Osisko Development Corp. (ODV): Business Model Canvas [Dec-2025 Updated]

You're looking at a company in the sweet spot: Osisko Development Corp. is actively shifting from a pure-play developer to a gold producer, and frankly, their plan is solid. We're talking about a fully permitted, shovel-ready Cariboo Gold Project backed by US$450 million in project financing, aiming for production costs as low as US$1,157/oz-that's real leverage. With a healthy C$401.4 million cash balance as of Q3 2025, the question isn't if they can build it, but how the nine building blocks of their business model support this near-term reality. Dive into the canvas below to see exactly how Osisko Development Corp. is structuring its path to the gold market.

Osisko Development Corp. (ODV) - Canvas Business Model: Key Partnerships

You're looking at the core relationships Osisko Development Corp. (ODV) has established to push the Cariboo Gold Project from development toward production. These aren't just vendor contracts; they are strategic financial and technical anchors. Honestly, in this capital-intensive sector, the quality of your partners is almost as important as the quality of the ore body itself.

The most significant financial partnership is with Appian Capital Advisory Limited. Osisko Development Corp. secured a US$450 million senior secured project loan credit facility specifically to fund the Cariboo Gold Project's development and construction. This facility is structured in tranches. As of Q3 2025, the initial draw of US$100.0 million was completed. That initial capital deployment served multiple purposes, including funding a 13,000-meter infill drill campaign and repaying an existing US$25 million term loan with the National Bank of Canada. To show their commitment, Appian also received 5.6 million non-transferrable warrants as part of the deal. This financing is critical for maintaining momentum toward a construction decision.

For the technical backbone of the flagship Cariboo asset, Osisko Development Corp. relied on established expertise. The positive optimized Feasibility Study (2025 FS), which had an effective date of April 25, 2025, was led by BBA Engineering Ltd. as the lead independent consultant. This study involved a syndicate of specialized firms to ensure all aspects were covered under National Instrument 43-101 standards. It's a good sign when you see this many reputable firms signing off on the numbers.

Here's a breakdown of the key technical consultants supporting the 2025 Feasibility Study:

In a move to streamline the portfolio and concentrate capital on Cariboo, Osisko Development Corp. entered into an agreement on November 21, 2025, to divest its non-core San Antonio Gold Project in Sonora, Mexico, to Axo Copper Corp. This divestiture is structured to keep Osisko Development Corp. economically tied to the asset's future success. Upon closing, Osisko Development Corp. will receive 15,305,536 common shares of Axo, targeting an ownership stake of 9.99% on a non-diluted basis. Furthermore, there are contingent payments tied to future milestones: US$2,000,000 cash or shares upon the public filing of a NI 43-101 feasibility study by Axo, and another US$2,000,000 cash or shares upon the first gold pour at the Project. The San Antonio project itself had been in care and maintenance since the third quarter of 2023.

A legacy partnership that continues to influence the economics is with Osisko Gold Royalties Ltd. (OR). OR retains a 5% Net Smelter Royalty (NSR) on the Cariboo project. Based on Osisko Development Corp.'s proposed production forecasts from the 2025 FS, this single royalty stream is projected to generate approximately US$50 million in annual revenue for OR. This royalty was incorporated into the economic analysis of the 2025 FS, which showed a base case after-tax Net Present Value (NPV5%) of C$943 million.

Securing the social license to operate is a non-financial partnership but is absolutely critical for project execution in British Columbia. Osisko Development Corp. prioritizes building respectful relationships with Indigenous partners, acknowledging the Cariboo Gold Project is on the unceded Traditional territories of the Lhtako Dené Nation, Xatśūll First Nation, and Williams Lake First Nation. You can see this commitment in action:

• Life of Project Agreement signed with Lhtako Dené Nation in 2020.
• An interim relationship agreement with Xatśūll First Nation dating back to 2017.
• Sponsorship of the Quesnel River Rush Junior A Hockey Team for the 2025/26 season.
• Presenting the award for Indigenous Social Leadership at the Quesnel & District Chamber of Commerce Business Excellence Awards on October 18, 2025.

Finance: draft 13-week cash view by Friday.

Osisko Development Corp. (ODV) - Canvas Business Model: Key Activities

You're looking at Osisko Development Corp. (ODV) right now and seeing a company in a critical transition phase, moving from development to construction, so the key activities are all about execution and capital deployment. Honestly, the focus is squarely on making the flagship Cariboo Gold Project a producing mine.

Advancing Cariboo Gold Project to Construction Readiness for 2027 Production

The primary activity is advancing the permitted Cariboo Gold Project toward production. The 2025 Optimized Feasibility Study (FS) outlines a single-phase construction over 24 months, targeting first gold in the second half of 2027. The total initial capital cost for this build is estimated at $881 million. The economic underpinning for this timeline is a base case after-tax Net Present Value (NPV5%) of C$943 million, based on a US$2,400/oz gold price assumption. The projected life-of-mine (LOM) average annual gold production is 190,000 ounces over 10 years, with the first five years averaging 202,000 ounces per year. The expected LOM Average All-in Sustaining Cost (AISC) is US$1,157 per ounce.

Underground Mine Development and Infill Drilling

Underground work is a major current activity, funded in part by the new financing. The company is executing a 13,000-meter infill drill program on 10-meter drill spacing, which started in August 2025 in the Lowhee Zone. As of early November 2025, an aggregate total of approximately 6,900 meters had been completed, which is about 51% of the total planned meters. The first reported results from this program included intercepts such as 45.24 grams per tonne (g/t) gold over 3.0 m. For the next 28 months, the underground plan budgets for $330 million to complete 27 km of development.

Securing and Drawing Down on the US$450 million Cariboo Financing Facility

A critical activity was securing the US$450 million senior secured project loan credit facility from Appian Capital Advisory Limited on July 21, 2025. This facility is structured in tranches. The initial draw, completed on July 21, 2025, was US$100 million (approximately $137.2 million CAD), which was used to start the infill drill campaign and repay the outstanding US$25 million term loan with National Bank of Canada. The remaining US$350 million is available in up to four subsequent tranches over up to 36 months, subject to project milestones. The facility matures on July 21, 2033.

Small-Scale Gold Production from the Tintic Project in Utah

Osisko Development Corp. is generating interim revenue from the small-scale heap leach project at the Tintic Project in Utah. For the third quarter of 2025 (Q3 2025), the company sold 877 gold ounces, resulting in revenues of $4.4 million CAD. For the nine months ended September 30, 2025, total sales reached approximately $11.27 million CAD. In the second quarter of 2025 (Q2 2025), 1,393 gold ounces were sold, generating $6.9 million CAD in revenue. Small-scale operations are anticipated to continue into the fourth quarter of 2025.

Ongoing Exploration to Expand Mineral Resources at Cariboo and Tintic

The company continues exploration activities, though the focus has shifted following financing and the 2025 FS. The infill drilling at Cariboo is explicitly designed to inform resource modeling and potentially convert Mineral Resources adjacent to Mineral Reserves. The Tintic Project exploration included a Phase II regional drilling program in Q2 2025 at the Big Hill West and Zuma porphyry targets, totaling 2,405 meters. Strategically, Osisko Development Corp. divested its San Antonio Gold Project in Sonora, Mexico, on November 21, 2025, receiving a fixed 9.99% interest in Axo Copper Corp. in exchange.

Here are the key financial and operational metrics related to these activities:

The underground development plan calls for 27 km of development over 28 months with a budget of $330 million.

• Advancing Cariboo to construction readiness, targeting first gold in H2 2027.
• Executing the 13,000-meter infill drilling program to refine mine planning.
• Drawing down on the US$450 million facility, with US$100 million drawn as of Q3 2025.
• Generating interim revenue from Tintic, with 877 ounces sold in Q3 2025.
• Divesting the San Antonio project for a 9.99% equity stake in Axo Copper Corp..

Osisko Development Corp. (ODV) - Canvas Business Model: Key Resources

You're looking at the core assets Osisko Development Corp. (ODV) is banking on to transition from developer to producer. These aren't just ideas; they are tangible, permitted, and funded resources as of late 2025.

The single most critical physical asset is the fully permitted Cariboo Gold Project in British Columbia, Canada. This project has achieved shovel-ready status, meaning all key permits, including the Environmental Management Act permits and the BC Mines Act permits, are secured. This places Osisko Development Corp. in the enviable position of being construction and operation ready, being one of only two fully permitted gold mines in Canada. Full-scale construction is targeted to commence in the second half of 2025, subject to project financing.

Financially, Osisko Development Corp. held a substantial war chest to fund the next phase of development. As of September 30, 2025, the Company reported approximately C$401.4 million in cash and cash equivalents. This liquidity was bolstered by a US$450 million senior secured project loan credit facility entered into in July 2025 with Appian Capital Advisory Limited for the Cariboo Gold Project development.

The mineral endowment at Cariboo underpins the long-term value. The 2025 Optimized Feasibility Study (FS), with an effective date of April 22, 2025, confirms a long-life asset.

The Probable Mineral Reserves support an average annual production of approximately 190,000 ounces of gold over a 10-year mine life. The Inferred Resource estimate is 1.864 million ounces, aligning closely with the target figure you mentioned.

The human capital is another key resource. Osisko Development Corp. is led by a world-class team with a proven track record in discovering, funding, developing, and operating tier-1 projects globally, including Canadian Malartic. Founder, Chairman, and CEO Sean Roosen has a history with the Osisko ecosystem, founding Osisko Mining Corporation and serving as Executive Chairman and CEO of Osisko Gold Royalties. The team is actively being strengthened, for example, with the January 2025 appointment of David Rouleau as Vice President, Project Development, bringing over 35 years of operational and management experience.

Finally, the Tintic Project's existing small-scale heap leach operation provides near-term cash flow and operational continuity while Cariboo is being financed and built. In the third quarter of 2025, this operation sold 877 ounces of gold from re-treating tailings and stockpile material. This generated $4.4 million in revenues against $3.0 million in cost of sales for the quarter.

• The Cariboo Gold Project is designed for an underground operation using mechanized bulk mining methods.
• The 2025 FS projected an Average All-In Sustaining Cost (AISC) of US$1,157 per ounce over the Life of Mine (LOM).
• The Company completed private placements for approximately C$280.4 million in gross proceeds during Q3 2025.

Osisko Development Corp. (ODV) - Canvas Business Model: Value Propositions

You're looking at Osisko Development Corp. (ODV) and seeing a company that has successfully de-risked its primary asset, the Cariboo Gold Project, by securing permits and financing. The core value proposition here is delivering a rare, fully permitted, and shovel-ready gold asset in North America, specifically in British Columbia, Canada. This isn't just an exploration story anymore; it's a near-term builder story, targeting first gold production in the second half of 2027.

The economics underpinning this asset, as detailed in the 2025 Optimized Feasibility Study (2025 FS), are robust. The project is designed as a low-impact underground operation using mechanized bulk mining methods. This approach supports projected low operating costs, placing Cariboo within the lower half of the global cost curve for gold mines.

The project's value is highly leveraged to the gold price, which is a key selling point for investors looking for torque in the sector. The company has already secured a significant portion of the required capital, including a senior secured project loan credit facility totaling US$450 million from funds advised by Appian Capital Advisory Limited to fund development and construction. The initial capital cost estimate for the single-phase build is $881 million.

Here's the quick math on the project's projected economics based on the 2025 FS, which uses Probable Mineral Reserves only:

The value proposition is further cemented by the projected operational efficiency. The projected low All-in Sustaining Costs (AISC) of US$1,157/oz over the life-of-mine (LOM) is a critical factor in long-term profitability, especially when compared to the higher gold price scenarios. The project is designed to produce approximately 190,000 ounces of gold annually over a 10-year mine life, with the first five years averaging 202,000 ounces per year.

The exposure to significant gold price leverage is evident when comparing the two scenarios in the study. For you, this means the project's intrinsic value scales up dramatically if gold prices remain elevated. The difference between the base case IRR and the spot case IRR shows this leverage clearly:

• Developing a rare, fully permitted, and shovel-ready gold asset in North America.
• Strong project economics: C$943 million after-tax NPV5% at US$2,400/oz gold.
• Projected low AISC of US$1,157/oz for Cariboo.
• Exposure to significant gold price leverage (38.0% IRR at US$3,300/oz gold).
• Commitment to responsible and low-impact underground mining.

Also, remember that Osisko Development Corp. is actively working to convert Inferred Mineral Resources adjacent to the reserves, which presents an opportunity to potentially enhance these already strong economics and extend the mine life beyond the current 10-year projection. Finance: draft 13-week cash view by Friday.

Osisko Development Corp. (ODV) - Canvas Business Model: Customer Relationships

You're looking at how Osisko Development Corp. (ODV) manages its key relationships across its shareholder base and project stakeholders as of late 2025. This isn't just about selling a product; it's about securing the capital and the social license to build major assets like the Cariboo Gold Project.

High-touch Investor Relations (IR) for institutional and retail shareholders

Investor Relations for Osisko Development Corp. is clearly segmented, reflecting a dual focus on attracting large capital while managing a significant retail base. You see this split when you look at the ownership structure as of mid-November 2025. The General Public, which is mostly individual investors, holds a substantial 49% stake in the company. Institutional ownership, however, stands at 13%, suggesting that while institutions are present, the retail base has a larger direct say in management direction. The largest single shareholder, Double Zero Capital LP, controls 15.9%, and OR Royalties Inc. holds another 13.1%, meaning the top shareholders control a significant portion of the company. To keep this diverse base engaged, the company has been active in capital raises; for instance, Q3 2025 saw private placements for approximately $280.4 million (US$203.1 million) in gross proceeds, followed by another $82.5 million subsequent to the quarter end. This constant need for capital necessitates clear, regular communication.

Here's a quick look at the capital structure relationship as of September 30, 2025, and recent equity activity:

The company also uses equity incentives to align management; for example, 58,824 deferred share units were granted to a new director on August 20, 2025.

Direct engagement with First Nations and local governments for long-term support

For a project like Cariboo in British Columbia, securing long-term support from Indigenous nations isn't optional; it's foundational to the project's viability. Osisko Development Corp. emphasizes building these relationships based on trust and respect, acknowledging the unceded Traditional territories of the Lhtako Dené Nation, Xatśūll First Nation, and Williams Lake First Nation. You see this commitment formalized through specific agreements:

• Life of Project Agreement with Lhtako Dené Nation signed in 2020.
• Interim relationship agreement with Xatśūll First Nation signed in 2017.
• Agreement signed with Williams Lake First Nation in July 2022.

This engagement is critical for permitting. The company noted it actively consulted and engaged with Indigenous nations following the receipt of its BC Mines Act and Environmental Management Act permits for Cariboo. In the process leading up to this, Osisko Development addressed approximately 3,500 comments during the regulatory review. These agreements aim to provide long-term employment, support, and opportunities, setting a framework for collaboration on development and community programming.

Transactional relationship with gold refiners and bullion purchasers

The transactional relationship is currently driven by the small-scale operations at the Tintic Project in Utah, which provides near-term cash flow while the main Cariboo asset advances. This is a straightforward buyer-seller dynamic, focused on ounces delivered and realized price. In Q3 2025, Osisko Development sold 877 ounces of gold from this small-scale heap leach project. That sale generated $4.4 million in revenue against $3.0 million in cost of sales for the period. To give you context on the primary asset, the April 2025 Feasibility Study for Cariboo is based on a gold price assumption of US$2,400 per ounce. The expected output from Cariboo is substantial, projecting an average of 190,000 ounces of gold annually over a 10-year mine life, with a projected Average All-in Sustaining Cost (AISC) of US$1,157 per ounce.

Here's the recent transactional snapshot from the small-scale Tintic operation:

Regular public disclosure via quarterly reports and technical studies

Osisko Development Corp. maintains a rigorous schedule of public disclosure to satisfy regulatory requirements and investor expectations. You can track the company's progress through its quarterly reports, such as the Q3 2025 results released on November 10, 2025. The most significant technical disclosure driving long-term valuation is the April 2025 Cariboo Gold Project Feasibility Study (FS). This study underpins the current valuation narrative for the main asset. The FS established key financial metrics:

• After-tax Net Present Value (NPV5%): $943 million (Base Case).
• Unlevered After-tax Internal Rate of Return (IRR): 22.1% (Base Case).
• Projected Mine Life: 10 years.

The company also details its financing milestones, such as drawing US$100.0 million under the US$450 million Appian financing facility to advance pre-construction and early works. Finance: draft 13-week cash view by Friday.

Osisko Development Corp. (ODV) - Canvas Business Model: Channels

You're looking at how Osisko Development Corp. gets its information and product to the market, which is crucial for a development-stage company like this. It's not about selling a finished product yet, but about selling the story and potential to capital providers, while generating small amounts of cash from existing assets.

The primary channels for capital market engagement are the major stock exchanges where you can trade Osisko Development Corp. shares. You see the dual listing strategy clearly here:

Honestly, the TSXV price of $5.0200 CAD on December 5, 2025, gives you a snapshot of current market sentiment, but the real action is in funding the Cariboo Gold Project development.

For actual product sales, which are currently small-scale and serve to maintain liquidity and validate processes, the channel is direct sale of gold doré to refiners. This is a necessary step before the main production at Cariboo begins, which the 2025 Feasibility Study projects to be an average of 190,000 ounces of gold annually over a 10-year mine life.

• Q3 2025 Revenue: $4.4 million from the sale of 877 gold ounces from the Tintic small-scale heap leach project.
• Q3 2025 Cost of Sales: $3.0 million.
• Q2 2025 Revenue: $6.9 million from the sale of 1,393 gold ounces from the Tintic Project.
• The small-scale operations at Tintic were anticipated to continue into Q4 2025, though future activity is expected to be limited to care and maintenance.

Communicating with the capital markets-that's your investor relations channel. Osisko Development Corp. uses its digital presence and formal documents to reach analysts and potential investors. You can find the key documents on their official site:

• Corporate Website: www.osiskodev.com.
• Investor Presentations detailing financing milestones, such as the US$450 million senior secured project loan credit facility secured in July 2025.
• Investor presentations also highlight key project metrics, like the Cariboo Gold Project's 2025 Feasibility Study showing an after-tax NPV5% of C$943 million at a US$2,400/oz gold price.

Regulatory compliance and technical transparency are channeled through mandatory filings. These reports are the backbone of proving the project's viability to sophisticated investors. The key documents are:

• Technical Reports prepared in accordance with National Instrument 43-101 (NI 43-101).
• The 2025 Feasibility Study Technical Report for the Cariboo Gold Project was filed on June 11, 2025, with an effective date of April 22, 2025.
• Filings are made on SEDAR+ (www.sedarplus.ca) and EDGAR (www.sec.gov) under Osisko Development's issuer profile.

Finance: draft 13-week cash view by Friday.

Osisko Development Corp. (ODV) - Canvas Business Model: Customer Segments

You're mapping out who is funding Osisko Development Corp. (ODV) and who will buy their gold once the Cariboo Gold Project is built. It's a mix of deep-pocketed institutions and future off-takers. Here's the breakdown of the key customer groups as of late 2025.

Institutional Investors and Private Equity Funds

This group provides the critical equity capital to move the Cariboo Gold Project toward construction. You see significant participation from specialized funds and large asset managers. As of a late 2025 report, 82 institutions and funds have filed 13D/G or 13F forms, holding a combined 68,255,620 shares. This represents approximately 16.49% of the company's stock based on some analyses, though other data suggests the public/individual holding is much higher at 65.10%.

The private equity and strategic equity partners are clearly defined:

• Double Zero Capital, LP: This firm is a key strategic investor, subscribing for approximately US$75 million in a non-brokered private placement in July 2025. Following that closing, they held 40,511,775 shares, representing 15.88% of the company, valued around $134,093,975.
• Major Institutional Holders: Other significant players include Condire Management LP, which held 23,879,902 shares, valued at $74 M (representing 9.965% ownership) in one filing.
• Active Traders: Hedge funds are active; for instance, GMT Capital Corp. showed trading activity valued at $18,645,000 as of September 30, 2025.

The share price as of November 28, 2025, was $3.53 per share, a significant jump from $1.82 on December 2, 2024.

Retail Investors Seeking Exposure to a North American Gold Developer

This segment represents the broader public and individual shareholders who buy shares on the NYSE or TSXV for exposure to North American gold development. Based on one ownership breakdown, this group, categorized as Public Companies and Individual Investors, holds approximately 65.10% of Osisko Development Corp. stock. This large base suggests significant retail interest in the permitted Cariboo Gold Project, which is scheduled to begin construction in Q3 2025.

Precious Metals Refiners and Bullion Banks Who Purchase the Final Product

These entities become customers once Osisko Development transitions from a developer to a producer. The expected output from the flagship Cariboo Gold Project drives this segment's interest. The Optimized Feasibility Study (2025 FS) outlines an average annual gold production of 190,000 ounces of gold over a 10-year mine life. Over the life-of-mine, this translates to 1.89 million payable ounces. Osisko Development has received indications of interest from commodity traders looking for high-quality concentrate off-take, which is the direct precursor to sales to refiners or banks.

Strategic Financial Partners Providing Project-Level Debt and Equity

This group is crucial as they provide the massive, project-specific capital required to build the mine. The total initial investment required, per the April 2025 Optimized Feasibility Study, was CA$831 million, or about US$603 million.

Key financing milestones achieved by late 2025 include:

The company stated it had raised approximately US$645 million through these major financing events, putting them on track to meet the initial construction capital needs. As of June 30, 2025, Osisko Development had approximately $46.3 million in cash and cash equivalents.

Osisko Development Corp. (ODV) - Canvas Business Model: Cost Structure

You're looking at the cost structure for Osisko Development Corp. (ODV) as they push the Cariboo Gold Project toward production. This is a capital-intensive phase, so the costs are dominated by construction and financing commitments, not operating expenses yet.

The single largest cost component is the High capital expenditure for Cariboo construction. The 2025 Feasibility Study pegs the initial capital requirement for the Cariboo Gold Project at an estimated C$881 million under a revised mine plan.

The company is actively spending on Significant exploration and development costs to de-risk the project and finalize mine planning. This includes advancing pre-construction activities and underground mine development, with 1.9 kilometers of underground development complete at Cariboo as of September 30, 2025. Furthermore, a 13,000-meter infill drill program commenced in August 2025 to refine these plans. The overall development phase is reflected in the negative operating cash flow for the 2025 fiscal year, which stood at approximately C$-6.23 million.

Financing costs are a major drain right now, given the debt taken on to fund the development. Osisko Development Corp. secured a US$450 million senior secured project loan credit facility from Appian Capital Advisory. As of the end of Q3 2025, ~$137.2 million (US$100.0 million) had been drawn under this facility. The interest rate on the initial draw is structured as the 3-month SOFR, plus 9.50% per annum, plus an adjustment of 0.10% per annum, with a 2.00% SOFR floor. For Q3 2025 alone, finance costs rose significantly to $42.42 million, up from $15.56 million in Q3 2024.

The company also booked specific non-operating charges related to compliance and asset management. For the third quarter of 2025, Osisko Development Corp. recorded environmental rehabilitation costs of C$23.7 million not associated with any recognized asset. This was coupled with a $7.4 million write-off for unrecoverable value-added taxes in Mexico during the same quarter.

General and administrative (G&A) expenses are embedded within the overall operating costs. The definition of Total Cash Costs, which Osisko Development Corp. reports, includes site G&A costs, along with mining costs, processing costs, royalties, smelting, refining, and transportation costs. The operating loss for Q3 2025 was $42.4 million, a substantial increase from the $15.6 million operating loss in Q3 2024, driven by higher costs related to the bulk sample and care and maintenance activities at Cariboo.

Here's a quick look at some of the key financial figures impacting the cost structure as of late 2025:

Osisko Development Corp. (ODV) - Canvas Business Model: Revenue Streams

Osisko Development Corp.'s revenue streams as of late 2025 are characterized by a mix of current small-scale operations, significant capital raising activities to fund major development, and future production projections from its flagship asset.

Current operational revenue is minimal, stemming from the small-scale heap leach project at the Tintic project in Utah. For the third quarter of 2025, Osisko Development Corp. generated revenues of C$4.4 million from the sale of 877 gold ounces from this operation. C$4.4 million in Q3 2025 is the specific number for this revenue stream.

A major component of Osisko Development Corp.'s current financial inflow is derived from equity financing to advance the Cariboo Gold Project. This includes proceeds from private placements, which are crucial for funding pre-construction and early works.

The primary, long-term revenue driver for Osisko Development Corp. is the future production from the Cariboo gold sales. The Optimized Feasibility Study from April 2025 outlines significant projected output.

• Projected average annual gold sales from Cariboo: 190,000 oz/year over a 10-year mine life.
• Projected gold sales in the first five years of operation: 202,000 oz/year.
• Estimated All-in Sustaining Cost (AISC) for Cariboo: US$1,157 per ounce.

Osisko Development Corp. is also realizing value through asset divestitures, strategically focusing capital on core assets. The sale of the San Antonio gold project in Sonora, Mexico, to Axo Copper Corp. is a key example of this. The transaction, agreed upon in November 2025, is structured to provide immediate and contingent future proceeds.

The proceeds from the San Antonio asset divestiture include:

• Receipt of 15,305,536 common shares of Axo, or the number of shares to maintain a 9.99% non-diluted ownership in Axo Copper.
• Contingent payment of US$2,000,000, payable in cash or Axo Shares, upon the public filing by Axo of a feasibility study prepared in accordance with NI 43-101.
• Contingent payment of US$2,000,000, payable in cash or Axo Shares, upon the first gold pour at the Project.
• Entitlement to 70% of any Mexican value-added tax refund due to Sapuchi Minera up to the closing date.