OREX MINERALS INC. PROVIDES UPDATE ON THE SALE OF ITS OWNERSHIP INTEREST IN THE CONETO SILVER-GOLD PROJECT

The most recent news (February 5, 2026) provides an update on the sale of Orex’s 38.79% interest in the Coneto Silver-Gold Project to Silver Viper Minerals. Crucially, the terms have been modified to include a cash component for Orex, whereas the previous term sheet suggested a primary share-based consideration. Fresnillo PLC, the majority partner (61.21%), will receive solely shares of Silver Viper at a deemed price of $0.80 per share. Orex expects to hold approximately 7% of Silver Viper post-closing. This follows a February 2, 2026, announcement of a $5 million non-brokered private placement at $0.165 per unit to address general working capital needs.

The news is Material - Positive for the company's survival, though bittersweet for long-term shareholders. - Liquidity Rescue: As of October 31, 2025, Orex was effectively insolvent with only $33,396 in cash and a working capital deficit. The combination of the $5 million financing and the newly negotiated cash component from the Coneto sale provides a necessary runway. - Asset Monetization: Selling the minority stake in Coneto allows Orex to offload a project where it was a junior partner to Fresnillo. By receiving cash instead of just Silver Viper shares, Orex avoids being entirely dependent on the equity performance of a single junior explorer. - Heavy Dilution: The $5 million placement at $0.165 is highly dilutive. With roughly 36 million shares currently outstanding, issuing 30.3 million new shares nearly doubles the share count. This explains why the stock price collapsed from its $0.33 peak in January 2026 back toward the $0.20 range. - Non-Arm's Length Risks: The transaction involves shared directors between Orex and Silver Viper. While this can expedite deals, it requires strict regulatory scrutiny to ensure Orex shareholders are receiving fair value.

Orex Minerals is a Canadian junior exploration company focused on Mexico. Its flagship has been the Coneto Silver-Gold Project in Durango, Mexico. - Project Details: Coneto is an exploration-stage project with an Inferred Resource (2021) of 286,000 oz Gold and 19.1 million oz Silver (538,000 AuEq oz). - Ownership: Orex holds 38.79%, while the operator is the Mexican mining giant Fresnillo PLC (61.21%). - Strategy Shift: Orex is currently transitioning from an active explorer to a holding company/project generator by selling its Coneto interest to focus on working capital and potentially other assets like Jumping Josephine (BC, Canada), which is currently impaired to $1.