Collective Metals signs LOI for 75% interest in Rocas

Executive Summary

• Collective Metals Inc. has signed a non-binding Letter of Intent (LOI) to acquire a 75% interest in the Rocas Uranium Project from Standard Uranium (Saskatchewan) Ltd. and Standard Uranium Ltd.
• The project is located in the eastern Athabasca basin, featuring 4,002 hectares with 7.5 km of exploration strike length along a magnetic-low trend coincident with EM conductors.
• The acquisition is structured as a three-year earn-in option requiring cash payments, share issuances, and specific exploration expenditures, culminating in a 75/25 equity split and a 2.5% NSR royalty.

Key Details

• Transaction Structure: Non-binding LOI dated Sept. 17, 2025, for an option to acquire 75% of the Rocas project; optionors retain 25% and a 2.5% Net Smelter Return (NSR) royalty.
• Project Location & Size: 4,002 hectares located 75 km southwest of Key Lake mine/mill facilities and ~72 km south of the Athabasca basin margin.
• Geological Highlights:
  • 7.5 km of exploration strike length along a northeast-southwest magnetic-low trend.
  • Coincides with EM conductors and crosscutting faults.
  • Uranium mineralization identified at surface via grab samples grading up to 0.50 wt% U3O8 over ~900 meters of strike length.
  • Historical occurrences have never been drill tested.
• Recent Exploration Data:
  • 2024 high-resolution ground gravity survey completed by MWH Geo-Surveys.
  • Convolutions Geoscience completed 3-D modeling and inversion, identifying four new high-priority drill target zones based on low-gravity anomalies, historical surface mineralization, geochemical anomalies, and structural corridors.
• Earn-In Terms (Three-Year Option):
  • Operator: Optionors act as operator prior to option exercise.
  • Management Fee: 10% on expenditures in Year 1; increases to 12% in Years 2 and 3.
  • Consideration: Cash payments, share issuances, and incurred exploration expenditures (specific amounts referenced as detailed in an attached table not provided in text).
  • Equity Split: Upon completion of obligations at end of Year 3, Collective Metals acquires 75%; optionors retain 25%.
  • Royalty: 2.5% NSR royalty on the project.
  • Royalty Buyback: 1.0% of the NSR may be purchased back for a one-time cash payment of $1 million.
• Joint Venture: Parties intend to form an unincorporated joint venture for further development.
• Fees: No finder's fee payable by Collective Metals.

Notable Quotes

• "We are thrilled to announce the acquisition of the Rocas uranium project, located in the renowned Athabasca basin, which plays a major role in Canadian uranium exploration and production. With more than 7.5 kilometres of strike length, uranium mineralization identified at surface and newly defined high-priority exploration targets, we are fortunate to be able to further investigate the project." — Christopher Huggins, CEO