Puma closes sale of Turgeon project to Raptor

Executive Summary

• Puma Exploration Inc. has finalized the sale of its Turgeon project to Raptor Resources Ltd. as part of a broader transaction involving Puma, Canadian Copper Inc., and Raptor regarding both the Chester and Turgeon projects.
• The total consideration for the Turgeon project sale includes a cash payment of $391,631 and 18.75 million shares of Eastern Metals Ltd. (to be renamed Raptor Metals Ltd.).
• Puma retains significant equity stakes in related entities, including Eastern Metals and Canadian Copper, and is planning the potential public listing of its Murray Brook Minerals subsidiary.

Key Details

• Transaction Structure: The sale of the Turgeon project is part of a broader transaction involving Puma Exploration Inc., Canadian Copper Inc., and Raptor Resources Ltd. (Raptor) concerning both the Chester and Turgeon projects.
• Consideration for Turgeon Project:
  • Cash payment: $391,631.
  • Equity: 18.75 million shares of Eastern Metals Ltd.
• Combined Consideration (Chester + Turgeon):
  • Total cash payments received by Puma: $970,023.
  • Equity holdings received: 23,951,040 shares of Eastern Metals Ltd.
  • Performance rights: 9,101,799 performance rights issued by Eastern Metals to Puma, which convert into shares (nil cash consideration) subject to milestone satisfaction.
• Background on Eastern Metals/Raptor:
  • On Jan. 7, 2026, Eastern Metals Ltd. (to be renamed Raptor Metals Ltd.) announced the acquisition of ~94.7% of Raptor shares and completed a $5-million (Australian) public offering.
  • Eastern Metals has begun the compulsory acquisition process for remaining Raptor shares.
  • Eastern Metals securities were reinstated to quotation on the Australian Securities Exchange on Jan. 9, 2026.
• Puma’s Current Shareholdings (Post-Transaction):
  • Canadian Copper: 10,001,968 shares (trading at 56 cents; value ~$5.6 million).
  • Eastern Metals (Raptor Metals): 23,951,040 shares (trading at 4 Australian cents; value ~$958,000 AUD).
  • BWR Exploration Inc.: 2.7 million shares (trading at 2 cents; value $54,000).
  • Murray Brook Minerals: 23,644,165 shares (privately held; Puma owns 84% stake).
• Dividend Distribution: Puma previously distributed 5,635,905 shares of Canadian Copper to its shareholders (excluding U.S. shareholders) in anticipation of its public listing.
• Future Corporate Actions: Puma is actively planning the formation and potential public listing of a new exploration company derived from its wholly owned subsidiary, Murray Brook Minerals Inc., focusing on critical minerals. This transaction is currently conceptual with no certainty of completion.
• Royalty Portfolio: Puma maintains the following Net Smelter Return (NSR) royalties:
  • 2% NSR on Murray Brook West.
  • 2% NSR on Chester West.
  • 1% NSR on Nicholas-Denys.
  • 1% NSR on Beresford Copper.
  • 2% NSR on Little Stull Lake.
• Asset Updates:
  • Williams Brook project was optioned to Kinross Gold in October 2024.
  • Puma continues to hold prospective gold landholdings in northern New Brunswick, including the McKenzie gold project.

Notable Quotes

• "Since 2019, Puma has pursued its DEAR corporate strategy -- discovery, exploration, acquisition and royalties -- to innovate in capital raising and minimize share dilution."
• "As a result thereof, Puma has received: 16,001,968 shares of Canadian Copper... 23,951,040 shares of Eastern Metals and 9,101,799 performance rights of Eastern Metals; $970,023 in cash payments under the Raptor and Canadian Copper transactions."