PPX Intercepts High-Grade Gold, Silver, and Copper at Callanquitas, with 13.28 g/t Au, 5,204 g/t Ag and 5.4% Cu Over 1.0 m; and Completes the First Drill Hole at Portachuelos

PPX Mining Corp. (PPX) has released additional underground diamond drilling results from the Callanquitas Mine, part of the Igor Project in La Libertad, Peru. The data, coordinated with mining partner Proyectos la Patagonia S.A.C. (PLP), covers the back half of hole CA-26-33, the entirety of CA-26-34, and the front portion of CA-26-35. Additionally, the company reported that the first Portachuelos hole, PO-26-01, is complete at a depth of 341.5 meters, with assays pending.

The drilling results include the following intercepts:

• CA-26-35 (Tension vein, sulfides), 247.10 m depth, azimuth 048, dip -30: 63.10–82.30 m, 19.20 m @ 1.32 g/t Au, 434.7 g/t Ag, 0.4% Cu. Included 63.10–70.50 m, 7.40 m @ 1.95 g/t Au, 872.5 g/t Ag, 0.7% Cu; included 69.50–82.30 m, 12.80 m @ 1.90 g/t Au, 554.3 g/t Ag, 0.5% Cu; included 69.50–70.50 m, 1.00 m @ 13.28 g/t Au, 5,204.2 g/t Ag, 5.4% Cu; included 81.70–82.30 m, 0.60 m @ 8.91 g/t Au, 966.0 g/t Ag, 1.6% Cu. Assays for the remaining ~160 m of the hole are pending.
• CA-26-34 (Callanquitas East, mixed oxide/sulfide), 283.10 m depth, azimuth 043, dip -57: 174.50–195.35 m, 20.85 m @ 1.35 g/t Au, 16.1 g/t Ag; included 181.60–188.75 m, 7.15 m @ 2.07 g/t Au, 30.4 g/t Ag; included 181.60–182.80 m, 1.20 m @ 3.53 g/t Au, 148.9 g/t Ag. Separate sulfide dissemination: 221.80–232.10 m, 10.30 m @ 0.64 g/t Au, 13.1 g/t Ag. The hole did not intersect the Tension vein and remained in the footwall.
• CA-26-33 (Callanquitas East, oxides), 262.40 m depth, azimuth 039, dip -44: 194.60–216.10 m, 21.50 m @ 0.95 g/t Au, 24.2 g/t Ag; included 195.60–196.70 m, 1.10 m @ 6.75 g/t Au, 40.6 g/t Ag (already reported 15 September); included 204.10–205.60 m, 1.50 m @ 1.95 g/t Au, 175.4 g/t Ag; included 214.75–216.10 m, 1.35 m @ 2.66 g/t Au, 9.2 g/t Ag.

PPX disclosed that true width is approximately 40% of the drill width, a factor already applied by the company in its reporting.

Regarding geological observations, the company noted that silver at Callanquitas East is "probably hypogene, not … supergene enrichment." Oxide breccia persists at the 2,810 m elevation, approximately 40 m below CA-25-19. The Tension vein intercept was located approximately 20 m from CA-26-31, which previously reported 1.6 m @ 1,329.6 g/t Ag. A new drill chamber is planned for 2027 to improve intercept angles.

At the Portachuelos prospect, two rigs are currently active. With PO-26-01 complete, PPX expects to release the first results in the coming weeks.

PPX Mining Corp. (PPX) operates as a small producer rather than a grassroots explorer. The company does not own the Callanquitas mine directly but holds a 75% net profit interest (NPI) in the operation run by PLP, while simultaneously building a 350 tpd CIL/flotation plant. The equity value is driven by plant commissioning, unit-cost reduction, NPI cash flow, liquidity status, and potential dilution. Drill results at the mine serve as supporting data for a resource update rather than the primary value driver.

Prior-period context indicates that trailing NPI was PEN 91.4 million (~C$35 million) at the May 2026 update, with NPI income of C$23.4 million for the nine months ended 30 June 2026 per the MD&A. Against a basic market capitalization of approximately C$207 million, the stock trades at roughly 6–7 times run-rate NPI. Cash holdings fell from C$23.6 million at 31 March 2026 to C$7.6 million at 30 June 2026, with C$13.9 million in capex over the nine-month period. Total liabilities stood at C$52.1 million against equity of C$11.3 million, resulting in a working capital deficiency and a going-concern flag per the MD&A. Additionally, a C$1.2 million royalty debt was settled in July at C$0.185/share.

The recent release did not change the scale, grade, or odds significantly. The drilling involved a 20 m step-out and infill on a vein already being mined, plus a 40 m down-dip oxide extension, meaning the system is not demonstrably bigger. Portachuelos remains the only genuine scale catalyst, but it delivered no data. Grade results were mixed; the Tension vein hole was in the upper "good" band on AgEq, but its grade was a fraction of what the same vein has previously delivered from the same chamber. Odds for the sulfide resource update were marginally improved, and the hypogene-silver interpretation is a positive for depth, though this was partially negated by sub-cut-off oxide widths and the Tension vein miss in CA-26-34.

The expectation anchor includes the following prior results from the same chamber: * CA-25-24 at 5.90 m @ 10.96 g/t Au, 2,189 g/t Ag, 2.3% Cu (≈25 g/t AuEq, ≈150 AuEq g.m core, ~60 at 40% TW) * CA-24-07 at 9.20 m @ 10.34 g/t Au, 1,671 g/t Ag, 4.0% Cu (≈260 AuEq g.m) * CA-25-19 at 1.10 m @ 49.52 g/t Au, 11,597 g/t Ag, 11.13% Cu (≈139 AuEq g.m)

The stock is trading at C$0.23, down 12% from the 15 September 2026 drill release of C$0.26, down 23% from C$0.30 a year ago, 42% below the 26 January 2026 high of C$0.40, and only 35% above the 29 June low of C$0.17. The August 2026 pop from C$0.23 to C$0.28 tracked the Portachuelos permit and has fully round-tripped. The market is pricing the delayed plant, liquidity, and dilution rather than drill repetition.

Comparing CA-26-35 to the anchor results, the new interval represents roughly 46% of the anchor's AuEq gram-metres (80 vs ~150–260 core) at roughly a fifth to a sixth of the grade (4.19 vs 21–28 g/t AuEq). This is offset by approximately three times the core length and ~7.7 m true width versus ~2.4 m. The result features substantially worse grade but materially better width. Because the anchor is not embedded in the current price, the weaker delta is not a material negative, but the upside rule does not fire as the result is not materially better than anything previously demonstrated. The release is an incremental near-mine result that will feed a resource update, with two wide Callanquitas East intervals falling below the company's own cut-off.

PPX Mining Corp., a Toronto-domiciled company listed on the TSXV and BVL, holds all its assets in northern Peru. Its flagship asset is the 100%-owned Igor Project in eastern La Libertad, comprising more than 1,400 hectares of claims and 409 hectares of key surface rights, with a plant site situated at approximately 3,500 meters elevation. The company’s revenue model relies on a 75% net profit interest in the Callanquitas mine, which is operated by partner Proyectos la Patagonia S.A.C. (PLP). PPX does not operate the mine itself. While gross profit at the mine level is shared, the new on-site plant is expected to lift the net profit interest margin toward 80%.

Currently, underground mining targets the Callanquitas East oxide/mixed vein. Ore is trucked approximately 600 kilometers to a third-party processing facility while the on-site plant is completed. The new facility features a 350 tpd dual CIL and flotation circuit, targeting recoveries of approximately 88%, up from the current ~80%. Transport costs are expected to fall from approximately US$35/t to ~US$3/t, and processing costs are projected to decrease by approximately 50%. Mechanical completion is targeted for Q4 2026. Commissioning was delayed in May 2026 pending a stakeholder working group with the Municipality of Huaranchal and the Regional Government of La Libertad.

An NI 43-101 resource report updated in February 2024 covers Callanquitas West only, using a 2.00 g/t AuEq cut-off with gold at US$1,800/oz and silver at US$20/oz. The resource includes:

• 663,700 tonnes Oxide Measured & Indicated @ 4.70 g/t AuEq (100,290 oz AuEq)
• 528,500 tonnes Oxide Inferred @ 4.40 g/t AuEq
• 231,400 tonnes Sulfide Inferred @ 4.63 g/t AuEq (34,450 oz)
• Total: 759,000 tonnes / 209,500 oz AuEq

The report discloses no reserves, no preliminary economic assessment, and no NPV, IRR, capex, AISC, or mine life data.

Exploration for 2026 includes a program of approximately 9,500 meters across Callanquitas underground (~4,800 meters, covering the Tension vein and Callanquitas East) and Portachuelos, which has 10,315 meters permitted over 58 holes using two rigs over 20 months. A 2027 chamber is planned to improve intercept angles.

The company’s capital structure consists of 906.4 million shares, 123.1 million warrants, 50.5 million options, 2.7 million RSUs, 1.4 million DSUs, and 60.8 million RIVI convertible shares, resulting in a fully diluted count of approximately 1.145 billion. This represents roughly a 27% overhang on the basic count. Warrants are priced at C$0.289 and options at C$0.295, both sitting above the current C$0.23 share price.

Strategic partner Glencore holds a 9.99% stake, consisting of 84,056,387 units acquired at C$0.237 for a gross C$19.92 million in December 2025. Glencore holds one board seat, top-up rights to 19.99%, and a life-of-mine offtake agreement for 100% of Igor precious-metals concentrates, excluding doré. A minimum of 75% of proceeds from the offtake are earmarked for exploration, permitting, community initiatives, and sulfide development, while up to 25% may be used for plant construction and working capital.

Other obligations include a RIVI 5.00% secured convertible debenture with approximately US$2.43 million remaining, a maturity extended to 31 December 2026, and a conversion price of US$0.04/share. A silver royalty is now at 15% following a US$2.47 million Silver Crown Royalty transaction. Additionally, there is a gold streaming arrangement with RIVI, with a stream expense of C$6.0 million for the nine months ended 30 June 2026.

Management includes Ernest Mast as President & CEO, appointed in January 2026, with prior experience at Primero, Cygnus, and Doré. John Thomas serves as COO overseeing plant construction, Pompeyo Gallardo is CFO, and Marcial Gutierrez is General Manager and geologist. Dr. Warren Pratt serves as technical advisor and qualified person, credited with the Callanquitas discovery. Brian Imrie is Chairman, having stepped down from his executive role in February 2026.