Greenland Resources to receive 500,000-euro funding

Mr. Ruben Shiffman reports GREENLAND RESOURCES ANNOUNCES FINANCING FROM EIT RAWMATERIALS, WHICH IS CO-FUNDED BY THE EU Greenland Resources Inc. has entered into an agreement with EIT RawMaterials GmbH, a public-private partnership co-funded by the European Union under Horizon Europe, the EU's key funding program for research and innovation, pursuant to which EIT RawMaterials has agreed to provide 500,000 euros (approximately $815,000) in funding to the company pursuant to certain arrangements for the issuance of common shares as further described in this press release. In addition, the company intends to complete a non-brokered private placement of up to 112,122 company shares at a price of $1.65 per company share for aggregate gross proceeds to the company of up to approximately $185,000. The offering remains subject to Cboe approval and is expected to close on or around Nov. 20, 2025. The company has also made applications for further funding from other Horizon Europe supported programs with which it would aim to fulfill a significant portion of the equity part of the Malmbjerg project's capital expenditures. The funding from EIT RawMaterials will be used to test, using innovative technologies, the extraction of magnesium from process saline water used at the company's Malmbjerg molybdenum project in Greenland. Magnesium is listed as a critical raw material under the EU's Critical Raw Materials Act. Most of the magnesium is produced from sea water, and approximately 87 per cent of global supply and 95 per cent of European consumption are currently sourced from China. In June, 2025, the company received a 30-year exploitation licence for molybdenum and magnesium at Malmbjerg. The company is in the process of selecting certain existing core which is stored in the government of Greenland Kangerlussuaq core shed, shipping the core to Nuuk to be sampled before transporting the samples to Canada for metallurgical testing. Bernd Schafer, chief executive officer and managing director, EIT RawMaterials, said: "Magnesium is mission-critical for Europe's competitiveness -- from lightweight mobility to defence -- and yet the EU depends on China for nearly all its supply. This dependence threatens the stability of core industrial sectors such as aluminum, where magnesium is an essential alloying element that underpins our transport, energy and manufacturing value chains. As Europe's flagship public-private partnership in the raw materials sector, we are backing practical innovations that add new European tonnage with a smaller carbon footprint. Our investment in Greenland Resources is a strategic response to the global race to secure critical raw materials, unlocking value from innovation and accelerating the CRMA goals to diversify supply and strengthen resilience for European industry." Ruben Shiffman, executive chairman of the company, stated: "The equity investment from EIT RawMaterials, funded by Horizon Europe, will not only allow us to continue our work on magnesium using innovative low carbon technologies, but it also sets an important execution precedent for further EU strategic investments and proves that EU public funding can be invested in our Greenlandic subsidiary and swapped to our listed parent company. Our company has applied for significantly larger amounts from EU programs also funded by Horizon Europe and other EU sovereign states aiming to finance the equity portion of the capex." The financial sustainability agreement and put and call agreement The investment by EIT RawMaterials is being made as the acquisition of shares in Greenland Resources A/S, a wholly owned Greenlandic subsidiary of the company. The subsidiary securities are convertible into common shares of the company through put and call options exercisable by the company or EIT RawMaterials at any time before six months after signing pursuant to a put and call agreement, which the company and EIT RawMaterials have entered into in accordance with the financial sustainability agreement. Pursuant to the financial sustainability agreement, GRAS will test the extraction of magnesium from process water at the company's Malmbjerg molybdenum project in Greenland, with eligible costs of up to 500,000 euros therefor to be funded by EIT RawMaterials. Of this amount, at least 75 per cent (375,000 euros) is to be advanced immediately, and the rest, if any, shall be payable upon approval by EIT RawMaterials of a final project report and final financial report, which must be submitted by GRAS no later than one month after the end of the funded project. The subsidiary securities, subject to Cboe approval, are convertible through the options into company shares carrying an aggregate value of 500,000 euros. The option exercise with respect to the initial funds is intended to occur contemporaneously with the closing of the offering, on or around Nov. 20, 2025. Provided that the initial conversion occurs within 45 days of the date hereof, it will occur at an agreed deemed issue price of $1.65 per company share. If the total funding of 500,000 euros is advanced as initial funds, such that there will be no remaining funds, the company will issue pursuant to the initial conversion 493,939 company shares at a price of $1.65 per company share for gross proceeds to the company of $814,999.35. If there are remaining funds to be advanced and the options in respect of the same are exercised more than 45 days after date hereof, the number of company shares to be issued to EIT RawMaterials in respect of the remaining funds shall be determined by dividing the amount of remaining funds (converted to Canadian dollars at the then current exchange rate) by the volume-weighted average trading price of a company share on the Cboe during the 20 consecutive trading days ending on the most recent trading day prior to the date of the notice of exercise of the option, subject to a minimum deemed issue price of $1.65 per company share. About Greenland Resources Inc. Greenland Resources is a Canadian public company with the Ontario Securities Commission as its principal regulator and is focused on the development of its 100-per-cent-owned climax-type primary molybdenum deposit located in central-east Greenland. The project has also magnesium as a byproduct, a market dominated 89 per cent by China. The Malmbjerg project is an open-pit operation with an environmentally friendly mine design focused on reduced water usage, low aquatic disturbance and low footprint due to modularized infrastructure. The Malmbjerg project benefits from a National Instrument 43-101 definitive feasibility study completed by Tetra Tech in 2022, with $820-million (U.S.) in capital expenditures, a levered after-tax internal rate of return of 33.8 per cent and a payback of 2.4 years, using an $18 (U.S.) per pound molybdenum price. The proven and probable reserves are 245 million tonnes at 0.176 per cent MoS2, for 571 million pounds of contained molybdenum metal. As the high-grade molybdenum is mined for the first half of the mine life, the average annual production for years one to 10 is 32.8 million pounds per year of contained molybdenum metal at an average grade of 0.23 per cent MoS2, approximately 25 per cent of EU total yearly consumption and 100 per cent of EU defence needs. On byproduct magnesium, the project uses approximately 35,000 cubic metres per day of saline water with around 900 parts per million of magnesium, and the company is working on extracting magnesium from the saline water using innovative technologies. In addition, the molybdenum concentrate has a magnesium component. The company is aiming to incorporate magnesium in the economics of the feasibility study. On June 19, 2025, the company was awarded an exploitation licence for molybdenum and magnesium. With offices in Toronto, the company is led by a management team with an extensive record in the mining industry and capital markets. The project is supported by the European Raw Materials Alliance. ERMA is managed by EIT RawMaterials, an organization within the EIT, a body of the European Union. We seek Safe Harbor.