Winsome Resources (WR1) Q3 2025 TU earnings summary

Executive summary

• Advanced Adina Lithium Project regulatory processes, including ESIA initiation and baseline studies, while optimizing capital expenditure amid challenging lithium market conditions.

• Discovered high-grade cesium and lithium mineralisation at Sirmac-Clapier, with assays up to 5.44% Cs₂O and 3.0% Li₂O, expanding landholding through additional claims.

• Extended exclusive option to acquire Renard Operation to August 31, 2025, after C$8.5 million payment, and exploring strategic partnerships for capital.

• Maintained strong cash balance of A$19.1 million after A$7.8 million capital raise and partial divestment of Power Metals shares.

• No reportable health and safety incidents; integration of best practices from Stornoway data and updated emergency plans.

Financial highlights

• Cash and cash equivalents at quarter end: A$19.1 million, down from A$23.9 million in previous quarter.

• Net cash outflow from operating activities: A$1.84 million for the quarter.

• Net cash outflow from investing activities: A$10.2 million for the quarter.

• Net cash inflow from financing activities: A$7.3 million, primarily from equity raise.

• Estimated 5.88 quarters of funding available at current expenditure rates.

Outlook and guidance

• Focus remains on advancing Adina through ESIA and feasibility studies, with cost reduction measures in place for 2025.

• Anticipates feedback on ESIA framework from COMEV in June 2025 quarter; environmental studies progressing on schedule.

• Reviewing Québec Budget 2025 incentives to potentially enhance project financials.

• Not expecting net cash outflows to be as significant in future quarters due to cessation of drilling.