NeoRe Project

Under the terms of the January 8, 2026 Binding Earn-in and Option Agreement (the “NeoRe Agreement”) between the Company and NeoRe SpA (“NeoRe”) related to the NeoRe Rare Earth Project in Southern Chile (the “NeoRe Project”), an agreed upon budget was developed whereby the Company pays the monthly budgeted amounts to NeoRe towards earn-in of Net Smelter Return (“NSR”) royalty awards. While funding toward the cap and the accomplishment of tranche 1 and tranche 2 objectives, whether performed in sequence or in parallel, the costs are classified as other assets, whereas, when a 1% NSR royalty award is earned, the cost to achieve the award is re-classified as an NSR Royalty Asset (see footnote 5). The Company is not obligated to make further contributions, but would then be subject to the potential of losing the contributions made toward the tranche 2 NSR royalty, if not already fully earned.

As of June 30, 2026 and June 30, 2025, $1,025,757 and $-0- had been paid toward earn-in of the tranche 1 and tranche 2 awards, with $851,043 of that amount re-classed to NSR Royalty Asset upon earn-in of the tranche 1 award, as discussed in footnote 5, while the remaining $174,714 has been paid toward the earn-in of the tranche 2 award and is classified as “Other Assets” on the Company’s June 30, 2026 balance sheet. Therefore, as of June 30, 2026, this leaves a capped maximum of $1,325,286 of contingent consideration for the full acquisition of the tranche 2 1% NSR royalty asset.

Under the terms of the NeoRe Agreement, the Company may elect to proceed with tranche 3 of the NeoRe Project, and if so, a definitive agreement would be executed with the terms for the Option to acquire the NeoRe Project as outlined in the NeoRe Agreement. If elected, the Company would surrender its earned NSR royalties, issue to the owners of NeoRe the appropriate number of shares of common stock of the Company and take ownership of the NeoRe Project by asset purchase, share purchase, merger or other mutually agreed upon acquisition structure. There are also provisions for bonus shares of the Company’s common stock to be issued, if NeoRe meets certain permitting and production targets. In addition, upon acquiring the NeoRe Project, the Company would be responsible to third-parties for NeoRe introduction fees and warrants issued by NeoRe prior to the execution of the NeoRe Agreement. Currently, the acquisition of the NeoRe Project is still considered a possibility, but not a certainty.

Mining Concession Payments

On May 12, 2026, the Company executed a Terms of Reference (the “Term Sheet”) with a counter-party that defined the terms agreeable for a potential future option agreement for the acquisition of approximately 1,400 hectares of exploitation-level and approximately 2,900 hectares of exploration-level mining concessions in Chile. Subject to the Term Sheet, the Company has advanced $500,000 to the counter-party, which is intended to be applied as a credit against the first required option payment or recoverable if encumbrances or material adverse conditions discovered during the due diligence period are not properly resolved by the counter-party. The total option price varies contingent on the timing of option repayment and the advance amount paid would be credited against the first option payment, leaving $1,500,000 due within 5 business days of the execution of a definitive option agreement, if applicable. The $500,000 advance is classified as “Other Assets” on the Company’s June 30, 2026 balance sheet until the definitive option agreement is signed and the advance is applied against the first required option payment or the amount is refunded or forfeited. In addition, services and fees directly related to the acquisition are being capitalized and will be added to the cost of the acquisition, if the option agreement is exercised and the mining concessions become fully owned by the Company. As of June 30, 2026, $36,078 of capitalized costs related to the mining concession acquisition are posted to “Other Assets” on the Company’s June 30, 2026 balance sheet.

Issuance Costs

Any costs directly related to the issuance of equity are required to be capitalized and posted as an offset to additional paid in capital, when the issuance of equity occurs, or written off if the issuance of equity does not occur. As of June 30, 2026, $33,114 of capitalized costs related to issuances of equity are posted to “Other Assets” on the Company’s June 30, 2026 balance sheet.