Leases

3 Months Ended

Mar. 31, 2026

Leases

Leases

(11) Leases

As of the reporting date, the Company maintains two categories of lease arrangements:

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Operating Leases, which are accounted for under ASC 842, Leases; and

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Mineral Leases, which are accounted for in accordance with ASC 930, Extractive Activities – Mining and ASC 360, Property, Plant, and Equipment.

The accounting treatment depends on the nature and purpose of the lease, as described in the subsections below.

Operating Leases

The Company has entered into short-term, low-value lease arrangements for shared office and miscellaneous space. These qualify for the short-term lease exemption under ASC 842 and are not recorded on the balance sheet. Lease payments are recognized as expense over the lease term.

As of the reporting date, the Company does not maintain any finance leases or long-term operating leases that require recognition of right-of-use (“ROU”) assets or lease liabilities under ASC 842. The Company will continue to assess future lease arrangements to ensure compliance with applicable accounting standards.

Mineral Leases

The Company holds certain mineral lease agreements through its wholly owned subsidiaries. These lease agreements provide rights to explore and develop mineral properties, and related payments are being capitalized as part of the cost of the respective mineral assets, in accordance with ASC 930-805 and ASC 360.

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California Precious Metals, a wholly owned subsidiary, holds two mineral leases administered by the U.S. Bureau of Land Management (BLM). These leases are renewable annually. The annual lease costs are nominal and consistent with similar mineral lease arrangements. Based on the nature of the leases, related lease payments are capitalized as part of mineral property costs.

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Peeples, a wholly owned subsidiary, holds a long-term mineral lease with the State of Arizona. The lease has been updated and re-executed, and payments under this lease are capitalized as part of the Company’s mineral property asset base in accordance with the Company’s accounting policy. Minimum annual guarantee payments required under the lease are also capitalized as part of the mineral property asset, as they are necessary to maintain the Company’s rights under the lease.

As of the reporting date, the Company has not recognized ROU assets or lease liabilities under ASC 842, as these arrangements are not considered operating or financing leases under that guidance. Instead, they are accounted for as mineral property interests subject to capitalization.