Medaro Announces Agreement to Option Ontario Mineral Property

Executive Summary

• Medaro Mining entered into an assignment agreement to purchase the option for a 100 % interest in the Clay Howells mineral claims, paying $35,000 cash and issuing 150,000 common shares to the Assignor.
• Additional share issuances of 119,047 common shares (valued at $50,000) will be made to the Optionors, with further cash payments of $20,000 (by 8‑13‑2026), $30,000 (by 8‑13‑2027) and $38,000 (by 8‑13‑2028) required to complete the option exercise.
• The Optionors will retain a 1.5 % net smelter returns royalty, which Medaro may reduce to 1.0 % by paying a one‑time $500,000 for one‑third of the royalty; all issued shares are subject to a four‑month statutory hold period.

Key Details

• Agreement Date: January 12, 2026
• Cash Consideration (Initial): $35,000 payable to Assignor.
• Share Issuance (Initial): 150,000 Medaro common shares issued to Assignor.
• Additional Share Issuance to Optionors: 119,047 common shares (aggregate value $50,000) to satisfy share‑issuance obligation under the option exercise.
• Future Cash Payments Required for Exercise:
• $20,000 due on or before August 13, 2026
• $30,000 due on or before August 13, 2027
• $38,000 due on or before August 13, 2028
• Royalty Terms: Optionors retain a 1.5 % net smelter returns royalty; Medaro may purchase one‑third of this royalty (leaving 1.0 % for Optionors) for a one‑time $500,000 payment.
• Statutory Hold: All shares issued under the agreement are subject to a four‑month hold period from issuance date.
• Regulatory Condition: Transaction remains subject to approval by the Canadian Securities Exchange (if required).

Notable Quotes

• “The Clay Howells Project represents an attractive opportunity for future exploration and development, especially given recent increases in rare earth prices,” – Mark Ireton, CEO & Director.