Gold Basin hopes shareholders will reject Canex offer

Executive Summary

• Gold Basin Resources Corp. is actively resisting a hostile takeover bid from Canex Metals Inc., urging shareholders to reject the offer as undervalued and encouraging those who have already supported it to revoke their support.
• The company has outlined a unified strategy to resume trading and revalue the business, centered on delivering a maiden resource estimate for its Gold Basin project in Arizona in early 2026.
• Andrew Mendelawitz has been appointed as a non-executive director to support the current board's strategy and strengthen investor relations, with two of the three directors now being independent.

Key Details

• Hostile Takeover Defense: The board of Gold Basin Resources asserts that Canex Metals Inc.'s offer significantly undervalues the Gold Basin project's mineral endowment. They argue Canex's share price is artificially inflated based on the hope of securing Gold Basin, whereas it would be much lower based solely on Canex's own assets.
• Shareholder Action: The largest shareholders of Gold Basin have committed to rejecting the Canex offer. The board is confident the takeover will be defeated and encourages investors to contact the company to assert commitment and revoke any prior support for the Canex bid.
• Strategic Plan: The board and major shareholders are unified behind a strategy to maximize asset potential, which includes:
  • Delivering a maiden resource estimate in early 2026.
  • Expanding the resource with new drilling campaigns focused on extensional drilling to add economically viable ounces.
  • Delivering a preliminary economic assessment (PEA).
  • Resuming trading as soon as practicable.
• Maiden Resource Estimate: Partner Helix Resources (ASX-listed) has engaged an independent mining consultancy to deliver the maiden resource estimate for the Cyclopic and Stealth deposits. Work began in December 2025 and resumed after the holiday break.
• Board Appointments: Andrew Mendelawitz joined as a non-executive director. His appointment ensures two of the three directors are independent. He has a history with the company, having handled investor relations and communications with the Australian and New Zealand shareholder base for three years.
• Project Details: The Gold Basin project is a 42-square-kilometre site in Mohave County, Arizona, featuring shallow oxide gold mineralization striking over seven kilometres. It is accessible via Highway I-93 and has high-power electrical lines from the Hoover Dam crossing the southern area.

Notable Quotes

• "The board of Gold Basin Resources vigorously asserts that shareholders must reject the hostile takeover by Canex Metals Inc. because it significantly undervalues the mineral endowment of the Gold Basin project..."
• "Gold Basin's technical team considers that the mineral tenements held by Canex hold meagre economic potential, and will not add either significant mineral resources or economies of scale if combined with the Gold Basin project."
• "Andrew Mendelawitz has joined the company as a non-executive director. He provides his full support to the revised and strengthened strategy, and rejects the hostile Canex bid."