Endomines Finland (PAMPALO) Status Update summary

Transaction overview

• Three Idaho assets (Friday, Deadwood, Buffalo Gulch) and related equipment sold for AUD 20 million in five installments, with the first AUD 3.5 million due at closing within 90 days.

• Endomines retains a 9.95% equity stake in the buyer's parent company, Yellowstone Mining, via Elk Range Minerals.

• Payment structure includes options for cash or shares in later installments, with milestone payments tied to resource growth and production; assets serve as collateral until full payment.

• Most Idaho-based personnel will transfer to the buyer, resulting in estimated annual operating cost savings of EUR 500,000.

• Transaction expected to result in a one-time loss of approximately EUR 3.5 million, recorded in the U.S. operations segment.

Strategic rationale and future focus

• Divestment enables a strategic focus on gold production at the Pampalo mine and exploration along the Karelian Gold Line in Finland.

• Sale frees resources and management attention to accelerate Finnish growth and exploration.

• Long-term targets include increasing gold resources to 1.5–2 million ounces and production to 70,000–100,000 ounces by 2030.

• Plans to start tungsten and molybdenum production as part of a critical minerals strategy.

• Financial stability and sustainability are emphasized as key differentiators.

Remaining U.S. assets and outlook

• Endomines retains two Idaho and two Montana assets; Montana assets are valued higher and are being externally assessed before any further action.

• Montana's U.S. Grant has a mill and valid permit; Kearsarge has over 300,000 ounces at 3g/t, with recent high-grade drill results.

• Current gold and silver market strength increases the attractiveness of Montana assets.

• Interest from potential buyers exists, but company will wait for assessment results before engaging.

• No immediate divestment is planned for the remaining U.S. assets.