Homerun enters sixth settlement under Sorbie deal

• Event: Sixth monthly settlement under the Sorbie Bornholm LP financing agreement.
• Date: May 19, 2026 (Settlement Date: May 11, 2026).
• Proceeds: Gross proceeds of $180,880.22 received by the company.
• Equity Issuance: Release of 269,167 shares from escrow and issuance of 186,667 warrants from treasury.
• Warrant Terms: Exercise price of $1.01 with expiry on May 12, 2029.
• Context: Part of the previously announced $6-million financing agreement originally closed in December 2025.
• Transaction Price: Effective price per share calculated at 67.2 cents (based on transaction price of 84 cents).

• Financing Continuity: The settlement confirms the institutional financing line remains active and liquid, providing essential working capital for ongoing development. This is consistent with previous monthly settlements (e.g., April 9, March 10), indicating no disruption in the funding stream.
• BFS Context: While this news is routine, it follows closely on the heels of a highly material Bankable Feasibility Study (BFS) announcement on May 12, 2026, which projected $670 million NPV and 20.2% IRR for the solar glass plant.
• Market Reaction: Despite positive BFS results and continued financing settlements, the stock price has declined from a high of $1.34 in June 2025 to $0.86 as of May 19, 2026. This divergence suggests market skepticism regarding the execution risk or the massive CAPEX funding gap ($396 million estimated) versus current raised capital (~$10 million total).
• Dilution: The issuance of warrants (186,667 units) adds to the existing overhang from previous financings. While cash is received, the effective price per share (67.2 cents) is below the recent trading range ($0.86-$0.99), indicating potential downward pressure on valuation metrics if this trend continues.
• Verdict: The news itself is positive for liquidity but does not alter the fundamental investment thesis established by the BFS. It is a maintenance event rather than a value-accretive catalyst in isolation.

• Core Business: Homerun Resources focuses on high-purity silica sand extraction in Brazil (Santa Maria Eterna district) with a vertical integration strategy into solar glass manufacturing and energy storage solutions.
• Flagship Project: The Solar Glass Manufacturing Plant in Belmonte, Bahia, Brazil.
  • Capacity: 1,000 tonnes per day (approx. 365,000 tonnes/year).
  • Product: Antimony-free, high-purity solar glass targeting the Brazilian and international photovoltaic markets.
  • Status: Bankable Feasibility Study completed with positive economics; permits secured for silica mining; land acquisition finalized.
• Secondary Ventures: Perovskite PV technology (Homerun Energy), AI Energy Management Systems ("The Hub"), and Silicon Carbide synthesis partnerships.