Canada | 7538 |  | 7538 |  | (240) |  | (240) | 7298 |
| Pilar, Brazil | 5609 |  | 5609 | (2259) |  |  | (2259) | 3350 |
| **Non-depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| El Pilar, Mexico | 17490 |  | 17490 |  |  |  |  | 17490 |
| Vittangi, Sweden | 15000 |  | 15000 |  |  |  |  | 15000 |
| Toega, Burkina Faso | 11205 |  | 11205 |  |  |  |  | 11205 |
| Mercedes, Mexico | 5837 |  | 5837 | (5837) |  |  | (5837) |  |
| **Exploration and Evaluation Assets** |  |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 14716 |  | 14716 |  |  |  |  | 14716 |
| Mocoa, Colombia | 10000 |  | 10000 |  |  |  |  | 10000 |
| Prairie Creek, Canada | 7514 |  | 7514 |  |  |  |  | 7514 |
| Mason, Nevada | 4876 |  | 4876 |  |  |  |  | 4876 |
| Converse, Nevada | 4391 |  | 4391 |  |  |  |  | 4391 |
| Cuiú Cuiú, Brazil | 2070 |  | 2070 |  |  |  |  | 2070 |
| Primavera, Nicaragua | 1391 |  | 1391 |  |  |  |  | 1391 |
| Other | 904 |  | 904 |  |  |  |  | 904 |
| **Total** | **178256** | **159389** | **337645** | **(12850)** | **(2523)** | **-** | **(15373)** | **322272** |

---

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Cost** | **Cost** | **Cost** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** |  |
| **Asset, Location** | **Opening** <br>**$** | **Net <br>Additions/ <br>(Disposals)** <br>**$** | **Closing** <br>**$** | **Opening**<br>**$** | **Depletion**<br>**$** | **Impairment**<br>**$** | **Closing** <br>**$** | **Carrying <br>Amount<sup>1</sup>**<br>**$** |
| **December 31, 2024** |  |  |  |  |  |  |  |  |
| **Depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Mercedes, Mexico | 10985 |  | 10985 | (1398) | (843) | (2513) | (4754) | 6231 |
| Pilar, Brazil | 5609 |  | 5609 | (2259) |  |  | (2259) | 3350 |
| **Non-depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Kiaka, Burkina Faso |  | 58730 | 58730 |  |  |  |  | 58730 |
| El Pilar, Mexico | 17490 |  | 17490 |  |  |  |  | 17490 |
| Vittangi, Sweden | 15000 |  | 15000 |  |  |  |  | 15000 |
| Toega, Burkina Faso |  | 11205 | 11205 |  |  |  |  | 11205 |
| Blackwater, Canada | 7538 |  | 7538 |  |  |  |  | 7538 |
| Mercedes, Mexico | 5837 |  | 5837 |  |  | (5837) | (5837) |  |
| **Exploration and Evaluation Assets** |  |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 14716 |  | 14716 |  |  |  |  | 14716 |
| Mocoa, Colombia |  | 10000 | 10000 |  |  |  |  | 10000 |
| Prairie Creek, Canada | 7514 |  | 7514 |  |  |  |  | 7514 |
| Mason, Nevada | 4876 |  | 4876 |  |  |  |  | 4876 |
| Converse, Nevada | 4391 |  | 4391 |  |  |  |  | 4391 |
| Cuiú Cuiú, Brazil | 2070 |  | 2070 |  |  |  |  | 2070 |
| Primavera, Nicaragua |  | 1391 | 1391 |  |  |  |  | 1391 |
| Other | 294 | 610 | 904 |  |  |  |  | 904 |
| **Total** | **96320** | **81936** | **178256** | **(3657)** | **(843)** | **(8350)** | **(12850)** | **165406** |

---

1. The total carrying amount of royalty, streams and other interests at September 30, 2025 includes $232,715 (December 31, 2024: $9,581) of depletable mineral interest. The remaining $89,557 (December 31, 2024: $155,825) is classified as non-depletable mineral interest, of which $45,862 (December 31, 2024: $45,862) are classified as Exploration and Evaluation assets, as defined by IFRS 6 Exploration for and Evaluation of Mineral Resources and $43,695(December 31, 2024: $109,963) are assets not yet in production that are classified as development assets under IAS 16. During the nine months ended September 30, 2025, no assets were acquired which have been classified as Exploration and Evaluation assets (year ended December 31, 2024: $12,001). There were no reclassifications from assets classified under IFRS 6 to those classified under IAS 16 during either of the periods presented.

Versamet Royalties Unaudited Condensed Interim Financial Statements 10

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7. Credit Facilities

On September 24, 2025, the Company amended its credit facility agreement to increase its revolving credit facility to $100.0 million with a $25.0 million accordion feature (the "RCF") and added a new $80.0 million term loan facility (the "TL") (together the "Credit Facilities") arranged by Bank of Montreal ("BMO"), as lead arranger, and National Bank of Canada ("NBC"). Amounts drawn on the Credit Facilities are subject to interest at SOFR plus 2.25% to 3.50% per annum, and the undrawn portion of the RCF is subject to a standby fee of 0.5063% to 0.7875% per annum, both of which are dependent on the Company's leverage ratio (as defined in the Credit Facilities agreement). The TL is repayable in quarterly instalments of $7.5 million commencing on March 31, 2026, with a final bullet payment of $20.0 million at maturity on March 31, 2028. The RCF matures on April 30, 2028. Unamortized deferred financing on the Credit Facilities will be amortized over the remainder of the RCF and TL terms. The Credit Facilities are secured by the Company's present and future acquired assets.

Under the Credit Facilities, the Company is required to maintain certain leverage and interest coverage ratios and minimum liquidity amounts. As at September 30, 2025, the Company was in compliance with all of the covenants related to the Credit Facilities.

**A continuity of the amount outstanding under the Credit Facilities is as follows:**

---

| |
|:---|
| **In $000s** |
| **Balance - December 31, 2023** |
| Accrued Interest |
| Interest paid) |
| Accretion of discount |
| Repayment) |
| **Balance - December 31, 2024** |
| Drawdown |
| Repayment) |
| Accrued interest |
| Interest paid) |
| Accretion of discount |
| Fees reclassified to deferred financing costs |
| **Balance - September 30, 2025** |
| Less: Current portion, September 30, 2025) |
| **Non-current portion, September 30, 2025** |

---

The Company has capitalized $1.4 million of deferred financing costs as at September 30, 2025, which relates to $1.1 million of commitment and other fees and $0.3 million of prior period unamortized costs which were reclassified. Amortization of the deferred financing costs for the three and nine months ended September 30, 2025, were $0.1 million and $0.1 million, respectively ($nil for the comparable periods in 2024).

8. Convertible Debt

On October 31, 2023, Versamet entered into a $16.0 million (the C$22.2 million) convertible loan with Beedie Capital Investments Ltd ("Beedie Capital") (the "Beedie Convertible Loan"). The Beedie Convertible Loan was denominated in Canadian dollars, had a term of 5 years and was scheduled to mature on October 31, 2028. Interest on the Beedie Convertible Loan consisted of an 8% base interest rate and a 1.5% paid-in-kind ("PIK") rate, with the PIK rate reducing to 1.0% upon the public listing of the Company. The Company had the option to pay 25-50% of the base interest rate in common shares of the Company, subject to certain conditions. Amounts outstanding under the Beedie Convertible Loan could be converted into common shares of the Company, at the option of Beedie Capital, at a price of C$4.20 per common share. The Company had the option to prepay the Beedie Convertible Loan, subject to certain fees.

Versamet Royalties Unaudited Condensed Interim Financial Statements 11

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On April 30, 2025, the Company exercised its prepayment option and repaid and canceled the Beedie Convertible Loan. On repayment, Beedie Capital elected not to convert amounts outstanding into common shares of the Company. Consequently, the Company repaid the full amount of the loan and accrued interest outstanding in cash which resulted in a derecognition of both the Beedie Convertible Loan and the Convertible debt derivative liability related to the conversion option. The derecognition of the Convertible debt derivative liability of $3.2 million resulted in an equivalent gain in the Statement of Income and Comprehensive Income. As a result of the revised repayment date, the Company recognized an increase in the carrying amount of the Beedie Convertible Loan of $3.3 million due to the accelerated recording of the accretion expense with a corresponding increase in finance expense. The Company also incurred $2.4 million of non-recurring prepayment fees which were recognized in finance and interest expense during the nine months ended September 30, 2025.

**A continuity of the Beedie Convertible Loan and the Beedie Derivative Liability is as follows:**

---

| |
|:---|
| **In $000s** |
| **Balance - December 31, 2023** |
| Accrued Interest |
| Interest paid) |
| Accrued PIK interest |
| Accretion of discount |
| Foreign exchange gain) |
| **Balance - December 31, 2024** |
| Accrued Interest |
| Interest paid) |
| Accrued PIK interest |
| Accretion of discount |
| Foreign exchange loss |
| Accelerated accretion of discount due to revised repayment date |
| Repayment) |
| **Balance - September 30, 2025** |
| **Amount allocated to Derivative Liability** |
| **Balance - December 31, 2023** |
| Change in FVTPL) |
| **Balance - December 31, 2024** |
| Change in FVTPL) |
| Derecognition on repayment) |
| **Balance - September 30, 2025** |

---

9. Share Capital and Reserves

**Authorized, Issued and Outstanding**

The Company is authorized to issue an unlimited number of common shares without par value.

On September 12, 2025, the Company consolidated its issued and outstanding common shares on the basis of five (5) pre-consolidation common shares for each one (1) post-consolidation common share (the "Share Consolidation"). As a result of the Share Consolidation, the 466,836,693 pre-consolidation common shares were consolidated to 93,367,340 post-consolidation common shares. The number of common shares issuable, issue prices and exercise price, where applicable, under the Company's stock option, restricted share unit and performance restricted share unit plans were proportionately adjusted based on the ratio of the Share Consolidation. All share and per share information in these financial statements has been adjusted to reflect the Share Consolidation.

Versamet Royalties Unaudited Condensed Interim Financial Statements 12

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**Share-based compensation** 

**During the three and nine months ended September 30, 2025 and 2024, the breakdown of the Company's share based compensation was as follows:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Stock options | 239 | 171 | 597 | 565 |
| Restricted Share Units | 196 | 167 | 746 | 1332 |
| Performance Restricted Share Units | 92 | 42 | (173) | 126 |
| **Total Share-based compensation expense** | **527** | **380** | **1170** | **2023** |

---

STOCK OPTIONS

**A continuity schedule for stock options is as follows:**

---

| | |
|:---|:---|
| **Stock Options** | **Number** |
| **Outstanding - December 31, 2023** | **1906000** |
| Granted | 418786 |
| **Outstanding - December 31, 2024** | **2324786** |
| Granted | 1253817 |
| Forfeited | (244571) |
| **Outstanding - September 30, 2025** | **3334032** |

---

**The following are the weighted average assumptions used in the Black-Scholes Model to estimate the grant date fair value of the stock options granted:**

---

| | | |
|:---|:---|:---|
|  | **9 months ended**<br>**Sept. 30, 2025** | **9 months ended**<br>**Sept. 30, 2024** |
| Expected stock price volatility | 41.4% | 40.0% |
| Risk-free interest rate | 3.1% | 3.3% |
| Expected life of the options | 5 years | 5 years |
| Expected dividend yield | 0.0% | 0.0% |
| Forfeiture rate | 5.0% | 5.0% |
| **Grant date fair value per option** | $**1.09** | $**0.99** |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 13

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**As at September 30, 2025, the Company had the following stock options outstanding:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Number outstanding** | **Exercisable** | **Exercise Price per Share** | **Expiry Date** | **Weighted average life<br>remaining (years)** |
| 1256000 | 1256000 | $3.50 | September 1, 2027 | 1.92 |
| 200000 | 200000 | $3.50 | November 28, 2026 | 1.16 |
| 150000 | 100000 | $3.50 | February 27, 2028 | 2.41 |
| 150000 | 100000 | $3.50 | March 20, 2028 | 2.47 |
| 150000 | 100000 | $3.50 | April 3, 2028 | 2.51 |
| 29375 | 29375 | $3.50 | November 28, 2026 | 1.16 |
| 330661 | 110220 | $3.50 | January 15, 2029 | 3.30 |
| 608996 | Nil | $4.00 | January 15, 2030 | 4.30 |
| 259000 | Nil | $4.00 | May 9, 2030 | 4.61 |
| 200000 | Nil | $4.00 | May 12, 2030 | 4.62 |
| **3334032** | **1895595** | **$3.66** | **-** | **2.88** |

---

RESTRICTED SHARE UNITS ("RSU")

**A continuity schedule for RSUs is as follows:**

---

| | |
|:---|:---|
| **Restricted Share Units** | **Number** |
| **Outstanding - December 31, 2022 & 2023** | 400000 |
| Granted | 658826 |
| **Outstanding - December 31, 2024** | **1058826** |
| Granted | 651563 |
| Settled | (548000) |
| Forfeited | (144875) |
| **Outstanding - September 30, 2025** | **1017514** |

---

The holders of the RSUs have the right to defer receipt of the Common Shares underlying the RSUs upon vesting. As at September 30, 2025, there were 483,521 RSUs which are exercisable and settlement has been deferred at the election of the holder.

The grant date fair value of the RSUs is determined using the market value of the underlying Common Shares at the date of the grant and is adjusted based on the number of RSUs expected to ultimately vest. The weighted average grant date fair value of the RSUs granted during the nine months ended September 30, 2025 was $2.70 per RSU.

PERFORMANCE RESTRICTED SHARE UNITS ("PRSU")

**A continuity schedule for PRSUs is as follows:**

---

| | |
|:---|:---|
| **Performance Restricted Share Units** | **Number** |
| **Outstanding - December 31, 2023 & 2024** | 400000 |
| Granted | 400000 |
| Forfeited | (400000) |
| **Outstanding - September 30, 2025** | **400000** |

---

On February 28, 2025, 400,000 PRSUs were forfeited upon the resignation of the CEO resulting in the reversal of $0.4 million of previously expensed share-based compensation.

Versamet Royalties Unaudited Condensed Interim Financial Statements 14

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On April 30, 2025, the Company granted 400,000 equity-settled PRSUs to the CEO which vest upon the achievement of the following two milestones: (a) the first anniversary of the date of grant, and (b) a 40-day volume weighted average share price for the Company of greater than or equal to C$7.00 at any time prior to April 1, 2028.

**The following assumptions were used in a Monte Carlo simulation to estimate the grant date fair value of the PRSUs:**

---

| | |
|:---|:---|
|  | **9 months ended**<br>**Sept. 30, 2025** |
| Expected stock price volatility | 43.9% |
| Risk-free interest rate<sup>1</sup> | Various |
| Expected life of the options | 3 years |
| Expected dividend yield | 0.0% |
| Forfeiture rate | 0.0% |
| **Grant date fair value per PRSU** | $**1.49** |

---

1. The Risk-free rate was based on the Canadian Overnight Index Swap curve as at the grant date.

**Earnings per share**

**Basic and diluted earnings per share is calculated based on the following:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s**<br>**(except for shares and per share amounts)** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Net income for the period | 3319 | 3864 | 5273 | 4814 |
| Basic weighted average number of shares | 92971426 | 89427398 | 92698748 | 70722408 |
| **Basic income per share** | **0.04** | **0.04** | **0.06** | **0.07** |
| **Effect of dilutive securities** |  |  |  |  |
| Stock options | 1561933 | 290598 | 859003 | 133408 |
| RSUs | 880231 | 1058827 | 982915 | 1022760 |
| PRSUs | 324871 |  | 216581 |  |
| **Diluted weighted average number of common shares** | **95738461** | **90776823** | **94757247** | **71878576** |
| **Diluted earnings per share** | **0.03** | **0.04** | **0.06** | **0.07** |

---

The following table lists the number of potentially dilutive securities which were excluded from the computation of diluted earnings per share because the exercise prices plus any unamortized share-based compensation per share, if relevant, exceeded the average market value of the common shares during the three and nine month periods ending September 30, 2025 of C$7.55 and C$5.40, respectively (C$4.00 and C$3.72 for the comparable periods in 2024).

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Number** | **3 months ended**<br>**Sept. 30, 2025** | **3 months ended**<br>**Sept. 30, 2024** | **9 months ended**<br>**Sept. 30, 2025** | **9 months ended**<br>**Sept. 30, 2024** |
| Beedie Convertible Loan |  | 5329875 |  | 5310114 |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 15

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10. Taxation

**The tax expense at statutory rates for the Company can be reconciled to the reported income for the periods per the Condensed Interim Statements of Income as follows:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Net income before income tax expense | 4768 | 5689 | 8159 | 7795 |
| Statutory income tax rate | 27% | 27% | 27% | 27% |
| **Expected income tax at the statutory rate** | **1287** | **1536** | **2203** | **2105** |
| Withholding taxes on royalty revenue | 111 | 146 | 363 | 388 |
| Non-deductible expenses | 49 | 123 | 253 | 524 |
| Change in unrecognized tax assets | 2 | 20 | 67 | (36) |
| **Total income tax expense** | **1449** | **1825** | **2886** | **2981** |

---

**The breakdown of the income tax expense during the following periods is as follows:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Current income tax expense | 111 | 147 | 363 | 389 |
| Deferred income tax expense | 1338 | 1678 | 2523 | 2592 |
| **Total income tax expense** | **1449** | **1825** | **2886** | **2981** |

---

The current tax expense was incurred as a withholding tax payable on the royalty revenue earned from the Mercedes Mine.

11. Related Party Transactions

Related parties are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, either directly or indirectly. Related parties of the Company include the members of the Board of Directors, officers of the Company, close family members of these individuals, and any companies controlled by these individuals.

**Sandstorm**

Sandstorm was a related party of the Company as a result of it having significant influence through its share ownership in the Company and the ability to nominate for election a representative to the board of directors of the Company.

The Company had a convertible note outstanding with Sandstorm which was fully converted during the year ended December 31, 2024, leaving a remaining balance of nil at September 30, 2025. The Company entered a License agreement with Sandstorm for C$18,000 per month for rent and other shared office costs for total costs C$54,000 and C$159,000 for the three and nine months ended September 30, 2025.

On October 20, 2025, Sandstorm was acquired by Royal Gold Inc. ("Royal Gold") and Royal Gold became a related party through its acquired share ownership in the Company.

**Equinox**

Effective June 28, 2022, Equinox was considered to be a related party of the Company as a result of its share ownership in Versamet. Effective June 5, 2024, Equinox's share ownership percentage was reduced, and it was determined that it no longer had significant influence over the Company and accordingly effective June 5, 2024 is no longer considered to be a related party of Versamet.

Versamet Royalties Unaudited Condensed Interim Financial Statements 16

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The Company entered into the Greenstone gold interest with Equinox during the year ended December 31, 2023 (note 4).

**B2Gold**

Effective June 5, 2024, B2Gold is considered to be related party of the Company as a result of Versamet being an associate of this entity (as a result of their share ownership in the Company) and the ability of B2Gold to nominate a representative to the board of directors of the Company.

**Compensation of Key Management Personnel**

Key management personnel include persons having the authority and responsibility for planning, directing, and controlling the activities of the Company as a whole. Versamet considers its Board of Directors, as well as the Chief Executive Officer ("CEO") and Chief Financial Officer ("CFO") to be key management personnel. Compensation for key management personnel of the Company was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| Salaries and benefits | 107 | 104 | 1132 | 323 |
| Share-based compensation | 294 | 203 | 528 | 978 |
| **Total** | **401** | **307** | **1660** | **1301** |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 17

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12. Segmented Information

The Company's reportable operating segments, which are components of the Company's business where separate financial information is available and which are evaluated on a regular basis by the Company's CEO, who is the Company's chief operating decision maker, for the purpose of assessing performance, are summarized in the tables below. The Company's operating segments are considered to be its individual royalties, streams and the Greenstone gold interest and the segment measure of profit or loss is Income (loss) before taxes.

**For the three months ended September 30, 2025:**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **In $000s** | **Sales**<br>**$** | **Royalty<br>revenue**<br>**$** | **Cost of** <br>**sales <sup>2</sup>**<br>**$** | **Depletion**<br>**$** | **Change in<br>fair value of<br>Greenstone<br>gold interest**<br>**$** | **Income<br>(loss)**<br> **before<br>taxes**<br>**$** | **Cash flow<br>from<br>operating<br>activities<sup>4</sup>**<br>**$** |
| Blackwater, Canada |  | 497 |  | (124) |  | 373 | 498 |
| Cuiú Cuiú, Brazil |  | 250 |  |  |  | 250 | 250 |
| Greenstone, Canada | 3611 |  | (3621) |  | 4796 | 4786 | 2886 |
| Kiaka, Burkina Faso |  | 1752 |  | (389) |  | 1363 | 1751 |
| Kolpa, Peru | 1463 |  | (148) | (893) |  | 422 | 1315 |
| Mercedes, Mexico |  | 447 |  | (192) |  | 255 | 447 |
| Santa Rita, Brazil |  | 98 |  | (26) |  | 72 | 98 |
| **Total segments** | **5074** | **3044** | **(3769)** | **(1624)** | **4796** | **7521** | **7245** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  | (1497) | (970) |
| Foreign exchange loss |  |  |  |  |  | (34) | (28) |
| Finance and interest expense net of interest income |  |  |  |  |  | (1222) |  |
| Change in fair value of derivative liability |  |  |  |  |  |  |  |
| Income tax paid |  |  |  |  |  |  | (111) |
| Movement in working capital |  |  |  |  |  |  | (1881) |
| **Total Corporate** | **-** | **-** | **-** | **-** | **-** | **(2753)** | **(2990)** |
| **Segments & Corporate total** | **5074** | **3044** | **(3769)** | **(1624)** | **4796** | **4768** | **4255** |

---

1. Includes all operating expenses from the Statement of Income and Comprehensive Income with the exception of the change in value of the Greenstone gold interest (and excludes share-based compensation from cash flow from operating activities).

2. Cost of sales include cost of sales for the Greenstone gold interest consisting of a $0.7 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $2.9 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

3. Royalty revenue from the Blackwater, Kiaka, Mercedes and Santa Rita royalties are each considered to be from a single customer. The gold and copper received from the Greenstone gold interest and Kolpa stream were sold to one customer.

4. Segment cash flows from operating activities are based on current period royalty revenues and adjusted for timing of cash receipts through movement in working capital adjustments.

Versamet Royalties Unaudited Condensed Interim Financial Statements 18

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**For the three months ended September 30, 2024:**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **In $000s** | **Sales**<br>**$** | **Royalty<br>revenue**<br>**$** | **Cost of** <br>**sales <sup>2</sup>**<br>**$** | **Depletion**<br>**$** | **Change in<br>fair value of<br>Greenstone<br>gold interest**<br>**$** | **Income<br>(loss)**<br> **before<br>taxes**<br>**$** | **Cash flow<br>from<br>operating<br>activities<sup>4</sup>**<br>**$** |
| Greenstone, Canada | 2591 |  | (2593) |  | 6624 | 6622 | 2073 |
| Mercedes, Mexico |  | 587 |  | (226) |  | 361 | 587 |
| **Total segments** | **2591** | **587** | **(2593)** | **(226)** | **6624** | **6983** | **2660** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  | (884) | (504) |
| Foreign exchange loss |  |  |  |  |  | (137) | (5) |
| Finance and interest expense net of interest income |  |  |  |  |  | (767) |  |
| Change in fair value of derivative liability |  |  |  |  |  | 494 |  |
| Income tax paid |  |  |  |  |  |  | (147) |
| Movement in working capital |  |  |  |  |  |  | (126) |
| **Total Corporate** | **-** | **-** | **-** | **-** | **-** | **(1294)** | **(782)** |
| **Segments & Corporate total** | **2591** | **587** | **(2593)** | **(226)** | **6624** | **5689** | **1878** |

---

1. Includes all operating expenses from the Statement of Income and Comprehensive Income with the exception the change in value of the Greenstone gold interest (and excludes share-based compensation from cash flow from operating activities).

2. Cost of sales include cost of sales for the Greenstone gold interest consists of a $0.5 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $2.1 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

3. Royalty revenue from the Mercedes royalty is from one customer. The gold received from the Greenstone gold interest was sold to one customer.

4. Segment cash flows from operating activities are based on current period royalty revenues and adjusted for timing of cash receipts through movement in working capital adjustments.

**For the nine months ended September 30, 2025:**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **In $000s** | **Sales**<br>**$** | **Royalty<br>revenue**<br>**$** | **Cost of** <br>**sales <sup>2</sup>**<br>**$** | **Depletion**<br>**$** | **Change in<br>fair value of<br>Greenstone<br>gold interest**<br>**$** | **Income<br>(loss)**<br> **before<br>taxes**<br>**$** | **Cash flow<br>from<br>operating<br>activities<sup>4</sup>**<br>**$** |
| Blackwater, Canada |  | 859 |  | (240) |  | 619 | 859 |
| Cuiú Cuiú, Brazil |  | 250 |  |  |  | 250 | 250 |
| Greenstone, Canada | 10035 |  | (10057) |  | 14440 | 14418 | 8023 |
| Kiaka, Burkina Faso |  | 1752 |  | (389) |  | 1363 | 1751 |
| Kolpa, Peru | 1949 |  | (197) | (1190) |  | 562 | 1752 |
| Mercedes, Mexico |  | 1454 |  | (678) |  | 776 | 1454 |
| Santa Rita, Brazil |  | 98 |  | (26) |  | 72 | 98 |
| **Total segments** | **11984** | **4413** | **(10254)** | **(2523)** | **14440** | **18060** | **14187** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  | (4198) | (3028) |
| Foreign exchange loss |  |  |  |  |  | (570) | (41) |
| Finance and interest expense net of interest income |  |  |  |  |  | (8418) |  |
| Change in fair value of derivative liability |  |  |  |  |  | 3285 |  |
| Income tax paid |  |  |  |  |  |  | (362) |
| Movement in working capital |  |  |  |  |  |  | (3539) |
| **Total Corporate** | **-** | **-** | **-** | **-** | **-** | **(9901)** | **(6970)** |
| **Segments & Corporate total** | **11984** | **4413** | **(10254)** | **(2523)** | **14440** | **8159** | **7217** |

---

1. Includes all operating expenses from the Statement of Income and Comprehensive Income with the exception of impairment charges and the change in value of the Greenstone gold interest (and excludes share-based compensation and impairment charges from cash flow from operating activities).

2. Cost of sales include cost of sales for the Greenstone gold interest consisting of a $2.1 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $8.0 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

Versamet Royalties Unaudited Condensed Interim Financial Statements 19

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3. Royalty revenue from the Blackwater, Kiaka, Mercedes and Santa Rita royalties are each considered to be from a single customer. The gold and copper received from the Greenstone gold interest and Kolpa stream were sold to one customer.

4. Segment cash flows from operating activities are based on current period royalty revenues and adjusted for timing of cash receipts through movement in working capital adjustments.

**For the nine months ended September 30, 2024:**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **In $000s** | **Sales**<br>**$** | **Royalty<br>revenue**<br>**$** | **Cost of** <br>**sales <sup>2</sup>**<br>**$** | **Depletion**<br>**$** | **Change in<br>fair value of<br>Greenstone<br>gold interest**<br>**$** | **Income<br>(loss)**<br> **before<br>taxes**<br>**$** | **Cash flow<br>from<br>operating<br>activities<sup>4</sup>**<br>**$** |
| Greenstone, Canada | 7220 |  | (7224) |  | 12960 | 12957 | 5775 |
| Mercedes, Mexico |  | 1556 |  | (672) |  | 883 | 1556 |
| **Total segments** | **7220** | **1556** | **(7224)** | **(672)** | **12960** | **13840** | **7331** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  | (3552) | (1529) |
| Foreign exchange loss |  |  |  |  |  | 85 | (10) |
| Finance and interest expense net of interest income |  |  |  |  |  | (2780) |  |
| Change in fair value of derivative liability |  |  |  |  |  | 202 |  |
| Income tax paid |  |  |  |  |  |  | (389) |
| Movement in working capital |  |  |  |  |  |  | (110) |
| **Total Corporate** | **-** | **-** | **-** | **-** | **-** | **(6045)** | **(2038)** |
| **Segments & Corporate total** | **7220** | **1556** | **(7224)** | **(672)** | **12960** | **7795** | **5293** |

---

1. Includes all operating expenses from the Statement of Income and Comprehensive Income with the exception the change in value of the Greenstone gold interest (and excludes share-based compensation from cash flow from operating activities).

2. Cost of sales include cost of sales for the Greenstone gold interest consists of a $1.4 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $5.8 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

3. Royalty revenue from the Mercedes royalty is considered to be from one customer. The gold received from the Greenstone gold interest was sold to one customer.

4. Segment cash flows from operating activities are based on current period royalty revenues and adjusted for timing of cash receipts through movement in working capital adjustments.

Versamet Royalties Unaudited Condensed Interim Financial Statements 20

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**Total Non-Current Assets by Segment**

---

| | | |
|:---|:---|:---|
| **In $000s** | **September 30, 2025**<br>**$** | **Dec. 31, 2024**<br>**$** |
| **Investments** |  |  |
| Investments | **1024** | **730** |
| **Prepaid gold interest** |  |  |
| Greenstone gold interest | **60064** | **54658** |
| **Royalty, Stream & Other Assets** |  |  |
| Rosh Pinah, Namibia | 85336 |  |
| Kiaka, Burkina Faso | 58341 | 58730 |
| Santa Rita, Brazil | 38937 |  |
| Kolpa, Peru | 33900 |  |
| El Pilar, Mexico | 17490 | 17490 |
| Vittangi, Sweden | 15000 | 15000 |
| Hackett River, Nunavut | 14716 | 14716 |
| Toega, Burkina Faso | 11205 | 11205 |
| Mocoa, Colombia | 10000 | 10000 |
| Prairie Creek, Canada | 7514 | 7514 |
| Blackwater, Canada | 7298 | 7538 |
| Mercedes, Mexico | 5553 | 6231 |
| Mason, Nevada | 4876 | 4876 |
| Converse, Nevada | 4391 | 4391 |
| Pilar, Brazil | 3350 | 3350 |
| Cuiú Cuiú, Brazil | 2070 | 2070 |
| Primavera, Nicaragua | 1391 | 1391 |
| Other | 904 | 904 |
| **Total Royalty, stream & other interests** | **322272** | **165406** |
| **Total** | **383360** | **220794** |

---

**Total Non-Current Assets by Geographic Region**

---

| | | |
|:---|:---|:---|
| **In $000s** | **September 30, 2025**<br>**$** | **Dec. 31, 2024**<br>**$** |
| North America | 121902 | 117414 |
| Africa | 155906 | 70665 |
| Central and South America | 89648 | 16811 |
| Europe | 15000 | 15000 |
| Other | 904 | 904 |
| **Total** | **383360** | **220794** |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 21

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13. Supplemental Cash Flow Information

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **3 months ended**<br>**Sept. 30, 2025**<br>**$** | **3 months ended**<br>**Sept. 30, 2024**<br>**$** | **9 months ended**<br>**Sept. 30, 2025**<br>**$** | **9 months ended**<br>**Sept. 30, 2024**<br>**$** |
| CHANGES IN NON-CASH WORKING CAPITAL: |  |  |  |  |
| Trade and other receivables and prepaid assets | (2271) | (90) | (3047) | 21 |
| Trade and other payables | 390 | (36) | (492) | (131) |
| **Net decrease in cash** | **(1881)** | **(126)** | **(3539)** | **(110)** |
| SIGNIFICANT NON-CASH TRANSACTIONS: |  |  |  |  |
| Equity issued for royalty portfolio acquisition |  | 10250 |  | 81860 |
| Settlement of convertible note in shares |  |  |  | 7629 |
| Settlement of interest payments in shares (note 8) |  | 167 | 155 | 329 |

---

14. Financial Instruments

As at September 30, 2025, the Company's financial instruments consist of cash and cash equivalents, trade and other receivables, investments, the Greenstone gold interest, trade and other payables and the Credit Facilities. The Company classifies cash and cash equivalents and trade and other receivables as financial assets held at amortized cost; the Company holds its investments at FVTOCI. The Company classifies trade and other payables and the Credit Facilities as other financial liabilities held at amortized cost. The Greenstone gold interest is carried at FVTPL.

The fair value hierarchy establishes three levels to classify the inputs of valuation techniques used to measure fair value. The three levels of the fair value hierarchy are below:

**Level 1** - fair values based on unadjusted quoted prices in active markets for identical assets or liabilities;

**Level 2** - fair values based on inputs that are observable for the asset or liability, either directly or indirectly; and

**Level 3** - fair values based on inputs for the asset or liability that are not based on observable market data.

The following table sets forth the Company's financial assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy as at September 30, 2025 and December 31, 2024.

**As at September 30, 2025:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **Total**<br>**$** | **Quoted prices in active<br>markets for identical<br>assets (Level 1)**<br>**$** | **Significant other<br>observable inputs<br>(Level 2)**<br>**$** | **Significant<br>unobservable inputs<br>(Level 3)**<br>**$** |
| Investments | 1024 | 1024 |  |  |
| Greenstone gold interest | 68680 |  |  | 68680 |
| **Total** | **69704** | **1024** | **-** | **68680** |

---

Versamet Royalties Unaudited Condensed Interim Financial Statements 22

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**As at December 31, 2024:**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **In $000s** | **Total**<br>**$** | **Quoted prices in active<br>markets for identical<br>assets (Level 1)**<br>**$** | **Significant other<br>observable inputs<br>(Level 2)**<br>**$** | **Significant<br>unobservable inputs<br>(Level 3)**<br>**$** |
| Investments | 730 | 730 |  |  |
| Greenstone gold interest | 62286 |  |  | 62286 |
| Beedie Convertible Loan | 12334 |  | 12334 |  |
| Beedie Derivative Liability | 3285 |  |  | 3285 |
| **Total** | **78635** | **730** | **12334** | **65571** |

---

The fair value of the Company's other financial instruments, which include cash and cash equivalents, trade and other receivables, and trade and other payables, approximate their carrying values at September 30, 2025 and December 31, 2024 due to their short-term nature. The fair value of the Company's Credit Facilities, which is measured using Level 2 inputs, approximates its carrying value due to the nature of its market-based rate of interest. There were no transfers between the levels of the fair value hierarchy during the period ended September 30, 2025 and the year ended December 31, 2024.

The risk exposure arising from these financial instruments is summarized as follows:

**Credit risk** 

Credit risk is the risk of potential loss to the Company if the counterparty to a financial instrument fails to meet its contractual obligations. The Company's credit risk is limited to the carrying value of its cash and cash equivalents and trade and other receivables. The Company's trade and other receivables are subject to the credit risk of the counterparties who own and operate the mines underlying Versamet's royalty, stream and other assets portfolio. In order to mitigate its exposure to credit risk, the Company monitors its financial assets and holds its cash with a highly rated Canadian financial institution.

**Liquidity risk** 

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company's approach to managing liquidity risk is to have in place a planning and budgeting process to ensure that it will have sufficient liquidity to meet liabilities when due in the normal course of operations. In assessing liquidity risk, the Company takes into account its cash and expected income from royalties, stream and the Greenstone gold interest.

**The following table shows the Company's contractual obligations as they fall due as at September 30, 2025 and total at December 31, 2024:**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **In $000s** | **Within 1 year**<br>**$** | **1-5 years**<br>**$** | **Over 5 years**<br>**$** | **Total**<br>**Sept. 30, 2025**<br>**$** | **Total**<br>**Dec. 31, 2024**<br>**$** |
| Trade and other payables | 1041 |  |  | 1041 | 1232 |
| Credit facilities <sup>**1**</sup> | 35793 | 170924 |  | 206717 | 1153 |
| Beedie Convertible Loan <sup>**1**</sup> |  |  |  |  | 21784 |
| **Total** | **36834** | **170924** | **-** | **207758** | **24169** |

---

1. The estimated interest amounts related to the Beedie Convertible Loan and the Credit facilities are included in the table above.

**Market risk**

Market risk is the risk that changes in market prices, such as commodity price risk, foreign exchange rates, interest rates and equity prices will affect the Company's income or the value of its holdings or financial instruments.

Commodity price risk is the risk that the fair value or future cash flows of the Company's financial instruments will fluctuate because of changes in market prices. Commodity prices can be subject to volatile price movements, which can be material and can occur over short periods of time and are affected by numerous factors, all of which are beyond the Company's control.

Versamet Royalties Unaudited Condensed Interim Financial Statements 23

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Financial instruments that impact net income and total comprehensive income of the Company due to currency fluctuations include cash and cash equivalents, investments, and trade and other payables denominated in Canadian dollars. Based on the Company's Canadian dollar monetary assets and monetary liabilities as at September 30, 2025, a 10% increase or decrease in the Canadian dollar relative to the United States dollar would have an approximate impact of $0.0 million on net income and $0.1 million on total comprehensive income as at September 30, 2025.

The Company is exposed to commodity price movements as a result of the Greenstone gold interest (note 4). The Company holds the Greenstone gold interest at FVTPL. The fair value is calculated using a series of inputs into a discounted cash flow including the gold price. A 10% increase or decrease in the gold price used in the valuation as at September 30, 2025 would increase or decrease net income and total comprehensive income by $6.9 million.

15. Capital Management

The Company manages its capital structure and adjusts it, based on the funds available to the Company, to support its' activities, continue as a going concern and maximize its return to stakeholders. The Company considers capital to be all accounts in equity and all borrowings of the Company. The Company is subject to certain covenants under the Credit Facilities (note 7); at September 30, 2025 the Company was in compliance with all covenants. The Board of Directors does not establish quantitative return on capital criteria for management but rather relies on the expertise of management to maintain an appropriate liquidity profile to allow management to execute on its strategic plan. Additional funds may be required to finance the Company's operations in the future.

Versamet Royalties Unaudited Condensed Interim Financial Statements 24

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;![](formdrsax008.jpg) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Formerly Sandbox Royalties Corp. |
| &nbsp;&nbsp;&nbsp; <br> **Financial Statements**<br> For the years ended December 31, 2024 and 2023 | &nbsp;&nbsp;&nbsp; <br> **Financial Statements**<br> For the years ended December 31, 2024 and 2023 |

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**Report of Independent Registered Public Accounting Firm**

To the Shareholders and Board of Directors <br>Versamet Royalties Corporation:

*Opinion on the Financial Statements*

We have audited the accompanying statements of financial position of Versamet Royalties Corporation (the Company) as of December 31, 2024, December 31, 2023 and January 1, 2023, the related statements of loss and comprehensive loss, changes in equity, and cash flows for each of the years in the two year period ended December 31, 2024 and the related notes (collectively, 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, December 31, 2023 and January 1, 2023, and the financial performance and its cash flows for each of the years in the two year period ended December 31, 2024, in conformity with International Financial Reporting Standards as issued by the International Accounting Standards Board.

*Change in Accounting Principle*

As discussed in Notes 2 and 10 to the financial statements, the Company has changed its method of classifying liabilities as current or non-current as of January 1, 2023 due to the adoption of amendments to *IAS 1*, *Presentation of Financial Statements,* and included the statement of financial position as of January 1, 2023.

*Basis for Opinion*

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these 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 audit 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.

/s/ KPMG LLP

Chartered Professional Accountants

We have served as the Company's auditor since 2022.

Vancouver, Canada

November 19, 2025

Financial Statements 2

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| | |
|:---|:---|
| **Statements of Financial Position** | &nbsp;&nbsp;(expressed in United States dollars) |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Note** | **December 31, 2024**<br>**$** | **Restated (note 2)<br>December 31, 2023**<br>**$** | **Restated (note 2)**<br>**Jan. 1, 2023**<br>**$** |
| Asset |  |  |  |  |
| **Current** |  |  |  |  |
| Cash and cash equivalents |  | 1430897 | 6720217 | 4084448 |
| Note receivable | 8 |  |  | 2213369 |
| Trade and other receivables |  | 369066 | 421462 | 771685 |
| Prepaid and other assets |  | 26795 | 53877 | 7270 |
| Greenstone gold interest | 4 | 7627747 | 5631689 |  |
|  |  | **9454505** | **12827245** | **7076772** |
| **Non-current** |  |  |  |  |
| Investments | 5 | 729981 | 1662499 | 1551732 |
| Greenstone gold interest | 4 | 54658056 | 50585948 |  |
| Royalty and other interests | 6, 7 | 165406003 | 92662910 | 70582154 |
| **Total assets** |  | **230248545** | **157738602** | **79210658** |
| Liabilities |  |  |  |  |
| **Current** |  |  |  |  |
| Accounts payable and accrued liabilities | 16 | 1232088 | 226024 | 111935 |
| Convertible debt | 10 | 12333503 | 12567537 | 8830134 |
| Convertible debt derivative liability | 10 | 3284715 | 3684608 |  |
|  |  | **16850306** | **16478169** | **8942069** |
| **Non-current** |  |  |  |  |
| Revolving credit facility | 9 | 608442 | 19711609 |  |
| Convertible debt | 10 |  | 7380872 | 6312734 |
| Deferred income tax liabilities | 12 | 1461965 | 397380 | 212944 |
| **Total liabilities** |  | **18920713** | **43968030** | **15467747** |
| Shareholders' equity |  |  |  |  |
| Share capital | 11 | 215758347 | 118286517 | 66829405 |
| Share-based compensation reserve | 11 | 4764630 | 2425581 | 801191 |
| Deficit |  | (7966644) | (5519494) | (2395346) |
| Accumulated other comprehensive loss | 5 | (1228501) | (1422032) | (1492339) |
| **Total shareholders' equity** |  | **211327832** | **113770572** | **63742911** |
| **Total liabilities and shareholders' equity** |  | **230248545** | **157738602** | **79210658** |

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Nature of operations (note 1)

Subsequent events (notes 11 & 18)

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| | |
|:---|:---|
| Approved by the Board of Directors on November 19, 2025 | Approved by the Board of Directors on November 19, 2025 |
| "Marcel de Groot" | "Elizabeth McGregor" |

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The accompanying notes form an integral part of these financial statements.

Financial Statements 3

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| | |
|:---|:---|
| **Statements of Loss and Comprehensive Loss** | (expressed in United States dollars) |

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| | | | |
|:---|:---|:---|:---|
|  | **Note** | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Revenue | 14 | 12024648 | 3139677 |
| Cost of sales | 14 | (9989438) | (1396675) |
| Depletion | 14 | (842729) | (900537) |
| **Gross profit** |  | **1192481** | **842465** |
| Operating expenses |  |  |  |
| Business development expenses |  | (49438) | (33945) |
| Change in fair value of Greenstone gold interest | 4 | 14059716 | 4834977 |
| General and administrative expenses |  | (391206) | (116714) |
| Impairment of accounts receivable | 14 |  | (401557) |
| Impairment of royalty interest | 7, 14 | (8350000) | (2046222) |
| Professional fees |  | (503774) | (770003) |
| Salaries and benefits |  | (2016017) | (901263) |
| Share-based compensation | 11 | (2564125) | (1624390) |
| **Operating income (loss)** |  | **1377637** | **(216652)** |
| Other income and expense |  |  |  |
| Foreign exchange gain (loss) |  | 779957 | (386475) |
| Finance and interest expense | 9, 10 | (3579139) | (2010585) |
| Change in fair value of convertible debt derivative liability | 10 | 399893 | (3691) |
| Interest income |  | 148219 | 112479 |
| **Net loss before income tax expense** |  | **(873433)** | **(2504924)** |
| Current income tax expense | 12 | (509132) | (434788) |
| Deferred income tax expense | 12 | (1064585) | (184436) |
| **Net loss for the year** |  | **(2447150)** | **(3124148)** |
| Net loss per share |  |  |  |
| Basic and diluted | 11 | (0.03) | (0.08) |
| **Weighted average number of common shares outstanding** <br>**(basic and diluted)** | **11** | **76201998** | **37083308** |
| Other comprehensive income for the year |  |  |  |
| Items that will not subsequently be reclassified to net income (loss) |  |  |  |
| Income on investments | 5 | 193531 | 70307 |
| **Other comprehensive income for the year** |  | **193531** | **70307** |
| **Total comprehensive loss for the year** |  | **(2253619)** | **(3053841)** |

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The accompanying notes form an integral part of these financial statements.

Financial Statements 4

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| | |
|:---|:---|
| **Statements of Changes in Equity** | (expressed in United States dollars) |

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Note** | **Share capital<br>(Number of<br>shares, issued<br>and fully paid)**<br>**(note 11)** | **Share capital**<br>**$** | **Share-based<br>compensation<br>reserve**<br>**$** | **Deficit**<br>**$** | **Accumulated<br>other<br>comprehensive<br>income (loss)**<br>**$** | **Total**<br>**$** |
| **Balance - Dec. 31, 2022** |  | **33754753** | **66829405** | **801191** | **(2395346)** | **(1492339)** | **63742911** |
| Shares issued upon conversion of Sandstorm Convertible Note | 10 | 6767450 | 8880711 |  |  |  | 8880711 |
| Shares issued for private placement | 11 | 8512157 | 21500000 |  |  |  | 21500000 |
| Shares issued pursuant to asset acquisitions | 6 | 5911487 | 15000000 |  |  |  | 15000000 |
| Shares issued for private placement | 11 | 2301428 | 5960864 |  |  |  | 5960864 |
| Shares issued as interest payment | 10 | 43716 | 115537 |  |  |  | 115537 |
| Share-based compensation | 11 |  |  | 1624390 |  |  | 1624390 |
| Net loss and comprehensive loss for the year |  |  |  |  | (3124148) | 70307 | (3053841) |
| **Balance - Dec. 31, 2023** |  | **57290991** | **118286517** | **2425581** | **(5519494)** | **(1422032)** | **113770572** |
| Shares issued upon conversion of Sandstorm Convertible Note | 10 | 4835839 | 7629314 |  |  |  | 7629314 |
| Shares issued pursuant to asset acquisitions | 6 | 27903963 | 81859811 |  |  |  | 81859811 |
| Shares issued as interest payment | 10 | 176370 | 488022 |  |  |  | 488022 |
| Shares issued for private placement | 11 | 2556562 | 7494683 |  |  |  | 7494683 |
| Share-based compensation | 11 |  |  | 2339049 |  |  | 2339049 |
| Net income and comprehensive income for the period |  |  |  |  | (2447150) | 193531 | (2253619) |
| **Balance - Dec. 31, 2024** |  | **92763725** | **215758347** | **4764630** | **(7966644)** | **(1228501)** | **211327832** |

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The accompanying notes form an integral part of these financial statements.

Financial Statements 5

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| | |
|:---|:---|
| **Statements of Cash Flows** | (expressed in United States dollars) |

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| | | | |
|:---|:---|:---|:---|
|  | **Note** | **Year ended**<br>**December. 31, 2024**<br>**$** | **Year ended**<br>**December. 31, 2023**<br>**$** |
| **Cash flows provided by (used in)** |  |  |  |
| **Operating activities** |  |  |  |
| Net loss for the year |  | (2447150) | (3124148) |
| Items not affecting cash: |  |  |  |
| Non-cash cost of sales related to Greenstone gold interest | 4 | 7991550 | 1117340 |
| Depletion | 14 | 842729 | 900537 |
| Share-based compensation | 11 | 2564125 | 1624390 |
| Change in fair value of Greenstone gold interest | 4 | (14059716) | (4834977) |
| Change in fair value of convertible debt derivative liability | 10 | (399893) | 3691 |
| Impairment of accounts receivable | 14 |  | 401557 |
| Impairment of royalty interest | 7, 14 | 8350000 | 2046222 |
| Unrealized foreign exchange (gain) loss |  | (796539) | 382243 |
| Finance and interest expense (net of interest income) | 9, 10 | 3430920 | 1898106 |
| Income tax expense | 12 | 1573717 | 619224 |
| Changes in non-cash working capital: |  |  |  |
| Trade and other receivables and prepaid assets |  | 75863 | (95159) |
| Accounts payable and accrued liabilities |  | 780988 | 117035 |
| Income taxes paid | 12 | (509132) | (434788) |
|  |  | **7397462** | **621273** |
| **Investing activities** |  |  |  |
| Note receivable | 8 |  | 2219592 |
| Acquisition of Greenstone gold interest | 4 |  | (52500000) |
| Asset acquisitions | 6, 7 | (75975) | (10027516) |
| Sale of investment | 5 | 1032070 |  |
|  |  | **956095** | **(60307924)** |
| **Financing activities** |  |  |  |
| Net proceeds from drawdown on BMO credit facility | 9 |  | 25649383 |
| Repayment of BMO revolving credit facility | 9 | (19000000) | (6330172) |
| Net proceeds (repayments) from debt issuances | 10 |  | 15426528 |
| Net proceeds from private placements | 11 | 7494683 | 27460864 |
| Interest (paid) received | 9, 10 | (1987674) | (15113) |
|  |  | **(13492991)** | **62191490** |
| Impact of foreign exchange on cash |  | (149886) | 130930 |
| **(Decrease) Increase in cash for the year** |  | (5289320) | 2635769 |
| Cash - beginning of year |  | 6720217 | 4084448 |
| **Cash and cash equivalents - end of year** |  | **1430897** | **6720217** |

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Supplemental cash flow information (note 15)

The accompanying notes form an integral part of these financial statements.

Financial Statements 6

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Notes to the Financial Statements** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Notes to the Financial Statements** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the years ended December 31, 2024 and 2023 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expressed in United States dollars unless otherwise stated |

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**1.** **Nature of Operations**

Sandbox Royalties Corp. changed its name to Versamet Royalties Corporation. ("Versamet" or "the Company") on June 5, 2024. The Company was incorporated under the British Columbia Business Corporations Act on January 24, 2011. Versamet is the parent entity with no subsidiaries.

Versamet is a diversified metals royalty and streaming company with exposure to a range of resource royalties and streams including gold, silver, copper, zinc, graphite and uranium, across a variety of jurisdictions. Typically, in return for making an upfront payment to acquire a royalty or stream on a mining operation or project, Versamet receives a portion of the revenue generated from the mine on an ongoing basis, usually over the life of the mine or receives metal deliveries over a pre-determined period or up to a pre-determined quantity. For all period presented, all earnings per share and share information in these financial statements and notes are on a post-consolidation basis, reflecting the effect of the five-to-one share consolidation of the Company's outstanding common shares that took effect on September 12, 2025. See note 11.

On August 13, 2024, the Company closed the second and final tranche of the acquisition of a portfolio of royalties (the "B2Gold Royalty Portfolio") from B2Gold Corp. ("B2Gold") in exchange for US$81.8 million in Common Shares of the Company ("Common Shares"), being 27.9 million Common Shares at a price of C$4.00 per Common Share (the "Transaction") (note 6). Additionally, in conjunction with the Transaction, Sandstorm Gold Ltd. ("Sandstorm") agreed to convert the remaining principal outstanding on the Sandstorm Convertible Note into Common Shares at a price of C$4.00 per Common Share (note 10). In connection with the Transaction, Sandbox Royalties Corp. changed its name to Versamet Royalties Corporation.

Sandstorm was acquired by Royal Gold, Inc. on October 20, 2025. These financial statements refer to transactions between the Company and Sandstorm, all of which occurred prior to October 20, 2025.

The head office, principal address and registered office of Versamet is located at Suite 3200, 733 Seymour St, Vancouver, British Columbia, V6B 5J3.

These financial statements were approved and authorized for issue by the Board of Directors of the Company on November 19, 2025.

Financial Statements 7

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**2.** **Basis of Presentation and Material Accounting Policy Information**

Statement of Compliance

These financial statements have been prepared in accordance with IFRS Accounting Standards ("IFRS Accounting Standards" or "IFRS") as issued by the International Accounting Standards Board ("IASB") and interpretations issued by the International Financial Reporting Interpretations Committee ("IFRIC").

Basis of Presentation

These financial statements have been prepared on a historical cost basis except for certain financial instruments, which are measured at fair value. These financial statements are presented in Untied States dollars, unless otherwise noted.

Material Accounting Policy Information

**Cash and cash equivalents**

Cash and cash equivalents include cash at bank, demand deposits and money market investments with maturities from the date of acquisition of three months or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value.

**Stream, Royalty and other Interests** 

Stream, royalty and other interests consist of acquired royalty and stream metal purchase agreements. These interests are recorded at cost and capitalized as tangible assets with finite lives. They are subsequently measured at cost less accumulated depletion and accumulated impairment losses, if any. Project evaluation costs that are not related to a specific agreement are expensed in the period incurred.

For asset acquisitions of stream, royalty and other interests that do not constitute a business combination, the identifiable assets acquired are recognized at their fair values at the acquisition date. The acquisition date is the date at which the Company obtains control over the assets acquired. Transaction costs are capitalized.

Stream, royalty and other interests related to producing mines are bifurcated into a depletable and non-depletable balance. The split between the depletable and non-depletable balances is based on a discounted cash flow analysis of the mine plan in question for that royalty or stream. Included in the depletable balance is 100% of Mineral Reserves and a portion of Resources, which can differ from asset to asset depending on factors such as stage of the project, nature of the ore deposit or risk profile of the asset and the assets' history of converting resources to reserves. Included in the non-depletable balance are the remaining Resources (not included in the depletable balance) and any exploration potential, if applicable. The Company assigns value to exploration potential on an asset-by-asset basis, where applicable, based on publicly available information and information gathered during due diligence of an asset prior to acquisition. This information would include geological, economic and operational factors which would indicate the likelihood of discovering additional mineral resources. The Company makes estimates of mineralization and weighting of Mineral Resource conversions using publicly available information of the operators including their National Instrument 43-101 or JORC-compliant reserve and resource statements and considering factors such as the stage of the project, nature of the ore deposit or risk profile when determining depletable and non-depletable amounts. The depletable balance is depleted using the units-of-production method over the life of the property to which the agreement relates, which is estimated using available information of Proven and Probable Reserves and the portion of Resources expected to be classified as Mineral Reserves at the mine corresponding to the specific interest. The non-depletable balance is not depleted but along with the depletable balance is evaluated for impairments when events or circumstances indicate that the carrying amount may not be recoverable. The Company monitors the publicly available information of the operators including their reserve and resource statements and guidance for the year ahead (in the case of operating mines) in order to assess whether there has been a change in the expected pattern of consumption of the future economic benefits of the assets underlying the royalties, streams and other interests, in order to determine the most appropriate method of depletion.

Financial Statements 8

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On acquisition of a stream, royalty or other interest, an allocation of its cost may be attributed to the exploration potential of the interest and is recorded as a non-depletable asset on the acquisition date. The value of the exploration potential is accounted for in accordance with either IAS 16, Property, Plant and Equipment or IFRS 6, Exploration and Evaluation of Mineral Resources ("IFRS 6") depending on the classification of the underlying asset to which the exploration potential relates. With respect to exploration potential classified under IFRS 6, it is not depleted until such time as the technical feasibility, commercial viability, and a development decision have been established, at which point the value of the asset is reclassified and accounted for in accordance with IAS 16, Property, Plant and Equipment. These considerations are consistent with those assessed by the Company when determining the classification of stream, royalty and other interests upon acquisition. The asset is subject to an impairment test prior to reclassification in accordance with IFRS 6. With respect to exploration potential classified as IAS 16, this is not depleted until there is an updated reserves and resource report issued on the associated property which shows an increase in the reserve and resources of the asset at which point a proportionate amount of the exploration potential is reclassified to the depletable pool.

**Impairment of Stream, Royalty and Other Interests** 

Evaluation of the carrying values of each stream, royalty or other interest is undertaken when events or changes in circumstances indicate that the carrying values may not be recoverable. Although the Company does not operate any of the mining interests in which it holds a stream, royalty or other interest, the Company monitors the operators publicly available information (where applicable) for updates with respect to the assets' performance and future intentions of the operator with resect to exploration and evaluation of mineral resources and development of projects. Further, the Company is entitled under each royalty and streaming agreement to the operators' budget and production forecasts for the upcoming year which helps inform Versamet management as to whether there are any impairment indicators. Impairment is assessed at the level of cash-generating units, which is the smallest identifiable group of assets that generates cash inflows and largely independent of the cash inflows from other assets. This is usually at the individual stream, royalty, or other interest level for each property from which cash inflows are generated.

An impairment loss is recognized for the amount by which the asset's carrying value exceeds its recoverable amount, which is the higher of its fair value less costs of disposal ("FVLCD") and its value in use ("VIU"). Estimated future cash flows are calculated using estimated production, sales prices and a discount rate. Estimated future production is determined using current Reserves and the portion of Resources expected to be classified as Mineral Reserves, as well as exploration potential expected to be converted into Resources or Reserves. Estimated sales prices are determined by reference to an average of long-term metal price forecasts by research analysts and management's expectations. The discount rates used are those which are considered appropriate to the mine in question, its risk profile and the type of commodity. All inputs used are those that an independent market participant would consider appropriate. In addition, the Company may use other market approaches for determining the recoverable amount which may include an estimate of (i) dollar value per unit of mineral reserve/resource; (ii) net asset value multiples (iii) cash-flow multiples; (iv) comparable transactions or (v) market capitalization of comparable assets.

An assessment is made at each reporting period if there is any indication that a previous impairment loss may no longer exist or has decreased. If indications are present, the carrying value of the interest is increased to the revised estimate of its recoverable amount to the extent that the increased carrying amount does not exceed the carrying amount net of depletion that would have been determined had no impairment loss been recognized for the interest in previous periods.

Stream, royalty and other interests classified as exploration and evaluation assets are assessed for impairment whenever indicators of impairment exist in accordance with IFRS 6. An impairment loss is recognized for the amount by which the asset's carrying value exceeds its recoverable amount.

**Greenstone Gold Interest**

The Company purchases certain amounts of gold by providing an initial deposit that is recorded as a Greenstone gold interest. The Greenstone gold interest meets the definition of a financial asset in accordance with financial instrument standards and is classified as FVTPL. The Greenstone gold interest is measured initially at fair value and then subsequently at fair value at the end of each reporting period, with any gains or losses arising on re-measurement recognized as a component of net income. The difference between the fair value of the gold delivered and the ongoing payments for the gold delivered are recorded as a partial settlement of the Greenstone gold interest and recorded in cost of sales.

Financial Statements 9

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When gold is delivered to the Company under the Greenstone gold purchase agreement with Equinox ("GPA" - note 4), the Company initially records the gold as inventory; upon sale of the inventory, the amount in inventory is recognized in cost of sales.

The current portion of the Greenstone gold interest is determined at each reporting date based on the fair value of the estimated gold to be delivered in the following year.

**Revenue Recognition** 

Revenue is comprised of revenue earned from royalty interests and from the sale of gold under the GPA.

Revenue recognition on royalty interests occurs when control of the relevant commodity is transferred to the end customer by the operator of the royalty property. Revenue is measured at the fair value of the consideration received or receivable when management can reliably estimate the amount, pursuant to the terms of the royalty agreement. In some instances, the Company will not have access to sufficient information to make a reasonable estimate of consideration to which it expects to be entitled and, accordingly, revenue recognition is deferred until management can make a reasonable estimate. Differences between estimates and actual amounts are adjusted and recorded in the period that the actual amounts are known.

Revenue recognition from the sale of gold occurs when control of the gold is transferred to a third-party customer. Revenue is measured as the fair value of the consideration received or receivable.

**Financial Instruments**

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

**Financial Assets**

**Classification**

The Company classifies its financial assets in the following measurement categories:

Those to be measured subsequently at fair value (either through Other Comprehensive Income ("OCI"), or through profit or loss), and

Those to be measured at amortized cost.

The classification depends on the Company's business model for managing the financial assets and the contractual terms of the cash flows. For assets measured at fair value, gains and losses are either recorded in profit or loss or OCI.

**Measurement**

At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss ("FVTPL"), transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at FVTPL are expensed in profit or loss. Financial assets are considered in their entirety when determining whether their cash flows are solely payment of principal and interest.

Financial Statements 10

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Subsequent measurement of financial assets depends on their classification. There are three measurement categories under which the Company classifies its financial instruments:

Amortized cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortized cost. A gain or loss on a debt investment that is subsequently measured at amortized cost is recognized in profit or loss when the asset is derecognized or impaired. Interest income from these financial assets is included as finance income using the effective interest rate method.

Fair value through OCI ("FVTOCI"): Assets that are held for collection of contractual cash flows and for selling the financial assets, where the assets' cash flows represent solely payments of principal and interest, are measured at FVTOCI. Movements in the carrying amount are taken through OCI, except for the recognition of impairment gains and losses, interest revenue, and foreign exchange gains and losses which are recognized in profit or loss. When the financial asset is derecognized, the cumulative gain or loss previously recognized in OCI is reclassified from equity to profit or loss. Interest income from these financial assets is included as finance income using the effective interest rate method.

Fair value through profit or loss: Assets that do not meet the criteria for amortized cost or FVTOCI are measured at FVTPL. A gain or loss on an investment that is subsequently measured at FVTPL is recognized in profit or loss in the period in which it arises. The GPA is held at FVTPL.

Investments in common shares are held for long-term strategic purposes and not for trading. The Company has made an irrevocable election to designate all these investments as fair value through other comprehensive income ("FVTOCI") in order to provide a more meaningful presentation based on management's intention, rather than reflecting changes in fair value in profit or loss. Such investments are measured at fair value at the end of each reporting period, with any gains or losses arising on re-measurement recognized as a component of other comprehensive income under the classification of gain (loss) on revaluation of investments. Cumulative gains and losses are not subsequently reclassified to profit or loss.

Transaction costs incurred on initial recognition of financial instruments classified as loans and receivables, FVTOCI and other financial liabilities are recognized at their fair value amount and offset against the related loans and receivables or capitalized when appropriate.

**Financial liabilities**

The Company classifies its financial liabilities into the following categories: financial liabilities at FVTPL and amortized cost.

A financial liability is classified as at FVTPL if it is classified as held-for-trading or is designated as such on initial recognition. Directly attributable transaction costs are recognized in profit or loss as incurred. The fair value changes to financial liabilities at FVTPL are presented as follows: the amount of change in the fair value that is attributable to changes in the credit risk of the liability is presented in OCI; and the remaining amount of the change in the fair value is presented in profit or loss. The Company records the derivative liability on the Beedie Convertible Loan at FVTPL.

Other non-derivative financial liabilities are initially measured at fair value less any directly attributable transaction costs. Subsequent to initial recognition, these liabilities are measured at amortized cost using the effective interest method.

Financial Statements 11

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**Foreign Currency Translation**

The Company has a functional currency and presentation currency of the United States dollar. Foreign currency transactions and balances are translated into the functional currency as follows: (i) monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the exchange rate prevailing at the Statement of Financial Position date; (ii) non-monetary assets denominated in foreign currencies and measured at other than fair value are translated using the rates of exchange at the transaction dates; (iii) non-monetary assets denominated in foreign currencies that are measured at fair value are translated using the rates of exchange at the dates those fair values are determined; and (iv) income statement items denominated in foreign currencies are translated using average exchange rates for the period. Foreign exchange gains and losses are recognized in profit or loss and presented in the Statement of Income (Loss) and Comprehensive Income (Loss) in accordance with the nature of the transactions to which the foreign currency gains and losses relate.

Unrealized foreign exchange gains and losses on cash and cash equivalent balances denominated in foreign currencies are disclosed separately in the Statement of Cash Flows.

**Income Taxes**

Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used are those that are substantively enacted by the end of the reporting date.

Deferred income tax is provided using the liability method on temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting. The change in the net deferred income tax asset or liability is included in income except for deferred income tax relating to equity items which is recognized directly in equity. The income tax effects of differences in the periods when revenue and expenses are recognized, in accordance with Company's accounting practices, and the periods they are recognized for income tax purposes are reflected as deferred income tax assets or liabilities. Deferred income tax assets and liabilities are measured using the substantively enacted statutory income tax rates which are expected to apply to taxable income in the years in which the assets are realized or the liabilities settled. A valuation allowance is recorded against any deferred tax asset if it is not probable to be utilized against future taxable profit.

Deferred income tax assets and liabilities are offset only if a legally enforceable right exists to offset current tax assets against liabilities and the deferred tax assets and liabilities relate to income taxes levied by the same taxation authority on the same taxable entity and are intended to be settled on a net basis.

The determination of current and deferred taxes requires interpretations of tax legislation, estimates of expected timing of reversal of deferred tax assets and liabilities, and estimates of future earnings.

**Share-Based Payments**

The Company recognizes share based compensation expense for share purchase options, restricted share units ("RSUs"), performance restricted share units ("PRSUs") and common shares granted to directors, officers, employees and consultants under the Company's equity-based incentive plans.

Financial Statements 12

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**Share purchase options**

The fair value of share purchase options is determined using the Black-Scholes model, with market related inputs as of the grant date. The use of the Black-Scholes option pricing model requires management to make various estimates and assumptions that impact the value assigned to the stock options including the expected volatility of the stock price, the risk-free interest rate, dividend yield, the expected life of the stock options and the number of options expected to vest. Volatility is estimated using the historic stock price of similar listed entities, the expected term and the number of equity instruments expected to vest is estimated using management judgement. The fair value of share purchase options at the date of grant are expensed over the vesting periods with a corresponding increase to equity. Share purchase options with graded vesting schedules are accounted for as separate grants with different vesting periods and fair values.

**Restricted share units** 

The fair value of RSUs is determined by the market value of the underlying shares at the date of the grant. Under the Company's RSU Plan, the Board of Directors has the discretion to determine upon grant whether the RSUs are to be settled in cash or equity.

Where the Company does not have a present obligation to settle the issued RSUs in cash, the RSUs issued are treated as equity-settled instruments. The fair value of RSUs is determined using the fair value of the RSU at the date of grant and is adjusted based on the number of equity instruments expected to ultimately vest. The fair value of the RSUs at the date of grant are expensed over the vesting periods with a corresponding increase to equity. At the end of each reporting period, the Company re-assesses its estimates of the number of awards that are expected to vest and recognizes the impact of any revisions to this estimate in equity.

**Performance restricted share units**

The fair values of equity-settled PRSUs with market conditions are estimated using the Monte Carlo method to project the performance of the Company and, if applicable, the relevant market index against which the Company's performance is compared. The use of the Monte Carlo pricing model requires management to make various estimates and assumptions that impact the value assigned to the PRSUs including assumptions with respect to share price, expected life, share price volatility, correlation assumptions and discount rates. Share-based compensation expense related to PRSUs that vest based on market conditions is recognized over the vesting period based on the grant date fair value of the award.

**Related Party Transactions** 

Parties are considered related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered related if they are subject to common control or significant influence. A transaction is considered a related party transaction when there is a transfer of resources or obligations between related parties.

**Segment Reporting**

An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses. The Company's operating segments are components of the Company's business for which discrete financial information is available and which are reviewed regularly by the Company's Chief Executive Officer to make decisions about resources to be allocated to the segment and assess its performance.

Financial Statements 13

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Changes in Accounting Standards

**Adoption of new accounting standards in 2024**

The following amendments to existing standards have been adopted by the Company commencing January 1, 2024:

**Classification of liabilities as current or non-current**

In January 2020, the IASB published narrow scope amendments to IAS 1 Presentation of financial statements. The narrow scope amendment clarifies that liabilities are classified as either current or noncurrent, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the expectations of the entity or events after the reporting date. The amendments are effective for annual periods beginning on or after January 1, 2024 and applied retrospectively. The Company has adopted the narrow scope amendments on January 1, 2024. These amendments have resulted in the Company recognizing the Beedie Convertible Loan as a current liability (note 10) and a portion of the Sandstorm Convertible Note as a current liability as at January 1, 2023 (note 10).

**New standards issued and not yet effective**

The International Accounting Standards Board has issued classification and measurement and disclosure amendments to IFRS 9 and IFRS 7 with an effective date for years beginning on or after January 1, 2026 with earlier application permitted. The amendments clarify the date of recognition and derecognition of some financial assets and liabilities and introduce a new exception for some financial liabilities settled through an electronic payment system. Other changes include a clarification of the requirements when assessing whether a financial asset meets the solely payments of principal and interest criteria and new disclosures for certain instruments with contractual terms that can change cash flows (including instruments where cash flows changes are linked to environment, social or governance targets). The Company intends to adopt these amendments for the year beginning January 1, 2026.

IFRS 18, Presentation and Disclosure in Financial Statements (IFRS 18) is a new standard that will provide new presentation and disclosure requirements and replace International Accounting Standard 1, Presentation of Financial Statements (IAS 1). IFRS 18 introduces changes to the structure of the income statement; provides required disclosures in financial statements for certain profit or loss performance measures that are reported outside an entity's financial statements; and provides enhanced principles on aggregation and disaggregation in financial statements. Many other existing principles in IAS 1 have been maintained. IFRS 18 is effective for years beginning on or after January 1, 2027, with earlier application permitted. The Company intends to adopt these amendments for the year beginning January 1, 2027.

The Company has not yet commenced the evaluation of the impact of these new standards/amendments.

Financial Statements 14

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**3.** **Significant Accounting Estimates and Judgments**

The preparation of these financial statements in conformity with IFRS required management to make estimates and assumptions that affect amounts reported in the financial statements and accompanying notes. Management believes the estimates and assumptions used in these financial statements are reasonable; however, actual results could differ from those estimates and could impact future results of operations and cash flows.

The Company's significant accounting estimates and judgements applied in these financial statements are as follows:

Accounting for Acquisition of Assets and Stream, Royalty and Other Interests

The Company's business is the acquisition of royalties and other interests. Each royalty and other interest has its own unique terms and judgement is required to assess the appropriate accounting treatment. The determination of whether an acquisition should be accounted for as royalty and other interest or a financial instrument requires the consideration of factors such as (i) the terms of the agreement; (ii) the applicability of the own use exemption under IFRS 9 Financial Instruments ("IFRS 9"); and (iii) whether there is a contractual commitment to repay amounts under the royalty and other interests. The assessment of whether an acquisition meets the definition of a business or whether assets are acquired is another area of key judgement. If deemed to be a business combination, applying the acquisition method to business combinations requires each identifiable asset and liability to be measured at its acquisition date fair value. The excess, if any, of the fair value of the consideration over the fair value of the net identifiable assets acquired is recognized as goodwill. The determination of the acquisition date fair values often requires management to make assumptions and estimates about future events. The assumptions and estimates with respect to determining the fair value of royalty and other interests generally require a high degree of judgement, and include estimates of Mineral Reserves and Resources acquired, future production, metal prices, discount rates, conversion of Resources and exploration potential, foreign exchange rates, taxes, future capital expansion plans and the associated production implications. Changes in any of the assumptions or estimates used in determining the fair value of acquired assets and liabilities could impact the amounts assigned to assets and liabilities.

Fair Value of Greenstone Gold Interest

The fair value of the Greenstone gold interest was determined by calculating the present value of the future gold deliveries under the GPA. The determination of the fair value of the Greenstone gold interest at period end requires the use of estimates and assumptions for commodity prices, discount rates and the timing of gold receipts received by Versamet under the GPA with Equinox. Changes in any of the estimates and/or assumptions used in determining the fair value could impact the fair value of the Greenstone gold interest at period end and the associated change in fair value of the Greenstone gold interest recorded in the Statement of Loss and Comprehensive Loss during the period. Changes in each of the following key assumptions and estimates would have the following impact on the value of the GPA as at December 31, 2024 (with an associated movement in the Statement of Loss and Comprehensive Loss):

---

| | | |
|:---|:---|:---|
| **Key assumption** | **Sensitivity applied to key <br>assumption** | **Impact on GPA asset value at <br>December 31, 2024** |
| Gold price | +/- 10% | +/- $6.2 million |
| Discount rate | +/- 1% | + $2.9 million / - $3.2 million |

---

Financial Statements 15

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Fair Value of Beedie Convertible Loan Derivative Liability

On October 31, 2023, Versamet entered into a $16 million convertible loan with Beedie Capital (the "Beedie Convertible Loan"). The Beedie Convertible Loan contains multiple embedded derivatives which require bifurcation; as all of the embedded derivatives relate to the same risk exposures (foreign exchange on the conversion price and the value of the underlying common shares of the Borrower), they may be combined and accounted for as a single compound embedded derivative. The embedded derivative was fair valued utilizing a combination of the discounted cash flow and partial differential equation modeling approaches. In valuing this embedded derivative, certain estimates and assumptions were used including the Company's share price, volatility, a credit rating, risk-free rate and a credit spread. To the extent that any of these estimates and assumptions changed upon initial recognition, this would have impacted the initial value of the derivative liability and the portion of the Beedie Convertible Loan recorded as a convertible debt liability on the face of the Statement of Financial Position. Such a change in the allocation of value between the derivative liability and the convertible debt liability would also impact the accretion charges and fair value movements in the Statement of Loss and Comprehensive Loss during future periods. Subsequent valuation of the derivative liability each reporting period uses similar estimates and assumptions which could materially impact the value of the derivative liability as at December 31, 2024. Changes in the key assumptions and estimates of the valuation of the derivative liability would have the following impact on the valuation of the derivative liability as at December 31, 2024 (with an associated movement in the Statement of Loss and Comprehensive Loss:

---

| | | |
|:---|:---|:---|
| **Key assumption<br>**  | **Sensitivity applied to key <br>assumption** | **Impact on derivative liability <br>value at December 31, 2024** |
| Risk free rate | + 1% | $305606 |
| Credit spread | + 1% | $297746 |
| Volatility | 10% increase | ($133138) |
| Stock price | 10% increase | $700680 |

---

Attributable Reserve and Resource Estimates

Royalty and other interests are a significant class of assets of the Company, with a carrying value of $165.4 million at December 31, 2024 (December 31, 2023 - $92.7 million). This amount represents the capitalized expenditures related to the acquisition of the royalty and other interests net of accumulated depletion and any impairments. Where possible, the Company estimates the Reserves and Resources relating to each interest. Reserves and Resources are estimates of the amount of minerals that can be economically and legally extracted from the mining properties at which the Company has royalty interests, adjusted where applicable to reflect the Company's percentage entitlement to minerals produced from such mines. The public disclosures of Reserves and Resources that are released by the operators of the interests involve assessments of geological and geophysical studies and economic data and the reliance on a number of assumptions, including commodity prices and production costs. The estimates of Reserves and Resources may change based on additional knowledge gained subsequent to the initial assessment. Changes in the estimates of Reserves or Resources, or the date of initial production from the mine may impact the carrying value of the Company's royalty and other interests and depletion charges. Stream, royalty and other interests related to producing mines are bifurcated into a depletable and non-depletable balance. The split between the depletable and non-depletable balances is based on a discounted cash flow analysis of the mine plan in question for that royalty or stream. Included in the depletable balance is 100% of Mineral Reserves and a portion of Resources. Included in the non-depletable balance are the remaining Resources (not included in the depletable balance) and any exploration potential, if applicable. If estimates of the value of the depletable and non-depletable balances of a mining property prove to be inaccurate, this could increase the amount of future depletion expense which would reduce the Company's net income and net assets. Changes to depletion rates are accounted for prospectively.

Financial Statements 16

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Impairment of Royalty and Other Interests

Assessment of impairment of royalty and other interests requires the use of judgments, assumptions and estimates when assessing whether there are any indicators that could give rise to the requirement to conduct a formal impairment test as well as in the assessment of their fair values. The assessment of the fair values of royalty and other interests requires the use of estimates and assumptions for Mineral Reserves and Resources, future production, commodity prices, discount rates, conversion of Resources and exploration potential, foreign exchange rates, taxes, future capital expansion plans and the associated production implications. In addition, the Company may use other approaches in determining fair value which may include estimates related to (i) dollar value per unit of mineral reserve/resource; (ii) net asset value multiples (iii) cash-flow multiples; (iv) comparable transactions and (v) market capitalization of comparable assets. Changes in any of the estimates used in determining the fair value of the royalty and other interests could impact the impairment analysis.

Functional Currency

The functional currency of the Company is the currency of the primary economic environment in which the entity operates. Determination of functional currency may involve certain judgments to determine the primary economic environment and the Company reconsiders functional currency if there is a change in events and conditions which determine the primary economic environment.

Income Taxes

The interpretation of new and existing tax laws or regulations in any of the countries in which our royalty and other interests are located or to which shipments of commodities are made or received requires the use of judgment. Differing interpretation or changes to these laws or regulations could result in an increase in the Company's taxes, or other governmental charges, duties or impositions. In addition, the recoverability of deferred income tax assets, including expected periods of reversal of temporary differences and expectations of future taxable income, are assessed by management at the end of each reporting period and adjusted, as necessary, on a prospective basis.

Share-based Compensation

**Stock options** 

The Company utilizes the Black-Scholes option pricing model to estimate the fair value of stock options granted to directors, officers, employees and consultants of the Company. The use of the Black-Scholes option pricing model requires management to make various estimates and assumptions that impact the value assigned to the stock options including the expected volatility of the stock price, the risk-free interest rate, dividend yield, the expected life of the stock options and the number of options expected to vest. The expected term of the options granted is determined based on historical data of the average hold period before exercise, cancellation or expiry. Volatility is estimated using the historic stock price of similar listed entities, the expected term and the number of equity instruments expected to vest is estimated using management judgement. Expected volatility is estimated with reference to the historical volatility of the share price of a peer group of companies as applicable given that the Company's shares have not been publicly listed. Any changes in these assumptions and estimates could change the amount of share-based compensation recognized in profit or loss and the share-based compensation reserve. Significant assumptions related to share-based payments are disclosed in Note 11.

Financial Statements 17

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**PRSUs**

The Company's uses a Monte Carlo pricing model to estimate the fair value of PRSUs granted to directors, officers, employees and consultants of the Company. The use of the Monte Carlo pricing model requires management to make various estimates and assumptions that impact the value assigned to the PRSUs including assumptions with respect to share price, expected life, share price volatility, correlation assumptions and discount rates. Changes in these assumptions and estimates could change the fair value of the amount of share-based compensation recognized in profit or loss and the share-based compensation reserve. Significant assumptions related to PRSUs are disclosed in Note 11.

**4.** **Greenstone Gold Interest**

Greenstone Gold Purchase Agreement

On October 31, 2023, Versamet paid $52.5 million to enter into a gold purchase agreement ("GPA") with Equinox in exchange for monthly deliveries of gold equal to the greater of (a) 350 gold ounces, and (b) gold ounces equal to 1.26% of the monthly gold production from the Greenstone project in Ontario, Canada, ("Greenstone") at a purchase price per ounce of gold equal to 20% of the then prevailing market price. Monthly gold delivery obligations commenced upon closing of the GPA and will continue until a total of 63,000 ounces of gold have been delivered to Versamet. While gold deliveries will be calculated based on Greenstone production, gold deliveries can be sourced from production from any of Equinox's operating mines. Under the GPA, Equinox retains the option to buy-down deliveries related to 75% of the original delivery obligation at the then current spot gold price, subject to a minimum gold price per ounce of $2,000.

Accounting for the Greenstone Gold Purchase Agreement

In accordance with the Company's accounting policy, the Greenstone gold interest was initially measured at fair value, being the purchase price paid by Versamet for the future stream of gold. Each subsequent period end, the Greenstone gold interest is fair valued using a discounted cash flow of the future expected gold deliveries under the GPA. Significant estimates included in this valuation include commodity prices, discount rates and the timing of deliveries expected to be received by Versamet under the GPA with Equinox. Changes in any of the estimates and/or assumptions used in determining the fair value could impact the fair value of the Greenstone gold interest at period end and the associated change in fair value of the Greenstone gold interest recorded in the Statement of Loss and Comprehensive Loss during the period.

In accordance with the Company's accounting policy the Greenstone gold interest was initially measured at fair value, being the purchase price paid by Versamet for the future stream of gold. During the year ended December 31, 2024, the Company received 4,200 oz of gold under the GPA, which was initially recognized in inventory. The Company sold the gold for gross proceeds of $10.0 million; upon the sale, the inventory was recognized in cost of sales. The difference between the $8.0 million fair value of the gold delivered and the $2.0 million payment to Equinox for the gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) was recorded as a partial settlement of the Greenstone gold interest and included in cost of sales for the year ended December 31, 2024 (note 14). During the year ended December 31, 2024 the Company recognized an increase in the fair value of the Greenstone gold interest of $14.3 million; the increase in fair value was driven primarily by an increase in gold consensus pricing between December 31, 2023 and December 31, 2024.

Financial Statements 18

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During the period between October 31, 2023 and December 31, 2023, the Company received 700 oz of gold under the GPA, which was initially recognized in inventory. The Company sold the gold for gross proceeds of $1.4 million; upon the sale, the inventory was recognized in cost of sales. The difference between the $1.4 million fair value of the gold delivered and the $0.3 million payment to Equinox for the gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) was recorded as a partial settlement of the Greenstone gold interest and included in cost of sales for the year ended December 31, 2023 (note 14). During the period from initial recognition on October 31, 2023 to December 31, 2023, the Company recognized a change in the fair value of the Greenstone gold interest of $4.8 million; the change in fair value was driven by an increase in gold consensus pricing and a decrease in the risk-free rate between October 31, 2023 and December 31, 2023.

Details of the changes in the carrying value of the Greenstone gold interest are as follows:

---

| |
|:---|
| Opening balance |
| Gold deliveries (recognized in cost of sales) |
| Change in fair value |
| **Balance December 31, 2023** |
| Gold deliveries (recognized in cost of sales) |
| Change in fair value |
| **Balance December 31, 2024** |
| Less: Current portion, December 31, 2024) |
| **Non-current portion, December 31, 2024** |

---

Financial Statements 19

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**5.** **Investments**

Details of the investments of the Company and the changes in their carrying values are as follows:

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| | | | |
|:---|:---|:---|:---|
|  | **Sun Peak** <br>**Metals Corp.**<br>**$** | **Montage Gold** <br>**Corp.**<br>**$** | **Total**<br>**$** |
| **Balance - December 31, 2022** | **567176** | **984556** | **1551732** |
| Change in fair value recorded in OCI | 13407 | 56900 | 70307 |
| Change in unrealized foreign exchange (recorded in profit & loss) | 14074 | 26386 | 40460 |
| **Balance - December 31, 2023** | **594657** | **1067842** | **1662499** |
| Change in fair value recorded in OCI | 204257 | (10726) | 193531 |
| Change in unrealized foreign exchange (recorded in profit & loss) | (68933) | (25046) | (93979) |
| Sale of shares |  | (1032070) | (1032070) |
| **Balance - December 31, 2024** | **729981** | **-** | **729981** |

---

Sun Peak Metals Corp.

The Company holds 3,750,000 common shares of Sun Peak Metals Corp. ("Sun Peak") and a 1% NSR royalty on the Sun Peak properties. In accordance with the Company's accounting policy this investment is held at fair value through Other Comprehensive Income ("FVTOCI").

Montage Gold Corp.

During the year ended December 31, 2024, the Company sold all of its 1,991,740 shares in Montage for gross proceeds of $1.0 million (C$1.4 million). In accordance with the Company's accounting policy this investment is held at FVTOCI and the cumulative gains and losses are not subsequently reclassified to profit and loss.

**6.** **Asset Acquisitions** 

Year ended December 31, 2024

On June 5, 2024, Versamet entered into a definitive purchase and sale agreement with B2Gold to acquire a portfolio of royalty assets from B2Gold. The Transaction closed in two tranches. The first tranche closed on June 5, 2024 (the "First Closing"), and concurrent with this closing, Versamet purchased 5 royalty assets, including the following assets listed below, in return for 24,409,994 Common Shares at an issue price of C$4.00 per Common Share (total value: $71.6 million):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) 2.7% NSR royalty (until 2.5 million oz of gold produced, 0.45% NSR on next 1.5 million oz) on the Kiaka project based in Burkina Faso.

ii) 2.7% NSR royalty (until royalty payments total US$22.5 million, and 0.45% thereafter until 1.5 million oz of gold produced) on the Toega project based in Burkina Faso.

Financial Statements 20

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iii) 1.5% NSR royalty on the gold-copper Primavera project based in Nicaragua.

On August 13, 2024, Versamet completed the second and final closing (the "Second Closing") related to the acquisition of a royalty portfolio from B2Gold. The Second Closing included the acquisition of a 2.0% NSR royalty over the Mocoa copper-molybdenum project in Colombia owned by Libero Copper & Gold Corporation and a 2.0% NSR royalty on the primary claims plus a 1% NSR royalty on periphery claims over the Golden Sidewalk gold project in Ontario, Canada owned by Prosper Gold Corp in return for 3,493,969 Common Shares at an issue price of C$4.00 per Common Share (total value of $10.25 million).

Management has determined that the acquisition of royalty interests acquired from B2Gold are considered to be asset acquisitions as the royalties acquired did not meet the definition of a business under IFRS. The fair value of the consideration paid for the mining royalties acquired from B2Gold has been allocated based on their fair value at the time of acquisition. The fair value of the Common Shares issued as consideration was determined to be C$4.00 per Common Share. The fair value of the mining royalties purchased was determined based on the net present value of the discounted cash flows from each of the royalties. The estimated future cash flows are calculated using estimated production, sales prices and discount rates. Estimated future production is determined using current Reserves and the portion of Resources expected to be classified as Mineral Reserves. Estimated sales prices are determined by reference to a long-term consensus metal prices. The discounts rates used are those which are considered appropriate for the respective royalty, its risk profile and the relevant commodity.

Management has completed the process of determining fair values for the assets acquired.

Assets Acquired from B2Gold

The allocation of the consideration (for both the First and Second Closing) to the estimated fair value of assets is as follows:

---

| | | |
|:---|:---|:---|
|  | **Note** | **$** |
| **Purchase Price** |  |  |
| Common Shares issued |  | 81859811 |
| Legal fees capitalized |  | 75975 |
| **Total purchase price consideration** |  | **81935786** |
| **Assets Acquired** |  |  |
| Royalties and other interests | 7 | 81935786 |
| **Total fair value of assets acquired** |  | **81935786** |

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Year ended December 31, 2023

On October 31, 2023, Versamet acquired two royalty assets from Sandstorm for total consideration of $25 million comprising $10 million in cash and $15 million in common shares of the Company (5,911,487 common shares of the Company issued at a price of C$3.50 per share) (notes 7 and 11). Of the total shares issued, 395,914 are held in escrow subject to certain milestones being met; in the event such milestones are not met these shares are returned to Versamet.

Financial Statements 21

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The royalties purchased by Versamet were on mines currently being developed, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;i) A 0.21% GRR on the gold/silver Blackwater project based in British Columbia, Canada, and

ii) A 1% GRR on the El Pilar copper project based in Sonora, Mexico.

Management has determined that the acquisition of royalty interests from Sandstorm are considered to be asset acquisitions as the royalties acquired did not meet the definition of a business under IFRS. The fair value of the consideration paid for the mining royalties acquired from Sandstorm has been allocated based on their fair value at the time of acquisition. The fair value of the common shares issued as consideration was determined to be C$3.50 per share, the same value per share as the $21.5 million private placement completed on the same day (note 11). The fair value of the mining royalties purchased was determined based on the net present value of the discounted cash flows from each of the royalties. The estimated future cash flows are calculated using estimated production, sales prices and a discount rate. Estimated future production is determined using current Reserves and the portion of Resources expected to be classified as Mineral Reserves. Estimated sales prices are determined by reference to a long-term metal price forecast by research analysts and management's expectations. The discounts rates used are those which are considered appropriate to the mine in question, its risk profile and the type of commodity.

Management has completed the process of determining fair values for the assets acquired.

Assets Acquired from Sandstorm

The allocation of the consideration to the estimated fair value of assets is as follows:

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| | | |
|:---|:---|:---|
|  | **Note** | **$** |
| **Purchase Price** |  |  |
| Cash |  | 10000000 |
| Common shares issued |  | 15000000 |
| Legal fees capitalized |  | 27515 |
| **Total purchase price consideration** |  | **25027515** |
| **Assets Acquired** |  |  |
| Royalties and other interests | 7 | 25027515 |
| **Total fair value of assets acquired** |  | **25027515** |

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Financial Statements 22

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**7.** **Royalty and Other Interests**

The carrying amount of the Company's royalty and other interests are as follows:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Cost** | **Cost** | **Cost** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** | **Accumulated Depreciation and Impairment** |  |
| Asset, Location | Opening<br>$| Net<br>Additions/<br>(Disposals)<br>$| Closing<br>$| Opening<br>$| Depletion<br>$| Impairment<br>$| Closing<br>$| Carrying<br>Amount<sup>1</sup><br>$|
| **December 31, 2024** |  |  |  |  |  |  |  |  |
| **Depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Mercedes, Mexico | 10985367 |  | 10985367 | 1397777 | 842729 | 2513367 | 4753873 | 6231494 |
| Pilar, Brazil | 5609000 |  | 5609000 | 2259000 |  |  | 2259000 | 3350000 |
| **Non-depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Kiaka, Burkina Faso |  | 58730390 | 58730390 |  |  |  |  | 58730390 |
| El Pilar, Mexico | 17489892 |  | 17489892 |  |  |  |  | 17489892 |
| Vittangi, Sweden | 15000000 |  | 15000000 |  |  |  |  | 15000000 |
| Toega, Burkina Faso |  | 11204338 | 11204338 |  |  |  |  | 11204338 |
| Blackwater, Canada | 7537623 |  | 7537623 |  |  |  |  | 7537623 |
| Mercedes, Mexico | 5836633 |  | 5836633 |  |  | 5836633 | 5836633 |  |
| **Exploration and Evaluation Assets** |  |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 14716000 |  | 14716000 |  |  |  |  | 14716000 |
| Mocoa, Colombia |  | 10000000 | 10000000 |  |  |  |  | 10000000 |
| Prairie Creek, Canada | 7514000 |  | 7514000 |  |  |  |  | 7514000 |
| Mason, Nevada | 4876000 |  | 4876000 |  |  |  |  | 4876000 |
| Converse, Nevada | 4391000 |  | 4391000 |  |  |  |  | 4391000 |
| Cuiú Cuiú, Brazil | 2070000 |  | 2070000 |  |  |  |  | 2070000 |
| Primavera, Nicaragua |  | 1391058 | 1391058 |  |  |  |  | 1391058 |
| Other | 294172 | 610036 | 904208 |  |  |  |  | 904208 |
| **Total** | **96319687** | 81935822 | **178255509** | **3656777** | **842729** | **8350000** | **12849506** | **165406003** |
| **December 31, 2023** |  |  |  |  |  |  |  |  |
| **Depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Mercedes, Mexico | 10985367 |  | 10985367 | 497240 | 900537 |  | 1397777 | 9587590 |
| Pilar, Brazil | 5609000 |  | 5609000 |  | 212778 | 2046222 | 2259000 | 3350000 |
| **Non-depletable Royalty and Other Interests** |  |  |  |  |  |  |  |  |
| Mercedes, Mexico | 5863633 |  | 5863633 |  |  |  |  | 5836633 |
| El Pilar, Mexico |  | 17489892 | 17489892 |  |  |  |  | 17489892 |
| Vittangi, Sweden | 15000000 |  | 15000000 |  |  |  |  | 15000000 |
| Blackwater, Canada |  | 7537623 | 7537623 |  |  |  |  | 7537623 |
| **Exploration and Evaluation Assets** |  |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 14716000 |  | 14716000 |  |  |  |  | 14716000 |
| Prairie Creek, Canada | 7514000 |  | 7514000 |  |  |  |  | 7514000 |
| Mason, Nevada | 4876000 |  | 4876000 |  |  |  |  | 4876000 |
| Converse, Nevada | 4391000 |  | 4391000 |  |  |  |  | 4391000 |
| Cuiú Cuiú, Brazil | 2070000 |  | 2070000 |  |  |  |  | 2070000 |
| Other | 294172 |  | 294172 |  |  |  |  | 294172 |
| **Total** | **71292172** | **25027515** | **96319687** | **497240** | **1113315** | **2046222** | **3656777** | **92662910** |

---

1. The total carrying amount of royalty, streams and other interests at December 31, 2024 includes $9,581,494 (2023: $12,937,590) of depletable mineral interest. The remaining $155,824,509 (2023: $79,725,320) is classified as non-depletable mineral interest, of which $45,862,266 (2023: $33,861,172) are classified as Exploration and Evaluation assets, as defined by IFRS 6 Exploration for and Evaluation of Mineral Resources and $109,962,243 (2023: $45,864,148) are assets not yet in production that are classified as development assets under IAS 16. As at December 31, 2023, $5,836,633 of the producing mining assets was allocated to exploration potential and were classified as non-depletable; this was subsequently fully impaired. During the year ended December 31, 2024, the Company acquired the Primavera and Mocoa royalties which have been classified as Exploration and Evaluation assets (2023: no acquisition of Exploration and Evaluation assets). The Primavera and Mocoa royalties were purchase through the issuance of Versamet's Common Shares (note 6). There were no reclassifications from assets classified under IFRS 6 to those classified under IAS 16 during either of the periods presented.

Financial Statements 23

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Impairment

Each individual royalty, stream or similar arrangement is individually considered to be a cash-generating unit for impairment testing purposes.

During the year ended December 31, 2024, the Mercedes Mine experienced operational challenges and then on January 29, 2025, Bear Creek Mining Corporation ("Bear Creek") announced an updated estimate of mineral reserves and mineral resources (R&R) for the Mercedes Mine. The updated estimate of R&R at the Mercedes Mine was lower than that previously used by management of the Company when valuing its royalty interest in the mine. As a result of these factors, the Company determined there to be an impairment indicator with respect to the carrying value of its Mercedes royalty interest as at December 31, 2024.

The Company determined the fair value of the Mercedes asset as at December 31, 2024 using a fair value less costs to sell model, being a discounted cash flow model of the expected production from the Mercedes mine and the associated royalty payments. Management of Versamet used the updated R&R as released by Bear Creek as a basis for the production expected from the remaining life of mine. Significant assumptions used in the discounted cash flow included the gold price (based on consensus gold prices) and an 8% discount rate. A $100 drop in the gold price used in the model would result in an increased impairment of ~ $250,000. A 1% increase in the discount rate would have increased the impairment expense by ~$140,000. Management determined that as at December 31, 2024 the recoverable amount of the Mercedes royalty interest was $6.2 million, resulting in an impairment charge of $8.4 million during the year ended December 31, 2024.

During the year ended December 31, 2023, due to operational challenges at the Pilar Mine, the Company determined there to be an impairment indicator with respect to the carrying value of its Pilar royalty interest. The Company determined the fair value of the Pilar asset using a fair value less costs to sell model, being a discounted cash flow model of the expected production from the Pilar mine and the associated royalty payments. Significant assumptions used in the discounted cash flow included the gold price (based on consensus gold prices) and an 11% discount rate. A $100 drop in the gold price used in the model would result in an increased impairment of ~ $170,000. A 1% increase in the discount rate would have increased the impairment expense by ~$200,000. Management determined that as at March 31, 2023 the recoverable amount of the Pilar royalty interest was $3.4 million, resulting in an impairment charge of $2.0 million during the first quarter of 2023. At December 31, 2024, management determined that there were no further impairment indicators or reversal of impairment indicators of the Pilar royalty interest.

**8.** **Note Receivable**

In conjunction with the purchase of assets from Equinox on June 28, 2022, the Company acquired a note receivable (the "Note"). The counterparty to the Note was Bayshore Minerals Incorporated, a fully owned subsidiary of Gold Mountain Mining Corp. Repayment of the Note was received in full on May 16, 2023.

**9.** **Revolving Credit Facility**

On October 31, 2023, the Company entered into a $30 million revolving credit facility ("RCF") with a $15 million accordion feature arranged by Bank of Montreal ("BMO"), as lead arranger, and National Bank of Canada ("NBC"). The maturity date of the RCF is December 31, 2026. The amounts drawn on the RCF are subject to interest at the Secured Overnight Financing Rate ("SOFR") plus 2.50% to 3.50% per annum, and the undrawn portion of the RCF is subject to a commitment fee of 0.5625%-0.7875% per annum, both of which are dependent on the Company's leverage ratio. Under the terms of the RCF, BMO has first ranking security over all present and future assets of the Company.

Financial Statements 24

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The RCF was initially recognized by Versamet at fair value less transaction costs (legal fees associated with entering into the RCF as well as arrangement fees to BMO and NBC). The RCF is subsequently recorded at amortized cost and is accreted to the principal amount over the period to the maturity date using an effective interest rate of 11%. Interest expense including accretion of discount of $1,219,521 was recognized in the year ended December 31, 2024 (2023 - $404,453) in relation to the RCF, of which $58,479 was included in the RCF balance as at December 31, 2024 (2023 - $341,499).

---

| |
|:---|
| Initial drawdown October 31, 2023 |
| Less: transaction costs) |
| **Amount recognized upon initial recognition** |
| Accrued Interest |
| Interest paid) |
| Accretion of discount |
| Drawdown |
| Repayment) |
| **Balance, December 31, 2023** |
| Accrued Interest |
| Interest paid) |
| Accretion of discount |
| Repayment) |
| **Balance, December 31, 2024** |

---

The principal amount outstanding under the RCF at December 31, 2024 was $1.0 million (note 18).

Under the terms of the RCF, Versamet is subject to maintaining certain covenants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Versamet shall maintain a leverage ratio at less than or equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) 6.00:1.00 from and including October 31, 2023;

ii) 5.00:1.00 from and including March 31, 2025;

iii) 3.50:1.00 from and including March 31, 2026,

The Company was in compliance with this covenant as at December 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Versamet shall maintain an interest coverage ratio at greater than or equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) 1.50:1.00 from and including October 31, 2023;

ii) 2.00:1.00 from and including March 31, 2025;

iii) 3.00:1.00 from and including March 31, 2026,

The Company was in compliance with this covenant as at December 31, 2024.

Financial Statements 25

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Versamet shall at all times maintain liquidity (comprised of cash, cash equivalents and additional advances available under the RCF) in an amount greater than or equal to $5,000,000. The Company was in compliance with this covenant as at December 31, 2024.

The RCF is secured by a first priority security interest in all of the Company's (and any affiliated entities as defined by the Securities Act (British Columbia)) present and after acquired property.

**10.** **Convertible Debt**

A summary of the Company's convertible debt (including the convertible debt derivative liability) is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Beedie Convertible <br>Loan**<br>**$** | **Sandstorm <br>Convertible Note**<br>**$** | **Total**<br>**$** |
| &nbsp;&nbsp;Current portion as per Statement of Financial Position - December 31, 2024 | 15618218 |  | 15618218 |
| &nbsp;&nbsp;Non-current portion as per Statement of Financial Position - December 31, 2024 |  |  |  |
| &nbsp;&nbsp;**Total balance as per Statement of Financial Position - December 31, 2024** | **15618218** | **-** | **15618218** |
| &nbsp;&nbsp;**Principal outstanding - December 31, 2024** | **15680663** | **-** | **15680663** |

---

See note 16 for Contractual obligations under both the Beedie Convertible Loan and the Sandstorm Convertible Note.

Beedie Convertible Loan

On October 31, 2023 Versamet entered into a $16.0 million (the C$22.2 million) convertible loan with Beedie Investments Ltd ("Beedie Capital") (the "Beedie Convertible Loan"). The Beedie Convertible Loan is denominated in Canadian dollars, has a term of 5 years and matures on October 31, 2028. Interest on the Beedie Convertible Loan consists of an 8% base interest rate and a 1.5% paid-in-kind ("PIK") rate, with the PIK rate reducing to 1.0% upon the public listing of the Company. The Company has the option to pay 25-50% of the base interest rate in Common Shares, subject to certain conditions. Amounts outstanding under the Beedie Convertible Loan can be converted into Common Shares, at the option of Beedie Capital, at a price of C$4.20 per Common Share. The Company may prepay the Beedie Convertible Loan, subject to certain fees. Additionally, the Company has the right to force the conversion of up to 50% of the Beedie Convertible Loan should the 30-day volume-weighted average price of Versamet (once public) equal or exceed C$7.35 per Common Share.

It has been determined that the Beedie Convertible Loan has two components:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) A debt host contract (the "Liability" or the "Beedie Convertible Loan Liability"), recorded at fair value upon initial recognition and subsequently at amortized cost; and

ii) Multiple embedded derivatives, treated as a single compound embedded derivative, recorded at FVTPL (the "Derivative Liability" or the "Beedie Derivative Liability").

At initial recognition, the $16 million of proceeds from the Beedie Convertible Loan were allocated by management between the Liability ($12,319,083) and the Derivative Liability ($3,680,917). The fair values of the Liability and Derivative Liability were determined at initial recognition by management, utilizing a combination of the discounted cash flow and partial differential equation modeling approaches. Transaction costs directly attributable to the Beedie Convertible Loan were allocated between the Liability and the Derivative Liability contract on the same basis. Transaction costs of $573,472 were allocated to the Liability ($441,541) and the Derivative Liability ($131,931) in proportion to the allocation of the proceeds from the Beedie Convertible Loan between those components at initial recognition. The transaction costs of $131,931 allocated to the Derivative Liability were immediately expensed while the transaction costs allocated to the Liability were included in the determination of the effective interest rate used to amortize the Liability over its term.

Financial Statements 26

------

The Derivative Liability was revalued to fair value as at December 31, 2024 utilizing a model with certain estimates and assumptions, including the Company's share price, volatility, a credit rating, risk-free rate and a credit spread. The fair value of the derivative liability decreased by $399,893 during the year ended December 31, 2024. Of this decrease, $283,924 relates to a change in credit risk associated with the liability. To the extent that any of these estimates and assumptions changes, this would impact the value of the Derivative Liability on the face of the Statement of Financial Position and the associated change in fair value of the Derivative Liability in the Statement of Loss and Comprehensive Loss. The value of the Derivative Liability at December 31, 2024 was $3,284,715 (December 31, 2023 - $3,684,608).

As the Beedie Convertible Loan Liability is denominated in Canadian dollars, it is revalued to the Company's functional currency of U.S. dollars each period end, resulting in a gain or loss recorded in the Statement of Loss and Comprehensive Loss.

In January 2020, the IASB published narrow scope amendments to IAS 1 Presentation of financial statements. The narrow scope amendment clarifies that liabilities are classified as either current or noncurrent, depending on the rights that exist at the end of the reporting period. As a result of the amendments to IAS 1 effective January 1, 2024 which are applied retrospectively, the Company has classified the Beedie Convertible Loan Liability and the Beedie Derivative Liability as current liabilities, due to the ability of Beedie Capital to convert all of the outstanding principal of the Beedie Convertible Loan (or a portion thereof) into Common Shares at any time. For the period of 12 months post December 31, 2024, and as long as an event of default (as defined under the terms of the Beedie Convertible Loan) has not occurred, the Company has no obligation to deliver cash to Beedie Capital other than interest payments as explained above.

Financial Statements 27

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A summary of the restatements of the Beedie Convertible Loan Liability and the Beedie Derivative Liability is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **As previously <br>reported**<br>**$** | **Adjustment**<br>**$** | **As restated**<br>**$** |
| **January 1, 2023** | **-** | **-** | **-** |
| **December 31, 2023** | **-** | **-** | **-** |
| Convertible Debt - current |  | 12567537 | 12567537 |
| Convertible debt derivative liability - current |  | 3684608 | 3684608 |
| Convertible debt - non-current | 12567537 | (12567537) |  |
| Convertible debt derivative liability - non-current | 3684608 | (3684608) |  |

---

A continuity of the Beedie Convertible Loan Liability and the Beedie Derivative Liability is as follows:

---

| | |
|:---|:---|
|  | **$** |
| Principal of the Beedie Convertible Loan | 16000000 |
| Less: Amount allocated to the Derivative Liability at initial recognition | (3680917) |
| Less: transaction costs | (441541) |
| **Liability recognized upon initial recognition** | **11877542** |
| Accrued Interest | 231075 |
| Interest paid | (231075) |
| Accrued PIK interest | 36439 |
| Accretion of discount | 87974 |
| Foreign exchange loss | 565582 |
| **Balance, December 31, 2023** | **12567537** |
| Accrued Interest | 1301227 |
| Interest paid | (1301227) |
| Accrued PIK interest | 246164 |
| Accretion of discount | 563784 |
| Foreign exchange gain | (1043982) |
| **Balance, December 31, 2024** | **12333503** |
| Amount allocated to Derivative Liability at initial recognition | 3680917 |
| Change in FVTPL | 3691 |
| **Balance, December 31, 2023** | **3684608** |
| Change in FVTPL | (399893) |
| **Balance, December 31, 2024** | **3284715** |

---

Interest expense of $2,111,175 was recognized for the year ended December 31, 2024 in relation to the Beedie Convertible Loan, of which $563,784 was accretion added to the principal balance, $488,022 was paid in shares (63,309 Common Shares at a price of C$3.50 per Common Share and 113,061 Common Shares at a price of C$4.00 per Common Share (considered to be the fair value of the shares upon issuance)), $813,205 was paid in cash, $246,164 of PIK was added to the principal balance.

Interest expense of $355,488 was recognized for the year ended December 31, 2023 in relation to the Beedie Convertible Loan, of which $87,974 was accretion added to the principal balance, $115,537 was paid in shares (43,716 common shares of the Company at a deemed value of C$3.50 per share), $115,537 was paid in cash, and $36,439 of PIK was added to the principal balance.

Financial Statements 28

------

Under the terms of the convertible loan with Beedie Capital, Versamet is subject to maintaining certain covenants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Versamet shall maintain a leverage ratio at less than or equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) 6.00:1.00 from and including October 31, 2023;

ii) 5.00:1.00 from and including March 31, 2025;

iii) 3.50:1.00 from and including March 31, 2026,

The Company was in compliance with this covenant as at December 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Versamet shall at all times maintain liquidity (comprised of cash, cash equivalents and additional advances available under the revolving credit facility described above) in an amount greater than or equal to $5,000,000. The Company was in compliance with this covenant as at December 31, 2024.

The Beedie Convertible Loan is secured by a second priority security interest in all of the Company's (and any affiliated entities as defined by the Securities Act (British Columbia)) present and after acquired property.

Sandstorm Convertible Note

A continuity of the Sandstorm Convertible Note is as follows:

---

| |
|:---|
| **Balance, December 31, 2022** |
| Accretion of discount |
| Partial conversion to shares) |
| **Balance, December 31, 2023** |
| Accretion of discount |
| Full conversion to shares) |
| **Balance, December 31, 2024** |

---

In conjunction with a purchase of assets from Sandstorm on June 28, 2022, the Company issued the Sandstorm Convertible Note with a face value of $31.4 million. The Sandstorm Convertible Note was interest-free and had a maturity date of June 28, 2032. The Sandstorm Convertible Note was secured by a third priority security interest in all of the Company's (and any affiliated entities as defined by the Securities Act (British Columbia)) present and after acquired property.

At initial recognition on June 28, 2022, the fair value of debt component of the Sandstorm Convertible Note was determined to be $14.6 million. The debt component of the Sandstorm Convertible Note is recorded at amortized cost and is accreted to the principal amount over the ten-year term using an effective interest rate. The effective interest rate was 8% upon initial recognition.

During 2023, Versamet satisfied a total of $17.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 6.76 million Common Shares to Sandstorm at a price of C$3.50 per common share. On June 5, 2024, Versamet exercised its right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares to Sandstorm. Versamet satisfied the remaining principal balance of $14.2 million by issuing 4,835,839 Common Shares to Sandstorm at a price of C$4.00 per Common Share (considered to be the fair value of the Common Shares upon issuance). The remaining principal amount (face value) outstanding under the Sandstorm Convertible Note as at December 31, 2024 is $nil.

Financial Statements 29

------

In January 2020, the IASB published narrow scope amendments to IAS 1 Presentation of financial statements. The narrow scope amendment clarifies that liabilities are classified as either current or noncurrent, depending on the rights that exist at the end of the reporting period. As a result of the amendments to IAS 1 effective the Company reclassified part of the Sandstorm Convertible Note as a current liability as at January 1, 2023. Under the terms of the Sandstorm Convertible Note, Sandstorm or Versamet can convert, in whole or in part, the Sandstorm Convertible Note into Common Shares at any time, however, Sandstorm can only hold a 34% interest in Versamet. The amount reclassified to current represents the amount which could have been converted by Sandstorm to allow for a 34% interest by Sandstorm in Versamet as at January 1, 2023. At December 31, 2023, Sandstorm owned 34% of the Company and had no ability to convert any of the Sandstorm Convertible Note and as such classified the Sandstorm Convertible Note as non-current.

A summary of the restatements of the Sandstorm Convertible Note is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **As previously <br>reported**<br>**$** | **Adjustment**<br>**$** | **As restated**<br>**$** |
| **January 1, 2023** |  |  |  |
| Convertible debt - current |  | 8830134 | 8830134 |
| Convertible debt - non-current | 15142868 | (8830134) | 6312734 |
| **December 31, 2023** |  |  |  |
| Convertible debt - current |  |  |  |
| Convertible debt - non-current | 7380872 |  | 7380872 |

---

**11.** **Share Capital and Reserves**

Authorized:

The Company is authorized to issue an unlimited number of common shares without par value.

Issued and Outstanding:

On September 12, 2025, the Company consolidated its issued and outstanding common shares on the basis of five (5) pre-consolidation common shares for each one (1) post-consolidation common share (the "Share Consolidation"). The number of common shares issuable, issue prices and exercise price, where applicable, under the Company's stock option, restricted share unit and performance restricted share unit plans were proportionately adjusted based on the ratio of the Share Consolidation. All share and per share information in these financial statements has been adjusted to reflect the Share Consolidation.

Financial Statements 30

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**2024:**

On December 31, 2024, Versamet settled $157,500 of interest owing to Beedie for the quarter ended December 31, 2024 in shares by issuing 56,637 Common Shares at a price of C$4.00 per Common Share (considered to be the fair value of the Common Shares upon issuance).

On September 30, 2024, Versamet settled $166,872 of interest owing to Beedie for the quarter ended September 30, 2024 in shares by issuing 56,424 Common Shares at a price of C$4.00 per Common Share (considered to be the fair value of the Common Shares upon issuance).

On August 13, 2024, the Company issued 3,493,969 Common Shares at C$4.00 per Common Share to B2Gold as consideration in connection with the Transaction. Further, on August 13, 2024, B2Gold subscribed for 2,556,562 Common Shares at C$4.00 per Common Share for total gross cash proceeds of $7.5 million.

On June 5, 2024, the Company issued 24,409,994 Common Shares at C$4.00 per Common Share to B2Gold as consideration in connection with the Transaction. In addition, on June 5, 2024, Versamet exercised its right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares to Sandstorm. Versamet satisfied a total of $14.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 4,835,839 Common Shares to Sandstorm at a price of C$4.00 per Common Share (considered to be the fair value of the Common Shares upon issuance) (note 10).

On March 28, 2024, Versamet settled $163,650 of interest owing to Beedie for the quarter ended March 31, 2024 in shares by issuing 63,309 Common Shares at a price of C$3.50 per Common Share (considered to be the fair value of the Common Shares upon issuance).

**2023:**

Concurrent with the transactions which closed on October 31, 2023, Regal Funds Management Pty Limited as trustee for the Regal Resources Royalties Fund ("Regal") subscribed for 6,928,500 shares of Versamet at a price of C$3.50 per share (considered to be the fair value of the Common Shares upon issuance) for total proceeds to the Company of $17.5 million. Further, on the same date, Beedie Capital subscribed for 1,583,657 Common Shares at a price of C$3.50 per Common Share (considered to be the fair value of the Common Shares upon issuance) for total proceeds of $4 million.

During the fourth quarter of 2023, Versamet acquired two royalty assets from Sandstorm for total consideration of $25 million comprising $10 million in cash and $15 million in Common Shares (5,911,487 Common Shares of the Company issued at a price of C$3.50 per share, considered to be the fair value of the Common Shares upon issuance) (note 6). Of the total shares issued, 395,914 are held in escrow subject to certain milestones being met; in the event such milestones are not met these Common Shares are returned to Versamet.

On three occasions during the year ended December 31, 2023, Versamet exercised its right under the Sandstorm Convertible Note to satisfy the principal amount outstanding under the Sandstorm Convertible Note, in whole or in part, at any time, provided no event of default has occurred, by delivering fully paid and non-assessable Common Shares of Versamet to Sandstorm. Versamet satisfied a total of $17.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 6,767,450 Common Shares of Versamet to Sandstorm at a price of C$3.50 per Common Share (note 10).

Financial Statements 31

------

In December 2023, the Company closed a financing issuing 2,301,428 Common Shares at C$3.50 per Common Share for proceeds of $6.0 million. No costs were incurred in connection with this share issuance.

Interest expense of $267,513 was recognized for the period from October 31, 2023 to December 31, 2023 in relation to the Beedie Convertible Loan, of which $115,537 was paid in shares (43,716 Common Shares at a price of C$3.50 per share (considered to be the fair value of the Common Shares upon issuance)).

Earnings per share

The weighted average number of shares which could be issued pursuant to stock options, RSUs and PRSUs which are excluded from the computation of diluted earnings (loss) per share because their effect is not dilutive in the year ended December 31, 2024, is 1,206,239 (2023 -400,000).

The weighted average number of shares which could be issued pursuant to the Beedie Convertible Loan, which are excluded from the computation of diluted earnings (loss) per share because their effect is not dilutive in the year ended December 31, 2024, is 5,320,228.

The weighted average number of shares which could be issued pursuant to the Beedie Convertible Loan and the Sandstorm Convertible Note, which are excluded from the computation of diluted earnings (loss) per share because their effect is not dilutive in the year ended December 31, 2023, is 11,212,415.

Share-based compensation

The total share-based compensation expense recorded by the Company in the year ended December 31, 2024 was $2,564,125 (2023 - $1,624,390) and is included in the share-based compensation reserve. Of this total, $225,076 relates to RSUs issued in respect of services performed by employees in 2024 and which was issued post year-end (note 18) and as such; this amount is included in Accounts payable and accrued liabilities.

---

| | | |
|:---|:---|:---|
| **Share-based Compensation** | **2024**<br>**$** | **2023**<br>**$** |
| Stock options | 697685 | 1013781 |
| Restricted Share Units | 1699805 | 444430 |
| Performance Restricted Share Units | 166635 | 166179 |
| **Total Share-based compensation expense** | **2564125** | **1624390** |

---

**Stock options**

The Company has an omnibus equity incentive plan (the "Equity Plan") which allows the Company to grant stock options to eligible employees, officers, directors and consultants at an exercise price, expiry date, and vesting conditions to be determined by the Board of Directors. The maximum expiry term is ten years from the grant date. All options are equity settled. The Equity Plan provides for the issuance of up to 10% of the Company's issued Common Shares as at the date of the grant.

On January 15, 2024, the Company granted 418,786 stock options to employees. The stock options have an exercise price of C$3.50, vest equally on the first, second and third anniversary of the grant date and have a term of five years from the date of grant.

Financial Statements 32

------

On each of February 27, 2023, March 20, 2023 and April 3, 2023, the Company issued 150,000 stock options to employees of the Company. The options have an exercise price of C$3.50 per share and expire five years from the date of grant. One-third of the option grant vest 12 months from the date of the grant, one third vest 24 months from the date of the grant and the remaining one third vest 36 months from the date of grant.

A continuity schedule for stock options is as follows: <br>

---

| | |
|:---|:---|
| **Stock Options** | **Number** |
| **Outstanding December 31, 2022** | **1,456,000** |
| Granted | 450000 |
| **Outstanding December 31, 2023** | **1,906,000** |
| Granted | 418786 |
| **Outstanding December 31, 2024** | **2,324,786** |

---

Management used the Black-Scholes Model to value the stock options granted.

The following assumptions were used to estimate the grant date <br>fair value of the stock options:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Feb. 27, 2023** | **Mar. 20, 2023** | **Apr. 3, 2023** | **Jan. 15, 2024** |
| Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
| Expected stock price volatility | 40.00% | 40.00% | 40.00% | 40.00% |
| Risk-free interest rate | 3.55% | 2.90% | 2.92% | 3.28% |
| Expected life of the options | 5 years | 5 years | 5 years | 5 years |
| Grant date fair value per option | $1.05 | $1.00 | $1.00 | $1.05 |
| Forfeiture rate | 5% | 5% | 5% | 5% |
| **Total fair value of options granted** | $**148326** | $**143439** | $**146004** | $**413859** |

---

The total share-based payment related to stock options recognized by the Company during the year ended December 31, 2024 was $697,685 (2023 - $1,013,781).

Post year-end a total of 244,571 options were forfeited (note 18).

Financial Statements 33

------

As at December 31, 2024, the Company had the following options outstanding:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Number outstanding** | **Exercisable** | **Exercise Price per Share** | **Expiry Date** | **Weighted average <br>life remaining** |
| 1256000 | 837333 | C$3.50 | September 1, 2027 | 2.67 years |
| 200000 | 133333 | C$3.50 | November 7, 2027 | 2.85 years |
| 150000 | 50000 | C$3.50 | February 27, 2028 | 3.16 years |
| 150000 | 50000 | C$3.50 | March 20, 2028 | 3.22 years |
| 150000 | 50000 | C$3.50 | April 3, 2028 | 3.26 years |
| 418786 | Nil | C$3.50 | January 15, 2029 | 4.05 years |

---

**Restricted Share Units**

The Company has a Restricted Share Unit ("RSU") incentive plan whereby the Company may grant RSUs to eligible employees, officers, directors and consultants with an expiry date and vesting conditions to be determined by the Board of Directors.

On January 15, 2024, the Company granted 327,712 RSUs to employees of the Company which vested on February 15, 2024. In addition, on January 15, 2024, the Company granted 331,114 RSUs to employees of the Company which vest in three equal parts on January 15, 2025, 2026 and 2027.

A continuity schedule for restricted share units is as follows:

---

| | |
|:---|:---|
| **Restricted Share Units** | **Number** |
| Outstanding December 31, 2022 & 2023 | 400000 |
| Granted | 658826 |
| **Outstanding December 31, 2024** | **1,058,826** |

---

The following assumptions were used to estimate the grant date fair value of the RSUs:

---

| | | |
|:---|:---|:---|
|  | **January 15, 2024**<br>**Immediate vesting** | **January 15, 2024**<br>**Gradual vesting** |
| Grant date fair value per RSU | $2.60 | $2.60 |
| **Total fair value of RSUs granted\*** | **$853671** | **$819409** |

---

\*Assumes a 5% forfeiture rate for RSUs which did not vest during the quarter ended March 31, 2024.

The grant date fair value of the RSUs is determined using the market value of the underlying Common Shares at the date of the grant and is adjusted based on the number of RSUs expected to ultimately vest. The total share-based payment expense recognized by the Company related to RSUs during the year ended December 31, 2024 was $1,699,805 (2023 - $444,430).

The holders of the RSUs have the right to defer receipt of the Common Shares underlying the RSUs upon vesting. All RSUs are currently deferred.

Post year-end a total of 144,875 RSUs were forfeited (note 18).

Financial Statements 34

------

**Performance Restricted Share Units**

The Company has a Performance Restricted Share Unit ("PRSU") incentive plan whereby the Company may grant PRSUs to eligible employees, officers, directors and consultants with an expiry date and vesting conditions to be determined by the Board of Directors. As at December 31, 2024 and 2023, the Company had 400,000 PRSUs outstanding.

The total share-based payment expense recognized by the Company related to PRSUs during the year ended December 31, 2024 was $166,635 (2023 - $166,179).

Post year-end all 400,000 PRSUs were forfeited (note 18).

**12.** **Taxation**

Reconciliation of Effective Tax Rate

The income tax amounts disclosed below are based on the tax positions of the Company for the periods presented. The Company is subject to Canadian federal and provincial tax for the estimated assessable profit for the years ended December 31, 2024 and 2023 at a rate of 27%. The Company had no assessable profit in Canada for all periods disclosed.

The tax expense at statutory rates for the Company can be reconciled to the reported loss for the years per the Statement of Loss and Comprehensive Loss as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Net loss before income taxes | (873433) | (2504924) |
| Statutory income tax rate | 27% | 27% |
| **Expected income tax recovery at the statutory rate** | **(235827)** | **(676329)** |
| Withholding taxes on royalty revenue | 509132 | 434788 |
| Non deductible expenses | 1451862 | 799365 |
| Change in unrecognized tax assets | (151450) | 61400 |
| **Total income tax expense** | **1573717** | **619224** |

---

The breakdown of the income tax expense during the following years is as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Current income tax expense | 509132 | 434788 |
| Deferred income tax expense | 1064585 | 184436 |
| **Total income tax expense** | **1573717** | **619224** |

---

Financial Statements 35

------

The current tax expense was incurred as a withholding tax payable on the royalty earned from the Mercedes Mine. In January 2023, the Company filed an election with the Canada Revenue Agency to have a US dollar functional currency for tax purposes. The Company's corporate tax returns for the year ended December 31, 2023, and thereafter, will be filed in US dollars.

Deferred Income Taxes

As at December 31, 2024 and 2023, the significant components of the Company's recognized deferred tax assets and liabilities are as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Royalty and other interests | (1290717) | (1282846) |
| Resource pools and other | (5101567) | (1161262) |
| Debt | (171727) | (264537) |
| Share issuance costs | 209560 | 280475 |
| Interest and finance deductions | 726218 |  |
| Non-capital losses | 4166268 | 2030790 |
| **Total recognized net deferred tax liabilities** | **(1461965)** | **(397380)** |

---

As at December 31, 2024 and 2023, the significant components of the Company's unrecognized deferred tax assets are as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Resource pools and other | 6945 | 177546 |
| Investments | 50855 | 173969 |
| Capital losses | 256860 | 114595 |
| Non-capital losses | 37806 | 37806 |
| **Total unrecognized deferred income tax assets** | **352466** | **503916** |

---

In assessing the recoverability of deferred tax assets other than deferred tax assets resulting from the initial recognition of assets and liabilities that do not affect accounting or taxable profit, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible.

Tax attributes are subject to revision and potential adjustment by tax authorities.

Financial Statements 36

------

The non-capital loss tax attributes as at December 31, 2024:

The Company has non-capital loss tax attributes of $10,797,956 which expire 2029 - 2044 as follows:

---

| | |
|:---|:---|
| **Years of Expiry** | **Losses**<br>**$** |
| 2029 - 2038 | 135754 |
| 2039 - 2043 | 8060670 |
| 2044 | 7374224 |
| **Total** | **15570648** |

---

**13.** **Related Party Transactions**

Related parties are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, either directly or indirectly. Related parties of the Company include the members of the Board of Directors, officers of the Company, close family members of these individuals, and any companies controlled by these individuals.

**Sandstorm**

Effective June 28, 2022, Sandstorm is considered to be a related party of the Company as a result of Versamet being an associate of this entity (as a result Sandstorm's share ownership in the Company) and the ability of Sandstorm to nominate a representative to the board of directors of the Company.

The Company acquired two royalty assets from Sandstorm during the year ended December 31, 2023. The Company had the Sandstorm Convertible Note outstanding with Sandstorm which was fully converted during the year ended December 31, 2024; as such the balance remaining on the Sandstorm Convertible Note as at December 31, 2024 is $nil (note 10).

**Equinox**

Effective June 28, 2022, Equinox was considered to be a related party of the Company as a result of its share ownership in Versamet. Effective June 5, 2024, and concurrent with the share issuance to B2Gold (note 6), Equinox's share ownership percentage was reduced, and it was determined that it no longer had significant influence over the Company and accordingly effective June 5, 2024 is no longer considered to be a related party of Versamet.

The Company entered into the Greenstone gold interest with Equinox during the year ended December 31, 2023 (note 4).

**B2Gold**

As a result of the Transaction (note 6), effective June 5, 2024, B2Gold is considered to be related party of the Company as a result of Versamet being an associate of this entity (as a result of their share ownership in the Company) and the ability of B2Gold to nominate a representative to the board of directors of the Company.

Financial Statements 37

------

Compensation of Key Management Personnel:

Key management personnel include persons having the authority and responsibility for planning, directing, and controlling the activities of the Company as a whole. Versamet considers its Board of Directors, as well as the Chief Executive Officer ("CEO") and Chief Financial Officer ("CFO") to be key management personnel. See note 18.

During the years ended December 31, 2024 and 2023, the Company's compensation cost for key management personnel was as follows:

---

| | | |
|:---|:---|:---|
|  | **Year ended**<br>**December 31, 2024**<br>**$** | **Year ended**<br>**December 31, 2023**<br>**$** |
| Salaries and benefits | 850264 | 433274 |
| Share-based compensation | 1134088 | 1065025 |
| **Total** | **1984352** | **1498299** |

---

Financial Statements 38

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**14.** **Segmented Information**

The Company's reportable operating segments, which are components of the Company's business where separate financial information is available and which are evaluated on a regular basis by the Company's CEO, who is the Company's chief operating decision maker, for the purpose of assessing performance, are summarized in the tables below. The Company's operating segments are considered to be its individual royalties, streams and the Greenstone gold interest and the segment measure of profit or loss is Income (loss) before taxes.

For the year ended December 31, 2024:

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Segment, Location** | **Details%** | **Product** | **Revenue<sup>3</sup>**<br>**$** | **Cost of sales <sup>2</sup>**<br>**$** | **Depletion**<br>**$** | **Change in <br>fair value of <br>Greenstone <br>gold interest**<br>**$** | **Impairment**<br>**$** | **Income <br>(loss) <br>before <br>taxes**<br>**$** | **Cash flow <br>from <br>operating <br>activities**<br>**$** |
| Greenstone, Canada | 1.26 | Au | 9988125 | (9989438) |  | 14059716 |  | 14058403 | 7990237 |
| Kiaka, Burkina Faso | 2.7% | Au |  |  |  |  |  |  |  |
| Toega, Burkina Faso | 2.7% | Au |  |  |  |  |  |  |  |
| Mocoa, Colombia | 2.0% | Cu, Mo |  |  |  |  |  |  |  |
| El Pilar, Mexico | 1 | Cu |  |  |  |  |  |  |  |
| Mercedes, Mexico | 2 | Au, Ag | 2036523 |  | (842729) |  | (8350000) | (7156206) | 2036523 |
| Vittangi, Sweden | 1 | Graphite |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 2 | Zn, Ag, Cu, Pb, Au |  |  |  |  |  |  |  |
| Blackwater, Canada | 0.21 | Au, Ag |  |  |  |  |  |  |  |
| Prairie Creek, Canada | 1.2 | Zn, Pb, Ag |  |  |  |  |  |  |  |
| Pilar, Brazil | 1 | Au |  |  |  |  |  |  |  |
| Mason, Nevada | 0.4 | Cu, Au, Mo, Ag |  |  |  |  |  |  |  |
| Converse, Nevada | 1 | Au, Ag |  |  |  |  |  |  |  |
| Cuiú Cuiú, Brazil | 1.5 | Au |  |  |  |  |  |  |  |
| Other | Various | Various |  |  |  |  |  |  |  |
| **Total segments** |  |  | **12024648** | **(9989438)** | **(842729)** | **14059716** | **(8350000)** | **6902197** | **10026760** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  |  |  | (5524560) | (2960435) |
| Foreign exchange (loss) income |  |  |  |  |  |  |  | 779957 | (16582) |
| Finance and interest expense net of interest income |  |  |  |  |  |  |  | (3430920) |  |
| Change in fair value of derivative liability |  |  |  |  |  |  |  | 399893 |  |
| Income tax paid |  |  |  |  |  |  |  |  | (509132) |
| Movement in working capital |  |  |  |  |  |  |  |  | 856851 |
| **Total Corporate** |  |  | **-** | **-** | **-** | **-** | **-** | **(7775630)** | **(2629298)** |
| **Segments & Corporate total** |  |  | **12024648** | **(9989438)** | **(842729)** | **14059716** | **(8350000)** | **(873433)** | **7397462** |

---

1. Includes all operating expenses from the Statement of Loss and Comprehensive Loss with the exception of impairment charges and the change in value of the Greenstone gold interest (and excludes share-based compensation and impairment charges from cash flow from operating activities).

Financial Statements 39

------

2. Cost of sales include cost of sales for the Greenstone gold interest consisting of a $2.0 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $8.0 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

3. Revenue from the Mercedes royalty is from one customer. The gold received from the Greenstone GPA was sold to one customer.

For the Year Ended December 31, 2023:

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| <br>**Segment, <br>Location** | <br>**Details%** | <br>**Product** | <br>**Revenue<sup>3</sup>**<br>**$** | <br>**Cost of sales <sup>2</sup>** <br>**$** | <br>**Depletion**<br>**$** | **Change in fair <br>value of <br>Greenstone gold <br>interest**<br>**$** | <br>**Impairment**<br>**$** | **Income <br>(loss) <br>before <br>taxes**<br>**$** | **Cash flow <br>from <br>operating <br>activities**<br>**$** |
| Greenstone, Canada | 1.26 | Au | 1400525 | (1396675) |  | 4834977 |  | 4838827 | 1121190 |
| El Pilar, Mexico | 1 | Cu |  |  |  |  |  |  |  |
| Mercedes, Mexico | 2 | Au, Ag | 1739152 |  | (900537) |  |  | 838615 | 1739152 |
| Vittangi, Sweden | 1 | Graphite |  |  |  |  |  |  |  |
| Hackett River, Nunavut | 2 | Zn, Ag, Cu, Pb, Au |  |  |  |  |  |  |  |
| Blackwater, Canada | 0.21 | Au, Ag |  |  |  |  |  |  |  |
| Prairie Creek, Canada | 1.2 | Zn, Pb, Ag |  |  |  |  |  |  |  |
| Pilar, Brazil | 1 | Au |  |  |  |  | (2447779) | (2447779) |  |
| Mason, Nevada | 0.4 | Cu, Au, Mo, Ag |  |  |  |  |  |  |  |
| Converse, Nevada | 1 | Au, Ag |  |  |  |  |  |  |  |
| Cuiu Cuiu, Brazil | 1.5 | Au |  |  |  |  |  |  |  |
| Other | Various | Various |  |  |  |  |  |  |  |
| **Total segments** |  |  | **3139677** | **(1396675)** | **(900537)** | **4834977** | **(2447779)** | **3229663** | **2860342** |
| Operating expenses <sup>**1**</sup> |  |  |  |  |  |  |  | (3446315) | (1821924) |
| Foreign exchange (loss) income |  |  |  |  |  |  |  | (386475) | (4232) |
| Finance and interest expense net of interest income |  |  |  |  |  |  |  | (1898106) |  |
| Change in fair value of derivative liability |  |  |  |  |  |  |  | (3691) |  |
| Income tax paid |  |  |  |  |  |  |  |  | (434788) |
| Movement in working capital |  |  |  |  |  |  |  |  | 21875 |
| **Total Corporate** |  |  | **-** | **-** | **-** | **-** | **-** | **(5734587)** | **(2239069)** |
| **Segments & Corporate total** |  |  | **3139677** | **(1396675)** | **(900537)** | **4834977** | **(2447779)** | **(2504924)** | **621273** |

---

Financial Statements 40

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1. Includes all operating expenses from the Statement of Loss and Comprehensive Loss with the exception of impairment charges and the change in value of the Greenstone gold interest (and excludes share-based compensation and impairment charges from cash flow from operating activities).

2. Cost of sales include cost of sales for the Greenstone gold interest consisting of a $0.3 million cash payment to Equinox for gold delivered (at a cost per oz of gold equal to 20% of the prevailing market price) and a $1.1 million non-cash partial settlement of the Greenstone gold interest due to the gold delivered in the period.

3. Revenue from the Mercedes royalty is from one customer. The gold received from the Greenstone GPA was sold to one customer.

Total Non-Current Assets by Segment

---

| | | |
|:---|:---|:---|
|  | **Dec. 31, 2024**<br>**$** | **Dec. 31, 2023**<br>**$** |
| **Investments** |  |  |
| Sun Peaks Metals Corp | 729981 | 594657 |
| Montage Gold Corp. |  | 1067842 |
| **Total Investments** | **729981** | **1662499** |
| **Royalty & Other Assets** |  |  |
| Greenstone gold interest | 54658056 | 50585948 |
| Kiaka, Burkina Faso | 58730390 |  |
| El Pilar, Mexico | 17489892 | 17489892 |
| Mercedes, Mexico | 6231494 | 15424223 |
| Vittangi, Sweden | 15000000 | 15000000 |
| Hackett River, Nunavut | 14716000 | 14716000 |
| Toega, Burkina Faso | 11204338 |  |
| Mocoa, Colombia | 10000000 |  |
| Blackwater, Canada | 7537623 | 7537623 |
| Prairie Creek, Canada | 7514000 | 7514000 |
| Mason, Nevada | 4876000 | 4876000 |
| Converse, Nevada | 4391000 | 4391000 |
| Pilar, Brazil | 3350000 | 3350000 |
| Cuiú Cuiú, Brazil | 2070000 | 2070000 |
| Primavera, Nicaragua | 1391058 |  |
| Other | 904208 | 294172 |
| **Total Royalty & other assets** | **220064059** | **143248858** |
| **Total** | **220794040** | **144911357** |

---

Financial Statements 41

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Total Non-Current Assets by Geographic Region

---

| | | |
|:---|:---|:---|
|  | **Dec. 31, 2024**<br>**$** | **Dec. 31, 2023**<br>**$** |
| North America | 117414065 | 122534686 |
| Africa | 70664709 | 1662499 |
| Central and South America | 16811058 | 5420000 |
| Europe | 15000000 | 15000000 |
| Other | 904208 | 294172 |
| **Total** | **220794040** | **144911357** |

---

For the year-ended December 31, 2024 and 2023, the Company's sources of revenue were the GPA and the Mercedes royalty asset; both of which represent > 10% of the Company's total revenue.

**15.** **Supplemental Cash Flow Information**

During the year ended December 31, 2024, Versamet issued 27,903,963 Common Shares, to B2Gold to acquire a portfolio of royalty assets (notes 6 and 11).

During the year ended December 31, 2024, Versamet satisfied a total of $14.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 4,835,839 Common Shares to Sandstorm at a price of C$4.00 per Common Share (notes 10 and 11).

During the year ended December 31, 2024, the Company issued 176,370 Common Shares, respectively, to Beedie Capital (at a price of C$4.00 per share or C$3.50 per share; considered to be the fair value of the Common Shares upon issuance) as settlement for $488,022, in interest payments on the Beedie Convertible Loan (notes 10 and 11).

During the year ended December 31, 2023, the Company issued 43,716 common shares to Beedie Capital at a deemed value of C$3.50 per share as settlement for $115,537 in interest payments on the Beedie Convertible Loan (notes 10 and 11).

During the year ended December 31, 2023, Versamet satisfied a total of $17.2 million of the principal amount outstanding under the Sandstorm Convertible Note by issuing 6,767,450 million common shares of Versamet to Sandstorm at a price of C$3.50 per common share (notes 10 and 11).

**16.** **Financial Instruments**

As at December 31, 2024, the Company's financial instruments consist of cash and cash equivalents, trade and other receivables, investments, the Greenstone gold interest, accounts payable, the Beedie Convertible Loan Liability, the Beedie Derivative Liability and the RCF. The Company classifies cash and cash equivalents and trade and other receivables as financial assets held at amortized cost; the Company holds its investments at FVTOCI. The Company classifies accounts payable, the RCF and the Beedie Convertible Loan Liability as other financial liabilities and they are held at amortized cost. The Greenstone gold interest and the Beedie Derivative Liability are both carried at FVTPL.

Financial Statements 42

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The fair value hierarchy establishes three levels to classify the inputs of valuation techniques used to measure fair value. The three levels of the fair value hierarchy are below:

**Level 1** - fair values based on unadjusted quoted prices in active markets for identical assets or liabilities;

**Level 2** - fair values based on inputs that are observable for the asset or liability, either directly or indirectly; and

**Level 3** - fair values based on inputs for the asset or liability that are not based on observable market data.

The Company presents its investments at fair value (note 5) and has classified these as Level 1 in the fair value hierarchy. The Greenstone gold interest, the Beedie Convertible Loan Liability, the RCF and the Beedie Derivative Liability are considered to be Level 3. The fair value of all of the Company's other financial instruments approximate their carrying values as at December 31, 2024 and December 31, 2023 due to their short-term nature.

The Company's policy for determining when a transfer occurs between levels in the fair value hierarchy is to assess the impact at the date of the event or the change in circumstances that could result in a transfer. There were no transfers between the levels during the years ended December 31, 2024 and December 31, 2023.

The risk exposure arising from these financial instruments is summarized as follows:

Credit risk

Credit risk is the risk of potential loss to the Company if the counterparty to a financial instrument fails to meet its contractual obligations. The Company's credit risk is limited to the carrying value of its cash and cash equivalents and trade and other receivables. The Company's trade and other receivables are subject to the credit risk of the counterparties who own and operate the mines underlying Versamet's royalty and other assets portfolio. In order to mitigate its exposure to credit risk, the Company monitors its financial assets and holds its cash with a highly rated Canadian financial institution.

Management continues to believe that due to operational challenges at the Pilar Mine (note 7) that there remains a significant credit risk with respect to amounts owing to the Company under its Pilar royalty interest. The Company recorded an impairment of accounts receivable of $0.4 million related to its Pilar royalty interest as at March 31, 2023, which represented the amounts outstanding as at December 31, 2022. The Company has not recognized any revenue or an associated receivable related to the Pilar royalty payable during the years ended December 31, 2023 or 2024 in respect of the Pilar royalty interest.

Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company's approach to managing liquidity risk is to have in place a planning and budgeting process to ensure that it will have sufficient liquidity to meet liabilities when due in the normal course of operations. In assessing liquidity risk, the Company takes into account its cash and expected income from royalties and the Greenstone gold interest. In addition, Versamet also holds common shares in Sun Peak (note 5) with a fair market value of $0.7 million at December 31, 2024 (the daily exchange traded volume of these common shares may be insufficient for the Company to liquidate its position in a short period of time without affecting the market value of the common shares).

The Company's ability to continue to meet its liabilities when due, beyond the current cash balance, may be dependent on public or private equity offerings.

Financial Statements 43

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The following table shows Company's contractual obligations as they fall due as at December 31, 2024 and December 31, 2023:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Within 1 year**<br>**$** | **1-5 years**<br>**$** | **Over 5 years**<br>**$** | **Total**<br>**Dec. 31, 2024**<br>**$** | **Total**<br>**Dec. 31, 2023**<br>**$** |
| Accounts payable and accrued liabilities | 1232088 |  |  | 1232088 | 226024 |
| Sandstorm Convertible Note <sup>**1**</sup> |  |  |  |  | 14186546 |
| Beedie Convertible Loan <sup>**2**</sup> | 1261527 | 20522659 |  | 21784186 | 25047324 |
| BMO RCF <sup>**2**</sup> | 76474 | 1076474 |  | 1152948 | 25416602 |
| **Total** | **2570089** | **21599133** | **-** | **24169222** | **64876496** |

---

1. The Sandstorm Convertible Note was fully converted to shares on June 5, 2024 (note 10).

2. The Beedie Convertible Loan and the BMO RCF estimated interest amounts are included in the table above. In accordance with the Beedie Convertible Loan, a proportion of the interest expense included in the table above can be paid in Common Shares. The Company presents the Beedie Convertible Loan as a current liability due to the ability of Beedie Capital to convert all of the outstanding principal into Common Shares at any time, however, the table above shows contractual cash flow obligations.

Market risk

Market risk is the risk that changes in market prices, such as commodity price risk, foreign exchange rates, interest rates and equity prices will affect the Company's income or the value of its holdings or financial instruments.

Commodity price risk is the risk that the fair value or future cash flows of the Company's financial instruments will fluctuate because of changes in market prices. Commodity prices can be subject to volatile price movements, which can be material and can occur over short periods of time and are affected by numerous factors, all of which are beyond the Company's control.

Financial instruments that impact net income (loss) and comprehensive income (loss) of the Company due to currency fluctuations include cash and cash equivalents, investments, the Beedie Convertible Loan, and trade and other payables denominated in Canadian dollars. Based on the Company's Canadian dollar monetary assets and monetary liabilities as at December 31, 2024, a 10% increase or decrease in the Canadian dollar relative to the United States dollar would have an approximate impact of $1.3 million on net income (loss) and total comprehensive income (loss) as at December 31, 2024.

The Company is exposed to other price risk as a result of its investment in Sun Peak. The Company does not actively trade this investment. The equity prices of long-term investments are impacted by a variety of factors including commodity prices and volatility in global markets. Based on the Company's investment in Sun Peak held at December 31, 2024, a 10% increase or decrease in the value of this investments would increase or decrease other comprehensive income (loss) by approximately $66,000 and would have no impact on profit or loss for the year ended December 31, 2024.

The Company is exposed to commodity price movements as a result of the GPA (note 4). The Company holds the GPA at FVTPL. The fair value is calculated using a series of inputs into a discounted cash flow including the gold price. A 10% increase or decrease in the gold price used in the valuation as at December 31, 2024 would increase or decrease net loss and total comprehensive loss by $6.2 million.

Financial Statements 44

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**17.** **Capital Management**

The Company manages its capital structure and adjusts it, based on the funds available to the Company, in order to support its' activities, continue as a going concern and maximize its return to stakeholders. The Company considers capital to be all accounts in equity and all borrowings of the Company (the Beedie Convertible Loan and the RCF). The Company is subject to certain covenants under the RCF and Beedie Convertible Loan (notes 9 & 10); at December 31, 2024 the Company was in compliance with all covenants. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of management to maintain an appropriate liquidity profile to allow management to execute on its strategic plan. Additional funds may be required to finance the Company's operations in the future.

**18.** **Subsequent Events**

On January 15, 2025, the Company granted 794,817 stock options to employees. The stock options have an exercise price of C$4.00, vest equally on the first, second and third anniversary of the grant date and have a term of five years from the date of grant.

On January 15, 2025, the Company granted 258,125 RSUs to employees of the Company which vest in three equal parts on January 15, 2026, 2027 and 2028.

On January 15, 2025, the Company granted 80,938 RSUs to employees of the Company which vest immediately upon grant. These RSUs were issued as compensation relating to services performed in 2024 (note 11).

All RSUs issued have been deferred in accordance with the Company's Equity Plan for a period of at least 12 months.

On February 10, 2025, the Company repaid the remaining $1 million outstanding on the RCF, leaving $nil drawn down on this facility (note 9).

On February 28, 2025, the CEO of the Company (a member of key management personnel) resigned.

On April 1, 2025, the Company granted 400,000 RSUs and 400,000 PRSUs to a member of management. The RSUs vest in three equal parts on April 1, 2025, April 1, 2026 and April 1, 2027. The PRSUs have both time and performance-based vesting conditions, both of which must be met for them to vest. The Company's 40-day VWAP must be greater than or equal to $7.00 at any time prior to April 1, 2028 for vesting to occur, and no PRSUs will vest prior to April 1, 2026.

On April 30, 2025, Versamet entered into an amending agreement with the BMO and NBC to amend and increase the size of the Company's secured RCF to $60 million with a $15 million accordion feature. The new RCF will have a maturity date of April 30, 2028 and includes an approximate 25 basis point reduction to the drawn interest spread, among other changes that will benefit Versamet. Additionally, and contemporaneously with the closing of the RCF, Versamet has fully repaid the convertible loan facility with Beedie Capital by paying a total of C$26,084,680 (being the principal outstanding and the make-whole fee owing for early repayment) to Beedie Investments Ltd.

On May 1, 2025, the Company completed the acquisition of a $35 million copper stream on the Huachocolpa Uno mine ("Kolpa") from Endeavour Silver Corp. and certain of its wholly-owned subsidiaries (collectively "Endeavour Silver"), in conjunction with Endeavour Silver's acquisition of all the outstanding shares of Compañía Minera Kolpa S.A.

Financial Statements 45

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On May 9, 2025, 52,925 RSUs with $nil exercise price were redeemed for common shares.

On May 9, 2025, the Company granted 259,000 stock options to members of management. The options have an exercise price of $4.00 and vest in three equal parts on the first, second and third anniversary of the grant. The total fair value of the options upon issuance was $0.3 million.

On May 12, 2025, the Company granted 250,000 stock options to directors of the Company. The options have an exercise price of $4.00 and vest in three equal parts on the first, second and third anniversary of the grant.

On May 12, 2025, the Company granted 37,500 RSUs to directors of the Company. The RSUs have $nil exercise price and vest in three equal parts on the first, second and third anniversary of the grant.

On May 14, 2025, the Company filed a final long form prospectus with the British Columbia Securities Commission and the Company's shares started trading on the TSX Venture Exchange on May 20, 2025.

On September 12, 2025, the Company completed the Share Consolidation. As of that date, the 466,836,693 common shares issued and outstanding prior to the Share Consolidation were consolidated to 93,367,340 common shares. All share and per share information in these financial statements has been adjusted to reflect the Share Consolidation.

On September 24, 2025, Versamet acquired a 90% silver stream on Rosh Pinah Zinc and a 2.75% NSR Royalty on Santa Rita for a total of $125 million in cash consideration. In addition, Versamet has agreed to pay up to an additional $45 million in cash consideration upon certain milestones being achieved at Santa Rita. Both the silver stream and NSR Royalty have an Effective Date of July 1, 2025.

In connection with completing the acquisition of the silver stream and NSR royalty on September 24, 2025, the Company amended its credit facility agreement to increase its revolving credit facility to $100 million with a $25 million accordion feature and add a new $80 million term loan facility (the "TL"). The TL is repayable in quarterly instalments of $7.5 million commencing on March 31, 2026, with a final bullet payment of $20 million at maturity on March 31, 2028. The RCF matures on April 30, 2028.

Financial Statements 46

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## Exhibit 4.13

------

CERTAIN IDENTIFIED INFORMATION HAS BEEN EXCLUDED FROM THIS EXHIBIT BECAUSE IT<br>IS BOTH (I) NOT MATERIAL AND (II) IS THE TYPE THAT THE REGISTRANT TREATS AS<br>PRIVATE OR CONFIDENTIAL. REDACTED TERMS IN THIS EXHIBIT ARE DESIGNATED BY [\*].

EXECUTION VERSION

**Silver Stream Agreement**

between

RP SP (Jersey) Ltd

as the Original Purchaser

and

RP FC (Jersey) Ltd

as Seller

------

**CONTENTS**

---

| | |
|:---|:---|
| [1. INTERPRETATION](#page_3) | [2](#page_3) |
| [2. PURCHASE AND SALE](#page_33) | [32](#page_33) |
| [3. PREPAYMENT](#page_38) | [37](#page_38) |
| [4. TERM](#page_41) | [40](#page_41) |
| [5. REPORTING; BOOKS AND RECORDS; INSPECTIONS](#page_41) | [40](#page_41) |
| [6. COVENANTS](#page_45) | [44](#page_45) |
| [7. TRANSFERS OF INTERESTS AND ASSIGNMENT](#page_52) | [51](#page_52) |
| [8. SECURITY AND GUARANTEES](#page_56) | [55](#page_56) |
| [9. REPRESENTATIONS AND WARRANTIES](#page_59) | [58](#page_59) |
| [10. SELLER EVENTS OF DEFAULT AND MATERIAL BREACH EVENTS](#page_64) | [63](#page_64) |
| [11. PURCHASER EVENTS OF DEFAULT](#page_72) | [71](#page_72) |
| [12. TAXES](#page_75) | [74](#page_75) |
| [13. INDEMNITIES](#page_78) | [77](#page_78) |
| [14. GENERAL](#page_80) | [79](#page_80) |
| [SCHEDULE 1 ORIGINAL PURCHASER](#page_89) | [88](#page_89) |
| [SCHEDULE 2 FORM OF SELLER EVENT OF DEFAULT/ MATERIAL BREACH EVENT NOTICE](#page_90) | [89](#page_90) |
| [SCHEDULE 3 FORM OF STREAM TRANSFER CERTIFICATE](#page_91) | [90](#page_91) |

---

i

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<u>**THIS AGREEMENT**</u> is dated 22 November 2024 and made

<u>**BETWEEN:**</u>

(1) RP SP (Jersey) Ltd, registered in Jersey with company number [*Redacted - Personal Information*] as original purchaser (the "<u>**Original Purchaser**</u>"<u>**);**</u> and

(2) RP FC (Jersey) Ltd, (the "<u>**Seller**</u>"<u>**),**</u> registered in Jersey with company number [*Redacted - Personal Information*]

**BACKGROUND:**

WHEREAS the Seller has agreed to sell to the Purchaser, and the Purchaser has agreed to purchase from the Seller, Refined Silver, subject to and in accordance with the terms and conditions of this Agreement; and

NOW THEREFORE in consideration of the mutual covenants and agreements herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the Parties hereto, the Parties mutually agree as follows:

**1.** <u>**INTERPRETATION**</u>

**1.1** **Definitions**

In this Agreement, including in the recitals and schedules hereto:

"<u>Abandonment Property</u>" has the meaning given to it in Clause 6.8.

"<u>Access</u> <u>and Lease Agreement</u>" means each of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the access and lease agreement dated 7 September 2024 between the Borrower and Mr Nicolaas Petrus Kotze in respect of, amongst other things, certain access rights of the Borrower for the purposes of the Exploration Mining Licence, as amended on 30 September 2024 to include certain access rights of the Borrower for the purposes of the Mining Licence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the ancillary rights agreement dated 21 July 2022 between the Borrower and [*Redacted - Personal Information*] in respect of, amongst other things, certain access rights of the Borrower for the purposes of the Exploration Mining Licence, as amended on 27 September 2024 to include certain access rights of the Borrower for the purposes of the Mining Licence; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any other access and lease agreement and/or ancillary rights agreement entered into by the Borrower in respect of access rights of the Borrower for the purposes of the Exploration Mining Licence.

"<u>Additional Intra-Group Loan Guarantee</u>" means any guarantee entered into pursuant to Clause 7.2(8).

"<u>Additional</u> <u>Intra-Group</u> <u>Loan</u> <u>Guarantor''</u> means any guarantor pursuant to an Additional Intra-Group Loan Guarantee.

"<u>Additional</u> <u>Shared</u> <u>Collateral</u>" means, subject to the terms of the lntercreditor Agreement, any Encumbrance created in favour of the Security SPV in connection with the terms of a Senior Financing (other than pursuant to the Common Security Documents or pursuant to Clause 7.6 or 8.2(A)).

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"<u>Additional</u> <u>Shared</u> <u>Senior</u> <u>Security</u> <u>Document</u>" means a security agreement (howsoever described) entered into in respect of Additional Shared Collateral.

"<u>Adjustment</u> <u>Dispute Notice</u>" means a written notice from the Seller to the Purchaser that the Seller does not agree with any of the contents or the basis for any Adjustment Notice.

"<u>Affiliate</u>" means, with respect to any Person, any other Person that, directly or indirectly through one or more intermediaries, Controls, or is Controlled by, or is under common Control with, such person.

"<u>Aggregate</u> <u>Net Value of Refined Silver Delivered</u>" means the aggregate sum of all Net Monthly Values of Refined Silver Delivered.

"<u>Agreement</u>" means this purchase and sale agreement and all attached schedules, in each case as the same may be amended, restated, amended and restated, supplemented, modified or superseded from time to time in accordance with the terms hereof.

"<u>ANR</u> <u>RP</u>" means ANR RP Limited, a private limited company incorporated in England and Wales with company number [*Redacted - Personal Information*]

"<u>Anti-Corruption</u> <u>Laws</u>" means the United Kingdom Bribery Act 2010, and the United States Foreign Corrupt Practices Act of 1977, the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions of 17 December 1997 (which shall each be deemed, for the purposes of this Agreement, to apply to each Group Member as if it was subject to such laws in all respects) and all other laws, rules, and regulations of any jurisdiction applicable to the Project Entities from time to time concerning or relating to bribery or corruption, including without limitation the Anti-Corruption Act, 2003.

"<u>Anti-Corruption</u> <u>Policy</u>" means the anti-bribery and anti-corruption policy of the Project Company with effect on and as from the date of this Agreement, as the same may be amended, revised, supplemented or replaced from time to time in accordance with Clause 6.3.

"<u>Anti-Money Laundering Laws</u>" means any applicable anti-money laundering, anti-terrorist financing, government sanction and 'Know Your Client' Applicable Laws, whether within the Republic of Namibia or, to the extent applicable to a Group Member, elsewhere, including any regulations, guidelines or orders thereunder.

"<u>Applicable</u> <u>Law</u>" means any law (including constitutional, statutory, common law and equity), legislation or statute including any international or other treaty, any domestic or foreign constitution or any multinational, federal, provincial, territorial, state, municipal, county or local statute, law, ordinance, code, rule, regulation, Order (including any securities laws or requirements of stock exchanges and any consent, decree or administrative Order), or Licence of a Governmental Body, including any change in the interpretation of, or application of any of the foregoing (including the characterisation or re-characterisation of any of the Stream Documents and the transactions contemplated thereunder), in each case to the extent applicable to and legally binding upon or having the force of law over any specified Person, property, transaction or event, or any of such Person's property or assets.

------

"<u>Appointing Authority</u>" means the Institute of Chartered Accountants of England and Wales pursuant to the "President's Appointments Scheme".

"<u>Arbitration</u> <u>Rules</u>" has the meaning given to it in Clause 14.1.

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

"<u>Business</u>" means the business of the Project Company as set forth in the Mine Plan, being developing, constructing, owning, operating, and extracting mineral resources from, the Mine (including the ownership of all assets and possession of Licences and rights (including the Mining Licence through the Operating Agreement) required for, such business).

"<u>Business</u> <u>Day</u>" means any day, other than: (A) a Saturday, Sunday or statutory holiday in any one or more of Johannesburg, Windhoek, London or New York; or (B) a day on which banks are generally closed in any one of those cities.

"<u>Cash</u> <u>Price</u>" means 10% of the Silver Market Price on the relevant Delivery Date.

"<u>Change</u> <u>of Control</u>" of a Person (the "<u>Subject</u> <u>Person</u>"<u>)</u> means the consummation of any transaction or related series of transactions, including any consolidation, business combination, arrangement, amalgamation or merger or any issue, Transfer or acquisition of securities, the result of which is that any other Person (other than an Affiliate of the Subject Person) or group of other Persons (other than an Affiliate of the Subject Person) acting jointly or in concert for purposes of such transaction or related series of transactions acquires Control, directly or indirectly, of the Subject Person or otherwise acquires Control, directly or indirectly and including by acting with a group of other Persons, of the Subject Person; provided that a Change of Control of any Group Member or Purchaser shall not include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a change in the beneficial ownership of voting securities of any of the Project Entities or the Purchaser (or a holding company thereof), or acquisition of Control of the Project Entities or the Purchaser (or a holding company thereof), if the common shares of any of the Project Entities or the Purchaser (or a holding company thereof) are listed on a public securities exchange at the completion of such transaction (after which, in relation to the Project Entities, such listed entity shall be regarded as the "<u>Parent");</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) a change in the beneficial ownership of voting securities of the Parent or the Purchaser or a listed holding company of the Purchaser if such securities were listed on a public securities exchange immediately prior to the completion of such transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) acquisition of Control of the Parent or the Purchaser or any listed holding company of the Purchaser, if such change or acquisition results from the acquisition by a Person or Persons acting in concert of more than 50% of the voting securities of the Parent or the Purchaser or holding company, which were listed on a public securities exchange immediately prior to the completion of such transaction; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) a change of Control of Appian Natural Resources Fund Ill LP or Appian Natural Resources (UST) Fund Ill LP,

------

if, in respect of paragraphs (A)-(C), any Person, or Persons acting in concert, acquiring such securities and/or interests is not at the time of any such acquisition a Sanctioned Person.

"<u>Collateral</u>" means, subject to the terms of the lntercreditor Agreement, and subject to and as specified in the relevant Security Documents:

[*Redacted - Commercially Sensitive Information*] [Redacted- Commercially Sensitive Information]

[*Redacted - Commercially Sensitive Information*] [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*] [*Redacted - Commercially Sensitive Information*]

but shall in all cases exclude:

&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) [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*] [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*] [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*] [Redacted- Commercially Sensitive Information]

(items (1) to (4) together constituting, the "<u>Excluded</u> <u>Property</u>"<u>)</u>.

"<u>Collateral</u> <u>Provider</u>" means any Persons who provides Collateral Security from time to time.

"<u>Commencement</u> <u>Date</u>" means the date notified by the Purchaser to the Seller in writing as the date on which the Term commences pursuant to this Agreement, provided that such date shall not be earlier than the date of this Agreement or the Prepayment Date.

"<u>Commercial</u> <u>Facilities</u> <u>Agreement</u>" has the meaning given to that term in the lntercreditor Agreement.

"<u>Commingling</u> <u>Plan</u>" has the meaning set out in Clause 6.2(8).

"<u>Commitment</u>" means, with respect to the Purchaser, the amount of the Prepayment Amount paid, or to be paid by, or otherwise attributable to, the Purchaser (with the Original Purchaser's initial Commitment being as set out beside the Original Purchaser's name in Schedule 1 *(Original Purchaser)).*

"<u>Common Security Documents</u>" has the meaning given to the term Transaction Security Documents in the lntercreditor Agreement or any Refinancing Equivalent.

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"<u>Completion Date</u>" means the date on which the first period of 45 consecutive days has elapsed during which production rates of the Project have been achieved at an average rate of not less than [Redacted - Commercially Sensitive Information] of the SAG mill output rate (ore tonnes per hour) (as envisaged in the Mine Plan as at the Prepayment Date).

"<u>Confidential</u> <u>Information</u>" means the terms contained in the Key Transaction Documents and all information, documents, data, knowledge and know-how (in whatever form and however communicated or maintained and whether marked confidential or not) relating, directly or indirectly, to the disclosing Party, the Project, its subsidiaries and its or their assets (including, without limitation, any documents or notes relating thereto) that is delivered or disclosed by the disclosing Party or by any of its officers, directors, employees, partners, co-venturers, agents or affiliates to the Receiving Party in writing, electronically, verbally or through visual means or which the Receiving Party obtains naturally, through observation or through analyses, interpretations, compilations, studies or evaluations of such information, data, knowledge or know-how and includes any and all information or documents that were disclosed by or on behalf of the disclosing Party prior to the date of this Agreement, but does not include such information, data, knowledge or knowhow, as shown by written records, that is in the Receiving Party's or its affiliates' possession prior to disclosure thereof by the disclosing Party to the Receiving Party, is in the public domain prior to the disclosure thereof by the disclosing Party to the Receiving Party or lawfully enters the public domain through no violation of this Agreement after disclosure thereof by the disclosing Party to the Receiving Party or becomes available to the Receiving Party on a non-confidential basis from a source other than the disclosing Party who is not, to the Receiving Party's knowledge, after enquiry, under any obligation of confidentiality to the disclosing Party.

"<u>Consensus</u> <u>Economics</u>" means the forecast published monthly by Consensus Economics Inc, an international economic survey organisation, or any replacement or substitute service from Consensus Economics Inc.

"<u>Consolidation</u> <u>Order</u>" has the meaning given to it in Clause 14.1(B)(1).

"<u>Construction</u> <u>Budget</u>" means the annual budget for the construction of the Expansion of the Project as approved by the Board delivered by the Seller to the Purchaser in satisfaction of the condition set out in Clause 3.3(M), as the same may be amended, revised, supplemented or replaced from time to time.

"<u>Contract</u>" means any agreement, contract, lease, licence or mineral claim, and includes, without limitation: (A) any unilateral instrument such as a mortgage, deed of trust, debenture, note or indenture, provided the same creates a legally valid and binding contractual obligation of the granter thereunder, enforceable by the grantee in accordance with its terms; and (B) any agreements, contracts, licences, servitudes, easements or mineral claims.

"<u>Control</u>" means, without limiting the generality of the term, in relation to a Person the ability of another Person(s), directly or indirectly, to ensure that the activities and business of the first mentioned Person are conducted in accordance with the wishes of the latter Person(s), and the latter Person(s) shall be deemed to so control the Person if the latter Person(s) owns, directly or indirectly, the majority of the voting rights in the person and/or, through shareholding or otherwise, controls the composition of the board of directors of the company, and Controlling, Controlled, Controlled by and under common Control with shall be construed accordingly.

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"<u>Counter</u> <u>Indemnity Agreement</u>" means the counter indemnity agreement entered into between the Project Company, any other providers of any Encumbrance pursuant to any of the Common Security Documents and the Security SPV on or about the date of this Agreement (and as may be acceded to from time to time) pursuant to which the Project Company and such other providers of any such Encumbrance have agreed or shall agree, among other things, to indemnify the Security SPV against all and any claims which may be made against the Security SPV by the Seller arising in any manner whatsoever out of, or in connection with, the Security SPV Guarantee.

"<u>Data</u> <u>Room</u>" means any electronic data room identified in writing by the Parties from time to time.

"<u>Debt</u>" means any indebtedness for or in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) moneys borrowed or otherwise owed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any amount raised by acceptance under any acceptance credit facility or dematerialised equivalent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or any similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with IFRS, be treated as a finance or capital lease (other than any liability in respect of a lease or hire purchase contract which would, in accordance with IFRS prior to 1 January 2019, have been treated as an operating lease);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) any amount raised under any other transaction (including any forward sale or purchase agreement) of a type not referred to in any other paragraph of this definition having the commercial effect of a borrowing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) any derivative transaction entered into in connection with protection against or benefit from fluctuation in any rate or price (and, when calculating the value of any derivative transaction, only the marked to market value (or, if any actual amount is due as a result of the termination or close-out of that derivative transaction, that amount) shall be taken into account);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any counter-indemnity obligation in respect of a guarantee, indemnity, bond, standby or documentary letter of credit or any other instrument issued by a bank or financial institution; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in paragraphs (A) to (H).

"<u>Delivery</u>" means, in respect of a delivery of Refined Silver that such applicable amount of Refined Silver has been credited to the relevant designated metal account of the Purchaser, deemed to have been made at the Delivery Time on the Delivery Date, in the required manner in accordance with this Agreement.

"<u>Delivery</u> <u>Date</u>" means the date the Refined Silver is credited to the relevant designated metal account of the Purchaser (in accordance with Clause 2.3).

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"<u>Delivery Time</u>" means, in respect of a Delivery, at the time the Refined Silver is credited to the relevant designated metal account of the Purchaser (in accordance with Clause 2.3).

"<u>Designated</u> <u>Metal Percentage</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) until 3,100,000 (inclusive) ounces of Refined Silver have been delivered (or deemed delivered pursuant to Clause 11.2(C)) to the Purchaser under this Agreement, 90%; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) after 3,100,000 (inclusive) ounces of Refined Silver have been delivered (or deemed delivered pursuant to Clause 11.2(C)) to the Purchaser under this Agreement, 45%.

"<u>DMT</u>" means dry metric ton.

"<u>Early</u> <u>Termination Amount</u>" means an amount equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*] [*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*]

"<u>Eligible</u> <u>Transferee</u>" means a Person who is not a Sanctioned Person and until the Completion Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) who, together with its Affiliates (and assuming the Transfer or Change of Control (as applicable) has occurred), has sufficient technical and operational capability such that the Project will be developed and operated in accordance with this Agreement and the then current Mine Plan; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) whose obligations are fully and unconditionally guaranteed by a Person meeting the conditions in paragraph (A) above pursuant to an instrument in writing executed and delivered by such Person in favour of the Purchaser (in form and substance satisfactory to the Purchaser (acting reasonably)).

"<u>Encumbrance</u>" means any charge, mortgage, lien, power of sale, hypothecation, usufruct, retention of title, cession in security, assignment, notarial bond, encumbrance, pledge or any other security interest or other agreement having the effect of security for the payment of any debt, liability or obligation, and "<u>Encumbrances</u>" shall have the corresponding meaning.

"<u>Enforcement</u> <u>Action</u>" has the meaning given in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Environmental Claim</u>" means any claim, litigation, arbitral proceeding, administrative proceeding, enforcement proceedings, pre-compliance notice, compliance notice, order or directive, other formal notice or investigation by any Person or Governmental Body in respect of any actual or alleged violation of any Environmental Laws by the Project Company or in respect of the Project or Project Property or any Licence from any Governmental Body held (or required to be held) under applicable Environmental Laws by the Project Company or in respect of the Project.

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"<u>Environmental Laws</u>" means all Applicable Laws (including but not limited to the Environmental Management Act, 2007 (Act 7 of 2007)) which may include general remedies under the common law or civil code, national or provincial statutes, regulations, statutory guidance notes and final and binding court and other tribunal decisions whose purpose is any one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) to protect, or prevent pollution of, or to remedy damage to, the environment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) to protect or prevent or compensate harm to human health and safety;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) to promote sustainable development practices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) to regulate emissions, discharges or releases of hazardous substances into the environment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) to regulate the use, treatment, storage, burial, disposal, transport or handling of hazardous substances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) the condition of the workplace; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) the generation, handling, storage, use, release or spillage of any substance which, alone or in combination with any other, is capable of causing harm to the environment, including, without limitation, any waste.

This includes all municipal by-laws, codes, regulations, decrees, orders, directives, instructions or environmental Licences issued or promulgated or approved thereunder for such purposes to the extent that the same have force of law.

"<u>Exchange Control Regulations</u>" means the exchange control regulations, 19611 as promulgated by South African Government Notice R.1111 of 1 December 1961 and amended by the Namibian Government Notice No. 126 in Government Gazette No. 4767 of 1 August 2011, in terms of section 9 of the Currency and Exchanges Act, 9 of 1933.

"<u>Excluded Taxes</u>" has the meaning set out in Clause 12.1(D).

"<u>Expansion</u>" means the expansion of the Mine as contemplated in the Project Feasibility Study.

"<u>Expert</u>" means a suitably qualified independent person appointed in accordance with this Agreement.

"<u>Exploration</u> <u>Mining</u> <u>Licence</u>" means the exclusive prospecting licence, number EPL2616 issued to PE Minerals (Namibia) (Pty) Limited from 1 December 1998 for a period of three years, as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) renewed for a period of two years from 1 December 2001 to 30 November 2003;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) alienated by transfer to the Project Company with effect from 16 November 2004;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) renewed for a period of two years from 1 December 2005 to 30 November 2007;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) renewed for a period of two years from 1 December 2007 to 30 November 2009;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) renewed for a period of two years from 1 December 2009 to 30 November 2011;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) renewed for a period of two years from 1 December 2011 to 30 November 2013;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) renewed for a period of two years from 1 December 2013 to 30 November 2015;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) renewed for a period of two years from 1 December 2015 to 30 November 2017;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) renewed for a period of two years from 1 December 2017 to 30 November 2019;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) renewed for a period of two years from 1 December 2019 to 30 November 2021; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) renewed for a period of two years from 1 December 2021 to 30 November 2023.

"<u>Finco</u> <u>Security</u>" has the meaning given to that term in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Finco</u> <u>Security Document</u>" has the meaning given to that term in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Fundamental</u> <u>Warranty</u>" means any of the representations or warranties set out in Clauses [Redacted - Commercially Sensitive Information]

"<u>Gergarub</u> <u>JV</u>" means Gergarub Exploration and Mining (Proprietary) Limited, a company existing under the laws of the Republic of Namibia.

"<u>Gergarub</u> <u>Mining</u> <u>Licence</u>" means mining licence number ML245 issued to the Gergarub JV for a period from 21 February 2022 to 19 February 2044.

"<u>GLCR</u>" means GLCR Ltd, registered in England and Wales with company number [Redacted - Commercially Sensitive Information]

"<u>Good</u> <u>Industry Practice</u>" means, in relation to any decision, undertaking, work activity or work product, the exercise of a degree of diligence, skill, care and prudence (including, where applicable, factoring in commercially reasonable assumptions and estimates) which would reasonably be expected to be observed by skilled and experienced professionals in the international or Namibian mining industry (whichever standard is higher) engaged in the same type of undertaking under the same or similar circumstances.

"<u>Governmental Body</u>" means any domestic or foreign federal, provincial, regional, state, national, provincial, municipal or other government, governmental department, agency, authority or body (whether administrative, legislative, executive or otherwise), court, tribunal, commission or commissioner, bureau, minister or ministry, board or agency, or other regulatory authority having jurisdiction with respect to any specified Person, including any securities regulatory authorities or stock exchange, or any quasi-governmental or private body exercising regulatory or other governmental or quasi-government authority or function.

"<u>Group</u> <u>Jurisdiction</u>" means Jersey, the Republic of Namibia, or any other jurisdiction in which any Project Entity is domiciled, has a permanent establishment or carries on (or pursuant to Applicable Law is deemed to carry on) business from time to time.

"<u>Group</u> <u>Members</u>" means, collectively, the Project Entities, RPBM, RPMH, Wilru, GLCR and ANR RP and any Person which (pursuant to Clause 7.2) becomes the owner of any shares or intercompany loan rights forming part of the Collateral and "<u>Group</u> <u>Member</u>" shall mean any one of them (in all cases, excluding the Gergarub JV).

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"<u>Hedging</u> <u>Transaction</u>" means any transaction which is: (A) a rate swap transaction, basis swap, forward rate transaction, commodity swap, commodity option, equity index swap, equity or equity index option, bond option, interest rate option, foreign exchange transaction, forward commodity transaction, credit derivative transaction, repurchase or reverse repurchase transaction, securities lending transaction, cap transaction, floor transaction, collar transaction, currency swap transaction, cross-currency rate swap transaction, currency option or any similar transaction (including any option with respect to any of these transactions); or (B) any combination of these transactions.

"<u>I</u><u>FC</u> <u>Performance</u> <u>Standards</u>" means the International Finance Corporation's Environmental and Social Performance Standards, contained in the English text 2012 edition of the International Finance Corporation's Sustainability Framework.

"<u>IFRS</u>" means the International Financial Reporting Standards formulated by the International Accounting Standards Board for the preparation of financial statements, together with any authoritative interpretations issued by the International Financial Reporting Interpretations Committee, in each case as updated and amended from time to time.

"<u>Incremental</u> <u>Purchaser Excluded Taxes</u>" has the meaning given to it in Clause 12.1(0)(2).

"<u>Indemnified</u> <u>Parties</u>" means the Purchaser, the Purchaser's Affiliates, and the directors, officers, employees and agents of any of the foregoing Persons.

"<u>Independent</u> <u>Engineer</u>" means an internationally recognized mine engineering firm which has an office in Windhoek, Namibia, nominated by the Purchaser (following consultation with the Project Company) acting reasonably.

"<u>Initial</u> <u>Funding Advances</u>" means the amounts (totalling [Redacted - Commercially Sensitive Information]) advanced by the Seller to the Project Company under the Intra-Group Loan Agreement described in limb (A) of the definition of Intra-Group Loan Agreements prior to the receipt by the Seller of the Prepayment Amount.

"<u>Initial</u> <u>Intra-Group Loan Guarantees</u>" means the guarantees provided by the Intra-Group Loan Guarantors pursuant to the lntercreditor Agreement in favour of the Seller in respect of the Project Company's liabilities under each of Intra-Group Loan Agreements.

"<u>Initial</u> <u>Intra-Group Loan Guarantors</u>" means RPBM, RPMH, Wilru, GLCR and (until it is released from its guarantee of the Intra-Group Loan Agreements pursuant to the lntercreditor Agreement) ANR RP.

"<u>lntercreditor</u> <u>Agreement</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the intercreditor agreement dated on or around the date of this Agreement entered into between, amongst others, the Purchaser, the Seller and the Project Company and certain providers of Senior Financing (the "<u>Initial</u> <u>lntercreditor</u> <u>Agreement");</u> and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) on or after the completion of any Senior Debt Refinancing, the relevant Replacement lntercreditor Agreement.

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"<u>Intra-Group</u> <u>Loan Agreements</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the loan agreement in an amount up to [Redacted - Commercially Sensitive Information] dated 28 March 2024 between the Project Company as borrower and the Seller as lender, pursuant to which the Seller shall advance funds to the Project Company up to an aggregate amount which is equivalent to (i) the Prepayment Amounts received from the Purchaser, pursuant to the Seller's undertaking under Clause 3.2(8) and (ii) all amounts received by the Seller pursuant to Clause 2.5;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the approximately [Redacted - Commercially Sensitive Information] loan agreement dated 24 June 2024 between the Project Company as borrower and the Seller as lender, pursuant to which no further advances are required to be made by the Seller; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any other loan agreements entered into from time to time between the Project Company as borrower and the Seller as lender.

"<u>Intra-Group</u> <u>Loan Guarantees</u>" means the Initial Intra-Group Loan Guarantees and any Additional Intra-Group Loan Guarantee.

"<u>Intra-Group</u> <u>Loan Guarantors</u>" means the Initial Intra-Group Loan Guarantors and the Additional Intra-Group Loan Guarantors.

"<u>Investor</u> <u>Circumstances</u>" has the meaning given to it in Clause 12.1(0)(2).

"<u>Key</u> <u>Transaction</u> <u>Documents</u>" means, collectively, this Agreement, the Stream Documents and the lntercreditor Agreement.

"<u>LBMA</u>" means the London Bullion Market Association.

"<u>Legal Reservations</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the principle that equitable remedies may be granted or refused at the discretion of a court and the limitation of enforcement by laws relating to insolvency, reorganisation and other laws generally affecting the rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the time barring of claims under the Limitation Acts, the possibility that an undertaking to assume liability for or indemnify a person against non-payment of UK stamp duty may be void and defences of set-off or counterclaim; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) similar principles, rights and defences under the laws of any Relevant Jurisdiction.

"<u>Licence</u>" means any authorization, approval, consent, concession, exemption, licence, lease, grant, permit, franchise, right, privilege or no-action letter from any Governmental Body having jurisdiction with respect to any specified person, property, transaction or event, or with respect to any of such Person's property or business and affairs (including any zoning approval, mining permit, development permit or building permit) or from any Person in connection with any easements, contractual rights or other matters.

"<u>Limitation</u> <u>Acts</u>" means the Limitation Act 1980 and the Foreign Limitation Periods Act 1984.

"<u>Loss</u>" or "<u>Losses</u>" means any loss of whatever description including, but not limited to, damages, dues, penalties, fines, costs, reasonable amounts paid in settlement, liabilities (including contingent liabilities), Taxes, compensation (including compensation paid or payable to any employee), expenses and fees (including reasonable fees and expenses of attorneys, counsel, accountants, consultants and experts arising out of actions, applications, suits, proceedings, hearings, investigations, charges, complaints, claims, demands, interdicts, judgements, orders (including for specific performance), decrees, directives, rulings, liens and obligations), in each case excluding all indirect and consequential loss, and excluding exemplary and punitive damages.

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"<u>Lot</u>" means the applicable quantity of each delivery of Silver Minerals to, and accepted by, an Offtaker pursuant to an Offtake Agreement from time to time, that is separately weighed, sampled and assayed so that the Project Company and that Offtaker can agree upon the content of (among other things) the Silver Minerals therein, all as set forth in that Offtake Agreement.

"<u>Management</u> <u>Services</u> <u>Agreement</u>" means the management services agreement dated on or about the date of this Agreement, between ANR RP Limited as the service provider and the Project Company as the service recipient.

"<u>Material Adverse Effect</u>" means any effect that, when taken individually or together with all other events, occurrences, changes or effects, materially limits, restricts or impairs:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the operations, results of operations, business, affairs, properties, assets, liabilities and obligations (contingent or otherwise), capitalization or condition (financial or otherwise) of the Group Members (taken as a whole) or the Project Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Project, including the ability of the Group Members (taken as a whole) or the Project Company to develop or operate the Project substantially in accordance with the Mine Plan in effect at the time of the occurrence of the relevant change, event, occurrence, circumstance, fact or effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the ability of any Group Member to perform any of its material obligations under any Stream Document to which it is a party (unless such obligations can be and/or are in fact performed on behalf of such Group Member by another Group Member);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the validity or enforceability of any of the Stream Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the rights and remedies of the Purchaser under any of the Stream Documents.

"<u>Material Breach Event</u>" has the meaning given to that term in Clause 10.3.

"<u>Material Contracts</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Operating Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) each Offtake Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) each Access and Lease Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the Shareholders Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) permission in writing from the Mining Commissioner to construct accessory works as were *I* are necessary for, or in connection with the mining and prospecting operations on the Mining Licence or the Exploration Mining Licence.

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"<u>Material Project Authorization</u>" means any Project Authorization, the breach, loss or termination of which is material to the development of the Project or the commencement and ongoing operation of commercial production (including the Mining Licence through the Operating Agreement).

"<u>Mine</u>" means the mine in Rosh Pinah, Namibia, operated by the Project Company pursuant to the Operating Agreement.

"<u>Mine</u> <u>Plan</u>" means, at any time, the mine plan for the Project prepared by the Project Company, including reserves and mineral resources (in accordance with Good Industry Practice) in the measured, indicated and inferred category with reasonable prospects of economic extraction over the life of the Mine, as most recently delivered to the Purchaser in accordance with Clause 5.1(B) *(Geological Engineering Reports and Mine Plan).*

"<u>Minerals</u>" means any and all marketable metal bearing material in whatever form or state that is mined, produced, extracted, processed or otherwise recovered from, on or pursuant to the Project Real Property, including: (A) any such material derived from any processing or reprocessing of any Tailings, waste rock or other waste products originally derived from the Project Real Property after the date of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) ore, concentrate and any other products resulting from the further milling, processing or other beneficiation of Minerals.

"<u>Mining</u> <u>Area</u>" means the area covered by the Mining Licence, provided that the Mining Area shall exclude any area covered by the Gergarub Mining Licence.

"<u>Mining</u> <u>Equipment</u>" means equipment purchased by the Project Company or any other Group Member for the purposes of the Project.

"<u>Mining</u> <u>Licence</u>" means mining licence number ML39 issued for a period of 25 years from 13 November 1995 to 12 November 2020, as most recently renewed for a period of 15 years from 13 November 2020 to 12 November 2035, and held by the Mining Licence Holder, as supplemented, amended or replaced from time to time.

"<u>Mining</u> <u>Licence Holder</u>" means PE Minerals (Namibia) (Pty) Limited.

"<u>Mining</u> <u>Operations</u>" means every kind of work and activities carried out on or in respect of the Mining Licence including, but without limitation, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the acquisition, registration and maintenance of the Mining Licence (through the Operating Agreement);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) developing, designing, constructing and equipping all mining facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) (as applicable) extracting, mining, production of concentrate and associated handling and transportation of products and Tailings and disposing of Tailings and despatching products won under authority of the Mining Licence (through the Operating Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the construction and relocation of any roads, railway lines, telephone lines, waterways or other natural or man-made utilities required in order to facilitate any activity conducted under authority of the Mining Licence (through the Operating Agreement); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the restoration of the Mining Area and all other work done after the completion of mining activities to comply with environmental and like requirements.

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"<u>Mining Real Property</u>" means all immovable properties and/or lease, surface use and/or access rights or servitudes over immovable properties (or portions of immovable properties) and/or access or servitudes over immovable properties, or portions of immovable properties in or outside of the Mining Area which are required for the development or operation of the Project or enjoyment of the Mining Licence (through the Operating Agreement), and all real property interests, mineral claims, mineral leases and other mineral rights, concessions and interests, and all surface access rights relating to the Project, in each case, to the extent required for the development or operation of the Project (excluding any of the foregoing which relate to the area covered by the Gergarub Mining Licence).

"<u>Minority Shareholders</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Rosh Pinah Employee Empowerment Participation Scheme Trust (master's reference number T91/08), a trust duly registered in accordance with the laws of the Republic of Namibia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Jaguar Investments Four (Proprietary) Limited (registration number 2004/0270), a private company duly incorporated and registered in accordance with the laws of the Republic of Namibia; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) P.E. Minerals (Namibia) (Proprietary) Limited (registration number 93/190), a private company duly incorporated and registered in accordance with the laws of the Republic of Namibia,

and their respective successors and assigns and any future holders of the shares in the Project Company which, as at the date of this Agreement, are held by any of the entities listed at (A) to (C) above (except where any such successors or assigns grant Transaction Security over the shares held by them in the Project Company.

"<u>Monthly</u> <u>Construction Report</u>" means a written report prepared by or on behalf of the Project Company in relation to the immediately preceding calendar month, which report shall be substantially in the form required to be delivered by the Project Company prior to the Commercial Production Date (as defined in the Commercial Facilities Agreement) pursuant to the terms of the Commercial Facilities Agreement from time to time provided that such report shall as a minimum cover the following areas: a general overview and key developments on the Project during the reporting period, health and safety performance indicators, tracking of the environmental and social action plan (if applicable), latest Project schedule and cost overview, including tracking actual performance against baseline schedule and budget, key production performance metrics, description of any events that are reasonably likely to have a material adverse impact on the Project.

"<u>NAO</u>" denotes the lawful currency of Namibia.

"<u>Net</u> <u>Monthly Value of Refined Silver Delivered</u>" means a monthly amount equal to the product of the following formula:

**((A)** LESS (B)) multiplied by **(C),** whereby:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) means the Silver Market Price on the Delivery Date in the applicable month;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) means the Cash Price on the Delivery Date in the applicable month, and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) means the ounces of Refined Silver Delivered (or deemed Delivered pursuant to Clause 11.2(C)) to the Purchaser under this Agreement in the applicable month.

"<u>Net</u> <u>Proceeds</u>" means, with respect to the receipt of proceeds under Clause 2.3(1), the aggregate amount received by any Project Entity or an Affiliate less: (A) the fees, costs and other out-of-pocket expenses (as evidenced by supporting documentation provided to the Purchaser upon request) incurred or paid to a third party by any Project Entity or an Affiliate in connection with the claim giving rise to such proceeds; and (B) the amount of deductibles absorbed by any Project Entity or an Affiliate in relation to the event or series of events to which such claim relates, without deduction for any insurance premiums or similar payments (other than deductibles), provided however that insurance proceeds arising from third party liability insurance shall not constitute Net Proceeds under Clause 2.3(1).

"<u>NPV</u> <u>Criteria</u>" means a calculation by the Purchaser of net present value based on (A) the future production set forth in the Mine Plan, and (B) the prevailing average forecast future prices for silver for the relevant years as published and set out by the Selected Commodity Forecast Provider at the date of the Termination Notice.

"<u>NPV</u> <u>of the Remaining Stream</u>" means the net present value of Remaining Stream based on the NPV Criteria and applying a discount rate of [Redacted - Commercially Sensitive Information]%.

"<u>OFAC</u>" means The Office of Foreign Assets Control of the US Department of the Treasury.

"<u>Offshore</u> <u>Security Agent</u>" has the meaning given to that term in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Offtake</u> <u>Agreement</u>" means any agreement entered into by the Project Company with any Person (including spot sales) for the sale of Silver Minerals, in the form of ore, concentrate (including as part of any lead concentrate) or other beneficiated form of silver (other than Refined Silver) produced by the Project, to such Person (including the lead offtake agreement [Redacted - Commercially Sensitive Information] as the offtaker with respect to the supply of lead concentrates from the Mine, as most recently amended prior to the date of this Agreement on [Redacted - Commercially Sensitive Information]

"<u>Offtaker</u>" means any Person that enters into an Offtake Agreement with the Project Company.

"<u>Offtaker</u> <u>Settlement Sheets</u>" means the provisional or final (as applicable) documents or such other relevant documents, in each case evidencing at least the amount of Silver Minerals, including Produced Silver, in each Lot.

"<u>Operating</u> <u>Agreement</u>" means the operating agreement with respect to the Mining Licence dated 4 December 1998 entered into between (among others) the Project Company (under its previous name of lmcor Tin (Proprietary) Limited) as the user of the Mine, lscor Limited and the Mining Licence Holder.

"<u>Operation</u> <u>and Production Report</u>" means a written report prepared by or on behalf of the Project Company in relation to the immediately preceding calendar month, which report shall be substantially in the form required to be delivered by the Project Company from the Commercial Production Date (as defined in the Commercial Facilities Agreement) pursuant to the terms of the Commercial Facilities Agreement from time to time provided that such report shall as a minimum cover the following areas: a general overview and key developments on the Project during the reporting period, health and safety performance indicators, tracking of the environmental and social action plan (if applicable), key production performance metrics, key financial performance metrics, description of any events that are reasonably likely to have a material adverse impact on the Project.

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"<u>Order</u>" means, in respect of any Person, any order, directive, decree, judgment, ruling, award, injunction or direction of any Governmental Body or other decision-making authority of competent jurisdiction which is legally binding on such Person.

"<u>Other Minerals</u>" means any and all marketable metal bearing material in whatever form or state (including ore) that is mined, produced, extracted or otherwise recovered from any location (including any location covered by the Gergarub Mining Licence) that is not within the Project Real Property.

"<u>Other</u> <u>Rights</u>" means, to the extent not included in Licences, all licences, approvals, authorizations, consents, rights (including surface rights, access rights and rights of way), privileges, concessions or franchises issued by or obtained from or which are or required to be issued by or obtained from any Person not a Related Party to any Group Member (other than a Governmental Body) and which are required in relation to the Project and / or the Business.

"<u>Parent</u>" means ANR RP or a permitted successor listed holding company pursuant to paragraph (C) of the definition of "Change of Control".

"<u>Parties</u>" means the parties to this Agreement.

"<u>Payable</u> <u>Silver</u>" means, in respect of a Lot, A multiplied by B divided by C where:

**A** is the DMT of lead concentrate in such Lot;

[*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*]

"<u>Permitted</u> <u>Asset Disposition</u>" means, as at any particular time, a sale, transfer or other disposition:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) of tangible personal property (including any Project Real Property) that is no longer required in the conduct of the business of the Project Company or is being replaced by tangible personal property of equal or better quality;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) of Minerals pursuant to this Agreement or an Offtake Agreement or otherwise in the ordinary course of business in compliance with the terms of this Agreement or an Offtake Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) made in the ordinary course of the Project Company's mining activities or mining business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) of assets in exchange for other assets comparable or superior as to type, value and quality;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) arising as a result of any Permitted Encumbrance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) by the Project Company (directly or indirectly) of interests (in the form of shares or otherwise) in the Gergarub JV;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) of any shares, provided that: (1) such sale, transfer or other disposition does not result in a Change of Control; and (2) the provisions of Clauses 8.2(A)and 8.2(A) are complied with; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any sale, transfer or other disposition expressly permitted under the terms of the Senior Financing as at the date of this Agreement.

"<u>Permitted Capital Expenditure</u>" means expenditure for the purpose of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) undertaking exploration and related activities in relation to one or more potential mineral resources (including without limitation such resource(s) as may be subject to the Mining Licence, the Gergarub Mining Licence or the Exploration Mining Licence) in aggregate in an amount not exceeding the aggregate of:

&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) prior to the Senior Discharge Date (as defined in the lntercreditor 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;(a) [Redacted - Commercially Sensitive Information] in any calendar year, and pro-rated for the period from the date of this Agreement to the end of the calendar year during which this Agreement is signed; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an aggregate amount which, together with the aggregate amount of expenditure made under paragraph (B) below, does not exceed the amount of any cash received by the Project Company after the date of this Agreement pursuant to (a) any issue of shares in the Project Company or (b) any incurring by the Project Company of any Subordinated Liabilities (as defined in the lntercreditor Agreement); 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;(2) following the Senior Discharge Date (as defined in the lntercreditor Agreement, the higher of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 aggregate of the amounts specified in paragraphs (A)(1)(a) and (b) above; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) such amount as may be set out in the Mine Plan from time to time in relation to such activities (subject to any limitation set out in any Replacement lntercreditor Agreement (as defined in Clause 8.S(C))); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Project Company (directly or indirectly) acquiring any interests (in the form of shares other otherwise) in the Gergarub JV in an aggregate amount which, together with the aggregate amount of expenditure made under paragraph (A)(1) above, does not exceed the amount of any cash received by the Project Company after the date of this Agreement pursuant to (1) any issue of shares in the Project Company or (2) any incurring by the Project Company of any Subordinated Liabilities (as defined in the lntercreditor Agreement).

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"<u>Permitted Debt and Obligations</u>" means any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) 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;(1) all Debt owed by any of the Project Entities subordinated under the lntercreditor Agreement or, where applicable, Replacement lntercreditor Agreement, or, if the lntercreditor Agreement or Replacement lntercreditor Agreement (as applicable) is no longer in full force and effect, other subordination arrangements in form and substance satisfactory to the Purchaser (acting reasonably) (as the case may be) to, amongst other things, the Stream 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;(2) the Stream 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;(3) any Debt incurred under the Intra-Group Loan Agreements;

&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) any Debt incurred by the Project Company under any Senior Financing;

&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) any Debt incurred by the Project Company under the Working Capital Facility 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) any obligations of the Project Company under Permitted Hedging 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;(7) Debt of the Project Company arising under paragraph (D) of the definition of Debt which exists as of the Prepayment Date plus, at any particular time, an additional aggregate amount of such Debt of up to [Redacted - Commercially Sensitive Information];

&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) any Debt incurred in connection with any refinancing or replacement of any of the Debt or obligations listed in sub-paragraphs (1) to (7) provided that the terms of such Debt are not materially more onerous to any of the Project Entities than such debt or obligations then in place and the such Debt or obligations are incurred by a Person who is not prohibited under this Agreement from incurring the relevant Debt or obligations listed in sub-paragraphs (1) to (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;(9) any unsecured trade payables and other accrued liabilities incurred in the ordinary course of business and payable in accordance with customary 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;(10) any unsecured Debt in respect of performance, surety or completion bonds, standby letters of credit or letters of guarantee incurred by the Project Company or one of its Subsidiaries:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) securing mine closure, asset retirement or environmental reclamation or remediation obligations of the Project Company (or reimbursement obligations in connection therewith) or in favour of a public utility or any agency or governmental authority in connection with the operations of any Group Member, in each case to the extent required by Applicable Laws or any Governmental Body; 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;(b) required to be provided under any Material Contract or any Offtake Agreement;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any additional Debt incurred by the Project Company or one of its Subsidiaries in connection with the financing or refinancing of the acquisition of Mining Equipment which is either unsecured or where the Encumbrances created in connection therewith are solely over such Mining Equipment and for the benefit only of the providers of that financing or re-financing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in the case of the Seller only, any existing or additional Debt incurred by it from any of its direct or indirect shareholders from time to time, but only to the extent that such Debt has been fully and effectively subordinated to, amongst other things, the Stream Obligations under the lntercreditor Agreement, subject to Restricted Payments nevertheless being allowed in accordance with Clause 6.7(A)(6);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any other additional Debt approved in writing by the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any unsecured Debt incurred by the Project Company or any of its Subsidiaries in respect of any pipeline or inventory financing which is provided by a customary provider of such financing, provided that the amount being financed is limited to actual production for the prior six months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) guarantees by any Group Member of Debt of another Group Member where such Debt is permitted under paragraphs (A) to (E) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) any additional Debt incurred by the Project Company or any of its Subsidiaries or any Group Member in an aggregate amount at any one time outstanding not to exceed [Redacted - Commercially Sensitive Information] provided that such Debt shall be unsecured; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any Debt expressly permitted under the terms of the Senior Financing as at the date of this Agreement,

and provided that the creditor in respect of such Debt is not a Sanctioned Entity or Sanctioned Person.

"<u>Permitted</u> <u>Encumbrances</u>" means, in respect of any Project Property or other Collateral, any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any Encumbrance created in relation to any Key Transaction Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any Encumbrance created in relation to any Debt that is permitted further to paragraphs (A)(4) to (6) or (A)(8) in relation thereto of the definition of "Permitted Debt and Obligations";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any netting or set-off arrangement entered into by any of the Project Entities in the ordinary course of its banking arrangements for the purpose of netting debit and credit balances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any lien arising by operation of law and in the ordinary course of trading and not as a result of any default or omission by any of the Project Entities (excluding any default or omission being contested in good faith by any such Project Entity);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any Encumbrance or quasi-Encumbrance arising under any retention of title, hire purchase or conditional sale arrangement or arrangements having similar effect in respect of goods supplied to any of the Project Entities in the ordinary course of trading and on the supplier's standard or usual terms and not arising as a result of any default or omission by any of the Project Entities;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) any mechanic's, material man's, carrier's, employee's or other similar lien arising in each case, in the ordinary course of business by statute or by operation of law in respect of obligations which are not overdue or which are being contested in good faith by appropriate proceedings (where adequate provision has been made for their payment and provided that such proceedings do not involve any material risk that the relevant asset will be sold, forfeited or lost);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) any Encumbrance expressly permitted under the terms of the Senior Financing as at the date of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any other Encumbrance approved in writing by the Purchaser.

"<u>Permitted</u> <u>Hedging</u> <u>Arrangements</u>" means derivative arrangements or Hedging Transactions which have been entered into for bona fide business purposes, andare consistent with the Project Company's risk management policy from time to time.

"<u>Permitted</u> <u>Management Fees</u>" means fees payable by the Project Company pursuant to the Management Services Agreement or any future equivalent thereof.

"<u>Permitted</u> <u>Minority Shareholding Acquisition</u>" means the acquisition by any Group Member (other than the Project Company) or any shares in the Project Company that are not subject to the Transaction Security as at the date of this Agreement, provided that any shares so acquired are promptly (and in any event within 20 Business Days) following completion of such acquisition made subject to Transaction Security.

"<u>Permitted Transaction</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a Permitted Asset Disposition, Permitted Debt and Obligations, Permitted Encumbrances or Permitted Hedging Arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any disposal required, Debt incurred, guarantee, indemnity or Encumbrance given, or other transaction arising, under the Senior Financing or the Working Capital Facility Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any payment by the Project Company of Permitted Management Fees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the making by the Project Company of Permitted Capital Expenditure and the carrying out by the Project Company of activities to which such Permitted Capital Expenditure relates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the acquisition by the Project Company (directly or indirectly) of interests (in the form of shares or otherwise) in the Gergarub JV;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) the incorporation by the Project Company of a Subsidiary, transfer to such Subsidiary of any and all assets of the Project Company of whatever nature acquired or developed using the proceeds of Permitted Capital Expenditure, and disposal by the Project Company to a person that is not a Group Member;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) any Permitted Minority Shareholding Acquisition; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any Permitted Transaction as defined in the Senior Financing as at the date of this Agreement.

"<u>Person</u>" means and includes individuals, corporations, bodies corporate, limited or general partnerships, joint stock companies, limited liability companies, joint ventures, associations, companies, trusts, banks, trust companies, Governmental Bodies or any other type of organization or entity, whether or not a legal entity.

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"<u>Prepayment</u> <u>Amount</u>" means US$[Redacted - Commercially Sensitive Information].

"<u>Prepayment</u> <u>Date</u>" has the meaning given to it in Clause 3.1(F).

"<u>Prepayment</u> <u>Notice</u>" has the meaning has the meaning given to it in Clause 3.1(G).

"<u>Prepayment</u> <u>Reduction Date</u>" means the date on which the Uncredited Balance is reduced to nil in accordance with this Agreement.

"<u>Produced</u> <u>Silver</u>" means any and all silver in whatever form or state that is contained in Silver Minerals recovered from the Project Real Property.

"<u>Production</u> <u>Interest</u>" means any royalty, stream, participation or production interest and related assets, or any agreements that are similar to a royalty, stream, participation or production interest agreement, in each case in respect of any Minerals.

"<u>Project</u>" means the "Rosh Pinah Project", including the Expansion, as further described in the Mine Plan, owned and operated by the Project Company, being the Mining Operations, the Mineral concentrate processing plant operations, and all operations and activities incidental thereto and related infrastructure established to access and mine minerals in terms of the Mining Licence (through the Operating Agreement) on the Mining Area of the Project (including: (A) all associated surface and underground equipment, structures, erections and infrastructure located within the Mining Area of the Project which the Project Company has the right to access or use for the purposes of the Mining Operations of the Project; and (B) all other movable equipment related to such mine and Mining Operations located on the Mining Area of the Project, in each case, necessary for the development of the Project in accordance with the Mine Plan) (in all cases, excluding any of the foregoing in relation to the Gergarub Mining Licence).

"<u>Project</u> <u>Authorizations</u>" means all Licences and Other Rights (including environmental Licences) necessary for: (A) the development, construction and/or Mining Operations of the Project; and/or (B) the commencement and/or ongoing operation of commercial production transactions in relation to the Project.

"<u>Project</u> <u>Company</u>" means Rosh Pinah Zinc Corporation (Pty) Ltd, registered in the Republic of Namibia with company number [*Redacted - Personal Information*].

"<u>Project</u> <u>Costs</u>" means all capital expenditures incurred by the Project Company for the purposes of the development, construction and operation of the Project, including escalation, contingencies, initial working capital, taxes, duties, expenditures for plant equipment, spares and other capital goods, inventory, capital expenditures required to maintain the Project at its design capacity (including repairs and replacements funded by insurance proceeds), interest during construction, financing fees and expenses and other development costs.

"<u>Project</u> <u>Entity</u>" means each of the Project Company and the Seller.

"<u>Project</u> <u>Feasibility Study</u>" means the Project feasibility study dated 31 March 2021 and produced by AMC Consultants, and its addendum dated 13 December 2021 as subsequently updated on 27 November 2023 and as the same may be further amended, updated or supplemented from time to time.

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"<u>Project</u> <u>Property</u>" means all of the property, assets, undertaking and rights in and relating to the Project, whether now owned or existing or hereafter acquired or arising, including but not limited to, Project Real Property, leases, rights of access or use, servitudes, usufructs, personal property accounts, instruments, chattel paper, deposit accounts, certificates of deposit, intangibles, goods (including inventory, equipment and fixtures), cash, cash equivalents, receivables, letter of credit rights, supporting obligations, claims, causes of action and other legal rights and investment property; and all products, proceeds (including proceeds of proceeds), rents and profits of the foregoing and all books and records related to any of the foregoing (in all cases, excluding any of the foregoing in relation to the Gergarub Mining Licence).

"<u>Project Real Property</u>" means all immovable properties constituting the surface areas within the Mining Area together with any other immovable properties in each case which are or may be accessed, used, or required and/or occupied, in each case, for the purposes of the Project, including but not limited to the Mining Real Property and all mills, processing plants, Tailings storage facilities, buildings, structures, improvements, appurtenances and fixtures on the Mining Area or attached thereto which are or may be accessed, used, required and/or occupied for the purposes of the Project, and any term extension, renewal, replacement, conversion or substitution of any of the foregoing, whether or not such ownership or interest is held continuously (in all cases, excluding any of the foregoing in relation to the Gergarub Mining Licence).

"<u>Project</u> <u>Schedule</u>" means the schedule for the construction and commissioning of the Expansion consistent with the Construction Budget and the Mine Plan, as the same may be amended from time to time in accordance with this Agreement.

"<u>Public</u> <u>Official</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any officer, employee, director, principal, consultant, agent or representative whether appointed or elected, of any government (whether central, federal, state of provincial), ministry, body, department, agency, instrumentality or part of any of them, or any public international organisation, or any state or government owned or controlled entity, agency, enterprise, joint venture, or partnership; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any person acting in an official capacity for or on behalf of:

&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) any government, ministry, body, department, agency, instrumentality or part of any of them;

&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) any public international organisation; 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;(3) any political party or political party official or candidate for office.

"<u>Purchaser</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Original Purchaser; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) each other person who becomes the purchaser in accordance with the terms of Clause 7.4.

"<u>Purchaser</u> <u>Event of Default</u>" has the meaning set out in Clause 11.1.

"<u>Purchaser</u> <u>Excluded Tax Event</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any Transfer by the Purchaser; and/or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any: (1) change in the type of entity or jurisdiction of incorporation or domicile of the Purchaser; or (2) any creation of, or change in jurisdiction of, a permanent establishment by the Purchaser and through which the Purchaser exercises rights or performs obligations under this Agreement,

in each case occurring after the date of this Agreement.

"<u>Quarter</u>" means a period of three consecutive months commencing on 1 January, 1 April, 1 July or 1 October (as the case may be) in any year, other than the first Quarter of the Term, which shall be deemed to commence on the Commencement Date and expire on the date immediately preceding the next to occur of 1 January, 1 April, 1 July or 1 October (and references to "<u>Quarterly</u>" shall be construed accordingly);

"<u>Receiver</u>" means one or more receivers or managers appointed, or to be appointed, under any Finco Security Document.

"<u>Receiving</u> <u>Party</u>" has the meaning set out in Clause 6.9(A).

"<u>Refinancing</u> <u>Equivalent</u>" means, on and after the completion of a Senior Debt Refinancing, and in relation to a provision or term of the lntercreditor Agreement, any equivalent provision or term in such Replacement lntercreditor Agreement which is similar in meaning and effect.

"<u>Refined</u> <u>Silver</u>" means marketable metal bearing material in the form of silver bars or coins that is refined to standards meeting or exceeding 999 parts per 1,000 fine silver, and otherwise conforming to the LBMA specifications for good delivery, and if the LBMA ceases to publish such specifications then Clause 2.2(C) shall apply *mutatis mutandis* for the purposes of determining the applicable specifications.

"<u>Refinery</u>" means any refinery that is recognized by the LBMA at the relevant time as producing silver bars meeting the LBMA specifications for good delivery (and if the LBMA ceases to publish such specifications then either the Purchaser or the Seller may propose replacement specifications published by a successor which the Seller acting reasonably and the Purchaser acting reasonably shall consider and agree (if applicable) as a replacement) and chosen by the Seller from time to time provided that the Project Company has given the Purchaser at least 10 Business Days' written notice of such choice.

"<u>Refund</u> <u>Obligation</u>" has the meaning given to it in Clause 11.2(8).

"<u>Related Party</u>" means, with respect to any person (the "<u>First</u> <u>Named Person")</u>, any person that does not deal at arm's length with the First Named Person or is an Affiliate or a direct or indirect shareholder of the First Named Person (each an "<u>Affiliated</u> <u>Entity")</u> and, in the case of the Group Members includes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any Affiliated Entity of a Group Member;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any director, officer, employee or associate of a Group Member or any of its Affiliated Entities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any person that does not deal at arm's length with a Group Member or any of its Affiliated Entities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any person that does not deal at arm's length with, or is an associate of, a director, officer, employee or associate of a Group Member or any of its Affiliated Entities.

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"<u>Relevant</u> <u>Jurisdiction</u>" means, in relation to a Group Member:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the jurisdiction under whose laws it is incorporated as at the date of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any jurisdiction where it conducts its business.

"<u>Remaining</u> <u>Stream</u>" is the number of ounces of Silver Minerals remaining to be delivered to the Purchaser under the Agreement in accordance with the then current Mine Plan.

"<u>Restricted</u> <u>Payment</u>" means, with respect to a Project Entity, any payment (or repayment, as the case may be) by such Project Entity to any other Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) of any dividends or any other distribution on any shares of its capital or other equity interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) on account of (or for the purpose of setting apart any property for a sinking or other analogous fund for) the purchase, redemption, retirement or other acquisition of any shares of its capital or other equity interests or any warrants, options or rights to acquire any such shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) of any principal of, or interest or premium on (or of any amount in respect of a sinking or analogous fund or defeasance fund for), any Debt of such Project Entity owed to a Related Party of a Group Member;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) of any management, consulting or similar fee, or any material bonus or comparable payment, or material payment by way of gift or other gratuity, to any Related Party, unless such payment is (i) to a director, officer or employee of the Project Entities in that capacity and consists of reimbursement for reasonable and ordinary course expenses related to the business of any such entity incurred by such director, officer or employee in accordance with the policies in effect governing such reimbursements or (ii) in respect of any Permitted Management Fees; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) of any Debt provided to any Related Party,

in each case, excluding any payment or repayment in respect of any Debt under the Intra-Group Loan Agreements (including, for the avoidance of doubt, any set-off arrangements thereunder) for the purpose of putting the Seller in funds to perform any of its obligations under the Stream Documents.

"<u>RPBM</u>" means Rosh Pinah Base Metals (Proprietary) Limited (formerly known as Exxaro Base Metals (Namibia) (Proprietary) Limited), a limited liability company, duly incorporated and validly existing under the law of Namibia, with its registered address at [*Redacted - Personal Information*].

"<u>RPMH</u>" means Rosh Pinah Mine Holdings (Proprietary) Limited, a limited liability company, duly incorporated and validly existing under the law of Namibia, with its registered address at [*Redacted - Personal Information*].

"<u>Sanctioned</u> <u>Entity</u>" means: (A) a country or a government of a country; (B) an agency of the government of a country; (C) an organization directly or indirectly controlled by a country or its government; or (D) a Person resident in or determined to be resident in a country, in each case, that is subject to a country Sanctions program administered and enforced by OFAC or by any Governmental Body, the US Departments of State or Commerce in the United States of America, Her Majesty's Treasury, the United Nations Security Council, the European Union or OFAC.

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"<u>Sanctioned</u> <u>Person</u>" means: (A) any Person listed in any sanctions-related list of designated Persons maintained by any Governmental Body; or (B) a Person named on the list of Specially Designated Nationals maintained by OFAC, the Consolidated List of Financial Sanctions Targets and the Investments Ban List maintained and published by HMT and any similar list maintained and published, or a public announcement of a Sanctions designation made, by any Governmental Body, in each case as amended, supplemented or substituted from time to time.

"<u>Sanctions</u>" means economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by any Governmental Body, the US Departments of State or Commerce in the United States of America, the United Kingdom, the United Nations Security Council, the European Union or OFAC.

"<u>Security</u> <u>Documents</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Finco Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Transaction Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) to the extent and for so long as the same has been granted as security or collateral in connection with the requirements of any Senior Financing, any Additional Shared Senior Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any share security agreements granted pursuant to Clause 8.2; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) each and every notice, acknowledgment, certificate or document delivered under any of the foregoing.

"<u>Security</u> <u>Release Date</u>" has the meaning given to it in Clause 8.4.

"<u>Security</u> <u>SPV</u>" has the meaning given to it in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Security SPV Guarantee</u>" has the meaning given to the term Debt Security SPV Guarantee in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Selected</u> <u>Commodity Forecast Provider</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Consensus Economics; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if the silver price for the NPV Criteria cannot be calculated using Consensus Economics as the Selected Commodity Forecast Provider, Bloomberg L.P. or its affiliates.

"<u>Seller</u> <u>Event of Default</u>" has the meaning set out in Clause 10.1.

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"<u>Seller</u> <u>Funding Facility</u>" means the US[Redacted - Commercially Sensitive Information] interest-free loan advanced by [Redacted - Commercially Sensitive Information] LP to the Seller pursuant to an agreement between those parties dated 8 April 2024.

"<u>Seller</u> <u>Revenues Account</u>" means the bank account of the Seller, located in the [Redacted - Commercially Sensitive Information] with the following details:

[*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*]

[*Redacted - Commercially Sensitive Information*]

"<u>Senior</u> <u>Financing</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any arrangements in order to finance or re-finance (excluding equity funding) the cost of the development, construction and operation of the Project entered into between the Project Company (and/or any other Group Member(s)) and any commercial bank or other financial institution, any export credit agency, any development finance institution or any other person (provided that, at the time of entry into such arrangements, a majority of the finance providers (based on the USO value of commitments of such finance providers or the risk covered by such finance providers (as the case may be)) across the arrangements comprise any one or more (in any combination) of: (1) commercial banks, export credit agencies and development finance institutions as direct lenders; or (2) export credit agencies and development finance institutions through support arrangements, in each case including the Senior Facilities (as defined in the lntercreditor Agreement); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any secured Debt in respect of performance, surety or completion bonds, standby letters of credit or letters of guarantee:

&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) securing mine closure, asset retirement or environmental reclamation obligations of the Project Company (or reimbursement obligations in connection therewith) to the extent required by Applicable Laws or any Governmental Body; 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;(2) required to be provided under any Material Contract or any Offtake Agreement,

provided that (i) the aggregate amount of principal incurred under arrangements falling within paragraph (A) above shall not exceed US[Redacted - Commercially Sensitive Information] and (ii) any such principal incurred on or after any enforcement of any Transaction Security on an Attached Basis (as defined in the lntercreditor Agreement) is immediately used to repay the Senior Loans Deficiency (as defined in schedule 4 *(Attached Basis)* to the lntercreditor Agreement).

"<u>Shareholders</u> <u>Agreement</u>" means the shareholders agreement dated 20 December 2011 between Wilru Investments 134 (Pty) Ltd, Rosh Pinah Mine Holdings (Proprietary) Limited, Rosh Pinah Base Metals (Proprietary) Limited (formally known as Exxaro Base Metals (Namibia) (Proprietary) Limited), Jaguar Investments Four (Pty) Limited and PE Minerals (Namibia (Pty) Limited in relation to, and including as a party, the Project Company.

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"<u>Silver Market Price</u>" means the spot rate per ounce LBMA Silver Price PM in US dollars quoted by the London Bullion Market Association (in partnership with ICE Benchmark Administration as at the date of this Agreement) for Refined Silver on the relevant Delivery Date.

"<u>Silver Minerals</u>" means any and all silver or silver products whether in the form of ore, concentrate, metal bars and all other silver-bearing Minerals (including to the extent contained in any lead and silver concentrate), produced or taken from the Project Real Property (excluding any such silver or silver products produced or taken from property covered by the Gergarub Mining Licence or any other property which is not the Project Real Property).

"<u>Silver Minerals Underlying Delivery Month</u>" means in respect of a delivery or deliveries of Silver Minerals referred to in Clause 2.1(A), the month that such applicable quantity of Silver Minerals was delivered to an Offtaker pursuant to an Offtake Agreement.

For the avoidance of doubt, the Silver Minerals Underlying Delivery Month does not refer to the calendar month in which Delivery occurs under this Agreement, which is governed by Clause 2.3.

"<u>Silver Purchase Price</u>" has the meaning set out in Clause 2.5.

"<u>Smelter</u>" means any smelter (other than a smelter that is a Refinery) that processes Minerals in the form of silver bearing concentrate into a form of silver suitable for delivery to a Refinery.

"<u>Stream</u> <u>Documents</u>" means this Agreement, each of the Intra-Group Loan Agreements, the Intra-Group Loan Guarantee, the Counter Indemnity Agreement and each of the Security Documents, and each other agreement designated as a Stream Document by the Purchaser and the Seller.

"<u>Stream</u> <u>Obligations</u>" means all obligations of any kind owed to the Purchaser hereunder or under any other Stream Document, whether actual or contingent, direct or indirect, matured or not, now existing or hereafter arising.

"<u>Stream Transfer Certificate</u>" means a transfer certificate, substantially in the form set out in Schedule 3 *(Form of Stream Transfer Certificate),* further to which a Person transfers its rights and obligations under this Agreement to another Person.

"<u>Subsidiary</u>" means, with respect to any Person, any other Person which is Controlled directly or indirectly by that Person.

"<u>Tailings</u>" means the materials left over after the primary process of separating the valuable fraction from the uneconomical fraction of ore and excludes waste rock or other material that overlies an ore or mineral body and is displaced during mining without being processed.

<u>'Tax Returns</u>" means all returns, declarations, reports, estimates, information returns and statements required to be filed with any Governmental Body in respect of any Taxes, including any schedule or attachment thereto or amendment thereof.

"<u>Taxation</u> <u>Authority</u>" means any governmental or other authority, including any Governmental Body, competent to impose Tax in any jurisdiction.

<u>'</u><u>Taxes</u>" includes all forms of taxation actually imposed, collected or assessed by, or payable to any Taxation Authority having jurisdiction over a Group Member (regardless of whether such is directly or primarily chargeable against or attributable to any Group Member, and regardless of whether any Group Member has, or may have any right of reimbursement) and shall include statutory and governmental taxes, charges, imposts, duty, contributions and levies, withholdings and deductions, whenever imposed and all related penalties, charges, costs and interest whether by way of assessment or otherwise, and "<u>Tax</u>" and "<u>Taxation</u>" shall have a corresponding meaning.

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<u>'Term</u>" has the meaning set out in Clause 4.1(A).

"<u>Termination</u> <u>Notice</u>" means written notice to the Seller from the Purchaser terminating (and which will have the effect of terminating) this Agreement further to a Seller Event of Default including the calculation of the Early Termination Amount.

"<u>Territory</u>" means the territory of the Republic of Namibia includes the territorial sea as well as the exclusive economic zone and the continental shelf, over which Namibia exercises sovereign rights in accordance with its internal law and subject to international law, concerning the exploration and exploitation of the natural resources of the sea-bed and its subsoil and the superjacent waters, as defined respectively in sections 2, 4 and 6 of the Territorial Sea and Exclusive Economic Zone of Namibia Act, 1990 (Act No. 3 of 1990).

"<u>Transaction</u> <u>Security</u>" has the meaning given to that term in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Transaction</u> <u>Security</u> <u>Documents</u>" has the meaning given to that term in the lntercreditor Agreement or any Refinancing Equivalent.

"<u>Transfer</u>" means to, directly or indirectly, sell, transfer, assign, cede, convey, dispose or otherwise grant a right, title or interest (including, without limitation, expropriation, other transfer required or imposed by law or any Governmental Body, and/or any other right entitling a Person to exercise and/or enjoy any rights under a Stream Document), whether voluntary or involuntary.

"<u>Transfer</u> <u>Date</u>" has the meaning given to it in Clause 7.6.

"<u>Transferee</u>" has the meaning given to it in Clause 7.6.

"<u>Uncredited</u> <u>Balance</u>" means, at any time, an amount equal to the Prepayment Amount advanced by the Purchaser to the Seller *less* cumulative amounts applied to pay the Silver Purchase Price in respect of Refined Silver further to Clause 2.5(A)(2).

"<u>Unpaid</u> <u>Prepayment Amount</u>" has the meaning set out in Clause 11.1(A).

"<u>U.S.</u> <u>Consumer Price Index</u>" means the index of average retail prices as published by the Bureau of Labor Statistics from time to time or, failing such publication, the index that the Parties agree most closely resembles that index.

"<u>Utility</u> <u>Commitment</u>" means any water service commitments and agreements, transmission or electrical service commitments and agreements and other utility commitments and agreements including commitments or agreements to construct or provide the infrastructure, rights of way and easements necessary to provide the aforementioned utility services.

"<u>VAT</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any tax provided for in the Namibian Value Added Tax, Act 2000;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any tax imposed in compliance with the Council Directive of 28 November 2006 on the common system of value added tax (EC Directive 2006/12); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any other tax of a similar nature, whether imposed in a member state of the European Union in substitution for, or levied in addition to, such tax referred to in paragraph (B) above, or imposed elsewhere.

"<u>Warranties</u>" means the representations and warranties contained in Clause 9.1 and "<u>Warranty</u>" shall be construed accordingly.

"<u>Wilru</u>" means Wilru Investments One Hundred and Thirty-Four (Proprietary) Limited, a limited liability company, duly incorporated and validly existing under the law of Namibia, with its registered address at [*Redacted - Personal Information*].

"<u>Working</u> <u>Capital Facility Agreement</u>" has the meaning given to that term in the lntercreditor Agreement.

**1.2** **Certain Rules of Interpretation**

Except as may be otherwise specifically provided in this Agreement and unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The terms "<u>Agreement</u>"<u>,</u> "<u>this</u> <u>Agreement",</u> "<u>the</u> <u>Agreement",</u> "<u>hereto", "hereof',</u> "<u>herein", "hereby", "hereunder</u>" and similar expressions refer to this Agreement in its entirety and not to any particular provision hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) References to a "<u>Clause</u>" or "<u>Schedule</u>" followed by a number or letter refer to the specified Clause or Schedule to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Schedules to this Agreement form part of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) Headings of Clauses and sections are inserted for convenience of reference only and shall not affect the construction or interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) References to a Party in this Agreement mean the Party or its successors or permitted assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) Where the word "<u>including</u>" or "<u>includes</u>" is used in this Agreement, it means "<u>including</u> <u>without limitation</u>" or "<u>includes</u> <u>without limitation".</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) Words importing the singular include the plural and vice versa and words importing gender include all genders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) A reference to an agreement includes all schedules, exhibits and other appendices attached thereto and shall include all subsequent amendments and other modifications thereto, but only to the extent such amendments and other modifications are not prohibited by the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) A reference to a statute includes all regulations made pursuant to and rules promulgated under such statute and, unless otherwise specified, any reference to a statute or regulation includes the provisions of any statute or regulation which amends, supplements or supersedes any such statute or any such regulation from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) Time is of the essence in the performance of the Parties' respective obligations under this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) In this Agreement a period of days shall be deemed to begin on the first day after the event which began the period and to end at 5:00 pm (London time) on the last day of the period. Whenever any payment is required to be made, action is required to be taken or period of time to expire on a day other than a Business Day, such payment shall be made, action shall be taken or period shall expire on the next following Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(L) Unless specified otherwise in this Agreement, all statements or references to dollar amounts or "US$" amounts in this Agreement are to United States dollars.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(M) References to an "<u>ounce</u>" are to a troy ounce (being equal to 31.1034768 grams).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(N) References in this Agreement to an obligation of a Group Member or an Intra-Group Loan Guarantor to do or not do anything include an obligation on the Seller to procure that such Group Member or Intra-Group Loan Guarantor does or does not do such thing (as applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(O) A Seller Event of Default or a Material Breach Event will be "<u>continuing</u>" until such time that it is remedied or waived by the Purchaser, provided that such remedy or waiver shall in no way restrict the Purchaser from making a claim in respect of, and recovering, any Losses arising out of or in connection with such Seller Event of Default or such Material Breach Event pursuant to Clause 10.2 or 10.5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(P) A Purchaser Event of Default will be "<u>continuing</u>" until such time that it is remedied or waived by the Seller, provided that such remedy or waiver shall in no way restrict the making of any claim in respect of and recovery of any Losses arising out of or in connection with such Purchaser Event of Default pursuant to Clause 11.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Q) The terms of this Agreement having been negotiated, the rule of construction that provisions are to be construed against the party drafting an agreement or part of an agreement or on whose behalf an agreement or part of an agreement was drafted shall not apply to this Agreement.

**1.3** **Accounting Principles**

Where the character or amount of any asset or liability or item of revenue or expense is required to be determined, or any consolidation or other accounting computation is required to be made, for the purposes of this Agreement, including the contents of any certificate to be delivered hereunder, such determination, consolidation or computation shall, unless the Parties otherwise agree or the context otherwise requires, be made in accordance with IFRS.

**1.4** **Indexation**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The amounts <u>("Indexed Amounts")</u> referred to in paragraphs (A)(?) and G) of the definition of "Permitted Debt and Obligations", and Clauses 5.8(C), 9.1(8)(16), 10.1(A)(2) and 10.1(K) of this Agreement, increase by the percentage increase in the U.S. Consumer Price Index.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Indexed Amounts shall increase at the end of each 12 month period from the date of this Agreement by any percentage increase in the U.S. Consumer Price Index for the preceding 12-month period.

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**1.5** **No Subordination**

The use of the term Permitted Encumbrances to describe any interests and Encumbrances permitted hereunder shall mean that they are permitted to exist (whether in priority to or subsequent in priority to the Security), and shall not be interpreted as meaning that such interests and Encumbrances are entitled to priority over the Security, except as permitted or required under the lntercreditor Agreement.

**1.6** **The lntercreditor Agreement and the Stream Documents**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The rights of the Parties under, and in respect of, this Agreement and any of the other Stream Documents shall be exercised in accordance with, and subject to, the provisions of the lntercreditor Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) In the case of any conflict or inconsistency between the provIsIons of the lntercreditor Agreement and any of the Stream Documents, the provisions of the lntercreditor Agreement shall prevail to the extent of such conflict or inconsistency.

**2.** <u>**PURCHASE AND**</u> <u>**SALE**</u>

**2.1** **Purchase and Sale of Refined Silver**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Subject to and in accordance with the terms of this Agreement, commencing on the Commencement Date and until the end of the Term, the Seller hereby agrees to sell to the Purchaser, and the Purchaser hereby agrees to purchase from the Seller, in respect of each Lot, an amount of Refined Silver equal to the Designated Metal Percentage of Payable Silver from such Lot, free and clear of all Encumbrances at the Delivery Time, until the end of the Term or earlier termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The amount of Refined Silver to be delivered by the Seller to the Purchaser under Clause 2.1(A) shall be measured by the amount of Payable Silver in the Silver Minerals received by the Offtaker as determined by the provisional or final (as applicable) Offtaker Settlement Sheets further to Clause 2.3(A), and in respect of any Lot for which such amount of Refined Silver is determined by reference to a provisional Offtaker Settlement Sheet then in the calendar month following receipt of the relevant final Offtake Settlement Sheet the amount of Refined Silver sold and Delivered shall be adjusted (upwards or downwards as applicable) to take account of any difference in the amount of Payable Silver evidenced by the final Offtaker Settlement Sheet relative to the provisional Offtaker Settlement Sheet.

Payable Silver shall not be reduced for, and the Purchaser shall not be responsible for, any Taxes, refining charges, treatment charges, penalties, deductions, set-off, insurance charges, transportation charges, settlement charges, financing charges or price participation charges, or other similar charges or deductions, regardless of whether such charges or deductions are expressed as a specific metal deduction, as a recovery rate or otherwise, in any case, pursuant to the terms of the applicable Offtake Agreement or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Refined Silver shall not be reduced for, and the Purchaser shall not be responsible for any refining charges, treatment charges, penalties, deductions, set-off, insurance charges, transportation charges, settlement charges, financing charges or price participation charges, or other similar charges or deductions or expenses pertaining to and/or in respect of the Refined Silver sold and delivered to it hereunder, regardless of whether such charges or deductions are expressed as a specific metal deduction, as a recovery rate or otherwise under any agreement, all of which shall be for the account of the Seller.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Seller shall not sell to the Purchaser any Refined Silver that has been directly or indirectly purchased on a commodities exchange, provided however that the foregoing will in no way prohibit the Seller from selling and Delivering to the Purchaser Refined Silver that the Seller has purchased from a bullion bank, where such bullion bank is acting as principal and not as an agent of the Seller or any of its Affiliates. The Seller shall not sell and Deliver to the Purchaser the physical Refined Silver resulting from Produced Silver.

**2.2** **Product Specifications**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Refined Silver delivered by the Seller to the Purchaser (in accordance with Clause 2.3) pursuant to this Agreement need not come from silver physically produced at the Project.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Refined Silver to be delivered by the Seller to the Purchaser pursuant to this Agreement shall conform in all respects with the LBMA specifications for good delivery of silver bars under the Good Delivery Rules published by the LBMA from time to time, and the Purchaser shall not be required to purchase any Refined Silver that does not meet such specifications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) If the LBMA ceases to exist or ceases to publish specifications for the good delivery of silver or such specifications should no longer be internationally recognized as the basis for good delivery of silver, the Purchaser and the Seller shall promptly meet to agree on new specifications for determining good delivery of Refined Silver. Until replacement specifications for good delivery of silver are mutually agreed on by the Purchaser and the Seller in writing, deliveries of Refined Silver by the Seller to the Purchaser under this Agreement shall conform to the last set of specifications for good delivery of silver in effect under this Agreement immediately prior to the time such specifications ceased to be published or recognized and these specifications shall be the good delivery specifications for the purposes of this Agreement.

**2.3** **Delivery Obligations**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) In respect of sales of Refined Silver further to Clause 2.1(A), on or (at the Seller's absolute discretion which, by way of non-exhaustive example, it may choose to exercise in accordance as a result of the quotational period chosen by the Offtaker pursuant to the Offtake Agreement) before the fourth Business Day in the fifth calendar month following the applicable Silver Minerals Underlying Delivery Month, the Seller shall Deliver to the Purchaser Refined Silver in an amount equal to the Designated Metal Percentage of Payable Silver in respect of each such Lot (as adjusted further to Clause 2.1(B) if applicable) as supported by the documentation required pursuant to Clause 2.4(B), provided that if the Project Company does not receive payment at least equal to 85% of the estimated final amount due from the Offtaker (in accordance with the relevant Offtake Agreement), as set out in the relevant Offtaker Settlement Sheet, in respect of Silver Minerals delivered to such Offtaker in the relevant Silver Minerals Underlying Delivery Month until later than the 15<sup>th</sup> Business Day of the fourth calendar month following the Silver Minerals Underlying Delivery Month, then the date for such Delivery shall be extended by a number of days equal to the duration of such delay plus an additional five days.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall sell to the Purchaser and Deliver to the Purchaser all Refined Silver to be sold and Delivered under this Agreement by way of:

&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) unallocated; 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;(2) with the prior written consent of the Purchaser (acting reasonably), allocated,

credit (in metal) to the respective metal account or accounts in England designated by the Purchaser, and promptly notified to the Seller by the Purchaser by electronic communication from time to time no later than ten Business Days prior to anticipated first Delivery (and with any changes to the metal account or accounts to be notified no later than ten Business Days prior to any subsequent Delivery, provided that: (i) the Seller shall have received from the Purchaser completed "Know-Your-Client" questionnaires in respect of any metal account holder and any metal account provider required to ensure compliance with Applicable Laws and internal "Know-Your-Client" procedures of the Parent, the Project Company or the Seller which are generally applicable to counterparties of the Parent, the Project Company or the Seller; and (ii) if any metal account is designated outside England, Switzerland, Singapore or Canada (or any other jurisdiction consented to in writing by the Seller), any changes to the metal account or accounts must be notified no later than 90 days in advance).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Transfer of beneficial ownership in and title to, and risk of loss of, Refined Silver shall pass from the Seller to the Purchaser at the Delivery Time on the Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) All costs and expenses pertaining to each Delivery of Refined Silver to the Purchaser shall be borne by the Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) The Seller hereby represents and warrants to and covenants with the Purchaser 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;(1) immediately prior to the Delivery Time, the Seller will be the sole legal and beneficial owner of the Refined Silver to be delivered 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;(2) immediately prior to the Delivery Time, the Seller will have good, valid and marketable title to such Refined Silver; 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;(3) at the Delivery Time such Refined Silver will be free and clear of all Encumbrances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The obligation of the Seller to deliver Refined Silver under this Agreement shall be satisfied by the Delivery of the appropriate amount of Refined Silver in accordance with this Clause 2.3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) In respect of any Purchaser that is not the Original Purchaser, the Seller's obligation to deliver and fulfil its obligations under this Clause 2.3 in connection with Deliveries of Refined Silver to the Purchaser shall be subject to the Seller receiving the information referred to in Clause 7.4(0).

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**(**H**)** The Parties acknowledge that any Delivery of the Refined Silver shall in all instances occur outside the Territory and agree for the avoidance of doubt that all costs in respect of such Delivery shall be for the Seller's account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) Where the Seller, the Project Company or any of their Affiliates has received payment under an insurance policy in respect of a shipment of Silver Minerals to any Offtaker that is lost or damaged after leaving the Project Real Property (collectively, "<u>Lost</u> <u>Shipment")</u> and before the risk of loss or damage is transferred to the Offtaker, the Seller shall procure that a portion of the Net Proceeds (of any insurance payment received by it, the Project Company or the relevant Affiliate in respect thereof) shall be used to acquire a *pro rata* proportion of the required quantities of Refined Silver in an amount equal to the Designated Metal Percentage of Payable Silver sold under an Offtake Contract that would have represented the overall value of the Lost Shipment (based on the provisional weights and assay) and shall sell and deliver to the Purchaser (in accordance with Clause 2.3) (without duplication to the extent previously sold and delivered to the Purchaser (in accordance with Clause 2.3) by the Seller) such Refined Silver at the Silver Purchase Price.

**2.4** **Delivery Notifications and Monthly Invoicing**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) On or before the 20<sup>th</sup> Business Day after the end of each Silver Minerals Underlying Delivery Month (or, if later, promptly following the date on which the same become available under the Offtake Agreement), the Seller shall send the Purchaser, by email (at such email address designated by the Purchaser in respect the Purchaser in writing from time to time), copies of available Offtaker Settlement Sheets and other Offtaker statements, invoices or receipts for that Silver Minerals Underlying Delivery Month, or if the sharing of such documents is restricted by applicable confidentiality restrictions or Applicable Laws, such other information that would allow the Purchaser to verify all aspects of the Deliveries of Refined Silver and compliance with other provisions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Subject to any Delivery extension pursuant to Clause 2.3(A), at least four Business Days prior to the Delivery Date, the Seller shall deliver a pre-invoice notification to the Purchaser, in form acceptable to the Purchaser, by email (at such email address as may be designated by the Purchaser in respect of the Purchaser in writing from time to time), detailing the sale and Delivery of Refined Silver further to 2.1(A) in the fourth calendar month following the Silver Minerals Underlying Delivery Month, that shall include, in each case, for that calendar month:

&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) a calculation of the number of ounces of Refined Silver to be sold to the Purchaser and Delivered 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;(2) the Delivery Dates;

&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) in respect of the relevant Lot(s), copies of any provisional or final assays (as applicable), which shall be carried out in accordance with Good Industry Practice, and (if applicable) details of any increase or decrease in the quantity of Produced Silver shown by any such final assay compared to the relevant provisional assay;

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&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) Offtaker Settlement Sheets (as applicable) on which the calculation is based, or if the sharing of such documentation is restricted by Applicable Law or the Delivery has been completed in advance of receipt of the Offtaker Settlement Sheets, such other information that will allow the Purchaser to verify the Delivery of Refined Silver, including in each case reference to the relevant Offtake Agreement(s);

&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) the remaining Uncredited Balance immediately prior to and immediately after the sale and Delivery of Refined Silver; 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;(6) such other information as may be reasonably requested by the Purchaser (acting reasonably) to allow it to verify all aspects of the Delivery of Refined Silver reflected in such pre-invoice notification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) On or before the first Business Day immediately following the Delivery Date, the Seller will confirm in writing 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;(1) the number of ounces of Refined Silver sold to the Purchaser and Delivered 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;(2) the Silver Market Price for Refined Silver on the relevant Delivery Date and Delivery Times; 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;(3) the Silver Purchase Price for Refined Silver sold to the Purchaser and Delivered to the Purchaser and to be paid in accordance with Clause 2.6.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) On or before the second Business Day immediately following the Delivery Date, the Seller shall deliver an invoice to the Purchaser, in form acceptable to the Purchaser, by email (to such email address designated by the Purchaser in writing from time to time), detailing the sale and Delivery of Refined Silver based on the confirmations and calculations set out in Clause 2.4(C).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) Subject to any Delivery extension pursuant to Clause 2.3(A), the Seller shall give the Purchaser at least four Business Days' notice of the Delivery Date and the number of ounces of Refined Silver to be sold to the Purchaser and Delivered to the Purchaser on such Delivery Date.

**2.5** **Silver Purchase Price**

The Purchaser shall pay to the Seller a purchase price for each ounce of Refined Silver sold and Delivered by the Seller to the Purchaser under this Agreement (the "<u>Silver</u> <u>Purchase Price")</u> equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) until the Prepayment Reduction Date, the Silver Market Price, payable: (1) in cash or by wire transfer equal to the Cash Price; and (2) an amount equal to the difference between such Silver Market Price and the Cash Price will be credited against the advanced Prepayment Amount in order to reduce the Uncredited Balance until it has been credited and reduced to nil; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) after the Prepayment Reduction Date, the Cash Price, payable in cash or by wire transfer.

The Silver Purchase Price (determined by the Silver Market Price as established by the price in US dollars quoted by the London Bullion Market Association) is the consideration for selling the Refined Silver in respect of each Delivery and invoice, including where set off against the Prepayment Amount.

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**2.6** **Payment for Refined Silver**

Payment by the Purchaser for each Delivery of Refined Silver shall be made: (A) on the third Business Day following the Delivery Date; and (B) to the Seller Revenues Account.

**2.7** **Currency and Method of Payments**

All payments of funds due by one Party to another under this Agreement shall be made in US Dollars and shall be made by wire transfer in immediately available funds to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) in respect of payments to the Seller, the Seller Revenues Account; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in respect of payments to the Purchaser or any other Indemnified Party, such bank account or accounts (which must be outside Namibia) designated by the receiving Person in writing from time to time.

**2.8** **Form of invoices**

All invoices issued by the Seller further to this Clause 2 must be in the form as required by Applicable Law for the purposes of relying on any applicable VAT zero-rating and any required supporting documentary evidence must be retained as required by Applicable Law.

**2.9** **Benchmark Replacement**

In the event that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the LBMA Silver Price is no longer quoted by the London Bullion Market Association, the Silver Market Price or any spot price referenced in this Agreement shall be determined by reference to the price of Refined Silver in the manner then endorsed by the London Bullion Market Association, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the London Bullion Market Association ceases to be in operation or does not, or ceases to, make such an endorsement as referred to in Clause 2.9(A), the Silver Market Price or any other spot price referenced in this Agreement shall be determined by reference to the price of Refined Silver in the manner endorsed by the Silver Institute, failing which price will be determined by reference to the price of Refined Silver on a commodity exchange mutually acceptable to the Seller and the Purchaser, each acting reasonably.

**3.** <u>**PREPAYMENT**</u>

**3.1** **Payment**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) In consideration for the sale to the Purchaser by the Seller and Delivery by the Seller to the Purchaser of Refined Silver, on the date and in the amount set out in Clause 3.1(E) (but subject to Clauses 3.3 to 3.4), the Purchaser agrees to pay to the Seller, and the Seller agrees to accept, the Prepayment Amount in connection with, and as a prepayment of, the Silver Purchase Price further to Clause 2.5.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Without prejudice to remedies under Clauses 10.2 and 11.2, the Purchaser will not be entitled to demand repayment of the Prepayment Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) No interest will be payable by the Seller on or in respect of the Prepayment Amount.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) For the avoidance of doubt, the Prepayment Amount shall not be applied as consideration or as payment made for the sale and Delivery of Refined Silver unless and until the Seller applies the Prepayment Amount further to Clause 2.S(A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) Subject to Clauses 3.3 to 3.4, the Purchaser will pay the Prepayment Amount into the Seller Revenues Account on a date to be selected by the Seller upon at least ten Business Days' written notice to the Purchaser, subject to the satisfaction of the conditions set forth in Clause 3.3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The date upon which the Prepayment Amount is paid by the Purchaser shall be referred to in this Agreement as the "<u>Prepayment</u> <u>Date".</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) A notice from the Seller notifying the Purchaser of the Prepayment Date shall be referred to in this Agreement as the "<u>Prepayment</u> <u>Notice".</u>

**3.2** **Use of Prepayment Amount**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Seller must utilise the full Prepayment Amount to repay the Seller Funding Facility in full.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) In addition, the Seller will procure that the Project Company shall apply an aggregate amount equal to the Prepayment Amount (less any amounts received by the Project Company by way of Initial Funding Advances which the Project Company has already so applied) to develop the Project in accordance with the Mine Plan, in order to produce Silver Minerals, thus enabling the Seller to deliver the required amounts of Refined Silver to the Purchaser in accordance with Clauses 2.1 and 2.2. To the extent that such amount has not yet been so applied, the Seller shall procure that the Project Company ensures that such amount is available, as and when required, to be so applied.

**3.3** **Conditions Precedent to the Prepayment Amount**

The obligation of the Purchaser to pay the Prepayment Amount under Clause 3.1(A), and as described in Clause 3.1(E), shall be subject to the following conditions having been satisfied (or waived in writing by the Purchaser) as at the Prepayment Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) all of the representations and warranties made by the Seller pursuant to this Agreement shall be true and correct in all material respects (other than those representations and warranties which are subject to a materiality qualifier, which representations and warranties shall be true and accurate in all respects) as at the Prepayment Date by reference to the facts and circumstances at such time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) no Seller Event of Default or Material Breach Event (or event which with notice, determination or lapse of time or any combination of them would become a Seller Event of Default or Material Breach Event) shall have occurred and be continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) an officer of the Seller shall have executed a certificate, in form and substance satisfactory to the Purchaser (acting reasonably), dated as of the Prepayment Date and addressed to the Purchaser, as to: (1) certification of the matters set forth in Clauses 3.3(A) and 3.3(8); (2) its constitutional documents; (3) the resolutions of its board of directors (or equivalent) authorizing the execution, delivery and performance of this Agreement and the other Stream Documents to which it is party and the transactions contemplated hereby and thereby; (4) the names, positions and true signatures of the persons authorized to sign this Agreement and the other Stream Documents to which it is a party on its behalf; and (5) such other matters pertaining to the transactions contemplated hereby as the Purchaser may reasonably require;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the Purchaser shall have received a copy of all Material Contracts and Material Project Authorizations that have been entered into or obtained on or before the Prepayment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the Stream Documents shall have been executed and delivered by all parties thereto (other than the Purchaser) and are in full force and effect, in form and substance satisfactory to the Purchaser (acting reasonably), and copies thereof have been provided to the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) each Intra-Group Loan Agreement and the Intra-Group Loan Guarantee shall have been executed and delivered by all parties thereto and each is in full force and effect, in form and substance satisfactory to the Purchaser (acting reasonably), and copies thereof have been provided to the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) no Order or Applicable Law which restrains, enjoins, prohibits or otherwise makes illegal the consummation of the transactions contemplated by the Stream Documents shall be in effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) no action or proceeding, at law or in equity, shall be pending or threatened by any Person or Governmental Body to restrain, enjoin or prohibit the consummation of the transactions contemplated by the Stream Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) any and all approvals required by the Bank of Namibia in respect to all of the payments and obligations of any Project Entity under, and transactions contemplated by, the Stream Documents requiring such approval, as applicable, have been duly obtained in writing in accordance with the requirements of the Exchange Control Regulations (with no Person having any right to terminate, suspend, cancel or revoke any of the foregoing);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) the Anti-Corruption Policy remains in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) the Prepayment Date is on or before the Prepayment Long Stop Date (or such other date as the Purchaser and Seller agree in writing);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(L) the lntercreditor Agreement shall have been executed by the Original Purchaser, the Seller, the Security SPV, the Project Company and any other relevant Related Parties subject to its terms; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(M) the Purchaser shall have received a copy of the Construction Budget in form and substance satisfactory to it.

**3.4** **Satisfaction of Conditions Precedent**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Group Members shall use their commercially reasonable efforts to fulfil the conditions in Clause 3.3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Parties shall co-operate in exchanging such information and providing such assistance as may be reasonably required in connection with the foregoing. The Purchaser will act reasonably promptly in giving their view as to the acceptability of evidence provided in respect of any conditions set forth in Clause 3.3.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Each of the conditions set forth in Clause 3.3 is for the exclusive benefit of the Purchaser, and may be waived by the Purchaser in its sole discretion in whole or in part in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) For greater certainty, the absence of satisfaction of any or all of the conditions set forth in Clause 3.3 shall not relieve the Seller from its obligations under this Agreement.

**4.** <u>**TERM**</u>

**4.1** **Term**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) This Agreement shall be effective on the Commencement Date and, subject to Clause 4.1(B), shall continue until 40 years after the date of this Agreement (the "<u>Initial</u> <u>Term")</u> and shall automatically be extended for successive 20-year periods (each an "<u>Additional</u> <u>Term</u>" and, together with the Initial Term, the <u>''Term"),</u> unless, in each case, there has been no active Mining Operations during the last 20 years of the Initial Term or throughout such Additional Term, as applicable, in which case this Agreement shall terminate at the end of the Initial Term or such Additional Term, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) This Agreement may also be terminated by the Parties on mutual written consent or by either Party if so entitled in accordance with Clauses 10 or 11.

**4.2** **Survival**

The following provisions shall survive termination of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Clause 2.6 (in respect of any Refined Silver Delivered prior to such termination);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Clause 2.7;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Clause 5.9 (in respect of any periods prior to such termination);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) Clause 6.9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) Clause 12;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) Clause 13;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) Clause 14; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) such other provisions of this Agreement as are required to give effect to the foregoing.

**5.** <u>**REPORTINGj BOOKS AND RECORDSj INSPECTIONS**</u>

**5.1** **Geological and Engineering Reports and Mine Plan**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Until the Security Release Date, the Seller shall procure that the Project Company shall, if the Parent is listed on a public securities exchange, promptly deliver to the Purchaser a copy of any final technical reports which have been prepared in accordance with any relevant listing rules or regulations, and updated publicly available mineral reserve and mineral resource estimates produced that pertain to the Project, in each case, no more than once per calendar year.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) On or before 28 February in each calendar year during the Term, the Seller shall procure that the Project Company shall deliver to the Purchaser of a copy of an updated Mine Plan (provided that the Seller and the Purchaser may from time to time agree that the Seller shall procure that the Project Company provides an updated Mine Plan to the Purchaser at an additional time).

**5.2** **Monthly Construction Reports**

Until the Completion Date, within 30 days of the end of the relevant calendar month, the Seller shall procure that the Project Company shall provide to the Purchaser a Monthly Construction Report (together with any additional production information as the Purchaser may reasonably require in writing from time to time) for the calendar month having most recently ended.

**5.3** **Operation and Production Reports**

From the Commercial Production Date, within 30 days of the end of the relevant calendar month until the end of the Term, the Seller shall procure that the Project Company shall provide to the Purchaser an Operation and Production Report for the calendar month having most recently ended.

**5.4** **Financial Reports**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Project 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;(1) Within 60 days after the end of each of the Project Company's first, second and third fiscal quarters, the Seller shall provide to the Purchaser a copy of the Project Company's unaudited management accounts for such fiscal quarter.

&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) Within 150 days after the end of each of the fiscal years of the relevant company, the Seller shall provide to the Purchaser a copy of the audited annual financial statements of the Project Company for such fiscal year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Seller**

&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) Upon written request from the Purchaser, within 60 days after the end of each of the Seller's first, second, third and fourth fiscal quarters, the Seller shall provide to the Purchaser a copy of the Seller's unaudited financial statements for such fiscal quarter.

**5.5** **Other Reports**

The Project Company shall promptly deliver or furnish, or cause to be delivered or furnished, to the Purchaser a copy of any material reports, certificates, documents and notices relating to the Project which are received or delivered by or on behalf of a Group Member in connection with Key Transaction Documents or Material Project Authorizations to the extent not already delivered to the Purchaser under the Stream Documents.

**5.6** **Copies of Material Contracts and other information**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Until the Security Release Date, the Seller shall promptly deliver or furnish, or cause to be delivered or furnished, to the Purchaser a copy of:

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&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) any new Material Contract or any amendment or revision to any existing Material Contract; 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;(2) any new Material Project Authorization, or amendment, revIsIon, reissuance or replacement of any existing Material Project Authorization.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Until the Completion Date, the Seller shall promptly deliver or furnish, or cause to be delivered or furnished, to the Purchaser a copy of each Construction Budget and any material amendment, revision or supplement to the Construction Budget or Project Schedule.

**5.7** **Notice of Completion**

The Seller shall provide the Purchaser with written notice of the Completion Date within 20 Business Days of the occurrence thereof.

**5.8** **Notice of Adverse Impact**

The Seller shall provide the Purchaser with written notice of the occurrence of each of the following events and circumstances reasonably promptly upon a Project Entity becoming aware of or having knowledge of such event or circumstance:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any Seller Event of Default or a Material Breach Event, or any event or circumstance which with notice or lapse of time or both would become a Seller Event of Default or a Material Breach Event or may result in a Seller Event of Default or a Material Breach Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the details of any litigation, arbitration or administrative proceedings which are current, threatened in writing or pending against any Group Member which is reasonably likely to be adversely determined and, if so determined, would or would reasonably be expected to have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any event, circumstance or fact that is expected to give rise to a "default" or an "event of default" or similar (howsoever defined) under any Senior Financing or any other agreement in respect of Debt of the Project Entities or any Group Member in a principal amount of US$[Redacted - Commercially Sensitive Information] or more without any amendments or waivers from the creditor party(ies) thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) to the extent not already notified under a preceding paragraph of this Clause 5.8, details of any material environmental, health or safety violations and/or material violations of any Applicable Laws, Anti-Corruption Laws, Anti-Money Laundering Laws or any non-compliance with the Anti-Corruption Policy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any other condition or event which has resulted in a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) the loss of or material non-compliance with the terms of, or any threat (in writing) by a Governmental Body or (in the case of the Operating Agreement) the Mining Licence Holder to revoke or suspend, any Material Project Authorization or the Operating Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) until the first anniversary of the Prepayment Long Stop Date, a Warranty given by the Seller under this Agreement is not true and correct in all material respects; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any material dispute or material disturbance relating to the Project that involves local communities if such dispute or disturbance could affect the development or operation of the Project in accordance with the Mine Plan,

in each case, accompanied by a written statement by a senior officer of the Project Company setting forth details of the event(s) or circumstance(s) referred to therein.

**5.9** **Books and Records**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Seller shall procure that the Project Company shall keep true, complete and accurate books and records of all of its respective operations and activities with respect to the Project and this Agreement, including the mining and production of all Silver Minerals from the Project Real Property and the mining, treatment, processing, milling, transportation and sale or refining of all Silver Minerals, and all operating or capital costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall procure that the Project Company and the Group Members shall permit the Purchaser (and its professional advisors) to perform audits or other reviews and examinations of their books and records and other information relevant to the production, Delivery and determination of Refined Silver under this Agreement and compliance with this Agreement from time to time at reasonable times on not less than five Business Days' notice, provided that the Purchaser will not exercise such rights more often than once during any calendar year absent the existence of a Seller Event of Default or a Material Breach Event, or absent a material deficiency identified during a previous audit or review, in which case such rights may be exercised at such periods as may be reasonably determined by the Purchaser (and in any event at least once during any Quarter) until no material deficiencies are identified during three consecutive audits or reviews, at which point the Purchaser will once again be limited to exercising such rights not more than once per calendar year. The Purchaser shall use its commercially reasonable efforts to diligently complete any audit or other examination permitted hereunder. Such audit or other review or examination shall be at the Purchaser's expense, provided that, if it is established by such audit or other review or examination, or further to a Dispute (as defined in Clause 14.1), that the amount of Refined Silver Delivered on a given Delivery Date was less than the amount that should have been Delivered under this Agreement by 10 per cent or more, then the Seller shall immediately on demand pay the costs of such audit or other review or examination to the Purchaser.

**5.10** **Inspections**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Subject to Clause 5.1O(B), not more than once every 12 months upon no less than ten Business Days' notice to the Seller (and subject at all times to the workplace rules and health and safety Applicable Laws and requirements, and supervision of the Project Company), the Seller shall procure that the Project Company shall grant, or cause to be granted, to the Purchaser and the Independent Engineer and individuals nominated by them, at reasonable times, the right to access the Project Real Property and other facilities of the Project, in each case to monitor the construction and operation of the Project and compliance with this Agreement during the Term. The Purchaser shall use its commercially reasonable efforts to not interfere with development, mining or processing work conducted on the Project Real Property. No more than five individuals may attend.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) All access granted pursuant to Clause 5.10(A) and related inspections shall be at the sole risk and expense of the Purchaser, the Independent Engineer or its nominees (as applicable), provided that prior to the Completion Date, the Seller shall bear any reasonable, documented out-of-pocket expenses which are not related to risk.

**5.11** **Offtakers**

The Seller shall provide the Purchaser with written notice promptly upon becoming aware of or having knowledge of any dispute between the Project Company and an Offtaker that would have a material impact on the quantum or timing of Deliveries under this Agreement. The Seller shall provide the Purchaser with timely updates of the status of any such dispute and the final decision and award of the court or arbitration panel with respect to such dispute, as the case may be.

**5.12** **No Disclosure of Confidential Information**

The Seller's obligations under Clauses 5.5, 5.6(A) and (B) and 5.9(8) shall not extend to any documents, agreements, materials, files or other information (whether held in electronic form or otherwise) that it or the Project Company is not permitted to disclose to the Purchaser (or any of its professional advisors) pursuant to confidentiality obligations applicable to any Project Entity (or any of its Affiliates) which are owed to a Person which is not an Affiliate or Related Party. The Seller shall be entitled not to disclose to the Purchaser (or any of its professional advisors) any such documents, agreements, materials, files or other information. The Seller shall however use reasonable endeavours to obtain consent, or procure that consent is obtained, to make disclosure of such documents, agreements, materials, files or other information (including by incorporating or procuring the incorporation of appropriate provisions into agreements with third parties) and will, to the extent permitted by such confidentiality obligations, in any case provide to the Purchaser a sufficiently detailed summary of such documents, agreements, materials, files or other information (having regard to the purpose of the relevant disclosure).

**6.** <u>**COVENANTS**</u>

**6.1** **Conduct of Operations**

At all times:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Except as otherwise provided herein, all decisions regarding the Project, including any decisions concerning: (1) the methods, extent, times, procedures and techniques of any development and mining related to the Project or any portion thereof; (2) milling, processing, or extraction; (3) materials and equipment to be introduced on or to the Project; and (4) decisions to operate or continue to operate the Project or any portion thereof, including with respect to closure and care and maintenance, shall be made by the Project Company in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall procure that the Project Company shall at all times from and after the date hereof use commercially reasonable efforts to obtain, as and when required, and preserve and maintain, all Licences (including environmental Licences and Utility Commitments) and Contracts which are required to permit the Project Company to: (1) own the Project; (2) develop, construct and operate the Project as contemplated by the Mine Plan; and (3) commence and carry out the operation of commercial production transactions from the Project.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Seller shall at all times from and after the date hereof use commercially reasonable efforts to obtain, as and when required, and preserve and maintain, all Licences and Contracts which may be required to permit the Seller to perform its obligations under the Stream Documents to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Seller shall procure that the Project Company and the Group Members shall timely and fully perform, pay and observe, or cause to be performed, observed and paid, any and all liabilities, requirements and obligations required by any Applicable Laws, Material Project Authorizations, the Operating Agreement or by any Governmental Body or by Good Industry Practice, in each case:

&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) for the reclamation, restoration or closure of any facility or land; 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;(2) in connection with the Project Company's or the Group Members' operations or activities at, on or in respect of, the Project or required under this Agreement, in each case except where such liabilities or obligations are diligently contested in good faith and appropriate provision has been made for them in the relevant Group Member's account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) The Seller shall procure that the Project Company shall operate the Project on a commercial basis as though it has the full economic interest in the silver produced from the Project Real Property in the absence of this Agreement and as if it were entitled to receive the Silver Market Price for all silver produced. The Seller shall procure that the Project Company shall ensure that all cut-off grade, short term mine planning, longer term planning and production decisions, and all resource and reserve calculations, concerning the Project shall be consistent with normal industry practice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The Seller shall procure that the Project Company shall use its reasonable endeavours to develop, construct, commission and operate the Project, in all material respects, in accordance with the Mine Plan, the Construction Budget, the Project Schedule and otherwise in accordance with this Agreement. The Mine Plan shall be maintained and updated in accordance with Good Industry Practice and may not be amended in any material respect unless such amendment is made in accordance with Good Industry Practice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) The Seller shall procure that the Project Company shall ensure that all Offtake Agreements entered into on or after the date of this Agreement on arm's length terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) The Seller shall procure that the Project Company shall use its reasonable endeavours to perform all development and Mining Operations and activities pertaining to or in respect of the Project in accordance with the IFC Performance Standards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) Up to the Completion Date, the Mine Plan and the Project Schedule shall be maintained and updated in accordance with Good Industry Practice and, in the case of the Mine Plan, so as to include a detailed construction budget (including all Project Costs) for the achievement of the Completion Date in accordance with the Mine Plan. None of the Mine Plan, a Construction Budget or the Project Schedule may be amended in any material respect unless such amendment is made in accordance with Good Industry Practice.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) *Intra-Group Loan and Guarantee*

The Seller shall not amend, cancel, suspend, terminate or Transfer (in whole or in part), and shall procure that no amendment, cancellation, suspension, termination or Transfer (in whole or in part) is effected in respect of, any Intra-Group Loan Agreement or the Intra-Group Guarantee, where such amendment, cancellation, suspension, termination and/or Transfer would have an adverse impact on the rights of the Purchaser under this Agreement, the lntercreditor Agreement and/or the Stream Documents, without the prior written consent of the Purchaser.

**6.2** **Processing; Commingling**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Seller shall procure that the Project Company shall 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;(1) sell unprocessed Silver Minerals mined from the Project Real Property except further to an Offtake 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;(2) process Silver Minerals mined from the Project Real Property other than for delivery further to an Offtake Agreement; 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;(3) sell, ship or deliver processed Silver Minerals to any Person other than the shipment of such Silver Minerals further to an Offtake Agreement,

provided that, in any event, as a condition to any such activities, the Seller shall, or shall procure that the Project Company shall, ensure that such activities do not in any way adversely impact on the quantity or rate of Delivery of Refined Silver that would otherwise have been Delivered to the Purchaser under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) From and after the date of this Agreement, the Project Company may process Other Minerals through a process plant that is controlled by or is under common control with the Project Company in priority to or in place of, or commingle Other Minerals with, Minerals which are or can be mined, produced, extracted or otherwise recovered from the Project Real Property, only if: (1) the Project Company has adopted and employs reasonable practices and procedures for weighing, determining moisture content, sampling and assaying and determining recovery factors (a "<u>Commingling</u> <u>Plan</u>"<u>)</u>, such Commingling Plan to ensure the division of Other Minerals and Minerals for the purposes of determining the quantum of the Refined Silver to be Delivered hereunder; (2) the Project Company keeps all books, records, data and samples required by the Commingling Plan and the Seller procures that such books, records, data and samples are available to the Purchaser in accordance with Clause 5.9(B); and (3) the Purchaser shall not be disadvantaged as a result of the processing of Other Minerals in place of, in priority to, or concurrently with, Minerals. Without prejudice to Clause 10 and any right or remedy thereunder (but without double recovery), the Seller shall compensate the Purchaser for any disadvantage incurred or suffered by the Purchaser if and to the extent that the processing of Minerals mined, produced, extracted or otherwise recovered from the Project Property is delayed or otherwise adversely affected as a result of such Other Minerals being processed through such process plant. For these purposes, "disadvantage" shall be assessed by reference to the quantity and timing of expected deliveries as per the then current Mine Plan.

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**6.3** **Anti-Bribery Laws and Obligations, Anti-Money Laundering Laws and Sanctions**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Project Company and Seller each shall, and the Project Company and Seller shall each cause all of the Group Members and their respective directors, officers and employees to comply with all Anti-Corruption Laws, Anti-Money Laundering Laws and Sanctions applicable to such Person or its activities, and will sanction any breach of this provision in accordance with the Anti-Corruption Policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Project Company covenants that it and each Group Member and their respective directors, officers and employees will not make, offer or authorise, any payment, gift, promise or other advantage, whether directly or through any other person or entity, to or for the use or benefit of any Public Official, any political party, political party official, or candidate for office, or any other individual or entity, where such payment, gift, promise or advantage would violate the Anti-Corruption Laws, Anti-Money Laundering Laws or Sanctions applicable to such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Project Company shall, and the Project Company shall cause all of the Group Members to, at all times comply with the Anti-Corruption Policy, and shall (to the extent permitted by Applicable Laws) immediately notify the Purchaser upon becoming aware of any breach or suspected breach of such policy. The Seller shall not amend, terminate, replace or otherwise vary the Anti-Corruption Policy so as to make it less comprehensive and/or restrictive without the prior written consent of the Purchaser (reasonably).

**6.4** **Preservation of Corporate Existence; Location of Assets**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Seller shall, and shall cause any other Group Members to, at all times from and after the date hereof do and cause to be done all things necessary or advisable to maintain its corporate or other existence, including the making of all required filings in connection therewith, and to obtain, and, once obtained, maintain all qualifications necessary to carry on its business and own its assets in each jurisdiction in which they carry on business or in which their assets are located.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall not, and shall not permit any other Group Members to, merge, amalgamate or consolidate with another Person, or change or reorganize its capital structure or amend its articles, by laws or any other constitutional documents, if it would adversely impact the Purchaser's rights under the Stream Documents, unless such action is in compliance with Clause 7.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Until the Security Release Date, the Seller shall promptly notify the Purchaser and the Security SPV of: (1) the acquisition by the Project Company of any real property (including mineral rights), whether owned or leased; and (2) any new locations of tangible assets of the Project Company (other than inventory in transit).

**6.5** **Maintenance of Property; Encumbrances**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Except as otherwise permitted under Clause 7, the Seller shall, and shall procure that the Project Company shall, at all times do or cause to be done all things necessary to maintain, preserve, protect and keep all of its material ownership, lease, use, licence and other interests, as applicable as are necessary or advisable in order for the Project Company to be able to develop, construct and operate the Project, substantially in accordance with the Mine Plan and Good Industry Practice and to perform its obligations under the Stream Documents to which it is a party.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Purchaser, at its own expense, may undertake such investigation of the title and status of the Project Real Property as it shall deem necessary. If that investigation should reveal material defects in the title (which shall not include Permitted Encumbrances), the Seller shall procure that the Project Company shall forthwith proceed to cure such title defects to the satisfaction of the Purchaser, acting reasonably, and shall reimburse to the Purchaser the reasonable costs of such investigation. If the Seller fails to procure the cure of such material defects by the Project Company within 60 Business Days of such notice from the Purchaser (or such longer period thereafter during which the Project Company is continuing to diligently pursue, or cause to be pursued, the curing of such material defects): (1) the Purchaser may proceed to cure such title defects; and (2) any costs and expenses incurred (including reasonable legal fees and costs) by the Purchaser in connection with curing such title defects shall be promptly reimbursed by the Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Until the Security Release Date, the Seller shall at all times warrant and defend its right, title and interest and that of any other Group Members in and to any Collateral, and every part thereof, against the claims of any Person, subject only to Permitted Encumbrances.

**6.6** **Insurance**

Within 60 days of the date of this Agreement the Seller shall procure that the Project Company shall, until the Security Release Date, maintain insurances on and in relation to its business and assets against those risks and to the extent as is usual for companies incorporated in Namibia and carrying on the same or substantially similar business. All such insurance must be with reputable independent insurance companies or underwriters.

**6.7** **Certain Negative Covenants**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Until the Security Release Date, other than pursuant to a Permitted 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;(1) the Seller shall procure that the Project Company shall not engage directly or indirectly in any material business activity or purchase or otherwise acquire any material property, in either case, not related to the development, construction, and operation of, and extraction of mineral resources from, the Project, or that is not reasonably required to perform its obligations under the Key Transaction Documents and in connection with the Senior Financing;

&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) the Seller may, and shall procure that the Project Company may, only purchase, acquire or lease (whether directly or indirectly) any property from, or Transfer any property to, or otherwise deal or enter into any agreement with, any Related Party in the ordinary course of and pursuant to the reasonable requirements of its business and upon fair and reasonable terms (including as to price, charges and deductions) that are no less favourable to it than those that could be obtained in an arm's length transaction with a Person that is not a Related 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;(3) the Seller:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) may have, assume or otherwise become directly or indirectly liable upon or in respect of, or suffer to exist, any Debt only if such Debt constitutes a Permitted Debt and Obligation for itself; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) shall procure that the Project Company may have, assume or otherwise become directly or indirectly liable upon or in respect of, or suffer to exist, any Debt only if such Debt constitutes a Permitted Debt and Obligation for the Project 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;(4) each of the Group Members may enter into any hedge instrument or incur any hedge obligations only if such hedge obligations are pursuant to Permitted Hedging 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;(5) the Seller shall procure that the Project Company does not make any Restricted Payment prior to the Completion Date and that, from and after the Completion Date, the Project Company may make a Restricted Payment only if no Seller Event of Default or Material Breach Event and no event that, with the giving of notice or passage of time would constitute a Seller Event of Default or a Material Breach Event, has occurred and is continuing or would occur as a result of such Restricted Payment;

&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) the Seller shall not make any Restricted Payment at any time prior to the Security Release 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) the Seller shall not, and shall procure that the Group Members shall not, create, incur, assume or suffer to exist any Encumbrance over the Collateral other than Permitted Encumbrances;

&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) the Seller shall not, and shall procure that the Project Company shall not,

Transfer a Production Interest in breach of this Agreement; 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;(9) the Intra-Group Loan Guarantors shall be permitted to pay or repay any Subordinated Liabilities (as defined in the lntercreditor Agreement) unless there is a Seller Event of Default which is continuing.

**6.8** **Abandonment**

If the Project Company abandons, surrenders, relinquishes or lets lapse all or a part of the Mining Licence (through the Operating Agreement), including by way of ceasing to maintain Material Project Authorizations or the Operating Agreement or the validity of mineral claims or leases (the "<u>Abandonment</u> <u>Property")</u> and the Project Company re-acquires a direct or indirect interest in any of the ground covered by the Abandonment Property at any time within seven years following the date of abandonment, the production of silver from such re-acquired property shall be subject to the terms of this Agreement. The Seller shall give written notice to the Purchaser within ten days of any such re-acquisition.

**6.9** **Confidentiality**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Each Party (a "<u>Receiving</u> <u>Party")</u> agrees that it shall maintain as confidential and shall not disclose, and shall cause its Affiliates, employees, officers, directors, advisors and representatives to maintain as confidential, and not to disclose, any Confidential Information, provided that a Receiving Party may disclose Confidential Information in the following circumstances:

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&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) to its auditors, legal counsel, lenders, underwriters and investment bankers and to persons, including any proposed transferee or acquiring Person under Clause 7 or assignee under Clause 7.5, with whom it is considering entering or intends to enter into a transaction for which such Confidential Information would be relevant (and to advisors and representatives and financiers (and advisors and representatives of such financiers) of any such Person), provided that such recipient(s) are advised of the confidential nature of the Confidential Information, undertake to maintain the confidentiality of it and are strictly limited in their use of the Confidential Information to those purposes necessary for such Persons to perform the services for which they have been, or are proposed to be, retained by the Receiving Party or to consider or effect the applicable transaction, 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;(2) subject to Clause 14.7, where that disclosure is necessary to comply with Applicable Laws, court order or regulatory request by any Governmental Body having jurisdiction over such Party, provided that such disclosure is limited to only that Confidential Information so required to be disclosed and, where applicable, that the Receiving Party will have availed itself of the full benefits of any laws, rules, regulations or contractual rights as to disclosure on a confidential basis to which it may be entitled;

&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) for the purposes of the preparation and conduct of any arbitration or court proceeding commenced under Clause 14.1;

&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) where such information is already available to the public other than by a breach of confidentiality obligations under this Agreement or is known by the Receiving Party prior to the entry into of this Agreement or obtained independently of this Agreement and the disclosure of such information would not breach any other confidentiality obligations applicable to the relevant information;

&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) with the consent of the disclosing 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;(6) to its Affiliates and (as applicable) the Project Company and Group Members and those of its and its Affiliates' and (as applicable) the Project Company's and any Group Members' directors, officers, employees, advisors and representatives who need to have knowledge of the Confidential Information;

&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) in the case of the Purchaser and any of its Affiliates, to any limited partner or co-investor or prospective limited partner or co-investor in or with a private equity fund managed by the Purchaser or Affiliate(s) of the Purchaser, to the extent such information is reasonably relevant to the current investment or future investment decision of any such limited partner or co-investor or prospective limited partner or co-investor, provided that such Persons undertake to maintain the confidentiality of it and are strictly limited in their use of the Confidential Information for the purpose of making an investment decision in or with respect to the Purchaser or Affiliate(s) of the Purchaser; 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;(8) to any party to the lntercreditor Agreement from time to time provided that such recipient(s) are advised of the confidential nature of the Confidential Information, undertake to maintain the confidentiality.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Each Party shall ensure that its Affiliates and (as applicable) the Project Company and any Group Members and its and its Affiliates' and (as applicable) the Project Company's and any Group Member's employees, directors, officers, advisors and representatives and those Persons listed in Clause 6.9(A)(1), 6.9(A)(6) and 6.9(A)(7) are made aware of this Clause 6.9 and comply with the provisions of this Clause 6.9. Each Party shall be liable to the other Party for any improper use or disclosure of such terms or information by such Persons.

**6.10** **Offtake Agreements - Security Provisions**

The Seller shall procure that the Project Company shall use best endeavours to procure that, in respect of any Offtake Agreement entered into after the date of this Agreement with an aggregate volume (aggregated with any other Offtake Agreements entered into with the same counterparty (or an Affiliate of such counterparty) relating to the same (or a substantially related) matter or services) over the term of the relevant Offtake Agreement(s) of more than 20% of the Mine's lead concentrate production forecast in the then current Mine Plan for the calendar year in which the Offtake Agreement is entered into:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) such Offtake Agreement contains terms such that the assignment of, or cession or other Encumbrance over, it in favour of the Security SPV is permitted without the consent of any counterparty; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) each counterparty to such Offtake Agreement agrees to the transfer of that Offtake Agreement to the Security SPV and / or any other transferee identified by the Security SPV from time to time following or in connection with any enforcement of any Security, subject to reasonable conditions as may be agreed with each counterparty (including the satisfaction of any "know your customer" conditions).

**7.** <u>**TRANSFERS OF INTERESTS AND**</u> <u>**ASSIGNMENT**</u>

**7.1** **Prohibition on Project Entity Transfers and Change of Control**

The Seller shall not, and shall ensure that neither the Project Company nor any other Person (other than the Purchaser) shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Transfer (or permit the Transfer of), all or an integral part of, the Project or, until the Security Release Date, the Collateral (other than by way of a Permitted Asset Disposition); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) agree to, or enter into any agreement, arrangement or other transaction with any Person that would cause, or otherwise allow or permit to occur, a Change of Control of:

&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) any of the Project Entities; 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;(2) any Intra-Group Loan Guarantor which Controls, or is under common Control with, any of the Project Entities,

other than to the extent undertaken in accordance with any enforcement of the Collateral pursuant to the lntercreditor Agreement or as permitted by Clause 7.2.

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**7.2** **Permitted Project Entity Transfer and Change of Control**

Clause 7.1 shall not prohibit any Transfer (in whole or in part) by any Collateral Provider of any shares or intercompany loan rights forming part of the Collateral, or a Change of Control in respect of any Project Entity or relevant Intra-Group Loan Guarantor, if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Seller shall have provided the Purchaser with at least three Business Days' prior written notice of the proposed Transfer or Change of Control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in the case of a Change of Control in respect of any Project Entity or relevant Intra-Group Loan Guarantor:

&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) the Person acquiring such Control enters into an Additional Intra-Group Loan Guarantee (unless such Change of Control occurs after the Security Release 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;(2) that Person acquires Control of both Project Entities and all Intra-Group Loan Guarantors; 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;(3) that Person is an Eligible Transferee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in the case of any Transfer (in whole or in part) by any Collateral Provider of any shares or intercompany loan rights forming part of the Collateral or any Change of Control, each Person that, as a result of the Transfer or Change of Control, acquires a direct or indirect interest in any such shares or intercompany loan rights grants the same charges and security interests in, to and over such shares or intercompany loan rights, and enters into the same Security Documents as entered into by (or in respect of) the relevant Group Members or Intra-Group Loan Guarantor pursuant to the terms of this Agreement (in accordance with Clause 8.2(A)), unless such Transfer or Change of Control occurs after the Security Release Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the Persons referred to in Clauses 7.2(8) and 7.2(C) above satisfy the conditions set forth in Clauses 3.3(C), 3.3(G), 3.3(H) and 3.3(1) as if such provisions applied to them, with appropriate modifications and the Seller has provided the following legal opinions addressed to the Purchaser and in form and substance satisfactory to the Purchaser (acting reasonably):

&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) a legal opinion relating to (a) the legal status of such Persons, (b) the corporate power and authority of such Persons to execute (or accede to) any Stream Documents to which such Persons are a party and (c) the authorisation, execution and delivery of any such Stream Documents (or accession thereto); 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;(2) a legal opinion relating to (a) the enforceability of such Stream Documents against such Persons, (b) the due registration or filing of any registrable Security Documents executed (or acceded to) by such Persons and, where applicable, the perfection of the security interest of the Security SPV of the Offshore Security Agent under such Security Documents 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the results of the usual searches that would be conducted in connection with such Security Documents in relation to such Persons;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) all necessary consents and approvals of any Governmental Body or other Person are obtained or satisfied with respect to such Transfer or Change of Control;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) there is no Seller Event of Default or Material Breach Event (or an event which with notice or lapse of time or any combination of them would become a Seller Event of Default or Material Breach Event) that has occurred and is continuing or would occur as a result of such Transfer or Change of Control (except where the implementation of such Transfer or Change of Control would remedy such Seller Event of Default or Material Breach Event (or such event which with notice or lapse of time or any combination of them would become a Seller Event of Default or Material Breach Event));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) in the case of any Transfer (in whole or in part) by any Collateral Provider of any shares or intercompany loan rights forming part of the Collateral, the transferee is not a Sanctioned Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) if the Persons referred to in Clauses 7.2(8) or 7.2(C), or any of their Affiliates, have any outstanding Debt secured by the same assets secured under the Security Documents, their secured lenders shall have entered into an intercreditor agreement with the Purchaser substantially in the form of the Intercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) in respect of any Transfer (in whole or in part) by any Collateral Provider of any shares or intercompany loan rights forming part of the Collateral or a Change of Control, the relevant Person expressly acknowledges in writing to the Purchaser, in form and substance satisfactory to the Purchaser (acting reasonably), the existence of this Agreement and the Stream Documents. Upon completion of the Transfer or Change of Control, the Intra-Group Loan Guarantors who no longer directly or indirectly own shares in the Project Company shall automatically be released from their obligations under any Intra-Group Loan Guarantee (except in respect of any liabilities arising before the date of such Change of Control);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) such Transfer or Change of Control would not cause a breach of any Applicable Law by a Group Member or the Purchaser;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) the Purchaser shall have received completed "Know-Your-Client" questionnaires in respect of the relevant Transferee or new shareholder(s), required to ensure compliance with Applicable Laws; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(L) in respect of any Person acquiring a direct shareholding in the Project Company (other than any Minority Shareholder) prior to the Security Release Date, and solely for the period until the earlier of the Security Release Date and the lntercreditor Agreement ceasing to be in effect, such Person is a special purpose vehicle with no trading history or liabilities, established and operated solely for the purpose of acquiring and holding such shareholding in the Project Company.

**7.3** **Prohibition on Purchaser Transfers and Change of Control**

No Purchaser shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Transfer, in whole or in part, any of its rights or obligations under the Stream Documents or the lntercreditor Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) agree to, or enter into any agreement, arrangement or other transaction with any Person that would cause, or otherwise allow or permit to occur, a Change of Control of the Purchaser, in each case, save as permitted pursuant to Clause 7.4.

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**7.4** **Permitted Purchaser Transfer and Change of Control**

Clause 7.3 shall not prohibit (i) any Transfer of the whole (but not part only) of the rights and obligations of the Purchaser under the Stream Documents and the lntercreditor Agreement or (ii) any Change of Control of the Purchaser if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Purchaser shall have provided the Seller with at least ten Business Days' prior written notice of the Transfer or Change of Control completing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in relation to any Transfer, the relevant transferee accedes to the lntercreditor Agreement in the same capacity as the transferor (if it is not already a party thereto in the relevant capacity) on or before the date of the Transfer is completed, in accordance with the terms of the lntercreditor Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in relation to any Transfer, the provisions of Clause 7.6 are complied with;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the transferee or Change of Control beneficiary is not a Sanctioned Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) such Transfer or Change of Control would not cause a breach of any Applicable Law by a Group Member; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) in relation to any Transfer, the Seller shall have received from the Purchaser, completed "Know-Your-Client" questionnaires in respect of the relevant transferee, required to ensure compliance with Applicable Laws.

**7.5** **Assignment**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Except as permitted in Clauses 7.2, 7.4, 7.5(8) or 7.5(C), no Party shall be entitled to assign or Transfer, including by way of syndication or granting of participation rights, any of its rights and/or obligations under any of this Agreement and the other Stream Documents without the prior written consent of each of the other Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller may assign by way of security its rights under this Agreement to a security trustee or agent acting on behalf of, or a security SPV which is liable to, the lenders in respect of any Senior Financing without the consent of the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Purchaser may assign by way of security its rights under this Agreement to a provider of finance or security trustee or agent acting on behalf of such provider without the consent of the Seller (and the Seller agrees to execute an acknowledgment of such security in a form reasonably customary for the relevant type of financing), provided that: (1) any such assignment satisfies the requirements of Clause 7.4 (provided that the requirements of Clause 7.4(8) and 7.4(C) shall only be required to be complied with if the assignee enforces its rights to receive Deliveries or payments further to such assignment); and (2) such assignment by way of security will not, or could not reasonably be expected to, have a material adverse effect on the rights and/ or benefits of the Seller under the Stream Documents.

**7.6** **Procedure for Transfer**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Subject to the conditions set out in Clause 7.4, a Transfer is effected in accordance with Clause 7.6(8) below when the Purchaser (the "<u>Transferor</u>") executes an otherwise duly completed Stream Transfer Certificate delivered to it by the relevant transferee (the "Transferee").The date of such execution by the Transferor shall be the "Transfer Date" in respect of such Transfer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) On the relevant Transfer 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;(1) to the extent that in the Stream Transfer Certificate the relevant Transferor seeks to transfer by novation any of its rights and obligations under this Agreement the Seller and the Transferor shall be released from such further obligations towards one another under this Agreement and their respective rights against one another under this Agreement shall be cancelled (in each case, without prejudice to any liabilities arising with respect to the period prior to such Transfer Date) (being the "<u>Discharged</u> <u>Rights and Obligations")</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;(2) the Seller and the relevant Transferee shall assume obligations towards one another and/or acquire rights against one another which differ from the Discharged Rights and Obligations only insofar as the Seller and the relevant Transferee have assumed and/or acquired the same in place of the Seller and the Transferor;

&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) for the avoidance of doubt, to the extent relevant, any guarantee in respect of the obligations of (or in favour of) the relevant Transferor shall cease with effect from the assumption of obligations and acquisition of rights referred to in Clause 7.6(8)(2) and the relevant guarantor(s) shall thereafter be automatically released in respect of any obligations in respect of the same (in each case, without prejudice to any liabilities arising with respect to the period prior to such Transfer Date); 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;(4) the relevant Transferee shall become a Party as "Purchaser".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) In the case of a Transfer by the Purchaser, the Seller shall, at the Transferor's cost, execute such other documents as the Transferor may reasonably require in connection with the treatment of the Transferee as the Purchaser for all purposes of this Agreement and the Stream Documents, its entitlement to the full benefit of the same and the release of the Transferor.

**8.** <u>**SECURITY AND**</u> <u>**GUARANTEES**</u>

**8.1** **Security**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) It is acknowledged that the Purchaser benefits from the Encumbrances created pursuant to the Common Security Documents and the Finco Security Documents, subject to the terms of the lntercreditor Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Any interest of the Purchaser in the Common Security Documents and the Finco Security Documents shall cease upon the Security Release Date.

**8.2** **Additional Security**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Until the Security Release Date, the Seller shall procure that the Project Company 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;(1) cause each Person that (pursuant to Clause 7.2) becomes the owner of any shares or intercompany loan rights forming part of the Collateral (other than, in each case, any Minority Shareholder or any successor thereto) to provide security over its shares therein in favour of the Security SPV; and

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&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) in relation to sub-paragraph (1) above, provide to the Purchaser a third party legal opinion from such Person's legal counsel concerning such Person and any Security Document to which such Person becomes a party, in form and substance satisfactory to the Purchaser (acting reasonably),

in each case, within thirty (30) days of such Person first becoming (pursuant to Clause 7.2) the owner of any shares or intercompany loan rights forming part of the Collateral and, to the extent applicable, shall further take such steps as are necessary in order to make valid and effective the aforementioned agreements and perfect the Encumbrances provided for therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) If an Encumbrance is granted to the Security SPV, the Offshore Security Agent or any other Person over any Additional Shared Collateral in connection with the Senior Financing at any time before the Security Release Date, then the Project Entities shall procure that such Encumbrance is granted on terms that the Purchaser benefits from such Encumbrance.

**8.3** **Further Assurances - Security**

Until the Security Release Date, the Seller shall take or cause to be taken such action and execute and deliver or cause to be executed and delivered to the Purchaser, the Security SPV or the Offshore Security Agent (as applicable) such agreements, documents and instruments as the Purchaser, the Security SPV or the Offshore Security Agent (as applicable) may request, and register, file or record the same (or a notice or financing statement in respect thereof) in all offices where such registration, filing or recording is, in the opinion of the Purchaser, the Security SPV or the Offshore Security Agent (as applicable), necessary or advisable to constitute, perfect and maintain the Encumbrances contemplated under the Security Documents, subject only to the Permitted Encumbrances in each case promptly after the request therefor by the Purchaser, the Security SPV or the Offshore Security Agent (as applicable).

**8.4** **Release of Security**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) If:

&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) the Term has expired; 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;(2) all amounts which are then due and payable to the Purchaser from any Group Member have been irrevocably paid in full,

(the date on which these conditions are satisfied, the "<u>Security</u> <u>Release Date</u>"), then the Purchaser will promptly following the Security Release Date give notice to the Security SPV and the Offshore Security Agent in accordance with the lntercreditor Agreement that the Stream Release Date (as defined in the lntercreditor Agreement or any Refinancing Equivalent) has occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Prior to the Security Release Date, the Seller may from time to time request that assets, rights, interests and/or other property are released from the Common Security Documents (or confirmation given that such assets, rights, interests and other property do not fall within the scope of the Collateral) where such assets, rights, interest and/or other property constitute Excluded Property. The Purchaser shall as soon as reasonably practicable take such steps as are reasonably required by the Seller (at the Seller's cost) in order to effect such releases or provide such confirmations.

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**8.5** **lntercreditor Agreement and Subordination**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Before the lntercreditor Agreement or, where applicable, a Replacement lntercreditor Agreement, ceases to be in full force and effect then, to the extent that any Person, Debt, obligation or Encumbrance is required further to the Stream Documents to be subject to any subordination arrangements for the benefit of the Purchaser, the Project Entities shall ensure that such Person, Debt, obligation or Encumbrance is and continues to be subject to subordination arrangements in form and substance satisfactory to the Purchaser (acting reasonably).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall procure that, any existing or additional Debt incurred by it or the Project Company from any of their Related Parties from time to time is fully subordinated to, amongst other things, the Stream Obligations further to the lntercreditor Agreement or, where applicable, a Replacement lntercreditor Agreement or, if the lntercreditor Agreement or Replacement lntercreditor Agreement (as applicable) is no longer in full force and effect, other subordination arrangements in form and substance satisfactory to the Purchaser (acting reasonably) (as the case may be), provided that all payments or repayments by the Project Company under any of the Intra-Group Loan Agreements shall be permitted in order to put the Seller in funds to comply with its obligations under the Stream Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) In the event 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;(1) the Senior Facilities Discharge Date has occurred under the Initial lntercreditor Agreement; 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;(2) the Seller, Project Company or any of their Affiliates or any Group Member at any time enters into any arrangements or any agreements (including, without limitation, any binding term sheets or any loan agreements conditional upon the entry into an intercreditor agreement) to incur any Debt or obligations in connection with a refinancing or replacement of any of the Debt or obligations listed in sub-paragraphs (A)(4) to (A)(6) of the definition of "Permitted Debt and Obligations" <u>("Senior Debt Refinancing")</u>,

then, if requested by the Seller, the Purchaser shall enter into a replacement intercreditor agreement with, amongst others, the Seller, the Project Company, any relevant Group Members and any incoming financing providers (and their agents and trustees, if applicable), on the substantially the same terms as the Initial lntercreditor Agreement and on the basis that the initial commitments for principal Debt under any Senior Financing forming part of that Senior Debt Refinancing may (at the Seller's election) be up to US$[Redacted - Commercially Sensitive Information] <u>("Replacement lntercreditor Agreement").</u>

**8.6** **Co-operation with Senior Financing Process**

The Purchaser shall co-operate in good faith with the Project Entities in connection with any Senior Financing <u>("Senior Financing Process")</u>, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) cooperating with the reasonable requests of the relevant financiers;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) providing assistance that is reasonably required by the Project Entities in connection with the satisfaction of customary conditions precedent to the utilisation of the financing provided by such financiers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if necessary, providing all required consents and authorisations for the establishment and perfection of first ranking security interests in relation to the Project.

The Purchaser acknowledges and agrees that the Project Company shall have the sole and exclusive right to manage the Senior Financing Process.

**8.7** **Intra-Group Loan Guarantor-Specific Covenants**

Unless otherwise agreed by the Purchaser, the Seller shall procure that each Intra-Group Loan Guarantor (other than ANR RP) shall, from the date of this Agreement or, if later the date of its entry into an Intra-Group Loan Guarantee, not transact or carry on any business, or incur any present or future liability, obligations or Debt (whether actual or contingent) incurred in any capacity, other than in relation to its ownership or funding of the Project Company or as otherwise expressly permitted under the terms of the Senior Financing as at the date of this Agreement or the Key Transaction Documents.

**9.** <u>**REPRESENTATIONS AND**</u> <u>**WARRANTIES**</u>

**9.1** **Representations and Warranties of the Seller**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Seller, acknowledging that the Purchaser is entering into this Agreement in reliance thereon, represents and warrants in respect of itself as at the date of this Agreement, on the Prepayment Date and on the first Transfer Date to occur in accordance with Clause 7.6 *(Procedure for Transfer)* for the benefit of the Purchaser 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;(1) it, the Project Company and each Intra-Group Loan Guarantor is validly incorporated, organised and subsisting in accordance with the Applicable Laws of its place of incorporation;

&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) it, the Project Company and each Intra-Group Loan Guarantor has full power and capacity to enter into and perform its obligations under the Stream Documents to which it 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;(3) all necessary consents and authorisations for the execution, delivery and performance by it, the Project Company and each Intra-Group Loan Guarantor of the Stream Documents to which it is a party in accordance with its terms have been obtained; 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;(4) the execution, delivery and performance by it, the Project Company and each Intra-Group Loan Guarantor of the Stream Documents to which it is a party complies with its constitution and does not constitute a breach of any Applicable Law or obligation, or cause a default under any agreement by which it is bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller, acknowledging that the Purchaser is entering into this Agreement in reliance thereon, represents and warrants as at the date of this Agreement, on the Prepayment Date and on the first Transfer Date to occur in accordance with Clause 7.6 *(Procedure for Transfer)* for the benefit of the Purchaser that to the best of its and the Project Company's knowledge and belief (having made all due inquiries) and save as disclosed in writing on or prior to the first Transfer Date to occur in accordance with Clause 7.6 *(Procedure for Transfer):*

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&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) the group structure chart most recently provided to the Purchaser by the Seller as at the date on which the representation and warranty is given under this Clause 9.1(8)(1) is true, complete and accurate in all material respects and shows the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Group Member, including its current name, jurisdiction of incorporation and shareholding; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all minority interests in any Group Member and any person in which any Group Member holds shares in its issued share capital or equivalent ownership interest 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;(2) the Project Company is the legal and beneficial holder of a 100% interest in the Project Real Property, free of any Encumbrance (other than any Permitted 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;(3) the Mining Licence is in good standing under Applicable Law, has been fully and effectively acquired by the Mining Licence Holder and (through the Operating Agreement) by the Project Company and the Mining Licence and the Operating Agreement are not liable to cancellation or forfeiture for any reason and, to the Seller's knowledge, it is not aware of any circumstances which may give rise to such cancellation or forfeiture;

&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) the Project Company has complied with all Applicable Laws in respect of the Project Real Property in all respects and all fees (including annual fees per hectare and state inspection fees), rents, rates, royalties (including statutory royalty and landowner's royalty), taxes and other similar payments due and payable in respect of all of the Mining Licence (including under the Operating Agreement) have been paid, in each case which, if not complied with or paid for, would have 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) the Project Company is not engaged in any litigation, arbitration or other proceeding concerning any of the Project Property and it is not aware of any pending or threatened litigation, arbitration or other proceeding concerning the Project Property, which, if successful, would have 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;(6) to its knowledge there is no basis for any claim adverse to the right, title and interest of it to any of the Project Property, which, if successful, would have 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;(7) apart from the Key Transaction Documents, as required by Applicable Law or otherwise as permitted in this Agreement, there are no agreements, arrangements, understandings, rights or options to acquire or purchase any of the Project Property or any portion thereof or any interest therein (including any Encumbrance) (in each case with a value in excess of US$[Redacted - Commercially Sensitive Information]) or any claim to any royalty or other interest in any of the Project Property or production therefrom (in each case with an aggregate value in excess of US$[Redacted - Commercially Sensitive Information]) and no person other than the Project Company has any right, title, interest or claim whatsoever in the Project Property (with a value in excess of US$[Redacted - Commercially Sensitive Information]) or in production (with an aggregate value in excess of US$[Redacted - Commercially Sensitive Information]) from the Project Property, in each case subject to the Operating Agreement and the Shareholders Agreement;

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&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) so far it is aware, no Group Member or any of their respective Affiliates is party to any material dispute with any local community or any landowner, and no local community or landowner has or claims to have any rights, that could materially affect or impede the use of or access to any Project Property or materially hinder or delay the Project;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) the Project Company holds all Material Project Authorizations and Mining Licence required from any Governmental Body (where relevant, via the Operating Agreement) to own its interest in the relevant Project Property, to conduct Mining Operations on the relevant Project Property, and to access the relevant Project 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;(10) the Project Company has full and continuous access to the Project Real Property for the performance of exploration, development and mining and related works on the Project Real Property, in each case, as required in order to ensure that the Project is constructed, developed and operated in accordance with the Mine Plan and no material event of default exists under the arrangements governing such rights of access to such Project Property where, in each case, such default would give rise to 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;(11) the Project Company has entered into all Material Contracts required at the time such representation and warranty is made or given for the Project and such Material Contracts to which it or any Group Member is a party or by which any of them are otherwise bound as at the date of this representation are in full force and effect and constitute valid and enforceable obligations of 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;(12) neither the Project Company nor, to the Seller's knowledge, any other Person, is in default in any material respect in the observance or performance of any term, covenant or obligation under any Material Contract in respect of the Project, any Mining Operations or any financing or indebtedness in respect of the Project (including the Senior Financing), and, to the Seller's knowledge, no event has occurred which, with notice or lapse of time or both, would constitute such a default which would give rise to 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;(13) the Project Company has not received notice of any intention to terminate any such contract referred to in Clauses 9.1(8)(11) and/ or 9.1(8)(12) above or to repudiate or disclaim any transaction contemplated thereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(14) all of the insurance policies relating to the business of every Group Member are held in the name of the relevant Group Member, 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such insurance policies provide sufficient and adequate cover and protection for each Group Member and its business operations in connection with the Project;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) all such insurance policies are in full force and effect;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 premiums payable to date have been paid and, to the Seller's knowledge, there are no circumstances which might lead to the insurers avoiding any liability under them in an amount greater than US$[Redacted - Commercially Sensitive Information];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Group Member has any outstanding claim under any such insurance in an amount greater than US$[Redacted - Commercially Sensitive Information]; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) so far it is aware, there are no facts, matters or circumstances which would give rise to the non-renewal of any insurance policy in the future, or the renewal of any insurance policy subject to the imposition of onerous conditions not presently 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;(15) each Group Member has acted, and the Project and Mining Operations have been operated, in compliance in all material respects with all Applicable Laws, including health and safety and Environmental Laws and (at the time that the representation and warranty is given) each Group Member is acting in compliance with Good Industry Practice in all material respects and, to the Seller's knowledge, no event has occurred in connection with the Mining Operations which would constitute a material breach of Applicable Laws, including health and safety and 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;(16) all Taxes due and payable by a Group Member (whether or not shown due on any Tax returns and whether or not assessed (or reassessed) by the appropriate Governmental Body), excluding an amount not greater than NAO[Redacted - Commercially Sensitive Information] in aggregate, have been timely paid to the extent not disputed in good faith (and all Taxes disputed in good faith, in an amount greater than NAO [Redacted - Commercially Sensitive Information] in aggregate, have been disclosed in reasonable detail to the Purchaser and properly provisioned for in the relevant Person's accounts);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(17) all assessments and reassessments received by any Group Member in respect of material Taxes have been paid to the extent not disputed in good faith and all assessments and reassessments disputed in good faith have been disclosed in reasonable detail in writing to the Purchaser and properly provisioned for in the relevant Person's accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(18) all Tax returns required by Law to be filed by or with respect to the Project Entities have been properly prepared and timely filed or alternatively in the event of non-disclosure, subsequent supplementary disclosures were made to the Namibian tax authorities in writing before the date of this Agreement <u>("Supplementary</u> <u>Disclosure"),</u> and all such Tax returns viewed together with the relevant Supplementary Disclosures (including information provided therewith or with respect thereto) are true, complete and correct in all material respects, and no material fact or facts have been omitted therefrom which would make any such Tax returns viewed together with Supplementary Disclosures misleading;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(19) adequate provision has been made by the Project Entities in their respective financial statements for all Taxes for any period for which Tax returns are not yet required to be filed, or for which Taxes are not yet due or payable, up to the date of the financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) no Group Member nor any of any their directors, officers or employees is or has been the subject of any claim by any Governmental Body or any Person regarding any offence or alleged offence under any Anti-Corruption Laws, and, to the Seller's knowledge, no such claim has been threatened or is pending and there are no circumstances likely to give rise to any such claim;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(21) none of any Group Member's directors, officers or employees (excluding any Minority Shareholder's representatives) is a Public Official, and no Public Official has any legal or beneficial interest in any Stream Document or in any payments to be made by the Seller under any Stream Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(22) all transactions with any Related Party of a Group Member have been fully and fairly disclosed before the date of this Agreement and are permitted 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;(23) no Seller Event of Default or Material Breach Event is continuing under any Stream Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(24) each of the Stream Documents will, when executed by each Group Member which is a party thereto, constitute its legal valid and binding obligations in accordance with its terms, subject to the Legal Reservations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(25) it and each Group Member has, and their respective directors, officers and employees have, complied with all material Anti-Corruption Laws, Anti-Money Laundering Laws and Sanctions applicable to it or them or its or their activities, and no Group Member is or has been a Sanctioned Person or Sanctioned Entity; 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;(26) all material information provided in the Data Room is true, complete and accurate in all material respects and is not misleading in any material respect and no information has been given to, or withheld from, the Purchaser or any Affiliate of the Purchaser (including any of their advisers) by a Group Member that results in such information provided in the Data Room being untrue or misleading in any material respect.

**9.2** **Knowledge**

Where any representation or warranty contained in this Agreement is expressly qualified by reference to the "knowledge" of the Seller or the Project Company, it shall be deemed to refer to the actual knowledge of any director of the Seller or the Project Company (as applicable) and all information which ought to have been known by any of them after conducting a reasonable inquiry into the matters in question, whether or not any such inquiry was actually made.

**9.3** **Representations and Warranties of the Purchaser**

The Purchaser represents and warrants as at the date of this Agreement (or, if later, the date on which it becomes party to this Agreement) for the benefit of the Project Entities that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) it is validly incorporated, organised and subsisting in accordance with the Laws of its place of incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) it has full power and capacity to enter into and perform its obligations under the Stream Documents and the lntercreditor Agreement;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) all necessary consents and authorisations for the execution, delivery and performance by it of this Agreement in accordance with its terms have been obtained;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) its execution, delivery and performance of the Stream Documents and the lntercreditor Agreement complies with its constitution and does not constitute a breach of any Law or obligation, or cause a default under any agreement by which it is bound;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) no meeting has been convened, resolution proposed or order made for the winding up, or the appointment of an administrator, of it, and no mortgagee or chargee of it has taken, attempted to take or indicated an intention to exercise its rights under any security; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) that it and its directors, officers and employees have complied with all material Anti- Corruption Laws, Anti-Money Laundering Laws and Sanctions applicable to such Person or its activities and that it is not and has not been a Sanctioned Person or Sanctioned Entity.

**9.4** **Status of Representations and Warranties**

The representations and warranties set forth in this Clause 9 shall survive the execution and delivery of this Agreement.

**10.** <u>**SELLER EVENTS OF DEFAULT AND MATERIAL BREACH**</u> <u>**EVENTS**</u>

**10.1** **Events of Default**

Each of the following events or circumstances that is continuing constitutes an event of default by the Seller (each, a "<u>Seller</u> <u>Event of Default</u>"<u>)</u>:

[*Redacted - Commercially Sensitive Information*]

&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) the Seller fails to sell Refined Silver to the Purchaser or to Deliver Refined Silver to the Purchaser (in accordance with Clause 2.3) on the terms and conditions set forth in this Agreement within ten Business Days of the date upon which sale and Delivery is required hereunder; 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;(2) the Seller fails to pay any amount due under this Agreement in excess of US$500,000 (calculated in aggregate, taking account of all other amounts not paid by the Seller when due to the Purchaser under this Agreement) (provided that no Seller Event of Default further to any of Clauses 10.1(C) to (F) is continuing) within 30 days of the date upon which payment is required hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Seller makes a Fundamental Warranty which is in any material respect (or in any respect in the case of representations and warranties that are qualified by materiality), incorrect or incomplete when made or deemed to be made, and the circumstances giving rise to such incorrectness or incompleteness are not remedied, if capable of remedy, within a period of 60 days after the earlier of:

&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) delivery by the Purchaser to the Seller, as applicable, of written notice of such incompleteness or incorrectness; and

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&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) the date a Project Entity or any Intra-Group Loan Guarantor became aware of such incompleteness or incorrectness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) a Project Entity or any Intra-Group Loan Guarantor ceases to carry on its business or admits its inability, or fails, to pay its debts generally as they become due;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) a Project Entity or any Intra-Group Loan Guarantor becomes bankrupt, whether voluntarily or involuntarily, or becomes subject to any proceeding seeking liquidation, arrangement, monitorship, judicial management or reorganization (by way of voluntary arrangement, scheme of arrangement or otherwise), relief of creditors or other procedure or the appointment of a receiver, liquidator, trustee or judicial manager or other similar officer over all or a material part of the Collateral, and such proceeding is not contested by the relevant Project Entity or Intra-Group Loan Guarantor (as applicable) diligently, in good faith and on a timely basis and dismissed or stayed within 45 Business Days of its commencement or issuance (for greater certainty, such 45 Business Day grace period shall not apply if a Project Entity or Intra-Group Loan Guarantor (as applicable) becomes bankrupt voluntarily or any such proceedings are initiated by a Project Entity or Intra-Group Loan Guarantor (as applicable));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) an order is made or a resolution is passed for the winding up, liquidation or dissolution of a Project Entity or any Intra-Group Loan Guarantor and such Order or resolution is not contested by such Project Entity or Intra-Group Loan Guarantor (as applicable) diligently, in good faith and on a timely basis and dismissed or stayed finally and irrevocably within 45 Business Days of its commencement or issuance (for greater certainty, such 45 Business Day grace period shall not apply if any such order is requested by such Project Entity or Intra-Group Loan Guarantor (as applicable) or any of their respective Affiliates);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) any Person takes possession of any material part of the Collateral by appointment of a receiver or receiver and manager;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) &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) a Change of Control occurs that is not in compliance with Clause 7;

&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) a Transfer occurs in respect of all or an integral part of any of the Project or, until the Security Release Date, the Collateral, that is not in compliance with Clause 7; 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;(3) an Encumbrance is created, incurred, assumed or exists in material breach of Clause 6.7(A)(7) (for the avoidance of doubt, any breach of such provision will be deemed material if: (a) the aggregate value of the Collateral subject to such Encumbrance(s); or (b) the value of the aggregate Debt secured by such Encumbrance(s) is, in either case, greater than US$1,000,000,

provided however that, in each case, where such circumstance or event is capable of being remedied (it being understood that a Change of Control or Transfer in breach of Clause 7.2(G) shall not be capable of being remedied) and the relevant Project Entity is diligently pursuing a remedy, such circumstance or event shall not constitute a Seller Event of Default if the same is remedied to the satisfaction of the Purchaser (acting reasonably) within a period of 30 days after the earlier of: (x) delivery by the Purchaser to the relevant Project Entity of written notice of such circumstance or event; and (y) the date the relevant Project Entity became aware of such event or circumstance;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any Governmental Body issues an Order to suspend or cancel a Material Project Authorization or the Operating Agreement or directly or indirectly expropriates, nationalizes, seizes, confiscates, appropriates, compulsorily acquires, intervenes or restricts (and/or any similar acts) any Project Entity (including the displacement of all or any part of the management), or a material part of the Project and such Order is not contested by such Project Entity, as applicable, diligently, in good faith and on a timely basis and dismissed or stayed finally and irrevocably within 45 Business Days of its commencement or issuance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) it is or becomes unlawful, or any action taken by a Governmental Body makes it impractical or impossible, for any Project Entity or any Intra-Group Loan Guarantor to perform any of its material obligations under any Stream Document and such unlawfulness or action is not contested by such Project Entity or Intra-Group Loan Guarantor, as applicable, diligently, in good faith and on a timely basis and reversed, stopped or suspended within:

&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) if no Person is a party to the lntercreditor Agreement as a Senior Creditor (as defined in the lntercreditor Agreement or any Refinancing Equivalent) at that time, 60 Business Days; 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;(2) if any Person is a party to the lntercreditor Agreement as a Senior Creditor (as defined in the lntercreditor Agreement or any Refinancing Equivalent) at that time, 45 Business Days,

in each case, of its commencement or occurrence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) a Project Entity or any Intra-Group Loan Guarantor, or any officer or employee of any of them, is charged with, or proven to be, breaching any Anti-Money Laundering Laws, any Anti-Corruption Laws or any Sanctions and, in respect of any such officer or employee, the Project Entity's or Intra-Group Loan Guarantor's (as applicable) relationship with such officer or employee is not suspended or terminated within 20 days (or any such longer period required or provided for under Applicable Laws) of the Project Entity or Intra-Group Loan Guarantor (as applicable) acquiring actual knowledge of such proven breach;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) (i) as a result of the occurrence of an event of default thereunder, any Debt of a Project Entity (other than under any Intra-Group Loan Agreement or the Working Capital Facility Agreement) shall be declared to be due and payable in accordance with its terms prior to the stated maturity thereof, in each case in a principal amount of US$10,500,000 or, in the case of ANR RP Limited, US$20,000,000 or more and such Debt is not fully paid by the first to occur of: (x) the date which is 45 days after the earlier of: (1) delivery by the Purchaser to the Seller of written notice of such occurrence; and (2) a Project Entity becoming aware of such occurrence; or (y) the commencement of enforcement action in respect of such Debt; or (ii) any Debt of a Project Entity under any Senior Financing (other than under the Working Capital Facility Agreement or pursuant to any mandatory prepayment resulting from excess cash flow or the receipt of any disposal proceeds, insurance proceeds or liquidated damages proceeds) shall be declared to be due and payable in accordance with its terms prior to the stated maturity thereof, and as a result thereof, if instructed to do so in accordance with the lntercreditor Agreement, the Security SPV or the Offshore Security Agent may enforce some or all of the Transaction Security (as defined in the lntercreditor Agreement or any Refinancing Equivalent);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(L) any of the Security, any Stream Document, the lntercreditor Agreement, or any material obligation of any party (other than the Purchaser) under any of them, is repudiated by any party under any of them (other than the Purchaser), is not or ceases to be in full force and effect, or is invalidated or rendered unenforceable by any act, regulation or governmental action or is determined to be invalid by judgment of a final court or other judicial entity (or the times for appeal to such final court or other judicial entity have expired without appeals having been taken by any of the Group Members) or, in the case of the Security, to not constitute an Encumbrance in the Collateral (subject only to Permitted Encumbrances), except where any such event or circumstance is immaterial or is remedied within a period of 45 days after the earlier of: (1) delivery by the Purchaser to the Seller of written notice of such occurrence; and (2) the Project Entity becoming aware of such occurrence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(M) any party other than the Purchaser fails to comply with a material obligation under the lntercreditor Agreement except where any such failure is remedied within a period of 60 days after the earlier of: (1) delivery by the relevant party to the Purchaser of written notice of such occurrence; and (2) the Project Entity becoming aware of such failure, which would have a material adverse effect on rights and/ or benefits of the Purchaser under the Stream Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(N) a breach of Clause 6.7(A)(3) occurs, except where such breach is remedied within 30 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(O) except where permitted under Clause 6.8, the Project Company: (1) abandons the construction or operation of the Project; or (2) puts the Project or a material portion of the Project on care and maintenance for a continuous period of more than three years;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(P) the Project Company fails to obtain, or loses the right to or benefit of, a Material Project Authorization or the Operating Agreement, in each case which would have a Material Adverse Effect and, where such circumstance or event is capable of being remedied and the Project Company is diligently pursuing a remedy, such circumstance or event is not remedied within a period of 45 Business Days after the earlier of: (1) delivery by the Purchaser to the Project Company of written notice of such circumstance or event; and (2) the date the Project Company became aware of such event or circumstance; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Q) any:

&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) foreign exchange law or *de facto* law or rule, currency control or export restrictions are amended, enacted or introduced in the Republic of Namibia that has the effect of prohibiting, or restricting or delaying in any material respect any payment that any Group Member is required to make in accordance with the terms of any of the Stream Documents or the ability of any Group Member or the Purchaser to convert, transfer or repatriate cash outside the Republic of Namibia; 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;(2) exchange control approval from the Bank of Namibia (in accordance with the Exchange Control Regulations) required for or in connection with the performance of any obligations under any Stream Document is cancelled, withdrawn, forfeited or revoked or any other action having similar effect is taken,

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which, in each case, has a material adverse effect on the Purchaser's rights or benefits under the Stream Documents or the Seller's rights or benefits under the Intra-Group Loan Agreements.

**10.2** **Remedies - Seller Events of Default**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Subject to 10.2(D), if a Seller Event of Default occurs and is continuing (subject to Clause 1.2(0)), the Purchaser shall have the right, upon written notice from the Purchaser to the Project Entities, at its option, to take any or all of the following actions (in each case, without double recovery):

&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) demand and promptly receive all Deliveries then owing by the Seller to the Purchaser (in accordance with Clause 2.3);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) claim and promptly receive all Losses of the Purchaser arising out of or in connection with such Seller Event of Default and, if applicable, related termination of this Agreement, which amount shall be immediately due and payable on demand, provided 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;(a) the Early Termination Amount has not been claimed in respect of the relevant Seller Event of Default under Clause 10.2(A)(3); 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the amount of Losses recoverable in respect of a Seller Event of Default, shall be capped at the Early Termination Amount (calculated in accordance with paragraph (A) of such definition),

and the Purchaser may issue a Termination Notice in respect of such Seller Event of Default but shall not be required to issue such Termination Notice in order to exercise any rights under this Clause 10.2(A)(2);

&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) issue a Termination Notice and demand the Early Termination Amount, which amount shall be due and payable on demand 10 Business Days after the date of determination of the Early Termination Amount in accordance with Clause 10.3 in immediately available funds by direct deposit by the Seller to such bank account as is nominated by the Purchaser in the Termination Notice;

&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) until the Security Release Date, enforce any of the Security or otherwise exercise any of its rights under or in connection the Security Documents subject to, and in accordance with, the provisions of the lntercreditor Agreement; 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;(5) demand and promptly receive all of the Purchaser's costs of enforcing rights in connection with such Seller Event of Default and taking any of the actions under or in connection with this Clause 10.2(A) which amount shall be immediately due and payable on demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Parties hereby acknowledge and agree that, in respect of any exercise of rights under Clause 10.2(A)(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;(1) the Purchaser will be damaged by a Seller Event of Default;

&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) it would be impracticable or extremely difficult to fix the actual Losses resulting from a Seller Event of Default;

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&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) any sums payable in accordance with Clause 10.2(A)(3) with respect to a Seller Event of Default are in the nature of liquidated damages, not a penalty, and are fair and reasonable; 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;(4) all amounts payable in accordance with Clause 10.2(A)(3) with respect to a Seller Event of Default represent a reasonable estimate of fair compensation for the losses that may reasonably be anticipated from such Seller Event of Default in full and final satisfaction of all amounts owed in respect of such Seller Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) For greater certainty, if the termination right under Clause 10.2(A)(2) or 10.2(A)(3) is not exercised, the rights and remedies of the Purchaser and the obligations of the Group Members or any successors following a realization hereunder shall continue in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Purchaser shall only have the right to give notice of exercise of remedies for a Seller Event of Default in respect of:

&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) Clause 10.1 (excluding Clauses 10.1(G)(1) and 10.1(G)(2)), until the date falling 12 months; 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;(2) Clauses 10.1(G)(1) and 10.1(G)(2) until the date falling six months,

in each case, after the Seller notifies the Purchaser of such Seller Event of Default, provided that to the extent that the Purchaser is prevented or restricted by the lntercreditor Agreement (or any other intercreditor or subordination arrangement) from taking any of the actions set out in Clause 10.2(A) then the time period in Clause 10.2(0)(1) or 10.2(0)(2) (as applicable) shall be extended by the period of such prevention or restriction. Such notice from the Seller must be in the form set out in Schedule 2 *(Form of Seller Event of Default I Material Breach Event Notice)* and specifically identify, and provides all relevant details of, the relevant Seller Event of Default and the applicable deadline for notice of exercise of remedies and be given separately to any other notice on any matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) Subject to the legal enforceability of Clause 10.2 not being challenged by any Group Member or Intra-Group Loan Guarantor and subject to Clause 10.2(F), the Purchaser acknowledges and agrees that, without prejudice to the right to seek injunctions, specific performance or other equitable remedies or the Purchaser's rights as a creditor in any insolvency or judicial management or restructuring process, the remedies set out in Clause 10.2 shall be the sole remedies of the Purchaser for any Seller Event of Default and the Purchaser shall have no additional right or remedy arising by common law (including, without limitation, any common law right of termination), by statute or otherwise under any Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The Parties acknowledge that claims and remedies under this Clause 10.2 are separate from, and in addition to, rights under Clauses 12, 13 (subject in all cases to Clause 13.3) and 14.14.

**10.3** **Determination of Mine Plan and Early Termination Amount**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) If the Purchaser issues a Termination Notice and demands the Early Termination Amount in accordance with Clause 10.2(A)(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;(1) the Seller shall, within 10 Business Days from the date it receives the Termination Notice, procure that the Project Company delivers to the Purchaser an Early Termination Amount figure calculated on the basis of the then most recent Mine Plan delivered to the Purchaser under Clause 5.1(B) (the "<u>Base</u> <u>Mine Plan</u>"); and

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&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) if the Seller does not procure that the Project Company delivers to the Purchaser an Early Termination Amount figure within the 10 Business Day period referred to in Clause 10.3(A)(1), the Purchaser may deliver to the Seller an Early Termination Amount figure calculated on the basis of the Base Mine Plan,

(such Early Termination Amount figure proposed by the Seller or the Purchaser, the "<u>Proposed</u> <u>Early Termination Amount</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Upon receipt or delivery (as applicable) of the Proposed Early Termination Amount, the Purchaser may, upon 10 Business Days' written notice (an "<u>Audit</u> <u>Notice</u>") to the Seller and at its own cost, appoint a qualified and recognised mining engineer to inspect and conduct an audit of the Base Mine Plan and the methods and practices used by the Seller in preparing the Base Mine Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) If, within one month of the date of the Audit Notice, the Purchaser provides written notice (an "<u>Adjustment</u> <u>Notice</u>") to the Seller of any adjustments required to the Proposed Early Termination Amount on the basis of a determination by the auditor that the Base Mine Plan has:

&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) any miscalculation or error that has an impact on the calculation of the Proposed Early Termination Amount; 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;(2) not been prepared in accordance with the standards in accordance with Good Industry Practice,

the Seller shall, on being provided with a copy of the report of the Purchaser's auditor, make a corresponding adjustment to the Proposed Termination Amount, which adjusted amount shall be the Early Termination Amount for the purpose of Clause 10.2(A), unless the Seller delivers an Adjustment Dispute Notice to the Purchaser in relation to the Adjustment Notice within one month of receiving such Adjustment Notice. If the Seller delivers an Adjustment Dispute Notice, the dispute resolution procedures set out in Clause 14.2 *(Determination of Adjustment Dispute Notice)* shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) If the Purchaser does not submit to the Seller an Audit Notice or an Adjustment Notice within the relevant periods set out in Clauses 10.3(B) or 10.3(C) (as applicable), the initial Proposed Early Termination Amount submitted by the Seller or by the Purchaser (as applicable) shall be the final Early Termination Amount for the purpose of Clause 10.2(A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) If the final Early Termination Amount payable by the Seller is established by audit or pursuant to an Adjustment Dispute Notice to be greater than the initial Proposed Early Termination Amount by [Redacted - Commercially Sensitive Information]% or more, the Seller shall immediately on demand pay the costs of the audit to the Purchaser. In all other circumstances, the Purchaser shall bear the costs of the audit.

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**10.4** **Material Breach Events**

Until the Security Release Date only, each of the following events or circumstances that is continuing constitutes a material breach by the Seller (each, a "<u>Material Breach</u> <u>Event")</u>:

[*Redacted - Commercially Sensitive Information*] other than as provided for elsewhere in Clause 10.1 *(Events of Default),* the Seller is in breach or default of any other terms or any of its other covenants or obligations set forth in this Agreement or any other Stream Document in any material respect (or in any respect in case of terms, covenants or obligations that are qualified by materiality) and which breach or default causes a Material Adverse Effect, which breach or default is not remedied within a period of 60 Business Days after the earlier of: (1) delivery by the Purchaser to the Seller of written notice of such breach or default; and (2) the date the Seller became aware of such breach;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Seller makes any representation or warranty (other than a Fundamental Warranty in respect of which a Seller Event of Default under Clause 10.1(B) arises) under any Stream Document which is, in any material respect (or in any respect in the case of representations and warranties that are qualified by materiality), incorrect or incomplete when made or deemed to be made and the circumstances giving rise to such incorrectness or incompleteness are not remedied, if capable of remedy, within a period of 60 days after the earlier of: (1) delivery by the Purchaser to the Seller of written notice of such incompleteness or incorrectness; and (2) the date the Seller became aware of such incompleteness or incorrectness; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) a final judgment, order, writ of execution, garnishment or attachment or similar process for an amount in excess of US$15,000,000 is issued or levied against a Project Entity or any material portion of the Project Real Property, provided that: (1) all rights of appeal have been exhausted or all deadlines for appeal have expired without appeals having been taken by any of the Group Members; and (2) such final judgment, order, writ of execution, garnishment or attachment or similar process would have a Material Adverse Effect.

**10.5** **Remedies - Material Breach Event**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) If a Material Breach Event occurs and is continuing (subject to Clause 1.2(0)), the Purchaser shall have the right, upon written notice from the Purchaser to the Project Entities, at its option, to take any or all of the following actions (in each case, without double recovery):

&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) claim and promptly receive all Losses of the Purchaser arising out of or in connection with such Material Breach Event which amount shall be immediately due and payable on demand; 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;(2) demand and promptly receive all of the Purchaser's costs of enforcing rights in connection with such Material Breach Event and taking any of the actions under or in connection with this Clause 10.5 which amount shall be immediately due and payable on demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Subject to the legal enforceability of Clause 10.5 not being challenged by the Seller, and subject to Clause 10.5(D), the Purchaser acknowledges and agrees that, without prejudice to the right to seek injunctions, specific performance or other equitable remedies or rights of the Purchaser as a creditor in any insolvency or judicial management or restructuring process, the remedies set out in Clause 10.2 shall be the sole remedies of the Purchaser for any Material Breach Event and the Purchaser shall have no additional right or remedy arising by common law (including, without limitation, any common law right of termination), by statute or otherwise under any Applicable Law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Purchaser shall only have the right to exercise remedies for a Material Breach Event in respect of Clause 10.4(B) until the date falling 12 months after the Seller notifies the Purchaser of such Material Breach Event, provided that, to the extent that the Purchaser is prevented or restricted by the lntercreditor Agreement (or any other intercreditor or subordination arrangement) from taking any of the actions set out in this Clause 10.5, then such 12 month period shall be extended by the period of such prevention or restriction. Such notice from the Seller must be in the form set out in Schedule 2 *(Form of Seller Event of Default I Material Breach Event Notice)* and identify specifically, and provide all relevant details of, the relevant Material Breach Event and the applicable deadline for notice of exercise of remedies and be given separately to any other notice on any matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Parties acknowledge that claims and remedies under this Clause 10.5 are separate from, and in addition to, rights under Clauses 12, 13 (subject in all cases to Clause 13.3) and 14.14.

**11.** <u>**PURCHASER EVENTS OF**</u> <u>**DEFAULT**</u>

**11.1** **Events of Default**

Each of the following events or circumstances constitutes an event of default by the Purchaser (each, a "<u>Purchaser</u> <u>Event of Default")</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Purchaser fails to pay any portion of the Prepayment Amount to the Seller in accordance with this Agreement where all of the applicable conditions in Clause have been satisfied or waived (any such unpaid Prepayment Amount, the "<u>Unpaid</u> <u>Prepayment Amount")</u> and such breach is not remedied within a period of ten Business Days following the due date for payment of such amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Purchaser fails to pay any amount due under this Agreement (other than the Unpaid Prepayment Amount) and such breach is not remedied within a period of ten Business Days following the due date for payment of such amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) 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;(1) ceases or threatens to cease to carry on its business or admits its inability, or fails, to pay its debts generally as they become due or an order is made or a resolution is passed for the winding up, liquidation or dissolution of in respect of the Purchaser and such order is not contested by the Purchaser, diligently, in good faith and on a timely basis and dismissed or stayed within 60 Business Days of its commencement or issuance (for greater certainty, such 60 Business Day grace period shall not apply if any such order is requested by 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;(2) becomes bankrupt, whether voluntarily or involuntarily, or becomes subject to any proceeding seeking liquidation, arrangement, monitorship, relief of creditors or the appointment of a receiver, liquidator or trustee, and such proceeding is not contested by the Purchaser, as applicable, diligently, in good faith and on a timely basis and dismissed or stayed within 60 Business Days of its commencement or issuance (for greater certainty, such 60 Business Day grace period shall not apply if the Purchaser becomes bankrupt voluntarily or any such proceedings are initiated by the Purchaser); or

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&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) becomes a Sanctioned Person or Sanctioned Entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) the Purchaser makes any representation or warranty under any Stream Document which is, in any material respect (or in any respect in the case of representations and warranties that are qualified by materiality), incorrect or incomplete when made or deemed to be made and the circumstances giving rise to such incorrectness or incompleteness are not remedied, if capable of remedy, within a period of 60 days after the earlier of: (1) delivery by the Seller to the relevant Purchaser of written notice of such incompleteness or incorrectness; and (2) the date the relevant Purchaser became aware of such incompleteness or incorrectness; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) the Purchaser fails to comply with Clause 8.5(C) *(/ntercreditor Agreement and Subordination)* or Clause 8.6 *(Cooperation with Senior Financing Process)* of this Agreement or clause 20.3 *(Additional Debt and lntercreditor Arrangements)* of the lntercreditor Agreement.

**11.2** **Remedies**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) If a Purchaser Event of Default described in Clause 11.1(A) has occurred and is continuing for more than 5 days, then the Project Entities shall have the right to, without interest or penalty:

&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) unless the Purchaser affected by such Purchaser Event of Default has Transferred all of its rights and obligations under the Stream Documents to another Person in accordance with Clause 7.4 and the outstanding amount has been paid in full by the earlier of 60 days from: (1) the Seller notifying the Purchaser of such Purchaser Event of Default; or (2) the Purchaser becoming aware of such Purchaser Event of Default, terminate this Agreement with respect to such Purchaser who has committed such Purchaser Event of Default by written notice to the Purchaser, and demand all damages and losses suffered or incurred as a result of the occurrence of such Purchaser Event of Default and termination; and/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;(2) suspend the performance of all or any of its Refined Silver Delivery obligations further to Clause 2.3(A) until the relevant amount (where applicable) is fully and unconditionally paid (including by a Transferee of the Purchaser), subject to giving prior written notice of such suspension to the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) If this Agreement has been terminated in respect of the Purchaser pursuant to Clause 11.2(A)(1), such termination shall be subject to the Seller, within 180 Business Days of the date of termination, fully and unconditionally refunding to the Purchaser an amount equal to the Uncredited Balance (if any) at the date of such termination or (if it is not lawful for the Seller to refund such amount) placing such amount in escrow on terms acceptable to the Purchaser and Seller (each acting reasonably) (together, the "<u>Refund Obligation</u>"). Following such termination, the Purchaser shall cease to have any rights or liabilities under or in connection with the Stream Documents, other than the Refund Obligation.

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With effect from such refunding or placing in escrow of the Uncredited Balance, or such termination if the Uncredited Balance is zero at the time of termination, then:

&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) the Prepayment Amount; 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;(2) the percentage and number of ounces of Refined Silver in the definition of "Designated **Metal** Percentage",

shall be reduced to zero (except to the extent that any of the same are required for the calculation of the Uncredited Balance). If the refunded amount has been placed in escrow, then the Seller shall provide reasonable assistance (subject to Applicable Law) in procuring the release of such funds from escrow and the making of payment to the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) If the Seller has suspended this Agreement pursuant to Clauses 11.2(A)(2) or 11.2(0) following a Purchaser Event of Default:

&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) its Refined Silver Delivery obligations further to Clause 2.3(A) shall be suspended until the Purchaser has remedied such Purchaser Event of Default in full; 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;(2) any ounces of Refined Silver in respect of which sale and Delivery is suspended further to Clauses 11.2(A)(2) or 11.2(0) shall nonetheless be deemed to have been sold and Delivered when calculating the number of ounces of Refined Silver that have been Delivered in accordance with this Agreement,

provided that, if the Purchaser (or a transferee of the Purchaser) pays the relevant outstanding amount in full, the Seller's obligations under this Agreement shall recommence as of the date of such payment; provided further that, for greater certainty, the Seller shall not be obligated to make, for the benefit of the Purchaser (or transferee of the Purchaser), any additional Deliveries of Refined Silver or payments in respect of the period during which such suspension was in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) If a Purchaser Event of Default described in Clauses 11.1(B) or 11.1(C) has occurred, then the Seller shall have the right to, without interest or penalty, suspend the performance of all or any of its Refined Silver Delivery obligations further to Clause 2.3(A) to the Purchaser until the relevant amount (where applicable) is fully and unconditionally paid (including by a Transferee of the Purchaser), subject to giving prior written notice of such suspension to the Purchaser and / or claim and demand all damages and losses suffered or incurred by it as a result of the occurrence of such Purchaser Event of Default, provided that this shall not require the Seller to receive or accept any funds in breach of any Sanctions or Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) If a Purchaser Event of Default under Clause 11.1(C) has occurred and is continuing, unless the Purchaser has Transferred all of its rights and obligations under the Stream Documents to another Person in accordance with Clause 7.4 by the earlier of 60 days from: (1) the Seller notifying the Purchaser of such Purchaser Event of Default; or (2) the Purchaser becoming aware of such Seller Event of Default, then, unless the then-current Prepayment Amount has been paid in full or the Prepayment Long Stop Date has occurred (but provided that such exception shall not be applicable in relation to a Purchaser Event of Default under Clause 11.1(C)(3)), the Seller, without interest or penalty, may terminate this Agreement in respect only of the Purchaser by written notice to the Purchaser. Such termination shall be subject to the Seller, within 180 Business Days of the date of termination, fully and unconditionally refunding to the Purchaser an amount equal to the Uncredited Balance (if any) at the date of such termination or (if it is not lawful for the Seller to refund such amount) placing such amount in escrow on terms acceptable to the Purchaser and Seller (each acting reasonably) (together the "<u>Refund Obligation</u>"). Following such termination, the Purchaser shall cease to have any rights or liabilities under or in connection with the Stream Documents, other than the Refund Obligation. With effect from the date of such refunding or placing in escrow of the Uncredited Balance, or the date of such termination if the Uncredited Balance is zero at the time of termination, then:

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&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) the Prepayment Amount; 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;(2) the percentage and number of ounces of Refined Silver in the definition of "Designated Metal Percentage",

shall be reduced to zero (except to the extent that any of the same are required for the calculation of the Uncredited Balance). If the refunded amount has been placed in escrow, then the Seller shall provide reasonable assistance (subject to Applicable Law) in procuring the release of such funds from escrow and the making of payment to the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) If a Purchaser Event of Default under 11.1(D) has occurred and is continuing, the Seller shall have no right to terminate, rescind, cancel, suspend or treat as terminated or discharged this Agreement, but shall be entitled to all other remedies available to it against the relevant Purchaser under this Agreement or at law or in equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) If a Purchaser Event of Default under Clause 11.1(E) has occurred and is continuing, then the Seller shall have the right to, without interest or penalty:

&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) suspend the performance of all or any of its Refined Silver Delivery obligations further to Clause 2.3(A) and any other obligations under this Agreement until such time such Purchaser Event of Default has been remedied or waived by the Seller. Promptly following remedy or waiver, the suspended Deliveries of Refined Silver shall be made, and other obligations performed, in full. Any ounces of Refined Silver in respect of which sale and Delivery is suspended further to this Clause 11.2(G) shall not be deemed to have been sold and Delivered when calculating the number of ounces of Refined Silver that have been Delivered in accordance with this Agreement until actually sold and Delivered; 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;(2) terminate this Agreement by providing 30 days' prior written notice to the Purchaser.

**12.** <u>**TAXES**</u>

**12.1** **Taxes**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) All Deliveries of Refined Silver and any other payments and transfers of property of any kind made under this Agreement or any other Stream Document by or on behalf of the Seller shall be made free and clear and without any present or future deduction, withholding, charge, levy or imposition for or on account of any Taxes, except as required by Applicable Laws. Subject to Clause 12.1(D), all Taxes, if any, as are required by Applicable Laws to be deducted, withheld, charged, levied, collected or imposed on any Person on or with respect to any such Delivery, payment, deemed payment or transfer made by or on behalf of the Seller shall be paid by the Seller by Delivering or paying to the Purchaser, in addition to such Delivery, payment, deemed payment or transfer, such additional Delivery, payment or transfer as is necessary to ensure that the net amount received by the Purchaser (net of any such Taxes, including any Taxes required to be deducted, withheld, charged, levied, collected or imposed on any such additional amount) equals the full amount that the Purchaser would have received had no such deduction, withholding, charge, levy, collection or imposition been required.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Subject to Clause 12.1(D), if, as a result of it entering into any Key Transaction Document or any other arrangement pursuant thereto or contemplated therein to which the Purchaser (or an Affiliate of the Purchaser) and a Group Member is a party (but not any other unconnected arrangement with third parties or Group Member(s) to which the Purchaser or any of its Affiliates is a party from time to time), the Purchaser becomes liable for any Tax in any Group Jurisdiction (including Namibian income tax or VAT or other value-added, sales, goods and services or similar taxes), and as a result Taxes are imposed in any Group Jurisdiction, on any Deliveries, payments or deemed payments under or in connection with any Key Transaction Document or any other arrangement pursuant thereto or contemplated therein or on the Purchaser as a result of such Person entering into any of the Key Transaction Documents, the Project Entities shall indemnify the Purchaser for such Tax and any costs incurred in connection with such Tax, and the indemnity payment shall be increased as necessary so that, after the imposition of any Tax on the indemnity payment (including Tax in respect of any such increase in the indemnity payment), the Purchaser shall receive an amount equal to the full amount of such Taxes for which it is liable. A certificate as to the amount of such payment or liability delivered to the Seller by the Purchaser shall be conclusive absent manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Purchaser shall use commercially reasonably endeavours to pursue any tax refund or rebate to which it is entitled in respect of any Taxes as to which it has been indemnified by the Seller or with respect to which the Seller has paid additional amounts pursuant to this Clause 12.1 or that, because of the payment of such Taxes, it has benefited from a reduction in Excluded Taxes otherwise payable by it. If the Purchaser receives a refund or rebate of any Taxes as to which it has been indemnified by the Seller or with respect to which the Seller has paid additional amounts pursuant to this Clause 12.1 or that, because of the payment of such Taxes, it has benefited from a reduction in Excluded Taxes otherwise payable by it, it shall pay, within 10 Business Days of receipt of such refund or rebate, to the Seller an amount equal to such refund or rebate (but only to the extent of indemnity payments made, or additional amounts paid, by the Seller under this Clause 12.1 with respect to the Taxes giving rise to such refund or rebate), net of all out-of-pocket expenses of the Purchaser and without interest (other than any net after-Tax interest paid by the relevant Governmental Body with respect to such refund or rebate). The Seller, upon the request of the Purchaser, agrees to repay, within 10 Business Days of receipt of such request, the amount paid over to it to the Purchaser if the is required to repay such refund or rebate to such Governmental Body. Without prejudice to Clauses 12.1(A) and 12.1(B), the Parties agree, if reasonably requested by the Seller, to reasonably cooperate to try and ensure that no more Taxes, duties or other charges are payable by the Seller by virtue of the Stream Documents than as are applicable under Applicable Law. This Clause 12.1(C) shall not be construed to require that the Purchaser: (1) make available its Tax Returns (or any other information relating to its Taxes that it deems confidential) to the Seller or any other Person; (2) make any amendments to any Stream Document; (3) take or procure the taking of any action which might constitute a Purchaser Excluded Taxes Event, a Transfer or a Change of Control; or (4) arrange its affairs in any particular manner, save to the extent required in order to comply with the terms of this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Seller shall not be responsible pursuant to Clause 12.1(A) or Clause 12.1(8):

&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) for any Excluded Taxes where, for these purposes, "<u>Excluded</u> <u>Taxes</u>" means any of 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;(a) any Taxes to the extent that such Taxes are recovered by the Purchaser by way of tax refund or rebate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) any Taxes imposed or collected by a jurisdiction by reason of the Purchaser being incorporated or resident in that jurisdiction, carrying on business in, or having a permanent establishment or a connection with that jurisdiction (other than where such Tax is imposed on or collected by any Group Jurisdiction and such Tax arises solely in connection with entering into, benefitting from or enforcing rights under any Key Transaction Document) or participating in a transaction separate from any of the Key Transaction Documents in that jurisdiction, in each case determined by application of the laws of that jurisdiction; 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;(c) any Taxes imposed or collected by a jurisdiction by reason of the Purchaser designating a metal account or accounts in a jurisdiction other than England for Deliveries further to Clause 2.3(8) unless the Purchaser was prohibited by Applicable Law from using a metal account(s) in England for such Deliveries (other than as a result of its own breach of Applicable Law), to the extent that the amount of such Taxes exceeds that which would have been applicable had such account(s) been in England; 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;(2) for any Incremental Purchaser Excluded Taxes, arising solely as a result of a Purchaser Excluded Tax Event that occurs at any time after the date of the Agreement, where, for these purposes, "<u>Incremental</u> <u>Purchaser</u> <u>Excluded Taxes</u>" means any amount that the Seller would be required under Clause 12.1(A) or Clause 12.1(8) to pay to the Purchaser which would be in excess of the amount that the Seller would have been required to pay under Clause 12.1(A) or Clause 12.1(8) (after taking into account any previous application of this Clause 12.1(D), if applicable) if such payment was made on the day before the Purchaser Excluded Tax Event occurred, such excess to be determined based on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 jurisdiction of incorporation and domicile of the Purchaser, in respect of which the Purchaser Excluded Tax Event is occurring, as at the day before such Purchaser Excluded Tax Event occurred; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Applicable Law applicable to the Purchaser and/or the Seller (as at the day before the Purchaser Excluded Tax Event),

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but, in all circumstances, disregarding for the purposes of the calculation of such excess:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 jurisdiction of incorporation, domicile of and any circumstances of and / or Applicable Law applicable to, any direct or indirect shareholder of or investor in the Purchaser (together, "<u>Investor</u> <u>Circumstances")</u>; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any Applicable Law applicable to the Purchaser as a result of Investor Circumstances,

in each case as at the day before such Purchaser Excluded Tax Event. Notwithstanding the foregoing provisions of this Clause 12.1, in no circumstances shall: (x) any additional Taxes arising as a result of a change in Applicable Law occurring after the day before the relevant Purchaser Excluded Tax Event be Excluded Taxes; and (y) any Seller liability for VAT (or other value-added, sales, goods and services or similar taxes), in respect of fees for professional services provided to the Purchaser in connection with the enforcement of rights under or in connection with the Stream Documents, be limited or excluded by this Clause 12.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) The Seller represents and warrants that, as at the date of this Agreement, the Group Jurisdiction(s) in respect of the Seller is Jersey and in respect of the Project Company is Namibia.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The Original Purchaser represents and warrants that, as at the date of this Agreement, it is incorporated and has a permanent establishment in Jersey.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) Unless notified under another provision of this Agreement or otherwise, the Purchaser shall promptly notify the Seller of any Purchaser Excluded Tax Event occurring from time to time and provide all relevant information in respect of such Purchaser Excluded Tax Event, including, without limitation, the jurisdiction of incorporation and domicile of the Purchaser in respect of which the Purchaser Excluded Tax Event is occurring.

**13.** <u>**INDEMNITIES**</u>

**13.1** **Indemnity of the Project Entities**

Subject to Clause 13.3, the Seller agrees to indemnify and hold the Indemnified Parties harmless from and against any and all Losses suffered or incurred by any of them as a result of a claim by a Person (who is not a current or former Purchaser or any of its Affiliates) against any of them, in respect of, or arising as a consequence of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any breach or inaccuracy of any representation or warranty of the Seller contained in this Agreement or the other Stream Documents to which it is a party, including without limitation the representations and warranties set forth in Clause 9.1 hereto, or in any document, instrument or agreement delivered pursuant hereto or thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any breach, including breach due to non-performance, by the Seller of any covenant or agreement to be performed by it contained in this Agreement or the other Stream Documents to which it is a party or in any document, instrument or agreement delivered pursuant hereto or thereto;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the failure of any Project Entities, any Intra-Group Loan Guarantor or any Affiliate of any of them to comply with any Applicable Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) subject to Clause 5.1O(B), the physical environmental condition of the Project and matters of health and safety related to the Project or any action or claim brought with respect thereto (including conditions arising prior to the date of this Agreement);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) any failure by a Group Member to comply with Anti-Corruption Laws, the Anti-Money Laundering Laws, the Anti-Corruption Policy, or failure by the Seller to otherwise comply with its obligations under Clause 6.3 or any representation and warranty further to Clause 9.1(B)(25);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) any actual breach of any Environmental Laws by a Project Entity or in relation to the Project;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) an Environmental Claim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) any enquiry, investigation, subpoena (or similar order) or litigation with respect to any Environmental Claim and any other enquiry, investigation, subpoena (or similar order) or litigation in respect of any breach of any Environmental Law that has given or is reasonably likely to give rise to a liability for any Person indemnified further to this Clause 13; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) the enforcement of the rights of an Indemnified Party under this Clause 13.1,

which relates to any Project Entity and/or any Intra-Group Loan Guarantor, any assets of a Project Entity and/or any Intra-Group Loan Guarantor or the operation of all or part of the business of any Project Entity and/or any Intra-Group Loan Guarantor and which would not have arisen had such Indemnified Party not entered into the Stream Documents and provided that the foregoing shall not apply to any Losses of an Indemnified Party to the extent they arise from the gross negligence or wilful misconduct of such Indemnified Party.

**13.2** **Non-Party Indemnified Persons**

The Purchaser shall act as a trustee to its related Indemnified Parties under this Clause 13 to the extent indemnified under this Agreement and accepts this trust and will hold and enforce the covenants herein on behalf of such related Indemnified Parties.

**13.3** **No Double Recovery**

To the extent that an Indemnified Party recovers damages or obtains payment or reimbursement under or in connection with any provision of this Agreement other than this Clause 13 in respect of any Loss, then such Indemnified Party shall not be entitled to recover the amount it has so recovered or been paid or reimbursed in respect of that Loss more than once under the indemnity in Clause 13.1.

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**14.** <u>**GENERAL**</u>

**14.1** **Disputes and Arbitration**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Arbitration**

&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) Any dispute, controversy or claim arising out of or in connection with this Agreement including any question regarding its existence, validity or termination (other than any matter which is subject to Clause 14.2 *(Determination of Adjustment Dispute Notice))(a* "<u>Dispute</u>") shall be referred to and finally resolved by arbitration under the LCIA Arbitration Rules of the London Court of International Arbitration (the "<u>Arbitration</u> <u>Rules</u>") (which are deemed to be incorporated by reference into this Clause 14.1). The number of arbitrators shall be three (3). The claimant shall nominate one (1) arbitrator for appointment by the LCIA Court and the respondent shall nominate one (1) arbitrator for appointment by the LCIA Court (in the Request and in the Response, respectively). To the extent that the claimant or respondent fails nominate an arbitrator for appointment by the LCIA Court in the Request and/or Response (as applicable), the relevant arbitrator shall be chosen and appointed by the LCIA Court. The third arbitrator, who shall be the president of the arbitral tribunal, shall be selected by the two co-arbitrators within thirty (30) days of their appointment. To the extent the third arbitrator is not selected by the end of this thirty (30) day period, such arbitrator shall be chosen and appointed by the LCIA. The seat of arbitration shall be London, England, and the language of arbitration shall be English. The award shall be final and binding upon the Parties and the costs of the arbitration shall be apportioned by the tribunal. Judgment on the award may be entered in any court having jurisdiction. The Emergency Arbitrator provisions in the Arbitration Rules shall not apply. This Clause 14.1 shall not preclude the Parties from seeking provisional remedies in aid of arbitration from a court of competent jurisdiction. The Parties covenant and agree that they shall conduct all aspects of such arbitration having regard at all times to expediting the final resolution of such arbitration.

&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) The arbitration, including any settlement discussions between the Parties related to the subject matter of the arbitration, shall be conducted on a private and confidential basis and any and all information exchanged and disclosed during the course of the arbitration shall be used only for the purposes of the arbitration and any appeal therefrom. None of the Parties shall communicate any information obtained or disclosed during the course of the arbitration to any third party except to those experts or consultants employed or retained by, or consulted about retention on behalf of, such party in connection with the arbitration and solely to the extent necessary for assisting in the arbitration, and only after such persons have agreed to be bound by these confidentiality conditions. In the event that disclosure of any information related to the arbitration is required to comply with Applicable Law or court order, an application to a court for provisional remedies, or to satisfy that party's financial reporting obligations, the disclosing party shall promptly notify the other party of such disclosure, shall limit such disclosure to only that information so required to be disclosed and shall have availed itself of the full benefits of any laws, rules, regulations or contractual rights as to disclosure on a confidential basis to which it may be entitled.

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&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) Any award of the tribunal and the reasons therefor shall also be kept confidential except: (a) as may reasonably be necessary to obtain enforcement thereof or for the purposes of any challenge or appeal therefrom; (b) for either party to comply with its disclosure obligations under Applicable Law; (c) to permit the Parties to exercise properly their rights under the Arbitration Rules; and (d) to the extent that disclosure is required to allow the Parties to consult with their professional advisors or to satisfy their financial reporting 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;(4) The arbitration agreement set out in this Clause 14.1 shall be governed by and construed in accordance with English law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Consolidated arbitration**

&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) In order to facilitate the comprehensive resolution of related Disputes, all Disputes between any of the Parties in respect of this Agreement and/or any other related agreement to which the same Parties or their Affiliates or Related Funds are party may be consolidated into a single consolidated arbitration subject to the provisions of this Clause. If two or more arbitrations are commenced hereunder and/or under one or more such related agreements, any party named as claimant or respondent in any of these arbitrations may petition the arbitral tribunal appointed in the arbitration commenced first (the "<u>First Tribunal</u>") for an order that the several arbitrations be consolidated in a single arbitration before that arbitral tribunal (a "<u>Consolidation Order</u>"). The First Tribunal may only make a Consolidation Order in the following 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all parties to all the arbitrations sought to be consolidated agree to consolidation; 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;(b) the First Tribunal determines that: (i) there are issues of fact or law common to the arbitrations such that a consolidated arbitration would be more efficient than separate arbitrations; and (ii) no party would be unduly prejudiced as a result of such consolidation through undue delay or otherwise.

All the parties to any such arbitrations consent to consolidation pursuant to a Consolidation Order and agree to waive any rights that they may have to object to arbitrators of the First Tribunal on the ground that they have not been nominated or appointed by such parties. In this Clause 14.1(B), "<u>Related Fund</u>" in relation to a fund (the "<u>First Fund</u>") means a fund which is managed or advised by the same investment manager or investment adviser as the First Fund or, if it is managed by a different investment manager or investment adviser, a fund whose investment manager or investment adviser is an Affiliate of the investment manager or investment adviser of the First Fund.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **The Parties' option to resolve Dispute through English Courts**

&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) Notwithstanding Clause 14.1(A), the Party bringing a claim in respect of a Dispute shall be entitled at any time or by notice in writing to the other party to the Dispute to require that a Dispute be heard by a court of law instead of arbitration. If a Party gives such notice, the Dispute(s) to which such notice refers shall be determined in accordance with Clause 14.1(C)(2) below.

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&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) The Parties agree that, where a Party gives notice to the other Party in accordance with Clause 14.1(C)(1) above, the courts of England shall have exclusive jurisdiction to settle such Dispute(s) and, for such purposes, the other Party irrevocably submits to the jurisdiction of such courts. Final judgment against the other Party in any such action, suit or proceeding shall be conclusive and may be enforced in any other jurisdiction, including the Republic of Namibia, by suit on the judgment, a certified or exemplified copy of which shall be conclusive evidence of the judgment, or in any other manner provided 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;(3) For the purposes of Clause 14.1(C)(2) above, the Parties agree that the courts of England are the most appropriate and convenient courts to settle such Disputes, and irrevocably waive any objection which they might now or hereafter have to the courts of England being nominated as the forum to hear and determine any such Disputes.

**14.2** **Determination of Adjustment Dispute Notice**

Where the Seller delivers an Adjustment Dispute Notice to the Purchaser in accordance with Clause 10.3 *(Determination of Mine Plan and Early Termination Amount),* the contents of the relevant Adjustment Notice shall be determined by an Expert on the following basis:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the reference to the Expert is made in accordance with, and subject to, the Appointing Authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Expert determination shall be conducted by a Person agreed to by the Parties or failing agreement within 14 days by the Person nominated by the Appointing Authority; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) in making a determination:

&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) the Expert shall act in that capacity and not as an arbitrator;

&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) the Expert's finding is final and binding upon the Parties except in the case of fraud or manifest error;

&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) the Expert shall determine which Party or Parties should bear the costs of any such determination and in what proportion (and, in making this decision, the Expert shall consider the degree to which he or she considers such Party was unreasonable in failing to agree to the matter); 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;(4) the Expert may employ consultants to carry out his or her duties.

**14.3** **Further Assurances**

Each Party shall execute all such further instruments and documents and do all such further actions as may be necessary to effectuate the documents and transactions contemplated in this Agreement, in each case at the cost and expense of the Party requesting such further instrument, document or action, unless expressly indicated otherwise.

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**14.4** **No Joint Venture**

Nothing herein shall be construed to create, expressly or by implication, a joint venture, mining partnership, commercial partnership, agency relationship, fiduciary relationship, or other partnership relationship between the Purchaser and any of the Project Entities or any other Group Member.

**14.5** **Governing Law and Jurisdiction**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) This Agreement and any non-contractual obligations arising from or connected with it shall be governed by English law and this Agreement shall be construed in accordance with English law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The uniform law on sales and the uniform law on formation to which effect is given by the uniform laws on International Sales Act 1967, the United Nations Convention on International Sales of Goods of 1980 and the United Nations Convention on Prescription (Limitation) in the International Sales of Goods of 1974 and the Amending Protocol of 1980 shall not apply to this Agreement or any other Stream Document.

**14.6** **Notices**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Unless otherwise specifically provided in this Agreement, any notice or other communication required or permitted to be given hereunder shall be in writing and shall be delivered by hand to an officer or other responsible employee of the addressee or transmitted by facsimile transmission or other by electronic communication, addressed to:

&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) If to the Seller to:

*Redacted – Personal Information]* [*Redacted – Personal Information]*<br>

*Redacted – Personal Information]* [*Redacted – Personal Information]*<br>

*Redacted – Personal Information]* [*Redacted – Personal Information]*

&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) If to the Purchaser, the relevant contact details below or, if applicable, as provided by the Purchaser in connection with any Transfer to it.

*Redacted – Personal Information]* [*Redacted – Personal Information]*<br>

*Redacted – Personal Information]* [*Redacted – Personal Information]*<br>

*Redacted – Personal Information]*: [*Redacted – Personal Information]*<br>

or at such other address, facsimile number or email address as such Party from time to time directs in writing to the other Party. Any notice or other communication given in accordance with this section, if delivered by hand as aforesaid shall be deemed to have been validly and effectively given on the date of such delivery if such date is a Business Day and such delivery is received before 4:00 pm at of the place of delivery; otherwise, it shall be deemed to be validly and effectively given on the Business Day next following the date of delivery.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Any notice of communication which is transmitted by facsimile transmission or electronic mail as aforesaid, shall be deemed to have been validly and effectively given on the date of transmission if such date is a Business Day and such transmission was received before 4:00 pm at the place of receipt; otherwise it shall be deemed to have been validly and effectively given on the Business Day next following such date of transmission.

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**14.7** **Press Releases**

The Parties shall jointly plan and co-ordinate, and shall cause their respective Affiliates to jointly plan and coordinate, any public notices, press releases, and any other publicity concerning the entering into of this Agreement and none of the Parties or their Affiliates shall act in this regard without reasonable prior consultation with the other Parties, unless such disclosure is required to meet timely disclosure obligations of such Parties or their Affiliates under Applicable Laws in circumstances where prior consultation with the other Parties is not practicable, and a copy of such disclosure shall be provided to the other Parties at such time as it is made publicly available. If a Party make such a disclosure in breach of the foregoing provision, the other Party shall be entitled to issue a corrective public statement.

**14.8** **Amendments**

This Agreement may not be changed, amended or modified in any manner, except pursuant to an instrument in writing signed on behalf of each of the Parties.

**14.9** **Beneficiaries**

Except as otherwise provided herein, this Agreement is for the sole benefit of the Parties and their successors and permitted assigns and nothing herein is intended to or shall confer upon any other Person any legal or equitable right, benefit or remedy of any nature or kind whatsoever under or by reason of this Agreement.

**14.10** **Entire Agreement**

This Agreement and the other Stream Documents together constitute the entire agreement between the Parties with respect to the subject matter hereof and cancel and supersede any prior understandings and agreements between the Parties with respect thereto. There are no representations, warranties, terms, conditions, opinions, advice, assertions of fact, matters, undertakings or collateral agreements, express, implied or statutory, with respect to the subject matter hereof and thereof by or between the Parties (or by any of their respective employees, directors, officers, representatives or agents) other than as expressly set forth in this Agreement or the other Stream Documents.

**14.11** **Waivers**

Any waiver of, or consent to depart from, the requirements of any provision of this Agreement shall be effective only if it is in writing and signed by the Party giving it, and only in the specific instance and for the specific purpose for which it has been given. No failure on the part of any Party to exercise, and no delay in exercising, any right under this Agreement shall operate as a waiver of such right. No single or partial exercise of any such right shall preclude any other or further exercise of such right or the exercise of any other right.

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**14.12** **Successors**

This Agreement and the other Stream Documents shall enure to the benefit of and shall be binding on and enforceable by the Parties and their respective successors and permitted assigns.

**14.13** **Severability**

If any provision of this Agreement is determined to be invalid, illegal or unenforceable in any respect, all other provisions of this Agreement shall nevertheless remain in full force and effect and the Parties shall negotiate in good faith to replace any provision that is invalid, illegal or unenforceable with such other valid provision that most closely replicates the economic effect and rights and benefits of such impugned provision.

**14.14** **Costs and Expenses**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Except as otherwise provided for in this Agreement, and subject to paragraph (B), all costs and expenses incurred by a Party shall be for its own account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Seller shall pay or shall procure that the Project Company shall pay all reasonable and documented costs and expenses (including, without limitation, all fees, expenses and disbursements of legal counsel):

&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) to the Original Purchaser on demand in connection with: (a) its due diligence investigations in connection with the transactions contemplated by this Agreement; and (b) the registration, maintenance or discharge of any Security in any public record office; 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;(2) to the Purchaser on demand in connection with any actual or proposed amendment or modification of, or any waiver under, the Stream Documents, and all instruments supplemental or ancillary thereto, in each case, made at the request of the Seller,

in each case, provided that the Purchaser shall use reasonable efforts to keep such costs and expenses to a minimum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The Seller shall be responsible for the costs and expenses of the Security SPV in connection with its establishment, administration, maintenance and the performance of its functions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Seller shall pay all reasonable costs and expenses (including, without limitation, all fees, expenses and disbursements of legal counsel) of the Purchaser in connection with any exercise of rights pursuant to or compliance with the terms of Clause 7.2 (including any such costs and expenses incurred further to Clause 7.6 in connection with a Transfer or Change of Control permitted further to Clause 7.2).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) In connection with Clauses 8.6 and 12.1(C), the Seller shall reimburse the Purchaser for all reasonable costs and expenses (including legal fees) incurred by the Purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) Any costs and/or fees under or in connection with any Transfer and/or Change of Control permitted pursuant to Clause 7.4 shall, in each case, be for the account of the Purchaser only.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) The Seller shall, on demand, pay or procure that the Project Company shall pay all legal and other costs and expenses (including any stamp duty, registration or other similar taxes) incurred by the Purchaser or by any Receiver in connection with the Finco Security. This includes any costs and expenses relating to the enforcement or preservation of the Finco Security or the assets or shares which are subject to the Finco Security and any amendment, waiver, consent or release required in connection with the Finco Security.

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**14.15** **Overdue Payments**

Any payment or Delivery not made by a Party on or by any applicable payment or Delivery Date referred to in this Agreement shall incur interest from the due date until such payment or Delivery is paid or made in full at a per annum rate equal to [*Redacted - Commercially Sensitive Information*]% from and after the due date, calculated and paid monthly in arrears and compounded monthly if unpaid.

**14.16** **Set-Off**

Provided that no Purchaser Event of Default is continuing, the Purchaser may set off any dollar amount or Refined Silver owed to the Purchaser by the Seller against any dollar amount owed by the Purchaser to the Seller under this Agreement or any Stream Document. Subject to Clause 2.6, any amount of Refined Silver set off and withheld against any non-payment by a Party shall be valued at the Silver Market Price as at two Business Days before the relevant Delivery Date and shall result in a reduction in an amount of Refined Silver otherwise to be Delivered by that number of ounces equal to the dollar amount set off divided by the Silver Market Price, as applicable, as at two Business Days before the relevant Delivery Date.

**14.17** **Third party rights**

Except for any Indemnified Party, a Person who is not a party to this Agreement shall have no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any of its terms.

**14.18** **Counterparts**

This Agreement may be executed in one or more counterparts, and by the Parties 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. Delivery of an executed counterpart of a signature page to this Agreement in electronic format shall be effective as delivery of a manually executed counterpart of this Agreement.

[REMAINDER OF PAGE INTENTIONALLY BLANK]

------

# SIGNATURE PAGES TO THE SILVER STREAM AGREEMENT
**IN WITNESS WHEREOF** the Parties have executed and delivered this Agreement as a deed on the day and year first written above.

# Original Purchaser
Executed as a deed by **RP <br>SP (JERSEY) LTD** acting by <br>ts attorney

<u> Myra Craven</u> under a

---

| | |
|:---|:---|
| power of attorney dated<br><u>21 October</u> 2024 | /s/ Myra Craven |
|  | **RP SP (JERSEY) LTD**<br>by its attorney |

---

in the presence of: <br>

---

| |
|:---|
| /s/ Jarobus Stein |
| Signature of witness |

---

Name of witness: Jarobus Stein

Address of witness: *[Redacted – Personal Information]*

Occupation of witness: *[Redacted – Personal Information]*

------

# Seller
Executed as a deed by **RP <br>FC (JERSEY) LTD** acting by <br>ts attorney

<u> Myra Craven</u> under a

---

| | |
|:---|:---|
| power of attorney dated<br><u>21 October</u> 2024 | /s/ Myra Craven |
|  | **RP FC (JERSEY) LTD**<br>by its attorney |

---

in the presence of: <br>

---

| |
|:---|
| /s/ Jarobus Stein |
| Signature of witness |

---

Name of witness: Jarobus Stein

Address of witness: *[Redacted – Personal Information]*

Occupation of witness: *[Redacted – Personal Information]*

------

**SCHEDULE 1 ORIGINAL PURCHASER**

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Original Purchaser** | &nbsp;&nbsp;**Commitment {USD)** |
| &nbsp;&nbsp;RP SP (Jersey) Ltd | &nbsp;&nbsp;[*Redacted - Commercially Sensitive Information*] |

---

------

**SCHEDULE 2**

**FORM OF SELLER EVENT OF DEFAULT** ***I*** **MATERIAL BREACH EVENT NOTICE**

To: [the Purchaser]

From: [•] as Seller

Date:

Dear Sirs

**Silver Stream Agreement dated** [•] **2024 between, inter alios, the Original Purchaser and the Seller (the "Silver Stream Agreement")**

We refer to the Silver Stream Agreement. Terms defined in the Silver Stream Agreement have the same meaning in this notice.

We hereby notify you further to Clause [10.2(D)]/[10.4(C)] of the Silver Stream Agreement that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a [Seller Event of Default]/[Material Breach Event] has occurred further to Clause [10.1]/[10.3] of the Silver Stream Agreement. Such [Seller Event of Default]/[Material Breach Event] consists of: *[specifically identify, and provides all relevant details of, the relevant Seller Event of Default/Material Breach Event];* and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the deadline for giving notice of the exercise of any remedy further to Clause [10.2(D)]/[10.4(C)] of the Silver Stream Agreement is [ ], subject to any extension further to Clause [10.2(D)]/[10.4(C)] of the Silver Stream Agreement.

This notice and any non-contractual obligations arising out of or in connection with it are governed by English law.

Signed

___________________<br>For and on behalf of the Seller

------

**SCHEDULE 3**

**FORM OF STREAM TRANSFER CERTIFICATE**

To: [the Purchaser]

From: [Transferor]

[Transferee]

Date:

Dear Sirs

**Silver Stream Agreement dated[•] 2024 between, inter alios, the Original Purchaser and the Seller (the "Silver Stream Agreement")**

We refer to the Silver Stream Agreement. This certificate (the **''Transfer Certificate")** shall take effect as a Stream Transfer Certificate for the purposes of the Silver Stream Agreement.

Terms defined in the Silver Stream Agreement have the same meaning in this Transfer Certificate unless given a different meaning in this Transfer Certificate.

[Transferor] hereby transfers all or part of its rights and / or obligations referred to in the schedule hereto under the Silver Stream Agreement to [Transferee] with effect from the date of this Transfer Certificate. [•] is a company registered in [•] under company number [•] and having its registered office at [•].

[•j's administrative details for the purposes of the Silver Stream Agreement are as follows: Address:[•]

Address: [•]

Attention: [•]

Facsimile: [•]

Email: [•]

This Transfer Certificate and any non-contractual obligations arising out of or in connection with it are governed by English law.

**This Transfer Certificate** has been executed on the date written above.

**[Transferor]**<br> [•]

___________________<br>________________________________________<br>By:

------

Date:

**[Transferee]**<br> [•]

___________________<br>________________________________________<br>By:

Date:

------

**SCHEDULE TO TRANSFER CERTIFICATE**

**Rights and Obligations to be Transferred**

------

## Exhibit 4.14

------

CERTAIN IDENTIFIED INFORMATION HAS BEEN EXCLUDED FROM THIS EXHIBIT BECAUSE IT<br>IS BOTH (I) NOT MATERIAL AND (II) IS THE TYPE THAT THE REGISTRANT TREATS AS<br>PRIVATE OR CONFIDENTIAL. REDACTED TERMS IN THIS EXHIBIT ARE DESIGNATED BY [\*].

Execution Version

**Dated** 24 September **2025**

**AMH (JERSEY) LIMITED**

**as Grantor** 

**and**

**APPIAN NATURAL RESOURCES FUND II LP**

**and** 

**APPIAN NATURAL RESOURCES (UST) FUND II LP** 

**together the Royalty Holder** 

**and**

**ATLANTIC NICKEL MINERACAO LTDA**

**as Mineco**

**Royalty Agreement**

![](exhibit4-14x001.jpg)

------

**Contents**

---

| | | |
|:---|:---|:---|
| **Clause** | **Clause** | **Page** |
| [1](#page_3) | [Definitions and interpretation](#page_3) | [1](#page_3) |
| [2](#page_16) | [Royalty](#page_16) | [14](#page_16) |
| [3](#page_22) | [Mining operations](#page_22) | [20](#page_22) |
| [4](#page_24) | [Information](#page_24) | [22](#page_24) |
| [5](#page_26) | [Protection of Royalty Interest](#page_26) | [24](#page_26) |
| [6](#page_30) | [Transfer and Encumbrances](#page_30) | [28](#page_30) |
| [7](#page_31) | [Default](#page_31) | [29](#page_31) |
| [8](#page_34) | [Warranties](#page_34) | [32](#page_34) |
| [9](#page_36) | [Confidentiality](#page_36) | [34](#page_36) |
| [10](#page_37) | [Notices](#page_37) | [35](#page_37) |
| [11](#page_39) | [Ancillary provisions](#page_39) | [37](#page_39) |
| [12](#page_41) | [Dispute Resolution](#page_41) | [39](#page_41) |
| [13](#page_44) | [Applicable Law](#page_44) | [42](#page_44) |
| [Schedule 1 Mining Area](#page_46) | [Schedule 1 Mining Area](#page_46) | [44](#page_46) |
| [Schedule 2 Intercreditor Principles](#page_52) | [Schedule 2 Intercreditor Principles](#page_52) | [50](#page_52) |

---

------

**THIS AGREEMENT** (the **Agreement**) made on<u> </u><u>24 September</u><u> </u> 2025 between:

(1) **AMH (JERSEY) LIMITED**, a limited liability company, incorporated and existing under the laws of Jersey (registered number *[Redacted - Personal Information]* (**Grantor**);

(2) **APPIAN NATURAL RESOURCES FUND II LP**, acting by its general partner, Appian Natural Resources Fund GP II Limited, a company incorporated in Jersey with registered number *[Redacted - Personal Information]*;

(3) **APPIAN NATURAL RESOURCES (UST) Fund II LP**, acting by its general partner, Appian Natural Resources Fund GP II Limited, a company incorporated in Jersey with registered number *[Redacted - Personal Information]* (together with Appian Natural Resources Fund II LP the **Royalty Holder**); and

(4) **ATLANTIC NICKEL MINERACAO LTDA**, a limited liability company incorporated and existing under the laws of Brazil, enrolled at the CNPJ/ME under No. *[Redacted - Personal Information]* (**MineCo**).

**WHEREAS:**

(A) The Grantor has agreed to pay the Royalty to the Royalty Holder in respect of the sale or other disposal of Products that are extracted and recovered from the Mining Area.

(B) The Parties have executed this Agreement to record the terms and conditions of the Royalty.

(C) With effect from the date of this Agreement, the Parties hereby agree that this Agreement amends and restates the royalty agreement originally entered into between the Royalty Holder, MineCo and AN Finco B.V. (as grantor) dated 22 June 2020 as amended by an amendment and restatement agreement dated 17 July 2020, an amendment and restatement agreement dated 1 October 2020 and as transferred to the Grantor pursuant to a novation agreement dated 1 October 2020, as amended by an amendment and restatement agreement dated 13 July 2021, and as further amended by an amendment and restatement agreement dated 25 March 2025.

**THE PARTIES AGREE:**

**1 Definitions and interpretation**

1.1 Definitions

In this Agreement:

------

**Accounting Standards** means the accounting standards required to be complied with by the Grantor under IFRS

**Adjustment** means any adjustment that may be made by the Grantor to the Royalty Records and a Statement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) which arises from a subsequent adjustment to the volume of Products actually paid to MineCo based on the actual Products recovered;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to correct any accounting or recording errors from previous Quarters; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) which are agreed by the Parties in writing

**Affiliate** means in relation to any Party, any person which directly or indirectly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) controls such Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) such Party controls; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is controlled by a person who also, directly or indirectly, controls such Party

For the purposes of this definition **control of a person** means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the power (whether by way of ownership of shares, equity or other participation interests, proxy, contract, agency or otherwise) to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) cast, or control the casting of, at least fifty point one per cent. (50.1%) of the maximum number of votes that might be cast at a general meeting of that person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) appoint or remove all, or the majority, of the directors or other equivalent officers of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) give directions with respect to the operating and financial policies of the relevant person with which the directors or other equivalent officers of that person are obliged to comply; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the legal and beneficial holding (whether directly or indirectly) of at least fifty point one per cent. (50.1%) of the issued share capital of that person (excluding any part of that issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital)

**Allowable Deductions** mean, for any Quarter, all costs, charges and expenses paid or incurred by MineCo or any of its Affiliates during that Quarter for or with respect to Products, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) costs, charges and penalties for smelting or refining of Products;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) costs or charges for treatment, weighing, sampling, assaying, umpire and representation services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all costs and expenses incurred in relation to the transportation and insurance of Products between the outer boundary of, or adjacent to, the Mining Area and the point of delivery of the Products into a Refinery to the extent actually paid or incurred by MineCo, in US Dollars, or in the US Dollar Equivalent,

in each case in relation to Products extracted and recovered from the Mining Area and sold by or on behalf of MineCo (provided that to the extent that any such costs or expenses are reimbursable to MineCo or any of its Affiliates under any agreement they will not be Allowable Deductions), provided that, for the avoidance of doubt, Allowable Deductions shall not include (i) any costs or expenses relating to any product or Minerals other than such Products or (ii) any costs or expenses incurred in respect of the mining of the Products or any initial processing of such Products

**Applicable Laws** means any statute, rule, regulation, ordinance, code, guideline, policy or any specific agreement entered into with a competent authority that includes commitments with respect to the environment, anti-bribery, anti-corruption or anti-money laundering, having the force of law, in each case, applicable to MineCo or the Project now or hereafter in effect and any judicial or administrative interpretation, pronouncement, order, decree or judgment, relating to any of the foregoing, in each case, applicable to MineCo or the Project

**Appointing Authority** means the Institute of Chartered Accountants of England and Wales pursuant to the President's Appointments Scheme

**Assignment** has the meaning set out in clause 6.4

**Authority** is any government department, local government council, government or statutory authority or any other party under a Law which has a right to impose a requirement or whose consent is required with respect to any matter or thing arising under, or affected by, this Agreement including the National Mining Agency

**Business Day** means a day that is not a Saturday, Sunday or any other day which is a statutory holiday or a bank holiday in Amsterdam, Netherlands or Brasilia, Brazil

**CBPM** means Companhia Baiana de Pesquisa Mineral

**CBPM Agreements** means the Mining Lease and the Exploration and Promise of Lease Agreement

------

**Competitor** means any private entity fund which is regularly engaged in or established for the purpose of making, purchasing or investing in loans, securities or other financial assets, in each case in the mining or processing industry

**Concentrate** means Ore in which any metal is a component having commercial value

**Confidential Information** means all confidential, non-public or proprietary information of a Party regardless of how the information is stored or delivered, which is exchanged between the Parties before, on or after the Execution Date in connection with this Agreement, other than information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) which is in or becomes part of the public domain other than through breach of this Agreement or an obligation of confidence owed to the disclosing Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) which the recipient can prove by contemporaneous written documentation was already known by it at the time of disclosure to it, unless such knowledge arose from disclosure of information in breach of an obligation of confidentiality

**Default** has the meaning set out in clause 7.1

**Dispute** means a dispute or difference between the Parties in relation to the rights or obligations of the Parties under, or in relation to, this Agreement, including the calculation and payment of the Royalty

**Dispute Notice** means a written notice given by one Party to the other Parties that a Dispute has arisen which requires resolution in accordance with this Agreement

**Encumbrance** means any security interest, mortgage, hypothecation, pledge, lien, charge, title retention arrangement, trust or power, or other form of security or interest having effect as a security for the payment of any monetary obligation or the observance of any other obligation whether existing or agreed to be granted or created

**Exchange Rate** means, in respect of any currency other than US Dollars:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the average of the buy and sell rates for that currency, in US Dollars, as quoted in the London Financial Times;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if those rates are not quoted, then the average of the buy and sell rates for the currency as quoted by any two major international banks that must be selected by the Grantor in good faith and on a consistent basis; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in respect only of payments made from Brazil, the Brazilian Central Bank's published exchange rate for the relevant currency,

------

in respect of the day on which the Exchange Rate is to be determined or, if the Exchange Rate is to be determined on a day that is not a Business Day, then on the immediately preceding Business Day

**Execution Date** means the date of this Agreement

**Expert** means a suitably qualified independent person appointed in accordance with this Agreement

**Exploration and Promise of Lease Agreement** means the exploration and promise of lease agreement entered into between MineCo and CBPM and dated 17 October 2003 (as amended, supplemented, restated or replaced from time to time)

**Future Interest** means any royalty, streaming or similar arrangement (excluding Offtake Agreements, credit financings and equipment and machinery financings), in each case in relation to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Project; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in respect of any Minerals extracted and recovered from the Mining Area or pursuant to the Mining Rights, other than the Royalty granted under this Agreement

**Good Mining Practice** means, in relation to any decision or undertaking, the exercise of a degree of diligence, skill, care and prudence which would reasonably be expected to be observed by skilled and experienced professionals in the Brazilian mining industry engaged in the same type of undertaking under the same or similar circumstances

**Governmental Body** means the government of Brazil, the United States or any other nation, or of any political subdivision thereof, whether state, provincial or local, and any agency, authority, instrumentality, regulatory body, court, arbitrator or arbitrators, tribunal, central bank or enterprise that is owned, sponsored, or controlled by any government, or any other entity exercising executive, legislative, judicial or arbitral, taxing, regulatory or administrative powers or functions or pertaining to government (including any applicable stock exchange and supra-national bodies, such as the European Union or the European Central Bank) and in each case having jurisdiction over MineCo, the Grantor, the Project, the Property, as the context may require

**Gross Proceeds** means the amount of cash proceeds received, by or on behalf of MineCo or any of its Affiliates in respect of the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Payable Metals sold or otherwise disposed of in the relevant Quarter by or on behalf of MineCo, including by provision of bulk samples to a smelter, other purchaser or disposee;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the volume of Payable Metals in respect of which proceeds were received in the relevant Quarter by or on behalf of MineCo or any of its Affiliates from an insurer in the case of loss of, or damage to, Payable Metals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the volume of Payable Metals in respect of which proceeds were received in the relevant Quarter by or on behalf of MineCo or any of its Affiliates from any deposit, forward payment or any other form of prepayment made in respect of a future sale of Products (excluding any streaming arrangement), provided that such volume of Payable Metals shall only contribute to the calculation of Gross Proceeds on the date on which the Products associated with such deposit, forward payment or other form of prepayment are actually delivered; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the volume of Payable Metals if MineCo, the Grantor or any of its Affiliates engage in any Trading Activities which result in the sale or disposal of Payable Metals to the counterparty of such Trading Activities, with the gross proceeds thereof to be calculated based on the Market Price of the Payable Metals at the time of the sale or other disposition,

in each case without double-counting

**IFRS** means international accounting standards and interpretations adopted by the International Accounting Standards Board, or any successor entity thereto, as amended from time to time

**Indemnified Parties** has the meaning set out in clause 5.8

**Intercreditor Principles** means the principles set out in Schedule 2

**JORC** means the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves produced by the Australian Joint Ore Reserve Committee

**Law** is all applicable legislation statutes, directives, regulations, judgments, decisions, licences, permits, consents, decrees, notices, directives, policies, orders, by-laws and other legislative measures or decisions, treaties, conventions and other agreements between states, or between states and supranational bodies and rules of common or civil law, in each case, having the force of law and having effect in any jurisdiction and which applies to any matter or thing arising under, or affected by, this Agreement, and Lawful shall be construed accordingly

**LCIA** means the London Court of International Arbitration

**LCIA Rules** means the current version of the LCIA Arbitration Rules, published by LCIA from time to time

**Market Price** on any given date means (i) in the case of Minerals that are gold, the price of gold in U.S. dollars on the London Bullion Market Association, Afternoon Fix on such date; (ii) in the case of Minerals that are silver, the price of silver in U.S. dollars on the London Bullion Market Association on such date; and (iii) in the case of all other Minerals, the price per unit in U.S. dollars for the relevant Minerals as quoted on the London Metal Exchange. If for any reason the London Bullion Market or the London Metal Exchange are no longer in operation, the "Market Price" of such Minerals shall be determined by reference to the price of such Minerals on another commercial exchange mutually acceptable to the parties hereto.

------

**Material Adverse Event** means any change, event, occurrence, circumstance, fact or effect that, when taken individually or together with all other events, occurrences, changes or effects has a material adverse effect on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the operations, results of operations, business, affairs, properties, assets, liabilities and obligations (contingent or otherwise), capitalization or condition (financial or otherwise) of the Grantor or MineCo, in each case taking the relevant Party as a whole;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Mining Operations, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the ability of:

&nbsp;&nbsp;&nbsp;&nbsp;&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 Grantor or MineCo to perform its obligations under this Agreement; 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;(B) MineCo to operate the Mining Operations substantially in accordance with the Operating Plan in effect at the time of the occurrence of such change, event, occurrence, circumstance, fact or effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) expected Product production from the Mining Rights based on the Operating Plan in effect at the time of the occurrence of such change, event, occurrence, circumstance, fact or effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the legality, validity, binding effect or enforceability against the Grantor or MineCo of this Agreement,

provided that in no circumstances will any change in market conditions or in any prices for Products or solely as a result of any decision by MineCo to adjust the rate of any exploration, development or mining or suspend in accordance with clause 3.1(a)(i) or cease Mining Operations at the Santa Rita Mine or put the Santa Rita Mine on care and maintenance in accordance with clause 3.1(a)(ii), constitute or cause a Material Adverse Event or be taken into account when determining whether or not a Material Adverse Event has occurred

**Mine Plan** means the mine plan for the Project prepared by MineCo, including J0RC-compliant reserves and mineral resources in the measured, indicated and inferred category with reasonable prospects of economic extraction over the life of the Santa Rita Mine as delivered to the Royalty Holder in accordance with clause 4.2(a)

------

**Minerals** means any and all mineral elements and compounds, metals and mineral rights of whatever kind and nature in, under or upon the surface or sub-surface of the Mining Area including, without limitation, metals, precious metals, base metals, industrial minerals, gems, diamonds, commercially valuable rock, aggregate, clays and diatomaceous earth which are mined, extracted or otherwise recovered from the Mining Area

**Mining Area** means the geographic areas as illustrated in Schedule 1 in respect of which the Mining Rights relate as at the Execution Date and any extension, renewal, variation, conversion, amalgamation, replacement of substitution thereof

**Mining Code** means Decree-law No. 227, dated 28 February 1967, as subsequently amended, supplemented or replaced

**Mining Concession** means the concession granted to a mining company by the Brazilian Ministry of Mines and Energy (or any other applicable authority) to mine a deposit and undertake beneficiation works in accordance with a mine development plan *(piano de aproveitamento econtinico),* as amended from time to time, in relation to the Santa Rita Mine

**Mining Lease** means the mineral rights lease agreement entered into between MineCo and CBPM and dated 3 March 2008 in relation to the Santa Rita Mine (as amended, supplemented, restated or replaced from time to time)

**Mining Operations** means every kind of work and activities carried out on or in respect of the Mining Rights including but without limitation the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the acquisition, registration and maintenance of the Mining Rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) developing, designing, constructing and equipping all mining facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) extracting, mining, producing, improving, smelting, treating, refining, transporting and handling of Products and Tailings and disposing of Tailings and despatching Products won under authority of the Mining Rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the construction and re-location of any roads, railway lines, telephone lines, waterways or other natural or man-made utilities required in order to facilitate any activity conducted under authority of the Mining Rights; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the restoration of the Mining Area and all other work done after the completion of mining activities to comply with environmental and like requirements

**Mining Rights** means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Mining Concession and any other governmental or other approval, authorisation, claim, concession, lease, licence, tenement, Mineral right, permit, surface right, subsurface right or other right to conduct exploration, development and/or mining of the Product under or deriving from the documents issued in respect of the Mining Area, including those subject to the Mining Lease; and

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any other rights (whether past, present or future) to conduct exploration, development and/or mining issued in respect of any renewal, variation, conversion, amalgamation, replacement or substitution of those set out in paragraph (a),

and **Mining Right** shall be construed accordingly

**Net Smelter Return** means, for a Quarter, Gross Proceeds and Adjustments (whether plus or minus) for Quarter minus Allowable Deductions for that Quarter

**Notice** has the meaning set out in clause 10.1

**Offtake Agreement** means any agreement for the sale of Product between MineCo (or its Affiliate) as seller and any Person as purchaser

**Offtaker** means any Person that enters into an Offtake Agreement with MineCo or any of its Affiliates

**Operating Plan** means the development plan or operating plan for the Mining Operations in place from time to time, as approved by the relevant Authority

**Ore** means any Mineral or mixture of minerals of intrinsic economic interest located in or on the Earth's crust at a concentration above background level

**Party** means a Party to this Agreement and includes that Party's executors, administrators, liquidators, substitutes, successors and permitted assigns

**Payable Metals** means payable metals in any Products in any form or compound

**Permits** means all material licences, permits, approvals (including environmental approvals), authorisations, rights (including surface and access rights), privileges or concessions necessary for the Mining Operations

**Permitted Encumbrances** means any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Encumbrance granted in connection with any Senior Lienholder Indebtedness provided that such Encumbrance is subject to an intercreditor agreement entered into in accordance with clause 5.6;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Encumbrance granted in favour of the Royalty Holder in accordance with this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Encumbrances for Taxes not yet due and payable (or which are subject to contest);

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Encumbrances imposed by Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) easements, rights of way and other Encumbrances on title to the Mining Rights or the Mining Area that do not materially adversely affect the use of property encumbered thereby for its intended purposes; and

**Person** means any individual, firm, company or other body corporate, an unincorporated association or a person's executors or administrators

**Product** means any Ores, Concentrates, precipitates, dore, cathodes, leach solutions, metals, minerals and mineral by-products that are extracted, recovered or processed from the surface or sub-surface of the Mining Area which is capable of being sold or otherwise disposed of

**Project** means the restart of the Santa Rita Mine and its development to commencement of commercial production, including development, construction and operation of the mine, processing facilities and associated infrastructure at the Santa Rita Mine, together with all activities and infrastructure associated with the transportation and export of products from such mine

**Property** means the Mining Rights and Mining Area;

**Quarter** means a period of three (3) consecutive months commencing on 1 January, 1 April, 1 July or 1 October in any year, other than the first Quarter which commences on the Execution Date and expires on the date immediately preceding the next to occur of 1 January, 1 April, 1 July or 1 October

**Refinery** means a smelter, refinery or other processing facility

**Related Entity** means an Affiliate of a Party, the subsidiary, related or associated companies of the Party and its Affiliates, a joint venture between a Third Party and a Party or its Related Entity, and each of the respective directors of such companies, and their spouses and family members, and the trustees and beneficiaries of each of such directors, spouses and family members

**Representative** of a Party includes an employee, agent, officer, director, auditor, advisor, partner, consultant, joint venturer or sub-contractor of that Party

**Restricted Person** means any Person: (a) identified on any Sanctions-related list of designated Persons, including, without limitation, the Specially Designated Nationals and Blocked Persons List maintained by the Office of Foreign Assets Control of the U.S. Department of Treasury, the Consolidated United Nations Security Council Sanctions List, the consolidated list of persons, groups and entities subject to EU financial sanctions maintained by the European Union and the Consolidated List of Financial Sanctions Targets in the UK maintained by Her Majesty's Treasury of the United Kingdom; (b) located, organized or resident in, or the government or any agency or instrumentality of the government of, any Sanctioned Jurisdiction; (c) owned or controlled by one or more Persons described in the foregoing clause (a) or (b); or (d) otherwise the subject or target of any Sanctions

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**Royalty** means the royalty payable by the Grantor to the Royalty Holder calculated by multiplying 2.75% by the Net Smelter Return

**Royalty Payment Date** shall have the meaning given to that term in clause 2.2 *(Calculation and payment of Royalty*)

**Royalty Records** means the books, accounts and records maintained by or on behalf of the Grantor showing reasonable detail in relation to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the quantity of Products produced in each Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the quantity of Products sold in each Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the calculation of each component of the Royalty for each Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the payment of the Royalty in each Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) where there is any commingling of Minerals in a Quarter with materials from areas extracted outside the Mining Area, the measures, moistures and assays of the minerals and substances in the Minerals extracted and recovered from the Mining Area prior to the commingling; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) all other information required for the preparation of any Statement

**Santa Rita Mine** means the open pit mine and processing facility owned by the Seller and located in Fazenda Santa Rita, s/n° 45585-000 Itagiba, Bahia, Brazil, including any expansion thereof

**Sanctioned Jurisdiction** means, at any time, a country, territory or geographical region which is itself the subject or target of any comprehensive territorial-based Sanctions (currently including, without limitation, Cuba, Iran, North Korea, Crimea and Syria)

**Sanctions** means any laws, rules, regulations and requirements relating to economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by any U.S. Governmental Body (including, but not limited to, the Office of Foreign Assets Control of the U.S. Department of the Treasury and the U.S. Department of State), the United Nations Security Council, the European Union and each of its member states, His Majesty's Treasury of the United Kingdom, any Governmental Body of Brazil, or any other relevant Governmental Body

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**Senior Facility** means any agreement evidencing indebtedness of the Grantor or MineCo that is secured by collateral ranking senior to the Royalty

**Senior Lienholder Indebtedness** means indebtedness of the Grantor or MineCo up to the Senior Lienholders Indebtedness Cap pursuant to a Senior Facility

**Senior Lienholders Indebtedness Cap** means US$*[Redacted - Commercially Sensitive Information]*

**SOFR** means, with respect to any Business Day, a rate per annum equal to the secured overnight financing rate for such Business Day published by the SOFR Administrator on the SOFR Administrator's Website at approximately 8:00 a.m. (New York City time) on the immediately succeeding Business Day

**SOFR Administrator** means the Federal Reserve Bank of New York (or a successor administrator of the secured overnight financing rate)

**SOFR Administrator's Website** means the website of the Federal Reserve Bank of New York, currently at <u>http://www.newyorkfed.org</u>, or any successor source

**Statement** means, for a Quarter, a statement setting out in reasonable detail:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the quantities and grades of Product and Payable Metals produced and sold during that Quarter (specifying the Product and Payable Metals type as Concentrate, cathode premium, off-spec or other);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the individual elements which make up the Royalty calculation, being the Gross Proceeds, Adjustments and Allowable Deductions (if any) for that Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Royalty payable for that Quarter, also specifying sufficient information to demonstrate how the Royalty was calculated; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any other material information which is relevant in verifying the accuracy of the calculation of the Royalty payment;

**Surviving Provisions** means clauses 1, 7.2(b)(ii), 9, 10, 11, 12 and 13

**Tailings** means any waste dumps including any tailings, residues, waste rock, spoiled leach materials and other materials resulting from Mining Operations and activities conducted on or adjacent to the Mining Area, whether such operations and activities took place before or after the Execution Date

**Taxes** means all taxes, duties, levies, imposts, tariffs, fees, assessments, reassessments, withholdings, dues and other charges of any nature, whether disputed or not, by an Authority, and instalments in respect thereof, including such amounts imposed or collected on the basis of: income; capital, real or personal property; payments, deliveries or transfers of property of any kind to residents or non-residents; purchases, consumption, sales, use, import, export of goods and services; mining; distributions; equity; together with penalties, fines, additions to tax and interest thereon, and Tax shall have a corresponding meaning

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**Tax Deduction** has the meaning set out in clause 2.4(c)

**Termination Amount** means the net present value of the Royalty (including any amount of outstanding and unpaid Royalty as at the date of the Termination Notice) projected over the then remaining life of the Santa Rita Mine from the Mine Plan at a 8% discount rate (calculated on the basis of the mean average of the London Market Exchange final daily spot prices of the Product over the then most recent 5-year period (or to the extent such spot prices do not exist, as determined by reference to such other reference index price agreed between the Parties, acting reasonably), as determined in accordance with clause 7.3

**Termination Notice** has the meaning set out in clause 7.2(a)

**Third Party** means a person that is not a Party, or an Affiliate or Related Entity of that Party, to this Agreement

**Transfer** has the meaning set out in clause 6.1

**Transferee** has the meaning set out in clause 6.1

**Ultimate Shareholder** means Appian Natural Resources Fund III L.P. and Appian Natural Resources (UST) Fund III L.P., each acting by its general partner Appian Natural Resources Fund GP III Limited; and

**US Dollar Equivalent** means, where sum to which this Agreement relates is not stated in US Dollars, the amount determined by converting the amount in foreign currency into US Dollars at the Exchange Rate existing when the relevant revenue was earned or receivable, or the relevant expenditure was incurred, by the Grantor.

1.2 Interpretation

In this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the singular includes the plural and vice versa;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the headings in this Agreement are for convenience only and do not affect the interpretation of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a reference to a **clause** or **Schedule** shall be a reference to a clause, exhibit or schedule (as the case may be) of or to this Agreement;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a reference to an agreement, instrument or other document includes such agreement, instrument or other document as amended, novated, supplemented or replaced from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) a reference to any legislation or legislative provision includes any statutory modification or re-enactment of, or legislative provision substituted for, and any subordinated legislation issued under, that legislation or legislative provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) a reference to a day, month or year is relevantly to a calendar day, calendar month or calendar year;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) a reference to a time of day is a reference to that time in London;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) a reference to **$**, **US$**, **USD**, **US Dollars**, **United States dollars** or **dollars** is to the lawful currency of the United States of America;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the expressions **including**, **includes** and **include** have the meaning as if followed by "without limitation";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) where provision is made for an agreement or the giving of notice, approval or consent by any Person, unless otherwise specified, such agreement, notice, approval or consent shall be in writing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) writing includes any mode of reproducing words in a legible and non-transitory form;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) no rule of construction is to apply to the disadvantage of a Party on the basis that such Party drafted the whole or any part of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) a reference to **MineCo** includes any Person who from time to time assumes or performs all or any of MineCo's functions or activities in relation to all or any of the Santa Rita Mine, the Mining Rights and/or the Mining Area, excluding service providers or parties hired by MineCo to carry out activities in the Mining Area.

**2 Royalty**

2.1 Royalty obligation

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Grantor hereby grants and conveys the Royalty to the Royalty Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Royalty shall bind the Grantor and its successors and assigns, and the Grantor shall procure that all such successors and assigns shall execute such documents as may be reasonably required by the Royalty Holder to ensure that the Royalty shall so bind all such successors and assigns.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Grantor agrees to pay the Royalty to the Royalty Holder in US Dollars each Quarter in accordance with the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding that the Royalty has been granted by the Grantor, and without prejudice to any other obligation, MineCo will be jointly and severally liable for payment of the Royalty and any other amount due from the Grantor to the Royalty Holder.

2.2 Calculation and payment of Royalty

Within thirty (30) days after the end of each Quarter (a **Royalty Payment Date**), the Grantor shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) calculate the Royalty payable for that Quarter:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) deliver a Statement in respect of that Quarter to the Royalty Holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) pay the Royalty due by it for that Quarter to the Royalty Holder in immediately available funds without demand, reduction or set-off (except any deduction or withholding required by Law) by direct deposit to the bank account nominated by the Royalty Holder, which the Royalty Holder may, by notice to the Grantor, change from time to time.

2.3 Royalty based on volumes sold

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties acknowledge that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Grantor may make adjustments to the Royalty Records following determination of an Adjustment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the amounts set out in each Statement shall be based on the aggregate amount of Payable Metals which constitutes "Gross Proceeds" in respect of the relevant Quarter (such that any Adjustment shall be reflected in the Statement for Quarter (as applicable) in which any adjustment to the Gross Proceeds relating to such Adjustment occurs).

2.4 Deduction from Royalty and other payments

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party shall make all payments to be made by it under or in connection with this Agreement without any deduction, unless such deduction is required by Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as otherwise provided in this Agreement, if a Party making a payment to another Party under this Agreement is legally required to deduct any tax, duty, levy, impost, deduction, charge or withholding from that payment, the deduction is for the account of the Party making the payment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Grantor or MineCo is required by Law to deduct any tax, duty, impost, charge or withholding from a payment of Royalty or any other payment due to the Royalty Holder under or in connection with this Agreement (the **Tax Deduction**), the Grantor shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) promptly, upon becoming aware that it is required to make the Tax Deduction, or if there is any change in the rate or the basis of the Tax Deduction, notify the Royalty Holder of the amount, date and proposed recipient of the required Tax Deduction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) make the Tax Deduction and pay the minimum amount required by Law to the relevant Authority within the time allowed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pay to the Royalty Holder such additional amount as will, after the Tax Deduction has been made, leave the Royalty Holder with the same amount as it would have been entitled to receive from Grantor or MineCo, as applicable, in the absence of such requirement to make the Tax Deduction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) within thirty (30) days of making either the Tax Deduction or any payment required in connection with that Tax Deduction, deliver to the Royalty Holder evidence satisfactory to the Royalty Holder, acting reasonably, that the Tax Deduction has been made and paid as required in the event a payment has been made to the relevant Authority pursuant to this clause 2.4(c).

2.5 Interest and costs

Without limiting the rights of the Royalty Holder in relation to any breach of this Agreement by the Grantor, if the Grantor fails to pay the Royalty due under this Agreement on or before the due date for payment, then it shall also pay to the Royalty Holder immediately on demand:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) interest at the rate of SOFR plus *[Redacted - Commercially Sensitive Information]*%) on the amount due from the due date up to and including the date upon which the moneys are paid, calculated on a daily basis and compounded monthly; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all costs and expenses (including legal costs and expenses on a full indemnity basis) incurred by the Royalty Holder which are attributable to such failure to pay by the due date.

2.6 Finality of Statement

A Statement for a Quarter and payment of the Royalty in accordance with that Statement is final and in full satisfaction of all obligations of the Grantor with respect to payment of the Royalty for that Quarter unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Royalty Holder does not agree with the Statement, in which case the Royalty Holder may, within six (6) months of receiving the Statement or the report of an auditor appointed in accordance with this Agreement (whichever is the later), give the Grantor a Dispute Notice in which case the dispute resolution procedures in this Agreement apply; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) there has been any fraud, deliberate miscalculation, or reckless calculation of the Royalty by the Grantor or MineCo.

2.7 Royalty a continuing obligation

Until the termination of this Agreement in accordance with its terms, the obligations to pay the Royalty continue, with respect to each Mining Right, for the full term of the Mining Right.

2.8 Perpetuity period

If the vesting of any interest under this Agreement would, but for this clause, be void under the rule against perpetuities at common law or under any statute imposing perpetuity periods, then that interest terminates one day before the end of the maximum time from the Execution Date permitted by the Laws of Brazil.

2.9 Expiry

The Royalty and this Agreement will expire on the termination of this Agreement in accordance with clause 7.2 *(Consequences of Default),* except for the Surviving Provisions which shall remain in force. Such expiry shall be without prejudice to any obligation to make Royalty or other payments due to the Royalty Holder on the expiry date.

2.10 Hedging

Each of the MineCo, the Grantor and any of their Affiliates will have the right to engage in forward sales, futures trading or commodity options trading and other price hedging, price protection, and speculative arrangements in relation to all or part of the production from the Mining Area (**Trading Activities**). The Royalty will not apply to, and the Royalty Holder will not be entitled or required to participate in, any gain or loss of the MineCo, the Grantor or any of their Affiliates (as applicable) in Trading Activities. The Parties agree that the Royalty Holder is not a participant in such Trading Activities, and therefore the Royalty will not be diminished or improved by losses or gains of the MineCo, the Grantor or any of their Affiliates in any such Trading Activities.

2.11 Future Interest

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) From the Effective Date to the date on which the Grantor or MineCo has first incurred any indebtedness under a Senior Facility (such date, the **First Senior Facility Closing Date**), neither the Grantor, MineCo nor any of their Affiliates (such person, the **Proposed Seller**), shall sell, or dispose of or grant a right for value to any third party, in respect of any Future Interest (a **Future Interest Disposal**), without first:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) notifying the Royalty Holder in writing of its intention to undertake a Future Interest Disposal, specifying the nature of the Future Interest to be subject to that Future Interest Disposal and the proposed acquisition terms (the **Offer Notice**); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) giving the Royalty Holder a right to provide a written proposal (the **RH Offer**) to the Proposed Seller in respect of such Future Interest Disposal within forty-five (45) days after the delivery of the Offer Notice (such period, the **ROFO Proposal Period**).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Royalty Holder does not provide a RH Offer to the Proposed Seller by the end of the ROFO Proposal Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Royalty Holder provides a RH Offer within the ROFO Proposal Period, but the Proposed Seller (acting reasonably) considers that the terms of any third-party offer in respect of such Future Interest Disposal are better for the Proposed Seller than the RH Offer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if the Royalty Holder provides a RH Offer within the ROFO Proposal Period and the Proposed Seller accepts the terms of the RH Offer (an **Accepted RH Offer**), and such transaction does not close within sixty (60) days after the date of delivery of the Offer Notice (unless otherwise extended by the applicable Parties acting reasonably) (such period, the **RH Transaction Period**),

the Proposed Seller shall have the right to undertake a Future Interest Disposal in respect of all but not less than all of the relevant Future interest with a third party, without further restriction:

&nbsp;&nbsp;&nbsp;&nbsp;&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) where clause 2.11(b)(i) applies, on substantially the same or better terms as set out in the Offer Notice, for a period of one hundred and twenty (120) days following the expiry of the ROFO Proposal Period (unless otherwise extended with the written consent of the Royalty Holder (acting reasonably));

&nbsp;&nbsp;&nbsp;&nbsp;&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) where clause 2.11(b)(ii) applies, on better terms than as set out in the RH Offer, for a period of one hundred and twenty (120) days following the expiry of the ROFO Proposal Period (unless otherwise extended with the written consent of the Royalty Holder (acting reasonably)); 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;&nbsp;&nbsp;&nbsp;&nbsp;(C) where clause 2.11(b)(iii) applies, on the same or better terms than as set out in the RH Offer, for a period of one hundred and twenty (120) days following the failure to close the acquisition of the relevant Future Interest by the Royalty Holder (unless otherwise extended with the written consent of the Royalty Holder (acting reasonably)).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) If no transaction has been consummated by the Proposed Seller prior to the expiry of the one hundred and twenty (120) day period (as such period may be extended in accordance with the terms hereof) referred to in clause 2.11(b)(iii)(A), 2.11(b)(iii)(B) or 2.11(b)(iii)(C) (as applicable) (such period, a **Third Party Transaction Period**), then the terms of clauses 2.11(a) and 2.11(b)(i) to 2.11(b)(iii)(C) shall apply to any subsequent Future Interest Disposal with respect to such Future Interest by the Proposed Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The ROFO under clause 2.11(a) will not terminate if, on receipt of any Offer Notice, the Royalty Holder fails to or decides not to acquire the Future Interest contemplated in such Offer Notice.

Consent right

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to clause 2.11(d), from the First Senior Facility Closing Date, if a Proposed Seller:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) wishes to undertake a Future Interest Disposal; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) following an offer by a third party in respect of any Future Interest Disposal (a **Third Party Offer**), wishes to accept such Third Party Offer,

then the Proposed Seller shall seek the prior written consent of the Royalty Holder (acting reasonably) prior to making any offer in respect of a Future Interest Disposal or accepting any Third Party Offer. The Royalty Holder's consent shall have been deemed to have been obtained if the Royalty Holder has not rejected the making or acceptance of any such offer within 15 days of receipt of the Proposed Seller's request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Royalty Holder agrees that, if a ROFO Proposal Period, RH Transaction Period or Third Party Transaction Period (as applicable) has commenced with respect to a Future Interest Disposal prior to the First Senior Facility Closing Date, and the First Senior Facility Closing Date occurs whilst any such ROFO Proposal Period, RH Transaction Period or Third Party Transaction Period (as applicable) is ongoing, then the Royalty Holder's consent rights under clause 2.11(c) shall be suspended in respect of that Future Interest Disposal until (as applicable):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) where clauses 2.11(b)(i) and 2.11(b)(iii)(A) apply or clauses 2.11(b)(ii) and 2.11(b)(iii)(B) apply (as applicable), the later of the expiry of the relevant ROFO Proposal Period and the relevant Third Party Transaction Period; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if there has been an Accepted RH Offer:

&nbsp;&nbsp;&nbsp;&nbsp;&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) where clauses 2.11(b)(iii) and 2.11(b)(iii)(C) apply, the expiry of the relevant Third Party Transaction Period; 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;(B) otherwise, the later of the expiry of the relevant ROFO Proposal Period and the RH Transaction Period.

General

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Proposed Seller shall be permitted to conduct market soundings at any time (including following the receipt of a Third Party Offer) with respect to market interest in any Future Interest, but the Proposed Seller shall ensure that no such market soundings involve legally binding terms of, or offers in respect of, any such Future Interest in contravention of this clause 2.11.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The restrictions set out in this clause 2.11 shall not apply to any royalties or levies imposed by any Governmental Body or Applicable Laws on mineral production.

**3 Mining operations**

3.1 Mining Operations obligations

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Royalty Holder acknowledges and agrees that, subject to clause 3.1(b):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) MineCo owes the Royalty Holder no duty to explore, develop or mine any of the Property, or to do so at any rate or in any manner other than that which MineCo may determine in its sole and unfettered discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any decision to commence, pursue, suspend or cease Mining Operations at the Santa Rita Mine or to put the Santa Rita Mine on care and maintenance is solely a matter for MineCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) MineCo may, but is not obliged to, treat, mill, sort, concentrate, refine, or otherwise process, beneficiate or upgrade ores, concentrates and Products extracted from the Property; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) MineCo is not liable for any mineral or commercial value lost in processing ores, concentrates and Products extracted from the Property and no Royalty is due on any such lost value.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) MineCo shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) use its commercially reasonable efforts to conduct any Mining Operations on or about the Mining Area safely and in accordance with Good Mining Practice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) carry out the Project in compliance with Applicable Laws in all material respects; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) use all commercially reasonable efforts to obtain any Permits necessary to commence and continue the Mining Operations in accordance with the Operating Plan and comply with the Mining Code in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Except pursuant to the exercise of its rights under or in connection with this Agreement, the Royalty Holder shall not interfere with the carrying out of Mining Operations or the business carried on by MineCo or the Grantor conducted under authority of the Mining Rights.

3.2 Sale or disposal of Product

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) MineCo shall ensure that when Product is sold or otherwise disposed of, all such Product is sold or otherwise disposed of to an Offtaker pursuant to an Offtake Agreement or otherwise at the Market Price for such Product (or to the extent such Market Price does not exist, as determined by reference to such other reference index price agreed between the Parties, acting reasonably).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) MineCo shall ensure that all Offtake Agreements entered into by it or its Affiliates in respect of the Product shall be on commercially reasonable arms' length terms for products similar in make-up and quality to the relevant Product, including in respect of payable quantities, rates, charges and deductions, and that such Offtake Agreements shall include appropriate and separate sampling and assaying so that the MineCo (or any of its Affiliates) (as applicable) and the applicable Offtaker can determine the grade or content of Product and other Minerals in each delivery to an Offtaker.

3.3 Acknowledgement of other activities

Each Party acknowledges to, and for the benefit of the other Parties, that each other Party has the free and unrestricted right to enter into, conduct and benefit from any and all Lawful business ventures of any kind whatsoever, whether or not competitive with the activities undertaken under this Agreement, without being obliged to disclose such activities to the other Parties or invite or allow any other Party to participate in those activities including activities involving mining rights adjoining the Mining Area.

3.4 Grantor to procure compliance

The Grantor will procure that MineCo will comply with its obligations under this clause 3.

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**4 Information**

4.1 Royalty Records

The Grantor shall keep, or cause to be kept, true and accurate Royalty Records in accordance with the Accounting Standards and Good Mining Practice, including tonnage, volume of Products, analyses of Products, weight, moisture, assays of payable content and other records and supporting materials, as appropriate, related to the computation of the Royalty hereunder, and shall permit the Royalty Holder or its Representatives to inspect such records.

4.2 Information and reporting

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Grantor or the MineCo shall provide to the Royalty Holder, as part of the ordinary course of their business, the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) on a quarterly basis, the quarterly production and sales forecast, outlining the expected timing and volumes of the Products to be sold during the course of that Quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) as soon as reasonably practicable after it has been approved by the board of directors of the Grantor and/or MineCo (as applicable), an updated Mine Plan; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) on an annual basis within a reasonable period upon such financial statements becoming available, annual audited financial statements of Mineco.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding paragraph (a) above, the Royalty Holder may request from the Grantor or MineCo, from time to time, and they shall provide, such general information as the Royalty Holder might reasonably require for the purpose of determining the amount of Products and Payable Metals derived from Mining Operations (including, without limitation, the amount of Product that has been processed from the sub-surface of the Mining Area at any such time and the throughput rate in tonnes per day of the Product derived from the sub-surface of the Mining Area) and the amount of Royalty to which the Royalty Holder is, or may in future be, entitled pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any information provided to the Royalty Holder pursuant to paragraphs (a) or (b) above shall be deemed to be Confidential Information and the Royalty Holder agrees that it shall not disclose such information to Third Parties without the prior written approval of MineCo.

4.3 Inspection and financial audit of Royalty Records

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Royalty Holder may, upon 20 Business Days written notice to MineCo and the Grantor and at reasonable times of business and at its own cost, within three (3) months of receiving the Statement in respect of a Quarter (as applicable), inspect and audit, or appoint a suitably qualified independent accounting firm to inspect, audit and report on, the Royalty Records of MineCo and the Grantor to the Royalty Holder in respect of that Quarter.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) MineCo and the Grantor shall each give the auditor appointed by the Royalty Holder full and free access to the Royalty Records of MineCo and the Grantor at its offices, or elsewhere as agreed, in respect of the payment of the Royalty for that Quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Without prejudice to clause 2.6(a), if the Royalty Holder does not exercise its rights in accordance with clause 4.3(a) in respect of any Royalty Records, then the contents of such Royalty Records shall be deemed final and shall not thereafter be subject to any audit or challenge, unless there has been any fraud, deliberate miscalculation, or reckless calculation of the Royalty by the Grantor or MineCo.

4.4 Audit frequency

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to clause 4.4(b), the Royalty Holder is entitled to carry out a financial audit under clause 4.3 not more frequently that once in every twelve (12) months.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Where a financial audit under clause 4.3 reveals a Material Breach, the Royalty Holder is entitled to carry out financial audits under clause 4.3 without restriction, until such time as two consecutive audits performed at least six (6) months apart do not reveal any Material Breaches.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For the purpose of this clause 4.4, **Material Breach** shall mean the Royalty Holder or its auditor identifying following a financial audit under clause 4.3:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a breach, in any material respect, of any provision of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) that the amount that should have been paid by the Grantor to the Royalty Holder as Royalty under a Statement exceeds the amount that was actually paid to the Royalty Holder as Royalty under such Statement by *[Redacted - Commercially Sensitive Information]*%) or more.

4.5 Consequences of financial audit

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If the Royalty Holder notifies the Grantor of any underpayment or overpayment of the Royalty which the Royalty Holder's auditor, in its reasonable opinion, considers exists, or the audit determines that any Royalty paid has been calculated in error, the Grantor shall, on being provided with a copy of the report of the Royalty Holder's auditor, make a corresponding Adjustment of the Royalty payable for the next Quarter, unless the Grantor delivers a Dispute Notice to the Royalty Holder in relation to the relevant Statement within one (1) month of receiving the report of the Royalty Holder's auditor. If the Grantor delivers such a Dispute Notice, the dispute resolution procedures set out in this Agreement shall apply.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Royalty that should have been payable in respect of a Quarter under a Statement is established by audit or pursuant to a Dispute Notice to be greater or less than the Royalty set out in the Statement provided by the Grantor by five per cent. (5%) or more, the Grantor shall immediately on demand pay the costs of the audit to the Royalty Holder. In all other circumstances, the Royalty Holder shall bear the costs of audit.

**5 Protection of Royalty Interest**

5.1 Security

As security for the Grantor's and MineCo's obligations to pay (i) the Royalty and any Termination Amount, and (ii) any other amounts due under or in connection with this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) within thirty (30) days after the Execution Date (or such later date as mutually agreed in writing between the Grantor and the Royalty Holder):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Grantor shall procure:

&nbsp;&nbsp;&nbsp;&nbsp;&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 Ultimate Shareholder to grant to the Royalty Holder or to a security agent nominated by the Royalty Holder and maintain a fully-perfected first ranking (or second ranking, subject only to first ranking security in favour of the financiers of Senior Lienholder Indebtedness to the extent permitted by clause 5.6(a) *(Indebtedness)*) security on 100% of the issued share capital in the Grantor; 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) the persons representing the owners of 100% of the quotas in MineCo to grant to the Royalty Holder or to a security agent nominated by the Royalty Holder and maintain a fully-perfected first ranking (or second ranking, subject only to first ranking security in favour of the financiers of Senior Lienholder Indebtedness to the extent permitted by clause 5.6(a) *(Indebtedness)*) security on 100% of the capital stock of MineCo; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) subject to clause 5.6(a) *(Indebtedness)*, concurrently with the incurrence of any indebtedness pursuant to a Senior Facility, MineCo shall grant to a security agent nominated by the Royalty Holder and the financiers of such Senior Lienholder Indebtedness, and maintain, a fully-perfected security over the Mining Rights (with such security in favour of the Royalty Holder second ranking, subject only to the first ranking security in favour of the financiers of Senior Lienholder Indebtedness),

Such security will be granted and perfected on terms and in form and substance reasonably satisfactory to the Royalty Holder.

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5.2 Further Assurance

Without limiting the generality of clause 5.10, each of the Grantor and MineCo shall, all at their own cost, take, and shall cause each other Person providing security to take, or cause to be taken, such action and execute and deliver or cause to be executed and delivered to the Royalty Holder such agreements, documents and instruments as the Royalty Holder may reasonably request (including legal opinions and any necessary amendments to constitutional documents/articles of association), and register, file or record the same (or a notice or financing statement in respect thereof) in all offices where such registration, filing or recording is, in the opinion of the Royalty Holder, necessary or advisable to constitute, perfect and maintain the security referred to in this clause 5.1 as first-ranking security, in each case promptly after the request therefor by the Royalty Holder, and in each case in form and substance satisfactory to Royalty Holder.

5.3 Costs and expenses

For the avoidance of doubt, all costs incurred in connection with the security referred to in this clause 5.1 shall be for the account of the Grantor and MineCo.

5.4 Insurance

The Grantor and MineCo shall maintain at all times with reputable insurance companies insurance in good standing with respect to the Santa Rita Mine, the Mining Area and the Mining Operations conducted on and in respect thereof (including against loss of or damage to Products), consistent with Good Mining Practice and in relation to the stage of the development and/or operation of the Santa Rita Mine and the Mining Operations being conducted from time to time.

5.5 Preservation of Corporate Existence

Each of the Grantor and MineCo shall at all times from and after the date hereof do and cause to be done all things necessary or advisable to maintain its corporate existence.

5.6 Indebtedness

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to clause 5.6(c), the Parties agree that neither of the Grantor nor MineCo shall permit the aggregate outstanding principal amount of all indebtedness in respect of the Project, MineCo or the Grantor or any element thereof taken together at any time outstanding and which is secured by first ranking security over MineCo and/or the Grantor's assets (including in respect of any Senior Facility) to exceed the Senior Lienholders Indebtedness Cap in the aggregate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of the Grantor and MineCo undertakes to procure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any creditor of indebtedness (including any creditor under a Senior Facility) shall agree that, at all times prior to the occurrence of an event of default that is continuing in relation to such indebtedness, payments of the Royalty and any other amounts hereunder shall be performed, paid and otherwise characterised as operating expenses to be fulfilled ahead of any payment of the MineCo or the Grantor's liabilities to such creditor; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) subject to any intercreditor agreement to be entered into with any creditors under any Senior Facility, no contract for indebtedness (including any Senior Facility) contains any restriction on the payment of the Royalty and any other amounts hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If at any time the Grantor or MineCo intends to enter into a Senior Facility, it shall notify the Royalty Holder and upon request of the Grantor, the Royalty Holder will and the Grantor will procure that the creditors in respect of any Senior Facility will, as promptly as reasonably possible in the circumstances, enter into an intercreditor agreement with such creditors on the terms set out in the Intercreditor Principles. The Royalty Holder shall act in good faith in negotiating any other terms of the intercreditor agreement not otherwise covered by the Intercreditor Principles.

5.7 No assumption of liability

The Royalty Holder does not assume, by its execution of this Agreement or acceptance of the Royalty, any liability, obligation or commitment of the Grantor or MineCo, whether known or unknown, actual or contingent, now-existing or hereafter arising in respect of the Property, including any and all obligations and liabilities of the Grantor or MineCo:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) relating to or arising from the environmental or other conditions in respect of any portion of the Mining Area;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) relating to the Mining Operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to any grantor of the Mining Rights or any other Authority; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to any third party with a contractual or proprietary interest in the Property, including any contractor or agent of the Grantor, MineCo, refiner or lender.

5.8 Indemnity

The Grantor indemnifies and holds harmless the Royalty Holder and its Affiliates (the **Indemnified Parties**) from any loss, cost or liability (including legal fees) incurred or suffered by the Royalty Holder or any of its Affiliates that arises from a claim against the Royalty Holder or its Affiliates in respect of:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any failure by the Grantor or MineCo or any of their respective Affiliates to at all times comply with all Laws relating to any of them, the Property or the Mining Operations (as applicable);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Grantor or MineCo or any of their respective Affiliates causing, suffering, or permitting any condition or activity at, on or in the vicinity of the Mining Area which constitutes a nuisance; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the enforcement of the rights of the Royalty Holder and its Affiliates under this clause, provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if such loss, cost or liability was contributed to by any act or omission by any Indemnified Party, the indemnity to the Indemnified Parties is reduced by the proportion in which the relevant Indemnified Party contributed to such loss, cost or liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the indemnity shall not include any economic or indirect losses, including any lost production or loss of profits suffered or incurred by an Indemnified Party (including any claims made by third parties); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the indemnity is limited to any claims that may be made against an Indemnified Party arising out of or in connection with, directly or indirectly and 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) its status as the Royalty Holder or an Affiliate of the Royalty Holder (as applicable) from time to time: 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;(B) the Santa Rita Mine, the Mining Area, the Mining Operations or the Mining Rights, and shall not include any indemnity in respect of any claims against an Indemnified Party that does not relate to the above.

5.9 MineCo to assume obligations

If at any time the Grantor's obligations under this Agreement cease to be valid, binding, enforceable and/or in full force and effect against it for any reason then MineCo will on notice to it from the Royalty Holder be deemed to be the Grantor and will assume all of the obligations of the Grantor in connection with this Agreement, including any obligations that have arisen but have not been discharged as at such date, and any references in this Agreement to the "Grantor" will be deemed to mean MineCo.

5.10 Further assurance

MineCo shall promptly provide the Grantor with any information reasonably requested by the Grantor in connection with the performance by the Grantor of its obligations under this Agreement.

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**6 Transfer and Encumbrances**

6.1 Transfer by Grantor or MineCo

Neither the Grantor nor MineCo nor any owner of all or any of the shares or quotas in the Grantor or MineCo, shall sell, transfer, grant, assign, encumber or otherwise dispose of all, part of, or any interest or right in, the Grantor, MineCo, any Mining Rights, this Agreement or any security documents entered into pursuant to clause 5.1 (**Security Documents**) (**Transfer**) to any Person or Persons (a **Transferee**) except with: (i) the prior written consent of the Royalty Holder; or (ii) in accordance with clause 6.2. The Grantor and MineCo shall procure compliance with this clause 6.1 by the owner of any of its shares or quotas.

6.2 Permitted Transfer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A Transfer of all, part of, or any interest or right in, the Grantor or the Grantor's rights and obligations under this Agreement or any Security Document to any Person will not be a breach of clause 6.1, provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such Person is not a Restricted Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such Person shall have entered into all such documents and undertaken all such acts as reasonably required to give effect to such Transfer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Grantor has given prior written notice of such Transfer to the other Parties to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Transfer of all, part of, or any interest or right in, MineCo, any of the Mining Rights, or any of MineCo's rights and obligations under this Agreement or the Security Documents will not be a breach of clause 6.1, provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such Person is not a Restricted Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such Person shall have entered into all such documents and undertaken all such acts as reasonably required to give effect to such Transfer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) MineCo has given prior written notice of such Transfer to the other Parties to this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) in respect of any Transfer of MineCo's rights and obligations under this Agreement and/or the Security Documents to which MineCo is expressed to be a party only, such Transfer is to any Person to whom the Mining Rights are also transferred in accordance with this clause 6.2(b).

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6.3 Validity of Transfer

In addition to the foregoing, any Transfer set out in 6.2 shall only be considered valid if the Transferee expressly acknowledges in writing, in form and substance satisfactory to the Royalty Holder, the existence of this Agreement and the Royalty and agrees to be bound by the terms herein as if it was the original Party in place of the relevant transferor.

6.4 Sale of interest by Royalty Holder

The Royalty Holder may sell, transfer, grant, assign or otherwise dispose of (an **Assignment**) all or part of its rights and interests and obligations under this Agreement to any Person (including by way of an Encumbrance in favour of its lenders) provided: (i) it has given prior written notice thereof to the other Parties to this Agreement; (ii) that such Person is not a Restricted Person; and (iii) that such Person is not a Competitor.

**7 Default**

7.1 Grantor Default

It shall be a default (a **Default**) if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Grantor or, where applicable, MineCo:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) does not pay when due the Royalty in accordance with clause 2 or any other amount due to the Royalty Holder or any of its Affiliates in accordance with this Agreement, if such breach is not remedied by the Grantor within 15 days after delivery of a notice of breach from the Royalty Holder to the Grantor. If the Grantor or, where applicable, MineCo is prevented from making, or the Royalty Holder is prevented from demanding, receiving or retaining, under any agreement, including any intercreditor agreement, any such payment then this will not prevent such non-payment from being a Default, provided that any non-payment of the Royalty which is permitted pursuant to clause 2.1(c) shall not constitute a Default under this clause 7.1(a)(i); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) is in breach of any of the warranties given at the Execution Date under clauses 8.1 or 8.2 and such breach does, or could reasonably be expected to, result in a Material Adverse Event, and, if remediable, such breach is not remedied within 30 days after delivery of a notice of breach from the Royalty Holder to the Grantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a Transfer occurs other than in accordance with clause 6;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) MineCo is in breach of its obligations under clause 3.1(b);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any security granted by MineCo, the Grantor or by any other Person in accordance with clause 5.1 becomes invalid or unenforceable or is repudiated or extinguished or any Person (other than the Royalty Holder) lawfully purports or seeks to repudiate or extinguish any such security or make any of it invalid or unenforceable;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any Permit that has been previously obtained by MineCo is suspended, cancelled, revoked, forfeited, surrendered, refused renewal or terminated (whether in whole or in part) or is not, or ceases to be, in full force and effect, in each case for a period exceeding ninety (90) days other than in the ordinary course of business and that Permit ceasing to be in full force and effect does, or could reasonably be expected to, result in a Material Adverse Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any Authority condemns, expropriates, seizes, relinquishes, withdraws, repudiates, cancels or appropriates any property or assets or part thereof which, when combined with any other property or assets previously condemned, expropriated, seized, relinquished, withdrawn, repudiated, cancelled or appropriated, forms a material part of the Mining Operations or Property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) it is or becomes unlawful for the Grantor or MineCo to perform any of its material obligations under or in connection with this Agreement or:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any of them; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any other Person (other than the Royalty Holder), repudiates, extinguishes or rescinds this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Grantor or MineCo enters into (or resolves to enter into) any voluntary arrangement, composition or similar arrangement for the benefit of creditors or any class of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Grantor or MineCo commences any insolvency proceedings in respect of it in any relevant jurisdictions, which are not discharged within sixty (60) days of being filed or presented in any applicable court or other competent body;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) a liquidator or provisional liquidator being appointed or an administrative receiver, receiver, administrator, trustee or the equivalent in any relevant jurisdiction is validly appointed over the whole or any material part of the undertaking, property or assets of the Grantor or MineCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) an application or order is made or resolution is passed for the winding-up of the Grantor or MineCo, which is not discharged within sixty (60) days of being filed or presented in any applicable court or other competent body; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) any voluntary dissolution (other than in connection with insolvency or bankruptcy) of the Grantor or MineCo takes place other than with the prior written consent (not to be unreasonably withheld) of the Royalty Holder.

7.2 Consequences of Default

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If there is a Default, the Royalty Holder shall be entitled to deliver a notice to the Grantor and/or MineCo that it wishes to terminate this Agreement (**Termination Notice**). Upon delivery of a Termination Notice in relation to any of the Defaults set out in clauses 7.1(h) to 7.1(l) (inclusive), the Grantor and MineCo shall be jointly and severally liable to pay the Termination Amount to the Royalty Holder within ten (10) Business Days of the date of determination of the Termination Amount in accordance with clause 7.3 in immediately available funds by direct deposit to such bank account as is nominated by the Royalty Holder in the Termination Notice.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Royalty Holder issues a Termination Notice in accordance with clause 7.2(a):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Agreement shall terminate with effect from:

&nbsp;&nbsp;&nbsp;&nbsp;&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 relation to any Default set out in clauses 7.1(h) to7.1(l) (inclusive), the date of payment of the Termination Amount to the Royalty Holder; 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;(B) in any other case, the date of such Termination Notice, except for the Surviving Provisions, which shall remain in force; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any and all accrued rights or liabilities of any Party in respect of damages for nonperformance of any obligation falling due for performance or otherwise for breach of this Agreement prior to such termination shall continue to exist.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Parties confirm that the Termination Amount set out in this clause 7.2:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) constitutes liquidated damages;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) is reasonable and proportionate to protect the Royalty Holder's legitimate interest in the performance of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) is not extravagant and/or unconscionable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) is not a penalty.

7.3 Determination of Mine Plan and Termination Amount

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If the Royalty Holder issues a Termination Notice in accordance with clause 7.2(a) in relation to any Default set out in clauses 7.1(h) to 7.1(l) (inclusive):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Grantor shall, within 10 Business Days from the date it receives the Termination Notice, deliver to the Royalty Holder a Termination Amount figure calculated on the basis of the then most recent Mine Plan delivered to the Royalty Holder under clause 4.2(a)(ii) (*Base Mine Plan*); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if the Grantor does not deliver to the Royalty Holder a Termination Amount figure within the 10 Business Days period referred to in clause 7.3(a)(i) above, the Royalty Holder may deliver to the Grantor a Termination Amount figure calculated on the basis of the Base Mine Plan,

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(such Termination Amount figure proposed either by the Grantor or the Royalty Holder, the **Proposed Termination Amount**).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon receipt or delivery (as applicable) of the Proposed Termination Amount, the Royalty Holder may, upon 10 Business Days written notice (**Audit Notice**) to the Grantor and at its own cost, appoint a qualified and recognized mining engineer to inspect and conduct a review of the Base Mine Plan solely to determine whether the Proposed Termination Amount has been calculated in accordance with the Base Mine Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If, within one (1) month of the date of the Audit Notice, the Royalty Holder provides written notice (**Adjustment Notice**) to the Grantor of any adjustments required to the Proposed Termination Amount on the basis of a determination by the auditor that the Proposed Termination Amount has been miscalculated, the Grantor shall, on being provided with a copy of the report of the Royalty Holder's auditor, make a corresponding adjustment to the Proposed Termination Amount, which adjusted amount shall be the final Termination Amount for the purpose of clause 7.2(a), unless the Grantor delivers a Dispute Notice to the Royalty Holder in relation to the Adjustment Notice within one (1) month of receiving such Adjustment Notice. If the Grantor delivers such a Dispute Notice, the dispute resolution procedures set out in this Agreement shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If the Royalty Holder does not submit to the Grantor an Audit Notice or an Adjustment Notice within the relevant time periods set out in clauses 7.3(b) or 7.3(c) (as applicable), the initial Proposed Termination Amount submitted by the Grantor or by the Royalty Holder (as applicable) shall be the final Termination Amount for the purpose of clause 7.2(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If the final Termination Amount payable by the Grantor is established by audit or pursuant to a Dispute Notice to be greater than the initial Proposed Termination Amount by five percent. (5%)%) or more, the Grantor shall immediately on demand pay the costs of the audit to the Royalty Holder. In all other circumstances the Royalty Holder shall bear the costs of audit.

**8 Warranties**

8.1 Warranties by all Parties

Each Party warrants as at the Execution Date for the benefit of the other Parties that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) it is validly incorporated, organised and subsisting in accordance with the Laws of its place of incorporation;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) it has full power and capacity to enter into and perform its obligations under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all necessary authorisations for the execution, delivery and performance by it of this Agreement in accordance with its terms have been obtained;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) its execution, delivery and performance of this Agreement complies with its constitution and does not constitute a breach of any Law or obligation, or cause a default under any agreement by which it is bound; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) no meeting has been convened, resolution proposed or order made for the winding up, or the appointment of an administrator, of it, and no mortgagee or chargee has taken, attempted to take or indicated an intention to exercise its rights under any security.

8.2 Warranties by the Grantor and MineCo

The Grantor and MineCo each warrant as at the Execution Date, for the benefit of the Royalty Holder, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) MineCo is the legal and beneficial owner of a one hundred per cent. (100%) interest in the Property, free of any Encumbrance (other than any Permitted Encumbrance);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Mining Rights are in good standing under the Mining Code and applicable regulations, have been fully and effectively acquired by MineCo and are not liable to cancellation or forfeiture for any reason and, to the knowledge of the Grantor and MineCo, it is not aware of any circumstances which may give rise to such cancellation or forfeiture;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) MineCo has complied with all Laws in respect of the Property in all material respects and all fees (including annual fees per hectare and State inspection fees), rents, rates, royalties (including statutory royalty and landowner's royalty), taxes and other similar payments due and payable in respect of all of the Mining Rights have been paid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) neither the Grantor nor MineCo is engaged in any litigation, arbitration or other proceeding concerning the Property and it is not aware of any pending or threatened litigation, arbitration or other proceeding concerning the Property, which if successful would have a materially adverse effect on the value of the Property or the Grantor's interest or right in the Property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) to the knowledge of the Grantor and MineCo, there is no basis for any claim adverse to the right, title and interest of the Grantor to the Property other than the Permitted Encumbrances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) apart from this Agreement there are no agreements, arrangements, understandings, rights or options to acquire or purchase the Property or any portion thereof or any interest therein (including any Encumbrance) or any claim to any royalty or other interest in the Property or production therefrom and no person other than MineCo and the Royalty Holder, has any right, title, interest or claim whatsoever in the Property or in production from the Property; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) MineCo holds all Permits and approvals and authorizations required from any Authority for MineCo to own its interest in the Property, to conduct Mining Operations on the Property, and to access the Property; and

and where a warranty in this clause 8.2 is qualified by the expression 'to the knowledge of the Grantor and MineCo' or any similar expression, that expression shall be deemed to include the actual knowledge of all directors, officers or employees of the relevant Person at the Execution Date, with those persons having made due and reasonable enquiries of any and all other Persons who may reasonably be expected to have knowledge of the facts, matters or circumstances to which the warranty relates.

**9 Confidentiality**

9.1 Non-disclosure of Confidential Information

A Party shall not disclose Confidential Information except:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) if the disclosure is expressly permitted by this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to its Representative, or the Representative of an Affiliate, who requires the information for the purposes of or related to this Agreement, the Mining Rights or the Royalty with the prior requirement that they keep the disclosed information confidential in accordance with this clause 9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to the extent necessary in relation to the registration of the Royalty and/or this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) with the written consent of the Party who supplied the Confidential Information, which consent may be given or withheld in its absolute discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) if the Party, or an Affiliate of the Party, holding the Confidential Information is required to do so by Law, including by a recognised stock exchange, an Authority or in connection with legal proceedings relating to this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) if disclosure is made on a confidential basis to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a prospective transferee or assignee of the Party's rights and obligations under this Agreement or of all or part of a Mining Right or interest in a Mining Right; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a prospective financier of the Party or its Related Entities,

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and any of their financial or legal advisors; provided each disclosee agrees to keep the disclosed information confidential in accordance with this clause 9.

9.2 Disclosure by recipient of Confidential Information

A Party disclosing Confidential Information as permitted by this Agreement shall ensure that persons receiving Confidential Information from it do not disclose the Confidential Information except as permitted by this Agreement.

9.3 Return of Confidential Information

A Party who has disclosed Confidential Information to a prospective transferee, assignee or financier as provided for by this Agreement shall obtain from that person prior to disclosure an undertaking that, on the request of the disclosing Party, it will immediately deliver or re-deliver to that Party all documents or other materials containing or referring to the Confidential Information in its possession, power or control.

9.4 Survival of termination

This clause 9 continues to bind a Person notwithstanding that such Person ceases to be a Party to this Agreement or this Agreement expires or is terminated for any reason, until the period that ends two (2) years after the date of expiry or earlier termination (as applicable) of this Agreement.

9.5 Announcements and press releases

A Party shall not make press or other announcements or releases relating to this Agreement and the transactions the subject of this Agreement without the approval of the other Parties to the form and manner of the announcement or release, such approval not to be unreasonably withheld or delayed, unless and to the extent that the announcement or release is required to be made by the Party, or an Affiliate of the Party, by Law, including by a recognised stock exchange.

**10 Notices**

10.1 Form of Notice

Unless expressly stated otherwise in this Agreement, any notice, certificate, consent, approval, waiver or other communication in connection with this Agreement (the "**Notice**") shall be in writing and delivered or sent by hand, registered post or email to the party to be served at its address as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to the Grantor at:

Address: [*Redacted - Personal Information*]

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[*Redacted - Personal Information*] [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

Copy

Address: Appian Capital Advisory LLP, [*Redacted - Personal Information*]

Email: [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to MineCo at:

Address: Rua Rio Grande do Norte, [*Redacted - Personal Information*]

Email: [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

Copy

Address: Rua Rio Grande do Norte, 1436, [*Redacted - Personal Information*]

Email: [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to the Royalty Holder at:

Address: [*Redacted - Personal Information*]

Email: [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

Copy:

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Address: Appian Capital Advisory LLP, [*Redacted - Personal Information*]

[*Redacted - Personal Information*] [*Redacted - Personal Information*]

Tel: [*Redacted - Personal Information*]

Attention: [*Redacted - Personal Information*]

10.2 When Notices are taken to have been delivered and received

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A Notice shall be regarded as delivered and received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if delivered by hand, when left at the address set out in clause 10.1;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if sent by registered paid post, on the third day following the date of postage to the address set out in clause 10.1; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if sent by email, at the time shown in the delivery confirmation report generated by the sender's email system which indicates that the email was sent to the recipient's email address set out in clause 10.1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Notice delivered or received other than on a Business Day or after 5.00pm is regarded as received at 9.00am on the following Business Day. A Notice delivered or received before 9.00am is regarded as received at 9.00am.

**11 Ancillary provisions**

11.1 Entire agreement

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement contains the entire agreement between the Parties relating to the subject matter of this Agreement and supersedes all previous agreements, whether oral or in writing, between the Parties relating to the subject matter of this Agreement, including any confidentiality undertakings given by any Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Party acknowledges that it does not rely on, and has not been induced to enter into this Agreement on the basis of, any express or implied representation, warranty, covenant, undertaking, indemnity, collateral contract or other statement whatsoever made by or on behalf of any other Party at any time before the entering of this Agreement, except as expressly set out in this Agreement. Each Party waives all rights and remedies which, but for this clause 11.1, might otherwise be available to it in respect of any such express or implied representation, warranty, collateral contract or other assurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Nothing in this clause 11.1 limits or excludes any liability for fraud.

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11.2 Successors

The provisions of this Agreement endure for the benefit of and are binding on each Party and their respective successors and permitted assigns and transferees.

11.3 No partnership

The rights and obligations in this Agreement are not intended to, and shall not, create a relationship of partnership, agency, or trust between any of the Parties and no Party has any authority to bind another Party in any way.

11.4 Accounting matters

Unless otherwise agreed by the Parties, all accounting matters are to be determined in accordance with sound accounting practices and the Accounting Standards.

11.5 Amendment

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No modification, variation or amendment of this Agreement is of any force unless it is in writing and has been signed by each of the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If requested by any Party in connection with any new Laws or changes to existing Laws in respect of Tax, the Parties shall use reasonable endeavours to discuss and (to the extent it would not result in the Party being requested to suffer or incur any cost, expense or liability nor be adverse to any of such Party's rights, interests or economic return under this Agreement) agree any amendments to this Agreement which may be necessary or desirable in connection with such changes.

11.6 Severability

The provisions contained in this Agreement shall be enforceable independently of each of the others and their validity shall not be affected if any of the others are invalid. If any provision is invalid but would be valid if some part of the provision were deleted, the provision in question shall apply with such modification as may be necessary to make it valid.

11.7 Waiver

A waiver of any right, power or remedy under this Agreement shall be in writing signed by the Party granting it. A waiver is only effective in relation to the particular right, power or remedy in respect of which it is given. It is not to be taken as an implied waiver of any other right, power or remedy or as an implied waiver of that obligation or breach in relation to any other occasion.

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11.8 Remedies cumulative

The rights and remedies provided in this Agreement are in addition to other rights and remedies given by Law independently of this Agreement, except to the extent that they are expressly excluded.

11.9 Third party rights

Except for an Affiliate of the Royalty Holder referred to in clause 5.8, a person who is not a party to this Agreement shall have no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any of its terms.

11.10 No set-off

All amounts due under or in connection with this Agreement shall be paid in full without any set-off or counterclaim, whether arising under this Agreement or otherwise.

11.11 Further assurances

Each Party shall execute all documents and do all things reasonably necessary or desirable to give full effect to this Agreement and to any matter or thing contemplated pursuant to this Agreement.

11.12 Counterparts

This Agreement may be executed in any number of counterparts, all of which taken together shall constitute one and the same Agreement, and any Party (including any duly authorised representative of a Party) may enter into this Agreement by executing a counterpart. Delivery of a counterpart of this Agreement by e-mail attachment shall be an effective mode of delivery.

**12 Dispute Resolution**

12.1 Process

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except where a time limitation is set out in this Agreement, and otherwise subject to the terms of this Agreement, a Party may give a Dispute Notice to the other Parties at any time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) A Dispute Notice shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) describe the nature of the Dispute; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) nominate a Representative of the Party who is authorised to negotiate and settle the Dispute on the Party's behalf.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each other Party shall, within seven (7) days after the delivery of a Dispute Notice, nominate in writing to the other Parties a Representative authorised to negotiate and settle the Dispute on its behalf.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The nominated Representatives shall meet to discuss the Dispute as soon as reasonably practicable with a view to resolving the Dispute within twenty one (21) days after the delivery of the Dispute Notice (or such longer period as those Representatives agree). If the Dispute has not been resolved within such period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Party may immediately refer the Dispute to Expert determination in accordance with clause 12.2 if it relates to:

&nbsp;&nbsp;&nbsp;&nbsp;&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 calculation of the Royalty or any component of it;

&nbsp;&nbsp;&nbsp;&nbsp;&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 calculation of the Termination Amount or any component of it; 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;(C) a matter arising out of a technical audit or an audit conducted in accordance with this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (subject to clause 12.6) any Party may commence an arbitration in respect of the Dispute in accordance with clauses 12.4 and 12.5 if it relates to any other matter.

12.2 Expert determination

Where a Dispute is permitted or required by this Agreement to be determined by an Expert, or the Parties agree that a Dispute should be determined by an Expert, the following provisions shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the reference to the Expert is made in accordance with, and subject to, the Appointing Authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Expert determination shall be conducted by a Person agreed to by the Parties or failing agreement within fourteen (14) days by the Person nominated by the Appointing Authority; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in making a determination:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Expert shall act in that capacity and not as an arbitrator;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Expert's finding is final and binding upon the Parties except in the case of fraud or manifest error;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Expert shall determine which Party or Parties should bear the costs of any such determination and in what proportion (and, in making this decision, the Expert shall consider the degree to which he or she considers such Party was unreasonable in failing to agree to the matter); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Expert may employ consultants to carry out his or her duties.

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12.3 Parties to continue to perform

Prior to resolution of the Dispute, the Parties shall continue to perform their respective obligations under this Agreement including all pre-existing obligations the subject of the Dispute, except only to the extent that lack of resolution of the Dispute prevents such performance.

12.4 Condition precedent to arbitration

A Party shall not commence an arbitration in respect of a Dispute:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) that this Agreement requires to be referred to an Expert; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in all other cases, unless a Dispute Notice has been given and the Representatives do not resolve the Dispute within twenty one (21) days after the receipt of the Dispute Notice (or such longer period as those Representatives agree).

12.5 Arbitration

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to clauses 12.1 to 12.4 and 12.6, any dispute, controversy or claim arising out of or in connection with this contract, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration under the LCIA Rules (excluding the emergency arbitrator provisions), which LCIA Rules are deemed to be incorporated by reference into this clause.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The number of arbitrators shall be three (3). Each party shall nominate an arbitrator and the two arbitrators so nominated shall nominate a third arbitrator who shall act as presiding arbitrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The governing law for the arbitration shall be English Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The seat, or legal place, of arbitration shall be Brasilia, Brazil or London, United Kingdom at the mutual option of the parties (each acting reasonably).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The language to be used in the arbitral proceedings shall be English.

12.6 Courts

Nothing in this clause 12, the LCIA Rules or the law of the seat chosen under Clause 12.5(d), shall prevent the Royalty Holder from commencing proceedings in the courts of any jurisdiction it chooses to obtain urgent interlocutory relief and the other Party/ies hereby submits to the jurisdiction of any such courts for the purpose of any urgent interlocutory relief.

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**13 Applicable Law**

This Agreement and any non-contractual obligations arising out of or in connection with it shall be governed by English law.

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**IN WITNESS OF WHICH** the Parties have duly executed this Agreement as a deed.

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| |
|:---|
| (signed) "Mark Collins" |
| Name: Mark Collins |
| Director |
| (signed) "Mark Collins" |
| Name: Mark Collins |
| Director |
| (signed) "Mark Collins" |
| Name: Mark Collins |
| Director |
| (signed) "Milson Mundim" |
| Name: Milson Mundim |
| Director |
| (signed) "Tony Hercules Lima" |
| Name: Tony Hercules Lima |
| Director |

---

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**Schedule 1**

[*Redacted - Commercially Sensitive Information*]

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**Schedule 2**

[*Redacted - Commercially Sensitive Information*]

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