CORRECTION TO WESTERN METALLICA RESOURCES CORP. PRESS RELEASE REGARDING CONSOLIDATION

Most Recent News (May 14-15, 2026)

• Share Consolidation: Company announced a share consolidation to optimize capital structure. Originally stated as 1-for-5, corrected on May 15 to 1-for-3 ratio.
• Debt Settlement: CEO Greg Duras agreed to settle $370,000 of outstanding debt via issuance of common shares (2,466,667 post-consolidation shares).
• Control Change: Upon completion, Mr. Duras will hold a 56.4% controlling interest in the Company, triggering "control person" status and requiring disinterested shareholder approval for the related party transaction.
• Correction Details: The correction adjusted the aggregate loan amount advanced by Mr. Duras from $350,010 to $290,010 and clarified the consolidation ratio.

Capital Structure and Dilution

• The consolidation ratio correction from 1-for-5 to 1-for-3 results in a higher post-consolidation share count (~2.8M vs ~1.7M originally anticipated). This reduces the effectiveness of the consolidation in supporting share price per unit.
• Issuing shares for debt is dilutive; existing shareholders face increased supply without immediate cash inflow or asset monetization.
• The CEO gaining 56.4% control concentrates voting power, potentially marginalizing minority shareholder interests in future corporate decisions.

Corporate Profile

• Western Metallica Resources Corp. is an exploration company focused on precious and base metals in Europe and South America.
• Listed on the TSX Venture Exchange (implied by regulatory references).