Giant Mining to sell 160 shares of Premium Exploration

Executive Summary

• Giant Mining Corp. has entered into a share purchase agreement to sell a 16% interest in Premium Exploration (USA) Inc. to Sovereon Gold Corp. for $1,000,000 USD.
• The transaction will be settled via a secured promissory note bearing 6% annual interest, maturing 18 months from issuance, with the subject shares pledged as collateral to guarantee repayment.
• The deal strategically monetizes the non-core Friday gold project in Idaho while providing downside protection, with proceeds earmarked to strengthen Giant Mining's financial position and fund advancement of its flagship Majuba Hill project.

Key Details

• Transaction Structure: Share purchase agreement dated March 6, 2026, for the sale of 160 common shares representing 16% of the issued and outstanding shares of Premium Exploration (USA) Inc.
• Counterparties: Seller: Giant Mining Corp. | Buyer: Sovereon Gold Corp.
• Consideration: $1,000,000 USD.
• Payment Terms: Sovereon will satisfy the purchase price by issuing a secured promissory note to Giant Mining.
• Note Maturity & Interest: The note matures 18 months from the date of issuance (March 6, 2026) and bears interest at 6% per annum, payable on the maturity date.
• Security/Collateral: Giant Mining holds a security interest in the subject shares pursuant to a share pledge agreement; the shares are pledged, mortgaged, charged, and assigned in favor of Giant Mining until all repayment obligations are fully satisfied.
• Asset Sold (Friday Gold Project): Premium Exploration (USA) Inc. holds a 100% interest in the project, located in the historic Orogrande mining district in Idaho, approximately 16 km SSW of Elk City.
• Resource Estimate: NI 43-101 mineral resource of approximately 1.24 million ounces of gold in indicated and inferred categories, based on prior drilling and technical studies.
• Exploration History: Over 85,000 feet of historical drilling completed; property remains open for expansion in multiple directions with strong potential for further resource growth.
• Metallurgy & Jurisdiction: Metallurgical testing demonstrates favorable gold recoveries; project is situated in a well-established, mining-friendly jurisdiction with a long history of gold production.
• Strategic Rationale: Monetization of a non-core asset while maintaining downside protection through a secured structure; proceeds will strengthen Giant Mining's balance sheet to focus on advancing the Majuba Hill copper, silver, and gold district project.

Notable Quotes

• David C. Greenway, President and CEO: "This transaction represents a strategic monetization of a non-core asset while maintaining downside protection through a secured structure. The proceeds strengthen our financial position and allow us to remain focused on advancing our flagship Majuba Hill project, where we see significant potential to deliver long-term value for our shareholders."