PPX Mining enters LOI with Glencore for Igor

Executive Summary

• PPX Mining Corp. entered a binding Letter of Intent with Glencore Peru SAC for a strategic equity investment of up to 9.99% of PPX’s common shares at C$0.237 per unit, including warrants.
• The deal includes a life‑of‑mine off‑take of 100% of precious‑metal concentrates from the Igor project (excluding dore) and technical collaboration on plant optimization.
• Up to 25% of the investment proceeds are earmarked for plant construction and start‑up; the remainder will fund exploration, permitting, environmental work, community relations, and development of the sulphide zones.

Key Details

• Equity Investment: Glencore (or affiliate) to subscribe for 83,786,784 units representing 9.99% of PPX’s issued common shares on an undiluted, post‑closing basis.
• Pricing: Unit price C$0.237 (≈ US $0.17), a 15.4% premium to the 30‑day VWAP ending Oct 3 2025.
• Unit Structure: Each unit = 1 common share + 1 common share purchase warrant.
• Warrant Terms: Exercise price C$0.289 per share; exercisable at any time within 36 months after closing.
• Holding Period: Securities issued in the private placement subject to a four‑month‑plus‑one‑day hold period from issuance.
• Use of Proceeds:
• ≤ 25% allocated to plant construction, commissioning, and start‑up working capital.
• Remaining proceeds for exploration, permitting, environmental programs, community relations, and development of Igor sulphide areas.
• Investor Rights Agreement (IRA): Grants Glencore customary rights, including the appointment of one board director while maintaining ≥ 9.99% ownership, with standard protective provisions.
• Off‑take Arrangement: Glencure Peru secures long‑term off‑take covering 100% of production for the life of mine (excluding dore). Terms include advance payments, competitive settlement, and flexible pricing; detailed in definitive agreements.
• Technical Collaboration: Access to Glencore technology for tailings retreatment optimization at PPX’s carbon‑in‑leach and flotation plant, plus broader operational and recovery enhancements.
• Conditions Precedent: Completion of definitive documentation, due diligence, corporate/regulatory approvals, and conditional TSX Venture Exchange listing approval for the shares and warrants.

Notable Quotes

“Signing this binding LOI with Glencore is a significant milestone for PPX. The combination of strategic equity, a life‑of‑mine off‑take framework and access to Glencore technology provides a strong platform to advance Igor responsibly and efficiently while aligning our financing and commercialization pathways.” – Brian Imrie, Executive Chairman, PPX Mining

“Through our investment, offtake partnership and technical expertise, we look forward to working with PPX to unlock the full potential of the project.” – Gonzalo Cabello, Glencore AG