Contango Ore (CTGO) Status update summary

Financing and hedge buyback strategy

• Raised $50 million, primarily to buy back gold hedge contracts and reduce operational risk from potential production interruptions.

• $45 million will remove 15,000 ounces of hedges, reducing the hedge book to about 26,000-27,000 ounces, with a goal to be hedge-free and debt-free by year-end.

• Two supportive institutional investors participated, reflecting confidence in the business model and gold price outlook.

• Pre-funded warrants were included at investor request, resulting in 1.9 million new shares issued, bringing total shares to about 17.7 million pre-merger and 33 million post-merger.

• No hold period for new shares; all are free trading.

Risk management and gold price exposure

• Operational risks highlighted by a recent fire at Fort Knox, though production was unaffected.

• Downside protected by $700,000 in gold put contracts, providing insurance if gold falls below $4,000.

• The strategy aims to maximize upside exposure to gold prices while maintaining prudent risk management.

Growth plans and project updates

• Five-year plan targets 200,000 ounces of gold and 5-6 million ounces of silver annually, leveraging the Dolly Varden asset.

• Ongoing drilling at Lucky Shot, with feasibility and mine planning underway; Johnson Tract tunnel permits expected by Q2.

• Kitsault Valley project to see a CAD 30 million exploration program, focusing on infill and expansion drilling.

• Merger with Dolly Varden expected to close soon, with strong shareholder support and a combined market cap near $1 billion.