Colibri Resource Commences Drilling at EP Gold Project, Sonora, Mexico

The most recent news release, dated December 8, 2025, announces that Colibri Resource Corporation has commenced drilling at its flagship EP Gold Project in Sonora, Mexico. A reverse circulation drill rig is on site, crews have been mobilized, and the first holes are now being drilled. The company's President & CEO, Ian McGavney, stated that the start of drilling is an "important catalyst" for building exploration momentum and marks a decisive move into "execution mode."

The commencement of drilling at the EP Gold Project is a positive operational step, confirming the company is moving forward with its stated exploration plans. However, this development is a direct follow-up to previous announcements, specifically the engagement of CANMEX Perforaciones y Servicios SA de CV for drilling at EP (November 3, 2025 news) and the successful closing of an over-subscribed non-brokered private placement (summarized November 14, 2025, with tranches closing November 3 and November 7, 2025). The financing, totaling approximately C$1.49 million, was explicitly stated to be for "exploration at Mexican gold projects" including EP, and "general working capital."

Therefore, while the start of drilling is a welcome sign of execution, it does not represent new material information beyond what was already expected. The market would have likely priced in the anticipation of this drilling following the successful financing and contractor engagement. The news confirms that the company is adhering to its timeline for the EP project, but it does not significantly exceed expectations or introduce a new game-changing element.

From a financial perspective, the C$1.49 million private placement closed in November 2025 provides much-needed capital. The September 30, 2025, interim financial statements show an extremely low cash balance of $6,734 and a significant negative working capital of approximately -$1.84 million. The net proceeds from the financing (after C$71,504 in finder's fees) of roughly C$1.418 million would bring the cash balance to around C$1.425 million, which is a critical improvement but still modest given the burn rate. A portion of these funds will likely address existing liabilities and debt conversions as previously outlined in the financing details, rather than being entirely fresh capital for new initiatives.

The company's strategy of funding exploration through recurrent private placements and debt conversions highlights its ongoing need for external capital to sustain operations and advance projects. The EP drilling is funded by this recent capital infusion, maintaining short-term operational continuity.

Colibri Resource Corporation is a mineral exploration company focused on acquiring, exploring, and developing prospective gold and silver properties in Mexico. The company's primary assets are:

• EP Gold Project (100% owned): Located in the Caborca gold belt, Sonora, Mexico, covering 4,766 hectares. It shares geological characteristics with nearby significant gold operations. Exploration has included over 12,000 meters of drilling and over 2,500 surface samples. Only three of 10 high-priority targets have been drill-tested, indicating significant remaining exploration upside. The current news relates to new drilling at this project.
• Pilar Gold-Silver Project (49% Joint Venture): Located in Sonora, Mexico, operated by Tocvan Ventures Corp. (51%). It is characterized as a shallow oxide gold system with a 1.2-kilometer northwest-southeast trending mineralization. Extensive drilling (over 24,000 meters) and surface work have been completed. A 1,400-tonne bulk sample in 2023 yielded an average head grade of 1.9 g/t gold with 62% heap leach recoveries. Permitting for a 50,000-tonne pilot mine facility has been secured by the operator, aiming for a maiden resource estimate and PEA.
• Diamante Gold-Silver Project (100% owned): Also in Sonora, Mexico, acquired 100% ownership in May 2025. This project hosts a high-grade, multi-target epithermal system within a known epithermal mineralization district.
• Jackie Project (1% NSR royalty): Colibri divested its 50% interest in May 2025, retaining a 1% Net Smelter Return (NSR) royalty on future production.

The company's strategy involves advancing these projects, particularly EP and Pilar, through exploration and potential development stages, while also strengthening its balance sheet and increasing market awareness.