EDM Resources adds $900,000 to treasury

Executive Summary

• EDM Resources Inc. has strengthened its financial position by adding approximately $900,000 to its treasury through the partial monetization of its Silver Crown Royalties Inc. (SCRi) holdings and the cash exercise of outstanding warrants.
• The company sold 20,000 common shares of SCRi, generating approximately $400,000 in non-dilutive proceeds, while retaining 40,000 common shares and 60,000 warrants in the royalty company.
• The remaining SCRi holdings are estimated to have a current market value of approximately $700,000, providing continued upside exposure to silver prices.

Key Details

• Total Treasury Increase: Approximately $900,000 added to the company's treasury.
• SCRi Asset Sale:
  • Sold 20,000 common shares of Silver Crown Royalties Inc. (SCRi).
  • Generated approximately $400,000 in non-dilutive proceeds.
  • SCRi is a publicly traded royalty company focused on silver royalty interests.
• Remaining SCRi Holdings:
  • EDM retains 40,000 common shares and 60,000 warrants of SCRi.
  • Estimated current market value of remaining 40,000 SCRi common shares is approximately $700,000.
  • The 60,000 SCRi warrants provide additional potential upside subject to market conditions.
• Warrant Exercise:
  • Cash exercise of outstanding EDM warrants contributed approximately $500,000 to the treasury.
• Strategic Impact:
  • The capital strengthens financial flexibility to advance key milestones at the Scotia mine.
  • Planned activities include final permitting, gold exploration, updated mineral resource work, and development initiatives.
  • The strategy preserves meaningful upside exposure to silver through remaining SCRi holdings while reducing operating risk.

Notable Quotes

• "Together with the partial exercise of warrants and monetization of our Silver Crown position, we added approximately $900,000 to the company's treasury. This materially strengthens our balance sheet while preserving meaningful upside exposure to silver through our remaining SCRi holdings. We are well positioned to advance key milestones at the Scotia mine." — Mark Haywood, President and CEO