Troilus Drills 1.33 g/t AuEq Over 34 m Including 3.08 g/t AuEq Over 12 m in the Previously Unmineralized Z87 Hangingwall

Troilus Mining Corp. (TLG) has released the fifth batch of results from its Z87 "optimization" programme, comprising eight holes totaling 3,195 meters, all collared at the Z87 reserve pit with dips ranging from -53° to -60°. This disclosure brings the cumulative total to 47 holes and 17,716 meters, completing the company’s approximately 22,800-meter programme.

The reported intercepts, stated as core length and uncut with no cutoff grade provided, include the following:

• 87-26-524: 1.33 g/t AuEq (1.29 g/t Au, 0.45 g/t Ag, 0.03% Cu) over 34 m from 207 m, including 3.08 g/t AuEq (3.04 g/t Au) over 12 m from 218 m — Z87 hangingwall, described as "previously unmineralized" in the block model.
• 87-26-524 (main zone, Inferred material): 0.78 g/t AuEq over 131 m from 435 m, including 1.41 g/t AuEq over 42.4 m, including 2.06 g/t AuEq over 20 m and 3.27 g/t AuEq over 5 m.
• 87-26-536: 1.09 g/t AuEq (0.88 g/t Au, 3.36 g/t Ag, 0.13% Cu) over 59.5 m from 485.5 m, including 2.32 g/t AuEq over 11 m — approximately 50 m below the reserve pit.
• 87-23-455-EXT26: 0.79 g/t AuEq (0.61 g/t Au, 0.12% Cu) over 71 m from 514 m, including 1.23 g/t AuEq over 21 m — base of the reserve pit.
• 87-26-538 returned 73 m at 0.35 g/t AuEq; 87-26-540 returned 59 m at 0.82 g/t AuEq (incl. 12 m at 1.88); 87-26-537 and 87-26-539 produced only narrow, sub-0.6 g/t AuEq intervals (>12 m at 0.24 and 0.26 g/t AuEq respectively).

True thickness is stated at 75–90% of drilled length. The 2026 drilling is explicitly excluded from the December 31, 2025 resource/reserve estimate and from the September 9, 2026 technical report. No cut-off grade is disclosed for the intercepts.

Troilus Mining Corp. (TLG) is a development-stage company, distinct from grassroots explorers or producers. Its equity, valued at C$888 million at C$1.60 per share, is priced based on a completed technical study that outlines a US$3.2 billion after-tax NPV(5%), 22% IRR, and a 3.6-year payback period. The project requires US$1.428 billion in capital expenditure over a 26-year life at a 50,000 tonnes per day (ktpd) rate. Financing is supported by a US$850 million credit-approved portion of a US$1.1 billion debt package, alongside US$121.6 million in cash at July 31, 2026. At this stage, drill results are material only if they measurably change reserves, mine life, or capital intensity. This release does not trigger such changes; the holes are excluded from the current estimate and will feed a future model update.

The relevant anchor for Z87 infill is reserve and resource grade, against which the results are at or above grade over meaningful widths, serving as a confirmation. As a secondary check on the recent drilling narrative, the best prior Z87 intervals include 129.05 m @ 0.95 incl. 22 m @ 3.38, 164 m @ 0.95, 157.5 m @ 0.95, and 103 m @ 1.10. These are modestly superior to this batch's best intercepts of 131 m @ 0.78 incl. 42.4 m @ 1.41 and 12 m @ 3.08. The difference is a matter of pit position and hole orientation on a bulk shell, not degraded grade substance.

The stock has round-tripped from its August 27 high of C$2.37 to C$1.60, a 32% drawdown, and trades near the lower half of its 52-week range of C$1.26–2.37. The market is currently pricing financing, permitting, and construction risk, not Z87 drilling. There is no embedded "next hole must repeat" premium to disappoint. An incremental infill batch that will not enter a reserve statement for months cannot re-rate the stock. The realistic price impact is in the low single digits.

The results strengthen the case that the September technical report is conservative on the Z87 hangingwall and immediately below the pit floor. This supports a possible strip-ratio improvement from 2.4:1, reserve conversion, a slightly larger pit, and better early-year mill feed. This represents a genuine but second-order NPV adjustment on a US$3.2 billion study. Low-grade remainder holes, including 537, 539, and 73 m @ 0.35 in 538, temper the claim that the hangingwall is broadly mineralised.

Troilus Mining Corp. (TSX: TLG; OTCQX: CHXMF; FSE: CM5) is a Canadian development-stage company advancing the former Troilus gold-copper mine in north-central Québec, within the Frôtet-Evans greenstone belt. The company holds a 435 km² land package, supported by a September 2026 NI 43-101 technical report that outlines a 26-year, 50,000 tpd open-pit operation.

The project’s Proven and Probable (P&P) reserves total 478 Mt at 0.44 g/t Au, 0.05% Cu, and 0.92 g/t Ag, containing 6.7 moz Au, 568 Mlb Cu, and 14.2 moz Ag. Measured and Indicated resources stand at 810.2 Mt at 0.39 g/t Au, with an additional 182.5 Mt in the Inferred category. Life-of-mine payable production is estimated at approximately 5.63 moz Au, 472 Mlb Cu, and 10.88 moz Ag.

Initial capital expenditure is estimated at US$1.428B (AACE Class 3), with a life-of-mine all-in sustaining cost (AISC) of approximately US$1,340/oz. At gold prices of US$3,600/oz and copper prices of US$5.00/lb, the project yields an after-tax NPV(5%) of US$3.2B, a 22% internal rate of return (IRR), and a 3.6-year payback period.

Infrastructure plans include a 70 MW Hydro-Québec allocation and 107 km of existing 161 kV line to the site. The company has received Québec "Filon" permitting support, and the environmental and social impact assessment (ESIA) was submitted in June 2025.

Financing includes a US$1.1B package, comprising a US$850M credit-approved commitment from KfW IPEX-Bank and Société Générale, with a US$250M Export Development Canada (EDC) portion pending. A US$132M letter of intent (LOI) from Finnvera is also in place. The company has signed offtake memorandums of understanding (MoUs) with Aurubis and Boliden, and selected Metso for the crushing and grinding package.

As of the fiscal year ended July 31, 2026, the balance sheet shows C$121.6M in cash, C$150.7M in total assets, C$27.3M in total liabilities, and C$123.4M in equity. The company holds no debt and reports a working capital position of C$109.3M. For FY2026, the company recorded a net loss of C$82.7M (EPS -C$0.16) and an operating cash outflow of C$73.2M, largely driven by C$67.3M in exploration and evaluation expenditures.