Steppe Gold Announces Corporate Update, Strong Fourth Quarter Production

Executive Summary

• Q4 2025 gold production of 29,280 oz exceeded guidance (23,000 oz) and contributed to an estimated full‑year output of ~76,000 oz.
• The Company’s subsidiary Boroo Gold LLC extended the maturity of all outstanding intercompany bonds to 31 Dec 2026; terms otherwise unchanged.
• Steppe Gold entered a royalty buyback option agreement for a 0.25% NSR on the Alturas Project in Chile, giving it the right to purchase the royalty for US$7.5 million during a 30‑day window beginning 7 Nov 2029.

Key Details

• Fourth Quarter Production
• Gold produced: 29,280 oz (vs. guidance of 23,000 oz).
• Unaudited gold sales for Q4: 37,357 oz.

• Full‑year unaudited production & sales estimate: ≈76,000 oz.

• Bond Extension

• Parties: Boroo Gold LLC (subsidiary) and Boroo Pte Ltd (“Boroo Singapore”).
• Maturity date moved from 31 Dec 2025 → 31 Dec 2026 for all intercompany bonds listed below.
• Affected bond subscription agreements:
  • Oct 31 2019 (amended Dec 21 2019)
  • Mar 3 2021 (amended Sep 1 2021 & Dec 21 2023)
    – May 12 2022 (amended Dec 7 2023)
    – Sep 28 2022 (amended Sep 20 2023 & Dec 21 2023)
• No change to principal amounts, interest rates, accrued interest or other economic terms.

• Treated as a related‑party transaction under MI 61‑101; the Company relies on exemption thresholds (fair market value ≤ 25 % of market cap).

• Royalty Buyback Option Agreement

• Counterparties: Steppe Gold Ltd. and Boroo Singapore.
• Subject property: Alturas gold project, Chile.
• Option grants Steppe Gold the right to acquire Boroo Singapore’s contractual right to repurchase a 0.25 % NSR on the Alturas Project.
• Exercise window: 30 days starting 7 Nov 2029.
• Purchase price upon exercise: US$7.5 million, which will fund Boroo Singapore’s cost to repurchase the royalty from the current holder.

• Also a related‑party transaction under MI 61‑101; same exemption reliance as bond extension.

• Governance

• Board of Directors approved both the bond extension and the royalty option unanimously, with conflicting directors abstaining, based on recommendations from a special committee of independent directors and financial advisors.

Notable Quotes

(No direct quotes were provided in the release.)