ExGen Pivots to Chile with Inaugural Silver Stream Deal

VANCOUVER, BC – December 17, 2025 – In a significant strategic move, ExGen Resources Inc. announced it has entered into a binding letter of intent (LOI) to acquire its first-ever silver stream from a past-producing gold mine in Chile. The deal signals a pivotal expansion for the project-accelerator, diversifying its commodity focus and extending its geographic reach into the prolific mining jurisdiction of Latin America.

Under the terms disclosed, ExGen has made an upfront payment of US$500,000 to secure the stream from an arm's length private company, referred to as 'PrivateCo'. In return, ExGen will receive 33.4% of the silver produced from the mine until a total of 333,334 ounces have been delivered. Following this milestone, the stream will continue at a rate of 16.7% for the life of the mine. For the silver it receives, ExGen will pay PrivateCo 20% of the prevailing spot silver price.

Jason Riley, Chief Executive Officer of ExGen, commented on the milestone in the company's official release, stating, “ExGen has been evaluating various potential streaming and royalty deals and we are excited to have signed our first silver stream with this LOI.” The move comes as silver prices have surged over 125% in the past year, reaching an all-time high of $66.50 per ounce in December 2025, making precious metal streams an increasingly attractive asset class.

A Strategic Pivot for a Project Accelerator

This Chilean silver stream marks a deliberate evolution of ExGen's established business model. The company has long positioned itself as a 'project accelerator', primarily funding exploration and development on its seven existing projects in Canada and the United States through joint ventures and partnerships. This strategy is designed to minimize direct financial and technical risk while retaining upside exposure to new discoveries.

The acquisition demonstrates the flexibility of this model, applying it now to a streaming agreement—a financial instrument rather than a direct exploration project. It represents a calculated step towards generating a future cash flow stream, complementing its portfolio of earlier-stage copper, gold, and lithium exploration assets like the Empire Mine in Idaho and the DOK Project in British Columbia.

This strategic pivot is amplified by its timing. The announcement comes just days before the expected completion of ExGen's merger with MTB Metals Corp. on December 19, 2025. The merger is set to create a more robust, well-funded entity with a consolidated portfolio of assets, including MTB's copper-gold projects and royalties. This silver stream is one of the first major strategic moves for the soon-to-be-combined company, signaling a proactive approach to building a diversified portfolio that balances early-stage exploration with potential near-term revenue generation.

Breathing New Life into Legacy Assets

The deal is a textbook example of a growing industry trend: using streaming and royalty financing to revive past-producing mines. These legacy assets often contain known mineralization that was uneconomical to extract with older technology or at lower commodity prices. Streaming agreements provide the necessary, non-dilutive upfront capital for operators like 'PrivateCo' to re-evaluate, re-develop, and restart these dormant operations.

For the streaming company, the model offers direct exposure to commodity price upside with significantly reduced operational risk. ExGen will not be involved in the complexities of mining, processing, or permitting; its role is purely as a financial partner entitled to a portion of the output. The structure of this agreement further mitigates risk with a clause requiring 'PrivateCo' to deliver a minimum of 4,200 ounces of silver per quarter starting in the second quarter of 2027. If this silver delivery target is not met, the operator must provide ExGen with an equivalent value in gold, adding a layer of security to the investment.

By financing the revitalization of an existing site, such deals can also be more capital-efficient and have a shorter timeline to production than grassroots exploration projects, which can take a decade or more to develop. This approach allows companies like ExGen to potentially accelerate their path to cash flow.

Chile's Renewed Mining Appeal

ExGen's choice of Chile for its first international streaming venture is no coincidence. The nation is a global mining powerhouse with a long history, vast geological potential, and a sophisticated regulatory framework. While known primarily for copper, its Andes mountain range is also rich in gold and silver deposits, making its past-producing mines attractive targets for redevelopment.

Recent legislative developments have made the country an even more compelling destination for mining investment. In July 2025, the Chilean Congress approved the groundbreaking 'Framework Law for Sectoral Authorizations' (LMAS), often called the 'Intelligent Permit System'. This reform is specifically designed to tackle historical bottlenecks in the permitting process, aiming to reduce approval timelines by as much as 30% to 70%. By creating a digital one-stop shop for applications and improving coordination between agencies, the LMAS legislation is expected to provide greater certainty and faster project execution for operators—a critical factor for 'PrivateCo' as it seeks to bring the Chilean mine back into production.

This improved regulatory efficiency, combined with Chile's policy of granting secure, long-term mining concessions to foreign and domestic investors alike, creates a stable and attractive environment for the capital required to unlock the value of legacy assets.

The Stream's Structure and Inherent Risks

While the deal's structure is designed to generate value, it is not without significant contingencies, which ExGen outlined in its cautionary statements. The entire transaction hinges on a series of events that must unfold successfully. 'PrivateCo' is currently seeking to purchase the property through an option agreement with the current private owners ('the Vendors'), and ExGen’s US$500,000 payment was made directly to these vendors on behalf of 'PrivateCo' to secure that option.

There is no guarantee that 'PrivateCo' will finalize and exercise the option to acquire the mine. Even if it does, bringing a past-producing mine back online is a complex undertaking that requires substantial capital, technical expertise, and successful navigation of environmental and operational permits. The company has provided no assurance that a mine will be put into production or that, if it is, production levels will be sufficient to meet the quarterly minimums stipulated in the LOI.

Investors will also note the confidential nature of the counterparties and the asset itself, as the identities of 'PrivateCo' and the specific mine have not been disclosed. However, the agreement does grant ExGen preferential rights to participate in any future streaming or royalty transactions by 'PrivateCo' on the property, providing a potential pathway for further investment should the project prove successful. The parties will now work towards a definitive streaming agreement that will formalize the terms and conditions outlined in the binding LOI.