Mogotes issues 324,396 shares for La Perla option

• Mogotes Metals Inc. issued 324,396 common shares at $0.295 per share pursuant to an existing option agreement dated July 29, 2025.
• The issuance fulfills terms for acquiring a 100% interest in the La Perla Uno a Diez mining concessions in Chile (Tierra Amarilla, Copiapo).
• Shares are subject to a hold period of four months plus one day from issuance.
• This follows a significant option agreement with Kennecott Exploration Company (Rio Tinto subsidiary) announced April 15, 2026, regarding the Copper Cliff project in Montana, USA.
• The company also reported active drilling at its flagship Filo Sur project with four rigs operating as of April 8, 2026.

• Dilution without New Upside: The share issuance is a fulfillment of a previously announced agreement (July 2025). It does not introduce new strategic value or revenue potential beyond what was already priced in months ago.
• Market Reaction Context: Following the highly publicized Rio Tinto option deal on April 15, the stock price corrected from $0.34 to $0.29 and has consolidated around $0.30 through April 20. This suggests investor skepticism regarding the earn-in costs ($56M total) or profit-taking after the February rally to $0.61.
• Routine Nature: The La Perla issuance is administrative compliance with an existing contract. It confirms progress but does not alter the investment thesis materially compared to the April 15 announcement.
• Capital Efficiency: While the company states it is fully funded for the current field season, frequent equity raises (approx. $50M+ in early 2026) indicate high cash burn and reliance on dilution to fund exploration.

• Flagship Project: Filo Sur Project located in Argentina/Chile border region (Vicuna District). Targets porphyry copper and high-sulphidation epithermal gold-silver mineralization.
• Project Status: Four drill rigs active as of April 2026, testing targets like Luz del Sol, Cruz del Sur, and Stockwork Hills. Geophysical modeling identified a 3.25 km conductive trend.
• Secondary Assets:
  • Copper Cliff (USA): Option agreement with Rio Tinto/Kennecott for up to 60% interest via $56M expenditure. Historical drill data shows significant intercepts (e.g., 1,252m @ 0.41 g/t Au).
  • Beskauga (Kazakhstan): Option to acquire copper-gold-silver project with defined resources (111.2 Mt indicated).
  • La Perla (Chile): Mining concessions option being fulfilled via share issuance.